Excelsior Springs board approves FY26 Q1 budget revision, trims projected deficit

The Excelsior Springs School District Board of Education on Nov. 1 approved a FY26 first-quarter budget revision that trims a projected $2.3 million deficit to roughly $465,000 and improves the district's fiscal position by approximately $1.8 million.

Presenting the revision, Dr. Bolton said the budget team "redone the budget three times in 110 days" and had cut the operating gap by combining revenue adjustments, tighter contract terms, and accounting changes. "At the end of the day, we are running a balanced budget actually in the black in the operating expenses," he said.

The revision relies on several key assumptions: full state funding for categorical programs and no major capital emergencies. Dr. Bolton told the board a significant factor was re-aligning revenues to historical collection rates and identifying reimbursable federal funds. He said the district recovered additional reimbursements by reclassifying allowable costs and by reviewing Medicaid and special-education billing procedures.

Operational changes cited in the presentation included renegotiating vendor increases (presenters said they reduced a typical contract increase to 2% where a larger increase was possible), reassigning a portion of maintenance and utilities to food-service expenditures, and bringing some services back in-house. Dr. Bolton said those moves freed roughly $700,000 in operating funds and reduced pressure on the district's reserves.

The budget presentation noted the district is still carrying long-term facility obligations tied to two "house payments," and that deficit spending remains concentrated in debt service and capital funds (presenters cited a negative position in debt service and a roughly $770,000 shortfall in capital). Dr. Bolton said staff plan further quarterly revisions and will continue work on a capital-spending strategy and a human-resources audit to align staffing to program needs.

Board members thanked staff for the detailed work and asked about risks if state funding or assessed valuations change. Dr. Bolton reiterated that the revision depends on the state's funding commitments and that any substantial change in state revenue or an unplanned capital emergency (for example, a major roof replacement) could require additional adjustments.

The board moved, seconded and approved the FY26 Q1 budget revision on a 7'0to'00 vote. The district will present further updates at subsequent quarterly budget reviews.