The recommended budget for the 2026-27 school year is going before the Olympia School District Board of Directors amid a backdrop of enrollment and financial challenges.
A first reading of the budget is set for a school board meeting on Thursday, June 18. The meeting takes place at 6:30 p.m. at the Knox Adminstrative Building, 111 Bethel St. NE in Olympia.
In a message to the community, Superintendent Patrick Murphy said school districts did not receive new state funding beyond mandated inflationary increases for the 2026-27 school year.
“While we appreciate the investments the (Washington) Legislature has made over the last several years, those investments have not kept pace with the actual costs of operating schools,” Murphy said.
He added that the current year is not the last year of reductions, as declining enrollment remains one of the most significant challenges in the district.
Accompanying the proposed budget is the formal resolution for adoption of the four-year budget plan and Budget Book, which shows the 2026-27 beginning general fund balance as $7,692,322 and an ending fund balance of $8,412,765.
The general fund is used for daily operations of the school district, such as salaries, supplies and materials, instructional materials, utilities, purchased services and equipment.
The ending fund balance of $8.41 million requires expenditure reductions and fiscal discipline in future years.
“As long as enrollment declines and expenditure growth continues to outpace available state and local revenues, the (district) will face difficult decisions regarding programs, services, and staffing levels,” the budget book states.
A public hearing will follow the first reading, with board action scheduled forJune 25.
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