The district has carefully developed its Guiding Principles for Organizational Decision-Making. The role of the budget is to resource these guiding principles. The planning is done in support of the Board's Strategic Priorities for Enhancing Student Learning. We are seeking advice on how to do that as effectively as possible.

The first version of the budget is referred to as the Annual Budget, which is typically approved in June of the prior school year. The Annual Budget is driven by conservative student enrollment estimates and the resulting district funding. Based on the estimates, we allocate revenues and expenses through a district-based budgeting model. The discussions from the annual partner group meetings assist us in incorporating various needs and strategies into the district’s Annual Budget. Changes in actual enrollments compared to estimates drive the Amended Budget development process and the related funding impacts.

QSD's operating funding is derived from the following key areas:
• Student Full Time Equivalency (FTE) Funding - generally speaking majority of the school district's funding is generated on a per student basis;
• Special Purpose Funding - this includes targeted funding the school district receives for particular purposes and services, including Community Link Funding and Classroom Enhancement Funding;
• Funding to support students with unique needs;
• Supplemental Funding - this includes funding that is generated for supplemental areas, including geographical funding and average district vs provincial certificated educator compensation;
• International Students - this funding is generated within the District from international students' tuition and related fees.

The Provincial Funding Model is expected to change in future school years. School districts are anticipating that any changes to the level of total district operational funding would be temporarily subsidized through bridge funding from the province. Regardless of the current funding model or the new funding model, it is the Board’s responsibility to come up with the annual budget (spending plan) through the funding received.

Non-discretionary means that the Board is required to provide these staff and services from the annual operating budget. The majority of the annual budget is considered non-discretionary and is driven by such things as the School Act, Teachers and Support Staff Collective Agreements. Discretionary expenses means that the Board has flexibility with respect to how to allocate the funds.

The key dates for the budget development process are: •December 2025 to January 2026: 2026-27 Annual Budget Development Preparation;
•January to February 2026: Enrollment Projections; Budget Survey; Public Budget Information Session
•February 2026 : Annual Partner Group Meetings;
•February to March 2026: Initial School Planning Meetings;
•March 2026: Provincial Budget Released & Update Board on 2026-2027 Preliminary Budget;
•April (May) 2026: Board Approval of 2026-2027 Qualicum School District Annual Budget;
•September 2026: Actual Enrollments;
•October 2026: Actual Revenues;
•January (February) 2027: Board Approves Amended Annual Budget