Moniteau School District has a proposed final budget of $26,735,955 with no tax increase for the 2025-26 school year.

The school board voted to move the budget proposal forward for public input at its Monday, May 12, work session meeting, before voting on final approval next month.

The district plan includes using $2.71 million from the existing district fund balance to make up a shortfall between expenditures and revenue. It also includes using $250,000 to maintain a reserve for unanticipated, required expenditures.

As it stands, the budget proposal would see no millage increase. The district approved a 4-mill increase last year, as well as a 3.5-mill increase two years ago.

Following last June’s 7-2 board vote to approve the increase, the millage rate is currently set at 101.38 and is expected to stay there for 2025-26.

The district’s proposal is an increase from the 2024-25 budget’s revenue of about $23.6 million and expenditures of $25.4 million. The district also dipped into its fund balance last year to cover the deficit.

Kathy McBride, board vice president, emphasized the current proposal, though up for public inspection, is preliminary. She said the finance committee has talked at length about the potential of another millage increase, but does not anticipate one.

With recent millage increases, the board has no desire for another, McBride said.

“There was discussion and, obviously, the bottom line for any school district (is) to get out of deficit or to be proactive with budget, so there should be some increase essentially. However, with increases the past several years, 3.5 two years ago, four last time, how in the world can you hit the taxpayers any more?” McBride said.

McBride also said that, with the state’s budget not yet complete, the district does not know exactly how much state revenue it will receive. Because of this, the board has had to come up with a close estimate for some areas of the budget.

“By law, we have to have our budget done next month. We will be voting on the final budget June 23. We have to have it done by end of June,” McBride said. “But the state doesn’t have to have their budget done.”

Michael Panza, board president, said the board is hoping for adequacy funds to eventually come through from the state. Previously, state lawmakers passed funds to close a gap between higher and lower income districts.

State budget negotiations are currently still ongoing.

“The board, at this time, collectively feels we just want to be good stewards of finances for our taxpayers, trying everything we can do; and that’s why we’re looking at every way to provide the best education,” Panza said. “Things are tough and we’re hoping the state comes through with adequacy money, That’s where we’re at.”

One of the biggest drivers in budget increases is health care costs. Health insurance would see a $750,000 increase.

The board voted 8-1 to move the budget proposal forward, with Christopher Stamm voting against it.