OSD considers school closure alternatives after securing more funding from legislature

The Olympia School District has updated its 2024-2025 budget projections after securing more funds from the state legislature. With other budget cuts, the new projections could take Madison and McKenny elementary schools off the chopping block.

OSD Executive Director of Business and Capital Projects Kate Davis reviewed the budget with the board Thursday, March 14. Three House bills and a Senate bill could bring in an estimated $1,542,000 more per year if approved by the Governor.

Senate Bill 5882 increases the ratio of paraeducators and school office professionals in the prototypical funding model. It could bring in $316,000 per year beginning with this school year.

House Bill 2494 increases state funding for operating costs by $21 per student, which could bring in $202,000 per year beginning with this school year.

HB 2180 increases the special education enrollment funding cap from 15% to 16%, bringing the state’s contributions closer to the 16.23% the school district currently subsidizes. It would bring in $1,024,000 per year beginning next school year.

And HB 5852 limits what can be reviewed in regards to applications for special education Safety Net awards. During the 2022-2023 school year, OSD received a $1,498,205 Safety Net award. This school year the district budgeted for the same award level, but it applied for $1,907,155 and anticipates receiving $1,870,000.

That would bring in about $370,000 more to the district compared to previous years.

The district is also expecting to receive an extra $746,000 in transportation funds.

But to achieve an ending fund balance of 4% next school year, the district still has to cut $2.2 million.

Davis’ budget presentation included three school closure scenarios to make up the budget deficit. The first was to move forward with closing both Madison and McKenny elementary schools, which would save about $1.8 million.

The second scenario was to close only Madison, which would save $1.2 million. The third was to close only McKenny, which would save $769,000.

In addition to school closures, the district is considering a number of reductions the community at large suggested that could save nearly $4.2 million.

At the Central Office, the district is considering restructuring leadership positions and furlough options, which could save about $623,000.

The district is evaluating responsibilities that can be shifted from central office to building leadership, and and considering scaling Principal ratios based on enrollment, which combined could save $472,000. And reducing formerly federal ESSER funded support for historically underserved students could save $543,000.

The district could save another $2.5 million by reducing school-based support. That would include reducing custodial staffing, reducing pandemic-era ESSER Social Emotional and Community supports, and increasing class sizes in middle and high schools, as well as the ORLA program.

It would also entail restructuring the Art, Music and PE programs even further and restructuring the elementary librarians. Support staffing ratios would change, and the Cispus outdoor education program would be discontinued.

There will be an in-person Community Cafe at 10 a.m. Saturday, March 16, at the Olympia High School Commons at 1302 North St. SE. The public will have an opportunity to speak with district leaders about the budget, school consolidation and program reductions.