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Salem-Keizer SD 24J projects $25 million structural shortfall; board weighs furloughs and negotiated fixes
Summary
CFO Heidi Sun told the Salem-Keizer SD 24J board a five-year forecast shows a roughly $25 million recurring general-fund shortfall and a decline in reserves; trustees urged pursuing negotiated solutions to avoid teacher layoffs and school-day cuts.
Salem (Dec. 9, 2025) — Salem-Keizer SD 24J officials told the school board Tuesday night that the district faces a roughly $25 million structural deficit in the coming year and a steady erosion of its general-fund reserves if no recurring reductions are made.
Chief Financial Officer Heidi Sun presented the district's five-year general fund forecast, saying, "we are forecasting expenses to outpace our revenues by 25,000,000," and showing the district's fund balance falling from about $96,000,000 to $71,000,000 and continuing downward toward potential depletion in fiscal 2028'29 if no action is taken.
Why it matters: roughly 95% of the district's general fund is budgeted for staff, and board members…
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