Fountain Hills Unified board adopts conservative FY2025-26 budget, citing enrollment and state uncertainty

The Fountain Hills Unified School District board voted unanimously to adopt the district—s FY2025-26 budget after a public hearing and presentations from district leadership.

Superintendent Dr. Jay told the board the adopted budget is written conservatively because state funding and enrollment numbers remain uncertain. "Once you pay all your salaries, you got about $3,000,000 to operate the district," Dr. Jay said, describing that amount as the district—s operational capacity absent additional state revenue. He said the district spent about $2.9 million this past year on operations and was monitoring encumbrances and reimbursements that can make interim reports show temporary negative balances.

Board members pressed finance staff on line items flagged negative in the gifts-and-donations report; district staff explained those figures are snapshots tied to timing and coding and are reconciled before fiscal year close. Finance staff said some encumbrances and pending reimbursements create short-term appearances of negative balances, but the district retains reserves.

Board members discussed a near-term schedule for adjustments: staff said a more updated budget picture should be available after the first 10 days of school, when final enrollment is clearer, and that the board can consider minor revisions in September if necessary. Several trustees emphasized maintaining staffing where possible to avoid disruption at the start of the school year.

The motion to adopt the FY2025-26 budget passed by voice vote. The board also approved related personnel and payroll voucher items during the same action block.

The district plans to publish the adopted budget documents and will return with any recommended amendments after enrollment and state funding updates.