Frequently Asked Questions

Click one of the questions below to expand the answer.

◾ What is the operating levy proposal on the November 4, 2025 ballot?

◾ Why are the NPAS asking voters for this funding increase?

The New Prague Area Schools, like all MN school districts, relies on voter-approved referenda for operating and special capital project funds. Funds generated from local operating referendums help to pay for the cost of student learning activities and day-to-day operations, including salaries and benefits of employees. Funding from the state has not kept pace with increasing costs, and districts are needing to conduct operating levy elections to provide the needed funding.

◾ How did the School Board make the decision to go to voters for an Operating Referendum in the Fall of 2025?

The NPAS school board and administration have been discussing the possibility of asking voters to consider another operating levy for about two years. Along with these discussions, the district conducted a community survey in spring 2025 to learn more about community perceptions. The initial levy amount was lowered to $2 million per year to better align with community input. The district also decided not to include a bond referendum in the election based on the feedback received through the survey.

◾ How will the district benefit if the Operating Referendum is approved by voters?

◾ What is the tax impact of the Operating Referendum?

◾ How does the value of agricultural property apply to this Operating Referendum?

◾ What other steps has the district taken to manage its budget?

Revenue from the additional operating levy will help to stabilize the district’s budget for the next several years. Prior to the start of the 2023-2024 school year, the district’s general fund budget was reduced by $3,449,000 with an additional $3,020,000 reduced for the 2024-2025 school year. The district also made over $500,000 in cost containments this past spring in preparation for the 2025-2026 school year, bringing the total reductions to approximately $7,000,000 over the past three academic years. The general fund is the district’s largest budget and includes the costs to cover employee salaries and benefits. The major categories of past budget reductions included:

Elementary classroom teaching and support positions
Middle and high school classroom teaching, including the elimination of the middle school model
Non-certified positions (paraprofessionals, clerical staff, etc.) at all levels
Reduced activities at both middle and high school levels
Reduced transportation services
Reduced technology positions and changed the computer replacement cycle
Reduced district and school-level administration
Made changes to facilities operations to reduce costs

◾ Does the NPAS have a current Operating Referendum and if so, what are the details?

◾ How does the NPAS’ current Operating Referendum compare to school districts through the state of Minnesota?

◾ Does the NPAS have a current Operating Referendum, and if so, what are the details?

◾ How is this ask, different from the NPAS’ 2023 referendum?

In the Fall of 2023, the NPAS asked voters to approve an increase to the current operating levy of $450 per pupil for 10 years. If passed, the operating levy would have provided an additional $2 million dollars per year to the NPAS’ Operating Budget starting in FY 2024-25. This additional revenue would have helped to maintain high levels of programming and avoid future budget reductions.

◾ How is this ask, different from the NPAS’ 2022 Referendum?

In the Fall of 2022, the NPAS local voters to consider the following questions:

Question 1: Revoke the existing referendum of $246.70, scheduled to expire after taxes payable in 2023, and replace that authorization with a new authorization of $621.70 per pupil for six years.
Question 2: Proposed a capital projects levy authorization to raise approximately $1.5 million dollars over six years with money used to provide funds for the purchase, installation, and maintenance of technology to support student learning, technology support staff, network infrastructure, and operational software.

◾ Why would the NPAS ask for a tax increase when the City of New Prague is building a new Police Station?

It is true that both the city’s decision to construct the police station and the district’s request to increase its operating levy would mean an increase in property taxes for many residents. There are also a few big differences that are important to understand:

The district does not have the option to construct facilities or increase its operating budget without seeking approval from residents. Districts are required to conduct a bond or operating levy election and get approval from taxpayers before the district receives any additional funds.
The school board must approve a resolution authorizing the election. At its meeting in June 2025, the NPAS board approved a resolution to ask residents to consider the increase in the operating levy.
Districts are required to follow the process and timelines for scheduling a referendum election. The district has very little flexibility and must closely follow the process established by the state.

While not legally required, NPAS also prioritizes seeking community input to inform decisions related to referendum proposals. Along with ongoing conversations with staff, parents, and community groups, the district conducted a community survey in May 2025 to solicit additional insight from residents. Results from the survey informed the referendum amount, which was lowered based on community input.

◾ What does the inflation factor mean for my property taxes?

Every year this levy will be increased by a percentage determined by The Minnesota Department of Education based on the Consumer Price Index. This increase applies to this levy only and will not affect other levies. From 2016 to 2021, the average annual increase was 1.8%. In 2022 and 2023 the increase was 7.2% and 6.3% respectively. Current estimates show an average increase of 2.4% over the next seven years.

Example: For a $350,000 home with an increase of $19.29 per month, a 2.4% increase would result in an increase of $0.46 per month.

◾ Why do the NPAS need to ask for additional funding when they already cut $3.1 million dollars from their budget in the Fall of 2023?

◾ If this levy request passes, will some of the $3.1 million dollars school year 23-24 budget reductions be brought back?

Almost $1 million dollars of the $3.1 million dollars adjustments were one-time adjustments and most of these cannot continue into the 24-25 school year (i.e. the purchasing of a school bus). Additional funding will allow the NPAS to maintain small class sizes, instructional technology, supports for underachieving students and social-emotional supports, as well as avoid future budget reductions.

◾ If the referendum does not pass, will there be additional reductions and what will be reduced?

If not approved, further structural budget reductions will be required that will potentially impact class sizes; increase the walking distance to and from schools for students at all levels; and reduce our ability to provide much needed social-emotional supports as well as intervention supports to students who are behind grade level expectations. As a point of reference, if this referendum does not pass we will need to make at least $1 million dollars in reductions for the 2024-25 school year. The reductions would continue in future years, increasing each year.