Carlton, Wrenshall school boards approve maximum tax levies

Continued decreasing enrollment is driving decisions in the Carlton school district this month. Outside of the continuing discussions about consolidation with Wrenshall, the school board set its preliminary levy for next year at the maximum. By law, districts need to set levy parameters by Sept. 30 each year. While the levy could go down before December, it can’t be increased. The exact numbers, and impact on taxpayers, has yet to be determined as the state dictates the maximum levy for every school district.

The district has seven fewer students attending its two school facilities this fall compared to last May, meaning less state funding. The official account released at Monday’s regular board meeting was 419. The enrollment in 2016 was 477 and has steadily declined. Last fiscal year, the district expected to dip into its reserve fund to cover its budget.

School districts in the state must adopt a proposed “2019 Payable 2020” property tax levy and certify it to the county auditor by the end of the month. A copy of the proposed levies must be sent to the Minnesota Department of Education by Oct. 7.

School districts are no longer required to hold a separate Truth in Taxation hearing but are required to discuss the levy at a regularly scheduled board meeting and allow the public to speak. That opportunity will come at the 6 p.m. meeting on Dec. 16.

The Wrenshall school board also chose to adopt a maximum levy. Superintendent Kim Belcastro said the move was a hedge on the swirling activity, and “limbo,” around consolidation. Wrenshall enrollment this fall remained steady, with 368 students. Student population has grown since an ebb eight years ago, Belcastro said, when about 320 students were enrolled.

$9 million bond

The Wrenshall board approved bonding without taxpayer approval for $9.3 million in improvements at its school. The project to improve air quality at the school was part of the failed referendum vote this past spring. The board would have until late December to cancel the bonds should consolidation move ahead. The bonds would be paid by taxpayers over 20 years. A household with a home valued at $150,000 is scheduled to pay $139 a year. A business worth $150,000 would pay $248 per year.

Consolidation

Both school boards continue with a busy consolidation meeting schedule. Carlton members planned to have a discussion Thursday with architects on options for the district going alone and moving its middle and high school students from the downtown campus on the South Terrace elementary. The board approved spending about $2,000 for that work from the firm ARI. It also approved sharing a $35,000 bill from ARI as it also looks into the two-site option for a consolidated district.

Committees from both boards will meet at 6 p.m. Monday in Wrenshall to discuss concept plans costs and tax impacts of making the South Terrace and Wrenshall schools suitable for the influx of students in a consolidated district.

Notes

In other Carlton and Wrenshall school board news:

• The Carlton board approved the resignation of middle and high school principal Barry Fischer, who was hired as assistant principal at Lincoln Park Middle School in Duluth. They voted to replace him on an interim basis with retired Cloquet principal Warren Peterson. Superintendent Gwen Carman said about a half dozen applications have come in for the principal job. Peterson began Wednesday and has said he wasn’t interested in serving a full school year.

• After the resignation of longtime business manager Renee Eiffler, the Carlton district hired her assistant, Norman Nelis, as her replacement. On Monday, the board approved moving Mary Marciniak into the finance assistant position. The district will now need to find her replacement as a district office assistant.

• Both the Carlton and Wrenshall boards were briefed by county officials on repayments to utility companies after courts have determined those companies overpaid in property taxes. Both districts are expected to be hit hard because gas, oil, and railroad utilities make up a large part of their tax bases. Belcastro said she expects the district to levy in 2021 for repayments that so far have reached close to $60,000 for the district. Carlton, with many large cases still pending, has a tally of about $14,000 so far.