Phoenix-Talent budget committee recommends $73.35 million 2026–27 budget, forwards proposal to school board

The Phoenix-Talent SD 4 budget committee on Tuesday recommended that the school board approve a proposed 2026–27 budget totaling $73,350,000 and the district’s proposed permanent tax rate, following a detailed presentation by district finance staff.

Superintendent Brent Barry told the committee the administration aimed to produce “a budget that we feel is fair and consistent with our strategic plan” while preparing for financial uncertainty; he said the recommended plan reflects roughly $4 million in cuts mainly in grant-funded areas. Finance staff walked members through the document’s interactive online version and the packet’s fund-by-fund details.

The budget proposal includes a general (main) fund of $47,825,000, a grants and special revenue fund of about $18,300,000, a debt service fund of $4,125,000 and capital projects of about $2,800,000. Presenter Yasm mean summarized the district’s fiscal position, saying the proposed beginning fund balance is $12,785,000 and the projected ending fund balance is approximately $6,375,000, or about 13% of revenues — above the board policy minimum of 8% that staff cited as a guideline.

Staff attributed the need for reductions in part to the scheduled end of certain state and grant revenues. The presentation singled out a $4,489,000 reduction in state resources tied to the end of the HB4026 (school safety/security) funding stream and described more than $2 million in reductions in the special revenue fund as grants expire or shrink. Finance staff also explained a small net increase of roughly 0.37 full-time-equivalent positions in the general fund offset by about 12.78 FTEs reduced in grant-funded programs for an overall net staffing decrease.

Committee members asked for clarification on school-level shifts the presentation showed: several special-education and school-based mental-health positions are being transferred between funding sources, some previously grant-funded positions are being moved to the general fund, and kindergarten-classroom enrollment fluctuations prompted an instructional staffing adjustment at Phoenix Elementary. Staff confirmed those moves came primarily from attrition or positions that were not filled in the prior year.

The presentation also reviewed capital and one-time priorities: the IT department requested network-switch replacements and expects to apply for federal E-rate funding that would cover about 85% of the cost (leaving an estimated $64,000 net district share), and the capital fund continues to carry remaining 2018 bond proceeds earmarked largely for the high school and other sites.

During the discussion a committee member asked about an opioid-recovery grant funded through settlement dollars; presenters said the district received a multi-year grant to support school-based drug and alcohol counseling, but recollections of the precise dollar amount varied in the meeting transcript. Staff emphasized the district’s practice of leveraging grants to support mental-health and other programs, while noting those revenues can create management and sustainability challenges when the grants end.

After questions and brief public comment (a registrant did not speak), committee member Joe Charter moved to recommend the proposed budget and the accompanying tax rates to the school board; the motion was seconded and carried on a roll-call vote. Committee members and staff thanked finance staff and volunteers for developing the new, more visual budget format.

The committee’s recommendation will be transmitted to the Phoenix-Talent SD 4 school board, which is scheduled to hold a public hearing on the proposed budget on June 4 and take formal action at its upcoming meeting.