Fallbrook trustees approve positive three‑year budget outlook and multiple labor agreements

The Fallbrook Union High School District Board of Trustees on March 13 voted to approve the second interim financial report for fiscal year 2025–26 and several employee compensation agreements.

Chief Business Officer Brenda Mefford presented the second interim, which reflects budget and actuals as of Jan. 31, 2026. She said the report shows revenue adjustments including a decrease in LCFF sources of $9,767 and a federal revenue increase of $6,340 tied to Title I and Special Education IDEA funds. State revenue increased by $163,012 — driven in part by transportation funding and a $151,000 learning recovery emergency block grant — and local revenue rose by $66,588 from a children and youth behavioral health initiative grant obtained by Dr. Luna. Mefford said those revenue changes produced a net budget increase "of 241,000."

On the expenditure side, Mefford outlined reductions and increases tied to both unrestricted and restricted funds: certificated salaries were reduced by $191,240, classified salaries by $83,400, and books and supplies by about $172,000; professional services rose about $256,000 on the restricted side, capital equipment increased by $136,000, and SELPA costs decreased by about $73,000. Mefford said the multi‑year projection and assumptions (including COLA estimates of 2.41% for 2026–27 and 3.06% for 2027–28) support a positive certification because the district still projects a positive ending fund balance in the third year.

Board members asked for clarifications on the unrestricted versus restricted portions of the unappropriated fund balance, and Mefford said the reported unappropriated number is the unrestricted portion. After discussion, the board approved the second interim financial report by roll call: four trustees voted aye and one was absent.

The board also approved several personnel and compensation items on the consent and action agendas. Motions passed to revise a Secretary II job description and to approve compensation and benefits agreements with the Fallbrook High School Teachers Association (FHSTA), SEIU Local 221, and an agreement for unrepresented employees. On the FHSTA-related item, the superintendent noted that, under the proposed salary schedule, the district's general fund unassigned amount in the third year would drop to $118,321; she also clarified that the superintendent and chief business officer are not included in the unrepresented salary increase.

What happens next: The district will file its certification with county and state authorities as required. Trustees requested further site‑level grade and benchmark data (excluding online Apex remediation) and said they will continue monitoring the budget impacts of negotiated agreements as part of the district's multi‑year projection.

Sources: presentation and Q&A by Brenda Mefford; board motions and roll‑call votes at the March 13, 2026 meeting of the Fallbrook Union High School District Board of Trustees.