Go to main contentsGo to main menu
Wednesday, September 23, 2026 at 5:09 PM

ONE YEAR AFTER OPT-OUT, LA HAPPY WITH FINANCIAL SITUATION

ONE YEAR AFTER OPT-OUT, LA HAPPY WITH FINANCIAL SITUATION

    Though they recently completed the always-daunting task of finalizing the school budget, Langford Area School District officials say they feel good about the position the district is in. About a year and a half after asking voters to approve a significant opt-out to provide additional funding, administrators and school board members say the district is in a healthier financial position, has more flexibility to address needs and is being careful about how it uses the additional tax authority.
    The district’s current financial position is a significant change from the situation it described to voters in early 2025. At that time, officials warned that rising costs, insufficient state funding and mandated salary and benefit increases were putting increasing pressure on the General Fund. The district had already made staffing reductions and was transferring money from its Capital Outlay Fund to help cover General Fund expenses.
    Voters ultimately approved the district’s proposed $575,000 annual opt-out for seven years in the March 2025 election, with 68.5% voting in favor. Under an opt-out, a school district may collect additional property tax revenue beyond its normal levy limitations. The South Dakota Department of Revenue notes that a district does not have to use the full amount authorized by an opt-out in any given year.
    Superintendent Shad Storley said the district was essentially in “crisis mode” when officials began working toward the opt-out.
    “After COVID, money just seemed to flow in, and then all of a sudden, schools had to get back to a regular budget,” Storley said.
    The district responded by taking a hard look at its General Fund and making difficult decisions, including combining positions and absorbing responsibilities into existing staff. Those decisions, Storley said, were necessary to put the district on a more sustainable path while maintaining the quality of education it provides.
    Looking back, Storley said he is particularly proud of the district’s willingness to think differently about its finances.
    “We did some tough budget cuts,” he said. “Thinking outside the box” became part of the process, with the focus remaining on sustainability and sustaining quality education.
    Business Manager Addi Olson said the first opt-out dollars came to the district in May 2026, and the district is currently taking less than half of the $575,000 it has the authority to collect.
For the budget just finalized, the district is asking for $235,418 in opt-out taxes — the same amount it requested last year.
    “We have the tax authority to ask for $575,000 each year, but we’re not doing that,” said board president Jennifer Gustafson. “We didn’t last year, and in the budget we just finalized, we asked for the same amount.”
    Board member Brandon Alberts said the amount was intentionally based on what the district needs rather than what it is authorized to collect. “We are only taking what we need for this budget year,” Alberts said. “We don’t want to ask for more than we need. That would be bad stewardship.”
    The additional financial flexibility has also allowed the district to avoid cutting programs, according to Alberts. Officials said the district has been able to maintain programs valued by the district while also beginning to address some capital needs that had been placed on hold.
    Capital Outlay transfers to the General Fund are still part of the district’s budget, but officials said those transfers are smaller and give the district more flexibility than they had before the opt-out.
    That flexibility has already made a difference with building and equipment needs. Olson said the district was able to complete needed roof repairs last year without the same level of financial concern.
    Storley said the district can now look at projects including bleacher improvements and a potential locker room and bathroom project. The district also recently purchased a new bus.
    Enrollment has also remained relatively stable, another factor officials say helps the district plan financially.
    Alberts said Langford Area has maintained solid enrollment for roughly two decades and remains slightly above average. Gustafson said the perception that Langford is steadily shrinking does not match what the district is seeing in its enrollment numbers.
    Even with the district in a better financial position, officials acknowledge they continue to face challenges, as do most school districts in the state.  Alberts and Gustafson pointed to inflation and state funding as ongoing concerns, while Storley noted that the district has little control over costs that can be affected by legislative mandates.
    “The balancing act is getting harder and harder,” Storley said.
    Alberts said salaries make up roughly 80% of the General Fund and argued that the state’s role in setting expenses makes state funding decisions particularly important for local districts.
    “We have come to realize that the change has to be driven in Pierre, because the only lever we can pull is the opt-out,” Alberts said.
    The board said it hopes to work with future legislators on school funding issues while continuing to communicate with local taxpayers.
    Whether Langford Area will need another opt-out when the current seven-year authorization expires remains uncertain. Storley said it is too early to know, but if the financial situation remains similar to today’s, the district could seek to keep the additional tax authority in place. Gustafson said the district intends to communicate clearly with the public when that decision eventually approaches.
    Officials said the process of reaching the current financial position was strengthened by the lengthy planning and public discussion that preceded the 2025 vote. Storley said he is glad the district spent roughly a year and a half examining its options and seeking public feedback before moving forward.
    “We were able to do it and show the public we were trying everything,” Storley said. “I’m glad we were as upfront and transparent as we were.”
    Alberts said feedback from community members helped shape the district’s eventual approach.
Both the board and administration credited each other for their work during the process, emphasizing the importance of a strong working relationship between the people governing the district and those handling its day-to-day operations.
    Ultimately, officials said being in a good financial position does not mean the district can stop planning.
    Storley said the district must continue watching the future and making decisions based on what is best for students and the district. “We can’t be complacent,” he said.
    Gustafson said the board remains focused on maintaining high standards while planning for the district’s long-term future.
    “We plan to be here forever,” she said. “And we thank the taxpayers for helping with that.”


Share
Rate

Poll: ALLOWED TO BAN THE NEWS? Last week, Pres. Trump announced that he intended to bar journalists from CNN, MSNow, and Politico from the White House. Should the president be able to bar news organizations from White House access because of their reporting?
READ OUR E-EDITION