We also know that MMSD has no extra factors to boost local revenues. Extra revenue factors, such as unused levy authority, General Fund Balance reserves, before considering a referendum to exceed the revenue limit, it is necessary to understand the tax levy forecast before any additional taxing authority. We have identified the major tax levy factors:
Flat to minimal enrollment growth over the next few years
No unused tax levy authority available
The debt service levy already reflects the impact of the 2015 referendum
The debt service levy does not reflect the impact of any future facility referendum, which would be at least 2-3 in the future
It will be important to measure the loss of equalization aid for any specific referendum to exceed the limit.
The 2008 Referendum to Exceed the Revenue Limit
In November 2008, on the presidential ballot, MMSD had a referendum question for recurring authority to exceed the revenue limit. The amounts were phased in, beginning in 2009 ($5.0 million), 2010 ($4.0 million) and finally 2011 ($4.0 million) for a combined $13 million of additional levy authority. The vote occurred three years before the before the Budget Repair Bill and Act 10, and passed with 87,329 ‘yes’ votes and 40,748 ‘no’ votes.
Partial Budget Spending Chart (excludes a number of district expenditures) – PDF and a consultant’s budget forecast.