School board previews FY2026 operating budget, cites $15.4M in new state funds; adoption set for Feb. 27

The Chesterfield County School Board on Feb. 25 held public hearings on the superintendent's proposed FY2026 operating budget and capital improvement plan and discussed a revised proposal that staff will bring back for adoption at a special meeting on Feb. 27.

Finance staff told the board the General Assembly's recent actions and other technical changes increase available state revenue by about $15,400,000 and that the county has agreed to about $1,000,000 in additional one-time support, narrowing a previously identified $16,800,000 funding shortfall. Board members were briefed on remaining items staff said they plan to address before the Feb. 27 vote, including alternate funding for the recovery academy and transportation fuel cost assumptions.

"We are at a point where we are able to come to you on Thursday with a revised proposal for our budget that we will then turn over to the Board of Supervisors on or by March 1," finance staff said during the briefing. The presentation said the governor had proposed roughly $12 million in increased funding for the division; the General Assembly's actions cited by staff include removal of a support cap (estimated at just north of $12 million for Chesterfield), enhanced special education funding (about $3 million) and a proposed $1,000 bonus for eligible SOQ positions. Staff noted the governor's final signature could still alter those figures.

Key numeric changes staff described: - Approximately $15,400,000 in additional estimated state revenue (General Assembly changes plus a pre-K grant funding swap), - About $1,000,000 in additional county support (a mix of $606,000 in one-time funding and a $400,000 reduction in shared-service charges), - A remaining funding gap roughly under $400,000 that staff proposed closing by assuming alternate funding for the recovery academy (cost just under $300,000) and reducing the transportation fuel inflation allowance by about $100,000.

The administration also described a $1.2 million reclassification of pre-K funding from federal grant (Head Start) to state-funded VPI seats; staff said the change shifts funding sources but does not alter enrollment or teaching positions.

Superintendent Dr. Jeffrey Murray told the board he supported the proposed compensation adjustments in the superintendent's plan but said, "percent is not nearly enough of a raise. They deserve so so much more." He and staff urged patience while they finalize adjustments after the governor's action and before formal transmittal to the county on March 1.

Board members asked clarifying questions about the regional recovery academy (which staff said serves Region 1 and currently receives $500,000 in state support but no ongoing regional contribution), the use and sustainment of leased "mega" trailers, and whether the state's proposed $1,000 bonus for SOQ positions would require a local match. Staff said the General Assembly's current language, as described to the board, did not require a local match but that the division would map eligible job codes before estimating local fiscal effects.

The board also heard that the capital improvement plan (CIP) remains largely unchanged from prior drafts; staff flagged one pending update to high-school bid pricing that they said is expected to come in lower than previously assumed. The board was scheduled to take formal action on both the FY2026 operating budget and the FY2026 CIP at its Feb. 27 special meeting.

Why it matters: The revised revenue estimates, if finalized, would close most of the division's projected deficit and preserve a large compensation package included in the superintendent's proposal. Remaining decisions before final adoption include funding for a regional recovery program, the placement and cost of leased classroom trailers, and technical adjustments to grant-funded pre-K seats.