Newton County Schools unveils $265 million proposed FY2026 budget, flags $2.2M state funding shortfall

Chief Financial Officer Erica Robinson presented the proposed fiscal year 2026 budget for Newton County Schools at the board's second and final public hearing, saying the preliminary plan totals $265,000,000 and reflects an approximate $2,200,000 net decrease in state funding that the district must absorb.

The proposed budget, Robinson said, balances mandated obligations and board priorities while emphasizing employee compensation and benefits. "This budget is a clear expression of our values, supporting our staff, strengthening our workforce, and ensuring that every financial decision supports the long term success of our students," Chief Financial Officer Erica Robinson said.

Robinson outlined the budget-development framework and fund structure required by Board Policy DC and the state board of education process, noting the district's general fund covers day-to-day operations and that special revenue and debt service funds address project-specific revenues and long-term debt repayment. She described a four-phase development process that included planning, school and division budget requests, an internal review and refinement phase, and public notice and hearings after the board adopted a tentative budget in April.

On revenues, Robinson said the district faces a net decrease in state funding of about $2,200,000. She identified specific changes the presentation listed as contributing to the shift: a projected $361,000 cut to transportation funding, an estimated $4,500,000 reduction in equalization funding tied to local digest growth, and a local 5-mill share increase of about $2,000,000 that reduces state contributions. Locally, the district anticipates about $2,900,000 in additional revenue, including roughly $2,100,000 from a projected 6% increase in the property digest and an estimated $1,300,000 from planned distributions by joint development authorities; Robinson also said the district expects a decline of about $550,000 in collections from intangible and real estate taxes and investment earnings.

Robinson presented expenditure drivers for the preliminary $265,000,000 budget, calling out two primary pressures: the full implementation of a classification and compensation study (estimated at $8,000,000) and rising employer benefit costs, including an anticipated $3,900,000 increase in employer health insurance premiums and a $1,600,000 rise in contributions to the teachers' retirement system. The presentation used a projected enrollment of 18,747 students to estimate a per-pupil expenditure of $14,138 for FY2026.

Robinson also noted the district's priorities reflected in the budget: targeted investments in staffing, textbooks and supplies, utilities and fuel, repairs and maintenance, and technology equipment. She described the FY2026 proposal as "responsible" and aligned with board-identified goals while acknowledging that not all stakeholder requests could be incorporated.

Following the presentation, Superintendent Dr. Bradley formally submitted the preliminary FY2026 budget "for the board's consideration, and it is available for approval," but the transcript shows the board did not take a formal vote at that hearing and there were no public comments. Robinson said the board is expected to adopt the final FY2026 budget at a regularly scheduled meeting and that the district will begin the millage-adoption process in July 2025.

No vote or formal adoption occurred during the hearing; board members asked no substantive follow-up questions on the record and no public participants addressed the board during the allotted comment period.