Alpine School District adopts FY25 final budget and approves tentative FY26 budget; board schedules truth-in-taxation hearing

The Alpine School District Board of Education on June 17 approved the district’s fiscal year 2025 final budget and unanimously adopted a tentative fiscal year 2026 budget with a recommended tax rate of 0.005553, the board president announced.

District business administrator Jason Sundberg and budget staff told the board the tentative FY26 budget reflects several notable revenue and expenditure shifts driven by state funding changes and local property values. Sundberg said the district’s total budget across all funds is roughly $1.3 billion, with about $953 million in the general fund.

The budget presentation identified the largest revenue changes as: a projected $3.3 million increase in earnings on investments, roughly $17 million attributed to increases in the Weighted Pupil Unit (WPU) calculation, about a $6 million increase to the Teacher and Student Success Act (TSSA) allocation and a roughly $7 million increase labeled “educator salary adjustments.” On the federal side, ESSA Title I funding was partially restored, increasing by about $3.4 million from the prior year’s level, Sundberg said.

The budget also reflects district cost pressures. Salary and benefits account for about 89% of general fund expenditures, and staff cited increases in group insurance and step/COLA adjustments as drivers of expenditure growth. The district projects adding about $15 million to its fund balance in FY25; the FY24 general fund balance was reported at approximately $133 million, or about 15% of annual budget.

Why it matters: the tentative budget sets the framework for the coming fiscal year and the notice the public will see on truth-in-taxation materials. Sundberg’s team also recommended board consideration of up to four additional capital levy increments to bolster the district’s building fund so the district can fund future schools and site work without bonding. Staff said if the board later approves four capital increments and reduces the debt service levy by three increments, the net impact on a typical household’s property tax would be modest — staff estimated roughly a $28.60 annual change for the combined net increment example — and that the change would appear as a 7% increase on the draft truth-in-taxation notice if the four-increment option is placed on the notice. The board set a public hearing and truth-in-taxation meeting for Aug. 5, 2025, after 6 p.m.

Votes at a glance - FY2025 final budget — Motion: Board member Wilson; Second: Board member Peterson. Outcome: approved unanimously. (Board members recorded: Wilson; Peterson; Beeson; Bateman; Lincoln; King; Clement.) - FY2026 tentative budget (recommended tax rate 0.005553; truth-in-taxation hearing set for Aug. 5, 2025) — Motion: Board member Wilson; Second: Board member Bateman. Outcome: approved unanimously. (Same board members.)

Staff emphasized several fund-level details: capital outlay fund activity is driven by lease revenue bond proceeds and upcoming construction at Saratoga Springs and Eagle Mountain; nutrition services fund balances remain above federal guidance but are decreasing from COVID-era highs (staff cited a target of roughly $7.86 million as a three-month reserve goal); student activity revenues are projected to fall about $900,000 following recent state legislation limiting some school fees.

Board members and staff discussed how the district budgets conservatively for revenues and modestly over-budget for expenditures to avoid mid-year amendments; staff said final FY25 expenditures are being reported in a way meant to avoid exceeding appropriations, which can trigger audit findings.

The board and finance staff also reviewed property-tax mechanics: assessed taxable value in the district rose from about $52 billion to $57 billion (a 9.5% increase), including roughly $1.8 billion attributable to new growth, and certified tax rates correspondingly decreased. Staff recommended the board consider four capital levy increments (staff’s recommendation) to keep a cash fund for new school construction and to provide flexibility to newly formed districts after the planned district split. Staff noted that the district currently sits above the 20-increment threshold used in state equalization calculations and that the legislative changes to increments will shorten the “hold harmless” lookback to one year.

What’s next: the board’s adoption of the tentative budget and the recommended rate sets the public notice and starts the truth-in-taxation process; the board will revisit and finalize the rate at the public hearing scheduled for Aug. 5, 2025.

Ending: Sundberg and the budget team said they will publish the budget documents required by statute and continue work with the board, county officials and the public as the district moves through the upcoming public-hearing and certification deadlines.