Amid fiscal turbulence, two Arizona school districts have been singled out for their precarious budgetary status, as a new financial risk analysis sheds light on their struggles. Antelope Union High School District and Isaac Elementary School District are now the spotlight of concern, according to the Arizona Auditor General’s Office. The assessment, based on 10 key financial risk measures, has placed these districts at the top of the financial risk list, with challenges ranging from operating budget limits to capital budget reserve shortfalls.
In a move to essentially take control of the dire situation, the State Board of Education has appointed a receiver for Isaac Elementary School District. This administrative maneuver came after the district exceeded its operating and capital budget limits by sizable margins—$2.9 million and $9.3 million, respectively, as documented by the Arizona Auditor General’s Office. Antelope Union High School District has been under similar oversight since June 2023, illuminating a continuing trend of financial distress within certain segments of Arizona’s educational infrastructure.
However, it’s not all bleak news on the educational front. There is an improvement to be noted. The report identified that two districts, which were on last year’s high-risk list, have made commendable efforts to climb out of their fiscal pits. Santa Cruz and Tonto Basin Elementary School Districts have trimmed their budgets to align with revenue streams, a strategy that has improved their financial health and facilitated the lifting of a years-long freeze on their property tax rates…