District presents FY27 preliminary budget showing a $1.094M reduction plan, transportation adjustments and 3 FTE reductions

District finance staff presented the fiscal‑year 2026–27 preliminary budget and multi‑year projections, explaining a sustained gap between the state’s general education formula allowance and inflation‑adjusted costs.

Administration showed a comparison that, if the formula allowance had tracked inflation since 2003, per‑pupil state funding would be roughly $9,157; the actual FY27 formula allowance is $7,683 per pupil — a $1,474 per‑pupil purchasing‑power shortfall that administration said helps explain heavier reliance on local property taxes.

To close a required reduction of about $1,094,000 in expenditures, administration proposed changes primarily in student transportation routing and vehicle counts (restoring routes and adding buses compared with prior adjustments) and three FTE reductions: a district‑level administrative position (assistant director of educational equity) and two positions at the Area Learning Center (ALC) that administration described as aligning staffing to current program needs as fewer students are entering the ALC.

Budget presenters (Mr. Wald and Ms. Johnson) also described a $10 million increase in projected revenue in the FY27 column — about half tied to special‑education revenue and another portion from English‑learner aid authorized by the legislature — while general fund expenditures were projected to increase roughly 2.2% based on known salary and benefit changes and inflationary cost estimates for utilities and transportation.

Board members asked for more detail on the formula mechanics, mandated programs (examples included paid family and medical leave and unemployment for hourly workers), and how enrollment and past capital projects factor into operating costs. Administration said the budget is built on recent enrollment and known drivers and that fund‑balance targets (budgeted at an ending unassigned balance of about $12.185 million, roughly 8% of operations) are intended to protect the district from revenue volatility created by fluctuations in special‑education and other mandated costs.

Administration said the community’s levy remains lower than many neighboring municipalities and that certain program revenues such as special education and federal Title I funds are constrained by statutory and grant rules. The board did not finalize adoption at this meeting; administration said the budget will return for approval at the June meeting.