Rochelle School District Faces $7 Million Budget Gap as Grant Funding Falls

ROCHELLE — Rochelle Elementary District 231 is expecting more state funding in fiscal year 2027, but reductions in federal and state grants are expected to offset much of the increase, school officials told the Board of Education Tuesday. The Illinois State Board of Education has increased Evidence Based Funding by $350 million statewide, providing more money to school districts. District officials said federal grant funding, including Title funds, has been reduced or prorated, limiting the overall financial impact of the state funding increase. The district is still working on its budget, but current estimates show about $29 million in revenue and $36 million in expenditures. Officials said the projected $7 million gap is largely tied to construction costs as the district completes facility projects. The district plans to use bond proceeds and local funds to cover those expenses. A budget hearing is expected next month, with the final budget scheduled for adoption in September.