Hampton school leaders present $372 million FY27 budget, propose 3% raise and higher starting pay for teachers

Hampton City Schools on Tuesday presented its fiscal year 2027 budget to the city council, proposing a total estimated budget of roughly $372,000,000 and a $328,000,000 school operating fund that school officials said reflects a mix of state, local and federal revenues.

School board Chair Richard Mason and district leaders told council the proposal was developed based on the governor’s introduced budget and community input, and they cautioned the plan could change when the state completes its final two-year budget. “This budget… is designed to support our students while honoring the trust placed in us as stewards of public funds,” Mason said.

The district’s presenter summarized the numbers councilors asked most about. State revenues were projected at about $218,300,000; the local contribution was estimated at $102,000,000 and is subject to council approval. Federal funds and other revenue sources were listed as smaller shares of the operating fund. Officials said salaries and fringe benefits make up about 79% of expenditures.

On compensation, the school board approved a 3% increase for employees effective July 1, which the presenter said would cost about $6,400,000 to the operating fund. The board also approved allocating $1,900,000 of local support to adjust the teacher salary scale; the presenter said that investment would set a proposed starting teacher salary at approximately $58,500.

Councilors pressed for regional context and program details. Vice Mayor Brown asked where Hampton would rank on starting salary; staff said the proposed adjustments would place Hampton at or near the top among Peninsula school divisions, while noting other districts sometimes alter their offers in response. Brown also asked whether career-and-technical programs such as welding and electrical are integrated into the academies; staff said the programs operate in partnership with a community college and offer industry certifications to students.

Councilman Mugler asked about the effect of moving the CPEG television station staffing and operating costs into Fund 50. The presenter said Fund 60 will not be eliminated; the change moves salaries and noncapital costs to Fund 50 while keeping longer-term capital items and certain fees in Fund 60. Councilwoman Harper asked whether federal grant levels were expected to change; the presenter said no decreases were anticipated but that staff reviewed grant sustainability and had moved some essential positions from expiring grants into the operating fund to preserve services.

Officials said the budget repurposes roughly $5,000,000 from changes in the Virginia Retirement System contribution and attrition savings, and includes about $3,100,000 in one-time facility upgrades for elementary schools and some administration building needs. The presenter closed by noting staff will monitor final state action and submit revisions to both the school board and city council as needed.

The council did not take action on the budget at the meeting; staff said the manager’s recommended budget and the school presentation will be considered during the scheduled public budget hearing and subsequent council deliberations.