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Reserve Watch

RUSD's reserves are projected to drop below the district's own policy floor within three years.

37.6%

FY 2025-26 (actual)

→

24.6%

FY 2028-29 (projected)

Board Policy 3105.1 sets the minimum reserve at 27%. The FY28-29 projection falls 2.4 points below.

Reserve History

Reserve levels over time

27% floor

FY 2022-23

45%

FY 2023-24

41.7%

FY 2024-25

41.5%

FY 2025-26

37.6%

FY 2026-27

projected

31.9%

FY 2027-28

projected

28.6%

FY 2028-29

projected

24.6%
↓ below floor
Actual
Projected (above floor)
Projected (below policy floor)
Policy floor (27%)

Sources: Annual Financial Audit Report 2023-24 · FY 2024-25 Year-End Financial Report (Unaudited) · FY 2025-26 Unaudited Actuals (September 15, 2026) · FY 2026-27 Adopted Budget · Multi-Year Financial Projection. FY22-23 estimated.

Plain English

What does this mean — and what can the district do?

What it means

A district's reserve is its savings account — money set aside to cover unexpected costs like a bad state budget year, emergency repairs, or a sudden enrollment drop. Board Policy 3105.1 sets RUSD's minimum reserve at 27% of its annual operating budget.

The FY25-26 Unaudited Actuals (September 2026) show reserves ending the year at 37.6% — comfortably above the floor, after the year's drawdown came in at just $0.49M versus the $1.83M budgeted. But the multi-year projection still puts reserves at 24.6% by FY28-29— 2.4 points below the board's own policy floor. That would trigger a required conversation about structural changes to the budget.

This is not a crisis. A 3-year projection can change significantly with enrollment shifts, state funding changes, or targeted reductions. But it is a planning signal the board needs to act on now.

What tools the district has

  • •Local parcel tax (requires 2/3 voter approval)
  • •General obligation bond for facilities (55% voter threshold)
  • •Developer fees from new construction
  • •State categorical program optimization
  • •Inter-district transfer enrollment strategy
  • •Expenditure reductions through attrition
  • •Budget Advisory Task Force recommendations
LG

Lina's take

“This isn't a crisis. It's a planning horizon. The budget has three years before reserves touch the floor — that's enough time to act thoughtfully. What I want is for the full menu of revenue and expenditure tools to be on the table, transparently, with the community in the room.”

Sources

  • Board Policy 3105.1 — Board-adopted minimum reserve requirement of 27% of annual operating budget.
  • Annual Financial Audit Report 2023-24 — Certified actual reserves: $12.18M unrestricted / $29.2M expenditures = 41.7%.
  • FY 2024-25 Year-End Financial Report (Unaudited) — Actual reserves: $12.56M unrestricted / $30.29M expenditures = 41.5%.
  • FY 2025-26 Unaudited Actuals — September 15, 2026. FY25-26 year-end actual: 37.6% ($12.28M unrestricted / $32.69M). FY26-27 projected: 31.9%.
  • Multi-Year Financial Projection (3-Year) — FY27-28: 28.6%. FY28-29: 24.6% (2.4 points below policy floor).

Interactive Tool

Try the Budget Slider

See how different budget scenarios affect reserve levels — and what trade-offs the board will need to weigh.

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