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Board directs superintendent to recommend budget cuts

Posted 1/15/26

ELY — The Ely School Board voted Monday to direct Superintendent Anne Oelke to prepare recommendations for program and position cuts as the district grapples with mounting financial pressures. The …

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Board directs superintendent to recommend budget cuts

Posted

ELY — The Ely School Board voted Monday to direct Superintendent Anne Oelke to prepare recommendations for program and position cuts as the district grapples with mounting financial pressures.
The resolution, passed at the regular school board meeting, instructs the administration to “consider the discontinuance of programs or positions and make recommendations to the school board for the discontinuance of programs, curtailment of programs, discontinuance of positions or curtailment of positions.”
The move comes as the district faces its sixth consecutive year of deficit spending, driven by declining enrollment and increasing numbers of high school students taking courses through Vermilion Community College rather than at Ely Public Schools.
In an effort to boost revenues alongside the cuts, the board also approved hiring a grant writer, a one-year, part-time position with potential for extension if additional grants are secured.
The grant writer will research and submit competitive applications to federal, state, and private funding sources, design grant management systems, and develop long-term funding strategies to sustain district initiatives. The position will also work to build community partnerships with local businesses, foundations, and civic organizations to support district priorities.
The dual approach of seeking cuts while pursuing new revenue streams reflects the challenging balancing act facing the district.
Since 2021, Ely’s overall reserves have plummeted from nearly $2.5 million to $1.2 million with just $690,000 remaining in unrestricted fund balances. Further deficits could push the district toward statutory operating debt, which triggers state intervention.
The district has already implemented more than $450,000 in reductions for the 2025-26 budget, following over $225,000 in cuts the previous year. Those reductions included teaching and paraprofessional positions, bus routes, service contracts, and extra-curricular program funding.
The financial pressures stem largely from plummeting enrollment, which has fallen from 574 students in 2019-20 to 491 currently. Meanwhile, 38 high school juniors and seniors are taking all or some classes at Vermilion Community College through the post-secondary enrollment program, costing the district $330,000 this year.
Adding to concerns, this year’s senior class of 38 will likely be replaced by an incoming kindergarten class of only 22 students.
The district has deficit-spent for five consecutive years.