Tuscaloosa City Schools presented fiscal year-end financial statements for the year ending Sept. 30 (FY25) at the Nov. 18 board meeting, with CSFO Jay Duke reporting modestly improved results that narrowed the district's projected deficit.

Duke said, "Our revenues were up over what we thought they were gonna be by 3%. Our expenditures were below what we thought by 3%." He told the board those variances—roughly $4.5 million better on revenues and about $4 million lower on expenditures compared with earlier projections—substantially reduced a beginning-of-year general-fund gap the presentation described as about $9 million.

The report broke out revenue sources: property-tax collections were higher than budgeted, vehicle-registration collections rose slightly, and sales-tax receipts were close to expectations. Duke also noted that special revenue (largely federal funds) and debt-service obligations factor into the overall picture. Duke said debt-service payments for the year were approximately $8.6 million.

On capital spending, Duke said the district's FY25 capital projects were small relative to district assets (he cited roughly $3.27 million in capital projects versus an estimated $700 million in land and buildings). He highlighted that several projects came in under budget—citing a Northridge High School fire-alarm project originally budgeted around $1.1 million that completed at about $660,000—and noted roof and track projects are planned for FY26.

Board members pressed for clarity on the deficit trajectory and long-range capital outlook. Duke said the FY25 variances extend the district's runway and buy about another year of flexibility, while longer-term capital decisions will depend on enrollment trends and legislative funding (he cited a potential $11.7 million state grant as a possible game changer if it materializes). He added the district is managing about $98.6 million in outstanding debt obligations that will constrain near-term capital additions.

No board action was required for the informational financial report; Duke invited questions and offered to return to walk through any line items in further detail.