A recent analysis has found that Oregon’s lowest-income school districts, particularly the Reynolds School District, are being shortchanged due to underreported poverty levels among students. This issue directly affects how much funding each district receives, which is essential for delivering quality education.
As the superintendent of Reynolds School District and presidents of the unions representing both teachers and classified staff, we have witnessed first-hand the disconnect between state funding and the actual needs of schools. The state’s current focus on “accountability” fails to address the fundamental issue of underfunding, particularly in districts that serve vulnerable populations.
Under Senate Bill 141, the Oregon Department of Education has been given the authority to intervene in local districts’ spending when performance benchmarks are not met. While accountability is important, it cannot substitute for the necessary resources to adequately support schools, especially those with a high percentage of high-needs students.
A report commissioned by state lawmakers and conducted by the American Institutes for Research highlighted significant inequities in how Oregon allocates funds from the State School Fund. This research indicates that the formula used to distribute money is outdated and does not accurately reflect the current demands of educating students with diverse needs, including English learners and those from low-income backgrounds.
For the 2025-2026 school year, Reynolds School District is facing critical challenges as it serves nearly 10,000 students across five cities in East Multnomah County. Many families in the area experience some of the highest rates of persistent economic disadvantage in the state. Despite recent increases in funding, the financial support has not kept pace with rising costs, resulting in difficult decisions.
The district has had to implement budget cuts, leading to approximately 200 layoffs over the past two years and the reduction of six instructional days from the school year. This situation leaves students with less than the state’s minimum required instructional time, a consequence of a system that consistently fails to provide for its most needy districts.
The funding formula, established over 40 years ago, does not adequately reflect the realities of today’s educational landscape. In Reynolds, more than 75% of students live in poverty, significantly higher than the state average of 33%. Furthermore, around half of the district’s students come from homes where English is not the primary language, necessitating additional specialized support that the current funding does not cover.
In special education alone, Reynolds spends millions more each year than the state allocates to meet legal and ethical obligations to provide appropriate education for students with disabilities. The challenges faced by our district are indicative of a larger systemic issue affecting many schools across Oregon.
Despite these obstacles, we celebrate the achievements of our students, who continue to gain acceptance to prestigious colleges. Their resilience is commendable, but it raises the question of what more could be accomplished with a funding system that better supports their needs.
The ongoing underfunding leads to conflict between district leadership and unions over resource allocation, creating a cycle of labor-management strife that ultimately harms both staff and students. High turnover rates, burnout, and mistrust among educators further exacerbate the challenges faced by our schools.
No amount of accountability measures or temporary state intervention can offset the deficiencies of a funding formula that inadequately supports high-need students. It is imperative that Oregon revises its approach to counting and funding students experiencing poverty and fully funds special education programs.
Until the state’s funding mechanisms align with its commitment to accountability, districts like Reynolds will continue to be placed in impossible positions, often unfairly labeled as failures when they struggle to meet expectations under chronic financial strain.
Contributions to this article were made by Kristy Cousineau, vice president of the Oregon School Employees Association, Chapter 37.
