Fountain Hills board approves statutory Budget Revision No. 2 for 2023–24 after public hearing

The Fountain Hills Unified School District Governing Board voted to adopt Budget Revision No. 2 for fiscal year 2023–24 after a public hearing and presentation from district staff.

The revision, presented to the board during the public hearing, was described as a statutory reconciliation to the 100‑day average daily membership (ADM). The presenter said the district’s earlier adopted budget assumed higher enrollment that did not materialize, which triggered the December and January budget reconciliations. "We anticipated a lot larger student count into this year. That did not come to fruition," the presenter said, explaining the need to adjust revenue and limits tied to ADM.

Administration told the board the revision included offsetting factors: while standard ADM declined by about 5.4 average daily membership from December to the official January count, the district’s Research‑Based Classroom/Group B (RCL) weights — which account for students with high needs such as ELL and special education — increased and offset some lost funding. Officials also noted a one‑time state aid supplement of about $300,000 that boosted available revenue for the current year. After accounting for all categories, staff reported a net positive change to the Maintenance & Operations budget of about $78,043; there were no proposed changes to the capital budget.

Board members asked routine clarifying questions about grants and the timing of state budget guidance. Finance staff and the presenter explained that some reimbursements for federal/state grants require budget revisions before claims can be processed and that reconciliations are expected by year‑end. The superintendent and finance staff said the district will continue to monitor the K‑12 state budget and prepare the FY25 proposed budget after final state formula numbers are released.

The board moved to approve the revision after two public meetings; during the voice vote one trustee announced an abstention. The motion carried. The revision will be posted with the district’s records and used to guide spending and further budget planning.

The board directed staff to bring related items — including final grant reconciliations and a proposed FY25 budget timeline once the state issues updated guidance — to future meetings.