BY KARISSA MILLER
The Iredell-Statesville Schools Board of Education on Monday voted to adopt a $267 million budget resolution for fiscal year 2024-2025.
Chief Finance Officer Adam Steele told the board that I-SS faced a $12 million gap due the end of federal COVID-19 funding and grants such as the Teacher School Leader grant.
The shortfall comes at a time when the district has increased costs associated with salaries and benefits, maintenance supply costs and utilities.
“With ESSER (COVID-19 emergency funding) ending, we had to move some expenses back to the local budget and other funding sources,” Steele explained.
The plan includes the use of $2.4 million from the fund balance — the district’s savings account — to help cover the shortfall.
“We are monitoring expenses on a daily, weekly and monthly basis to reduce our use of fund balance,” Steele said.
Funding Sources
The budget includes the following revenue sources:
• State: $147.3 million
• Iredell County: $59.1 million
• Federal: $9.3 million
• Child Nutrition: $13 million
• After School Care: $1.7 million
• Other Special Revenue funds: $13.1 million
• Capital Outlay: $23.7 million
• Scholarship: $35,000
In March, the district requested $62.1 million from the Iredell County Board of Commissioners, which represented a 14.81 percent increase over the $54 million the district received from the county in 2023-2024.
The additional funds were needed to cover state-mandated cost increases, the loss of federal COVID-19 funds, and pay raises for I-SS employees.
Commissioners approved a 2.7 percent increase in funding, which includes bumping the district’s per pupil allotment from $2,223 to $2,284.
The district receives state and local funding based on enrollment figures or Average Daily Membership (ADM).
“Our ADM is 252 higher than the State projected. Our current ADM is 20,782 with the state
allotted ADM of 20,530,” Steele said. “We anticipate receiving additional dollars for increased ADM, but that remains to be seen.”
Increased Expenses
Among the increased expenses covered by local funding:
◦ A 3 percent pay increase estimated (around $3.5 million);
◦ Salaries and benefits for school nurses (about $1.8 million), which was previously funded by a grant;
◦ A step increase for all full-time employees. The step increase I-SS has for classified employees ($72,000); and
◦ Funding for salaries and benefits for 20 teaching positions as a result of COVID funds ending and EC positions using all of Medicaid carryover (about $1 million).