Can cuts to activities solve the New London-Spicer School District finance challenges?

Over the past several years the New London-Spicer School District has been engaged in  significant budget reduction conversations. Between 2019 and this school year, we have reduced our budget by $1.5 million by providing early retirement incentives, increasing class sizes, extending bus route times, reducing staffing, negotiating pay freezes, and other actions. Without additional revenue, we anticipate an additional $935,000 in budget reductions for next school year, and more in future years.

We have solicited feedback about our current situation through surveys, staff and parent meetings, task force meetings, and several community meetings. On occasion, it has been  suggested that the school district eliminate athletics or other extracurricular activities.

At first blush, that recommendation seems to make sense. However, when you dive into the outcomes of those decisions, second thoughts emerge. There is much to consider when eliminating student opportunities  and the impact they can have on the budget.

During the 2021-2022 school year, districts throughout the state of Minnesota will receive $6,728 per student in state aid. While this may seem like a substantial amount of money, it doesn’t quite balance the budget. Beyond that, when we are faced with balancing a budget, we often look at areas that may not have a huge impact on students.  But when an activity is eliminated, there is great risk that a student may choose to attend another school district that continues to offer the activity. 

For example, if budget reductions forced the school district to eliminate a sport like football (don’t worry, we’re not proposing that, and we won’t), students who want to continue playing the sport would have to choose between staying in the district or attending another district that offers the sport. If the student chooses to leave so they can continue playing the sport, the $6,728 would follow that student to the new district.

Football is an expensive program to operate. We budget just over $80,000 for it annually, and after factoring in the $36,000 of revenue generated by the program, by cutting it, we would save $46,000. However, if seven students left our school district to play football in another district, we would lose $47,000. It’s not hard to imagine many more than seven students leaving to play football elsewhere. Which would generate an even larger loss of student funding which would necessitate additional budget reductions.

Whether it’s football or another sport or activity, there are other factors to consider. These activities are educational. They help students learn teamwork, leadership, social skills, sportsmanship, and more. They also help build community, both among students as well as the broader community. 

Finally, the impact of activities on our budget is not that great. We have nearly a $1 million hole in next year's budget. Yes, every little bit helps, and some extracurricular activities will likely be cut. This will not solve our problem alone - more cuts will be necessary unless more revenue is generated. So, can cuts to activities solve the New London-Spicer School District's finance challenges? The short and simplified answer to that question is, no.