Running the Numbers

APS 2026 fiscal year budget picture becomes clearer as deadlines approach.

With the voice of the community and the needs of students as its guideposts, Albuquerque Public Schools is nearing the completion of the 2026 fiscal year budget.

The Board of Education is scheduled to vote on whether to approve the budget May 7 and has received several presentations on the document through the winter and spring. An approved budget must be presented to the state Public Education Department by May 19.

The board is scheduled to hear another presentation on the budget at its April 16 meeting.

A year ago, the district’s total budget, including capital expenditures, was about $2.1 billion. District officials expect this year’s budget to approach that figure as they continue to crunch numbers into the weekend.

The revenue side of the budget picture is mixed.

APS is projecting a 3.9% increase in the State Equalization Guarantee, which will help fund a 4% compensation increase for all employees. The district also receives federal funding, but uncertainties in Washington, D.C., make it difficult to accurately project how much money APS will receive on that front.

An undeniable factor in the budget picture is a significant drop in enrollment. State funding is largely driven by the number of students attending a district. In 2026, APS projects an enrollment of just under 65,000. 

Toward that end, the district faces a deficit of $4.7 million. The gap will be absorbed through the district’s fund balance, or reserves.

Another challenge is rising costs on basics such as electricity, fuel and other necessary items, so it’s clear the budget will be tight. That means a high priority must be placed on aligning available dollars toward meeting district goals, said Superintendent Gabriella Blakey.

“Months of thoughtful planning has gone into the budget, and we’re grateful to both the community and the board for their deep commitment to putting students first,” she said. “We’ve had hours of discussions on how to best use the public’s money, and while we recognize no budget is perfect, we believe what we’re proposing is a key step in the right direction.

“That said, difficult decisions had to be made. We worked very hard to make certain our students were our top priorities as we worked on the budget.”

The public throughout the year has been invited to voice its wants in the budget process. In the fall, the district created a survey gauging community priorities, and the Board of Education followed up with in-person meetings around town.

Key issues – including high-quality instructional materials, safety and increased family supports – came to the fore. Other key drivers included the wish to continue promising programs in the district’s Strategic Performance Framework such as TOPS, in which schools receive added funding to create innovative educational models that keep students focused and engaged.

Armed with those ideas, the district’s budget office has gone about creating a plan that concentrated on aligning funds to high-impact programs of study; altered the allocation of federal Title I funding to help schools most in need; and concentrated on an educational return on investment.

"The Finance team, working in collaboration with our academic partners, has worked very hard to align the budget to board goals and the APS Strategic Plan in a way that supports students," said Rennette Apodaca, the district's chief financial officer.

The change to the way Title I money is distributed is notable. Every school in APS receives Title I in the form of services that are baked into each school’s budget. But the district is making changes to its school-based Title I formula to create a more equitable allocation of resources.

It’s believed that by moving more Title I funding to schools with higher poverty rates, those schools will be able to improve their students’ academic performance. The effort is guided by the board’s Goals and Guardrails and APS’ community-driven strategic plan.

Schools receiving more federal funding will dovetail those resources to evidence-based practices that move the needle on student achievement. Those receiving less money will have more flexibility in how they deploy funds.

“Improving student outcomes is our most important goal, and while that’s never as quick or as easy as we’d like it to be, crafting a budget is a really important step,” said Dr. Blakey.

To learn more about the budget and see presentations that have been shared this year, click on these links:

• FY2026 Budget Calendar
• 02-26-25 At Risk and Title I Funds (shared at Finance Committee meeting)
• 03-05-25 Budget Presentation
• 03-26-25 Budget Presentation (shared at the Finance Committee meeting)
• 04-16-25 Budget Presentation 
• Changes to Title I Funding in the 2025-2026 School Year (PDF)