The Alabama State Department of Education (ALSDE) plans to request a $5.9 billion budget for fiscal year 2028, representing a 1.3% increase, or $77.8 million more, than its FY27 appropriation. A primary goal of this budget request is to establish dedicated line items for essential education programs that have previously relied on supplemental funds.
This shift is intended to provide greater stability for programs impacting students and families across Alabama, including those in Houston County and the wider Wiregrass region. State Superintendent Eric Mackey emphasized that establishing these line items directly in the annual budget would be a significant achievement, explaining that supplemental funds "are not memorialized" and do not consistently appear in yearly budgets.
Among the programs targeted for stable funding are school safety, security, and climate initiatives. The board plans to request $27.5 million from the Education Trust Fund (ETF) for these programs for FY28. In previous years, these programs were largely funded through ETF supplemental appropriations, receiving $25 million for FY26 and $2.5 million for FY27.
Another key area is school breakfasts. The ALSDE will request $14 million for this program, a substantial increase from the $7.3 million provided in the supplemental budget for FY27, which entirely funded the program at that time. Superintendent Mackey told the board that the requested amount "would cover the gap for all schools to be able to offer breakfast."
The department is also seeking a significant increase for its transportation program, requesting $56.1 million more, a 9.6% increase from its FY27 appropriation. This increase is largely driven by rising diesel fuel costs, which have severely impacted school bus operations.
According to AAA, the average price of diesel fuel in Alabama reached $5.71 per gallon on Thursday, marking the highest recorded average in the state's history. This compares to a national average of $5.98 per gallon. Just one year ago, the average price of diesel was $3.46 per gallon in Alabama and $3.71 nationally. Superintendent Mackey expressed concern about the volatility of these prices, stating that if diesel costs do not stabilize, it will be challenging to manage ahead of next year. He highlighted that for about half of Alabama's students, the school bus is their only option for transportation, with routes sometimes exceeding an hour in rural areas. Mackey described school bus service as "a basic service" essential for students to access education.
The Education Trust Fund, primarily supported by state income tax, currently holds approximately $9.8 billion, as reported by the Legislative Services Agency’s fiscal dashboard. However, lawmakers and agencies have been warned that the ETF is "tightening," and fiscal year 2028 is expected to be a "very, very challenging budget" year for the General Fund.
The ALSDE board is scheduled to approve its final budget request in October. However, adjustments may still be made as finalized school data becomes available this fall and a new state administration takes office. The Alabama Legislature will ultimately have the final authority over the state's budget.