Rep. Skyler Rude: ‘Legislative action was essential to preserve the Prescott School District’

Superintendent of Public Instruction Chris Reykdal sent a letter to Educational Service District (ESD) 123 today announcing the withdrawal of his dissolution petition for the Prescott School District. Reykdal filed the petition back on January 12 because the district was unable to demonstrate that it would remain financially solvent through the 2026-27 school year.  

The move today comes six days after T.J. Kelly, Chief Financial Officer for OSPI, sent a letter to Reykdal recommending he rescind the dissolution petition.  Kelly noted that the district’s financial condition had improved due to the coordinated efforts of the Prescott community and the Legislature. The letter also included analysis and recommendations from the Financial Oversight Committee.    

Rep. Skyler Rude, R-Walla Walla, applauded the decision and credited bipartisan efforts for helping lead to the outcome.    

“As we entered the 2026 legislative session, it was clear that legislative action was essential to preserve the Prescott School District,” said Rude, ranking member on the House Education Committee. “I am proud of the work our delegation did, in close collaboration with OSPI, to adopt the budget language needed to make this happen.”  

The supplemental operating budget that passed the Legislature on March 12 included language that allowed existing funding to be used for the Prescott School District.

The Legislature also approved a bill this year that allows the district to make interfund loans from its debt service fund and transportation vehicle fund to meet other obligations and to have those loans forgiven if the health of the original funds remains strong. Senate Bill 6065, sponsored by Sen. Perry Dozier, R-Waitsburg, passed unanimously and is expected to be signed into law by Gov. Bob Ferguson.  

“Senator Dozier, a Prescott alum, has been a champion on this issue,” said Rude. “His Senate partnership was critical to the success of this effort.”

According to OSPI, the Prescott School District will remain on Enhanced Financial Oversight for the 2026–27 school year.

“There is certainly more work that needs to be done legislatively to prevent these situations from happening as we see more and more districts in financial distress,” said Rude. “Senator Dozier and I have both introduced legislation to address financial solvency by creating early warning systems for districts that face financial challenges and enhancing oversight. That work will continue over the interim.”

House Bill 2593, sponsored by Rude this year, would have required OSPI to place school districts on formal financial monitoring if districts’ ending general fund balances fall below defined thresholds. The measure passed the House Education and Appropriations committees, respectively, but never reached the House floor for a vote.

The 2026 legislative session ended on March 12.

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Washington State House Republican Communications
houserepublicans.wa.gov