Committee members heard that FY26 special-education and transportation expenses have exceeded initial projections and will affect near-term budgeting decisions.

Jack Higgins reported that special-education costs are higher than expected because of changes in student needs and some out-of-district move-ins that occurred after the budget was adopted. He said transportation costs rose when students who previously rode together had to be split into separate vans for health or behavioral reasons. "So transportation costs have gone up as a result," Higgins said. He added the district will utilize circuit breaker funds to cover the difference and is considering applying for extraordinary relief reimbursement at year end.

Kelly Steele, reporting student-services data, said the district has a net increase of 10 special-education students so far this year and projected about 563 special-education students by the end of the school year. Steele explained that many of the current referrals date from late in the prior school year and that changes in placement or eligibility can affect tuition and program costs.

The committee discussed tracking operational and monthly costs for possible outsourcing (for example, pool rentals) and the fiscal implications of unanticipated enrollments. No formal budget reallocation was approved at the meeting; staff indicated they will monitor expenditures and pursue relief funding options if appropriate.

What comes next: finance staff will continue monitoring special-education expenditures and update the committee; staff may apply for extraordinary relief and will report any proposed budget adjustments.