Scottsdale Unified adopts FY25-26 $404M expenditure budget; board approves personnel, contracts and policies

Scottsdale Unified School District’s governing board adopted the proposed fiscal year 2025–26 expenditure budget and approved a series of personnel, contract and policy items at its June 24 meeting.

The board voted unanimously to adopt the expenditure budget — described in the presentation as “just over $400,000,000” — after a staff presentation on projected revenues, staffing and program impacts. The board also approved personnel actions, an umbrella leave-buyout plan for district employees, multiple intergovernmental agreements (IGAs) including with Maricopa County Head Start and EVIT, and several board policies; the association agreements passed on a 2–1 vote.

The budget presentation from district finance staff noted the district is using legacy budget forms because a state budget was not yet available. Shannon (staff member) told the board the district anticipates a drop in average daily membership of about 380 students and a roughly $2.3 million reduction in the student-weighted funding account, offset in part by a 2% increase in the amount allocated per student. Shannon said the district plans to move $4.2 million from capital funds into the Maintenance & Operations (M&O) fund to cover staff increases and a payment toward employee medical insurance premiums. She also said the classroom site fund per-student allocation would increase from $792 to $842, an estimated additional $714,000.

Why it matters: M&O is the district’s largest fund and supports day-to-day operations. Shannon’s slides showed 83% of the M&O budget is for salaries and benefits and reported that roughly 85% of the M&O budget is spent directly at school campuses. The presentation broke salary allocation down further: certified staff (teachers) account for about two-thirds of M&O salary dollars, classified staff about 23% and administration (including principals and assistant principals) the remainder.

Board members pressed on staffing and how reductions would be carried out. Vice President Mike Sharkey asked whether classroom reductions reflected layoffs; Shannon said the district would not be performing reductions in force (RIFs) for this change and that roughly 60 classroom FTE reductions were achieved through normal attrition, retirements and by shifting staff when appropriate. She told the board that last year’s staffing was higher in part because of one-time ESSER funding that is no longer available.

The presentation included FTE-change percentages within M&O: approximately an 18.7% reduction at the district level and a 14.6% reduction at the school level (these percentages were presented by category in the M&O slides). The district’s total budget share funded by M&O was shown as just over 47%.

On tax rates, Shannon reminded the board that Maricopa County sets property tax rates and that the district has tried to keep its estimated tax rate flat, while also noting the need to make up a cash shortfall tied to refunds from the Quasi-Meyer litigation referenced in the presentation. A comparative slide showed Scottsdale Unified’s recent tax rate lower than many peer districts despite the district having a bond, a capital override and an M&O override.

Board action and other approvals: after the budget vote, the board approved personnel action items with an administrative amendment to a listed salary and removal of one name from the report. The board approved an umbrella general leave-buyout plan that standardizes payout rules across four employee association groups; staff said the change aligns disparate prior treatments, allows grandfathering of older agreements and is expected to be revenue neutral based on last year’s exit data. The board approved the 2025–26 association agreements after limited questions about document duplication, editorial issues and a reference to “culturally responsive instruction” in the certified agreement; Board Member Amy Carney said she wanted clarification on how that phrase is defined, and district staff replied it aligns to a component within the district’s Danielson evaluation framework.

The board approved multiple intergovernmental agreements: Amendment 2 to the IGA with Maricopa County Head Start (unanimous), a short extension and direction to continue negotiation with East Valley Institute of Technology (EVIT) on a satellite program IGA (unanimous approval of the extension), and agreements addressing EVIT participation for students with disabilities (unanimous). The board also approved Amendment A1 to the IGA with the City of Scottsdale covering school resource officers (SROs); staff described typical law-related education topics SROs provide on request (safety, e‑bikes, dating awareness) and said the district currently has one SRO sergeant and nine Scottsdale officers plus two Phoenix officers assigned to SUSD, with additional SSO staffing planned for the coming year.

Finally, the board approved second readings of several personnel- and student-related policies (GBEB staff conduct; GBEBB staff contact with students; GBP prohibitive personnel practices; JLF reporting of child abuse; JR student records). Most consent and policy items passed 3–0, with the association agreements passing 2–1.

Votes at a glance - Adopt FY2025–26 expenditure budget as presented; motion by Vice President Mike Sharkey; second not specified; vote: Donna Lewis yes, Mike Sharkey yes, Amy Carney yes; outcome: approved (3–0). - Approve personnel action items (amended salary for Luke Strohmeyer and removal of Michelle Parker); motion by President Donna Lewis; second by Mike Sharkey; vote: approved (3–0). - Approve umbrella general leave buyout plan (aligns four employee association groups); motion by President Donna Lewis; second by Mike Sharkey; vote: approved (3–0). - Approve 2025–26 association agreements; motion by President Donna Lewis; second by Mike Sharkey; vote: approved (2–1). Board Member Amy Carney voted no. - Approve Amendment 2 to IGA with Maricopa County Head Start (preschool); motion by Mike Sharkey; second not specified; vote: approved (3–0). - Approve extension/amendment and continue negotiations with EVIT (satellite program IGA); motion by board (motion language: approve IGA/extension to EVIT); second by Mike Sharkey; vote: approved (3–0). - Approve IGA regarding EVIT central campus participation for students with disabilities; motion by board; second by Mike Sharkey; vote: approved (3–0). - Approve Amendment A1 to IGA with City of Scottsdale for School Resource Officers (SROs) including clarifications on law-related education topics; motion by board; second by Mike Sharkey; vote: approved (3–0). - Approve second reads of policies GBEB, GBEBB, GBP, JLF, JR; motions and seconds by board; votes: approved (each 3–0).

What the board did not do: the board did not set a property tax rate; Shannon reminded members that tax rates are set by the Maricopa County Board of Supervisors and the district is working with county timing and estimates.

The meeting closed after routine final motions and adjournment.

Sources: Governing board presentation slides and staff remarks; staff and board exchanges recorded in the June 24 governing board meeting transcript.