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Current District Budget

Budget Planning & Process

Infographic titled 'Albany USD Budget at a Glance' detailing budget information from state dollars.

 

A school district budget is one of the most important ways we turn our priorities into action. Every decision we make reflects our commitment to providing students with a high quality education, supporting the dedicated staff who make learning possible each day, and responsibly stewarding the resources entrusted to us by our community. We also know that school finance can feel complicated. Our goal is to make the budget as transparent and understandable as possible so families, staff, and community members can see not only where our funding comes from and how it is spent, but also how every investment supports our mission, our Board goals, and the success of every student.

Understanding the AUSD Budget

Our budget reflects our values. Every dollar we receive represents an opportunity to support students, strengthen our schools, and invest in the future of our community. While school finance can seem complicated, the goal is simple: to use our resources wisely so every student has the opportunity to learn, grow, and thrive.

This page is designed to help explain where our funding comes from, how it is allocated, and how every budget decision connects to the priorities we have set as a district.

Where Our Funding Comes From

Most people are surprised to learn that Albany Unified is not funded primarily by local property taxes. About 80 percent of our revenue comes from the State of California through a funding formula that distributes resources based on student enrollment and need. Our local parcel tax, approved by Albany voters, provides another 15 percent of our funding and plays an essential role in maintaining the high-quality programs our community values. The remaining funding comes from federal grants and the extraordinary support of partners such as the Albany Education Foundation, Albany Boosters, and our PTA organizations.

One of the most important factors in school funding is student attendance. California funds schools based on Average Daily Attendance, which means every day a student is in school helps support the educational opportunities available to all students.

Planning Before We Know the Final Numbers

One of the greatest challenges in school finance is that districts must make important decisions before the State finalizes its budget.

Each January, the Governor releases a proposed budget that gives us an early estimate of what funding may look like. At the same time, state law requires districts to make staffing decisions by March 15, months before the final State budget is adopted in June. Our Board of Education adopts the district budget and Local Control and Accountability Plan (LCAP) at nearly the same time the State approves its own budget.

Because of this timeline, we plan carefully and conservatively. Our goal is to protect the long-term financial health of the district while ensuring we can continue providing stable programs and services for students.

How Funding Supports Schools

Much of our budget supports the people who make learning possible every day: teachers, instructional aides, principals, counselors, office staff, custodians, maintenance teams, and many others who keep our schools running.

Schools also receive discretionary funding that principals and School Site Councils use to meet the unique needs of their students. These funds often support classroom materials, technology, library resources, field trips, enrichment opportunities, and other programs that directly enhance student learning.

Every school is different, and these local decisions help ensure resources are used where they will have the greatest impact.

Connecting Every Dollar to Student Success

Our budget is more than a financial document. It is one of the most important ways we put our priorities into action.

Every investment is guided by the goals in our 2026–27 Local Control and Accountability Plan:

  • Equitable, Inclusive, and Rigorous Instruction so every student has access to high-quality learning.
  • Whole Child Development and Belonging so students feel safe, supported, and connected.
  • Collaborative Systems for Continuous Improvement so decisions are made together, informed by data, partnership, and continuous learning.

As we make budget decisions, we continually ask ourselves: How does this investment improve outcomes for students? That question helps guide every conversation about our resources.

How You Can Be Part of the Process

Strong schools are built through partnership, and our budget reflects the priorities of our community.

You can help by:

  • Ensuring your child attends school every day whenever possible, since attendance directly impacts school funding.
  • Participating in School Site Council meetings, Community Budget Town Halls, and other opportunities to share your voice.
  • Supporting organizations like the Albany Education Foundation, Albany Boosters, and our PTA groups, whose generosity expands opportunities for students beyond what public funding alone can provide.

School finance is complex, but our purpose is not. Every budget decision is ultimately about creating the conditions for students to succeed. We are committed to being thoughtful stewards of our community's resources while remaining focused on what matters most: supporting every student, every day.

Current District Budget

Fiscal Year 2025–26

Clarifying the District’s Reserve Balance
In response to questions and informal community discussion about the district’s reserve balance, I want to provide a clear context for how the reserve has changed and how it should be understood. 


Question 1: Why has the reserve balance decreased from the October update to First Interim?
The overall reserve balance decreased because district expenditures increased, particularly in the services line. This was reviewed in detail on Slide 7 of the First Interim presentation, linked below.

As expenses increase, especially in ongoing operational areas, the amount remaining in reserve correspondingly decreases. This is a normal and expected relationship in school district budgeting. When expenditures go up, reserves go down, unless offset by new or ongoing revenue.


Question 2: Why does the reserve appear to be approximately 8%?
The ending fund balance is made up of three distinct components:

3% Required Reserve – mandated by the state

2% Additional Reserve for Economic Uncertainty – set by the Board

Remaining Undesignated Balance (“Available”) – funds not assigned to a specific purpose


Together, these components total just under 8% of the budget, with 5% formally set aside as reserves for economic uncertainty (the required 3% plus the additional 2%). It is important to note that the “available” portion of the fund balance is one-time in nature. These are not ongoing dollars. The multiyear financial projections show that if the district continues to deficit spend—meaning we rely on these one-time funds to cover ongoing costs—those available balances will be depleted over time. If that trend continues, the district would eventually need to make cost reductions or structural adjustments to ensure long-term fiscal stability and avoid financial risk.

 

Previous Year Budget

Fiscal Year 2024–25

Link to Budget Advisory Committee (meeting schedule, agendas, and minutes)