July 10, 2025
Funds

Alabama schools face funding crisis as federal funds frozen


TUSCALOOSA, Ala. — Alabama school districts are grappling with a significant financial setback as millions of dollars in federal funds have been frozen, just weeks before the start of the school year. $6.8 billion dollars nationally means $68 million dollars for Alabama on hold. The freeze has left districts like Tuscaloosa City Schools struggling to maintain essential programs.

Dr. Mike Daria, Superintendent of Tuscaloosa City Schools, said, “The federal funds that are frozen the particular ones for us fund important functions such as summer learning our after school programs professional development and a lot of the enrichments and enhancement that we provide in education so a lot of those services are on hold at this point.” After school program and summer learning alone are $2.4 million the district was counting on using day one now unavailable.

The district’s summer learning program, which previously served over 4,000 students, has already been scaled back due to a lack of grant money and the city’s failure to pass a tax increase for schools. This year, the program was reduced to 1,800 students, even with federal funds. Dr. Daria warned that without these funds, the district would be forced to cut back to the bare minimum.

State Superintendent Dr. Evan Mackey emphasized the importance of these funds, which support salaries for teachers, staff, and aides, as well as affordable after-school programs. In a statement, he expressed hope for a swift resolution, saying, “We are hopeful that the review period will be expedited, and funds will be released quickly. However, we look forward to working expeditiously with our colleagues in Washington as we are only weeks away from the beginning of a new school year and wish to avoid any disruption in services for our students and their families.”

Dr. Daria noted that the district has enough money to temporarily supplement the frozen funds, but warned of a significant decrease in services if the situation is not resolved soon.



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