Dear students, staff, families and community,

As we head into spring break, I want to share an update on our budget development for the 2023-24 school year. Before I get to that, I want to acknowledge that student safety is once again on our minds and at the top of our newsfeeds. It is unsettling, but I have immense appreciation for our community, first responders and staff, and all the ways we work together and care for one another.

Regarding our budget, I wish I had more definitive news to share. We are still waiting to learn more from the state as the legislature finalizes its budget and finishes up its session, which may be as early as the end of April. Unfortunately, several proposals we have seen in the last few weeks include even less funding from the state than we expected.

As I shared previously, we anticipate significant budget challenges next school year, and we are doing our best to minimize loss of people and programs. Our staff is working hard to find solutions and be strategic with our different funding sources, including the technology capital levy, bond, federal dollars and other revenue sources in order to maintain key programs and positions, especially those closest to students and classrooms.

We will continue to use our budget reprioritization guiding principles to navigate these tough decisions.

We also continue to use attrition, when possible, and not replace some vacated positions; we continue to find strategic efficiencies across central services and District Office departments and staff. These steps are in alignment with the feedback we heard this winter. And while we do our best to protect staff and programs connected to teaching and learning, the majority of our resources are invested in staff, schools, and classrooms. With the significant budget shortfall we face, nearly all parts of our district will see a reduction or adjustment next year.

Why could we see even fewer dollars from the state?
The state adjusts funding for school district salaries through what it calls a "regionalization factor.” The state’s formula has reduced Bellingham's regionalization factor each of the past four years, and the two recent legislative proposals include further significant reductions that will cut our funding by either $2.8 million or $1.4 million, depending on whether the reduction occurs over one or two years. These new reductions are in addition to an anticipated shortfall of approximately $15.7 million due predominantly to a loss of federal ESSER (COVID) dollars, rising costs of resources and increases in compensation.

I am sorry this is not a sunny spring break sendoff message, but I know our staff and community values transparency and regular communication. I want to send this update to help set the stage for realistic expectations. We will have more details in April and into May.

As I have been sharing at staff and parent meetings this winter and spring, our district has been through tough budget cycles in the past. We will do everything we can given an inadequate state allocation to do more for students in fulfillment of The Bellingham Promise.

Greg Baker