Update on Gresham-Barlow School District’s Budget for 2025-26

Dear Gresham-Barlow Community,

The Gresham-Barlow School District is in the process of developing its budget for the 2025-26 school year. Over the last few years, we have avoided budget reductions thanks to pandemic relief money from the federal government and using our reserves. The pandemic relief funds have been used, and our reserves are close to the school board’s minimum operating requirements.  While state funding for schools is expected to increase, based on current projections, we estimate that the amount GBSD will receive from the state will fall between $7 to $11 million short of what we require to maintain our current educational program. Simply put, state funding is not keeping pace with rising costs.

Budget reductions necessary

As required by law, we must adopt a balanced budget, which means we must identify reductions and cut spending by approximately 5 to 7%. We are currently developing a reduction plan and are committed to working with our district administrators, staff, union leaders, and other key stakeholders as we navigate this challenge. 

What we’re doing now

To address the budget shortfall, we are evaluating possible reductions across every district department and school.  Any money saved this year will help mitigate the deficit for next year, so we are limiting spending, carefully evaluating operational expenditures, and identifying cutbacks. 

A majority of our budget is allocated to staffing, which means there will be an impact on staffing levels for next year. Our district greatly values every staff member and their contribution to the success of our students. State laws and bargaining agreements guide the process for reducing staff. We will continue working with our union leadership to support every employee impacted by these reductions.

 As we work through the budget reduction process, we will follow this criteria:

• We will put the safety of our students, staff, partners, and the community at the forefront of all decisions.
• We will focus on maintaining the quality of learning for all students.
• We will consider the needs of all students, using a decision-making tool that prioritizes students who need the most support.
• We will pursue reductions that support financial stability over multiple years, with the understanding that we must be wise stewards of taxpayer dollars.
• When position eliminations are necessary, we will make every effort to reassign employees to vacant positions for which they qualify.

Please know that we are in the initial stages of budget development; our budget numbers are preliminary and can change. The state legislature will determine the funding school districts receive for the 2025-2027 biennium over the next several months.

We will keep you updated as we move through the budget development process. Please contact your school principal if you have questions about the budget or the budget development process.

As we move forward, we will post updates to our 2025-26 Budget Development Webpage.

We are grateful for your partnership as we work to address these financial challenges.

Sincerely,

John R. Koch

Interim Superintendent