Peoria Unified School District outlines compensation plan amid enrollment decline

In a recent Peoria Unified Governing Board meeting, key discussions centered around budget development and compensation recommendations for the upcoming fiscal year. The atmosphere was charged with anticipation as board members and administrators gathered to address pressing financial matters affecting the district.

President Rooks opened the meeting with inquiries about an appraisal expected within weeks, which is crucial for future planning, particularly regarding potential land swaps with the city for new school construction. The board emphasized the importance of maintaining partnerships with local government to facilitate these developments.

As the meeting progressed, Ms. Myers presented a detailed overview of the fiscal year 2026 budget, highlighting a significant decline in student enrollment that has led to a reduction in funding. The district initially projected a loss of 350 students but is now facing a decline closer to 1,000, which has drastically impacted budget forecasts. This decline is expected to result in a $1.5 million reduction in the Maintenance and Operations (M&O) budget, prompting discussions on how to balance expenditures effectively.

Compensation for district employees was a focal point, with recommendations for a 2% increase in base salaries for all employee groups, amounting to an estimated cost of $3.2 million. The budget team, composed of various stakeholders, has been actively involved in shaping these recommendations, which aim to address salary compression issues and enhance recruitment efforts.

The board also discussed the need for competitive wages, particularly for bus drivers, as the district faces challenges in staffing. A proposed starting wage of $24 per hour was introduced, reflecting a strategic effort to attract and retain qualified drivers amidst increasing competition from other sectors.

In addition to salary increases, the board considered a $500 retention stipend for classified hourly staff, aimed at encouraging employee loyalty and timely return for the new school year. This initiative underscores the district's commitment to supporting its workforce during challenging times.

As the meeting concluded, board members expressed gratitude for the comprehensive presentation and the collaborative efforts of the budget team. With further discussions scheduled for March 27, the district is poised to finalize its compensation recommendations, ensuring that it remains competitive and responsive to the needs of its employees and students alike. The outcome of these discussions will undoubtedly shape the future of Peoria Unified School District as it navigates the complexities of funding and staffing in the coming years.