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Public Education Goals & Guiding Principles <br /> Goals <br /> PE-1: Seek legislation to restore the statutory requirement <br /> that 40% of the net lottery proceeds be allocated to counties <br /> for school capital needs and increase the annual appropria- <br /> tion of lottery funds until the 40% allocation is restored. <br /> • When the N.C. Education Lottery was enacted, 40% of the <br /> annual net proceeds were directed to the Public School <br /> Building Capital Fund for county school construction needs. <br /> • Since 2010, the General Assembly has set the county lottery <br /> appropriation below the statutory 40% of the net proceeds <br /> and has appropriated a flat $100 million, which now repre- <br /> sents about 20% of the expected net proceeds. <br /> • Consequently, counties have lost more than half a billion dol- <br /> lars in school construction funds since the recession, and <br /> have been forced to delay construction projects, use their <br /> emergency fund balances to make up the debt service loss- <br /> es, or to reduce funding for other essential services. <br /> PE-2: Oppose shifting of the state's responsibility for re- <br /> placement of school buses. <br /> • Counties are responsible for the purchase of new school <br /> buses, either to service new schools or new routes. The state <br /> is responsible for bus replacement after 250,000 miles or 20 <br /> years in service. <br /> • In 2011 , the governor's budget proposed shifting school bus <br /> replacement to counties, which would result in a cost of ap- <br /> proximately $57 million to counties. The proposal was not <br /> included in the final state budget act. <br /> www.ncacc.org I (919) 715-2893 <br /> 23 <br />