Lauderdale School District Superintendent Jennifer Gray said a thorough investigation would be conducted, the Florence Times Daily reported.
"Whatever we do in response to this situation will be dictated by board policy," she said.
Grisham, who coaches football and teaches drivers' education and psychology at Lauderdale County High School, told the newspaper Wednesday he "misspoke in a debate-type situation," when he told students on campus: "I don't believe in queers. I don't like queers. I don't hate them as a person, but what they do is wrong and an abomination against God."
Grisham made the comments during a discussion with students Monday and someone emailed Gray a link to an online posting of a recording of the discussion, the newspaper said.
"I have no hatred toward anyone or any group," Grisham said Wednesday. "People that know my heart -- they know that."
The audio includes criticism of Michelle Obama, in which Grisham says the first lady is responsible for 600-calorie school lunches and calls her "Fat butt Michelle Obama."
"Look at her," he said. "She looks like she weighs 185 or 190. She's overweight."
School board attorney James Irby said possible responses to Grisham's comments could range from no action to recommending termination.
Grisham -- who has been teaching in the county school system since 1991 -- was not at work Wednesday, and Gray said he was expected to remain away from school for the remainder of the week due to family obligations, the newspaper said.
N.J. man wakes up from 10-hour sleep with knife in back
Puzzle-maker slips 'Murdoch Is Evil' into Rupert Murdoch's Sunday Telegraph