FY26 Tentative Budget All Funds

AID 1817906 · View on Simbli

Agenda Item

b. Tentative Budget/Revenue Budget Projections and Tentative Tax Levy for FY2026 ~ Updated 5.9.2025

Summary: Presented by: Mr. Byron Schueneman, Chief Financial Officer, Division of Finance
Request: It is requested that the Board of Education approve the FY26 Tentative Budget for all funds, the resolution to certify the estimated roll back rate for calendar year 2025, and another resolution to approve the Tentative Tax Levy for calendar year 2025 which funds the District's FY26 Tentative Budget.
Details: The FY26 Tentative Budget All Funds includes estimated revenues and expenditures for all governmental funds including the preliminary operating general fund budget, capital outlay, school nutrition and non-major funds.

The tentative budget for the general fund accounts for local revenues based on an assessed millage rate of 22.78. This represents a tenth of a mill reduction from the 2024 millage rate funding FY25, the current fiscal year. The total general fund budget includes revenues of $1,619,511,295, expenditures of 1,635,130,946, transfers out to support other non-major funds of $8,100,000 and the includes a planned spend down of the general fund's fund balance of $23,619,651.

The tentative budget for capital projects includes estimated annual revenues of $173,475,000, expenditures of $270,555,684, no transfers in at this time to support the districts generally funded capital project account, and an overall planned spend down of capital project fund balance of 97,080,684. Keep in mind that this budget is an estimated annual spend. Capital Projects (SPLOST V and VI) are multi-year funds, and the overall budgets approved for each project trumps this annual projection.

The school nutrition fund includes revenues from all sources of $83,832,367, expenditures of $85,832,367, transfers in of $100,000 and an intentional fund balance spend down of $1,900,000. It is important to note that 97% of the revenues for this program come from the federal government by way of the child nutrition grant (breakfast/lunch/snack).

The final column for non-major funds includes reimbursable state programs of $27,388,174 and federal programs of $115,127,996 which are included in the total anticipated revenue of 150,946,833. Correspondingly there's $159,827,631 of planned expenses and $8M of additional support from the general fund to support ROTC, Athletics, and Bright from the Start programs. The total planned fund balance reduction is $880,798.

It is important to note that this consolidated budget for all funds for FY26 includes anticipated federal revenues $196,347,612. This supports substantial district programs such as school nutrition to a tune of $81,219,616, Title I at $55,668,135, Special Education at $36,599,502, Title II at $9,670,183, Title III at $3,708,818 and Title IV at $4,476,115. While we develop a financial plan for the district which includes anticipated revenues and expenditures for all funds, it is vitally important to note the most recent "skinny budget" for the Federal Government includes a reduction of $13.7B to USDOE, aiming to dismantle the agency and transfer its functions to other agencies. It also includes shifting both Title I and Special Education to block grants and granting states more discretion over the use. It also proposes cuts and eliminations of key programs like Title II to a tune of $2.4B.

Given the current uncertainty surrounding the educational funding landscape, as well as planned recurring expenditures of the district, we recommend a millage rate of 22.78. This is a reduction of a tenth of a mill and even though we saw a 3% increase in the value of the digest due to revaluation, the overall tax increase due to reassessment is less than the rate of inflation as measured by the Consumer Price Index for all Urban Consumers (CPI-U) for 2024. Furthermore, even though the district opted out of HB-581, this recommendation would be compliant had we opted in.

By approving the tentative budget as well as the two attached resolutions, the board of education is permitting district administration with advertising the budget and millage rate and holding the required hearings to receive vital feedback from district stakeholders.
Contact: Mr. Byron Schueneman, Chief Financial Officer, Division of Finance, 678.676.0270
Status: Legal Approval Not Required
                                                                                       DEKALB COUNTY BOARD OF EDUCATION
                                                                                           FY2026- Consolidated Budget
                                                                                                Governmental Funds
                                                                                         For the Period Ended June 30, 2026



                                                                                     CAPITAL PROJECTS                                       SCHOOL NUTRITION          NONMAJOR           TOTAL GOVERNMENTAL
                                                             GENERAL FUND                  FUND                 DEBT SERVICE FUND                FUND             GOVERNMENTAL FUNDS            FUNDS
REVENUES
 Property Taxes                                         $       1,001,496,971    $                    -     $                       -   $                    -    $                 -    $     1,001,496,971
 Sales Taxes                                                        6,000,000               160,000,000                             -                        -                      -            166,000,000
 State Funds                                                      590,784,324                         -                             -                1,500,000             27,388,174            619,672,498
 Federal Funds                                                              -                         -                             -               81,219,616            115,127,996            196,347,612
 Charges for Services                                               1,000,000                         -                             -                  500,000                      -              1,500,000
 Investment Earnings                                               17,500,000                13,300,000                             -                        -                      -             30,800,000
 Miscellaneous                                                      2,730,000                   175,000                             -                  612,751              8,430,664             11,948,415
   Total revenues                                               1,619,511,295               173,475,000                             -               83,832,367            150,946,833          2,027,765,496

EXPENDITURES
Current
 Instruction                                                      884,871,875                28,326,614                             -                        -             69,700,593            982,899,082
 Pupil Services                                                   124,417,404                         -                             -                        -             29,990,345            154,407,748
 Improvement of Instructional Services                             44,946,378                16,720,406                             -                        -                566,516             62,233,300
 Instructional Staff Training                                         581,584                         -                             -                        -             38,361,080             38,942,664
 Educational Media Services                                        19,374,968                         -                             -                        -                 33,000             19,407,968
 Federal Grant Administration                                               -                         -                             -                        -              5,739,014              5,739,014
 General Administration                                            45,379,092                         -                             -                        -              1,474,795             46,853,888
 School Administration                                             92,663,642                         -                             -                        -                207,001             92,870,643
 Support Services - Business                                        9,733,473                         -                             -                        -                236,500              9,969,973
 Maintenance And Operation                                        258,426,622                 1,632,069                             -                        -              1,703,392            261,762,083
 School Safety And Security                                                                           -                             -                        -              6,220,368              6,220,368
 Student Transportation Service                                    91,918,519                 3,223,228                             -                        -              1,041,575             96,183,322
 Support Services - Central                                        59,456,001                 6,668,004                             -                        -                248,427             66,372,433
 Other Support Services                                             1,734,444                         -                             -                        -                 25,025              1,759,469
 School Nutrition Program                                          336,368.00                         -                             -               85,832,367                      -             86,168,735
 Enterprise Operations                                              1,290,576                         -                             -                        -              4,280,000              5,570,576
Capital Outlays
 Facilities Acquistion & Construction                                       -               213,985,364                             -                        -                                   213,985,364
     Total expenditures                                         1,635,130,946               270,555,684                             -               85,832,367            159,827,631          2,151,346,629
         Excess (deficiency) of revenues over expenditures        (15,619,651)              (97,080,684)                            -               (2,000,000)            (8,880,798)          (123,581,133)

OTHER FINANCING SOURCES (USES)
 Operating Transfers From Other Funds                                                                   -                           -                 100,000               9,000,000              9,100,000
 Operating Transfers To Other Funds                                (8,100,000)                          -                           -                       -              (1,000,000)            (9,100,000)
 Sale or Compensation for the Loss of Capital Assets                  100,000                           -                           -                       -                       -                100,000
   Total other financing sources (uses)                            (8,000,000)                          -                           -                 100,000               8,000,000                100,000

         Net change in fund balances                              (23,619,651)              (97,080,684)                            -               (1,900,000)              (880,798)          (123,481,133)
Fund balances - beginning                               $         392,000,000    $          520,000,000     $                       -   $           25,000,000    $         2,520,894    $       939,520,894
Fund balances - ending                                  $         368,380,349    $          422,919,316     $                       -   $           23,100,000    $         1,640,096    $       816,039,761