During a Board of Mayor and Aldermen work session Monday afternoon, City Manager John Campbell said he and city staff have identified $150,000 in next year's budget to allocate to KCS.
Kingsport provides KCS with $10.2 million in operating funds each year — money generally referred to as maintenance of effort money. The amount cannot be decreased by the BMA.
The BMA is scheduled to vote for a final reading on the 2015 budget during its regular meeting tonight.
During the budget process earlier this year, city staff had come up with a plan to close the $2.3 million shortfall Kingsport had been facing — raising property taxes by 13 cents and imposing $1.4 million in additional cuts, including freezing six positions and eliminating six others.
This plan also generated about $153,000 in unallocated revenue.
On Tuesday, Campbell said the $150,000 for the school system came from two sources — $80,000 in additional cuts and $70,000 from the unallocated revenue.
For an expanded version of this article, please see Tuesday's print edition or our expanded electronic edition.