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Announcements
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April 14, 2025 School Board Work Session Update
Following a School Board Work Session last evening, we want to provide an update on the district’s financial planning.
There were two finance-focused presentations at last evening’s meeting.
- This first was the proposed budget for the 2025-26 school year presented by Bill Menozzi, Finance Director for Shakopee Public Schools.
- The second was an informative presentation sharing our district’s financial outlook for the 2026-27 school year and the years that follow. This presentation was shared by Superintendent Mike Redmond and Bill Menozzi.
- Each of these presentations can be found online HERE.
2025-26 School Year Proposed Budget
This budget for the 2025-26 is balanced. The proposed balanced budget addresses the decreases in student enrollment expected for next school year. It also addresses the continuing impact of State school funding failing to keep up with inflation.
Financial Outlook for the 2026-27 School Year (and Beyond)
Information was presented on school district revenues and expenditures from the 2020-21 school year projected through the 2027-28 school year. Shakopee Public Schools, like many districts across the state, is facing a financial challenge for the 2026-27 school year, and the years that follow. The primary causes of the financial challenges in Shakopee are inflation and continuing decreases in student enrollment due primarily to low birth rates.
Shakopee Public Schools has experienced the loss of $8,219,641 in revenue due to decreases in student enrollment over the four-year period from the 2020-21 school year through the 2024-25 school year.
Slide 11 shows the widening gap between actual State General Education Aid and what the aid would be if it had matched the rate of inflation. In just the past four years, this inflation gap has resulted in our district receiving $6,635,510 less revenue each year than if the State funding had kept pace with inflation. This poses an ongoing financial challenge for our school district and for all school districts across the State of Minnesota.
2021 Voter-Approved Operating Levy
In 2021, Shakopee Public Schools made pledges in regard to how funding from a voter-approved operating levy would be spent. A strong commitment was made, and those pledges have been kept. Here are some examples of these actions:
- Restored class sizes to the same target sizes as existed in the 2020-21 school year.
- Restored teaching, school counselor and paraprofessional positions that were cut for the 2021-22 school year.
- Restored 5th Grade band.
- Restored College in the Schools courses.
- Shortened walking distance requirements for bus transportation.
- Increased fine arts and activities offerings.
- Improved compensation for teachers and support staff, moving them towards the mid-range of comparison school districts.
Future Discussions & Planning
In summary, for the 2026-27 school year, our school district is facing a projected $7-9 million difference between revenues and expenditures. Last evening's discussion was focused on defining this challenge so the School Board can begin the necessary planning to define how the district will best meet this challenge moving forward.
The School Board’s continued analysis of how to move forward is expected to be part of all upcoming board meetings in April, May and June. All Board agendas and planning resources will continue to be readily available on the district website and in BoardBook.
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