St. Louis Park board approves midyear adjustments for community education and school nutrition

The St. Louis Park Public School District board on April 22 approved midyear budget adjustments for the Community Education and School Nutrition funds, voting 7-0 to accept the changes ahead of the June full-budget adoption.

The midyear review showed a $686,000 increase in Community Education revenue, largely driven by higher-than-expected tuition and fees, and a $535,000 increase in related expenses; the net result is a $357,000 increase to that fund's balance. School Nutrition revenue also rose, driven by updated federal and state reimbursement rates and higher participation after Minnesota's free-meal policies took effect; school nutrition expenditures increased by roughly $169,000, mostly for supplies.

Board members and staff framed both funds as restricted outside the general fund. District staff said the Community Education and School Nutrition funds cannot be transferred to the general fund under current law; if either special fund runs a negative balance, the district must move general fund money into that fund to cover it. Staff also said the district has categorical funding and a tax levy that supports Kids Place and students with disabilities who participate in Community Education programs; that revenue has been applied to support additional staffing for students with special needs.

Board discussion emphasized conservative budgeting and cost containment steps taken by program managers, particularly in Kids Place preschool and expanded site offerings. Staff said they had held back hiring while gauging program enrollment and later used wait-list participants to add staff once enrollment supported the change.

The board approved the midyear adjustments with a 7-0 vote. Staff said next steps are to incorporate these changes into audit preparation and bring the full fiscal year 2026 budget forward for review on June 10 and for final approval on June 24.

Clarifying details recorded at the meeting included: Community Education revenue up $686,000 and expenses up $535,000, producing a $357,000 increase to the fund balance; School Nutrition expenditures up approximately $169,000; school nutrition and community education funds are separate from the general fund and generally may not be transferred into the general fund under current law; the district receives state and federal reimbursements for school meals and maintains a tax levy for Kids Place special-education supports.