Dana, the district’s business-operations presenter, told the Tri-Creek School Corporation Board of Trustees during a public hearing that changes enacted in Senate Enrolled Act 1 (SEA 1) will reduce the district’s net assessed value and could translate into roughly $1.9 million in circuit-breaker tax-credit losses in 2026.

Dana said the district’s net assessed value used for tax-rate calculations stands at about $2,029,299,813 and that the state-level changes — which increase homestead and other deductions and raise business personal-property exemptions — will lower the amount of property value subject to school property taxes. “A budget is a plan of expenditures and revenues,” Dana said during the presentation, explaining how assessed-value changes feed into the levy and operations funding.

The nut graf: The reductions projected under SEA 1 would hit the district’s operations fund and could force adjustments to tax rates, transfers between funds, or program and staff decisions. Dana recommended the board adopt the advertised budget at a later meeting while the Department of Local Government Finance completes its review.

Most of the district’s revenue is people-driven, Dana said, noting that salary and benefits account for more than 90% of Education Fund expenditures and that the district must meet a new state minimum of 65% of state tuition support dedicated to full-time teacher compensation. He said the proposed Education Fund budget is $25.5 million and the Operations Fund proposal is $9,766,000, with a planned transfer from the Education Fund to Operations of $2,600,000 to help cover operations costs.

Dana walked the board through key technical concepts — gross assessed value, net assessed value (post-deductions), circuit breaker limits (the state property tax credits that cap taxpayer liability) — and showed modeling from a consultant, Policy Analytics, that compares a pre-SEA 1 projection of net assessed value with the lower post-SEA 1 projection. The district’s analysis shows circuit-breaker losses of about $533,000 in 2024, $645,000 the following year and an estimated $1.9 million in 2026 under the new rules.

The presenter also described program- and personnel-related pressures: utilities (NIPSCO) up about 17%; liability insurance up about 12%; and bus prices up roughly 35% over three years. A typical new large bus now costs about $190,000, Dana said. Tri-Creek operates 49 buses, including four with wheelchair lifts, and the district logged roughly 558,000 miles in the prior school year.

Dana said the district has already reduced personnel through attrition and other cuts since an unsuccessful 2023 referendum. He outlined three phases of reductions since 2023 that together trimmed more than $1.5 million in recurring costs while also pursuing revenue strategies such as a virtual academy and student fees.

The district is proposing to continue a longer cycle for bus replacement (moving from roughly 10–12 years to 12–14 years) and to purchase four 78-passenger Thomas buses using 2025 bond authorization; the district secured a letter of intent to hold spring bid pricing, with expected delivery in about two years and a cancellation option if financing is not available at time of delivery.

Dana emphasized timing constraints: the district advertises a proposed maximum levy and tax rate in Gateway, then finalizes the form 4 appropriations and bus-replacement plan at the board’s adoption meeting. He told the board he expects the Department of Local Government Finance to review and issue final decisions by the statutory deadline of Dec. 31, 2025.

Board members and staff asked clarifying questions about the assumptions on enrollment (the district’s average daily membership this year was listed at 3,286, including 38 virtual students), the calculation and timing of circuit-breaker credits, and the allowed transfer percentages between Education and Operations funds (state limit: maximum transfer not to exceed 15% of state tuition support). Dana said Tri-Creek’s planned transfer of $2.6 million would be 10.48% and that the district has historically been below county peers in percent transferred.

The hearing concluded with Dana inviting public questions; no formal amendments to the advertised budget were made during the hearing. The board scheduled adoption for its Oct. 23 meeting; between adoption and Dec. 31 the Department of Local Government Finance will review and may adjust rates and levies.

Ending: The board will be asked to adopt the form 4 appropriations, the five-year bus-replacement plan, the capital projects list and the transfer resolution at the Oct. 23 adoption meeting. The district will then await DLGF (Department of Local Government Finance) certification and any technical adjustments by the statutory deadline.