Concerns arise about operational referendum

Some Shawano School Board members are concerned that an operational referendum could be dead on arrival in November, even though the board has not approved a survey gauging community support for it and a possible capital referendum.

During a work session April 25, board members Chris Gull and Mart Grams brought up their concerns about the operational referendum failure, even though it could be used to keep the existing schools open, keep staffing levels from dropping any further and even get some future maintenance projects accomplished.

The Shawano School District is looking at a five-year operational referendum that could provide anywhere from $1.75 million to $2.25 million each of those years just to maintain the schools and staffing levels, according to Josh Swanson, finance director. He said the numbers are based on plans to provide staff with a 4.7% raise this year and 3% in subsequent years, along with anticipating a 10% increase in health insurance costs.

The estimates are also based on the worst-case scenario on next year’s state biennial budget approval, according to Swanson, which would be a zero increase in state aid, the same as was approved in the current state budget.

Erik Kass, the district’s financial advisor with PMA Educational Resources, said that the district could ask for an operational referendum of up to $5.7 million annually, and the remainder of the funding could be used for the maintenance projects expected to become a priority within the next five years.

Gull noted that a “large, well-funded, well-organized group” was responsible for killing the district’s plans for a referendum in 2019 when it was looking at building a joint recreation center with the city of Shawano. The group had sent out claims in the mail that the $28 million proposal was going to be a taxpayer-funded playground.

“I think it’s just going to be suicide for us,” Gull said. “There is talk that the capital (referendum) is supported by them, but if we ask for both of them, they will do everything they can to squash both of them because they don’t want confusion.”

The capital referendum, which would also be addressed in the planned community survey, is expected to be around $40 million. In addition to planning for future maintenance needs, the referendum could provide upgrades to all of the schools’ libraries, along with fine arts and athletic facilities at Shawano Community High School.

Grams suggested 2022 was a bad year to be asking for anything, considering the battle between Republicans and Democrats not only to determine control of Congress at the federal level, but the governor’s office in Wisconsin, as well. Conservatives are indicating that they’re not happy with how the school district is run.

“If you wanted this referendum, you should have done it in the spring,” Grams said. “This fall is going to be a bloodshed.”

If the operational referendum fails, the district would potentially have to revisit staff cuts and closing a school. Sue Peterson, a consultant with ISG in La Crosse, said that if the district tried to ask for the referendum again in a future election, unless drastic changes are made to the question, it would be likely that voters would vote it down again, indicating “What part of ‘no’ don’t you understand?”

The board is expected to give its final recommendation on the survey questions at its May 2 meeting, and then it would go to the district’s committee working on the operating and capital referenda on May 9. The survey is expected to go out in mid-May, and then the board will have to decide after that whether to proceed to a referendum in November.