As shared in our October 17 communication, Kent School District is experiencing a funding gap for the 2025–26 school year. As part of our ongoing commitment to transparency, we are sharing budget updates to help keep our community informed on how we are responding and what steps are being taken to minimize the impact on student learning.
Please review the updated information below for the latest details and context.
Budget Update
$8 million = Original cost savings needed for the 2025-26 school year (previously communicated October 17, 2025).
+$1.4 million = ending fund balance difference ($60.1m - $58.7m = $1.4m)
+$1.1 million = funding source change for social workers and building family liaisons
=$10.5 million revised cost savings needed for 2025-26
-$5.2 million savings from central office Materials, Supplies, Operations, Costs (MSOC) budget reductions
-$1.9 million savings from not filling vacant central office positions
=$3.4 million remaining cost savings needed for the 2025-26 school year to maintain the required five (5) percent unassigned fund balance (Board Policy 6022).
Frequently Asked Questions
What is an unassigned fund balance?
The unassigned fund balance is money that a school district has left over at the end of a fiscal year. The Kent School District fiscal year is from September 1 through August 31.
The unassigned fund balance is money that hasn’t been set aside for anything specific yet. Think of it as savings in a piggy bank. The school district can use this money in the future for emergencies, unexpected costs, or other needs that come up. It helps the district stay financially healthy and prepared.
How much is needed to fill the funding gap this school year?
The district lost $20.4 million in revenues due to a decline in enrollment and reduction in federal funding. After using $11 million from the unassigned fund balance, reducing Materials, Supplies, Operations, Costs (MSOC) budgets and freezing hiring at the central office, $3.4 million is still needed.
How is the district addressing the $10.5 million budget shortfall?
The district is cutting its Materials, Supplies, Operations, Costs (MSOC) budget in the central office by $5.2 million. Additionally, vacant positions in the central office have not been filled and generated budget savings of $1.9 million. This leaves $3.4 million more in budget cuts needed before the end of 2025-26 school year to maintain a five (5%) percent unassigned ending fund balance.
What cost savings are being taken immediately to fill the gap?
$5.2 million - reduced central office Materials, Supplies, and Operating Costs (MSOC) budgets.
$1.9 million - vacant positions unfilled at the central office.
Why are federal funds uncertain?
The proposed federal funding for education in fiscal year 2026 includes a reduction of up to 100% of Title II and III programs, and up to 25% of Title I program. It is estimated the district will lose $6 million resulting from the proposed federal budget. Additionally, the absence of an approved federal budget and the federal government shutdown contributed to the uncertainties of funding for school districts.
How does the school district receive these federal funds?
The federal government uses a reimbursement process for school districts to claim funds. The district needs to spend the approved grant before a claim can be submitted. At the end of each month, the school district files a claim to be reimbursed for the previous month’s expenses. For example, July expenses were claimed in August, and August expenses were claimed in September.
Where can I get more information or ask questions?
Visit Budget Update on our website or email KSDBudget@kent.k12.wa.us.
We’re committed to making thoughtful, student-centered decisions that ensure every child continues to receive a high-quality education. As part of OneKSD, we remain united in our efforts to support students, families, and one another as we continue working together to build a strong, inclusive community.