First Reading of Proposed FY 27 GCS General Fund Budget

The Greenville County Schools Administration presented its proposed FY 27 General Fund Budget for first reading to the Board of Trustees today. A second and final reading of the $989,408,000 proposal is scheduled for Monday, June 1, at 6:30 p.m. A public hearing at 6:00 p.m. will provide an opportunity for community members to comment on the budget proposal preceding that meeting and the Board’s vote on the budget.

A major focus of the proposed budget is to increase salaries for existing employees to remain competitive in recruiting and retaining the best personnel in all positions. The budget includes a step increase and an additional $2,550 per teacher cell, an increase from the $2,450 proposed at the budget work session in April. All other eligible employees will receive a step. If the step is not valued at a minimum of 3.5%, it will be adjusted to equal a 3.5% increase. Employees not eligible for a step will receive a 3.5% increase. Recognizing that inflation and current overall economic conditions are affecting our employees as well as the taxpayers (many of whom are also our employees), the District Administration did not recommend any increase in the millage rate. This will be the fifth time in 11 years that GCS has not raised millage.

“This proposed budget demonstrates the District’s continued commitment to be competitive when attracting and retaining exceptional teachers and staff,” said Dr. W. Burke Royster, Superintendent of Greenville County Schools. “The strength of our schools depends on the quality of the people who serve our students each day. By investing in our employees, we are investing in student achievement and in the long-term success of our community.” 

First Reading of Proposed FY 27 GCS General Fund Budget – Financial Summary

Projected Revenue – Local Funding: Current local tax millage for the General Fund is 141.2. Per Act 388, no taxes are collected on owner-occupied homes to support the General Fund budget, but school boards can raise millage on other property (businesses, cars, motorcycles, etc.) based on a formula built to meet inflation and population growth. Based on this formula, the GCS Board of Trustees has the authority to raise millage 6.8 mills to meet inflation and growth for next year. Additionally, the Board has at its disposal an additional 35.1 mills in carryover from previous years, bringing the total taxing authority available for FY 27 to 41.9 mills. Of those mills available to the Board, 16.1 are left over from FY 24 and will lapse if not levied this year, due to a three-year expiration period included in the law. In recognition that inflation and current overall economic conditions are affecting our employees as well as the taxpayers (many of whom are also our employees), the District administration is not including a proposed increase in millage in the FY 27 budget. This will be the fifth time in 11 years that GCS has not raised millage. The proposed FY 27 General Fund Budget projects local revenues of $359,596,000.

Projected Revenue – State Funding: The state appropriations bill has not yet been finalized. The SC House and Senate each have their own versions, and it is expected that both bodies will work toward a final compromise bill. The projected revenue from the state included in the first reading of the FY 27 General Fund Budget is $626,158,000.

Projected Transfers In – The projected reimbursement for indirect costs for administering federally funded programs for FY 27 is $3,654,000. 

General Fund – Fund Balance – $0: The Administration is not recommending use of Fund Balance in FY 27.

Potential Expenditures Due to State Mandates: These items are mandated through legislation.

Additional Expenditures Under Consideration: The following items reflect priorities needed to meet local requirements of the Strategic Education Plan

Reduction in Expenditures: Due to the Administration’s work to reduce agreements and contracts, there is reduction to the General Fund Budget totaling $512,000. In addition to the reductions in expenses and contracts, there is a $15,500,000 reduction in personnel costs after applying staffing formulas to decreased student enrollment, as noted in Goal 1 of the Additional Expenditures Under Consideration section above. We are committed to ensuring that all employees affected by allocation reductions are placed into a position for which they are qualified for FY 27.