Forsyth County commissioners debate response after Winston‑Salem Forsyth County Schools request $32 million one‑time loan

Chairman Martin convened a special Forsyth County Board of Commissioners budget meeting to review a letter received from Winston‑Salem Forsyth County Schools that describes a multi‑million dollar cash shortfall and asks the county for a one‑time loan. The school district proposed a $32 million one‑time loan after identifying roughly $10 million the district could make available from its child nutrition enterprise fund, and reported an outstanding local vendor debt and state overdrafts that contribute to its deficit.

Why it matters: the district’s cash issues could affect payroll, vendor payments and classroom staffing in the current fiscal year and prompted county officials to consider options that protect the county’s fund balance while helping the school system maintain operations.

Commissioners and staff summarized the district’s letter and the district’s own financial review. According to the materials discussed, the district’s child nutrition fund has a fund balance of about $12,000,000 that provides a cash bridge while federal reimbursements…