District presents draft 2025–26 budget, flags $7.8M in outstanding property taxes and proposes revised field‑trip fees

District financial staff presented third‑quarter results and an initial draft of the 2025–26 budget, telling the board that the current fund balance and revenue timing warrant close monitoring and some policy changes to reflect real costs.

Finance staff said the third‑quarter reporting (prepared through mid‑March) does not yet include about $7,800,000 in expected local revenue collected through property taxes and roughly $2,000,000 of additional state revenue, which together affect the district’s reported fund balance. “We are still waiting for $7,800,000 of local revenue, which is collected through property taxes,” a district financial presenter said, noting that timing makes third‑quarter snapshots incomplete.

Staff described efforts to increase budget granularity so each department’s staffing and expenses are visible in Skyward. That work includes moving expenses to the department that uses them (for example, copiers and transportation) and making more detailed backup documentation available to board members ahead of the public hearing.

Transportation and extracurricular travel emerged as a specific focus. Staff said the district currently collects a flat $8 fee per student for field trips regardless of destination. Financial staff identified that flat fee as substantially underestimating actual costs for longer trips that require buses, CDL drivers, multiple drivers to meet hours‑of‑service rules, or overnight lodging. “When you take more than 15 kids, you must take a big bus… The cost of that trip has just mushroomed,” a staff presenter said.

Staff proposed developing a variable fee structure priced by trip zone (short local trips vs. long regional trips) or per‑student cost that reflects actual transportation and driver costs. The board was told the district will maintain provisions to ensure no student is denied the experience if families cannot pay.

Other budget notes: - Staff recommended adopting new federal thresholds for capital equipment (raising the district capital‑ization threshold to $10,000 from $5,000) so the district can apply updated federal guidance for inventory and single‑audit thresholds beginning July 1. - The district is reviewing internal controls for purchasing cards (P‑cards); typical controls include monthly uploads of receipts, supervisor review and Skyward reconciliation. P‑card transaction single‑purchase limits are managed electronically and may be adjusted for authorized purchases. - Staff recommended making revised policies and procedures (federal fiscal compliance, inventories, procurement, auditing) final in the coming meetings to align thresholds with federal guidance and reduce administrative burden.

Staff said the district’s short‑term fund balance goal is about 7 percent and that the current draft budget conservatively assumes no enrollment growth; district staff said enrollment increases (for example, 40 newly registered students at Singing Hills) would be added later if confirmed.

Board members were told the draft budget will be published in full before the public budget hearing; any fee changes (including field‑trip fees) must be presented to and approved by the board before implementation.