Hinckley-Finlayson board previews staff and program reductions as enrollment dips

Administrators told the Hinckley-Finlayson School District board that a drop in enrollment and the end of federal COVID funds have created a budget gap that could require staff and program reductions next year.

"We're drowning," said Joe Ranger, a science teacher and coach who spoke during open forum, urging the board to avoid deep cuts that would reduce electives and supports. Board chair opened the meeting by reviewing open forum rules and then turned to staff for a preliminary budget briefing.

A staff presenter outlined proposals under consideration to reach the district's 25% fund-balance goal. Options included collapsing elementary class sections, reducing elective offerings at the high school (especially classes with fewer than 10 current sign-ups), reassigning grant funds such as MTSS and student-support aid, and eliminating some positions added during the COVID period. The presenter stressed that the list was conceptual and not yet adopted.

Staff said enrollment is roughly 50 students below what the district projected, and that is the primary driver of the revenue decline. "We are about $455,870 under revenue," the presenter said, and then discussed other estimates for remaining shortfalls and the loss of leftover federal COVID dollars the district had been using this fiscal year.

Board members asked for detail on how proposed changes would affect class sizes and services. At the elementary level, staff described a scenario that would reduce a fourth-grade configuration from three sections to two and reduce first-grade sections from four to three, producing class sizes in the low-20s for some grades. Administrators acknowledged transient enrollment makes fall numbers uncertain and said they had built conservative enrollment assumptions into the draft budget.

At the high school, staff said they expect to preserve teacher headcount where possible by reallocating duties rather than cutting partial FTEs; nevertheless, many electives with fewer than 10 students would likely be discontinued, reducing options for students and complicating scheduling.

The board discussed facilities priorities as well. Staff presented two quotes to repair the high-school gym floor (roughly $240,000–$263,000). One option would use fund-balance dollars, which administrators noted would make reaching the 25% target more difficult.

Administrators also said they are investigating special-education revenue the district expects to receive and planned to have more concrete figures by the May board meeting. They listed three COVID-era positions potentially subject to review — a high-school dean role, a second nurse and district office support — and said eliminating those and several other measures could move the district toward budget balance but would leave staffing at a "very bare-bones" level.

Board members and staff discussed non-budget interventions as well: reworking the student handbook, pursuing mentoring programs that pair older students with elementary classrooms early in the year, and pulling behavior-data trends to target supports. Members suggested the administration reach out to families who left the district to better understand drivers of enrollment decline.

Staff concluded by saying they will refine revenue projections, research the details of county and sales-related revenue categories brought up in today's discussion, prepare a draft budget for the May meeting and place the fund-balance policy on the agenda for board discussion. No formal motions or votes were taken during the session.

The board expects updated revenue numbers and a revised budget proposal at the May meeting, when it may consider specific reductions or alternate uses of fund balance.