Agenda - 03-27-2000 - 1 - Laserfiche WebLink

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Education Funding in Orange County In North Carolina, each county is responsible for supplementing state appropriations to public education. Local current expense appropriations are allocated to each school system based on an equal amount per pupil. In addition, counties provide funds to each system for recurring and long -range capital projects. School systems in North Carolina do not have separate taxing authority and are not allowed to issue debt for school construction and renovation projects. Therefore, issuance and repayment of long -term debt, such as general obligation bonds and private placement loans, are the responsibilities of county government. Many city school units in the state also have special district taxes. These voter - approved taxes, levied within the unit's boundaries, further supplement county funding. Historically, the Orange County Board of County Commissioners has given top priority to funding public schools. The County's number one ranking in total education funding in the state evidences this. The chart to the right compares Orange County's total 1998 -99 General ; Fund appropriations for education to several other counties in the Total Gcnci-Ld FUnd Alyropri Lit ion,, per ADM State. As the graph indicates, Orange County's total spending per pupil is almost twice the State average. $3,000 M 52-339 $2,500 Recently, the Board of County $2,000 $1,552 Commissioners asked the County $1,500 s l.le I Manager to look at various $1,000 $643 alternatives for funding public $Sao education in Orange County and to $0 0n.n Mh m C6n►.m W. 9'.t. Al.- P.... Cuwd RA... develop parameters for future funding. This report contains ■ Orange County ■ Surrounding Counties ■State Average possible funding models that the Board may choose for the Manager to use as he develops the annual recommended budget for schools. While this approach guides staff in developing the annual budget, each year the Board can consider departures from the recommendations based upon particular one -time circumstances such as start up costs for new facilities. Staff contacted several counties throughout the state to determine what, if any, funding formulas are currently in use. The counties responding to the survey included: • Alamance • Brunswick • Charlotte - Mecklenburg • Chatham • Durham • Forsyth • Guilford • Lincoln • Moore • New Hanover • Pitt • Scotland • Surry • Wake Eight of the responding counties use formulas or other guidelines to determine school funding (as shown in Figure 2 on the following page). Staff found few similarities in county funding for school systems. Some counties use a formula for current expense funding only while other counties use a formula to