Henry County school board reviews preliminary FY2026 budget; facilities budget listed as $0

HENRY COUNTY, Va. — The Henry County School Board on Jan. 23 heard a presentation on preliminary fiscal 2026 budget numbers from the Virginia Department of Education and discussed staffing priorities, facilities constraints and the gap between state funding and estimated compensation costs.

Dr. Boone, who presented the budget figures, told board members the packet reflected updated governor’s budget amendments and information from the Virginia Department of Education’s CALP tool. “I wanna say good evening to chairman, members of the board. Tonight you you will see the updated budget amendments by the governor and what those numbers look like that we have received from the Virginia Department of Education,” Dr. Boone said.

The presentation said the district’s reported state revenue for the current school year is $80,138,000; local contribution is $22,611,428; grants are about $11,153,000; and other revenue about $1,712,000, producing a total budget in the neighborhood of $115.6 million. Enrollment, including preschool, was listed at 6,923, producing a per‑pupil expenditure of $16,484.

Nut graf: The board focused on compensation and facilities. The governor’s proposed amendments would raise state funding by roughly $1,059,642 for the district, including an amount to support a statewide 3% compensation increase; Henry County Public Schools officials said meeting a 3% compensation target while maintaining local steps would require the district to find about $1 million in current budget funds to cover salary and benefit costs. The presentation also showed a facilities budget amount of $0 under current accounting rules because the local contribution did not exceed the state’s required local share when debt service is excluded.

Board discussion and details: Dr. Boone outlined compensation and categorical program changes, including more funding for the Virginia Preschool Initiative and additional English‑learner resources. She said the CALP tool showed the state providing $1,347,000 for compensation this year and projecting $2,000,723 next year; after subtracting current amounts, the district faces a roughly $1 million gap to fully cover local costs of a 3% salary increase plus step adjustments. “So when you're looking at the state government providing us a $1,000,000 over what we're receiving this year, but you actually look at the actual cost of what it what it is for a 3% increase for our employees. We actually have to find a $1,000,000 within our existing budget just for salaries,” Dr. Boone said.

Dr. Boone and other speakers walked the board through program and staffing priorities under consideration: additional English‑learner teaching positions (number not specified), three gifted education teachers (two elementary, one middle), one dean of students at each middle school (possible), full‑time substitute teachers at each school, additional special‑education staffing, transportation and technology needs, continuing utility and fuel costs, security upgrades and continued funding for school resource officers. The presenter said grants are capped and that increases in grant‑funded salaries that push grant totals over caps must be absorbed by the general fund; the presentation estimated about $180,000 in grant salaries would need to be absorbed in the district budget, roughly equivalent to two teachers with benefits.

On facilities funding, Dr. Boone clarified allowable uses of the local 1% sales tax: “Yes, ma'am. So the only we can use the 1% sales tax is for new construction and renovation. We do know with our maintenance budget that we can do HVAC projects but we cannot add on to a building if we wanted to add on to Career Academy, for hands on trade programs and things like that. That would have to come out of a facilities budget.” Board members discussed this constraint and noted that construction or reconfiguration to add programs such as an EMT course or fire program would require additional local funding from the Board of Supervisors.

Next steps and timeline: The presenter said the district will bring more detailed recommendations after cabinet and stakeholder feedback. Remaining cabinet meetings include the student cabinet on Feb. 5; the board will meet jointly with the Henry County Board of Supervisors on Feb. 25. Staff said a proposed budget could be ready for the board as early as March 6, with a special meeting on March 20 to approve a final budget if needed, depending on actions by the General Assembly.

Public hearing and attendance: This session also served as an advertised public hearing to receive input on budget priorities; no members of the public had signed up to speak. The board voted to allow one member to participate virtually, approved the agenda and later voted to adjourn after noting the public hearing had no speakers.

Votes at a glance - Motion to allow Mr. Martin to participate virtually (moved by Mr. Gravely; second not specified) — Approved by voice vote. - Motion to approve agenda (mover and seconder not specified) — Approved by voice vote. - Motion to adjourn (mover and seconder not specified) — Approved by voice vote.

Ending: Board members were invited to attend the student cabinet meeting on Feb. 5 (lunchtime, box lunches provided by staff with RSVPs to Miss Meeks). The budget discussion will continue as the General Assembly finalizes the state budget and staff produce updated local projections.