Albemarle superintendent presents FY26 needs-based funding request totaling about $304 million, cites $7.8 million gap

Matthew Haas, superintendent of Albemarle County Public Schools, presented the division’s fiscal year 2026 needs‑based draft funding request to the Albemarle County School Board, saying the total budget across all funds is just over $304 million and that the division faces a projected $7.8 million funding gap.

Haas described the presentation as the statutorily required first step in the budget process and said the board will adopt a balanced FY27 budget in May. “This is not the same thing as a balanced budget, but it is the first step into getting there,” he said. He also framed public education as “an investment,” saying, “Public education is not a cost. It is an investment.”

The request covers the school fund and special revenue funds. Haas said roughly 71 percent of total revenues (about $216.5 million) come from local sources, nearly 25 percent (about $75 million) from the state and just under 4 percent (about $12 million) from the federal government. He said most federal funding — about $11.5 million — is restricted as special revenue for programs such as school lunch, IDEA and Title I and therefore cannot be used flexibly in the main operating budget.

Haas outlined drivers of rising expenditures: higher health‑care costs (projected to reach nearly $33 million under current assumptions), enrollment growth, inflation and a lower state contribution related to a change in Virginia’s local composite index (LCI). He said a change in the LCI reduced state funding to Albemarle by an amount Haas estimated at roughly $10 million per year compared with two years ago, and that the division ranks 14th of 133 Virginia school divisions on that index.

The superintendent said the FY26 school fund revenues are proposed at $281 million (a 4.4 percent increase from the prior year) and that projected total expenditures for FY26 are about $289 million, a 7.2 percent increase. Salaries and benefits account for the largest share of spending; Haas reported salaries and benefits make up about 83.6 percent of the operating budget and instructional services account for nearly 71 percent under state reporting categories.

Key investments and reductions described in the FY26 request include: - A $6.5 million compensation package that Haas said includes a 3 percent salary increase for all employees effective July 1, 2025, plus targeted market adjustments for certain roles such as special‑education teaching assistants and transportation staff. - A $649,000 proposal to expand the Intensive Support Center (ISC) to provide behavioral supports and to relocate post‑high (ages 18–22) services into the ISC facility. Haas said the change aims to reduce long‑term costs of external placements and provide greater continuity of care. - A $406,000 investment to sustain and expand Scholars Studios staffing and supports for English learners and special education students. - Funding for two additional school resource officers (one at Monticello High School and one at Western Albemarle High School) described as a roughly $250,000 investment that would be fully offset by eliminating three FTEs in student safety coaches. Haas said officers would work year‑round with school leadership and safety teams. - $2.7 million in service reductions added to the $3.5 million in cuts from the current year; Haas said reductions are necessary to address ongoing revenue constraints and that they will have both anticipated and unforeseeable effects on student experiences and staff support.

Haas cited other figures included in the presentation: ACPS serves about 14,164 students; the division employs about 2,839 people; roughly 13 percent of students receive special education services; 28 percent are economically disadvantaged; and ACPS provides more than 7,500 meals daily and operates buses that travel more than 9,400 miles each day. He also flagged capital and infrastructure needs — ADA improvements, electrical upgrades to support technology, and other renovations — and urged a phased multiyear approach to address aging facilities.

Haas said health‑care costs have risen substantially in recent years, increasing more than 54 percent over two years, and he described an “outbound employee care clinic” intended to control costs and improve access. He also noted projected enrollment growth of 178 students and said the FY26 request includes $1.3 million to accommodate that growth; he added actual year‑to‑year enrollment change is expected to be 45 students.

Haas closed by outlining next steps: a rescheduled work session the week after the meeting, a public hearing on the budget next week, and a second work session on March 6 that will focus on compensation, service reductions and balancing scenarios. He reminded the board that, by state law, he presented a needs‑based draft budget.

The presentation included several staff members and cabinet members whom Haas thanked by name and identified as contributors to the draft request.