School District proposes $104M budget with emphasis on staffing and funding structure

The Newberg Public Schools Budget Committee convened on April 17, 2025, to discuss the proposed budget for the upcoming fiscal year. The meeting focused on the complexities of managing the district's finances, including the challenges of restoring services while maintaining a balanced fund.

The discussion began with an acknowledgment of the difficulties in rebuilding the fund balance. Committee members emphasized the importance of intentional planning and communication to ensure that changes are sustainable and effectively implemented over time. The proposed budget document was presented, with officials noting that it was still being finalized and contained some errors that would need to be addressed.

The total proposed budget amounts to $104,070,512, reflecting an increase from the previous year's total of $99 million. This figure represents the overall financial framework for the district, although it does not indicate the actual amount available for spending. The committee highlighted the significance of understanding the budget as a "sandbox" within which financial decisions are made.

A key point of discussion was the Public Employees Retirement System (PERS) rates, which are expected to stabilize this year. The district anticipates a modest savings of approximately half a percent compared to non-bonded districts, with a current rate credit of over 13% on salaries due to a bond issued in 2003. This bond is set to expire in 2028, and its diminishing benefits were noted as a factor in future budgeting.

The committee also reviewed revenue estimates, projecting a 4% growth in local property taxes, based on conservative estimates from local counties. Other local revenues are expected to contribute around $900,000, while state funding is projected at approximately $34.6 million. The general fund, which supports essential operations such as transportation and staff salaries, is primarily funded by state revenues (57%) and local property taxes (37%).

As the meeting progressed, members were encouraged to take notes on the budget details for further discussion in future meetings. The committee aims to clarify any uncertainties and ensure that all stakeholders are informed as the budget process continues. The next steps will involve addressing questions raised during the meeting and refining the budget proposal before final approval.