Welcome to KSD Funding Facts, your central source for accurate and timely information about the financial realities facing Kellogg School District. Following the recent levy failure, we are preparing for significant budget adjustments that will impact our programs, staffing, and services. This page will be updated regularly to help our community understand the scope of the financial changes, the decisions being made, and how those decisions support our ongoing commitment to students. Thank you for staying informed and engaged as we navigate this challenge together.

Overview: Why Funding is Changing

On November 4, 2025, the voters of the Kellogg School District were asked to approve a supplemental levy in the amount of $3,524,350. This levy was to be a replacement of the levy that expires on June 30, 2026. The tax impact, when the levy was resolved by the Board of Trustees on August 12, 2025, would have had a tax impact of an additional $21.80 per $100,000 of taxable assessed value. In September of 2025, updated tax rate information was submitted through Shoshone and Kootenai Counties and that adjusted tax rate would have DECREASED the levy's tax burden to $29.61 LESS per $100,000 of taxable assessed value than the existing supplemental levy amount. This information was not available to the Kellogg School District prior to the deadline to submit the levy resolution and ballot language to the Shoshone and Kootenai County elections offices.

The KSD voters voted to not pass the requested levy amount so district administration is now faced with navigating a path forward.

What We're Doing Now

November 17, 2025 - Administration must now plan for a future without the supplemental funds that have been fundamental for programs and personnel which means forecasting a budget for the 2026-2027 school year with a $3.5 million dollar reduction. According to the 2024-2025 audit, the Kellogg School District budget is comprised of approximately 80% in salaries & benefits with the remaining 20% being non-discretionary expenses such as utilities and infrastructure. Administrators and department supervisors are in the process of identifying 30% reductions from their 2025-2026 budgets with a deadline of December 1, 2025. The district will be enacting a reduction in force policy to achieve precision staffing levels, as well as identify programs and positions throughout the district that rely exclusively on levy funding. These levy-funded items were listed on the November 4th ballot:

Utilities - Extra Curricular Activities - Classroom Supplies - Technology/Support - Instructional Materials - Full Day Kindergarten - Classroom Support - Transportation - School Nurse - Custodial - Ancillary

December 5, 2025 - Discussions continue regarding identifying programs that, without supplemental levy funding, are not fiscally sustainable. Although programs like Special Education, Transportation, Food Services and ROTC receive reimbursed funding from various sources, the district is not reimbursed 100% for these programs. The remaining funding for these programs is not provided through State of Idaho allocations therefore supplemental levy dollars are needed for these programs to operate at their current levels. Without the levy funds secured for the 2026-2027 school year, budgets for these programs must be reduced at a minimum of 30%. An equally important topic of discussion is the way the district is funded for staff salaries and benefits. For certified staff (teachers, pupil services & administrators), the district receives salary based apportionment based on a calculation of student attendance. The State of Idaho determines the amount of certified staff the district should be funded for, called "FTE" (Full Time Equivalent). The district is funded for 59 FTE certified staff and currently employs 71 FTE certified staff members. District administration is working to identify 12 certified FTE positions that may be eliminated. It is hopeful that through attrition (retirements and resignations), the full reduction of FTE positions may not be subject to Reduction in Force policy.

Community Information Sessions

November 19, 2025 - Superintendent Lance Pearson hosted a community information session at Kellogg High School. He reviewed our audit that was completed in October and discussed what the levy results mean as we plan for next year. The meeting was attended by over 50 community and staff members. The information shared can be found HERE. The engagement from the audience was supportive and we appreciate the questions and comments. It is important for the community to understand that the levy that failed was a replacement levy for 30% of the district's operating budget that expires on June 30, 2026. The Board of Trustees will determine if the levy will be rerun in May 2026 and at what amount. It is expected that this decision will be made in early March. It is important to understand that under Idaho Code, the district must submit a budget for the 2026-2027 school year for publication at approximately the same time as the anticipated May election date, therefore the budget must reflect the reduction of 30%. Reductions in force of employees and programs will be reflected before the levy can be voted on again, due to the loss of the March election date. The community is encouraged to be engaged throughout this process and we look forward to hosting similar events in the near future.

How Can You Be Involved?

Community engagement will be a key factor as we navigate the financial future of the Kellogg School District. Families, staff & community members who are interested in positively contributing to the conversation at hand are asked to reach out to the district office to be included in budget updates, community forums and other opportunities as they arise.

Please 208-784-1348 or email lance.pearson@kelloggschools.org.

Please include your name, relationship to the district (parent, staff member, community member, etc) and a mobile phone number.

Frequently Asked Questions

Throughout the next several months, we would like to answer the communities questions about supplemental levies, how the State of Idaho funds public education and other topics as they pertain to the decisions being made. Please submit your questions to help us provide the information that is important to you. Email megan.bumgardner@kelloggschools.org.