1. NC Budget Basics

2. Where We Are Just as NC schools are showing significant progress, our budget shortfall presents a significant gap.

3. Situation Analysis NC budget shortfall of about $3.5 billion for 2011-12 fiscal year. Causes: –end of federal stabilization funds; –end of some state taxes; –end of nonrecurring cuts; –economic recovery still slow.

4. Situation Analysis Public school budgets have been cut for three consecutive years. Yet, with approximately 40 percent of the states overall budget tied up in public schools, its tough to reach spending cut targets without impact to public schools.

5. Basic Facts State funds total approximately $7.2 billion of public school funding or about 65 percent of the money schools spend to operate each year. Local funds = 25 percent; Federal funds = 10 percent.

6. Trend over Time

7. How NC Ranks North Carolina ranks 45th in the nation in per-pupil spending.

8. Common Questions Why are schools always on the chopping block? NCs Public School Fund is the largest chunk of the state budgets General Fund.

9. Common Questions What about the lottery funds – wont they help? Lottery funds do help – but they make up only about 3.9 percent of the budget. And, theyre designated for specific purposes – K-3 teachers, More at Four, school construction and scholarships.

10. Common Questions Cant we just cut administration and leave teachers alone? Eliminating all administration (NCDPI, central office staff, principals/assistant principals) would total $478 million – less than half of the possible $1 billion in targeted cuts. And who would handle the MANY details of running schools?

11. Common Questions Why not cut out testing? Wouldnt that save a lot of money? Cutting out all testing would save about $11 million - far short of our needed cuts. Also, remember, NC is required to do some testing under federal and state laws.

12. Common Questions Wont the federal Race to the Top funds help solve our budget problem? Race to the Top is providing nearly $400 million over four years to North Carolina - but the funds must go for specific purposes and not for general use. Funds are a one- time allocation.

13. Understanding the Buncombe County Schools Budget

14. Total 2010-11 Budget: $277 Million 18% 5% 77% Operating Capital Enterprise How much do we have? (People, Programs, Supplies) (Facilities, Equipment) (Self-funding, such as Child Nutrition)

15. Sources of Operating Revenue Federal 17% Local 25% State 58% Where does our funding come from?

16. PEOPLE! Human Resources Other 84% 16% Where does our $223 million Operating Budget go?

17. Highly qualified people Buncombe County Schools ranks 19 th in the U.S. in the # of National Board Certified Teachers the highest credential in the teaching profession

18. On average, it cost North Carolinians $142,027 to educate one student K-through high school. Some NC public school systems spend as much as $265,395! Value for the dollar… -John W. Pope Civitas Institute

19. But in Buncombe County, we spend only $127,294 to educate a student K-12. AND, our graduation rate is among the highest in the state. Value for the taxpayers dollar…

20. Theres value in the Central Office, too…with only about 1 C.O. administrator per 1,000 students, BCS has one of the leanest administrations in the state. Effective and Efficient

21. Quality Teachers, Dedicated Personnel + Fiscal Responsibility = Results But for how long?

22. Next Steps Stay informed through news media, through NCDPI and your associations. Communicate how state and local reductions will affect your schools. Reach out to legislators and key stakeholders.

23. Support our kids. Invest in our future. Fund Schools First.