# Frequently Asked Questions: November 2026 Operating Issue
Orrville City Schools is providing the following FAQ to help residents understand the operating issue that will appear on the November 2026 ballot. This information is intended to explain the district's finances, operations, and Board actions.
## What will be on the November 2026 ballot?
A 1% earned income tax for five years will appear on the November 2026 ballot for Orrville City Schools.
If approved by voters, the revenue would support the district’s day-to-day operating expenses.
## Is this a property tax?
No. The issue is an earned income tax, not a property tax.
An earned income tax is based on income earned from working, such as wages, salaries, tips, other employee compensation, and self-employment income.
## What would the earned income tax apply to?
The earned income tax would generally apply to:
* Wages
* Salaries
* Tips
* Other employee compensation
* Self-employment income
## What does the earned income tax not cover?
The earned income tax would not apply to:
* Social Security benefits
* Pensions or retirement income
* Unemployment benefits
* Workers’ compensation
* Investment income
* Disability income
## How long would the tax be in place?
The issue is for five years.
## What would the revenue be used for?
The revenue would support school operations, including:
* Classroom staffing and instructional support
* Student services
* Transportation
* Student activities
* Utilities
* Educational materials and supplies
* Other day-to-day costs associated with operating the district’s schools
The issue is for operations, not for a new building project.
## Why is the issue on the ballot?
The district’s financial outlook has changed because of state funding changes and limits on local revenue growth.
Orrville City Schools’ state funding is estimated at approximately $6.6 million, which is about $1.2 million less than in fiscal year 2024. At the same time, local property-tax revenue is expected to remain relatively flat, while the cost of operating schools continues to increase.
## What changed with state funding?
Recent changes in Ohio’s school-funding system have affected Orrville City Schools. The district was removed from the 20-mill floor, and the state funding formula is using financial inputs from 2022.
As a result, the district’s revenue is not keeping up with current operating costs.
## If property values increased, does the district receive that same level of increased revenue?
Not proportionally. Ohio law limits how much additional school revenue can be collected when property values increase. A homeowner’s tax bill may change, but that does not mean the school district’s revenue increases at the same rate.
## What has the district already done to reduce costs?
The district has taken several cost-containment steps, including:
* Eliminating permanent building substitute teacher positions
* Freezing administrator pay
* Not filling certain teaching and other positions following retirements or employee departures
* Reviewing staffing levels based on enrollment, class sizes, student needs, and program requirements
* Creating efficiencies within the nutrition service program
These steps reduce expenses, but they do not fully offset the decrease in state funding and the limits on local revenue growth.
## What could happen without additional revenue?
Without additional revenue, the district’s five-year financial forecast indicates that the Board may need to consider further reductions to staffing, programs, services, student activities, and other operating expenses.
The Board would make any future decisions publicly after reviewing the district’s financial condition, student needs, educational priorities, and available resources.
## Can the school district tell people how to vote?
No. Orrville City Schools can provide factual information about district finances, operations, and Board action. District resources cannot be used to advocate for or against the passage of a ballot issue.
## Where can residents learn more?
Residents can review information posted on the Orrville City Schools website. The district will continue to provide factual updates about district finances, operations, the earned income tax, and the certified ballot language.
Public Information Notice: This information is provided solely to explain district finances, operations, and Board action. Orrville City Schools does not use district resources to advocate for or against the passage of a ballot issue.