Follow-Up: Board of Education Special Called Meeting on Budget Planning

On Wednesday, March 19, 2025, the Craven County Board of Education held a Special Called Meeting to discuss budget planning for the 2025-2026 school year.

Budget Overview:

Mr. Stacy Lee, Chief Officer of Systems and Operations, presented various budget scenarios and considerations, focusing on the local budget since federal and state allocations have not yet been received. Currently, the local budget makes up approximately 23% of the overall school system budget, with 71% from state allocations and 6% from federal allocations. The Craven County Government provides the appropriation for local education funding.

Key Financial Challenges:

The district is currently facing an $8-$10 million shortfall due to:

• Loss of ESSER funds (previous COVID-19 relief funding)
• Increased costs in retirement and health insurance
• Declining student enrollment
• Charter school payouts for students choosing alternative education options
• Rising operational costs (utilities, inflation, etc.)

Projected Shortfall & Potential Reductions

If the district continues to operate at its current $35,287,184 with no reductions and if the county allocates $24,456,069, the district will need to rely on its fund balance ($8,481,991) to cover expenses. This still leaves a $2,349,124 shortfall. Fund balance is the district’s savings account, and a balance is needed in case of an emergency and carryover since federal and state funds do not come to the district all at once. This will cause the school system to spend all of its fund balance.

To address this, Mr. Lee reviewed possible reductions in areas such as:

·     ESSER-funded positions (instructional support, health services, principal coaching)

·     Non-instructional support (clerical)

·     Local classroom positions (6-8 teachers)

·     Central office administration

·     Assistant principals (The state only provides funding for 12 APs for 25 schools)

 

Board Priorities & Next Steps

During discussions, Board members emphasized budget priorities such as:

·     Assistant principals

·     Health services

·     Exceptional Children (EC) services

·     School safety

Dr. Miller, Superintendent of Craven County Schools, addressed the difficult reality of potential reductions, stating, "None of these scenarios are ideal. I wish we didn’t have to make any reductions. If we do, our goal is to stay as far away from the classroom as possible. However, the needs of our students have changed since COVID, and unfortunately, these decisions will impact our students and their learning."

Despite the challenges, Dr. Miller emphasized the district’s dedication to finding creative solutions to preserve as many positions as possible. “I am passionate about our school system, and as a product of Craven County Schools, the success of this district is near and dear to my heart. Public education remains under attack, and there is nothing I want more than for CCS to be THE CHOICE for our staff, educators, students, families, and the community. We look forward to continuing to work with our county commissioners on planning the best local budget for the future of our school system."

The Board of Education and district leaders are committed to working collaboratively with county officials and stakeholders to develop a sustainable budget that prioritizes student success while navigating financial constraints

The Board of Education has requested additional documents to assist in the planning process. Further discussions with the Board of Education and Craven County Commissioners are planned.

 To view the full presentation, CLICK HERE