A major focus of the meeting was the discussion and approval of the 2025 payable 2026 property tax levy. This process involved a presentation that detailed the requirements for public meetings and comments, which are mandated by Minnesota law. The proposed tax levy was outlined as part of the broader budget process, emphasizing the need to adopt the final levy during this session. The presentation highlighted the mechanisms of school funding, noting that state legislation sets revenue per pupil, with districts able to levy less than the maximum but not more without voter approval.

The board reviewed detailed slides showing how changes in property valuations impact individual tax burdens, illustrating a 13.6% increase in property values over the past four years. For example, a home valued at $250,000 could see an increase of approximately $256 in school property taxes. Property tax credits and deferrals, such as the homestead credit refund and senior citizen property tax deferral, were also discussed as options available to residents.

After opening the floor for public comments, which required prior submission of a speaker card, the board proceeded to certify the final amount of the levy. The motion to approve the certification passed without opposition.

The meeting also included a presentation of the district’s fiscal audit, conducted by an auditor from I Berry. The district received a “clean opinion,” indicating no issues in the financial statements. The audit process involved verifying balances and testing federal awards, with a specific focus on child nutrition and Title I programs. Minor findings related to inactive student activity accounts were noted, though these were deemed easily correctable.

The discussion provided a comprehensive view of the district’s financial health, including the importance of maintaining a positive fund balance for favorable bond ratings. Trends in student enrollment and budget management from 2016 to 2025 were analyzed, showing that the district had exceeded revenue expectations while spending less than budgeted. This resulted in what was described as an ‘overaccrual’ in revenues and an ‘underaccrual’ in expenditures, benefitting the district’s financial standing.

The board also reviewed the district’s fund balances, noting a decrease in the general fund balance by approximately $700,000, yet maintaining a healthy unassigned fund balance. The impact of COVID-19 funding on financial fluctuations was highlighted, with the district adhering to a policy of maintaining a fund balance between 12% and 15%. Comparatively, the Government Finance Officers Association recommends a target of 16.67%.

In addition to financial matters, the board celebrated the notable achievements of student athletes during the “We Are Proud” segment. The NHS girls swimming and diving team received accolades for their performance in state competitions, as did the MHS boys football team for their runner-up finish in the 2025 Minnesota class 6A state football championship. The acknowledgment included certificates for athletes and coaches, creating a celebratory atmosphere with photo opportunities for families.

The meeting concluded with the approval of the fiscal year 2025 audit report and a resolution to establish combined polling places for school district elections not coinciding with statewide elections. These motions were passed unanimously.