The Keene Board of Education is preparing to introduce a proposed operating budget of $83.4 million for the 2026-27 academic year, set for discussion and approval by the finance committee on Saturday before being presented to the public. This proposed figure signifies an increase of approximately $4.3 million, or 5.5 percent, compared to the $79.1 million budget that was approved by voters last year.

This budget proposal comes at a challenging time for the district, with declining enrollment drivers significantly influencing the financial plan. Current projections estimate K-12 enrollment to drop to 2,624 students next year from this year’s 2,857, a notable decrease from over 3,300 students five years ago. The total student count, including preschool and those attending the Cheshire Career Center, is anticipated to rise slightly, bringing the figure to 2,734.

Key contributors to the proposed budget increase include higher fixed and contractual costs. Specifically, the school district expects to address increases in expenses related to salaries, health insurance, and transportation for students receiving services outside of the district. The budget anticipates a direct impact on property taxes, estimating an increase of $2.88 per $1,000 of assessed value, translating to about $576 for a property valued at $200,000.

To align the staffing structure with the anticipated enrollment changes, the proposed budget outlines a reduction of 10 full-time and three part-time positions across the district. Although many positions will be eliminated, the plan also proposes the addition of eight positions focused on future support needs. Notably, reductions are expected at Keene High School and the Cheshire Career Center due to fewer students, while some roles will be reallocated between the two institutions.

The board will host a public hearing on Tuesday, January 20, at 7 p.m. at the Jonathan Daniels Professional Development Building, located at 227 Maple Ave. This session will provide the community with a chance to engage with the budget plan before it is finalized for ballot consideration. Those unable to attend in person can access the meeting via live stream on the district’s official website.

The financial challenges faced by the Keene School District are compounded by a notable decline in state education aid, which is projected to decrease by over $1.6 million. This reduction is mainly attributed to the drop in student enrollment, along with plans to utilize a smaller portion of the unreserved fund balance than in previous years.

As the school board looks ahead, the finance committee’s decision this weekend will steer the budget proposal into the public forum, paving the way for further discussions on the future of the district.