Governor Abigail Spanberger has signed Virginia's 2026–2028 Biennial Budget into law following a long-awaited budget agreement between House and Senate leadership. The final budget includes several new revenue streams for the Commonwealth and fully funds mandated programs and legislative priorities over the two-year budget cycle.
For public education, the budget builds upon the historic investments made during the 2024–2026 biennium by providing an additional $1.8 billion in state support over the next two fiscal years. The budget also authorizes local referenda, beginning November 3, 2026, allowing localities to consider a 1% local option sales tax dedicated to school construction. Additionally, it provides $449.8 million to fully fund rebenchmarking, including updated student enrollment projections and recognition of ongoing costs for school divisions.
To support Virginia's education workforce, the budget includes $560.3 million for the state's share of 4% salary increases in each fiscal year of the biennium. This investment is in addition to the $117.6 million previously approved in the caboose budget for the state's share of a $1,500 bonus per funded position, which school divisions may choose to distribute during fiscal year 2027.
Budget conferees also included a one-time $98.4 million supplement to the At-Risk Add-On, providing school divisions with additional flexibility to address local operating or capital needs over the biennium. This initiative was a key Senate budget priority during this year's negotiations.
For students with disabilities, the budget doubles last year's additional funding by providing $148.4 million in enhanced support. It also expands eligibility for the Students with Intensive Support Needs Add-On (SISNA), increasing assistance for students with the most significant and complex educational needs.
To view the Conference Report for the 2026-2028 direct aid to public education estimated distribution per school division for FY 2027 and FY2028, click here.
For more information regarding budget items for public education, click here.
If you have any questions regarding Virginia's next biennium budget, please contact Sofhia Pineda, VSBA Government Relations Specialist, at sofhia@vsba.org.
Thank you for all you do on behalf of public education in the Commonwealth!
Best,
Sofhia Pineda
VSBA, Government Relations Specialist
