By Tommy Butzerin
The Highline School District Budget Presentation on June 12, 2025 was a work session introducing financial planning for the district’s 2025-26 school year. Board directors Joe Van, Stephanie Tidholm, Damarys Espinoza, and Blaine Holien attended. Director Angelica Alvarez was not present.
The presentation was led by Chief Financial Officer Jackie Bryan, Controller Andrew Burgess, Director of Budget Lauren McAlister, and Director of Budget Strategy Sara Semroc.
Objectives included the impacts of 2025 legislation, an overview of the budget, a long-term fiscal outlook, and a review of engagement during the Budget Development process.
Highline projects steady enrollment, but due to lower than anticipated revenue from legislation, they intend to “create efficiencies and evaluate potential reductions.”
Regarding legislative priorities, school districts statewide advocated for fully funding special education, transportation, and materials/supplies/operating costs (MSOC), but it fell short.
Education funding, at 43% of the state budget, remained close to the past two state biennium budgets (44.5% and 43.4%), but schools hoped it would bump up closer to the 51.6% allocated during the 2019-21 state operating budget. Worth noting, the state education budget amount has not decreased over the past six years. Rather, it has steadily increased from $26.6 billion to $33.7 billion, a 26.7% increase.
The district ended the year with 7% of their fund balance unassigned, which is higher than the required minimum of 3%. Due to anticipating steady enrollment and a long legislative session, the district decided not to make reductions.
Highline’s general fund revenues and expenditures for 2025-26 are based on a $428 million budget:
- 71.3% of the district’s revenue comes from state funding
- 15% from local levy
- 7.5% from federal revenue
- 5% from grants and other sources
State funding is primarily driven by enrollment, which is projected with the assistance of a contracted demographer.
The discussion then turned to state and local revenue sources, such as apportionment, special education, learning assistance programs, transitional bilingual programs, and transportation.
Local revenues fund staff and salaries, facilities maintenance, health services, athletics, and other basic education needs. Due to legislation, the district anticipates a $19 million deficit for special education next year, which will be funded from other programs, then reimbursed from local levies.
Upcoming Replacement Levy: At the June 18 meeting, the board will consider Resolution 06-25: Renewal of Expiring Educational Programs and Operations Levy to replace the expiring ($268 million over four years) local levy. November voters will decide if they wish to fund a four-year $334 million proposed replacement levy to help bridge the funding gap.
Expected 2025-2026 expenditures include:
- 79% funds instructional activities
- 4% nutrition services and transportation
- 17% district-wide services.
86% of the budget directly funds staff salaries and benefits, with 45% for certificated salaries, 20% for classified salaries, and 21% for employee benefits. They mentioned that the district is exploring ways to improve systems support for paraeducators and reduce agency staff costs, and will conduct an audit of special education students and their IEPs to claim additional safety net funds.
A four-year outlook expectations were based on medium enrollment projections and state inflationary adjustments. The district projects a steady fund balance over the next four years, and does not anticipate going under the minimum fund balance of 3%.
Overall, the district’s current fiscal position is stable, especially as compared to challenges faced by several financially troubled districts on binding conditions.
Next, they reviewed the capital projects fund, noting the opening of Tyee and Evergreen High Schools and the groundbreaking of Pacific Middle School will finalize the bond sale in the current fiscal year.
The transportation vehicle fund is designated for the purchase and repair of student transportation vehicles, with an anticipated $800,000 from state reimbursements. The district is also exploring the purchase of electric school buses; President Van asked about the cost analysis of electric versus diesel buses.
Associated Student Body and Debt Service Funds were discussed.
Directors thanked the financial team for their diligence in keeping the board informed and the budget in check.
Highline Budget Book on Highline Website Page LINK
Disclaimer: The budget documents represent a proposed financial plan and are provided for planning and informational purposes only. All figures are preliminary and subject to change. Totals may not add precisely due to rounding. These documents were prepared prior to the availability of official state reporting tools and may differ from finalized reports. Updated versions will be reposted if revisions occur.
https://www.highlineschools.org/departments/business-finance/interactive-budget-book
Next Steps
- June 12: Budget Work Session (Presentation LINK)
- June 18: Budget Introduction
- June 25: Public Hearing
- July 2: Budget Action
Questions from the Highline District:
- What questions do you have about Highline’s fiscal long-term plan?
- Is there any additional information that would be helpful as the board approves the 2025-26 budget?
June ThoughtExchange
Slideshow images from the June 12 Work Session Presentation highlineschools.org
