The Bellevue School District Board of Directors on the night of the meeting approved Resolution 2025-03 authorizing an interfund loan from the district's Capital Projects Fund to the General Fund to shore up cash flow through Aug. 31, 2025.

Board members approved the measure by voice vote after a presentation from district finance staff laying out alternatives and a repayment plan. The resolution authorizes borrowing up to $13 million; staff said they currently expect to draw about $10 million in three transfers: $2.5 million in June, $5 million in July and $2.5 million in August. Finance staff estimated the maximum interest cost at roughly $120,000 if repaid over 12 months and assumed a 5% rate; the presenter said the current rate was about 4.3 percent.

District finance staff described the loan as a temporary, short-term liquidity tool taken after other options were considered. "It's kind of like the last tool we have," the presenter said, explaining the district had completed a capital-projects transfer, implemented cost reductions and determined an apportionment approach would not provide the needed near-term flexibility. The presenter said the interest on the interfund loan would be paid back into the district's capital funds (reflecting the interest those funds would have earned in county investment accounts).

Board members asked for transparency and ongoing reporting. Director Monica Webster asked the district to "incorporate a graph or any associated data that's related to our repayment progress" so the community can follow the status. Director Black also requested a monthly status report showing loan status and interest payments.

The resolution authorizes district staff to draw funds only through Aug. 31; staff said any borrowing needed after that date would require a separate board authorization. The board passed the resolution by voice vote; the presiding officer announced the motion carried and said the supporting resolution and documents are posted to the meeting agenda.

The interfund loan is intended to cover near-term obligations while the district finalizes its 2025-26 budget and monitors state and federal funding timing. District staff said they will provide updates to the board as draws are made and as repayment proceeds.