Brainerd Superintendent Outlines Cuts After $5 Million Levy Failure
With a $3 million shortfall looming, the district considers closing two elementary schools and cutting 38 jobs.
By Nadia Rahman ·

Brainerd Public Schools is preparing for structural changes following the rejection of a proposed tax levy. Superintendent Chip Rankin stated on Friday that the district faces a budget deficit exceeding $3 million. The shortfall forces the board to evaluate difficult options to balance the books for the coming fiscal years.
Voters on Tuesday declined to approve a $5 million annual operating levy that would have remained in effect for a decade. District officials calculated that the measure would have added approximately $11 per month to the average household tax bill. Rankin explained that the district must now either secure additional revenue or reduce expenses to cover the gap.
The district’s financial strain is exacerbated by a steady decline in enrollment. Rankin noted that the student population is shrinking by roughly 640 students each year. This demographic shift has created an imbalance in grade levels, with 450 seniors currently enrolled compared to only 330 kindergartners. The loss of students translates to a reduction in per-pupil funding of about $800 annually for each child who leaves the district.
Rankin identified several factors contributing to the levy’s failure. He pointed to unfunded state mandates, such as the Read Act, which the state covers at only 20 percent of the required cost. The district must pay for remaining expenses, including teacher training. Rankin also cited the trend of parents sending children to distant online charter schools. He reported that 213 students are currently enrolled in such programs, but 113 of them have returned with no earned credits, resulting in no tax revenue for Brainerd.
Community members expressed concern about the potential impact on local families. Leaf Plested, a resident, described the prospect of cuts as a bitter pill to swallow. Roz Haapajoki, a grandparent in the district, attributed the vote to economic pressures on households dealing with high costs for groceries and gas. Rankin agreed that the current economic climate makes it difficult for residents to support additional taxes.
The board is now weighing specific operational changes to address the deficit. Rankin said the district is considering closing two elementary schools and one alternative school. These closures would require moving students to other buildings. The district also plans to eliminate 38 positions. Parents have previously voiced frustration over class sizes, which Rankin said reach 40 students in high school and 38 in middle school.
The board will convene for a work session in December to review these options. Rankin also plans to seek approval in April for a separate capital projects levy. That measure would cost each household an additional $8 per month. Only 27 percent of school referendums across Minnesota passed on Tuesday, according to Rankin, indicating a statewide trend of voter resistance to new taxes.






