School Funds 101
Understanding School Budget Basics
School corporations like MCCSC don't have just one big pool of money—we have different "funds" or “buckets” designated for separate things within our overall budget.
Each fund has its own revenue sources, and Indiana state law sets rules for what each can be used for. Money in one Fund cannot generally* be moved to cover expenses in another, which is why MCCSC may have funding for one type of expense but not another.
Every Dollar, Every Student Video Series
Coming Soon
How MCCSC is Funded
Learn the rules for how MCCSC and all public schools in Indiana collect and use state or local funding.
How We Afford Building & Renovation: The Debt Service Fund
Learn how MCCSC can afford building and renovation projects while protecting the dollars that are dedicated to teaching, learning and day-to-day operations.
MCCSC Funds: How each Fund can be used
Education Fund:
Pays for Teachers & Learning
The Education Fund pays for expenses directly related to student instruction and learning, such as teacher salaries, classroom supplies, and instructional materials.
Funded by: State Tuition Support received in a “per-pupil” amount based on student enrollment, called “Average Daily Membership” (ADM)
Approximately 48% of 2026 Budget
*Up to 15% of Education Fund state aid may be transferred to the Operations Fund each year.
Operations Fund:
Pays for Daily Operations
The Operations Fund covers the day-to-day costs of running schools and managing facilities that aren't directly tied to classroom instruction, such as transportation, utilities, building maintenance, custodial services, and technology. The fund also covers staff in these areas, in addition to support and administrative staff that are not directly tied to classroom instruction.
Funded by: Local property taxes
Approximately 21% of 2026 Budget
Debt Service Fund:
Pays for Building & Renovation
The Debt Service Fund is used to repay bonds and other long-term debt the school corporation has incurred for major capital projects like building construction, renovations, or large equipment purchases.
Funded by: Local property taxes
Approximately 11% of 2026 Budget
2022 Referendum Fund:
Pays for Teachers, Staff, & Learning
A portion of all teacher and support staff wages and benefits are paid for by the 2022 Referendum. Teachers/Salaried Staff received a $4,500 base pay increase beginning with the 2022-2023 school year. Support Staff received $2.25 hourly raises beginning November 9, 2022, in addition to a 1.5% raise effective January 1, 2023.
Funded by: Monroe County voters approved an eight-year local property tax referendum in 2022.
Approximately 13% of 2026 Budget
2023 Referendum Fund:
Pays for Early Learning
The 2023 Referendum primarily expands families’ access to early learning by eliminating or heavily discounting tuition costs for 3-Year-Old Preschool and 4-Year-Old Pre-K programs. Funding also covers the cost of student school supplies, college course fees, and Career and Technical Education costs.
Funded by: Monroe County voters approved an eight-year local property tax referendum in 2023
Approximately 6% of 2026 Budget