Brookings schools present preliminary 2025-26 budget; federal Title II funds not yet released
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Summary
District staff presented a preliminary 2025-26 budget that assumes steady enrollment and flags a major uncertainty: federal Title II allocations to South Dakota remain unreleased, increasing the chance the district will use fund balance or general-fund transfers to cover special-education costs and other programs.
The Brookings School District 05-1 board received a preliminary presentation of the 2025-26 budget from Stacy Van Beek, director of business and finance, who said the district will not adopt a final budget until the Aug. 11 board meeting.
Van Beek told the board the district is assuming steady enrollment near 3,500 students for the fall while noting some outstanding applications that could alter the final count. “We will not adopt a final budget until August,” she said, adding that child-count figures are firmest in December.
A central uncertainty is federal Title II-A funding. Van Beek said the federal government had not released roughly $6 billion in grants as of July 1 and that South Dakota’s share—about $25.8 million across the state—remained unallocated. As a result, the district is planning for zero Title II-A revenue in the preliminary budget; last year the district received about $232,000 in Title II funds.
Van Beek presented fund-level details: a general-fund budget of about $29.8 million and an anticipated need to supplement the special-education extraordinary-cost fund. She said the district requested “a little over $1,000,000” in extraordinary-cost funds and received $979,000; based on recent out-of-district placements, the district is estimating about $1.2 million in extraordinary costs and may need general-fund transfers to cover the difference. At the July meeting the board approved a $30,000 transfer from the general fund to supplement extraordinary costs for 2024-25.
Capital outlay also drew attention. Van Beek said the district has near-term capital needs for the high school —roofing, plumbing and other work on the district’s oldest building—and that cash flow will be tight by 2028–29 if planned projects proceed. The district issued bonds last year for a Brookings High School boiler project and still owes about $1 million on that work. Van Beek said possible energy rebates through the project could total between $358,000 and $562,000 but are not yet confirmed and therefore not included in the budget.
Other budget notes presented to the board:
- Special education accounted for about 20% of students; child count in December showed 691 students receiving special-education services, and the total rose to about 709 by year end. - Enterprise and preschool programs are under review; preschool enrollment is near full capacity for three sections and the district is considering expansion options. - Health insurance budgeting assumed an 8% increase and dental 4%.
Board members and the public had an opportunity to ask questions; the board will vote on the final budget and set levies at the Aug. 11 meeting when enrollment and Title funding should be clearer.
The budget presentation also noted a broader concern about sustaining capital needs while maintaining classroom programs: Van Beek said the district estimates roughly $6 million in maintenance and improvement needs across older facilities over the next several years and warned of pressure on fund balances if major projects proceed without additional revenue.
