Our Challenges

A growing gap between state funding and student needs

We’ve trimmed the budget—now we must preserve the quality of our education.

Last fall, the DGF operating levy referendum missed passing by just 33 votes. As a direct result of that shortfall and continuing economic pressures, the district was forced to implement more than $1,000,000 in budget cuts for the 2026–2027 school year across the District.

Over the past few years, the school district has cut the following:

  •  Multiple teachers across the Elementary, Middle, and High School, increasing class sizes and reducing elective offerings

  • Reduced Administration, District office staff, Tech staff, and we also Combined the Transportation and Building and Grounds Directors into one position.

  • Bus routes, activity bus and expanded walk zones

  • Various coaches / advisors across the District

We work to control costs in many ways but despite our best efforts to manage costs, the district still faces future deficits that will force additional reductions over the years to come — putting at risk the programs, services, and staff our students count on.

Smiling students and parents on a red wagon vehicle.

Why is DGF School District facing a deficit?

We rely on the state for the majority of our funding. In 2024-2025, this made up 89% of our total revenue. Unfortunately, the formula that determines the amount of funding DGF receives has not kept pace with inflation for over 20 years.

Today, we receive about 19% less per student than we did in 2005 (adjusted for inflation).

With funding falling short, schools like ours have only two options to balance the budget each year. The quickest is cutting spending — something we’ve already done. But the more we cut, the more it hurts what matters most: students, elective classes, staff and support programs. That means fewer teachers, bigger class sizes, and fewer opportunities for students in and out of the classroom.

The only other option is to seek alternative sources of funding. That’s why on Nov. 3 2026, DGF Schools will ask voters to consider a local operating levy to stabilize district finances and keep our schools ready to meet student needs.

We’re not the only district facing these challenges. Across Minnesota, a record number of districts are proposing new or renewed operating levies to their voters. Find out why 👇

Smiling student using a touchscreen laptop while facing the camera.