The Central Union High School District Board of Trustees on Sept. 9 adopted the district’s 2024–25 unaudited actuals and a revised 2025–26 budget after a presentation by Business Services Director Marcy Mendoza.

Mendoza told trustees the district closed 2024–25 with an ending general-fund balance of about $24.49 million, with roughly $12.58 million unrestricted and $11.91 million restricted. For 2025–26 the district projects total expenditures of about $93.61 million and a budgeted deficit of roughly $13.12 million, leaving a projected ending fund balance of about $11.36 million if assumptions hold. Mendoza reported that personnel costs account for about 75% of spending in 2024–25 and are projected to rise to about 79% of expenditures in 2025–26.

Mendoza also reviewed enrollment and average daily attendance (ADA) trends. The district expects an October 1 enrollment snapshot of about 4,055 students and projected ADA funding of roughly 3,803.87 full-time equivalent ADA for 2025–26 under current trends; the presentation noted work to increase family submissions of income-verification forms to maximize supplemental LCFF dollars.

Board action and next steps: Trustees approved the unaudited actuals and the revised 2025–26 budget by roll call vote; the audit firm will conduct the external audit later in the fall and Mendoza said she will return with the completed audit in December. Trustees also approved other routine budget-related resolutions considered during the meeting.

Aquatic center update: Mendoza reported project cost increases and recent scope redesigns to reduce cost. Phase 1 work is complete and the district expects little visible activity until bidding resumes in October and subcontractor bids are solicited; Mendoza planned to return with a guaranteed maximum price (GMP) and bid recommendation in November with the goal of beginning visible construction activity thereafter.

Other fiscal matters discussed: Mendoza presented balances for other district funds: an adult education fund, cafeteria fund (with planned deficit spending of about $1.0 million for 2025–26 and a projected ending balance near $2.2 million), a special reserve fund dedicated to the aquatic center and a retiree benefit fund (balances presented in the September report). Mendoza said current cash flow is stable and no external borrowing is planned in the next three years but cautioned that the district is engaging in structural deficit spending that will require actions to preserve reserves.

Termination of ICOE lease for childcare at Central: Trustees voted to terminate an existing agreement with the Imperial County Office of Education that had provided classroom space for a childcare center so the district can repurpose the building to expand services for students with extensive support needs (ESN). The district intends to renovate the space for ESN uses.

Why it matters: The district’s projections show a substantial near-term structural deficit. Trustees and district staff flagged personnel costs and declining ADA as primary drivers. The board approved the documents and directed staff to continue budgeting work and report back at interim budget presentations.