Kent School District finance staff warn of multiyear deficit; propose annual balancing targets

Mr. Pangweig, the district budget presenter, told the board that the district currently forecasts a $9.7 million deficit for the 2024‑25 fiscal year and continuing deficits in out years under current assumptions. "This year, 24‑25, we're anticipating about 9,700,000.0 in deficit," he said, and he said the forecast assumes flat enrollment and still‑uncertain compensation and inflation adjustments.

Why this matters: staff said the structural deficit would push the district's ending fund balance toward negative territory by later years without corrective action. The board policy calls for a minimum 5% unassigned fund balance; Mr. Pangweig showed models that quantify options to reach that floor. "If we make budget balancing solutions of 3,000,000 each year starting…