Budget update: district fund balance down; special education funding falls by about $2.53 million

District finance staff presented a budget analysis at the Aug. 11 meeting showing appropriations of about $26,699,000 and a smaller fund balance than the prior year. During discussion, staff emphasized they do not want to operate out of savings: "You don't wanna operate out of your savings, which is your fund balance," a board member said. Staff explained the operational picture reflects the reduced fund balance and that the usable budget was smaller than last year. Finance staff also reported a substantial decrease in federal special-education funding. "I wish I could tell you how much. I was helping federal, allocation Not to be on a down note, but special ed funding is down $2,526,000 dollars from last year," a staff member said. Board members asked clarifying questions about where encumbrances and carryover were reported in the financial documents; staff walked through the budget analysis pages. No specific program cuts or budget-balancing measures were proposed on the record; staff noted they still awaited some federal allocations and would track expenditures and bring further updates as needed. The board acknowledged the slim fund balance and discussed the need to avoid long-term reliance on reserves.