Anchorage officials warn state budget timing could leave schools waiting for millions

At a June 5 joint meeting, Anchorage School District and Municipality of Anchorage officials outlined how two pending state bills could alter local and state funding for schools and raised alarms about timing that could hamper district budgeting.

Andy Radliff, chief financial officer for the district, summarized provisions in HB263 and HB28 and warned that one-time revenue in the state operating budget (HB263) is contingent on state revenues exceeding a statutory threshold. “We don't know how much or if we're going to get this money until after the school's year has started,” Radliff said, noting the commissioner of revenue's calculation is due Aug. 31, 2026. That delay, Radliff said, complicates hiring and staffing decisions for the coming year.

Radliff said HB263 contains roughly $144 million in one-time statewide school funding; Anchorage’s share for energy relief would be roughly $5.5 million under the bill’s formula. He added the bill includes an additional pot of roughly $32 million that is contingent on FY26 revenues and the department of revenue’s end-of-year accounting.

HB28, which the CFO said had been transmitted to the governor, contains a provision that would cap annual growth in the required local contribution (RLC) at 4 percent. Radliff and board and assembly members described that cap as likely to reduce Anchorage’s RLC by about $6.1 million for FY27 and to shift the distribution of state and local shares rather than reduce total funding to the district in that year. “The 4% cap that's about $6.1 million to us,” Radliff said.

Municipal budgeting staff cautioned that even where a statute requires an amount, the timing of payment and state accounting rules can delay distribution. Ona Browse, the municipality’s Office of Management and Budget director, explained differences between the state's “full value determination” and the municipality’s taxable base, and how those accounting differences can cause the RLC to spike in some years.

Assembly members pressed municipal staff about whether the city could make up any shortfall if the bill is vetoed or delayed. MOA staff said they do not have a definitive commitment and that assembling $12 million before next April — without a voter-approved revenue measure or other unexpected revenue — would be difficult.

Why it matters: Officials said the uncertainty will complicate the district’s ability to contract and to hire staff in time for the school year. Dr. Bryant, the district superintendent, told the joint body that every dollar matters; the district is planning against multi-million-dollar structural gaps that would otherwise require cuts.

Next steps: District and municipal officials said they will continue to monitor state action, that the board planned to prepare a letter urging earlier state calculations, and that the assembly and district would continue joint discussions on budget planning.

Sources: Remarks and slides presented at the joint Anchorage School District/Assembly meeting, June 5, 2026. Quotes are from Andy Radliff (CFO, ASD) and Ona Browse (OM&B, MOA).