Kennett warns of federal Title funding uncertainty; district may need to reallocate positions funded by grants

District federal-programs staff briefed the curriculum committee on Title I—IV allocations, recent eGrants access problems this summer and the potential for substantial reductions or additional restrictions on federal funding.

What staff reported

- Title I (Improving Basic Programs). The district's 2025—26 Title I allocation was reported as $580,000. Staff explained about $484,000 of that allocation was currently committed to the salaries and benefits for six teaching positions that support K— instruction and interventions; mandated parent-and-family engagement set-asides and other program requirements consume additional portions of the allocation.

- Title II. Title II supports educator effectiveness. The district reported transferring its full Title II allocation ($88,857) into Title I to help cover the staffing and benefits costs associated with Title I positions.

- Title III. Title III funds for English learners (ELs) were reported at approximately $114,000 for the year; staff said about $100,000 of that allocation supports non-teaching EL staffing (liaisons and program support) serving roughly 800 active EL students.

- Title IV. Title IV total of $50,124 was transferred into Title I in order to cover salary and benefit obligations.

Access to funds, deadlines and approvals

Staff described a disruption this summer when Title II/III/IV grant lines were temporarily removed from the state eGrants system; deadlines were extended (PDE extended the submission deadline to Sept. 30) and the district completed submissions promptly once access was restored. The district reported it received "substantial approval" for its packages as of Sept. 15 (staff said final formal approval remained pending at state review).

Emerging risks and planning

Presenters said regional PDE coordinators have signaled the prospect of significant federal reductions and more stringent criteria if funds continue to be made available. Staff reported that one regional briefing indicated the possibility of up to a 70% reduction in federal funding and the potential elimination of Title II, Title III and Title IV as distinct grants. Even if Title I remains, staff said District allocations could be reduced substantially.

Staff emphasized that while the district does not directly treat those positions as "contingent" on federal funding, the loss or sharp reduction of grant dollars would require the district to reallocate general-fund resources to maintain current staffing levels. Because several positions are funded largely out of federal grants and transferred funds, the committee and the full board will need to consider long-term options: (1) absorb these positions into the general fund, (2) reduce services or (3) restructure staffing to place resources where most needed.

Board-level next steps requested

Committee members asked administration to bring a deeper budget/finance-level analysis to the finance committee and to the full board so members can decide whether to prioritize absorbing grant-funded positions into the general fund. Staff said they would prepare options and timing to present to finance and the full board for a decision before year-end if the funding outlook does not improve.

Numbers cited by staff (district statements)

- Title I allocation (2025—26): $580,000; approximately $484,000 supports six teaching positions. - Title II allocation: $88,857 (transferred to Title I). - Title III allocation: $114,000; approximately $100,000 supports non-teaching EL staffing for ~800 EL students. - Title IV allocation: $50,124 (transferred to Title I). - Grants were "substantially approved" as of Sept. 15; formal state approval pending. - Regional PDE staff indicated possible reductions up to 70% or elimination of Title II/III/IV; details and final decisions remain uncertain.

What the district recommended

School leaders recommended bringing staffing and budget options to the finance committee and full board promptly so the board can provide direction about long-term absorption of positions or alternative staffing models. The committee agreed that this conversation should move to finance and the full board for policy-level decisions.

Sources and constraints

All program figures were presented by district federal-programs staff during the Oct. 27 committee meeting. The district noted that federal allocations are set at the state/federal level and that staff must follow PDE's eGrants timelines, compliance requirements and reporting obligations when obligating funds.