CUSD board approves budget revision after 990‑student drop; also OKs Basha track contract and seeks advanced state aid

The Chandler Unified School District Governing Board on Dec. 11 approved Revision No. 1 to its 2024–25 annual expenditure budget amid a reported drop of about 990 students in average daily membership, and voted to award a contract to resurface the Basha High School track and to petition the state for advanced payment of state aid.

CUSD Chief Financial Officer Lana Barry presented the revision and told the board that the district’s updated ADM fell from the adopted projection of about 40,702 to 40,112 — a decline of roughly 590 students since the adopted budget and a cumulative decline of about 990 compared with earlier projections. "We projected our average daily membership to be 41,102... we are now at 40,112 students," Barry said, explaining that the change reduces maintenance-and-operations revenue and is the principal driver of the revision.

Why it matters: ADM is the primary state funding driver for district revenue. Barry told the board the ADM decline and changes in weighted counts for special education reduced revenue roughly $5.4 million; carryover and one-time adjustments narrowed the net change, leaving the district’s maintenance-and-operations revenue control limit lower than previously projected. The revision complies with state law requiring districts to update budgets in December after the Arizona Department of Education finalizes annual financial reports.

Key details from the presentation - ADM and revenue: Barry said the district’s updated ADM is 40,112 and that the shift in regular and weighted special‑education counts produced a combined revenue reduction in the maintenance-and-operations fund of about $5,400,000. - Carryover and offsets: The district reported higher-than-estimated fund carryover (about $9.2 million versus an earlier $7.4 million projection) and a modest $100,000 adjustment from Proposition 123, narrowing the net reduction to roughly $3.55 million for the M&O fund relative to the adopted budget. - Special education weights: Barry described changes in weighted counts — for example, some self‑contained placements decreased while other weighted categories rose — and said private day placements (EDP) had declined, which may lower outsourcing costs later in the year. - Next steps: The CFO said this is the first of two scheduled revisions; the board will see a second revision in May before adoption of the 2025–26 proposed budget.

Board discussion and public concerns Board member Kirk Rohrs stressed the centrality of ADM to district finances: "Our ADM is the most important thing because we get paid per kid," Rohrs said during the discussion. Rohrs and other board members asked for and received clarifications on major cost categories, including that salaries and benefits account for roughly 84–85% of M&O expenditures and that substitute and return‑to‑work contracts add materially to purchase‑service costs.

Public commenters raised related concerns about student well‑being and operational pressures. Bridget Vega, a community member, told the board: "We must address teachers who dismiss suicide as no big deal," pressing the district to strengthen mental‑health supports and violence‑prevention measures. Caricia Arnold, another speaker, recounted family experience with sexual assault and urged the board to ensure principals and staff follow mandated reporting and involve law enforcement when appropriate.

Votes at a glance - 2024–25 Annual Expenditure Budget Revision No. 1 — Approved. The board moved to adopt Revision No. 1 under the statutory December revision requirement; the motion carried. - Basha High School track resurfacing — Approved. The board awarded a contract to FieldTurf USA, under the district’s cooperative procurement, for $698,817.35 to replace the asphalt base and install a new track surface. Staff described a multi‑phase schedule that seeks to preserve field availability during football season and complete the surface work before spring track season. - Resolution petitioning for advanced state aid — Approved. Under ARS 15‑973(C), the board authorized staff to request an advance payment of state aid to avoid registering warrants or issuing tax‑anticipation notes should district cash flow become negative in winter months.

What the board recorded about state aid and cash flow CFO Barry explained the district may run short of cash in February–April under current projections and advised that the board approve a formal petition to the state superintendent for advanced payment of apportionments under ARS 15‑973(C). Barry said the district would pursue the request to reduce or avoid short‑term borrowing costs; if the state does not approve the petition, the district would either register warrants or work with its financial adviser on tax‑anticipation notes.

Next steps and context Barry said the district will bring a second revision in May after finalizing fiscal‑year activity and that the finance team and budget committee will continue monitoring ADM, special‑education weights and carryover. Board members also noted the upcoming expiration of Proposition 123 funding and ongoing legislative work that could change state funding rules, and they encouraged public engagement on state‑level education finance decisions.

Meeting provenance Budget discussion and presentation: CUSD CFO Lana Barry presented the revision and answered board questions (see transcript timestamps starting at 38:35 and continuing through the board’s motion). The formal motion to adopt Revision No. 1 and the vote appear in the action‑item segment later in the agenda.