Enrollment decline shapes McPherson USD 418 budget plans

The McPherson USD 418 Board of Education unanimously approved its 2026-27 budget, keeping the district’s mill levy increase below the amount promised during the 2026 bond election.

By a 7-0 vote, the board also approved Resolution 2026-11 to exceed the revenue-neutral rate and Resolution 2026-12 to establish the district’s local option budget percentage.

During the March 3, 2026, bond election, the district told voters the bond-related mill levy increase would not exceed 4.75 mills. According to district budget documents, the increase will be 4.51 mills, raising the total levy from 52.305 mills in 2025-26 to 56.815 mills in 2026-27.

Superintendent Cody Rierson said maintaining the district’s commitment is particularly important because voters rejected previous bond proposals.

“The bond failed three times,” Rierson said.

The community ultimately approved an $89.5 million bond to fund improvements throughout the district. Rierson said officials must now demonstrate that the money will be used for the projects presented to voters.

“We now have to show the patrons we’re going to do exactly what we said we were going to do,” Rierson said.

Declining enrollment is a significant factor in the district’s financial planning because state funding is tied to the number of full-time-equivalent students. Each full-time-equivalent student generates $5,778 in base state aid for the 2026-27 school year, meaning a decline of 70 students would result in a loss of about $404,460 annually.

According to Citizen Journal’s Sept. 23 report, preliminary enrollment figures put the district at 2,023 students, down from 2,094 a year earlier. Rierson said the district’s business office had anticipated the decline while preparing the 2026-27 budget.

Rierson attributed the drop primarily to a large graduating class being replaced by a smaller incoming kindergarten class.

McPherson’s enrollment challenges are part of a broader trend. Declining birth rates are contributing to enrollment losses in Kansas and across the country, reducing the number of children entering school. According to the Kansas State Department of Education, Kansas public school enrollment declined between 2019-20 and 2024-25. Nationally, the National Center for Education Statistics projects public school enrollment to fall about 5% between 2022 and 2031.

Rierson said declining enrollment was also behind the district’s decision to consolidate its buildings.

“The reason for the consolidation was enrollment” Rierson said.

The district’s right-sizing plan calls for operating three elementary schools, one middle school and one high school. The plan is intended to align the number of school buildings with enrollment while using district resources more efficiently.

Operating four elementary schools at low capacity generally costs more than serving the same number of students in three buildings at higher capacity. Each building still needs heating, cooling, cleaning and maintenance, even when classrooms are underused.

The district has an operating budget of approximately $40 million, with about $31 million going toward salaries for certified and classified staff, Rierson said.

Per-pupil expenditures are expected to rise from $24,249 in 2025-26 to $29,581 in 2026-27. A substantial portion of that increase is tied to bond payments and facility projects.

The district has also relied on cash reserves to cover spending beyond its annual revenue. Citizen Journal reported in July that about $1 million from reserves was built into the 2025-26 budget to cover an anticipated shortfall. Consolidating elementary schools was among the steps taken to reduce costs.

The district’s financial plan calls for savings by the 2026-27 school year to keep reserves within its recommended range. Those reserves help the district cover unexpected expenses and manage the timing of state payments.

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