Assembly increases borough funding for schools

Published 1:30 am Wednesday, May 13, 2026

The Kenai Peninsula Borough Assembly okayed increased local funding for district schools last week, alleviating several planned budget cuts and across-the-board increases to the pupil-teacher ratio put forth in the preliminary budget adopted by the borough school district in April.

Resolution 2026-025 confirms the district’s ask of $62.3 million in local contribution for fiscal year 2027, a funding level that matches what was provided by the borough in FY2026. The resolution does not yet appropriate funding for education; that will be part of the borough’s budget process for FY27, for which public hearings will be held on May 19 and June 2.

Last week’s resolution was introduced by borough mayor Peter Micciche and passed by the assembly in an 8-1 vote on May 5.

Micciche originally proposed $59 million in local education funding for FY27, a 2.5% increase to last year’s proposed funding before the assembly voted to fund schools to the cap.

Several district parents and staff members asked that the borough again provide the maximum allowable amount of funding — this year, nearly $69 million — to help mitigate an $8.5 million deficit caused by decreased state funding and to reverse even more budget cuts.

“I think we are needing to bridge problems with the state funding that everybody’s talking about,” Soldotna resident Dawn Magnus said during the public hearing on Resolution 2026-025. “I do believe that the state constitution says that education is part of their duties, and we need to hold them to that, but we also need to survive until we can.”

However, Micciche previously stated in town hall meetings held across the borough in April that he would not support funding schools to the cap again this year. The assembly also heard an amendment to the resolution, introduced by Cindy Ecklund, aimed at providing the maximum allowable funding for FY27. The amendment failed in an 8-1 vote, with Ecklund the only supporter of the motion.

Resolution 2026-025 calls the increased local funding “difficult” and says that, while the borough values quality public education in the KPBSD “as reflected by this year’s local contribution to education,” they will prioritize returning to the 2.5% sustainable budget curve for FY2028, as well as a collaboration with the state “for long-term sustainable education funding.”

“We value education beyond reason and, so far recently, beyond mathematical sustainability, and we’re proud to do it one more year,” Micciche said during the meeting.

“It’s tight. We can’t do it another year.”

The resolution also says that the increased local funding is being supported this year “in recognition of the hard work and difficult decisions by the KPBSD school board and staff in an effort to reduce their spending toward a partnership of sustainability with KPB taxpayers.”

Part of that reduction in spending comes from the school board’s vote in April to close four schools starting in the next academic year: River City Academy, Seward Middle School, Sterling Elementary School and Tustumena Elementary School.

School board president Jason Tauriainen said during the public hearing that the FY26 funding match was “what we’re asking for.”

He then urged assembly members and borough administration to continue advocating with state legislators to fix the foundation formula to make education funding “more equitable in the state,” and said he would do the same.

“Dumping this on the local taxpayer is not fair. Honestly, I think the whole thing is unfair,” he said. “It’s unfair that some places in our state pay nothing, and other places have to pay a big chunk. Other boroughs have fought against that and it hasn’t gone anywhere up until now, but this should be the wake-up call.”

Micciche said that the borough “will work tirelessly” with state legislators and the next governor on an outcome for education funding “that includes escalation, understanding that inflation is the thief in the night.”

“Make sure we put the pressure where the pressure should go, and let’s hope for a stronger relationship with the state that results in long-term sustainable funding,” he said.

Find the full recording of the May 5 KPB Assembly meeting at kpb.legistar.com.