Rutherford County Schools staff told the board on June 24 that the district’s three largest federal funding streams — Title I, CTE and IDEA — appear secure for the coming year, but the district did not receive a competitive three‑year McKinney‑Vento grant that had previously supported homeless and displaced student services.
District staff described the McKinney‑Vento award as unexpected to be lost and said the Tennessee Department of Education changed the rubric for this cycle and made the award competitive across districts. The district estimates the lost McKinney‑Vento funding would have totaled roughly $2.5 million over the grant period for the district.
Board members and staff discussed contingency measures. Staff reported they have shifted many federally funded positions to general purpose (local) funds in prior years and planned additional moves to cover key positions. The board approved a motion to move six Title III positions (English learner support) to general purpose funds and to reallocate other personnel where Title funding was frozen; staff said these shifts will be covered by funds realized from ESL positions no longer needed because of student progress.
The district’s Title II, III and IV allocations were described as “frozen” at the state level at the moment; district staff said Tennessee had received an unusually large Title I increase from USED this cycle, which may help mitigate some pressures. Staff also said there is sometimes an October 1 federal fiscal-year allocation that could restore funding later in the year.
Board members discussed the administrative and human impacts; one board member argued the district’s ATLAS specialist and other staff serve as a local safety net and urged continued funding decisions that reflect the district’s responsibility under the McKinney‑Vento law even without the grant funding.
The board approved staff recommendations in the meeting, including reallocating positions and approving short‑term funding moves to cover essential services while staff pursue other funding options.