June 4, 2026
By ANASTASIA PENCHI
DE SOTO, Wis. – The De Soto Area School Board is trying to balance fiscal responsibility with one of its identified priorities – teacher retention.
The board decided during its May regular meeting that De Soto Area School District employees will begin paying part of their health insurance premiums for the first time in more than 20 years to save the district money.
“I don’t think we can afford to not do a cost-share,” said board member Jeanna Larson. “This economy sucks – that’s what it comes down to.”
The discussion about employee benefits came as the district faced rate increases of nine percent for medical and 13 percent for prescription coverage through its Quartz renewal plan. It looked at several options under Quartz and also looked at self-funding and at a United Healthcare proposal.
Board members were unhappy about the timing of the renewal offer. Board president Holly Nickelatti said it would’ve been better to look at health insurance benefits at the same time as salary contracts so board members could see the big picture.
But the district’s Business Manager Cherryl Knowles said schools are unable to get the quotes earlier and are at the mercy of the insurance industry’s timing – 60 days before renewal.
The board’s Finance, Personnel & Negotiations Committee recommended staff start paying 5 percent of premiums beginning July 1, however that recommendation was voted down by a majority of the board. Discussions then continued.
Board Clerk Teresa Christianson said the district has been paying 100 percent of health insurance premiums for staff since about 2001. She said it’s been a “20-some-year battle,” to keep the premiums fully paid by the district, and that effort has resulted in lower wages.
When hiring, the district has told applicants in the past that while the district’s pay is lower, health insurance premiums were fully funded.
Teacher contract wages will increase at 2.63 percent for the 2026-27 school year, as they were approved by the board at a special meeting earlier in May. They are based on the Consumer Price Index as required by state law.
Board member Rodney Marks worried the district might lose staff if it requires them to start paying premiums, especially because wages are already on the “lower end.”
Every other school has staff paying premiums, countered board member Tony Walker, and the savings might be enough to “save one person’s job.”
Staff members got a raise, but now the district will have to take that money back out of their paychecks, added board member Frank Ames.
“It’s not good optics,” board president Holly Nickelatti agreed. “It doesn’t feel good.”
The board talked about creating a salary schedule for teachers in the future, and noted they did add two bereavement days as a benefit for staff next year.
Board member Nicole Johnson suggested the board “split the difference” after the committee’s 5 percent proposal failed.
The board ultimately passed a plan to require a 2.5 percent employee contribution with no changes to deductibles in either its HRA and HSA plans. Changes were also made to limit HRA classes.
Voting to approve were Ames, Sue Fladhammer, Johnson, Larson, Marks and Walker. Voting against were Christianson and Nickelatti. Marc Stevermer was absent.
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