Decrease in state funding discussed at R-8 board meeting

The Licking R-8 Board of Education held their monthly meeting on Monday, October 12, at the Office of the Superintendent. A significant portion of the open session portion of the meeting was spent discussing anticipated reductions in State funding which will result in deficit spending of reserve funds at a faster pace than originally expected, and the possible consequences of this.

In open session, the Board reviewed the balance sheet and approved payment of bills.

Building principals were honored during Principal Appreciation Month. Elementary Principal Brian Barry, Asst. Principal Dustin Bell, JH Principal Dr. Aibeen Holland and HS Principal Angela Loughridge were recognized for their dedication to the district.

Nurses Shalina Gorman and Sydni Osborne shared a health services report with the Board. On a typical day, approximately 20-30 medical visits occur, with at least three to five significant medical events each week, like fainting, asthma, a diabetic emergency, an allergic reaction, etc.) An average of 10 students require medication management and five to ten students need basic necessities or non-medical support.

Athletic Director Tammy Gorman shared the fall activities and athletics report with the Board. Wildcat Baseball finished their fall season with a 21-2 record, ranked first in Class 2. They were Frisco League Tournament Champions as well. Lady Cat Volleyball captured the Cuba Tournament Championship, won the Frisco League Quad, and are the number one seed in the upcoming Class 2 District 7 tournament. Junior High Volleyball completed their seasons with a 14-3 record for the A Team and 13-4 record for the B Team. Cross Country has four high school boys and two girls competing. Six boys and one girl are competing at the junior high level. The Class 1 District 2 Cross Country Meet will be Saturday, October 31, in Owensville. HS Cheerleading competed in two competitions in the fall and qualified for the State Competition. The team has decided not to compete at the State Competition.

Superintendent Telena Haneline presented the September enrollment report. As of September 30, Elementary enrollment was 447 (up from 435 last year), and Secondary enrollment was 396 (up from 378 last year). Total enrollment was 843, which is higher than the previous three school years.

Budget revisions were discussed at length. Budget revisions will be necessary due to a reduction in State funding combined with flat local tax revenue due to the freezing of local property taxes. State funding was short last year by $190 million, and is projected to be short by $388 million this year. The Licking R-8 School District anticipates an approximate $630,000 budget deficit for the 2026-2027 school year.

In the Superintendent’s 2026-27 Budget Message, the following information is shared: The District reduced spending in this year’s budget by $98,000, but revenue is decreasing faster than spending. Revenue budgeted for the 2026-27 school year was $541,000 less than last year’s budget. Local and county funding is down about $185,000, state funding $87,000, and federal funding $435,000, partly offset by increases in other revenue. Some federal grants have ended, and the State cannot currently fund a preschool grant awarded to the district.

The district’s reserve balance was at 24% at the end of the last school year, and initially it was believed that it would decrease to 17-23% by the end of this year due to the budget deficit. With the state funding changes, that has been adjusted to a projected 9-12% reserve balance by the end of the school year.

The Department of Elementary and Secondary Education recommends a 10% reserve fund balance, and if the balance drops below 3%, the district can expect state intervention in administering school funds, meaning local control of the school will be lost. Funding the current programs at the school could see this level reached in the next school year.

The district currently spends $11,155 per student, and the state average expenditure per student is $15,214. The district operates at the minimum tax levy allowed by the state, 2.75, and voter approval is required to increase that levy.

Missouri schools are legally required to provide instruction in core academic subjects, including English Language Arts, Math, Science, Social Studies, Fine Arts, Physical Education, Health Education, Technology and Career Education.

Missouri schools are not legally required to provide athletics and sports, extracurricular activities like band, choir and Scholar Bowl, clubs and organizations, preschool, paid tutoring, career ladder supplements, and transportation for students living within 3.5 miles of school, subject to applicable requirements. While the current Board of Education is working to sustain these programs, if local control of the district was lost, they could all be cut. With school choice now an option, students wanting these opportunities have the opportunity to look elsewhere and leave the district, causing even greater financial challenges. A loss of bus transportation within 3.5 miles of school could create a hardship for working families to ensure their child makes it to school, or potentially could mean that students would be transported by parents to schools in other towns.

District administrators plan to urge legislators to fully fund public education, and the Board continues to review its options to fund the school.

The board approved budget revisions presented at the meeting.

MSBA policy updates were reviewed and approved by the board.

Supt. Haneline shared the following from closed session:

The board approved hiring Mrs. Patricia Ingram as special education paraprofessional.

The board approved additions to the certified and bus driver substitute lists.

The board approved an early graduation applicant.

The next board meeting will be Monday, November 9, at 6 p.m., in the Office of the Superintendent.

The board has scheduled an executive work session November 2 to consider possible cuts to programs, bus routes and staffing for the 2027-28 school year.