Associate Superintendent Lehi Modecon and Director of Federal Programs Melissa Heger reviewed the district’s portfolio of federal grants and ARP/ESSER expenditures, and described carryover and recent reductions in the Full Service Community Schools award.

Heger said the district’s Full Service Community Schools (FSCS) grant award for the current year is $738,397 (including carryover), but PED has notified recipients of a across‑the‑board reduction and Taos’ award was cut by $250,000. Heger reported a carryover balance of roughly $377,000 that the district must expend; after the reduction the district’s available FSCS funds for implementation total about $623,000 and staff plan to prioritize maintaining site coordinators and on‑site programming.

Separately, the ARP/ESSER report showed capital and program investments made to mitigate learning loss: district staff reported several million dollars in ARP/ESSER expenditures between 2021–2024 (presenter rounded to an approximately $7.09 million total across the years cited), including large purchases such as Chromebooks for grades 3–12, software licenses, literacy coaching, HVAC upgrades and outdoor learning spaces. The ARP presentation noted a 20% set‑aside requirement for evidence‑based interventions that address COVID‑related learning loss; the set‑aside money funded Chromebooks, credit recovery and literacy coach allocations.

Why it matters: Federal categorical grants and ARP/ESSER funds materially supported pandemic recovery, capital improvements and expanded student services. A mid‑year reduction to the FSCS award requires the district to reallocate activities and accelerate spending of carryover funds to sustain programming at school sites.

Board follow‑up: Staff will provide a prioritized FSCS spending plan that identifies whether any activities should be scaled or phased because of the $250,000 reduction. Federal program staff also said they will finalize year‑end claims and provide the board with reconciled ARP/ESSER expenditures and any remaining carryover.