Moore County Schools’ proposed $167.7M budget faces $428,000 shortfall

The Moore County School Board reviewed the proposed $167.7 million 2026-27 budget on March 2. The plan centered on conservative spending with a focus on the 2% state salary adjustment, obligatory higher retirement contribution rates and a $500 per-employee insurance increase, but the plan is not sound. It is dependent—on the state and the 10^th wealthiest county in North Carolina.

It considers rising utilities, insurance, fuel and supply costs at a 5% increase and fixed costs at about $1.613 million.

The district expects to spend $230,000 more for charter schools, considering growth trends.

Concerns arise over recurring revenue and recurring expenses because even with a 3% county funding increase, there is a $428,000 shortfall with the state’s 2% salary increase.

That shortfall could increase with 3% or 4% state increases to $603,000 to $768,000.

The solution is to fatten the fund balance above $2.28 million for 2027.

Heard of robbing Peter to pay Paul?

If current spending habits continue, there is concern the district’s unassigned fund balance could drop below its $2 million minimum because it forces the district to spend reserves to cover expenses. This spending behavior is unsustainable, which means the budget is balanced but not proven sound.

Moore County is the 10^th wealthiest county in the state, according to Oct. 2026 real estate markets.

Yet, with 40.46% of the county fund balance support, if property and sales taxes fall below the norm, the school budget will crash and force the district to dip further into reserves.

Member Steve Johnson said the higher than expected general fund base was due to not awarding pay raises. When he said special education teachers, not funded by the state, needed support by legislation, Interim Superintendent Jennifer Purvis clarified that county commissioners are seeking legislative support.

On top of all this, aging facilities, without maintenance and repairs, weigh heavily on the district.

While the budget shows conservatism, federal compliance and transparency of fixed costs, it reveals a need to tighten spending and use the fund balance instead of reserves.

Former Superintendent Tim Locklair proposed changing the minimum reserve fund balance from the longstanding $2 million practice for FY 2025-26. On Oct.13, 2025, he recommended lowering that reserve floor, saying to reduce it down to $1.5 million or $1 million to allow for state-mandated salary increases. The board approved his proposal.

Without more community support for recurring funds, Moore Schools may navigate tougher budget decisions.

March 3, 2026

Stephanie M. Sellers

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