Board adopts 2025–26 integrated plan grant after wide budget briefing; staff warned of $2M PERS increase and 91‑student enrollment loss

The Silver Falls School District board received a detailed budget briefing and voted to adopt the district’s 2025–26 integrated plan grant from the Oregon Department of Education during the work session.

Superintendent Kim Kellison walked the board through budget pressures — enrollment declines, rising Public Employees Retirement System (PERS) costs and uncertainty in federal and state funding — and explained how the integrated plan (which combines several state and federal program requirements) underpins programs the district funds for the coming year.

Key budget points presented

- Enrollment and revenue: Kellison said the district has lost 91 students since June 2024; she described the loss as affecting state school fund allocations and multiple grants that are enrollment-driven. Staff noted several grant-funded staff (about 38 full‑time equivalent positions) are allocated through the integrated plan.

- PERS liability: Kellison said recent legislation produced some relief but the district still faces an increase of more than $2,000,000 in PERS costs for the coming year and further increases are expected in later biennia.

- Federal grants and other savings: Staff reported approximately $1,400,000 in annual federal grant revenue devoted largely to staff; they flagged the risk that federal funding could change. Kim told the board the district is relocating the community transition program back onto district property to save about $36,000 in lease costs. Kellison also said Sequoia Falls obtained a facility grant from the Willamette Health Council (staff described it as a $100,000 grant) that covers much of that program’s facility costs.

- New initiatives: The district plans an online program aimed initially at homeschool families to retain students who might otherwise leave the district; staff said they aim to have the program available by fall.

Budget process and timeline

Kellison reviewed the local budget law process and the district calendar: two scheduled budget committee meetings (May 13 and May 22), a budget hearing on June 9 and adoption requirements by June 30 to set appropriations and a property‑tax levy for the fiscal year that begins July 1.

Integrated plan overview

Kim and other staff also presented the integrated plan (the district’s consolidated application that includes the Student Investment Account, early literacy supports, high‑school success and related grants). Staff described the plan as staffing‑intensive — about 38 FTE are currently supported by components of the integrated plan — and noted the plan is partly constrained because state funding in some categories is tied to enrollment, which has declined.

Board discussion

Board members asked for clarifications about the integrated plan’s performance measures (graduation rate, grade‑level reading, attendance) and local measurement systems. Staff discussed state requirements such as the Smarter Balanced assessment (OSAS) and the district’s use of local assessment tools for ongoing progress monitoring. Board members debated the grade‑level reading target (staff presented a target near 55 percent for grade‑level reading on state measures and discussed the merits of setting higher targets and using local growth measures), and members urged the district to prioritize early‑literacy professional development and consistent curriculum across K–2.

Vote and action

Board member [name not specified in transcript] moved that "the Silver Falls School Board adopt the 2025–26 integrated plan grant from the Oregon Department of Education as presented tonight." The motion was seconded and the board voted in favor. Chair announced, "Ayes have it." No detailed roll call tally was recorded in the transcript. The integrated plan was therefore adopted as presented at the work session.

Provenance

First related transcript excerpt: "Now budget 101, Kim." (transcript block starting at 3517.68) — topicintro

Last related transcript excerpt: "Ayes have it. And with that, we will adjourn." (transcript block starting at 7558.9253) — topfinish

Ending

Staff will proceed under the adopted integrated plan and continue budget committee work and public hearings as scheduled. The board asked for follow‑up materials on the proposed early‑literacy curriculum, the integrated plan’s specific performance targets and any contingency planning tied to changing grant assumptions.