Marysville SD adopts budget; remains under enhanced financial oversight from OSPI

(The Center Square) - Tuesday marked the third day of classes in the Marysville School District, which is facing significant financial challenges.

The district is currently under enhanced financial oversight, the latest step in the state’s efforts to correct years of financial turmoil in Marysville schools.

Last week, in a letter to the district, Washington State Superintendent of Public Instruction Chris Reykdal wrote, “Despite being faced with significant financial challenges, the district has shown it is unwilling and unable to take appropriate steps or accept responsibility for the current situation.”

At time the letter was sent, the district had not adopted a budget for the 2024-25 school year.

School board members met Thursday evening and unanimously approve their proposed budget.

The district now submits its proposed budget to the state, where a financial oversight committee will work with the district to make any necessary changes.

One of the potential cost-saving measures being considered would eliminate student athletics for winter and spring. On the Facebook page of the Marysville Community Coalition, formed in response to the district’s financial woes, one concerned parent wrote, “Oversight is good (needed!) ... losing sports though, would be so unfortunate. Our students should not have to pay the price for the ongoing mismanagement at the district office!”

Marysville School District Board of Directors President Connor Krebbs issued a letter in response to OSPI’s announcement of enhanced financial oversight, which was emailed by the district to The Center Square.

“The district has actively been working to address its financial situation by implementing many of the requirements outlined in your letter over the course of this past year, and, in addition, the district made nearly $13.5M in cuts prior to the 2022 - 2023 school year, $12M prior to the 2023 - 2024 school year, and most recently an approximately $8M as we planned for the 2024 - 2025 school year,” the letter reads.

The letter also outlines requirements from OSPI that are being addressed, including:

A district wide hiring freeze which was already in place as of last spring;A freeze on all discretionary school building budgets (non-personnel costs);Postponement of any planned curriculum adoption until the district exits binding conditions;No new stipends for administrative staff until the district exits binding conditions; No state or local-funded travel for administrative staff; andConsultation with the Tulalip Tribes' board of directors about the impacts of budget reductions.

Krebbs added that the district is taking proactive steps to train human resources and fiscal staff on appropriate account coding, reporting, and cleaning up of inaccurate records and data.

As previously reported by The Center Square, MSD has undergone a long period of financial instability, which prompted a whistleblower investigation and administrative resignations in recent months.

Marysville is the only district in the state under enhanced financial oversight , according to OSPI spokesperson Katy Payne.