Lake Oswego School District officials presented a preliminary, unaudited general‑fund year‑end report showing an ending fund balance of about $6.05 million for fiscal year 2025.

CFO Mike Ketzler told the board the figure was higher than earlier projections because the district took proactive spending measures during the year and some revenue streams improved. He said the district’s balance remains below the board’s 8% minimum fund‑balance target; at June 30 the district’s reserve was roughly 5%, leaving a $3.8 million gap to the 8% target.

Ketzler reviewed several year‑end variances, including increased fiscal year costs in central computer network services driven by higher device repair costs after an external provider stopped servicing equipment, and a near‑term reliance on contractors for some psychological services. He emphasized the report is unaudited; external auditors will begin field work next week and Ketzler expects any audit adjustments to be immaterial. A finalized audited report will follow.

Board members asked for a refreshed multi‑year financial model that incorporates the state revenue forecast expected in December; Ketzler and district leadership indicated they will provide an updated projection in December after the state’s in‑year adjustments and county property‑tax data are posted.

Ketzler said the district’s approximate monthly operating cost is $10 million, and stressed that while the current fund balance is a positive outcome, restoring the reserve to policy levels remains a multiyear effort.

No board vote was required on this informational report; staff will return with updated projections and the audited results.