MADISON TOWNSHIP — Supt. Rob Peterson said the financial state of Madison Local Schools is keeping him up at night.
“I understand people are anxious. I’m anxious,” Peterson said at a school board meeting Wednesday night. “I’m not sleeping very well at night to be honest with you.”
The Madison school board voted Wednesday to approve $2 million in cuts, effective at the beginning of the 2026-2027 school year.
Those cuts include reducing district staff by at least 26 positions, implementing pay-to-participate fees, selling district property and closing Mifflin Elementary at the end of this school year.
The district will shift from three to two elementary schools in the fall and move to grade level buildings, with PreK thru 2nd grade at Madison South and 3rd and 4th grade at Eastview.
Administrators said the cuts won’t be enough to secure the district’s long term financial future.
“These cuts are just to get through the end of next school year with a positive cash balance. We’re not looking to cut more than what is absolutely necessary,” Peterson said.
“I wish we weren’t here, but we are. I’m going to do the best I can for the district to help us get through this.”
As a result, Madison Local Schools will likely vote in December to put a new, earned income tax levy back on the ballot in May.
“We are going to look at putting the levy back on the ballot and trying to increase our revenue so that we can maintain some staffing levels,” Peterson said.
While an official vote wasn’t taken, school board members and administrators agreed that a 1.5-percent income tax — and a commitment to stop collecting a 2023 property tax levy if it passes — is the best way to go.
If approved, it will be the second attempt by the district to swap one tax for the other. More than 55 percent of residents rejected a similar proposal in November.
Treasurer says high insurance costs, property tax relief measure were financial curveballs for Madison
Treasurer Bradd Stevens said the cuts approved by the board Wednesday will save the district about $2 million a year.
Those cuts were outlined in a deficit reduction plan approved by the board in July.
Since then, Madison has been hit with unexpectedly high employee health insurance costs.
The district also saw its bill for 2026 increase by nearly 18 percent — five-percent higher than Stevens had anticipated.
The treasurer has repeatedly said the insurance costs are “bankrupting” the district. School officials at Mansfield City Schools and Lexington have also cited health insurance as an increasing financial drain.
Meanwhile, Richland County Commissioners voted in October to double the current state-funded 2.5 percent owner-occupancy credits for homeowners starting next year. The property tax relief measure that will reduce its annual revenue by more than $168,000 — which Stevens said is enough to employ about 1.5 teachers.
“That gap between a positive cash balance and a negative cash balance has grown since the summertime when the initial plan was put together for the reductions,” Peterson said. “It was about $2 million in the summer and it’s grown to about $2.8 million.”
Details on the cuts approved by the board
While the positions to be eliminated have not been announced, Peterson said the cuts will impact administrators, teachers and support staff across the district.
“I know there is a lot of anxiety out there amongst staff and in our community. I am working very hard to get the planning process started,” Peterson said. “I certainly do not have all the answers right now, but we’ll be working with staff, administration, the board, the treasurer to implement those reductions.
“I am certainly not happy to have to do those things. I wish the levy would have passed and we wouldn’t be in a position to have to cut.”
Peterson said he’s also spoken to administrators about the need to create a positive environment for any staff who may be transferred to a different building as a result of the Mifflin closure.
“I know that the last time we had to close a building, there was real difficulty and hard feelings when people moved,” Peterson said. “(Those staff) are going to be welcomed, and that is going to be priority number one.”
The district will also adopt pay-to-participate fees in the fall.
High school student athletes will pay $100 for their first sport, $75 for their second sport and nothing for additional sports.
Middle school student athletes will pay $75 for their first sport, $50 for their second sport and nothing for additional sports.
Members of high school and middle school clubs and extracurriculars will pay $25 for their first club, $25 for their second club and nothing for additional clubs, plus any club registration fees.
The board also voted to order the treasurer to take the necessary steps for the sale of the former Madison Junior High School property, located at 890 Ashland Road.
