It costs more every year to run schools, but education funding has not kept up. Over time, that gap has grown. For the 2026–27 school year, ASD is facing a $90 million structural deficit, meaning this is not a one-time problem.

For more than a decade, state education funding has been mostly flat while costs for staffing, transportation, utilities, supplies, and services have continued to rise. Because funding has not kept up with inflation, the ability to continue core operations has steadily eroded.

The Legislature approved a permanent $700 increase to the Base Student Allocation, which provided needed stability and ended the one-time funding uncertainty. It didn’t decrease the overall funding gap.

Alaska’s school districts remain about $1,400 per student behind in purchasing power because education funding has not kept up with inflation since 2011.

For the past two budget cycles, the School Board approved using savings down to the lowest functional level, a 5% reserve, to keep as many positions as possible in schools.

Those reserves are now essentially gone. Going into FY27, there is only about $8 million remaining in savings after implementing a hiring freeze, cancelling planned spending in the current year, and sweeping remaining funds from other budget items.

At this time, a substantial increase in education funding is unlikely in the near term. Additionally, Alaska does not have a long-term state fiscal plan. That uncertainty forces school districts into year-to-year decisions and makes planning very difficult.

ASD is audited regularly and in multiple ways:

• Annual Financial Audit
  An independent auditing firm conducts a full review of all district finances each year. Results are published in the Annual Comprehensive Financial Report. This review is required by state law and results are submitted to the Alaska Department of Education and Early Development.
• Municipal Audits (2–3 per year)
  Municipal auditors review selected areas of internal controls and compliance with policies and procedures.
• Operational Audits (as requested by the School Board)
  The School Board’s Governance Committee may request operational audits by the Council of the Great City Schools and other independent experts. Findings are shared publicly and discussed in committee meetings.

ASD has received the Certificate of Excellence in Financial Reporting from the International Association of School Business Officials for 40 consecutive years, recognizing strong financial reporting and oversight.

All ASD audits are available online here and are reviewed in public meetings with the School Board.

Even after making significant reductions to administrative roles, central departments, and districtwide services, the district still faced a substantial funding gap. These non-classroom reductions were taken first, but they were not enough to close the deficit.

Approximately 87% of the district’s budget supports salary and benefits. A shortfall of this size cannot be resolved through administrative reductions alone. Without sufficient, stable funding, the remaining options include staff reductions, program changes, and increases in class sizes. There are no one-time solutions or hidden funds that would prevent these impacts.

The proposal increases class sizes by about four students per teacher, on average. Exact numbers vary by school and grade.

These are deep, districtwide cuts. No single area can absorb a reduction this large.

The proposal includes a large number of changes, some of which include:

• More than 500 positions eliminated
• Changes to the middle school model and schedule
• Reductions to athletics and activities
• A shift to a regional nursing model
• Reductions across operations, support, and administrative services

Every part of the district is affected.

Reductions extend well beyond classrooms and academics, including:

• Communications (1 position)
• Community Rentals (1 position)
• Custodial staffing model changes
• Development and Grants (1 position)
• Equipment Replacement Fund ($1.2 million)
• Human Resources (3 positions)
• Information Technology (16 positions)
• IT equipment and software funding
• Maintenance (3 positions)
• Student Nutrition (1 position)
• Supply budgets
• Warehouse drivers (2 positions)

These cuts affect the behind-the-scenes work that keeps schools operating every day.

Several academic programs and structures are being adjusted to reduce costs and improve efficiency, including:

• Tudor Montessori moving to Denali elementary, with Tudor becoming a neighborhood school
• Boundary changes at Inlet View Elementary, with Government Hill becoming Spanish Immersion only
• Outreach moving to Benny Benson and SAVE
• Special Schools moving under Whaley administration
• A regional nursing model
• Changes to the elementary specialist model
• Elimination of the building substitute model
• Elementary summer school ending after 2026-27 and ELL summer school after 2027
• IGNITE transitioning to the WIN model
• Professional Learning Teacher Expert (PLTE) support eliminated

The proposed regional nursing model is a staffing approach that assigns nurses to groups of schools rather than automatically placing one nurse at every school campus. The goal is to align nursing coverage with student medical needs (acuity) while maintaining safety, responsiveness, and long-term sustainability.

In an acuity model of service, the district would be divided into six regions. Each region would be staffed by 9-11 nurses. Each region would have a lead nurse who would deploy staff to schools based on need. For example, if special care or medication needs to be provided to a student, a nurse would go to that school and provided the needed support.

There may be some schools that have a full-time nurse, based on level of student need.

In the current ASD model, one nurse is assigned to each school. In practice, however, not every school has a nurse on site every day. This is largely due to  vacant positions and daily absences that the district cannot cover with a limited pool of substitute nurses.

For example, during the first week of February 2026, there were between 11 and 17 nurse absences each day. Only some of those shifts were able to be filled by substitute nurses, resulting in 6-11 schools without an on-site nurse on any given day. When this occurs, nurses from other schools often provide coverage, balancing the needs of their own school while supporting another campus.

This approach mirrors how an acuity-based model would function, with nurses assigned to a region and deployed based on student health needs.

Note: Charter schools determine their own staffing levels based on their individual budgets.

ASD currently has one nurse assigned to each school. Under the proposed model, schools and nurses would be grouped into regions. Nurses would visit schools in their assigned region based on student health needs (acuity).

Other large Alaska school districts (Mat Su, Fairbanks, Juneau and Kenai) use a range of nursing models. In all cases, nursing staff serve multiple schools, and none of these districts assign one nurse to every school districtwide.

Special education is also affected, including reductions in leadership, instructional, and support roles. Even with these changes, ASD remains legally required to meet all state and federal special education requirements.

One of the steps approved by the School Board to balance next year’s budget is to increase the pupil-to-teacher (PTR) ratio by four students. This change, combined with updated student enrollment projections, reduces the overall number of teachers across the District.

Each school then receives a staffing allocation based on their individual school budgets and projected enrollment numbers. Individual school principals use that allocation to make choices that best serve students’ needs as well as popular interest, based on course requests. 

In most cases, those decisions begin with covering required core classes and essential student services. With a higher PTR, schools have much less flexibility to staff electives, specialized programs or courses that serve smaller groups of students.

That means the impact may look different from school to school. Some reductions may feel especially personal to families when their school doesn’t offer something that another does. Unfortunately, with fewer teachers and less flexibility in the staffing model, schools have limited ability to offer highly specialized courses that serve smaller numbers of students. 

As of April 28, 2026, program eliminations at the main high schools are available here.

The School Board approved increasing the pupil-to-teacher ratio (PTR) by four students to help balance next year’s budget, which reduces the overall number of teachers. Each school then receives a staffing allocation based on its enrollment and budget.

Principals use that allocation to prioritize required core classes and essential services, leaving very limited flexibility beyond those needs. As a result, smaller, specialized elective courses are often the most at risk. Elective offerings may vary by school, reflecting each principal’s decisions about how best to meet their students’ needs as well as popular interest, based on course requests.

As of April 28, 2026, program eliminations at the main high schools are available here.

An assistant director position was eliminated from the administration budget, which will reduce districtwide support of Fine Arts (art and music). 

At the individual school level, staffing cuts and an increased PTR mean students have less access to elective classes across the District, including art and music.

An increase of four to the pupil-to-teacher ratio (PTR) reduces the overall number of teachers in the District. That, in turn, means there are fewer teachers at schools. 

Principals balance the available teachers with the required core courses needed and any remaining staffing allocations are dedicated to electives. Typically, classes that are most vulnerable to reductions are those that serve much smaller populations of students and are not required for graduation.

With 142 fewer teaching positions at the elementary level next year, the district is redesigning the specialist model to ensure students continue to receive consistent access to fine arts instruction (art and music) in a more sustainable and equitable way.

In the updated model, students in neighborhood elementary schools will receive two 50-minute sessions per week of either art or music each week for one semester. At the semester break, the specialist teachers will rotate between paired schools, and students will then receive instruction in the other content area.

For example, a student who has art twice a week in the first semester, will have music twice a week for the second semester. A student at another school who has music twice a week for the first semester, will have art twice a week in the second semester.

From the current school year to 2026-27, music instructional hours will be 30 hours, a decrease of six hours over the course of the year. Art education will increase by 12 hours over the course of the year. 

This adjustment allows the district to preserve elementary student access to fine arts, and creates a more balanced experience between art and music, while allowing the district to operate within current budget realities. 

This is an important question.

ASD’s labor agreements reflect negotiated commitments to teachers and staff, and competitive pay matters for students. Schools cannot function without qualified teachers, principals, and support staff. Over the past several years, Alaska has struggled to recruit and retain educators, and turnover directly affects students.

Even in a difficult budget year, maintaining competitive compensation helps:

• Retain experienced educators
• Recruit qualified teachers and school leaders
• Reduce turnover and disruption in classrooms

While these agreements do add pressure to the FY27 budget, they are about stability, not excess. When schools lose experienced staff, students feel it first.

These decisions are about balancing immediate financial challenges with the long-term need to keep classrooms staffed by qualified professionals.

ASD administration makes up less than 6% of the district’s overall budget. Administrative staffing levels have been reduced year-over-year in order to keep the focus in classrooms. The vast majority of district spending goes directly to schools, classrooms, and student services.

From 2012 to the proposed FY27 budget, administration positions were reduced from 816 to 680 in all administrative areas, including payroll, custodial, maintenance, IT and other positions that directly support teachers so they can focus on the classroom. That’s an average of a 16% reduction in administration, while some individual departments saw reductions up to 77%.

Click Chart to Enlarge

Below is an example of proposed FY27 reductions within the Academic Division, which is considered part of ASD administration.

• The division currently includes 219 full-time positions
• 30 general fund positions are proposed for elimination
• 18 grant-funded positions are proposed for elimination
• Combined total proposed reduction of 48 administrative positions in this one division

Other administrative and support departments are also being reduced as part of this budget.

Even with these reductions, administrative cuts alone cannot solve a $90 million deficit. Eliminating every administrative position across the district would still fall far short of closing the gap.

The size of the deficit is driven by years of flat state funding and rising costs, not excess administration.

ASD spends more than 87% of its budget on people, so staffing reductions are unavoidable at this scale.

Staffing decisions will follow adoption of the FY27 budget. Talent Management will work with business departments to establish contractual layoff timelines.

For school-based staff, decisions will likely be delayed until late March or early April. This allows time to:

• Work with principals to understand school-level impacts
• Consider vacancies and resignations that may reduce layoffs
• Wait for the outcome of the local levy
• Track changes in state funding

This approach helps ensure decisions are thoughtful and based on the best available information.

Actual layoff notices would not be issued until May. The statutory deadline is May 15 for tenured teachers and the last day of school (May 21) for non-tenured teachers. 

For staff at schools that would close at the end of this school year, FTE generally follows students to their new school(s). Staff have the opportunity to list their new site preferences. The number of available positions at the new school location would be determined based on district staffing levels.

In the 2025-26 adopted budget, Middle School Education shows total personnel expenditures of $638,022. This amount represents pay distributed across many employees. 

That budget link combines several types of compensation. It includes the salary for the director position but also covers payments to teachers and other staff for additional responsibilities such as professional development, middle school collaboration leads and professional learning communities. While the District budgets for these costs in a centralized account for efficiency, the money is generally sent to individual middle schools and paid to school-based staff. 

ASD’s Budget Book is formatted according to the State Chart of Accounts which lumps payments to any certificated employee into one budget line which can make the number appear to represent a single position when it does not.

To help address confusion but still follow the State Chart of Accounts, in next school year’s budget (FY27), the expenditures were broken down into additional categories to show certificated salaries, certificated added duties, non-certificated salaries, non-certificated added duties and employee benefits.

See page 108 of the FY27 Budget Book.

Additionally, the FY27 budget reflects a 52% reduction in funding for the Middle School Education organization code.

Rightsizing helps ASD use resources wisely so more funding can go directly to students, teachers, and classrooms.

Similar to the decline in the Anchorage population, ASD’s enrollment is decreasing. Closing schools saves on average around $900,000 for each elementary building, depending on its size and needs.

Every dollar saved through Rightsizing helps protect programs, support great teaching, and keep the focus on creating strong, sustainable schools for students today and in the future.

ASD is the operator and maintainer of school buildings but the actual facility and property belong to the Municipality of Anchorage (MoA). When a school is closed and the building is deemed excess (no use to ASD), the building and the property are returned to the MoA. 

This typically occurs when maintenance and construction needs exceed what would normally be expected for facility improvements

If approved by the School Board, the Abbott Loop Elementary School and Campbell STEM Elementary School buildings would be declared excess to the District’s needs and returned to the Municipality of Anchorage (MoA).

Our focus has not changed. We remain centered on students, classrooms, and helping kids succeed in reading, math, and life.

See the presentation here

Powerpoint Presentation

February 24, 2026 Special Board Session

Board Meeting

Powerpoint Presentation

Balancing Act Presentation

Supplemental Information from the September 25, 2025 School Board Presentation

Dear ASD Community,

I am writing to share an important update about the Anchorage School District’s (ASD) Fiscal Year 2027 (FY27) budget and the significant decisions ahead. This is a difficult moment for our district, and I want to provide clear information about where we are and what it means for our schools.

A Reality We Must Address

Like many families in our community, the cost of operating our schools continues to rise. Expenses for staffing, transportation, utilities, supplies, and services have increased over time, while state education funding has not kept pace with inflation. Over the years, that gap has grown, and it is now affecting our ability to sustain current operations.

For more than a decade, education funding in Alaska has remained largely flat while the cost of running schools has steadily increased. Each year of flat funding has functioned like a reduction, and those impacts have compounded.

Last year, the Legislature made a historic decision to permanently increase the Base Student Allocation (BSA) by $700. That investment mattered. It provided stability at a critical time, and I remain grateful to the lawmakers who recognized the urgency of the situation. Even after that action, however, school districts across Alaska remain approximately $1,400 per student behind when inflationary pressures since 2011 are considered.

Where We Are Now

For the past two budget cycles, the Anchorage School Board approved spending district savings down to the lowest level allowed, a 5% reserve, to protect as many school-based positions as possible. Those reserves are now largely depleted. As we look ahead to FY27, ASD is facing a projected $90 million structural deficit. Under current funding conditions, continuing at our present level of service is not sustainable.

There is also broader statewide fiscal uncertainty. Without predictable long-term funding, districts like ours are forced into year-to-year decisions that make planning difficult and limit our ability to provide stability for students and staff.

What This Means for the District

These reductions are not a reflection of the commitment, talent, or effort of our staff. Our educators and employees continue to serve students with dedication and care. The challenge we are facing is driven by long-term funding misalignment at the state level, not due to a lack of effort or care in our schools. Our leadership team has spent months reviewing every budget line. As a result, we are proposing deep non-classroom reductions to preserve as many school services as possible. Dozens of district office positions will be eliminated, and resources are being shifted to schools. 

We want to address a common question about administrative spending. Administrative staffing represents less than 6% of ASD’s overall budget and includes many legally required functions. Deep reductions to administration are included in this proposal. Even eliminating all administrative positions would not resolve a $90 million deficit. The core issue is overall funding levels.

Because more than 87% of ASD’s budget goes towards personnel costs, staffing reductions at a large scale are unavoidable. Even so, we are being intentional about how we move forward. We are working to reduce our overall footprint while directing resources as close to classrooms as possible. We also are committed to handling staffing decisions thoughtfully, allowing time to consider vacancies, resignations, and any changes in local and state funding before issuing teacher layoff notices.

You may also wonder why ASD continues to honor negotiated salary agreements during a budget shortfall. Students benefit from stable, qualified educators and school leaders. Competitive compensation helps us retain experienced staff and reduce turnover that disrupts learning. These agreements come with financial considerations, but they support long-term stability for students. 

Even with these steps, the size of the remaining deficit means changes will also reach school-level operations.

What This Means for Schools

A deficit of this size requires major adjustments across the district. There are no remaining one-time solutions that can close a gap of this magnitude without affecting staffing levels and school operations. 

The proposed budget includes reductions to hundreds of positions. It proposes a number of changes outside of the classroom–some examples include reducing the Office of Academic Services, one of our largest district departments, by 22%. Others include reductions to sports and activities. We are merging and consolidating service delivery models to be more efficient, such as shifting school nursing services to a regional model. After making deep reductions across district office departments, consolidating services, and shifting resources toward schools, the remaining gap still required an increase of four students to the pupil-teacher ratio. Every part of the district is affected in some way. Details are available in the FY27 Preliminary Budget Overview.

We know these changes will be felt in classrooms and school communities. Larger class sizes and reduced staffing mean educators will be asked to do more at a time when student needs are increasing. These are real impacts on people, and they weigh heavily as decisions are made.

Our Responsibility Moving Forward

Even in challenging budget cycles, our purpose remains clear: supporting students in the classroom and advancing the Board’s goals of improving reading, math, and life readiness. Strong teaching and learning continue to happen in our schools every day. We can be honest about challenges while continuing to recognize the dedication of our educators and the strengths of our school communities.

In the coming weeks, the Board will review budget options that will shape the year ahead. I encourage you to visit the FY27 Budget Solutions webpage to review the proposed reductions and the choices before the Board. The Board will hold a two-hour work session on Tuesday, Feb. 3, beginning at 3 p.m., followed by its regular meeting starting at 6 p.m., where public testimony is welcome. 

Your voice matters in this process, and we value hearing directly from you.

Thank you for your continued care for our students, staff, schools, and community.

Sincerely,

Jharrett Bryantt, Ed.D.
Superintendent
Anchorage School District

Dear Anchorage School District Families,

Welcome back to a new semester. I want to share an important update about our school district and our budget.

The Anchorage School District is facing serious financial challenges. Costs are rising, and state funding has not kept up. The $700 increase to the Base Student Allocation (BSA) approved by the Alaska State Legislature last year was a meaningful and appreciated step. However, after nearly a decade of stagnant funding, inflation has reduced what schools can afford by roughly $1,800 per student; the increase provided relief, but it did not fully restore purchasing power. Even after making significant reductions outside of classrooms, ASD will still face difficult choices that could affect class sizes and staffing.

Today, we have a glimmer of hope. The Municipality of Anchorage announced a proposed one-time school levy that voters may consider this spring. I want families to hear directly from me about what this could mean.

If approved, the levy could provide up to $11.8 million to help reduce some of the largest cuts we are facing for the 2026–27 school year. This would not solve all of our funding problems, but it would provide some relief. 

My commitment is simple: every dollar from this levy would go to teacher positions and essential student services. This amount of funding is equal to about 90 teaching positions, which could make a real difference for students.

This is a big request of our community, and we are thankful that local leaders are working with us to explore solutions. We will also continue to push for long-term, stable education funding at the state level.

We know uncertainty can be hard for families. Please know that every decision we make is focused on what is best for students and learning. We are committed to keeping you informed as we move forward.

Thank you for your continued support of student success at ASD.

Sincerely,

Dr. Jharrett Bryantt
Superintendent
Anchorage School District

Dear ASD community, 

We’ve started the budget preparation process for next year and we would value your input. As I mentioned a couple of weeks ago, ASD is facing a structural deficit of more than $77 million. The increase in state funding passed by the Legislature earlier this year helped but does not relieve us from many years of underfunding education. 

Without additional state funding, we again will have to make significant reductions to balance the budget. When cuts of this size are on the table, we have to be thorough and intentional. Our decisions must be guided by what our community values most for our students and where we choose to protect resources. These choices will not be easy. They will impact every one of our classrooms and programs across the District. 

Balancing Act

I am asking for your input on how ASD should approach the 2026-27 budget. We are using an online tool, called Balancing Act, which lets you explore spending options and see how different choices affect our financial outlook.

The tool starts with a $77 million deficit. As you adjust expenses across categories, the budget tracker bar updates in real time. The goal is to close the gap and turn the tracker bar green. When you’re done, you can submit your budget priorities directly to my administration and the Anchorage School Board. 

Click here to try the Balancing Act

Budget Workshop

The District will host a community budget workshop in early December. District leaders will be available to answer questions and discuss ideas as you work through real scenarios to balance the budget.

At the workshop, you will:

• Get an overview of ASD’s financial picture and how we reached a $77 million deficit.

• Use the Balancing Act tool to explore spending options and set your priorities.

• See in real time how your choices affect the budget gap.

• Share your recommendations with District leadership and the Board.

Balancing Act: A FY27 Budget Solutions Workshop
Saturday, December 6
11 a.m. – 1 p.m.
Bartlett High School

Your responses will be used in the development of the FY27 Preliminary Budget.

This will be a very challenging budget season and we have to work together to shape the future of our school district.

Dear ASD families and staff,

District staff have worked tirelessly to protect the progress we’re making in the classroom despite persistent financial challenges. We’ve made hard choices, streamlined operations, and used one-time savings to preserve student programs and staff positions. Yet today, we continue to face a steep hill to climb.

Our District is projecting a deficit of more than $77 million for next school year, FY2026–27. It’s the cumulative effect of underfunding and growing pressure on local, state and federal revenue sources. 

While the Legislature’s override of the Governor’s veto last summer was historic, it wasn’t enough to offset the cumulative impact of flat funding. Alaska’s per-student investment has declined by more than $1,400 in real value from 2011 projected through 2027. Without continued Legislative support for adequate school funding, ASD will have to cut staff and programs to balance the budget for next year. 

Our School Board has established 2026 Legislative Priorities that call for the restoration of education’s purchasing power, competitive retirement options, and full reimbursement for student transportation. These priorities reflect what our community values most: stable classrooms, strong teachers and safe, thriving schools.

This Thursday at 1:30 p.m. the School Board Finance Committee will have preliminary discussions on the budget development. You can watch live or on-demand at your convenience on the District’s YouTube channel. 

In early December, the District will host Balancing Act: a FY27 Budget Solutions Workshop. Using an interactive tool called Balancing Act, participants will be able to propose their own ideas for spending reductions and priorities. We are putting the finishing touches on the workshop details and will share an update when information is finalized.

Your voice matters. The decisions we make in the coming months will affect classrooms, programs, and opportunities for years to come. We hope you will help us find a path forward that reflects our shared commitment to Anchorage’s students.

Together, we can protect the progress we’ve made and strengthen the foundation for the future.

Respectfully, 

Dr. Jharrett Bryantt
Superintendent,
Anchorage School District

*revised Nov. 3