Issaquah board revisits bond plan, details audit findings and launches capital projects oversight committee

Issaquah School District leaders told the board at its meeting that the district has stepped up outreach and oversight as it readies a revised bond measure for the February ballot and addresses recent audit findings.

Board members and staff used a public “Funding Our Schools” forum to recount the district’s fiscal structure, explain the differences between bonds and levies, and respond to three audit findings the district has disclosed to the public: an Emergency Connectivity Fund review, a child nutrition grant review and a state auditor’s finding about bond-resolution compliance. Chief communications and finance staff said the district has responded to the grant reviews and is implementing new internal controls and reporting to reduce the risk of future procedural errors.

Why it matters: The forum was intended to clarify how local and state revenue streams work and to show how bond proceeds and levies are spent. The board emphasized transparency after the audits and described steps meant to reassure voters and potential oversight groups.

Board and staff takeaways: District staff led the forum and walked the public through operating funds, the timing and uses of levies and bonds, and why some projects remain funded from prior measures. Staff described the timeline and mechanics behind the high school project and said leftover funds in bond accounts reflect project phasing and accounting, not secret reserves.

The district’s summary of the audit work said the Federal Communications Commission (Emergency Connectivity Fund) and the Office of Superintendent of Public Instruction (child nutrition grant) offered responses during review; the state auditor’s office issued a finding about bond resolution compliance after a multi-step review. Board members noted the district self‑reported some concerns and has added staffing, improved monthly financial snapshots for capital projects and updated public construction pages to show timelines, budgets and status.

Staff also announced a new Capital Projects Oversight Committee. The district will accept community applications for the committee through Feb. 11; the committee is intended to add an external review layer for bond-funded projects and strengthen public accountability around capital spending. Communications staff also described an active outreach campaign: more than 37,000 bond fact sheets were mailed to homeowners and the district has released short videos, social posts and a podcast series about the proposal and district needs.

Board reactions and context: Several board members said they welcomed the public forum format and the chance to answer detailed questions. Directors emphasized the difference between a bond (requires 60% approval in Washington to pass) and levies (simple majority) and urged voters to use the district’s online tax-rate tool to estimate local impacts. Directors also reiterated that bonds and levies are standard components of Washington school finance rather than unusual add-ons.

Votes at a glance: The meeting included routine procedural votes. The board approved the consent agenda by voice vote and later adopted the 2025–26 school board meeting calendar as presented.

What’s next: Staff said they will continue community outreach and publish additional materials and event dates. The capital projects oversight committee application portal was announced and will be used to form the committee in mid‑March if sufficient applicants are received.

Ending: District staff urged residents to consult the district’s bond webpage for the full FAQ, the King County tax estimator and the posted project-level monthly financial reports for further details.