Record $12.2 Billion Education Trust Fund Budget Approved in Alabama
MONTGOMERY, Ala. — Alabama’s Education Trust Fund budget has reached a historic $12.2 billion, as it was transmitted to Governor Kay Ivey on Tuesday. The state Senate quickly approved the budget package, which includes significant changes made by the House last week.
Among the notable allocations is an additional $80 million designated for students attending private schools through the new school choice program set to launch in the upcoming school year. This initiative reflects Alabama’s commitment to expanding educational options for families.
Furthermore, the budget introduces a new funding formula aimed at addressing the diverse needs of students. While the long-established Foundation Program remains intact, the new RAISE formula will allocate extra resources to schools based on the challenges their students face, such as poverty, disabilities, and language barriers. "This budget begins the long journey of making funding decisions based on the type of student being taught," said Senator Arthur Orr, R-Decatur. He emphasized the importance of tailored support, stating that some students require additional resources to achieve success.
Although the budget does not include a pay raise for teachers in 2026, it does offer enhancements in employee benefits, including, for the first time, paid leave for new parents. Orr highlighted these measures, which also cover maternity leave and competitive healthcare premiums, as a way to support educators and staff.
These developments mark a significant step forward in Alabama’s educational landscape, with state leaders optimistic about improved student outcomes stemming from the increased funding and support mechanisms.
This report was contributed to by Mary Sell of Alabama Daily News.
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