Legislators move forward with education and General Fund budgets; final decisions expected next week

The Alabama legislature is making strides towards finalizing the 2025 General Fund and education budgets, with both bills advancing but awaiting final passage next week. The proposed $3.3 billion General Fund budget and $9.3 billion education budgets have been approved by the House and Senate, but further discussions are needed before they can be signed into law.

Both budgets include 2% raises for state employees and educators, with plans for eventual pay increases for retirees in the works. Lawmakers are considering allocating funds for education retiree raises, acknowledging the impact of inflation and increased living costs on retirees.

Changes to the budgets include increases for the Alabama Department of Corrections, the Alabama Department of Mental Health, and Medicaid. The education budget also includes funding for a summer feeding program for low-income children and a new education employee injury compensation program.

The House and Senate will need to reconcile differences in the budgets before they can be sent to Governor Kay Ivey for final approval. Both education spending bills will be taken to a conference committee for further discussion, as lawmakers seek clarity on changes made by the Senate.

Speaker Nathanial Ledbetter has appointed representatives to the conference committee to work out the differences, ensuring that the budgets meet the needs of the state. Stay tuned for updates on the progress of the 2025 budgets as they move towards final passage next week.