The school board of Prior Lake-Savage Area Schools continues to explore cost-cutting opportunities as the district’s budget continues to take shape.
One key indicator of the district’s budget is kindergarten enrollment. At the March 24 school board meeting, Executive Director of Business Services Tammy Fredrickson shared the most recent 2025-26 kindergarten enrollment and general fund revenue numbers. Kindergarten enrollment is currently at 450 students, from 439 earlier this month, but still 36 shy of projections.
The 2025-26 general fund revenue report is currently at $120,356,825, which is about 1% lower than January’s projection.
Members of district leadership continue to explore other funding opportunities, and Superintendent Michael Thomas traveled to Washington on March 26 for a meeting with the Department of Education to see what federal guidance and state autonomy will be attached to block grants that states receive. He added that the district administration will be “pumping the brakes” on unnecessary spending for the remainder of this year and analyzing contracts and other costs for next year’s budget.
Director of Administrative Services Emily Herman reported that district leadership had the difficult task of notifying those employees whose positions were eliminated due to budget cuts. She said all affected employees were informed before spring break so that they could move forward and be competitive in the market. Detailed information will be given to the board at its April 14 meeting.
Maintenance ahead
A number of maintenance projects loom as possible aggravators to an already strained budget.
Director of Operational Services Dan Powers went through the district’s long-term facility maintenance report with the board. He pointed out that, although the report shows plans for the next 10 years, his focus is on the first two years’ projects that are the most impactful. An example is the decision to seal coat several schools’ parking lots with the hope that it will help the lots last longer.
He also discussed that priorities sometimes change due to emergencies. For example, a boiler was scheduled to be replaced this past winter at Hidden Oaks; but a desperate need came up at Jeffers Pond. They thankfully were able to use the HOMS boiler for that critical need.
Director Lisa Atkinson asked Powers about projects that are on the current report that were not on the July report. Powers pointed out that those tasks are required due safety concerns.
For example, Five Hawks needs to replace its egress doors, Glendale needs a new fire alarm panel, and the high school needs a new fire curtain in the auditorium. All of these updates are required for the buildings to meet fire codes.
Director Jessica Mason inquired about how a potential closure of a building might affect the upcoming projects list. Powers explained that if a building is closed, some projects will still need to be completed. However, if it is closed and sold, those projects may be taken off of his maintenance plan.
Powers also explained that due to the current financial climate, his priorities have shifted. He is now focusing on the life cycle of critical system items, such as the schools’ roofs and heating and air conditioning systems.
Other business
The school board also took action on the district’s insurance plan for employees. After reviewing proposals, the committee decided to continue using VOYA for health insurance and Delta Dental for dental insurance.
There will be a 5% rate increase in both health and dental premiums for current employees. There will also be a 10% increase in dental premiums for retirees that are 65+ years old. This is the first dental premium increase for district beneficiaries in 15 years.
