Okemos board hears early 2025–26 budget assumptions as state revenue and retirement changes loom

At its Feb. 24 meeting the Okemos Board of Education received an early briefing on assumptions for the 2025–26 budget from Executive Director Lance Lentz and Superintendent John Hood, who said the district is "very early in the budget season" and outlined how proposed state actions could increase or reduce district revenue by roughly $1.6–$1.9 million.

The presentation focused on three revenue components and several expense drivers that affect the district’s starting point for the 2025–26 budget. Lentz reviewed the governor’s Feb. 5 executive budget recommendation, noting a proposed $392 per‑pupil increase in the foundation allowance that would move most districts to about $10,000 per pupil; for Okemos that single change would be worth about $1.8 million if the executive proposal holds. Lentz also outlined a one‑time change to retirement funding tied to a temporary adjustment to the MPSERS (Michigan Public School Employees’ Retirement System) rate cap that will reduce revenue for 2025–26, and a health‑care shift in which a 3% employee health contribution would become an employer cost; the executive…