Preliminary FY27 budget projects $156.8M in general‑fund revenue; board hears staffing and inflation pressures

Marie, a district finance presenter, gave an update on the preliminary fiscal‑year 2027 budget. She reported estimated general‑fund revenue of $156.8 million and said the district plans matching expenditures in the general fund. "Again, that estimated revenue at this time of 156.8 million — we will have that same expenditure level in our general fund," she said.

Marie walked directors through key revenue drivers: the property tax levy (including changes to OPEB and LTFM lines), a formula increase (about 2.69 percent), a projected $1.1 million transportation reimbursement estimate and one‑time federal and grant items (including a temporary immigration aid grant that may not renew). She noted special education reimbursement volatility and that some federal grants and one‑time technology and MTSS grants are expiring.

On the expenditure side, staff highlighted inflationary pressures and priority‑based budgeting adjustments. Marie said salaries and benefits together account for the bulk of the pressure: approximately $2.4 million in salary inflation and about $2.2 million in benefits increases, including higher insurance costs and a full year of paid family medical leave costs. Board members asked about substitute costs, inflation indexing in contracts and potential impacts of extended leaves under paid family medical leave.

Marie presented preliminary fund‑balance projections showing an estimated July 1 general‑fund balance of about $6.1 million and an anticipated positive shift in unassigned fund balance of roughly $0.5 million. Staff said a final budget document will be circulated about a week and a half before the June 23 meeting when the board is expected to vote.

Ending: Staff will publish a detailed budget book with line‑by‑line notes and projections and return for final action on the scheduled timeline.