JEFFERSON CITY, Mo. — Gov. Jay Nixon announced last week that $7.5 million will be given to local school districts to cover transportation costs. The distribution of the funding — which has yet to be determined — will benefit each of the state's 522 districts.

This news comes shortly after Nixon said that state funding for buses and transportation was on a "watch list" for potential budget cuts, as SBFpreviously reported.

Fuel prices have risen 10 percent since the start of the school year, the Southeast Missourian reports. The $7.5 million will help districts to offset the rising cost of fuel and was made possible because revenue collections have been better than anticipated, state budget director Linda Luebbering told the news source.

State budget cuts forced Nixon to cut $70 million in state aid for school buses and transportation in the last budget. Transportation could face another cut as the state tries to cope with a shortfall that could run as high as $700 million.