MADISON TOWNSHIP — History repeated itself Tuesday when voters rejected a proposed income tax levy for Madison Local Schools.

The five-year ballot measure was the district’s second attempt at a 1.5-percent earned income tax levy. The issue generated a voter turnout rate of 31.78 percent.

More than 58 percent of electors voted against the measure, according to final, unofficial vote totals from the Richland County Board of Elections.

More than 55 percent of voters rejected a similar ballot initiative in November.

“Obviously we’re disappointed,” Supt. Rob Peterson said Tuesday night.

“I do want to say that I appreciate all the hard work that our levy committee put in on this and appreciate those who voted to support us. I think our next step is for the board and administration to get together and figure out a plan for what’s next.”

Madison Local Schools has operated in deficit spending during the past three school years, but is projected to end this and next school year with a small surplus, according to a five-year forecast approved by the board in February

Nevertheless, the district’s operating reserves are projected to run out before the end of the 2028-2029 school year without funding cuts or additional revenue.

School officials say flat funding from the state and increasing costs are all straining Madison’s operating budget.

Madison has been hit with unexpectedly high employee health insurance costs. The district also saw its bill for 2026 increase by nearly 18 percent

A recent report by the Ohio Auditor of State’s Office recommended the district negotiate a less expensive plan with its employee unions when contracts expire. 

The school board has approved several staff cuts since the pandemic in an effort to cut costs. The school board also voted in November to close Mifflin Elementary after the 2025-2026 school year.

The most recent reduction in force, which will eliminate 37.5 full-time jobs at the end of the school year, was approved in March.

According to Peterson, that brings the total number of positions cut over the last five years to 79.

The district has worked to reduce its health insurance costs by moving its coverage to a consortium and implementing a prescription coverage management plan.

In a previous interview, Peterson said he anticipated additional cuts to staff, programming and student opportunities if the levy failed.

“With each round of reductions, the cuts get deeper and are more significant in how they negatively impact the education of our students,” he said. “In addition to staffing and programming, we will have to review all of our expenditures and continue making reductions in all areas.”

Staff reporter at Richland Source since 2019. I focus on education, housing and features. Clear Fork alumna. Always looking for a chance to practice my Spanish. Got a tip? Email me at katie@richlandsource.com.