Asheville City Schools faces funding challenges for free lunch program and budget deficits

The Buncombe County Board of Commissioners held a budget work session on May 2, 2025, where key discussions centered around funding challenges and the implications for local educational programs. A significant topic was the proposal to provide free lunches for all students, which is projected to require an additional $500,000 from the county. Officials explained that while they aim to increase participation rates to boost reimbursement levels, the current number of qualifying students remains low, complicating the funding landscape.

Commissioners also addressed the county's budget deficit, estimating a need to cover a $4 million shortfall to maintain current services without cuts. This deficit arises from rising costs and a reliance on fund balance, which is a nonrecurring revenue source. The county anticipates using $3 million from the fund balance in the upcoming fiscal year, but without new revenue sources, this could lead to further financial strain.

In addition to these discussions, the board reviewed discretionary community investments, noting a total expenditure budget of $434.7 million, which reflects a 2.1% reduction from the previous year. The meeting highlighted the need for careful consideration of potential tax increases to address funding gaps, particularly for local schools and fire districts, which may require additional financial support.

As the county navigates these financial challenges, the discussions underscored the importance of strategic planning to ensure that essential services and educational programs remain intact for the community. The board will continue to explore revenue options and budget adjustments in the coming weeks to address these pressing needs.