To provide up-to-date and transparent information about the district’s financial condition, this is the August 29 Community Budget Update.
Reduction in Force
Interim Superintendent Catty Q. Moore provided a budget update at this week’s Board of Education meeting.
This week, Human Resources notified most employees who lost their jobs or were demoted due to the Reduction in Force (RIF) adopted by the board. Due to changes in allotment allocations and new vacancies that opened this week, some staff will be notified early next week.
Effected staff members meet with HR and receive transition resources. The district will provide the employer portion of COBRA, a stopgap medical insurance, to staffers for up to one year. The School Health Alliance will offer staff up to 12 free supportive counseling sessions.
WS/FCS will also host a reverse job fair where displaced employees can meet with 20-plus employers, including area school districts, that have immediate jobs available.
Staff who are being furloughed or having their months of employment reduced will be notified next.
The board voted to close schools September 15 to give staff time to reorganize and get ready for new assignments.
The RIF was recommended because the district needs to make cuts for Fiscal Year 2025-2026 in order to have a balanced budget. Moore said that without the reductions, the district would not be able to pay staff or bills in September. These cuts do not have any impact on the Fiscal year 2024-2025 deficit.
See Moore’s full presentation, including a description of how much money the district receives from NC Lottery funds, or watch it online.
Foundation Grant
The Winston-Salem Foundation awarded WS/FCS a $40,000 grant to support the district hiring Summit Search Solutions Inc. to help the board identify a new superintendent.
“We know this search comes at a difficult time for our District. However, we firmly believe that identifying and securing strong, visionary leadership is a critical step toward long-term stability and progress,” foundation President LaTida Smith wrote in a letter to the Board of Education. “The superintendent search represents a pivotal opportunity to shape the future of public education in our community, and we are honored to support this process.”
Finance Update
Moore provided a more detailed financial update to Board members August 26 during the Finance Committee.
The report included an overview of budget versus actual expenses for July, the first month of the district’s fiscal year. The update is part of the district’s efforts to provide more fiscal transparency to the board and the public, and showcase the work being done to stay on track financially this year.
View the presentation online, or watch it.
Request to State Board of Education
WS/FCS will go before the State Board of Education on September 2 to request a waiver of penalties the district will begin to incur on its debt to the NC Department of Public Instruction.
WS/FCS overspent state funds for non-instructional support by $11.3 million. It will pay the state a little more than $8 million with funds provided by Forsyth County this week. The state will begin to assess a one-percent penalty on the remaining debt – $3.375 million – beginning September 20.
The district has argued that it is exhausting its efforts to cut costs and request additional funds to cover the debt. Additional penalties will make that more difficult.
The State Board will vote on the request on September 4. Moore is a member of the State Board, however she will recuse herself from this decision.