Enterprise City Schools proposes $109 million FY2026 budget; district flags $3 million true general‑fund reduction

Enterprise City Schools budget staff unveiled a proposed FY2026 all‑funds spending plan totaling about $109,000,000 and told the board the district faces a real general‑fund reduction of roughly $3,000,000 after accounting for the timing of state receipts.

At a board budget hearing, Jesse, finance staff for Enterprise City Schools, said the district’s reported general‑fund column appears to show a $10 million reduction but that roughly $7,100,000 of that figure is state Advancement in Technology (A&T) money that the state remitted early and is already in the district’s bank account. “That money came in July…so a real reduction to our general fund this upcoming year…is about $3,000,000 going forward,” Jesse said.

Why it matters: the district’s revenue mix—about 60% state, 20% local and the remainder federal and other sources—drives spending on instruction, support services and capital projects. Jesse said the district budgets conservatively for local receipts such as sales and property taxes and that the state foundation program still supplies the majority of recurring revenue.

Key figures and composition - Total proposed expenditures (all funds): $109,000,000 (presented as FY2026 budgeted expenditures). - State revenue predominates: approximately $53,000,000 shown in the general‑fund column; federal general‑fund revenue includes Impact Aid of about $1,300,000. - Revenue share on the illustrative slide: roughly 60% state, 20% local, remainder federal/other.

Jesse told the board the state’s foundation program output determines units and staffing allocations. Enterprise’s systemwide average daily membership (ADM) increased by about 43.3 students on the state count, which translated to an overall increase of about 1.41 state funding units but also left one school short of a half‑unit for an assistant principal. Jesse said the slide showing a “minus” 43.3 was a sign error.

Personnel costs and mandated increases Insurance and retirement costs rose in the proposed budget. Jesse said employer health insurance costs per employee are budgeted at $10,008.48 per year—an increase that he described as a $104 per employee per month rise from the prior level. Retirement contributions also rose: the district’s reported employer contribution rates in the presentation were about 13.57% for tier 1 and 12.6% for tier 2 employees (the presenter reported the tier distinction as based on employment before or after Jan. 1, 2013). Jesse noted that for locally funded positions beyond state‑earned units the district bears the additional cost of retirement increases.

Spending priorities and capital Instructional services remain the largest expenditure category, driven by teacher salaries and benefits. The proposed budget contains planned capital outlays, continuing payments on a bond issued for an indoor practice facility, and routine capital projects funded by state capital outlay allocations plus a local match. Jesse said the district budgets a conservative share of ad valorem (property) tax receipts into capital projects and aims to maintain a healthy ending fund balance.

Budget process notes and next steps Jesse told the board he had received several federal funding numbers less than a week before the hearing and asked members to identify any additional information they want in the next budget session. The district scheduled a second budget hearing at 8 a.m. on Thursday to continue the discussion.

Ending The presentation laid out the district’s proposed spending plan and the immediate pressures—timing of state receipts, rising insurance and retirement costs, and capital and debt commitments—that board members will weigh before final adoption. The board did not take a vote at the hearing; staff said further discussions and a second hearing were planned.