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Kennewick projects much smaller shortfall after state funding changes; preliminary 2025–26 deficit about $640,000
Summary
District finance staff presented a preliminary 2025–26 budget showing revenue increases from state formula changes and special-education boosts, offset by higher health-insurance costs. The district now projects a preliminary deficit of roughly $640,000, down from a previously forecast $5.5 million shortfall.
Kennewick School District finance staff told the Board of Directors that legislative changes and updated revenue estimates have reduced the district’s preliminary 2025–26 budget shortfall to about $640,000.
Why it matters: The shift narrows a previously projected multi-million-dollar deficit and affects the district’s planning ahead of a levy and the June budget adoption. Key drivers include state increases in special-education allocations and an IPD (inflationary) rate set at 2.5%, offset by higher employer-paid health insurance…
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