Hillsboro R-3 Board Reviews Preliminary Budget as District Plans for Future Needs

The Hillsboro R-3 School Board met in a preliminary work session to review the district’s proposed fiscal year 2027 budget, with Superintendent Dr. Jon Isaacson leading a wide-ranging discussion on school finances, staffing, facility needs, student outcomes, and the district’s long-term position in Jefferson County.

No final vote was taken at the meeting, and the budget remains preliminary. The purpose of the session was to allow the board to walk through the proposal, ask questions, identify concerns, and prepare for the next school board meeting, when final budget decisions are expected to come forward.

That cautious approach was an important part of the discussion. Board members and administrators were not simply looking at one year of spending. They were looking at how Hillsboro R-3 can continue serving students, supporting employees, maintaining facilities, and planning for future costs without moving faster than the community is ready to support.

Early in the presentation, Isaacson noted that the district’s tax levy is projected to be at its lowest point in roughly 30 years. He said the district has worked for years to be careful with taxpayer dollars, even as new pressures have begun to build from state-level changes, reimbursement timing, facility needs, and the rising costs of operating a school district.

One of the key themes of the meeting was that not every change in the budget reflects a major change in day-to-day operations. Some revenue changes are tied to reimbursements and accounting requirements, including money connected to HVAC work. Because certain reimbursements must be recorded as revenue, the district’s budget can appear to shift more dramatically on paper than it does in actual operating terms.

Isaacson explained that some money already received or expected through reimbursement programs is not necessarily new operating money. Instead, it is part of the timing and accounting process for projects the district has already undertaken or planned around. That distinction matters, especially for residents trying to understand whether the district is suddenly operating with significantly more money.

The board also discussed capital planning and the timing of several projects. The scoreboard is now paid off, meaning sponsorship funds tied to it can become cash positive for the district. The district also discussed purchasing two new buses, but those purchases are expected to wait until the capital fund balances out following HVAC-related reimbursement activity.

Other planned or discussed items included school resource officers, playground updates, roofing work, asphalt and curb repairs, and continued attention to safety needs. The timing of those expenses was repeatedly discussed as a major factor. District leaders emphasized that the question is not only what needs to be done, but when each project should happen so that spending lines up responsibly with available funds.

The work session also went beyond dollars and cents. Isaacson and the board reviewed class sizes, staffing levels, ACT scores, student retention, teacher retention, and comparisons with other districts in the county. Hillsboro’s student-to-teacher ratio was discussed at about 15 to 1, which district leaders described as one of the strongest ratios in the county.

But Isaacson also made clear that small class sizes are only part of the equation. The district must also remain competitive for quality employees. In one of the more direct comments of the evening, he said, “Class size matters,” but also cautioned that salary matters deeply when teachers and staff are trying to make a living and remain in the profession.

That tension ran throughout the meeting. The board wants to preserve a strong learning environment for students, but it also wants to be mindful of the families and taxpayers who fund the district. Teacher salaries, classified staff wages, benefits, career ladder funding, and staff retention were all part of the larger discussion about keeping Hillsboro R-3 competitive while staying financially responsible.

Isaacson summarized the district’s philosophy by saying that investing in staff benefits students. That idea appeared to guide much of the conversation. The board’s role, as reflected in the discussion, is not simply to spend money or avoid spending money. It is to weigh competing responsibilities: students’ needs, employees’ needs, building needs, safety needs, and the community’s ability and willingness to support them.

Facility needs may become one of the larger public conversations ahead. The district is looking toward a walkthrough with architects to identify specific needs before any final number is attached to a possible ask of the community. Those needs could include safety improvements, such as a secure entrance at the high school, as well as maintenance and upkeep for aging buildings.

The possibility of asking voters for a tax increase was discussed, but again, no final action was taken. Isaacson said he believes the district has “earned that right to ask for our kids,” while also making clear that any such request would ultimately belong to the community. Board members discussed the importance of communicating openly, explaining the district’s needs clearly, and trusting voters to decide what kind of district they want.

That may be the central question moving forward. Parents have already approached the district about the need for investment in school improvements. At the same time, board members appeared aware that any tax increase must be handled carefully, transparently, and with respect for residents.

Some of the discussion suggested that even a future increase would not necessarily place the district’s tax rate above historical levels from past decades. District leaders compared current and historical tax rates, as well as rates in other districts, to help frame the conversation.

By the end of the work session, the preliminary FY27 budget appeared less like a simple financial document and more like a planning tool for the district’s future. The board is trying to balance immediate needs with long-term stability, student opportunity with taxpayer responsibility, and facility upkeep with employee compensation.

Nothing has been finalized yet. But the work session showed a board and administration preparing for decisions that will shape not only the next school year, but the kind of school district Hillsboro R-3 hopes to be in the years ahead.

The next Hillsboro R-3 School Board meeting is scheduled for June 26, when the board is expected to finalize the budget after any final adjustments.

The meeting will be held at the Hillsboro R-3 Board Room, 10486 Business 21, Hillsboro, MO 63050.

District leaders are also expected to continue discussing the fiscal needs ahead, including facility upkeep, safety improvements, and any possible ask of the community. No final decision has been made on that larger question, and board members emphasized the importance of communicating clearly with residents before any future request would move forward.