District 200 staff present FY26 budget, warn 5-year projection could cut fund balance without adjustments

District 200 finance staff told the Community Finance Committee on Aug. 12 that the proposed fiscal year 2026 budget would finish the year within the district’s fund-balance policy range but that longer-term projections show potential trouble unless the district pursues revenue or expenditure changes. Brian, a finance staff member who presented the budget update, said the district expects operating funds to start the year around $70,000,000, with revenues exceeding expenditures by about $5,600,000 in FY26 and transfers of $45,000,000 to nonoperating funds (about $42,000,000 for capital projects and $3,000,000 for debt service). He said the operating fund-balance at the end of FY26 is estimated at roughly $30,000,000, or about 32% of operating expenditures. The nut graf: The committee was shown two five-year projection scenarios. The "base" scenario — which carries FY26 assumptions forward with no program reductions — would push the fund balance down substantially in years four and five, in large part because of an increased baseline for special education. An "alternate"…