Durango School District adopts FY26 budget, to use $1.9 million in reserves as board warns cuts likely

The Durango School District No. 9-R Board of Education on June 24 approved the district's fiscal year 2026 proposed budget and a fiscal year 2025 supplemental budget, authorizing the one-time use of approximately $1.9 million from the district's general-fund reserves to balance the operating budget.

Board members and district leaders told the meeting that the one-time drawdown is not sustainable and that further reductions to staff, programs or transfers are likely unless revenue increases materialize. The board directed staff to convene a budget review committee and to provide monthly public updates on a range of options, including personnel reductions, program cuts and changes to interfund transfers.

Why it matters: the board and staff said the district faces a structural gap. Using reserves to smooth a single year's shortfall would reduce the district's financial cushion and require either recurring revenue or deeper cost reductions in subsequent years to avoid repeated draws on savings.

Board discussion and next…