City Schools outlines FY26 budget, warns $48 million federal rescission will hit FY25 programs

Baltimore City Public Schools officials presented a proposed fiscal 2026 budget Tuesday and warned an abrupt federal decision to rescind pandemic-era recovery funds will remove roughly $48 million in expected reimbursements for fiscal 2025, forcing short-term cuts while leaders said they will protect next year's planned investments.

The budget preview, delivered by Chief Financial Officer Chris Doherty, Chief Academic Officer Joan Dabrowski and other senior staff, proposed a general fund of about $1.5 billion and highlighted roughly a 6% year-over-year increase in the general fund for FY26 (about $96 million), not including a separate $22 million the district expects from late actions in the General Assembly. CEO Dr. Sonja Brookins Santelises said the district will not receive "approximately $48,000,000 in reimbursement for funds already spent or contractually committed," and that the loss has already affected services in some schools.

The presentation explained that revenue for City Schools remains concentrated in state funding (near 70% of general fund revenues), with the city providing most of the local share. Doherty told the board that the district developed FY26 budgets without assuming the late-night changes from Annapolis, saying, "We made the prudent…