Wisconsin school districts’ debt soars after $1.35 billion in new borrowing
Public school districts in Wisconsin are in the midst of a building boom, financed by a surge in new debt not seen since the 1990s, a new analysis by the Wisconsin Taxpayers Alliance has found.
According to the report, voters in districts across the state approved through referendums borrowing $1.35 billion last year, 10 times more than in 2011 and the most since the alliance began keeping records in 1993. The previous high, adjusted for inflation, was $1.04 billion in 1996.
In per-pupil terms, the report says, borrowing has more than tripled from $2,313 in 2010 to $9,733 last year. And it shows no signs of abating. This spring, 23 districts have asked or will ask voters to approve nearly $708 million in new debt.
In southeastern Wisconsin alone, 10 school districts have won voter approval to take on nearly $400 million in debt for capital improvements since Jan. 1, 2015. Four others have failed in their requests to borrow an additional $151 million.
School districts defend the rise in debt, saying the improvements are needed to accommodate growing enrollment or to upgrade and maintain facilities in an increasingly competitive educational environment. And most districts remain well below their state-imposed borrowing caps, Taxpayers Alliance Research Director Dale Knapp said.