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The Alaska Legislature approved a budget that would more than triple funding for public school construction and maintenance projects in fiscal year 2027 compared to fiscal year 2026.
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The proposed fiscal year 2027 budget allocates more than $148 million for school construction and maintenance, up from $40 million in fiscal year 2026.
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The budget awaits signature by Alaska Governor Mike Dunleavy.
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Years of underinvestment in Alaska’s public schools have resulted in leaking roofs, broken water pipes, and failing foundations.
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If signed, the $148 million allocation would be the largest for school infrastructure in more than a decade.
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The new funding would pay for more than 30 projects but cover only about 13% of the $1.12 billion requested by school districts for infrastructure in fiscal year 2027.
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Some of the worst school conditions are in rural public schools serving predominantly Indigenous student populations, which are often used as emergency shelters.
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In December, former students and parents testified before the State Board of Education about squalid conditions at Alaska’s only state-owned boarding school.
Lyman Hoffman, State Senator
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State Sen. Lyman Hoffman said, “Even though the whole state is having a problem balancing its checkbook, at the top of the list is education.”
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Since 1998, the Alaska Legislature has funded only a fraction of school districts’ construction and maintenance funding requests.
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In fiscal year 2026, lawmakers funded about 5% of the nearly $800 million requested by school districts for infrastructure.
Madeline Aguillard, Superintendent
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Kuspuk School District Superintendent Madeline Aguillard said, “I do appreciate it, but the hole that the state is in is so deep and so big. It’s going to take a long time to hit that word ‘enough.’”
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The Kuspuk School District first requested state funds in 2007 to repair a leaking roof at its school in Sleetmute.
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In 2021, an architect inspection uncovered severe structural damage at the Sleetmute school.
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Reporting by ProPublica, KYUK, and NPR in 2024 revealed a bat infestation and other serious health and safety issues at Sleetmute’s K-12 Jack Egnaty Sr. School.
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At least one Alaska lawmaker has publicly labeled the Sleetmute school “the poster child” for what’s wrong with the state’s public school infrastructure.
Madeline Aguillard, Superintendent
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Madeline Aguillard said that 2024 news reporting on structural deficiencies at the Sleetmute school “really lit a fire” in the state Legislature.
Deena Bishop, Education Commissioner
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Alaska Education Commissioner Deena Bishop said, “The power of the purse is with the Legislature.”
Bert Stedman, Senate Finance Committee co-chair
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During a March Senate Finance Committee meeting, co-chair Bert Stedman said, “She’s responsible. The buck stops with her,” referring to Education Commissioner Deena Bishop.
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Education department staff said they rely on information provided by school districts about building conditions, and districts have an annual opportunity to request maintenance and construction funds.
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Bert Stedman, Lyman Hoffman, and one other ranking co-chair have served on the Senate Finance Committee for more than 15 years.
Deena Bishop, Education Commissioner
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Deena Bishop said during a March hearing, “There is, I would personally say, a flaw in the system, in the ranking that we are trying to fix.”
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Wealthier urban school districts with more staff fare better in the funding application process because they can hire professional grant writers and pay for building inspections.
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More than half of the projects approved for funding in fiscal year 2027 are in urban school districts that also have access to local tax revenue.
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Alaska’s rural school districts are almost entirely reliant on state funding because residents in their communities do not pay taxes to support education.
Deena Bishop, Education Commissioner
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Deena Bishop said, “Some are winners and some are losers,” referring to disparities in school infrastructure funding.
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The Galena City School District proposed a $36.5 million major renovation project to remove hazardous materials and upgrade heating, ventilation, plumbing, and electrical systems.
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The Galena City School District’s project was ranked second for funding priority in its first year on the state’s list, ahead of rural projects that have waited years or decades for approval.
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