Good afternoon, Lawson Cardinals,
A legislative update message from Dr. Stephenson
As a school district, it is critical that we share information with our community about legislation being considered in Jefferson City and its potential impact on our district. We do this because we believe in providing a transparent view of how state-level decisions can and will affect our ability in Lawson to support student academic success.
To provide the academic programming and opportunities our students deserve, including both curricular and extracurricular activities, we must ensure adequate, sustainable funding.
Our funding is a partnership. It includes support from local property owners through real and personal property taxes, state funding through the foundation formula, and federal funding sources. Together, these resources enable us to accomplish the many great things happening in our schools each day and to continue meeting the diverse needs of our students.
The message shared below was sent to our nearby Missouri House Representatives, Terry Thompson, 53rd District, Josh Hurlbert, 12th District, Peggy McGaugh, 7th District, and Mazzie Christensnens 2nd District, to ensure that our district’s voice is heard as these discussions take place. While I understand there are differing opinions within our community regarding taxation and future priorities, I believe we can all agree that the education of our children is fundamental to the continued success of not only Lawson but also our region, our state, and our country.
I encourage each of you to stay engaged in these conversations and to make your voices heard. Thoughtful dialogue and community involvement are essential as decisions are made that will shape the future of our schools and our students.
Missouri House of Representatives - Email Links
Terry Thompson 53rd District
Josh Hurlbert 12th District
Peggy McGaugh 7th District
Mazzie Christensen 2nd District
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To the MO House Representatives,
As the legislative session progresses, I want to provide you with information on three pieces of legislation currently under consideration and their potential impact on the Lawson R-XIV School District. I share this information to ensure you have relevant context, not to enter into debate, but to highlight practical implications for our students and community.
One area where additional clarity is needed is the current discussions in Jefferson City regarding local school district reserve balances. Conversations surrounding district reserves appear to reflect a misunderstanding of their purpose and necessity.
I would compare a local school district's reserve balances to those recently held by the State of Missouri. As recently as last year, the state was operating with historically healthy reserves. However, subsequent decisions related to tax collection have significantly reduced those reserves, and the state is now facing the prospect of budget adjustments and potential cuts.
Unlike the state, local school districts do not have the same fiscal flexibility. We operate within funding formulas, statutory requirements, and constitutional constraints established at the state level. For that reason, we intentionally build and maintain reserve balances to weather economic uncertainty, manage revenue fluctuations, and provide stability during difficult financial cycles. Reserves allow districts to make thoughtful, strategic decisions rather than being forced into reactive reductions.
In practical terms, the only meaningful way for a school district to reduce expenditures is through staffing reductions. Those positions exist to serve students and to meet state and federal requirements. Cutting staff is not simply a budgetary adjustment; it directly impacts student services, programming, and compliance obligations.
I am hopeful that discussions currently underway include careful consideration of the long-term consequences of the actions being contemplated in Jefferson City. In my view, certain proposals could create significant challenges for local districts, particularly rural school systems that lack comparable financial capacity or alternative revenue sources.
I would respectfully encourage you to study these issues carefully and to look beyond the immediate fiscal year. The decisions being made today have the potential to affect the long-term stability and success of public education across our state.
Finally, I would draw your attention to the Hancock Amendment. Reductions in tax revenue at the state level create unique challenges for local districts, particularly given the constitutional requirement that new taxes be approved by voters. Unlike some other states, we do not have broad legislative flexibility to quickly reverse course if policy decisions produce unintended fiscal consequences.
For perspective, I would point to what occurred in Kansas following the tax policy changes under Sam Brownback. In that instance, the state legislature ultimately acted to restore revenue streams. Missouri does not operate with the same degree of flexibility, making proactive and thoughtful fiscal decision-making even more critical.
FY2025
Revenue Percentages
Local = 54.59%
State = 40.38%
Federal = 5.03%
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Reserve Fund Balance = 51.43%
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The following information pertains to the merger of HB2668 and HB2780 into a single bill under the identity of HB2780. In its current form,m our district would see an annual loss of 172,370.75 for the Lawson School District.
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HB2859: It is my understanding that the bill, in its current form, contains a provision that would eliminate personal property tax on farm machinery and motor vehicles. There is no way for us to anticipate the impact this would have on our local district, but we can assume, given our rural location, it would be VERY costly. HB2859 also includes an additional provision that would ultimately reduce the value at which personal property is assessed from 33.3% to 16% by 2041. The following fiscal impact assumes the loss our district would experience in 2041 & beyond, and uses tax year 2025 personal property valuations and tax rates. The impact is a conservative, low amount as we have NOT calculated adjustments for new personal property being added and are holding the 2025 valuation constant, NOR have we calculated any assumptions for the loss of farm machinery or motor vehicles. Based on the information we have, our current district's annual financial loss would be at least $533,082.77 for the Lawson School District
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HB2329: would create an estimated annual loss of 472,009.36 for the Lawson School District. In its current form, HB2329 reduces the personal property valuation rate from 33.3% to 18%. This impact uses valuations and tax rates from tax year 2025, and they are held at a constant for the assumptions made here. Our impact is likely much higher due to not calculating any assumptions related to new personal property.