Budget committee amends proposed 2026–27 budget, reallocates $1 million from Loader Road reserve to instruction

The Oregon City School District budget committee approved an amended proposed budget late in its meeting, moving $415,577 from the district’s 2000-series (support) accounts into 1000-series instructional functions and transferring $1.0 million from a Loader Road capital reserve into instruction.

Finance staff had told the committee that coding and roll‑up errors identified in the draft budget could free roughly $415,577 for reallocation; the committee voted to move that amount from the 2000s to the 1000s. Later in the evening members debated and then approved an amendment to shift $1.0 million of the district’s Loader Road reserve into classroom allocations. That amendment passed on a roll‑call vote and the committee approved the proposed budget as amended, forwarding it to the school board for the scheduled June 8 public hearing and possible adoption.

Finance director Elaine (first introduced during the meeting) explained the mechanics: the budget committee can recommend moving appropriations between major functions but cannot set specific staffing assignments or alter employee contracts; those implementation details are determined later by the board and administration. She also noted the district must adopt a budget by June 30 to legally spend funds beginning July 1.

Superintendent Dr. Spitzer framed the choices behind the numbers, listing several structural pressures: declining student enrollment (particularly kindergarten), higher PERS costs tied to a bond coming off the books, roll‑up salary and benefit increases, and increases in charter pass‑through and special‑education costs. Dr. Spitzer said the district faces an ongoing multi‑million dollar shortfall and that the committee’s action was one of several steps to balance next year’s plan.

The Loader Road reserve has been set aside for a road and utilities condition of approval tied to earlier development agreements; staff said prior engineering estimates were about $1.4 million in 2024 and, accounting for contingencies and escalation, the current book line shows about $1.9 million as the project estimate. Staff told members they are pursuing scope reductions with the city and project partners and that any change to the condition of approval must be negotiated with the city’s planning process.

Board members and committee members voted by roll call on the motions. The committee’s approval sends the amended proposed budget into the public‑notice period required by state law, with the public hearing and first board adoption opportunity set for June 8.

The committee’s action does not itself fill longer‑term gaps in the district’s finances. Committee members and staff repeatedly cautioned that moving one‑time reserves can protect positions this year but does not resolve structural shortfalls in the coming biennium; members said legislative advocacy and additional local options will remain part of the district’s strategy.

What’s next: the amended proposed budget will be posted as required before the June 8 public hearing. The school board will review and may adopt the budget at that meeting or at a subsequent special session on June 22.