Portland Public Schools leaders told the board on Oct. 28 that the district has moved its planned adoption date for the 2026–27 budget to June 23 to make room for an extended TSCC review and additional community engagement.

Chief Financial Officer Michelle Morrison said staff prepared a redline budget calendar that preserves more time for community review while allowing the Tax Supervising and Conservation Commission the time it needs to review the materials. "In order to accommodate all of it, we had to reschedule our adoption date back to June 23," Morrison said.

Nut graf: The calendar change comes as staff reported early estimates that project a roughly $50 million shortfall for fiscal year 2026–27. Board members and staff discussed ongoing spending controls, hiring restrictions and the timing of state and federal revenue forecasts that will shape final decisions.

Morrison outlined current conditions: the district's independent auditors completed three weeks of on‑site field work; the general fund balance target of 5 percent has been met for the closing fiscal year; and the district published an unaudited fourth‑quarter report used to form the starting point for current‑year assumptions. She also summarized district spending controls: hiring is restricted for many vacant positions (student‑facing roles continue to be filled according to staffing formulas), and purchases for goods and services require higher‑level approval.

On revenue assumptions and timeline, staff said they expect a state revenue forecast on Nov. 19 and district‑specific PERS employer rates for the 2027–29 biennium in December. Morrison said early estimates show a smaller-than‑previously‑projected gap (district materials earlier modeled a shortfall over $70 million), but that a $50 million gap remains "very, very significant." She warned staff are treating assumptions as provisional and that the district has budgeted to draw down reserves this year to balance near‑term needs.

Board members pressed for detail. One asked that staff separate and clearly display anticipated PERS costs; another asked for an estimate of costs tied to unfunded mandates. Directors also raised concerns about facilities staffing shortages and urged more legislative advocacy on school funding.

Ending: Morrison said staff will return with updated monthly financial reports and projections after federal and state forecasts are released; the board is scheduled to consider the budget development calendar for approval at its Nov. 4 meeting.