Independent auditors presented an unmodified opinion on Naperville Community Unit School District 203’s fiscal 2025 financial statements and a highest‑level ISBE financial profile during the school board’s Nov. 17 meeting.

Audit partner Matt Baron said the audit produced an "unmodified opinion," meaning the financial statements are materially correct. He reported operating fund balances of about $93 million — roughly 37% of operating expenses — and noted roughly $40 million earmarked for future capital projects. "No internal control findings" were identified in the audit walkthrough, Baron added during his summary of the audit and management letter.

The board then turned to the administration’s updated five‑year financial forecast, which projects a structural imbalance if no corrective action is taken. Finance staff told the board that settlement costs with the district’s employee group and finalized benefit costs increased ongoing expenditures by more than $3 million this year, and that, based on current assumptions, the district faces an approximate $12.5 million deficit in fiscal year 2027 if trends continue.

Board members pressed administration for specific, actionable options. Trustee Mark (Wilensky) said the board needs to weigh student impact against fiscal urgency, asking which cuts would most directly affect instruction. Finance director Mike (identified in board materials) and Superintendent Bridges recommended that the board choose a pace — from immediate, deeper reductions to a multi‑year approach that "flattens the curve" — and directed administration to return with scenarios illustrating tradeoffs, timing and likely impacts on programs and staffing.

Levy assumptions and revenue drivers were discussed alongside the forecast. Administration used a 2.9% CPI (the tax‑cap figure) in levy planning and noted that new construction and assessed value changes materially affect the district’s tax receipts. The tentative 2025 levy presentation (administration recommended a $315,000,130 request) was presented separately and the board was reminded it may lower the levy later in the process but cannot increase it after the December filing.

What’s next: The board verbally directed administration to provide a menu of options — timelines and put‑and‑take estimates for program reductions, potential investments that yield ongoing savings, and detailed cost implications — ahead of the May budget process and before the spring window for levy adjustments.

Quotes from the meeting capture the tone: Auditor Matt Baron said, "We provided an unmodified opinion," and a board member summarized the need for choices, saying the district must "flatten the curve" of projected deficits. Superintendent Bridges emphasized the district can absorb limited deficits from fund balance for a short time but cannot rely on reserves indefinitely.

The board will revisit the forecast and scenarios as administration refines recommendations; no formal budget cuts or levy decisions were adopted during the Nov. 17 meeting.