South Carolina’s new state budget (FY2025-26) has been finalized, and with it come changes to K-12 funding and policy. We’ve compiled a list of noteworthy items that school board members should know about.
Before we dive in, let’s give a quick overview of how the budget is structured (and why it matters). The annual spending bill, broadly speaking, has two parts: 1A and 1B. The former allocates funding amounts to our various state agencies, including the S.C. Department of Education, and determines things like the minimum teacher salary schedule.
The latter explains how these funds are to be spent through “provisos.” Provisos are essentially mini-laws that last for one year (the length of the budget). In some cases, they are used to make general policy changes. Most are renewed each year, though lawmakers may amend, add, or remove them with each new budget.
This summary primarily looks at new education-related provisos or those that have been updated.
1.3 (State Aid to Classrooms): The minimum teacher salary schedule has been increased. Starting teacher pay will rise from $47,000 to $48,500. The minimum salary for educators with 28+ years of experience and a doctorate is now $78,500 (the highest bracket). As you know, these are baseline figures, and teacher pay in many districts exceeds these minimums.
1.49 (Interscholastic Athletic Association Dues): Athletic associations receiving dues or fees from public schools must not allow students to earn compensation based on their name, image, and likeness (NIL).
1.73 (Formative Assessment Data): Strikes this proviso relating to a state-approved interim assessment tool for students in grades three through eight. This appears to have been addressed in 2024’s Read to Succeed legislation, and this proviso may no longer be needed.
1.77 (Funding for Schools Safety): Expands how Schools Safety funds can be used to include security assessments, bulletproof doors, and ballistic proof doors. It also pushes back the deadline for districts to submit a list of school safety funding priorities to the State Board of Education to December 31, 2025. Lastly, it clarifies in writing that school safety funds can be used by charter school districts. The budget allocates an additional $21.1 million in recurring and $8.3 million in non-recurring funds to this program. You can learn more about it here.
1.85 (Teaching Transformation Pilot Program): Strikes references to “whole child education” in this teacher training program operated by the University of South Carolina’s College of Education. A previous budget version sought to remove references to diversifying the teacher workforce as a program objective; however, this change was not included in the final budget.
1.118 (Assessments and Final Grade Determination): Prohibits school districts from including students’ performance on any district-selected benchmark assessment in calculating a student’s final grade in any course or subject. Such assessments may only be used as formative assessments for informing instruction, and they must not factor into a student’s final course grade unless the assessment is developed or directly approved by the course instructor and exclusively measures content that has previously been taught in the course. A violation of this section could result in a reduction of state funds.
1A.9 (Teacher Supplies): To receive reimbursement for school supplies (capped at $400 annually), teachers and school staff must now show that the supplies are “essential for student success.” As you may know, these reimbursements are at the discretion of each local school board. The proviso further clarifies that reimbursements shall not be reported as income on an employee’s W-2.
1A.63 (SDE-EIA Surplus): Carryover EIA funds and those not otherwise allocated will be put toward the following:
- $29.6 million for instructional materials
- $35 million for school buses
- $20 million for school facilities safety upgrades
- $23.5 million for summer reading camps
- $1.6 million to reimburse districts for the Child Nutrition Program
- $1.5 million towards a pilot program in partnership with the SC Technical College, which will allow students earning an associate’s degree in teaching to transfer into a four-year university.
- Other expenditures include the Teaching Transformation Pilot Program, teacher strategic compensation, Ag in the Classroom, and the Imagination Library.
1A.72 (High-Dosage Tutoring): Adds details to a current grant program for tutoring services, including spending requirements, an application window, and the clarification that funds can be carried over from the prior year to this year.
1A.74 (CERDEP Foundational Literacy Skill Training): Allocates funds towards and requires that all school districts that have students in the SC Early Reading Development and Education Program (CERDEP) must implement a foundational literacy skills training program for teachers working with the children in CERDEP.
1A.76 (Teacher Loan Program): Provides up to $5 million to assist in refinancing student loan debt for all certified teachers employed in public schools. Provides an additional $5 million for loan forgiveness for teachers in the Bamberg, Allendale, Calhoun, Jasper, Lee, and McCormick school districts, subject to certain requirements.
Some other highlights to mention:
- Last year’s cellphone and personal electronic device restriction (1.99 Anti-Bullying/School Safety) for all school districts has been reauthorized through the next fiscal year.
- Proviso 1.74, which requires that all school districts be made aware of permissible uses of ESSER (Elementary and Secondary School Emergency Relief) funds, has been struck, signaling the end of COVID-era funding.
Please note, this is a non-exhaustive list of education provisos and it does not include items primarily related to charter schools. To view all the changes, click here. Have questions about the budget? Let us know! Reach out to us at info@schoolboardleader.com.