Oregon City SD 62 budget committee approves 2025–26 proposed budget; board to consider adoption in June

The Oregon City SD 62 Budget Committee voted May 27 to approve the district’s proposed 2025–26 budget, a measure that sets maximum spending limits the school board may later adopt or adjust.

The action came at the end of a two-hour-plus budget review and question-and-answer session. The committee’s approval was unanimous; the motion carried after a roll-call vote in which 12 members recorded “aye.” "SO THE BUDGET HAS BEEN APPROVED BY THE BUDGET COMMITTEE," the committee chair said after the vote.

The vote sends the proposed budget to the full school board for final action. District staff told the committee the board is scheduled to hold a public hearing on June 16 and may adopt the budget after that hearing; if more time is needed the administration has scheduled an additional meeting on June 23.

Why this matters: committee approval sets legal appropriation ceilings by fund and function. "We only have permission to spend what you give us appropriation to spend by fund and function," a district presenter told the committee, stressing that spending above those limits would require further approvals.

Major figures and assumptions - Additional revenue: staff said reconciliations and state adjustments produced a $738,000 increase folded into projections (partly from year-end reconciliation and changes to per-pupil payments and weights). - Title I outlook: presenters reported the state’s preliminary forecasts include about a 7% drop in anticipated Title I revenue; district staff noted state forecasts are updated in the fall and that the budget is built on current best estimates. - Payroll timing: under a memorandum of agreement with unions, the district will pay the three summer payrolls (June, July and August) in June 2025; staff explained that paying earlier helps the district close the books and improves accuracy of the ending fund balance.

Pension and personnel costs District staff told the committee employer pension (PERS) rates set by the PERS board rose materially for the coming biennium. Presenters said the blended employer rates for Tier 1/Tier 2 and OPSRP increased significantly compared with the prior biennium and that this is a primary driver of the budget’s year-over-year increases in benefit object codes. Staff noted one offsetting timing item: a long-term district obligation related to 2004 borrowing will end in 2028, and when that payment ends roughly half of the currently budgeted PERS-related line will drop.

Bond program and capital Committee members reviewed the $6 million capital outlay figure and the larger bond program. Staff described the bond allocation method as evolving from per-square-foot estimates to building-needs assessments; they noted a requirement to spend 85% of bond proceeds by February 2028 and that contingency lines exist to smooth phase-to-phase overruns. Staff also reminded the committee that the CASE (charter) facility was not included in the last bond and therefore bond funds cannot be used for that building’s restoration.

Program-level highlights and questions Committee members pressed staff about classroom supports, student services and operations. Staff and administrators provided detail on items that are part of the proposed budget: - Class size: the district’s planning target remains 28.5-to-1; staff showed class-size distributions and said maintaining that target is a primary goal. - Structured learning centers: the budget shows higher consumable and equipment costs to support students with complex needs; staff said some increases reflect reorganizing several previously separate funding codes into a single, clearer structure. - Campus security and SROs: the district funds half of one School Resource Officer (SRO) and also employs four campus security staff at Oregon City High School; presenters said OCPD (Oregon City Police Department) has not signaled a reduction in SRO support and that SRO staffing depends on patrol staffing and retirements at the police department.

Other operational items discussed - Bus drivers: staff said driver shortages continue to limit field trips at times and that the district is actively recruiting substitutes and field-trip drivers. - Nutrition services: increased meal volumes raise both revenue and food-cost expense; the district’s contract with Sodexo runs through an RFP process and is reviewed periodically. - Legal services: staff proposed a higher legal-services line, citing new or uncertain federal and state guidance and frequent advice from Oregon School Boards Association and ODE recommending consultation with counsel on recent executive actions.

Public, board and staff process Committee members asked whether final state revenue decisions might arrive before June 2; staff said state budget actions could occur before the end of June but there was no guaranteed date the committee would know more by June 2. The administration stressed that the committee is approving maximum appropriations and that the district will not spend amounts it does not receive. As one presenter put it during the meeting, "We won't spend the money that you've approved if we don't get it; this is the maximum amount that you've agreed to allow us to spend." The committee discussed options: approve as proposed, approve with changes, or postpone to June 2; the committee chose to approve as proposed.

Formal action The committee approved the proposed 2025–26 budget by motion and roll call; recorded votes shown in the meeting transcript are all "aye." Staff said the budget will next go to the board for a public hearing and adoption.

What's next The administration will present the budget to the board at its scheduled public hearing on June 16; staff said they will return to the budget committee if material new information emerges or if state revenue assumptions change by more than the board’s delegated threshold.

The committee meeting included detailed line-item questions and staff responses; this article summarizes the substantive decisions and the principal fiscal risks and contingencies discussed.