Idaho school districts put more than $716 million into savings this year, another record amount.
The saved money, labeled “fund balances” on audits, was not spent during the 2025 fiscal year and therefore carried over to this school year’s budget. Just four districts and charters of 192 either had no savings or a negative fund balance, according to an EdNews review.
While the dollar amount is a record high, it tallies to 22.9% of general fund budgets, the same percentage as last year.
The savings come at a time when state coffers are lean. Other agencies, including higher education, have been required to forfeit 3% of their funding, while K-12 education funding has been left whole.
Lawmakers, who arrived at the Statehouse this week, may have to make drastic cuts to balance this year’s and next year’s budgets. Gov. Brad Little protected schools from $850 million in cuts in his budget proposal Monday, but school leaders aren’t so sure his protection will continue.
The latest savings reflect a statewide trend of growing fund balances:
- 2020-2021 fund balance: $444 million
- 2021-2022 fund balance: $519 million
- 2022-2023 fund balance: $565 million
- 2023-2024 fund balance: $712 million
- 2024-2025 fund balance: $716 million
Learn more about fund balances here.
This data comes from the financial audits submitted to the state by districts and charters as of June 30, 2025, and obtained by EdNews from a public records request. West Bonner School District is the only district statewide that has yet to complete its audit.
Districts stash money in a fund balance, just as people do in savings accounts. They use the money for emergencies or unplanned expenses, such as contracts that run over budget, or if state funding doesn’t match their needs.
Idaho allows districts and charters to set aside funds up to 5% of annual budgets. Unused dollars count as income at the end of the year. Debate over how much districts should save has lingered for years.
Heather Williams, Associate Executive Director of the Idaho Association of School Administrators, wrote in a column last year that fund balances are a large part of responsible district management.
“I’ve witnessed firsthand how economic booms and busts, funding freezes, and formula changes profoundly impact our schools. During the devastating 2008-2009 recession, I served as a superintendent facing unprecedented budget cuts and agonizing decisions about programs and personnel,” Williams wrote. “Those experiences cemented my understanding of why prudent financial planning isn’t optional—it’s essential.”
Financial experts recommend districts have a reserve of 25-33% of their annual budget, enough to cover about three or four months of expenses should an emergency arise, Williams said.
Opponents of fund balances argue that bonds and levies might not be necessary when school districts have money sitting in their fund balance, waiting to be used.
Idaho’s largest school districts often save the most by dollar amount, but it’s a smaller percentage of what they spend annually. Some small districts have saved as much as 75% of their general fund budget, but the total is much less.
The five largest fund balances, by dollar amount:
- Boise has $47.5 million in savings, or 15.2% of its general fund
- West Ada has $46.4 million in savings, or 14% of its general fund
- Vallivue has $25.6 million in savings, or 27.6% of its general fund
- Lake Pend Oreille has $22.5 in savings, or 46.3% of its general fund
- Coeur d’Alene has $18.9 million in savings, or 18.5% of its general fund
The five largest fund balances by % of the general fund budget:
- Kootenai Bridge Academy has 389.4% of its general fund in savings for $11.6 million
- Island Park Charter School has 175.2% of its general fund in savings for $733,036
- Gem Prep Online has 160.3% of its general fund in savings for $6.5 million
- North Idaho Stem Charter School has 152.2% of its general fund in savings for $8.5 million
- Liberty Charter has 134.5% of its general fund in savings for $5.7 million
Learn more about Kootenai Bridge Academy’s hybrid education model and their fund balance here.
The greatest change from 2024 to 2025:
- Oneida County’s fund balance went up 76.7%
- Kootenai Bridge Academy’s fund balance went up 52.5%
- Gem Prep Online’s fund balance went up 41.6%
Charter schools are more likely to see large swings in their fund balance for a number of factors, including that they are smaller by enrollment than traditional school districts and have a different funding mechanism for building schools and maintenance. Oneida County runs the largest virtual charter school in the state.
That swing is exemplified by the districts with the largest drop in fund balance:
- Fernwaters Public Charter’s fund balance dropped by 34.1%
- Richard McKenna Charter’s fund balance dropped by 28.5%
- Chief Tahgee Elementary Academy’s fund balance dropped by 28.1%
Some small districts and charters were in the red last school year:
- Gem Prep Twin Falls was $28,807 in the hole or -1.1%
- Three Creek Elementary was $126,832 in the hole or -59.5%
- Hayden Canyon Charter School was $153,898 in the hole or -3.4%
- Promise Academy was $163,427 in the hole or -48.2%
Ed News Data Analyst Randy Schrader contributed to this story.
