New Berlin board approves preliminary 2025–26 budget centered on conservative state-aid assumptions and one-time capital funding plan

The School District of New Berlin on Tuesday approved a preliminary 2025–26 budget built on conservative assumptions about state funding and enrollment and including a proposed one-time $6 million capital maintenance transfer to Fund 41.

Patrick, the district budget presenter, told the board the administration built the preliminary plan assuming a maximum 15% reduction in state aid "because of the unknowns in the state budgeting process." He said the district also projected a net increase of 24 full-time-equivalent students for revenue-limit purposes, in part due to four‑year‑old kindergarten additions and changes in the three‑year rolling enrollment average.

The administration presented two approaches for addressing projected operating pressure tied to debt and potential state-aid reductions. The favored option would move $6 million to Fund 41 as a one-time capital maintenance investment to reduce recurring operating impacts and avoid repeated year-by-year drawdowns of fund balance. Patrick said, "A one-time is our best option to mitigate state aid reductions." The administration said the approach was consistent with board direction provided earlier in the year.

On levy and tax-rate estimates the district presented a conservative scenario: an approximate 9% increase in the overall levy and a projected mill rate rise to about $6.31 per $1,000 of equalized value — a roughly 42¢ per $1,000 increase that the administration estimated would cost about $142 annually on a $350,000 home under the assumptions used. The administration emphasized the numbers are preliminary and will be updated after the district receives the third‑Friday pupil count, equalized property values on Oct. 1 and final state aid on Oct. 15.

Board members asked clarifying questions about equalized value versus local assessments and the timing of final budget figures. Superintendent Joe Garza and Patrick said final adjustments will be presented at the annual meeting in September and the final budget in October.

The board moved to approve the preliminary budget so administration can begin spending for the fiscal year; the chair called for a show of hands and announced the motion passed.

Speakers who addressed the budget included Patrick (budget staff), Joe Garza and board members. Quotes in this article are drawn from the public meeting record.