Superintendent Howard Caldwell told the board the district will be facing a four percent reduction in the general fund, a reduction of 1.20 percent in the general debt fund, and an increase of 3.06 percent in the community service fund (community education).
The district will also have a 15.60 percent reduction in Homestead Agriculture Credit Aid (HACA). HACA for the Paynesville Area School District dropped from $107,000 in 1999 to $90,000 for 2000. HACA funds are guaranteed to cities and schools from the state, and are determined each year by the Legislature. The funds come from sales tax receipts, according to a spokesperson in the Stearns County Auditor's office.
The school district levy payable in 2000 will show an overall decrease of 2.65 percent from this year.
The district's levy for the 2000-2001 school year is $1,898,434 compared to $1,950,148 for this school year.
Caldwell said there are many factors in the data which are determined by the Legislature and that are beyond the school district's control. Data impacting the local levy, which is determined by the Legislature, includes basic foundation aid, transportation sparsity revenue, operating capital revenue, training and experience revenue, and equity revenue.
The school district will receive an estimated $6,089,917 in aid from the state for the 2000-2001 school year.
The excess levy referendum, which voters approved in 1998, goes into effect 2000-2001 school year. The local tax burden is $149,535 and the state's share is $294,721, giving the district a total of $444,256.
The board is expected to approve the levy at their next meeting on Tuesday, Dec. 21, at 2 p.m. in the middle school media center.