Effects of the Revenue
Caps on Wisconsin's
School Districts,
1997-98 School Year

Significant Findings in 1997-98

The most significant findings of this year’s study follow.

  1. Districts experiencing a decrease in student population continue to report more cuts than districts with stable or increasing enrollments. This could become a more serious problem in the future because enrollments in Wisconsin’s public schools are expected to peak in 1999 and then begin to decline (see point 2, following Table 1). In 1997-98, the following areas were the most likely targets for cuts:
    (1) delaying building maintenance or improvement projects (48.9%),
    (2) spending less for improvements of buildings and grounds (47.9%),
    (3) spending less for maintenance of buildings and grounds (45.3%),
    (4) delaying/reducing purchase of computers and other technology (44.1%)(1) ,
    (5) increasing administrator workload (42.8%),
    (6) delaying/reducing hiring of new staff (35.4%), and
    (7) using the fund balance to support the budget (35%).
  2. In 1997-98, 84% of districts report making at least one cut in programs or services to comply with the revenue caps. On average, districts made between five and six cuts.
  3. There has been a steady increase in the number of districts using their fund balances to support the revenue caps. In 1993-94, 20.8% used the fund balance; 35% did so in 1997-98.
  4. There were 269 written responses to the question, “In a sentence or two, describe the impact of the revenue caps over the past four years on your school district.” The vast majority of superintendents gave specific examples of ways that the revenue caps were harming programs and services. Many said they were struggling to maintain the status quo, and not able to make needed improvements. Even among those who said the revenue caps had not been harmful, many wrote that they expected problems in the future.
  5. Nearly one-half of superintendents (47.9%) favor repealing the revenue caps. Less than 10% would like the law to remain in its current form.
  6. Eighty-seven percent of superintendents say they would like school boards to have more flexibility to exceed the caps. Two-thirds of superintendents favor keeping the revenue caps if there are greater increases in spending allowed from year-to-year.
  7. Almost two-thirds of superintendents favor the use of alternative taxes, such as sales or income taxes, to support public education.

Back to Table of Contents