Northeast Dubois School Board discusses budget cuts, all county entities set to lose funding
A proposed state budget could slash Northeast Dubois School District funding by up to $650,000 over the few years, potentially negating the entire annual revenue from the district’s referendum.
The school is just one of all the Dubois County entities preparing for significant changes to their revenue streams following proposed adjustments to Indiana’s property tax system. The changes, outlined in Senate Bill 1 (2025), include modifications to the farmland base rate formula and increases in elderly and disabled veteran deductions.
Under the most recent version of the bill, the Dubois County government is projected to see the largest revenue decrease. Estimates show a reduction of $348,550 in calendar year 2026, growing to $700,640 in 2027, and reaching $934,380 by 2028.
All four school corporations would see cuts due to the changes in farmland assessments and the increased homestead credit for disabled veterans and elderly.
The Northeast Dubois County School Corporation is anticipated to lose $124,570 in 2026, with that figure rising to $252,330 in 2027 and $341,230 in 2028.
Southeast Dubois County School Corporation faces similar challenges, with projected losses of $150,560 in 2026, $302,320 in 2027, and $409,300 in 2028.
Southwest Dubois County School Corporation is expected to see reductions of $104,930, $211,980, and $285,560 over the three-year period.
The Greater Jasper Consolidated School Corporation is projected to lose $172,360 in 2026, $357,690 in 2027, and $479,460 in 2028.
Local municipalities will also feel the impact. Jasper is estimated to see a decrease of $277,520 in 2026, growing to $546,040 in 2027 and $731,990 in 2028. Huntingburg faces projected losses of $72,340 in 2026, $146,490 in 2027, and $195,340 in 2028. Ferdinand is expected to see reductions of $50,740, $97,180, and $132,620 over the three years. Holland faces projected losses of $7,730, $15,350, and $21,610.
Here is the impact on Dubois County from the Indiana Legislative Services Agency as of Feb. 11
The potential cuts worry administrators about the district’s ability to maintain current programs and services.
As Northeast faces a potential budget shortfall over the next three years, options are limited on how to overcome it. “It’s just not that easy,” said Northeast School Board President Kelly Knies. “You can’t snap your finger and make up that kind of money.”
The district currently brings in approximately $700,000 per year through its referendum. However, the proposed cuts would effectively negate this entire amount, leading to significant changes across the district.
The situation remains fluid, with the final version of the budget bill yet to be determined. The first version of the bill resulted in Dubois County schools losing $4 million in funding in 2026, which was further reduced in the following two years.
“It’s been rewritten and is better, but it’s not final and we don’t know what it’s going to do,” said Superintendent Dr. Tara Rasche.
The cuts, outlined in Senate Bill 1, are part of a more significant reduction in K-12 education funding across the state. School officials are urging community members to contact their legislators and voice concerns about the impact of these cuts.
The Dubois County Commissioners recently discussed the impacts on the county and how the bill is pushing local taxing units to rely on income taxes to continue to provide the same level of public services.
Ferdinand Town Council President Ken Sicard recently wrote an op/ed in the Ferdinand News outlining the impact on the town.
