Higley Unified board approves FY2026 proposed budget, includes $2 million adjacent-ways levy for Williams Field traffic improvements

Higley Unified School District’s governing board on Monday approved a proposed fiscal year 2026 expenditure budget that includes a one-time $2,000,000 adjacent-ways levy intended to fund traffic-flow and safety improvements near Higley High and Williams Field campus.

The board voted 5-0 to approve the proposed budget, which district staff presented as the next step toward the district’s formal adoption on June 24. The presentation emphasized uncertainty in the state K–12 budget, a possible missed June state-aid payment and the district’s cash reserves to cover payroll in that event.

The proposed levy would be collected as a one-time increase to the primary property tax rate and was presented as producing an estimated 19¢ per $100,000 in assessed value for fiscal 2026. "What that means is we will potentially miss that June state aid payment, which is cash for our district," district staff said during the presentation, noting reserves would cover payroll if the state payment does not come through.

Why it matters: District officials said the $2 million levy would pay for a traffic-flow redesign intended to reduce dangerous drop-off queues on Higley Road at Higley High/Williams Field campus. The project plan discussed by staff includes adding a traffic signal at a north entrance by the pool parking lot, creating two travel lanes behind the pool, double lanes in front of the school for drop-off, removing a median to add queuing/storage, adding a right lane from Harrison to Ivanhoe, and other intersection changes the town of Gilbert requested. The district said Gilbert has given verbal approval for the plan and may contribute funding.

Key facts presented - Proposed adjacent-ways levy: $2,000,000 (one-time) - Estimated tax impact: 19¢ per $100,000 in assessed value (fiscal 2026) - Proposed total expenditure budget (district statement): approximately $117,090,813; the revised FY2025 figure presented earlier was $126,358,177 - Transfer from M&O (Maintenance & Operations) to capital to cover a middle-school lease: $3,550,000 (principal and interest for FY26) - Anticipated FY26 ending budget-balance carryforward: $17,000,000 (presented as an estimate) - Average teacher experience (HUSD): 9.7819 years; state average cited as 9.5323 years - Enrollment change noted: roughly a 300-student drop in average daily membership (about a 3% decrease)

During the presentation district staff emphasized several uncertainties: the state had not yet finalized a 2026 K–12 budget, and the district is assuming a 2% statutory inflation adjustment tied to the GDP price deflator. Staff also noted a reduction in Arizona State Retirement System rates that should lower employee payroll deductions and the district’s employer contribution. The presenter said civil drawings and permitting were being prepared and that most of the larger Higley Road construction would be scheduled for summer 2026 when students are not on campus.

Board discussion and votes Board members asked questions about the levy process and tax-notification steps. District staff explained that the adjacent-ways levy is processed through the proposed-budget approval and that a “yes” vote on the proposed budget would include the levy; staff described the truth-in-taxation paperwork as part of the proposed-budget materials. A motion to approve the proposed expenditure budget for fiscal year 2025–26 passed, the board recording "Motion carries 5-0." The board also voted earlier to approve minor edits to the district’s override-argument text by consensus (5-0) before taking a separate vote on a resolution to support a special maintenance-and-operations override election. The resolution to adopt the governing board’s support for the special M&O override election passed 3-2.

Context and next steps District staff said the levy is intended as a one-time measure expected to satisfy project needs for several years; staff acknowledged the total Higley Road project cost would be “several million dollars” and that funding would likely be shared with the town of Gilbert. The board is scheduled to revisit adoption of the budget on June 24. Staff said they may return in December for any necessary revisions tied to state action or updated enrollment and assessed valuation figures.

The budget presentation also reiterated priorities the board has discussed previously: protecting classroom resources amid enrollment declines, monitoring substitute and overtime costs, and maintaining capital projects such as HVAC and other systems to avoid facility failures. Board members and staff framed the levy and capital transfers as part of balancing short-term cash needs with longer-term capital and safety investments.

Votes at a glance - Proposed FY2026 expenditure budget (including $2,000,000 adjacent-ways levy): motion moved by Mr. Glover; second not specified in the transcript; outcome: approved 5-0 ("Motion carries 5-0"). - Minor edits to the governing board override-argument text (formatting and sentence change to phrasing about preventing "phase 2 cuts"): approved 5-0. - Resolution adopting the governing board’s support of a special maintenance-and-operations budget override election: outcome approved 3-2 (recorded as "Motion carries 3 2").

Sources: Board meeting presentation and discussion; district staff presentation on FY2026 proposed budget and adjacent-ways levy; board roll-call votes recorded in the meeting transcript.