OPERATIONAL REFERENDUM: APRIL 1, 2025

In the Salem School District, we are proud of the academic and co-curricular opportunities we provide our students. This is made possible thanks to our outstanding teachers and staff, supportive community, and strong financial discipline. 

However, like many school districts statewide, we are facing the challenges of rising costs, an inequitable state school funding formula, and a lack of state aid to public schools in recent years.

Considering these challenges, the district has worked to make budget reductions and make the most of every single dollar taxpayers invest in their local schools. However, we believe the time has come to find a more sustainable solution to our financial needs.

On Tuesday, April 1, 2025, our community will vote on a three-year, non-recurring operational referendum question for the Salem School District. If it is approved, the district will be able to raise its revenue limit by $2,000,000 million per year, through the 2027-2028 school year. 

With these funds, the district would prioritize:

Considering our financial challenges, the Salem School District has worked diligently to control spending, make the most of our existing funds, and improve educational programming.

While these steps have helped reduce immediate financial pressures, they are not enough to ensure the long-term sustainability of our schools without additional funding.

In October 2024, the Salem School District conducted a community survey to assess our operational needs and gather feedback on potential solutions. We are grateful for the community's participation and would like to share the key findings:

Financial Challenges:

• The district is facing a projected deficit of $72,299 for the 2024-25 school year, primarily due to rising costs and inadequate state funding.

Community Feedback:

• The majority of respondents expressed support for exploring sustainable, long-term solutions to address the district's financial challenges.

• Many community members emphasized the importance of maintaining the quality of educational programs and services.

• There was a strong interest in being informed and involved in the decision-making process regarding potential referendums or other financial strategies.

We are committed to transparency and will continue to engage with our community as we navigate these challenges together. Your input is invaluable in ensuring that we can provide the best possible education for our students.

What is a Revenue Limit and how is it calculated?

A district's revenue limit is the maximum amount of revenue that can be raised through a combination of state general aid and local property taxes for specific funds:

• Fund 10: General Operating Budget

• Fund 38: Non-Referendum Debt

• Fund 41: Capital Expansion

Revenue limits were established in the 1993-94 school year to control spending and tax increases. Each district’s per-pupil funding amount was initially based on its prior year’s per-student spending.

In 1992-93, Salem School’s per-student spending was below the state average. Since the revenue limit formula is built upon historical spending levels, this lower starting point has continued to impact us. As a result, we are still classified as a low-revenue school district today.

This historical funding gap highlights why continued advocacy and community support are essential to ensure our students have access to the same high-quality resources and opportunities as their peers across the state.

The property tax levy and general state aid comprise approximately 85% of Salem’s 2024-2025 Fund 10 (General) operating revenue.

These two amounts are determined by the revenue limit.