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Representative Bynum and business manager outline uncertain state education funding after governor’s veto
Summary
State funding changes and a gubernatorial line‑item veto prompted district staff and Representative Bynum to warn of near‑term uncertainty for school budgets; DEED methodology for distributing a reduced appropriation remains unresolved and could shift costs to local taxpayers.
District business manager Daniel Schuler and Alaska Representative (House District) Bynum briefed the school board on June 25 about recent state legislative activity affecting school finance, including a governor’s line‑item veto that reduced education funding intended for the base student allocation (BSA).
What board staff reported
Daniel Schuler told the board that Governor Dunleavy used a line‑item veto on the FY26 education appropriation, reducing the BSA increase that the legislature had passed. Schuler said the veto effectively reduced the increase the legislature approved, and that the district had built its FY26 budget with prudence by not counting certain amounts inside the budget cap; at the time of the meeting the district’s projected operations surplus after the veto adjustment was roughly $665,000, though he said two budget amendments would likely be required after OASIS…
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