Both the Champaign and Shelby County Budget Commissions have unanimously voted 3–0 to reject the Graham Local School Board’s resolution to reclassify five mills of inside General Fund millage to Permanent Improvement millage.
The proposal would have shifted tax revenue starting in 2026 to help cover ongoing facility, staffing, and transportation costs.
The change would also create a deficit in the 20-mill floor, which must be replaced with unvoted millage when effective rates are calculated for the tax district.
With both commissions voting against it, the plan will not move forward as proposed.
Champaign County Auditor Karen Bailey was part of the budget commission board that denied this request.
She gives a brief comment on the public hearing on Tuesday.
Graham Superintendent Chad Lensman says they’ll now review options for addressing funding needs, which could include revising the proposal, exploring a future ballot levy, or making budget adjustments.
The school district has the option to appeal the decision from the budget commission, but no timeline has been set for when that decision may come.
Until then, both parties will return to business as usual.
