Proposed $83.85 million budget prioritizes reserves and staffing alignment

The Silver Falls School District budget presenter outlined a proposed fiscal 2025'26 budget that emphasizes restoring reserves and aligning staff levels with declining enrollment. The proposed total budget presented to the committee was $83,854,144, with the presenter describing major drivers as an expected ~8% increase in PERS rates, rising insurance and labor costs, and a continuing decline in enrollment (the district reported a loss of 91 students this year and remains roughly 400 students below its pre-pandemic peak). "Our rising costs are similar to what many of us see in our own homes with inflation impacting the price of goods and services," the presenter said during the presentation.

The proposal centers on three priorities: (1) building an unappropriated reserve and a contingency to cushion volatility, (2) a $500,000 transfer to a new capital reserve fund for future building repairs and roof replacements, and (3) a proposed PERS reserve to mitigate long-term pension cost volatility. The presenter told the committee the district will not assume increases in uncertain state or federal funding when budgeting and recommended a strategic planning refresh. Committee members asked detailed questions on assumptions, and administration said the budget was intentionally conservative to avoid counting on revenue that may not materialize.