Shelby Schools' 7.5 mill, five-year levy for new operating money failed in Tuesday's election with two-thirds of the voters saying "no".

The issue would have generated $1.4-million a year to partially offset a $2-million cut in state funding.

The overwhelming defeat does not deter Superintendent Tim Tarvin.

He knows Shelby residents support their schools, it's just a matter of trying a levy they can afford.

He says discussions with the staff and school board have already started on the possibility of putting a levy on the ballot in May, whether it's for the same amount of money or less, depending on community input before the filing deadline in February.

Tarvin has no plans to make sweeping budget cuts during the school year, but says reductions would be needed without new revenue.