The Northland Pines School Board held its annual budget meeting last week and released projections for the 2025-2026 fiscal year budget, tax levy, and expected mill rate impacting property owners in the district.

The board is calling for a total budget of $30.8 million which is 6% higher compared to the previous year. This falls in line with a tax levy of $20.6 million which is also 6% higher. The tax levy is the portion of the total budget that is eligible to be collected from property owners.

Wisconsin law limits the amount of money school districts can collect from through the regular tax levy process and these limits are based on formulas that are complex and include factors for student enrollment levels and property tax values, which have been rising at double-digit levels in recent years. In addition to tax levy funding, the state of Wisconsin provides aid, however, the amount allocated to Northland Pines has been historically minimal.

Interestingly, the mill rate, which is the amount of property tax collected for the school district based on each $1,000 of assessed property value, is projected at a record low $3.22 level. Last year the mill rate was $3.33 and it hit more than $5 just four years ago.

Homeowners with property values that have remained steady over the past couple of years will see a decrease in their property tax allocated to the school district, but many will see increases to meet the anticipated budget needed to run the district.

Northland Pines Business Manager Tera Fritz prepared a formal 41-page budget proposal handout for meeting participants and attendees with financial details and historical information.

She explained that the three-year rolling average student enrollment is 1,262 and that enrollment has been falling since its peak in 2022. Enrollment totals include summer school attendees and nearly $15 million of the projected tax levy is directly tied to these totals based on the formula established by the state.

Fritz also pointed out that the final mill rate may be lower than the projected $3.22 rate and will be finalized at the Oct. 27 regular board meeting after the Wisconsin Department of Revenue provides final equalized property values and after general state aid values and student enrollment projections are set.

“In the meantime,” she said, “the projected increase to property values should reduce the mill rate. This is because the levy amount will be spread out over more taxable property.”

Scott Foster, district administrator, shared after the presentation by Fritz that the district has worked hard to “put together a budget that can educate kids at a high level. This includes looking for ways to attract and retain the best staff which parent surveys have stated should be the number one goal of the district.”

Foster also pointed out the challenges of keeping the budget as low as possible when the fixed costs of day-to-day operations are rising such as with food costs, energy, and bus transportation.

School Board President Jennifer Payne then made a motion to approve the $20.6 million tax levy which passed unanimously. The board followed with a series of administrative motions before formally adjourning the meeting.

Pickleball courts

Prior to the annual budget meeting, the board held its regular monthly meeting where members voted to have district administrator Foster share a draft partnership agreement between the district and the Eagle River Pickleball Association (ERPA) with the board’s legal counsel for review. The agreement calls for the district to donate land for a new complex of pickleball courts, allow the use of existing school parking, and to share in some of the ongoing site maintenance.

In return, the school district would have access to the courts for student instruction and recreation, along with the ability to share access to the courts with the public. All costs of the proposed court design and construction will be arranged through ERPA and once the agreement language is refined to the satisfaction of both parties, the matter will be formally voted on at a future meeting.

The next regular meeting of the school board will take place on Monday, Oct. 27, at 6 p.m.at the middle school and high school large group instruction room.