Big Lake board adopts program-reduction resolution as finance staff warn of levy shortfall
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Summary
The Big Lake Public School District board adopted a standard program-reduction resolution directing administration to consider budget adjustments as staff described enrollment shifts, fund balance goals and the potential need to cut up to $1.5 million after an operating-levy loss.
The Big Lake Public School District board voted to adopt a program-reduction resolution directing administration and employees to examine budget adjustments amid continuing fiscal uncertainty.
Angie, who presented the district’s monthly financial report, told the board the district saw a modest enrollment gain in January — a net increase of 24 students since Jan. 5 driven largely by online programs (about +27 in grades 6–12 online and +10 in K–5 online) — but said the district remained below an earlier budgeted enrollment benchmark. Angie also reviewed types of fund balances and said the district’s fund-balance goal is 9–12% of general fund operating expenditures and that the projected fund balance for 2025–26 is about 17.8% after $2.1 million in deficit spending.
Board representatives on the finance committee reported the district faces budget pressure after an operating-levy defeat and estimated the district may need to reduce expenses by as much as $1.5 million in the coming year; the committee expects final budget projections by the March meeting. The resolution adopted by the board is a standard governance step that directs administration to evaluate options for adjustments as part of the budgeting process; the board approved the resolution by roll-call vote.
Board members and staff discussed the reasons to maintain fund balances, including cash-flow risks from state payment shifts and the potential cost of short-term borrowing to cover payroll during revenue timing gaps. Angie noted the district must sometimes cash-flow levy-funded projects because state levy adjustments and final UFARS data are processed on a multi-year timeline.
The board also received a staffing update: Angie said she intends to retire around July 2027 and the district is preparing a succession plan, noting an internal candidate is under consideration and that the district will document procedures to ease transition.
The board took no immediate programmatic cuts at the meeting; the resolution simply authorizes administration to examine and develop options to present to the board as part of the budget process. The board moved on to other agenda items and adjourned the meeting.
