Board approves $1.5 million extension to 2025–26 general fund after public hearing

District financial staff presented a public hearing on a proposed $1,500,000 extension to the 2025–26 general fund, explaining the request would increase authorized expenditures to roughly $24,089,005 and provide flexibility to cover unexpected costs. "The proposed amount that we're asking for is, $1,500,000, which would basically make the total allowed expenditures $24,089,005.00," the presenter said while walking through month-end April figures and projected expenses.

Staff emphasized the extension is an authorization rather than a commitment to spend the full amount and described current year-to-date expenditures, encumbrances and a remaining capacity estimate. Board members and members of the public questioned whether the county treasurer or OSPI must approve advances or loans, how fees and repayment would work, and what structural changes (personnel, MSOCs, or program cuts) will be made to prevent recurrence. After questions and public comment, the board approved Resolution 4026 by roll-call vote to authorize the $1.5 million extension; staff said any large expenditures would still come to the board for prior approval.

The district will submit the extension documentation to the ESD/OSPI as required; staff said state oversight conditions could follow and that the district plans further budget work to bring finances back to a positive fund balance next fiscal year.