Noblesville Schools has announced that they are facing significant financial challenges and will be making targeted staffing reductions in the coming weeks in an effort to save over $3 million in annual expenses.

Reductions will be made with an eye towards minimizing any impacts on students and where possible will take advantage of not backfilling some positions when employees leave on their own.

The district is reporting a multi-million-dollar budget deficit for 2026, which has been driven by a combination of factors including:

• New state property tax legislation that will reduce funding to Noblesville Schools by millions of dollars a year.
• A large decline in student enrollment funding driven by lower birth rates, fewer school-age families in Noblesville, the high cost of housing, and more students graduating than kindergarteners starting school.
• Increasing inflation. 

Additionally, the district’s referendum, which provides approximately $25 million a year for staff and operating expenses, is set to expire at the end of 2026.

“Thanks to sound financial management and savings we are not in crisis mode right now,” shared Dr. Dan Hile, superintendent of Noblesville Schools. “But this direction is not sustainable, and changes must be made to balance the budget so that we can ensure strong financial stability into the future.”

Already over the past year the district has:

• Provided only modest salary increases for teachers and staff
• Frozen salary increases for administrative leaders and school board members
• Reduced several positions
• Renegotiated contracts
• Shifted equipment purchases
• Implemented technology efficiencies
• Maximized revenue generation

“These efforts have been helpful, but they are not enough to address the gap we’re facing,” added Hile. “Staffing is our highest ongoing cost and we must make adjustments there to realign with our current revenue.”

The district’s recent construction projects, including their expansion of the high school, have not impacted these financial challenges because schools have strict rules they must follow about how and where they can use funding.

“The construction projects were funded by bonds (loans) with no use of classroom or referendum dollars, while current financial challenges are related to ongoing operating expenses for staffing and education,” explained Hile. “The district is not legally allowed to use funds from one area to cover the other.”

Regarding the referendum, the additional $25 million in annual support approved by the community in 2018 has provided competitive teacher salaries, school safety initiatives, mental health support for students, manageable class sizes, and many of the academic, career technical, and enrichment programs the district offers.

“We will be carefully studying budget projections and needs for the future and will communicate more about the referendum this summer,” said Hile. “The community ultimately decides whether or not to pass a referendum.”

For more information on Noblesville Schools finances, visit Dollars + $ense