Higley Unified School District reviews $116M budget amid enrollment decline and expenditure concerns

The Higley Unified School District (HUSD) is facing significant budget challenges as it prepares for the 2026 fiscal year, with a projected budget decrease of $9.2 million. During the Governing Board meeting on March 4, 2025, Mr. Moore presented the third review of the maintenance and operation budget, highlighting key factors influencing the district's financial outlook.

One of the primary concerns is the anticipated decline in Average Daily Membership (ADM), with a projected decrease of 300 students. This trend reflects a broader national issue of declining enrollment in public schools, which has been echoed by neighboring districts. The district is also grappling with the phase-down of its Maintenance and Operations (M&O) override, which is set to decrease funding significantly over the next two years.

Mr. Moore emphasized the importance of legislative developments, particularly regarding the Aggregate Expenditure Limit (AEL) and the potential for tax credit dollars to be used for capital items. He expressed hope for a permanent solution to the AEL issue, which has previously required annual exemptions. Additionally, the district is looking to manage costs through various measures, including a proposed pay freeze for the upcoming year.

The meeting also featured discussions on community engagement, with a recent survey revealing parents' priorities regarding budget cuts. While there was a strong desire to protect teacher salaries and classroom sizes, the survey indicated a willingness to consider reductions in other areas, such as arts programs. However, concerns were raised about the clarity of the survey questions and the potential impact of cuts on student programs.

As the district navigates these financial challenges, the board is considering options for a potential election in November to address funding needs. The upcoming months will be critical as HUSD works to finalize its budget and explore strategies to maintain educational quality amidst fiscal constraints. The board's decisions will have lasting implications for the district's ability to provide resources and support for its students and staff.