Random Lake school budget calls for slight drop in tax rate

The Random Lake School Board has approved a 2020-2021 budget that is expected to decrease spending by about $40,000 and increase the property tax levy by about $350,000.

Even so, the school’s equalized property tax rate will drop 3 cents, from $9.27 to $9.24 per $1,000 valuation. That’s due to a 6.5% increase in districtwide property value.

The levy hike is largely due to an increase in debt payments related to the 2014 school remodeling referendum, from $777,019 in 2019-2020 to nearly $1.6 million in the new  budget.

The increase in debt service is due to a decision to prepay some of the debt, district Business Manager Patti Degnitz said.

The actual effect on property taxes will vary from community to community, however, depending on their assessed tax rates.

Revenues will drop $173,305, due primarily to a reduction in enrollment, Degnitz said.