Hocker: $25M annual M&O levy needed 'in perpetuity'

COEUR d’ALENE — The Coeur d’Alene School District may ask voters to approve a $25 million per year maintenance and operations levy “in perpetuity.”

It may also propose a school plant facilities levy of up to $5 million a year for five years.

As it stands, the district’s M&O levy must go to voters every two years. Its current two-year levy is for $20 million a year.

Superintendent Shon Hocker and other district administrators outlined financial needs and recommendations to meet those needs to the school board during a workshop on Monday.

Hocker said it’s extremely challenging to worry that every two years the district could lose part of its budget should voters say no.

About 23% of the district's operating budget comes from the $20 million annual levy.

If the levy was approved in perpetuity, it wouldn’t be necessary for the district to seek 50% of voter approval every two years.

“That will allow us to keep our programs,” Hocker said during the 70-minute meeting at Woodland Middle School.

Trustee Casey Morrisroe was supportive.

"I think it's a great idea," he said.

The board is scheduled to next meet Nov. 7 — unless it calls a special meeting before then — to discuss whether to have the proposals go to voters in March, and the appropriate ways to present them.

In August, voters rejected the district's $80 million, 10-year safety and maintenance levy, which needed 55% approval to pass. It fell short, as 5,381 people — 50.27% — voted to approve the levy request while 5,323 — 49.73% — voted against it.

Hocker said a school plant facilities levy of up to $5 million a year for five years would not address all their needs, but would be "a step in the right direction."

"I think we need to come up with some sort of bridge," he said.

Morrisroe agreed.

"I think the five-year term makes a lot of sense," he said.

If both levies were approved, the owner of a home valued at $541,146 would be paying a total of about $575 a year to the Coeur d'Alene School District. That would be about a $145 increase from the current amount.

Mike Nelson, deputy superintendent, said administrators would like to increase classified salaries starting pay to $15 per hour, as well as make other salary improvements, which would cost about $2.5 million.

The district currently starts more than 500 employees under $15 an hour.

Administrators are also proposing to increase certified salary by 5%, which would cost about $2.3 million.

In Idaho, a starting teacher makes the same salary after three years, even when earning 10 extra education credits each year.

"We would like to adjust our certificated salary schedule to provide advancement each year," according to an outline provided by the district's administration.

While Coeur d'Alene is a desirable place to live for its beauty and safety, Nelson said, "We are losing quality staff simply because of the bottom line."

He said the district, like other employers nationwide, is struggling with a labor shortage.

In 2022-23, the district experienced a teacher turnover rate of about 15%.

"The No. 1 reason people wanted to leave was pay," Nelson said.

Hocker said the Coeur d'Alene district used to pay better than other districts in North Idaho.

"That's no longer the case," he said.

Jeff Voeller, district director of operations, said while voters rejected the $80 million levy earlier this year, "that doesn't change our need. It's still out there."

He said the current backlog of maintenance is about $25 million. That is projected to increase to $60 million in the next five years.

He offered an example of the district being unable to afford to replace a cooling tower for air conditioning at Fernan Elementary School.

"We just don't have the funds," he said.