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Senate finance subcommittee backs FY27 education budget, recommends $441 million for Department of Education and Early Development

Senate Finance Budget Subcommittee on the Department of Education and Early Development · April 16, 2026

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Summary

The Senate Finance Budget Subcommittee voted to forward a FY27 recommendation for the Department of Education and Early Development totaling $440,961,100 to the full finance committee, approving targeted increases for a Lake and Peninsula residential school, Head Start matching funds, teacher incentives and a maintenance lead for Mount Edgecumbe High School while trimming several programs to match projected expenditures.

The Senate Finance Budget Subcommittee on the Department of Education and Early Development voted Thursday to approve and forward a fiscal year 2027 recommendation totaling $440,961,100 to the full Senate Finance Committee.

Ella Atkinson, staff to Sen. Keel, presented the subcommittee's recommendation and said the proposal includes unrestricted general funds of $100,825,900, designated general funds of $38,364,600, other funds of $38,416,300 and federal funds of $267,354,300. "A budget with total funds of $440,961,100," she said.

The recommendation accepts several items from the governor’s amended budget, including $771,200 in unrestricted general funds for a new Lake and Peninsula residential school and $3,293,800 in higher education investment funds for increased Alaska Performance, along with a corresponding $1,646,900 increase for Alaska education grants. The subcommittee also added $450,000 in unrestricted general funds for teacher incentive payments and reimbursements for national board certification under a law that has passed but remains unfunded.

To meet the required match for Head Start grants, the report adds $2,000,000 in unrestricted general funds. The subcommittee also recommended funding a general maintenance lead position for Mount Edgecumbe High School at $123,700.

Atkinson said the report recommends reductions to align spending with projected needs: a $53,400 decrement to the boarding home program in unrestricted general funds, which the report said would leave enough funding to support three students, and a $1,646,000 reduction in the residential schools program to match historic lapses. Facilities leases were reduced by $220,000 and $220,400 to reflect actual costs.

Sen. Stevens moved to adopt the attached budget action and wordage reports and to authorize legislative finance and legislative legal to make any technical or conforming changes as necessary. "I move the attached budget action and wordage reports from the senate budget subcommittee for the Department of Education and Early Development," he said.

The chair asked whether the department had any comments and, after hearing none, asked if there were objections to the motion. "Seeing and hearing none, the motion is adopted," the chair said. The subcommittee then adjourned at 5:34 p.m.

The recommendation will be considered next by the full Senate Finance Committee.