Voters set to decide school funding questions in three NWI districts

Duneland schools seeks to renew its operating referendum, which was last extended with over 73% support in 2019, at an increased rate of 39 cents per $100 of net assessed value for eight years. Currently, the rate is at 22 cents.

The referendum was first approved by voters in 2012.

If renewed, the referendum would generate over $16 million annually for the district and would be used to continue providing competitive salaries in order attract and retain teachers and staff, pay for school resource officers (SROs), counselors, academic interventionists and instructional coaches, as well as expand its Advanced Placement, dual credit and career technical education offerings, according to the district.

Superintendent Chip Pettit said the district has been living responsibly within its means, with the school board keeping the overall school tax rate flat, and only financing construction projects when old debt has been paid off.

And with inflationary expenses outpacing increases the district has received in state tuition funding, Pettit said, without the referendum renewal, Duneland schools would have to begin the process of cutting up to 20% of its budget.

"I hate that we must ask the community for additional property tax dollars," wrote Pettit in an email to The Times on Thursday. "Unfortunately, this is how the State of Indiana is choosing to fund (or not) K-12 public education. I contend Chesterton wants and deserves better."

School officials have previously argued that even with the increase of the referendum rate, many homeowners would see little to no change in what they would pay in property taxes due to the new tax credits and deductions in SEA 1. According to the district, the overall property tax bill for a median-priced home of $319,100 in Chesterton would decrease by around $40 each year if the measure is renewed.

Hanover Community School Corp.

Hanover schools is asking voters to renew its operating referendum at its current rate of 29 cents per $100 of net assessed value for another eight years.

Voters first approved the measure in 2015, and it was renewed with 60% support in 2020.

If extended, the referendum would generate over $5 million annually for the district, which would be used to provide transportation services for students who live more than a mile from school, teacher retention, maintaining class sizes and keep SROs in each school building.

Superintendent Mary Tracy-MacAulay also warned that if the renewal effort failed, transportation service may have to be reduced or removed, and a reduction in staffing would occur.

"We are not asking for more, just the opportunity to maintain the excellent opportunities and services currently in place," wrote Tracy-MacAulay in an email.

Lake Central School Corp.

Lake Central schools is looking to extend its operating referendum at an increased rate of 26.14 cents per $100 of net assessed value for eight years, up from its current rate of 17 cents.

Voters first approved the measure with over 53% support in 2018.

The referendum would provide the district with $17.7 million annually, if renewed. Superintendent Larry Veracco told The Times that the referendum revenue has been used to add three SROs, hire nurses, reading specialists and math coaches, maintain smaller class sizes and support AP and dual credit courses.

District officials have said Lake Central faces significant reductions in school funding due to SEA 1, unless the referendum is renewed. According to Veracco, the district faces over 200 job cuts without the additional tax revenue.

"It is not designed to add programs to any of our schools; it is not designed as any kind of a windfall," Veracco said during a presentation to the Schererville Town Council earlier this month. "It is to bring in the same revenue as the 17 cents has for the last seven years."

According to the superintendent, a Dyer homeowner with a median-priced home of $333,000 will see a nearly $156 reduction on their total property tax bill, even with the increased referendum rate due to the new deductions and tax credits.

The school leaders have emphasized that the referendum renewals would not result in a new or additional tax, despite the wording of the ballot questions, which some, like Pettit, have said is "confusing and incomplete". In 2021, state legislators approved changes to ballot language for operating referendums that include percentages of the district's average property tax revenue.

And while state law currently requires districts in some counties, including Lake, to share a portion of referendum revenue with charter schools, Veracco said none of the charter schools that have St. John Township residents enrolled chose to opt into the revenue sharing. Meanwhile, Hanover school officials said they have no charter schools within their district's boundaries.

While SEA 1 limited all school referendum ballot questions to general elections in even-numbered years starting July 1, the three districts were able to seek referendum renewals this fall due to an exception included in the law for school boards that passed a resolution to seek a referendum on the November ballot by June 30.