Richland 1 reallocates $1.4 million from fund balance for software, evaluations and programs; district publishes longer multi‑year reserve plan

The Richland 1 Board of School Commissioners on June 24 approved the reallocation of $1,400,000 from the district's FY23-24 unassigned fund balance to several FY25-26 projects and reviewed an informational plan for additional reserved fund uses required by state reporting.

The administration asked the board to approve the reallocation and identified five targeted items: Kronos implementation ($50,000); South Carolina Department of Education agreed‑upon procedures ($250,000); University of South Carolina South Carolina DREAM program ($584,000); a web‑based two‑way communications solution ($100,000); and summer student evaluations and related pay for employees outside the 240‑day schedule ($418,000). "For us to be able to move forward with summer evaluations, we have to have approval to be able to pay those employees outside of 240 day," said Ms. Dixon (nutrition services earlier referenced other items), clarifying that work cannot begin until funding authorization is granted.

Why it matters: reallocations convert previously set-aside fund balance into actionable funding for administrative systems, student services and summer evaluations that require one-time pay authority.

The motion to approve the $1.4 million reallocation passed 3–2. Commissioner Hersey asked for clarity on the $418,000 for student evaluations and whether staff had been notified; district staff answered that no one had started work and that prior extra‑pay entries were in February records.

Separately, staff presented an informational item required by the state Appropriations Act showing planned reductions and reserves from FY24-25 fund balance to be reported monthly to South Carolina's Department of Education and Revenue and Fiscal Affairs Office. Items listed in that informational presentation included a 10% required fund balance reserve per board policy (listed in the presentation as approximately $4,410,000), a $10,000,000 reserve for capital projects, multi‑year revenue assumptions ($9,000,000 for FY26 and $6,000,000 for FY27), summer programs previously funded by ESSER ($4,700,000), staff recruitment/retention ($5,000,000), staff longevity supplements ($1,600,000), midyear employee incentives ($3,200,000), McKinney‑Vento student transportation ($1,200,000), reserved instructional needs ($915,000), sick‑leave over‑90‑day supplements ($500,000), and other items including e‑rate and nursing services contract funding.

District staff said the informational list is based on preliminary balances and may change at final closing; administration reserved the right to adjust items based on the final audited fund balance. The monthly reporting requirement to the state was described as a compliance step tied to the 2025 state appropriations reporting process.

The board voted to approve the reallocations (item 7.03) with the 3–2 vote recorded; no formal action was taken on the informational fiscal plan (item 7.04).