State of Missouri Budget Cuts: Understanding the Impact on North Callaway
The needs of our students are evolving rapidly as society continues to change. Ensuring every Thunderbird has an opportunity to succeed means adapting to changing technologies, instructional demands, and learning expectations. At North Callaway R-1, our mission is to be a district of excellence — providing Rigor, Relevance, Relationships, Responsibility, and Results — while being accountable to all stakeholders to develop leaders and contributing citizens. Schools everywhere must adapt to meet the demands of tomorrow, and the financial landscape that comes with those demands grows more challenging each year.
Please consider joining us at one of our State of the District sessions to learn more about how your advocacy at the state level is critical moving forward.
April 8: State of the District Community Forum at NCHS-Library – 5:30 p.m.
April 9: State of the District Community Forum at NCMS-Commons – 4:30 p.m. – prior to a home baseball game
Currently, Missouri ranks 49th nationally in the percentage of school funding that comes from state sources, yet ranks 3rd in its dependence on local tax dollars. Two clear conclusions emerge from this:
• North Callaway R-1 community members care deeply about their local public schools and demonstrate that care through strong support at the local level — including the passage of Propositions N and C in April 2024.
• The State of Missouri ranks near the bottom in funding support for public education.
Currently, Missouri faces serious budget challenges. State expenses are outpacing revenues, and according to reports from the state capitol, Missouri is projected to face a $1 billion shortfall by 2027. The State will not fully fund the state foundation formula for this year (2025-26) and already anticipates a lower amount per pupil in 2026-27. Additionally, the current budget proposed by Governor Kehoe does not fully fund transportation, which disproportionally impacts large rural school districts like ours.
Here in the North Callaway R-1 School District, the total cost to educate a student last year was $12,761 — actually below the Missouri state average of $15,915 per student. Of our $12,761 per-pupil cost, state funding covers only $4,035, federal funding contributes $1,135, and the remaining $7,591 — nearly 60% of our total — is carried by local taxpayers.
Per-Pupil Funding Comparison — North Callaway R-1 vs. Missouri State Average:
Funding Source | North Callaway R-1 | MO State Average |
State Funding | $4,035 | ~$6,665 |
Federal Funding | $1,135 | ~$1,250 |
Local Funding | $7,591 | ~$8,000 |
Total Per Pupil | $12,761 | $15,915 |
* Missouri state average per-pupil figures are approximate. NC R-1 educates students at $3,154 below the state average — a testament to our commitment to fiscal Responsibility.
Our community has shown what it means to put students first. In April 2024, North Callaway R-1 voters approved Proposition N and Proposition C, making a historic investment in the future of our Thunderbird students and staff. Proposition N is funding the construction of a brand-new single-site elementary school and an expanded Thunderbird Learning Center, consolidating Hatton-McCredie and Williamsburg Elementary into one state-of-the-art facility scheduled to open in August 2026.
This new building will enhance safety and security, reduce operational costs, and create more centralized programming. Proposition C has allowed us to invest in the people who make the biggest difference: our teachers. We raised the teacher base salary from $32,500 to $38,000, and we are proud to say that North Callaway R-1 is fully staffed for 2025-2026 school year. These are Results that matter.
Heading into 2026-27, we raised teachers' base salaries to the new state-mandated minimum of $40,000. This could not have happened without the passage of Props N+C. The cost savings from efficiencies of the new elementary school equated to the increase on the base for teachers. This was only accomplished due to the strong support of our community. However, in 2026-27, we are looking at reduced state revenues in both the State Adequacy Target and in Transportation reimbursement. This is a projected overall loss of $350,000 in state aid to our school district. Reductions in transportation disproportionately hurt rural school districts like ours, which cover large geographic areas and rely heavily on buses.
This message is intended to inform, but also to reaffirm our shared commitment. The Relationships between our school and community have always been our greatest strength. As we look ahead, maintaining that local support — and continuing to advocate for fair and stable state funding — will be more important than ever.
If you have any questions or would like to discuss these challenges in more detail, please feel free to contact me. Thank you for your continued trust, your votes of confidence, and your unwavering support of our schools and our children.