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Hendry Schools project strong reserves but warn federal grant freezes could force cuts

June 17, 2025 | Hendry, School Districts, Florida


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Hendry Schools project strong reserves but warn federal grant freezes could force cuts
Superintendent Mr. Swindle said Hendry County Schools enters the new budget year with unusually strong reserves but faces “serious uncertainty” because multiple federal Title grants are under review by the U.S. Department of Education. He said those grants pay for programs and personnel the district currently counts on as budgeted.

Why it matters: The superintendent told the school board the district’s fiscal position is strong because of careful ESSER spending, a frugal procurement approach, and interest income, but said frozen federal grants could still force staff reductions or program cuts. He repeated a warning distributed earlier in the meeting that some grant funds are “held back,” and that the district would present budgets assuming the money arrives but must adjust if it does not.

CFO presentation and detail: Mr. Adams (finance) reviewed the draft FY 2025–26 numbers and showed projected increases in FEFP allocations and local revenues but said the district must preserve reserves. He and the superintendent highlighted several risk factors the board should watch: uncertainty about federal grants (see separate article on grants at risk), possible reductions in enrollment that affect per‑pupil revenues, expected increases in district insurance/health costs, and a rising cost estimate for the new LaBelle High School project (the superintendent cited a change from an earlier estimate near $90.6 million to roughly $123 million).

Potential staffing impacts: In the workshop, administrators said the federal pauses include Title funding that supports roughly 72 staff across programs. The superintendent warned the district could face “drastic” outcomes if those funds are cut, including eliminating grant-funded positions and programs. He emphasized staff and principals are preparing contingency plans and that any personnel changes would follow legal and grant rules.

Budget posture and next steps: Presenters said the tentative budget will be advertised and that the district is trying to balance two goals: protecting essential staffing and continuing recently achieved academic investments. The board approved permission to advertise the tentative 2025–26 budget during the meeting (see Votes at a glance). Officials said they will update the board if the federal review produces reductions and will bring required amendments if needed.

Ending: The superintendent closed by urging prudence: while the district’s reserve percent is “one of the strongest in the state,” he called for preparing for worst‑case funding scenarios and using reserves selectively to avoid unsustainable recurring obligations.

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