Questions and Answers about the May 6, 2025 Referendum

Why does Hamilton Community Schools need an extension of the operating referendum?

The operating referendum is set at 44 cents, but the current rate is 39 cents—saving taxpayers money. 63% of the funds go to salaries and benefits ($1.5 million). Without the referendum, staffing, student programs, maintenance, and capital improvements would be cut, potentially making it impossible to operate.

If HCS closed, wouldn't my taxes go down?

Not necessarily. Another school corporation would absorb HCS taxpayers, and that district might have higher or lower tax rates. Either way, you will still pay school taxes.

Doesn’t the state fund schools? Why do we pay property taxes?

The state funds schools per student via the education fund, which covers salaries and benefits. Property taxes fund the operating fund, which covers transportation, insurance, and maintenance. The operating fund borrows from the education fund due to shortages. The referendum supports both. HCS enrollment is currently up to 412 students.

Why propose a referendum now if it’s good through 2027?

The state has made it harder to pass referendums. Securing the rate now ensures financial stability for eight more years to support growth and community value.

Will my taxes go up if I vote YES?

No. The tax rate remains at 44 cents. Unless your assessed property value increases, your school taxes stay the same.

The ballot language says taxes go up. Why is that?

State law requires misleading language. The ballot will imply a tax increase, but the truth is your rate stays the same. The “increase” refers to the original increase voters approved in 2019. Voting YES maintains the current rate for eight more years.

Where does the remaining $894,000 go?

These funds support programs like IMPACT (career and technology), school supplies, maintenance, capital projects (e.g., roof repairs, technology, safety upgrades, bleachers, and more).

Why not cut administrators to save money?

HCS operates lean. The superintendent also serves as transportation director. One principal, one assistant principal, one athletic director, and a curriculum director/grant writer manage the entire PK-12 district. The superintendent's secretary position was eliminated to save money.

Can’t the budget be trimmed?

HCS ended fiscal year 2024 with a $300,000 surplus, thanks to favorable interest rates secured through the local bank.

Why not use the Rainy Day fund instead of a referendum?

The state recommends 18 months of cash in reserves. HCS has about $2 million—insufficient to sustain operations long-term without referendum support.

How do I vote on May 6?

Vote at your regular polling location. You must live in the HCS district and be a registered voter.

What about the new daycare—are my taxes paying for that?

No. The daycare is self-funded by parent fees. It was started through a partnership with the town to meet urgent community needs.

Why should I support HCS if I don’t have children in school?

HCS adds stability and value to the community. Good schools boost local property values and help attract families. Staff support local businesses, and many community members once benefited from public schools funded by others. It’s a way to give back and invest in Hamilton’s future.