Madison Locals Schools' financial forecast looks better with levy passage
MADISON TOWNSHIP — Madison Local Schools Treasurer Bradd Stevens focused his five-year financial forecast for the district on spending.
Stevens made his presentation to the board of education during a special meeting Wednesday night. He had to wait to present the financial forecast until making sure the 7.5-mill, five-year levy passed, which it did.
Stevens said he prepared two financial forecasts depending on the levy's fate.
"I was very, very nervous because the one really would have decimated the district," he said. "The community pulled through at the right time."
Madison is projected to have a cash balance of anywhere from $903,000 to $2.7 million in each of the next five fiscal years.
District plans to avoid deficit spending in future
Stevens emphasized the line in the forecast that dealt with expenditures and revenues.
"If we keep this line positive, we won't be in the position we've been in," he said.
The district is projected to have deficit spending in four of the next five fiscal years, including a $1.3 million figure in fiscal year 2028. Stevens said, though, that he could not include projected revenue from a renewal levy in 2028 in his forecast.
Superintendent Rob Peterson agreed with Stevens.
"It's important to not going back into deficit spending and to do whatever it takes to stay out of deficit spending," he said.
Peterson said that would be important to voters when they ask them to approve a renewal levy in 2028.
Stevens said the financial forecast is merely a snapshot of "what's going on right here, right now."
"It's based on assumptions. Those assumptions can change drastically over time," Stevens said. "We all need to be proactive and plan ahead. If we can do that, we should avoid the situation we were looking at a month ago."
Levy failure would have resulted in massive cuts
If the levy had failed, Madison was going to make $4 million in cuts, including layoffs of 47 employees and a reduction of 29 teachers.
The district also would have implemented state-minimum busing and pay-to-participate.
The levy will cost the owner of a $100,000 property $263 a year. It will generate $3.36 million a year, with money being collected at the start of 2024.
Earlier this month, Madison received word during a special meeting of the Richland County Board of Elections that the 7.5-mill, five-year levy would pass.
On election night, the levy passed by 11 votes, 3,612 to 3,601, in unofficial results. Because of the closeness of the vote — 50.08% in favor to 49.92% opposed — an automatic recount was needed.
After adding provisional and absentee votes that were late but eligible, Madison's levy passed by 33 votes, with the final tally being 3,673 in favor and 3,640 against.
Wednesday afternoon, the board of elections met again to certify those results. Peterson said the vote total remained the same.
"I know it was hard for people to make that choice," board President Tim Wigton said. "We need to be good stewards of that money. I look forward to that challenge."
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This article originally appeared on Mansfield News Journal: Madison Local Schools Board of Education approves financial forecast
