The Kenai Peninsula Borough Assembly on May 20 moved to delay taking final action on the mayor’s proposed fiscal year 2026 budget, ordinance 20‑25‑19, after lengthy public comment and a contentious debate over whether the borough should immediately increase its local contribution to KPB School District funding.

Public commenters — including teachers, school counselors and local parents — urged the assembly to “fund the schools to the cap.” Several speakers said teachers were leaving the district and that the lack of contract certainty was already causing staff turnover; others urged fiscal caution and strategic timing to avoid jeopardizing state funding.

Why it matters: The borough’s local contribution is a major element of the KPB School District’s operating plan for 2025‑26. Residents and school employees told the assembly that an immediate borough commitment could give hiring certainty to teachers and related staff. Assembly members, the mayor and borough legal counsel repeatedly described the decision as both financial and strategic, with potential interactions with pending state actions that could affect the district’s total funding.

What happened: Assemblymember Ryan Tunseth moved to enact ordinance 20‑25‑19. Assemblymember John Johnson then moved a substantive amendment that, as read into the record, struck certain line‑item figures and inserted higher contribution amounts (Johnson read specific section changes and numbers into the record). Johnson described the amendment as increasing local funding by approximately $4.7 million to better protect staffing and programs.

Members debated for more than an hour. Several assembly members and Mayor Michicky urged delay for strategic reasons: they said a short state window remained in which line‑item vetoes by the governor might be undone and that holding the borough funds in reserve for a short period could complement state action. Others said immediate action would provide needed certainty to teachers and families.

Procedural outcome: The assembly did not adopt Johnson’s amendment or enact the mayor’s ordinance at the May 20 meeting. Instead, members agreed to postpone action on the amendment and to add an additional public‑hearing date on the matter for June 17, 2025. The borough’s final vote on the FY2026 budget remains scheduled for a subsequent meeting.

Voices from the meeting: Barbara Haynes, a retired teacher from Homer, told the assembly, “I urge you to fund the schools to the cap.” Aaron Pierce, KPEA vice president, told the assembly he and colleagues were “steadfast in our commitment to our children” and urged local funding regardless of state uncertainty. Mayor Peter Michicky said the delay was a strategic choice intended to preserve options with the state and avoid jeopardizing other appropriations that could affect the district’s total funding.

What’s next: The assembly set an additional public hearing and a continued process on the budget. The school board’s own schedule and any state actions (including potential line‑item vetoes or special sessions) will shape whether the borough acts before June 17 or waits for further legislative movement.

Ending note: The debate exposed a sharp split between members who said an immediate local funding commitment would help retain teachers now and members who argued a short delay would better protect larger, statewide education funding that the district also needs.