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SCHOOL FUNDING EQUITY <br />CONSIDERATIONS <br />• Main factor affecting funding equity is approximate annual proceeds of $13 million <br />from CHCCS special district tax <br />• At same point in the future, BOCC must define "equity" so that ultimate target will be <br />clear <br />o Absolute funding equity (e.g. local ar total annual per pupil funding identical <br />between school systems}? <br />o Programmatic equity (e.g. all OCS &CHCCS students with access to all of <br />each systems programs}? <br />o Or -somewhere between these two ends of the spectrum, and/or <br />some combination of funding and programmatic equity? <br />SCHOOL FUNDING EQUITY SUPPLEMENTAL FUNDING <br />• If effort is to be made to narrow the local per pupil funding gap, there are three main <br />approaches prescribed in NC statutes available to BOCC: <br />1. Levy countywide supplemental tax <br />2. Levy Orange County Schools supplemental district tax <br />3. Increase countywide property tax rate <br />• First two approaches require majority approval in referendum of voters to establish <br />authority to levy tax; due to time constraints, cannot be implemented before 2006-07 <br />• Third approach could be used for 2005-06 <br />SCHOOL FUNDING EQUITY <br />2005-06 CURRENT EXPENSE CONCEPTUAL FRAMEWORK <br />FY2004-05 per pupil appropriation of $2,623 as foundation <br />Potential increases in Countywide property tax rate for: <br />o Tier I -funding to address mandateslobligations (e.g. local match far State <br />teacher pay & benefit increases} <br />o Tier I I -funding (if any} to restore certain State education budget cuts <br />o Tier III -funding to address some portion of OCS staffing and programming <br />constraints identified in Educational Excellence report (all or some of <br />resulting per pupil increase for CHCCS could be offset by reductions to <br />CHCCS district tax) <br />SCHOOL FUNDING EQUITY <br />2005-06 CURRENT EXPENSE CONCEPTUAL FRAMEWORK <br />• Memoranda of understanding to establish mutual expectations of how Tier III funds <br />would be used <br />• If major needs might go unfunded, consider mechanisms outside of current expense <br />appropriation, such as: <br />o Contracts for nursing and social worker support <br />o Contract with Durham Tech, schools for middle college program <br />• As an alternative, NC Statutes permit school appropriations by purpose, function ar <br />project <br />SCHOOL FUNDING EQUITY <br />EDUCATIONAL EXCELLENCE REPORT <br />