Aurora East USD 131 adopts FY26 amended budget after state funding tier change creates $9.3 million gap

The Aurora East USD 131 board on May 4 approved a resolution adopting an amended FY26 budget after a presentation from Dr. Michael Angel describing audit adjustments, transfers, and the district’s loss of state evidence-based funding.

Dr. Angel told the board that the district’s movement from the state’s evidence-based Tier 1 to Tier 2 resulted in a funding reduction "approximately $6 million," and that using finalized grant actuals, the district projects roughly $259 million in total revenue and $269 million in expenses — a $9.3 million shortfall for the year.

"We ended up missing the tier one cut off by about four‑tenths of a point," Dr. Angel said, describing the state formula that compares districts and leads to tier assignments. He said the district remains solvent for now because of fund balances and "hold harmless" protections but that the change will prompt multi-year fiscal planning.

Board members asked for clarifications about the difference between state tier funding and federal grant sunsets; Dr. Angel and other administrators said the federal SR3/ESSER-era funds have largely ended (federal grants cited dropping from about $40 million to $27 million compared with the prior year) and that out-of-district tuition costs have increased (noted as roughly $1.5 million higher).

After questions and discussion, the board approved the FY26 amended budget by roll call. The meeting also included several other roll-call votes on procurement and personnel items that passed; those outcomes are summarized below.

Votes at a glance

- FY26 amended budget (resolution): Approved by roll call (recorded yes votes by Quentes, Valencia, Olivas, La, Moreno, Reyes).
- E‑learning emergency‑day plan renewal (three years): Approved (permits up to five e-learning days in lieu of makeup days under school code).
- Bentech benefits administration agreement: Approved (three‑year contract, listed amounts in meeting record).
- Trimark kitchen and serving equipment (East High): Approved ($210,359).
- Gator Chef kitchen equipment (Waldo School): Approved ($88,884.28).
- Welding 3 course at East High (2026–27): Approved.
- Disposal of outdated K–8 and middle‑school ELA/social‑studies materials: Approved.
- Appointment of Dr. Chrisman as team physician (on‑site for high‑risk athletic events, provided via ATI partnership): Approved; district indicated no additional district cost.
- Stadium scoreboard purchase (Correct Digital Display, $219,160): Approved with one abstention (Olivas).
- Motion to table action item 11.8: Approved (vote recorded during reconvene).
- Board reorganization (officer elections): Suentes elected president; Saul Olivas elected vice president; secretary position filled by nomination.

What the budget presentation showed

Dr. Angel summarized revenue by fund and object: the education fund is the largest source (more than three‑quarters of total revenue); salaries and benefits make up about two‑thirds of expenditures. He noted state funding makes up about 67% of the district’s revenue, local revenue about 22%, and federal grants about 10.5% in the current figures presented. The presentation also listed a series of transfers and audit adjustments to reconcile capital and fund balances, and flagged a tentative public hearing on the amended FY26 budget to be held on June 15 (legal notice and public display of the budget were announced).

Next steps: The board adopted the amended budget and will continue committee-level and board discussions about longer‑term adjustments to bring the district into structural balance.