Naperville CUSD 203 hears revised five‑year forecast showing more than $12 million shortfall
Summary
CFO Mike Francis told the board on Feb. 2 that the district’s updated five‑year forecast projects a deficit exceeding $12 million for next year; administrators proposed a mix of state advocacy, modest fee adjustments and expenditure reductions and will return with recommendations before the May budget vote.
Mike Francis, Naperville CUSD 203’s chief financial officer, told the board of education on Feb. 2 that an updated five‑year financial forecast shows a continuing and growing gap between revenues and expenses and that “Next year's current projected deficit remains greater than $12,000,000.”
The update incorporated the final 2025 consumer price index of 2.7%, which Francis said will be used in calculations for the December 2026 tax levy. He said the forecast otherwise rolls forward prior assumptions and that the district’s work to close the gap will include continued advocacy at the state level, a review of general and optional fees, reductions to discretionary spending, consolidation of duplicate resources, and aligning staffing to current enrollment and student needs.
Why it matters: The district’s fund balance projection is trending below board policy 04/20 levels; the board was told the projected shortfall will affect the fiscal year 2026–27 budget and that early action will reduce compounding pressure in later years.
During questioning board members pressed on the likelihood of increased state aid and on the role fees might play. Francis said the district has begun advocacy with local legislators and statewide associations and noted the state typically finalizes its budget in May or June, making extra state funds uncertain before the board must adopt a budget. He also said fee revenue is a small portion of total revenues — roughly 1% — and that even large percentage increases in fees would not close the structural gap.
Board members asked for additional context and detail. One board member asked for the estimated revenue impact and percentage of families affected by proposed tuition increases for the Ann Reid preschool program; Francis said he had a general idea and would provide precise figures. The board discussed consolidating discrete course and participation fees into a single general fee to reduce sticker shock for families, but members expressed reluctance to rely on fees that could be regressive.
The board’s next steps: Administration will return with staff recommendations, detailed budget projections and fee‑impact data. The board will consider staffing projections in March and expects to seek action on a balanced budget in May for the 2026–27 school year.
Sources: Presentation and Q&A with Mike Francis, chief financial officer; board discussion, Feb. 2, 2026.
