Agenda Item
8. SY27 Budget Development Update ~ Updated 4.28.2026
Summary: Presented by: Mr. Byron Schueneman, Chief Financial Officer, Division of Finance
FY2027 Budget
April 29th, 2026 – BOE Retreat
1
State
Legislation & QBE
2
Legislative Updates
Process
The 2026 Legislative Session ended on April 2nd. The governor has 40 days (until
May 12th ) to approve or veto. As of April 28th he has not signed or vetoed any
education or tax related bills that we have been monitoring. It is common for
the governor to wait until the last few days to veto.
3
Legislative Updates
SB33 Homeownership Opportunity and Market Equalization Act of 2025
(HOME): Not signed by Governor as of 4/27/26 – Has until May 12th
1. Establishes a Local Homestead Option Sales Tac (LHOST) – School systems
are not eligible
2. Provisions related to calculations of QBE for Educational Purpose
3. Increases the maximum allowable balance in reserve funds from 15% to
25%
4. Eliminates ability to opt out of HB 581 from 2024, mandates participation
in Base Year Floating Homestead Exemption.
5. Effective on the date of the Governor’s signature
HB1193: Not signed by Governor as of 4/27/26 – Has until May 12th
1. Increases funds to provide literacy coaches in schools with students in
grades K-3.
4
FY2027 State Budget Highlights
Not signed by Governor as of 4/27/26 – has until May 12th.
Noteworthy Changes:
1. $36,400,437 Increase funds for the Teachers Retirement System to reflect an increase in the actuarially
determined employer contribution from 21.91% to 22.32%.
2. $69,804,000 increase in funds to reflect an increase in the health insurance employer contribution PMPM
from $1,885 to $1,935 effective July 1, 2026 (*Note: This is for certified staff, but the increase also applies to
non-certified staff.) Note this is a change from the original $2,028 PMPM proposed by Kemp.
3. $70,416,120 increase in funds to provide literacy coaches in schools with students in grades K-3 per HB
1193 (2026 session)
Ongoing:
1. $116,018, 875 for school security grants
2. $38,169,401 increase in funds for pupil transportation formula grants to reflect updated bus counts and
operations
3. ($35,984,661) adjustment for the Local 5 Mill Share
4. No line item for $1K Custodial Supplements.
5
National
Federal Programs & Economy
6
Inflation – CPI-U
SB33:
Mandates participation in Base
Year Floating Homestead
Exemption. Growth in revenue
attributable to re-evaluation
growth will be capped at 2.7%,
or perhaps 3% depending on SB-
33.
7
Unemployment
Unemployment:
• Rate in Georgia is relatively
unchanged from a year ago,
sitting at 3.5%.
• Recommendation to set the
DCSD vacancy rate estimate
(salary savings) at 3.5% by
function. Total is -$45.5M.
8
Federal Programs
Per Dr. Warren – no updates that would significantly impact
DCSD Federal Programs as of 4/16/26
9
Local
2025 Tax Commissioner’s
Report
10
2025 Tax Commissioner’s Report - Financial Highlights
DCSD Digest & Homestead:
• 2025 Gross Digest was
$50,745,199,255
• 2025 Gross Digest Total for
Homestead Properties -
$23,931,799,627, 47% of Total
Digest will be subject to SB33,
floating homestead exemption.
11
2025 Tax Commissioner’s Report - Financial Highlights
12
2025 Tax Commissioner’s Report - Financial Highlights
DCSD 2026 Tax Collection Estimates:
• Actual 2020 – 97.15
• Actual 2021 – 97.34
• Actual 2022 – 98.03
• Actual 2023 – 97.17
• Actual 2024 – 97.08
• Actual 2025 – 96.10
• Budget 2026 – 97.5% - includes
receipt of delinquent taxes
13
Revenue Projection
QBE, Property Taxes, Other
14
General Fund Revenue
1. Quality Basic Education (QBE) Funds – 35.6%
• Current estimates based on internal calculations given known conditions (TRS, SHBP, FTE, CPI)
• Adjusted for reading specialists
• Awaiting initial estimate as of 4/27/26
2. Property Taxes – 62.4%
• Added 3.5% to 2025 assessment
• Awaiting SB33 impact and resulting property tax digest on 5/15/26
3. Other – 1.9%
• Based on historical trends.
15
General Fund Revenue Projection
Revenue in Millions
FY2027 591.4 996.9 70.6
FY2026 588.2 963.2 45.2
FY2025 544.5 919.7 80.9
FY2024 517.6 868 69.1
FY2023 496.9 745.9 63
0 200 400 600 800 1000 1200 1400 1600 1800
State (QBE) Property Taxes Other
16
General Fund Revenue – 3 Year History
17
Initiatives &
Budget Alignment to Strategic
Plan
18
FY2027 NEW Budget Initiatives
1. Mandatory - TRS increase from 21.91% to 22.32% - $3.5M
2. Mandatory – SHBP increase from $1865 to $1935 PMPE - $6.5M
3. Mandatory – Reading Specialist at every school serving K-3 grade band – 75 total -
$8.5M
4. Step increases for eligible employees - $5.0M
5. Transfer incentive for highly effective teachers / leaders that go to Horizon schools -
$360K annually.
6. Enhance 403b benefits (vesting period set at 2 years for all employees - $1.5M)
7. Additional paraprofessionals for any school that serves Kindergarten
• 66 paras paid from Title – $3.6M
• 14 paras paid from General (Horizon) - $760K
• 10 paras paid from General - $550K
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FY2027 Ongoing Budget Alignment
Budget Alignment & Priorities:
• 1.1 – “95 Phonics Core Program”
• 1.1 – “Amira Tutor” High-Dosage 1:1 for 80 MTSS &
ELA Coordinators
• 1.1 – Pre-k (3) classrooms (50)
• 1.1 - K-3 Reading Specialist
• 1.1 – MTSS (123)
• 1.2 - Special Education Lead Teacher (131)
• 1.3 - Half Cap
• 1.4 & 1.5 *Social Studies Curriculum Adoption
• 1.4 & 1.5 *Science Curriculum Adoption
• 1.4 & 1.5 - Kindergarten paraprofessionals
• 1.4 & 1.5 - Library Media Assistants (121)
• 1.4 & 1.5 - Horizon Area Funding
• 1.6 – “Ignite U”
20
FY2027 Ongoing Budget Alignment
Budget Alignment & Priorities
• 2.1 Elementary School Athletics
• 2.3 School Messenger
21
FY2027 Ongoing Budget Alignment
Budget Alignment & Priorities:
• 3.1 - HRMS
• 3.1 – LinkedIn Recruiter & Indeed
• 3.2 - SuperEval
• 3.1 - Horizon Transfer Incentives
• 3.3 - Step Increases
• 3.3 – SHBP & TRS increases
• 3.3 – Enhance 403b vesting period
• 3.3 – Difference Maker Campaigns
• 3.4 - IGNITE Teacher Residency Program
• 3.4 - TAPP – Alternative Teacher Certification
• 3.4 - Para to Teacher Apprenticeship Program
• 3.4 – ASPIRE (graduating seniors)
22
FY2027 Ongoing Budget Alignment
Budget Alignment & Priorities:
• 4.1 & 4.2 - PBIS Coaches (7) and Coordinator (1) –
Implement PBIS framework within 60 schools, > 500
staff.
• 4.1 & 4.3 - Area Culture & Climate Coordinators (17)
• 4.1 & 4.2 – “Rethink Ed”– to be implemented in all
high schools through ISS paraprofessionals.
• 4.3 - “EveryDay Labs” – Platform that helps track
attendance detail and parental support, >1,100 users.
• 4.3 - Attendance Specialists (7)
• 4.4 - De-escalation training by Student Relations Staff
to > 2,500 district staff; Special Education Staff
provides CPI.
23
FY2027 Ongoing Budget Alignment
Budget Alignment & Priorities
• 5.1 - SAFE Centers (8+) served > 5,000 students
(therapy, mindfulness, restorative circles etc…)
• 5.1 - School Level Mental Health Specialist (4)
• 5.1 – Psychologists (43), Counselors (266)
• 5.2 - Cartwheel Mental Services (Grant Funded)
• 5.3 - “Unum” to provide Employee Assistance
Program (EAP)
• 5.3 - Area Mental Health Coordinators (7)
• 5.3 - School Social Workers (66) – increased by (19)
in past two years.
• 5.3 – Mental Health Specialists (6) placed at
specific schools
24
FY2027 Ongoing Budget Alignment
25
FY2027 Ongoing Budget Alignment
Budget Alignment & Priorities:
• 6.1 – Elementary School Safety Associates (?)
• 6.1 – Centegix – Emergency Alert System
• 6.1 – Evolve – Weapons Detection & Conveyor Belt
Systems
• 6.4 – Device Insurance / Stratix – device repair
($3M / Under $30 annually per student and staff)
• 6.4 – Canvas Learning Management (900k), (600K)
Google for education, (1.5) Microsoft Enterprise
Solution etc…
• 6.5 – Class Wallet - $200/teacher for classroom
supplies.
• 6.5 – Tyler Technologies (Munis)
• 6.5 – Alloview (Budget Reduction)
26
Fund Balance
General Fund Reserves
27
General Fund – Fund Balance Policy
28
General Fund – Fund Balance Monitoring
Date Description Amount Percentage of Exp
7/1/2026 Start $400,000,000 23.7%
8/31/2026 Low $350,000,000 20.8%
8/31/2026 Low w/ Curr Adop $320,000,000 19.0%
6/30/2027 End $372,289,190 22.1%
6/30/2027 End w/ Curr Adop $342,289,190 20.3%
1. Estimated low point in August ~ 20.8%
2. Difference between 20.8% and 15% ~ $98M
3. One time expenditures – non-recurring in nature. Recommend to set aside $68M for:
1. Curriculum adoption & textbook / resource purchases
2. Potential litigation
3. Other unknown
4. Balance future budgets: Recommend no more than $30M for FY2027 budget.
29
General Fund
– FY27 Budget
Summary
30
Timeline
Budget and Millage Rate
31
Taxpayer Bill of Rights
SB 177 Act 431 | 1999 Session
Effective Jan. 2000
• Enhance individual property owner’s rights when
appealing an increase in property value
• Prevent tax increases as a result of increases to existing
property values in a county due to inflation
32
FR
Department of Revenue
DOR WEBSITE
• Copy of applications and other forms
• Definitions
• Advertisement guidelines and examples
• Digest Submission Manual link:
https://dor.georgia.gov/document/publica
tion/2019digestsubmissionmanualpdf/do
wnload
33
FR
Levying &
Recommending
Authorities
W H O M U S T C O M P LY
➢Any governing authority that has the
power to levy ad valorem taxes in
order to carry out their purposes
✓County Governing Authorities
✓Independent and Area School Board
✓Municipalities
X Community Improvement Districts
34
FR
Rollback Rate
I F T H E M I L L A G E D O E S E X C E E D R O L L B A C K R AT E
Complete each of the following:
1. Press Release - Press Release must be issued to local media at the same time the first
Notice of Property Tax Increase is ran in the local newspaper
2. Notice of Property Tax Increase
3. Current Tax Digest and Five-Year History of Levy
4. Post Notice and Five-Year History on website at the same time they are ran in the
newspaper
5. Public Hearings
35
Notice of Property Tax Increase Example
MUST BE IN THIS FORMAT. NO LANGUAGE CAN BE
ADDED OR REMOVED
Advertisement
ADVERTISEMENT GUIDELINES
• The 1st public hearing must be advertised one
week in advance in a physical newspaper of
general circulation and on the taxing authority’s
website in a prominent location
• The Five-Year History must be advertised at least
one week prior to the millage adoption date and
be posted on their website. Must include date,
time, location of the meeting.
• NOTHING CAN BE ALTERED FROM THE STATUTORY
LANGUAGE ON EITHER ADVERTISEMENT
37
FR
Advertisement
ADVERTISEMENT GUIDELINES
• Ads must be displayed in a physical newspaper of general
circulation serving the residents of the authority
• Ads should be displayed in the newspaper and on the local
government's website in a “prominent” location
• Ads cannot be posted in the legal section
• Notice of Property Tax Increase must be 30 square
inches(ex: 5”x6” or 6”x5”)
38
FR
Public Hearings
REQUIREMENTS WHEN HOLDING THREE PUBLIC HEARINGS
• Three public hearings are required when exceeding the rollback rate
• One of the three must be held between 6:00 pm and 7:00 pm
• All hearings shall be held at a time and place that is “convenient” for the taxpayers
• The 1st and 3rd hearings must be at least seven days apart
• If two hearings are held on the same day, one must be held no later than noon and the other
between 6:00 pm and 7:00 pm
• One hearing may coincide with the budget hearing, and the other may coincide with the
meeting to set the final millage
• The Notice of Property Tax Increase must be run in a local newspaper at least one week prior
to each hearing and include the time and place of the hearing(s)
• If holding virtual public hearings, all links, passwords, and phone numbers must be included
in the advertisements, and comply with HB 98
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Budget Timeline
• Wednesday, April 29th Board Retreat - Initial presentation of the FY27 General Fund Budget
• Thursday April 30th– Tax Digest Approved, early estimates distributed to DCSD Monday May 4th –
Will not include SB33 info.
• May 6th - May 8th – BOE Mini-Sessions to review tax digest and discuss millage rate, finalize
recommendation
• Monday, May 11th Executive Session, Work Session, Community Input Session & Business Meeting
–
• Tentative Adoption of the Proposed FY2027 Budget/Revenue Projection
• Resolution to tentatively adopt millage rate of 22.78
• May 15th Official tax digest documents from tax commissioner’s office. Includes SB33 info.
• June 1st – 1st Budget Presentation & Millage Rate Hearing 10:00 AM.
• June 8th – 2nd Budget Presentation & Millage Rate Hearing 6:00 PM.
• June 15th – 3rd Millage Rate Hearing at 10:00 AM.
• June 15th - Executive Session, Work Session, Community Input Session & Business Meeting
• Approval of the Final Tax Levy Resolution (22.78)
• Adoption of the Final FY2027 Budget/Revenue Projection for all funds
40
FY27 Budget
Documents
41
Budget Documents
• Exh A: FY2027 Initial Budget
• FY27 Budget Summary
• GF Revenue Detail
• GF Expenditure Detail
• GF Expense – Pivots (separated by Operational vs Salary & Benefits)
• By Function
• By Division & Project
• Central Office Position Detail
• Central Office Position Pivot
• School Position Allocations
• School Position Summary
• Revenue & Expense Detail
• Exh B: FY2027 Guide to Understanding DCSD’s Allotment Process
42