The previous levy will be revoked, or taken away, and a new levy would replace it. In this case, the question on the November 5 ballot asks voters to revoke the current $623.97 per student levy authorization and replace it with a new levy of $1,803 per student.

Monitoring the budget is a critical and ongoing process for the district. Since 2019-2020, we have used approximately $5 million in fund balance (‘savings account’) to present a balanced budget to the School Board. For the 2024-2025 school year, we cut approximately $4 million from our budget and utilize fund balance to cover increased costs. 

If the operating levy is not approved, the district will need to make significant budget reductions, which are likely to include the following:

• School closure(s) resulting in elementary boundary changes.

• Increase in class sizes.

• Reduction in staffing and personnel expenditures across the district resulting in reduced services and student supports.

• Move MNCAPS to a district facility.

• Reduce programs for students including:
  - Limit Spanish Immersion to K-5 only
  - Reduce secondary electives
  - Reduce Laker Online staffing
  - Eliminate middle school activities
  - Eliminate MNCAPS pathway(s)

• Reduce student access to educational technology.

• Increase fees for community facility use.

• Close pool at Twin Oaks.

The district will continue to be focused on spending its resources wisely and investing in programs and services to meet the needs of our students. We have always and will continue to follow all state laws and guidelines for tracking and spending our budget. If the operating levy is approved, the district will establish a Referendum Oversight Committee to monitor the use of funds from the levy.

Our cost-per-student spending is nearly $2,500 below the state average. While this shows we spend tax dollars wisely, it also highlights a challenge: we lack the necessary funding to address priorities identified by many in our community, such as improving safety measures in our schools, enhancing personalized learning experiences and expanding career pathway opportunities for students. Compared to many other metro-area districts, PLSAS has much less revenue to spend to address the needs of our students.

When determining the amount for the proposed operating levy, district leaders and the School Board carefully considered several options. Because state funding has not kept up with inflation and the district’s current levy is significantly lower than most other districts, it was decided to set the operating levy amount at a level where the district’s finances could be stabilized and dollars would be available to invest in programs and services desired by many in our community.

Without structural changes, the district will face declining revenues, rising expenses and a depleted fund balance by 2028, risking Statutory Operating Debt. The table below shows the impact on the district’s fund balance ('savings account’) at various levels. The $1,803 level with a tax impact of $45 additional per month on the average home in the district would allow the district to stabilize the budget and provide additional funds to invest in student academic programs and safety.

Like many other school districts in Minnesota and across the country, PLSAS is facing serious budget challenges. Our costs are increasing faster than our revenue is growing. This is mainly because prices are going up (inflation) and student enrollment (revenue) has slowed, mostly due to low birth rates. Revenues are increasing by 2.5-3% per year while expenses are increasing by about 5% each year. In addition, PLSAS’ current operating levy is one of the lowest in the area, which means our district has less money than neighboring districts to operate our schools and provide programming for students.

If the operating levy referendum is approved, the additional dollars will bolster the district’s financial stability, maintain what we have and allow us to invest in academics and safety, including: 

Enhancing academic excellence that increases student performance and outcomes

• Teaching Specialists: Add specialists in every building to collaborate with teachers and ensure district-wide instructional coordination, elevate academic rigor and provide support for students who need it.

• Spanish Immersion Programming: Increase staffing support to align the Spanish curriculum across all grade levels.

• Maintaining Class Sizes: Ensure that class sizes remain consistent to support individualized student needs and effective learning environments.

Increasing staffing for behavior intervention and student support 

• School Counselors: Introduce school counselors to elementary schools, and add an additional counselor at Prior Lake High School, to align with our middle school staffing. 
• School Psychologists: Add two school psychologists to assist in addressing behavioral and academic needs across the district.

Expanding career pathway programs
Minnesota Center for Advanced Professional Studies (MNCAPS):

• Expand career pathway programs based on student demand.

• Increase space to accommodate more students.

• Strengthen partnerships with the local business community.

Strengthening safety and security at all schools*

• Classroom Security: Update and standardize classroom door locks for quick emergency locking.

• Perimeter Security: Improve security with additional surveillance cameras and security film on entrance windows.

• High School Security: Construct a more secure lower-level entrance at Prior Lake High School.

*Based on recommendations from an audit conducted by the U.S. Dept. of Homeland Security - Cybersecurity & Infrastructure Security Agency

If approved, the new operating levy would be in place for 10 years, through the 2034-35 school year.

In proposing the new levy, the board carefully considered both the needs of the district and the tax implications for district residents. The proposed levy will increase school property taxes by about $45 additional per month on a home valued at $445,500.

A fund balance is an account in the district’s budget that is not allocated for a specific use. A fund balance is not intended to be used for ongoing expenditures, but for purposes like cash flow, shortfalls in state funding or emergency situations. PLSAS has used its fund balance over the past several years to help balance its budget.

PLSAS spends most of its budget in areas that directly affect students. 

• Nearly 80% of the budget is spent on areas related to teaching and learning, including salaries and instructional supplies

• 12% of the budget is spent on purchased services such as transportation, gas and electricity 

• 5% goes to pay for capital expenditures such as equipment and maintenance

• 3% is spent on central administration and principals

*Source: MN Dept of Education - District/Site Level Expenditure Report

Yes. More metro-area and neighboring districts have significantly higher operating levies than PLSAS. The table below shows current levy amounts.

In 2023, the state of Minnesota provided an increase in funding to all districts. However, alongside this funding boost, the state required districts to implement new programs and initiatives without providing sufficient funds to cover the costs. These unfunded mandates have put additional pressure on our district’s annual budget. 

Like many other districts, a persistent funding gap remains for PLSAS due to historic shortfalls in funding. If state funding had kept pace with inflation since 2003, our district would have received more than $9 million in additional funding last year.

To vote you must:

• Be at least 18 years old

• Be a citizen of the United States

• Be a resident of the school district and maintain residence in the district for 20 days immediately preceding the election

The election will take place on Tuesday, November 5, 2024. In Minnesota, you can vote with an absentee ballot starting September 20, 2024. You can request an absentee ballot online for federal, state, and county elections. Click here to find your polling place.