HomeMy WebLinkAboutAgenda 05-12-22; 2 - FY 2022-23 Budget Work Session with Chapel Hill-Carrboro City Schools and Orange County Schools 1
ORANGE COUNTY
BOARD OF COMMISSIONERS
ACTION AGENDA ITEM ABSTRACT
Meeting Date: May 12, 2022
Action Agenda
Item No. 2
SUBJECT: FY 2022-23 Budget Work Session with Chapel Hill-Carrboro City Schools and
Orange County Schools
DEPARTMENT: County Manager and Finance and Administrative Services
ATTACHMENT(S): INFORMATION CONTACT:
Bonnie Hammersley, (919) 245-2300
A. NC Public Schools/DPI-Per Pupil Travis Myren, (919) 245-2308
Allocations by County Rebecca Crawford, (919) 245-2152
B. Historical Per Pupil Appropriation Gary Donaldson, (919) 245-2453
C. Historical CHCCS District Tax
D. School Districts Local Current
Expense Fund Balance Policy
E. Schools Capital Projects Summary
(Revised)
PURPOSE: To review and discuss the Chapel Hill-Carrboro City Schools and Orange County
Schools FY 2022-23 Operating and Capital Investment Plan Budgets.
BACKGROUND: The County Manager presented the FY 2022-23 Recommended Budget on May
3, 2022. Since that time, the Board has conducted one public hearing to receive residents'
comments regarding the proposed funding plan. This discussion is the first opportunity the Board
has had to discuss next year's recommended funding plan related to Education funding. Total K-
12 Education funding as included in the FY 2022-23 Manager Recommended Budget is
$120,324,620, or 47.1 percent of General Fund revenues. This includes funding for current
expense, school related debt service, and school health and safety service contracts.
Total Funding for Local School Districts:
2018-19 2019-20 2020-21 2021-22 2022-23*
Original Budget $109,141,519 $113,480,859 $113,939,715 $116,721,030 $120,324,620
*Recommended Budget
Student Enrollment Projections:
Based on North Carolina Department of Public Instruction (DPI) projections, the Chapel Hill-
Carrboro City School District enrollment for fiscal year 2022-23 totals 11,442, for an overall
decrease of 909 budgeted students when compared to FY 2021-22.
2
Based on DPI projections, the Orange County Schools district enrollment for fiscal year 2022-23
totals 8,023, for an overall decrease of 87 budgeted students when compared to FY 2021-22.
March March March March
CHCCS 2021 DPI 2022 DPI Difference OCs 2021 DPI 2022 DPI Difference
#s #s #s #s
DPI Enrollment 12,448 11,466 -982 DPI Enrollment 7,299 7,182 -117
Less: Out-of-District 253 229 -24 Less: Out-of-District 108 110 2
Subtotal 12,195 11,237 -958 Subtotal 7,191 7,072 -119
Plus: Current Charter 156 205 49 Plus: Current Charter 919 951 32
Students Students
Total Budgeted 12,351 11,442 -909 Total Budgeted 8,110 8,023 -87
Students Students
%Distribution By District 60.36% 58.78% -1.58% % Distribution By 39.64% 41.22% 1.58%
District
The North Carolina General Assembly requires school systems to pay a per pupil allotment to
support charter students within their districts.
School Districts Budget Requests
Both School Districts requested increases in per pupil funding for FY 2022-23 as detailed in the
tables below.
FY 2021-22 FY 2022-23 FY 2022-23 Total Total
OCS Approved Continuation Expansion FY 2022-23 FY 2022-23
Increase Increase Increase Request
ADM 8,110 8,023 8,023 8,023 8,023
Current Expense $35,416,370 $1,100,000 $4,319,500 $5,419,500 $40,835,870
Per Pupil Equivalent $4,367 $137 $538 $675 $5,090
FY 2021-22 FY 2022-23 FY 2022-23 Total Total
CHCCS Approved Continuation Expansion FY 2022-23 FY 2022-23
Increase Increase Increase Request
ADM 12,351 11,442 11,442 11,442 11,442
Current Expense $53,936,817 $2,370,000 $5,795,000 $8,165,000 $62,101,817
Per Pupil Equivalent $4,367 $207 $506 $714 $5,428
Current Expense
The recommended appropriations for Chapel Hill-Carrboro City and Orange County Schools
increases the current expense funding by $4,225,596 in FY 2022-23 as detailed in the tables
below. This includes per pupil funding to increase to $4,808 for each of the 19,465 students in
the two school systems. Local Current Expense funding supplements State and Federal funds
received by each district for the day-to-day operation of schools. Examples of expenses paid from
these funds include salaries and benefits for locally paid teachers and utilities. North Carolina
statutes mandate boards of county commissioners to provide local current expense monies to
school districts. Counties having more than one school administrative unit, as is the case in
Orange County, are required to provide equal per pupil appropriations to each system.
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FY 2021-22 Total Total FY 2022-23
OCs Approved FY 2022-23 Recommend Difference
Request
ADM 8,110 8,023 8,023 0
Current Expense $35,416,370 $40,835,870 $38,570,900 $2,264,970
Per Pupil Equivalent $4,367 $5,090 $4,808 $282
FY 2021-22 Total Total FY 2022-23
CHCCS Approved FY 2022-23 Recommend Difference
Request
ADM 12,351 11,442 11,442 0
Current Expense $53,936,817 $62,101,817 $55,007,882 $7,093,935
Per Pupil Equivalent $4,367 1 $5,428 $4,808 $620
Recurring Capital
Recurring capital for both School districts remains the same as the prior year appropriation of $3
million dollars. The budget for FY 2022-23 includes $1,763,400 for Chapel Hill-Carrboro City
Schools and $1,236,600 for Orange County Schools. For FY 2022-23, a mix of debt financing
(see page 95 of the Capital Investment Plan (CIP)) and pay-as-you-go funding (see page 132 of
the Operating Budget) is recommended for Recurring Capital. Recurring capital pays for facility
improvements, equipment, furnishings, and vehicle and bus purchases. State statutes mandate
counties to fund recurring capital. However, the amount of money counties allocate to this function
is discretionary and varies from county to county. Note: These amounts have been revised
(represented by yellow highlighting on Attachment 2-E) from the Original Recommended Capital
Investment Plan to reflect the revised average daily membership (ADM) percentage, as included
in the FY 2022-23 Manager Recommended Operating Budget.
Long Range Capital
The County plans and programs long-range school capital funding through the County's Capital
Investment Plan (CIP). The recommended CIP budget for FY 2022-23 includes $2,502,680 for
Chapel Hill-Carrboro City Schools and $1,755,026 for Orange County Schools, as detailed on
Attachment 2-E, which is an updated version of page 95 of the CIP using the most recent ADM
for each district. This combines to a total of$4,257,706, which represents an increase of$83,484
from FY 2021-22. A 2% annual growth rate is included throughout the years of the CIP related to
Long Range Capital. For FY 2022-23, as was the case in FY 2021-22, debt financing will be
utilized, instead of pay-as-you-go funds for Long Range Capital projects. Similar to Local Current
Expense funding, the amount of money counties allocate to long-range capital expenditures is
discretionary and varies from county to county.
School Debt Service
The recommended budget provides for $21,807,353 in School Related Debt Service, which
represents repayment of principal and interest on School related debt, including general obligation
bonds and private placement loans. This is a decrease of $1,930,893 from FY 2021-22. North
Carolina statutes require counties to pay for school related capital items, such as acquisition and
construction of facilities. In instances where counties borrow funds to pay for such items, the State
mandates counties to repay the debt. The amount of money counties borrow for school related
projects is discretionary and varies from county to county.
4
Health and Safety Service Contracts
The recommended budget includes $3,738,485 for the Health and Safety Service Contracts for
both school districts to cover the costs of School Resource Officers in every middle and high
school, and a School Health Nurse in every elementary, middle, and high school in both school
systems. This represents a 3% increase over the FY 2021-22 funding amount.
Capital Investment Plan
The FY 2022-23 Manager Recommended Capital Investment Plan includes funding of
$18,088,811 in FY 2022-23, and a 10-Year total of $101,939,541, for Chapel Hill-Carrboro City
Schools. Funding of $9,925,349 in FY 2022-23, and a 10-Year total of $64,380,719, is included
for Orange County Schools. The new split of funding per school system is detailed on Attachment
2-E.
Supplemental Deferred Maintenance Program
The FY 2020-21 CIP introduced a supplemental funding program for deferred maintenance and
life and safety improvements in schools. The program would involve an expenditure of$30 million
over a three year period to expedite each School District's backlog of deferred maintenance
projects in anticipation of a potential general obligation bond referendum in future years.
The total amount was divided between the Districts on the basis of average daily membership in
FY 2020-21. As a result, Chapel Hill-Carrboro City Schools was allocated 59.99% or$17,997,000
of the $30 million total while Orange County Schools was allocated 40.01% or $12,003,000 of the
total amount.
The FY 2022-23 CIP recommends a second round of $30 million over two years for additional
school funding. These funds are split between the Districts on the basis of the average daily
membership in FY 2022-23. As a result, Chapel Hill-Carrboro City Schools will be allocated
58.78% or $17,634,000 of the $30 million total while Orange County Schools will be allocated
41.22% or $12,366,000 of the total amount. These funds are split so that 10% or $3 million can
be spent in FY 2022-23 for planning and professional services, so that the remaining 90% or $27
million can be "shovel ready" immediately in FY 2023-24. The two rounds of funding can be
combined by the schools to complete larger projects as detailed in the tables below.
CHCCS FY 2020-21 FY 2021-22 FY 2022-23 FY 2023-24 Total
Original FY 2020-21
Allocation $ 1,800,000 $ 10,000,000 $ 6,197,000 $ 17,997,000
Recommended FY
2022-23 $ 1,763,400 $ 15,870,600 $ 17,634,000
Allocation
Total Funding $ 1,800,000 $ - $ 11,763,400 $ 22,067,600 $ 35,631,000
5
Oc5 FY 2020-21 FY 2021-22 FY 2022-23 FY 2023-24 Total
Original Allocation $ 4,150,000 $ 3,600,000 $ 4,253,000 $ 12,003,000
Recommended
Additional Allocation $ 1,236,600 $ 11,129,400 $ 12,366,000
Total Funding $ 4,150,000 $ 3,600,000 $ 5,489,600 $ 11,129,400 $ 24,369,000
The expenditures to date for CHCCS and OCS from the FY 2020-21 Allocation are $849,308 and
$320,400 respectively.
Board members have the opportunity to discuss County funding and anticipated State funding for
schools next year with Chapel Hill-Carrboro City Schools and Orange County Schools.
Attachment 2-A provides additional information of how Orange County compares with other
counties within North Carolina related to Current Expense funding per pupil and other educational
related funding issues. Attachment 2-B provides a history of the Per Pupil Appropriation.
Attachment 2-C provides a history of the Chapel Hill-Carrboro City Schools District Tax.
Attachment 2-D represents the School Districts Local Current Expense Fund Balance Policy.
Attachment 2-E presents the revised Capital Investment Plan Schools Projects Summary to reflect
the revised ADM%, as included in the FY 2022-23 Manager's Recommended Operating Budget.
FINANCIAL IMPACT: Information on the financial impact is included in the above Background
section.
SOCIAL JUSTICE IMPACT: There are no Orange County Social Justice Goal impacts
associated with this item.
ENVIRONMENTAL IMPACT: There are no Orange County Environmental Responsibility Goal
impacts associated with discussion of this item.
RECOMMENDATION(S): The Manager recommends that the Board discuss the topics noted
and provide direction to staff, as appropriate.
6
Table 30 - County Appropriations and Supplemental Taxes for
Education
Year 2021
2021 999 STATE TOTAL 3,424,502,495 2,331 0
2021 681 Chapel-Hill/Carrboro City Schools 78,595,078 6,749 1
2021 111 Asheville City Schools 22,324,157 5,417 2
2021 680 Orange County Schools 35,942,503 5,130 3
2021 320 Durham County Schools 151,278,656 4,9101 4
2021 280 Dare County Schools 23,230,449 4,643 5
2021 190 Chatham County Schools 36,253,921 4,253 6
2021 880 Transylvania County Schools 12,752,827 4,000 7
2021 600 Charlotte-Mecklenburg County Schools 522,632,548 3,799 8
2021 650 New Hanover County Schools 83,374,975 3,431 9
2021 100 Brunswick County Schools 41,039,549 3,431 10
2021 480 Hyde County Schools 1,700,000 3,414 11
2021 920 Wake County Schools 526,003,342 3,355 12
2021 422 Weldon City Schools 2,202,222 3,352 13
2021 491 Mooresville City Schools 19,407,185 3,303 14
2021 110 Buncombe County Schools 69,761,937 3,200 15
2021 410 Guilford County Schools 209,610,398 3,156 16
2021 950 Watauga County Schools 13,864,099 3,128 17
2021 690 Pamlico County Schools 3,457,872 3,025 18
2021 160 Carteret County Schools 23,274,410 3,014 19
2021 930 Warren County Schools 4,964,331 2,937 20
2021 660 Northampton County Schools 3,500,000 2,859 21
2021 270 Currituck County Schools 11,478,196 2,791 22
2021 350 Franklin County Schools 21,192,936 2,765 23
2021 60 Avery County Schools 4,770,000 2,696 24
2021 340 Forsyth County Schools 134,708,592 2,678 25
2021 750 Polk County Schools 5,429,441 2,649 26
2021 70 Beaufort County Schools 14,587,140 2,489 27
2021 900 Union County Schools 98,566,814 2,4821 28
2021 730 Person County Schools 10,442,896 2,4781 29
2021 200 Cherokee County Schools 6,909,596 2,454 30
2021 850 Stokes County Schools 13,056,771 2,435 31
2021 700 Pasquotank County Schools 11,364,000 2,430 32
2021 500 Jackson County Schools 8,267,941 2,360 33
2021 440 Haywood County Schools 15,727,003 2,347 34
2021 580 Martin County Schools 6,000,000 2,303 35
2021 292 Thomasville City Schools 4,791,312 2,292 36
2021 450 Henderson County Schools 28,928,000 2,263 37
2021 630 Moore County Schools 27,714,377 2,2561 38
2021 980 Wilson County Schools 22,461,930 2,2281 39
2021 370 Gates County Schools 3,119,575 2,205 40
2021 130 Cabarrus County Schools 71,322,993 2,191 41
2021 670 Onslow County Schools 55,898,128 2,166 42
2021 761 Asheboro City Schools 9,496,072 2,162 43
2021 710 Pender County Schools 20,220,842 2,157 44
2021 132 Kannapolis City Schools 11,227,539 2,136 45
2021 291 Lexington City Schools 6,284,511 2,1341 46
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2021 300 Davie County Schools 11,840,402 2,075 47
2021 560 Macon County Schools 8,786,447 2,069 48
2021 530 Lee County Schools 18,912,278 2,065 49
2021 800 Rowan-Salisbury County Schools 36,414,914 2,038 50
2021 510 Johnston County Schools 72,000,000 2,016 51
2021 490 Iredell-Statesville Schools 40,068,018 2,006 52
2021 10 Alamance-Burlington Schools 42,003,142 1,982 53
2021 390 Granville County Schools 13,248,310 1,977 54
2021 30 Alleghany County Schools 2,521,101 1,956 55
2021 210 Edenton-Chowan County Schools 3,500,000 1,936 56
2021 50 Ashe County Schools 5,323,080 1,924 57
2021 830 Scotland County Schools 10,044,895 1,924 58
2021 181 Hickory City Schools 7,162,474 1,915 59
2021 821 Clinton City Schools 5,460,542 1,914 60
2021 720 Perquimans County Schools 2,900,000 1,851 61
2021 740 Pitt County Schools 41,497,811 1,847 62
2021 861 Elkin City Schools 2,229,028 1,838 63
2021 182 Newton-Conover City Schools 5,081,350 1,833 64
2021 180 Catawba County Schools 27,817,698 1,831 65
2021 810 Rutherford County Schools 13,187,976 1,798 66
2021 230 Cleveland County Schools 24,387,081 1,784 67
2021 995 Yancey County Schools 3,375,751 1,784 68
2021 90 Bladen County Schools 6,831,521 1,768 69
2021 250 Craven County Schools 22,021,335 1,765 70
2021 421 Roanoke Rapids City Schools 4,404,436 1,732 71
2021 360 Gaston County Schools 49,811,704 1,725 72
2021 862 Mount Airy City Schools 2,815,018 1,715 73
2021 260 Cumberland County Schools 80,711,700 1,709 74
2021 520 Jones County Schools 1,627,789 1,708 75
2021 460 Hertford County Schools 4,290,818 1,688 76
2021 80 Bertie County Schools 3,027,671 1,685 77
2021 940 Washington County Schools 1,739,398 1,681 78
2021 590 McDowell County Schools 9,243,000 1,655 79
2021 640 Nash-Rocky Mount Schools 23,096,054 1,655 80
2021 620 Montgomery County Schools 5,496,501 1,594 81
2021 20 Alexander County Schools 7,065,060 1,579 82
2021 420 Halifax County Schools 3,149,169 1,561 83
2021 760 Randolph County Schools 22,982,601 1,549 84
2021 40 Anson County Schools 4,466,183 1,530 85
2021 550 Lincoln County Schools 16,376,963 1,511 86
2021 150 Camden County Schools 2,649,999 1,501 87
2021 790 Rockingham County Schools 15,834,840 1,484 88
2021 970 Wilkes County Schools 12,369,284 1,480 89
2021 990 Yadkin County Schools 7,159,859 1,462 90
2021 570 Madison County Schools 3,053,120 1,453 91
2021 140 Caldwell County Schools 14,859,155 1,410 92
2021 220 Clay County Schools 1,609,799 1,394 93
2021 290 Davidson County Schools 24,246,170 1,378 94
2021 120 Burke County Schools 15,156,050 1,344 95
2021 840 Stanly County Schools 10,751,530 1,328 96
2021 610 Mitchell County Schools 2,257,491 1,323 97
8
2021 910 Vance County Schools 6,415,752 1,303 98
2021 860 Surry County Schools 9,121,490 1,298 99
2021 430 Harnett County Schools 24,271,534 1,272 100
2021 330 Edgecombe County Schools 6,637,395 1,250 101
2021 820 Sampson County Schools 9,358,327 1,248 102
2021 770 Richmond County Schools 7,873,240 1,225 103
2021 960 Wayne County Schools 20,515,695 1,215 104
2021 540 Lenoir County Schools 9,900,000 1,215 105
2021 170 Caswell County Schools 2,655,000 1,210 106
2021 240 Columbus County Schools 6,062,353 1,201 107
2021 890 Tyrrell County Schools 630,055 1,193 108
2021 241 Whiteville City Schools 2,272,697 1,126 109
2021 380 Graham County Schools 1,127,426 1,054 110
2021 310 Duplin County Schools 8,968,900 962 111
2021 400 Greene County Schools 2,585,000 957 112
2021 470 Hoke County Schools 5,700,000 691 113
2021 780 Robeson County Schools 13,305,000 656 114
20211 870 1 Swain County Schools 999,2161 5581 115
2021 1 295 1 Innovative School District 99,8301 4871 116
1
9
Per Pupil Appropriation (General Fund)
Historical Comparison
Fiscal Years 1983-84 through 2021-22 reflect Commissioner
approved per pupil appropriations. Fiscal Year 2022-23
reflects the Manager's Recommended per pupil.
Fiscal Year Per Pupil Annual $ Annual %
Appropriation Increase Increase
83-84 $603
84-85 $642 $39 6.47%
85-86 $773 $131 20.40%
86-87 $871 $98 12.68%
87-88 $870 -$1 -0.11%
88-89 $967 $97 11.15%
89-90 $1,057 $90 9.31%
90-91 $1,175 $118 11.16%
91-92 $1,310 $135 11.49%
92-93 $1,310 $0 0.00%
93-94 $1,363 $53 4.05%
94-95 $1,451 $88 6.46%
95-96 $1,571 $120 8.27%
96-97 $1,782 $211 13.43%
97-98 $1,889 $107 6.00%
98-99 $2,040 $151 7.99%
99-00 $2,256 $216 10.59%
00-01 $2,395 $139 6.16%
01-02 $2,437 $42 1.75%
02-03 $2,516 $79 3.24%
03-04 $2,566 $50 1.99%
04-05 $2,623 $57 2.22%
05-06 $2,796 $173 6.60%
06-07 $2,957 $161 5.76%
07-08 $3,069 $112 3.79%
08-09 $3,200 $131 4.27%
09-10 $3,096 -$104 -3.25%
10-11 $3,096 $0 0.00%
11-12 $3,102 $6 0.19%
12-13 $3,167 $65 2.10%
13-14 $3,269 $102 3.22%
14-15 $3,571 $302 9.24%
15-16 $3,698 $127 3.54%
16-17 $3,868 $171 4.61%
17-18 $3,991 $123 3.18%
18-19 $4,165 $174 4.36%
19-20 $4,352 $187 4.50%
20-21 $4,367 $15 0.34%
21-22 $4,367 $0 0.00%
22-23* $4,808 $441 10.10%
*Manager's Recommended Budget
10
Historical Tax Rate
(Per$100 Assessed Valuation)
Chapel Hill-Carrboro District Tax
Change
(in cents
CHCCS Special District per$100
assessed
valuation
1989-90 17.75
1990-91 17.75 0.00
1991-92 17.35 0.40
1992-93 17.35 0.00
1993-94* 15.75 1.60
1994-95 15.40 0.35
1995-96 15.40 0.00
1996-97 19.00 3.60
1997-98* 17.90 1.10
1998-99 19.20 1.30
1999-00 22.00 2.80
2000-01 22.00 0.00
2001-02* 20.20 1.80
2002-03 19.20 1.00
2003-04 20.00 0.80
2004-05 20.00 0.00
2005-06* 18.34 1.66
2006-07 18.85 0.51
2007-08 20.35 1.50
2008-09 23.00 2.65
2009-10* 18.84 4.16
2010-11 18.84 0.00
2011-12 18.84 0.00
2012-13 18.84 0.00
2013-14 20.84 2.00
2014-15 20.84 0.00
2015-16 20.84 0.00
2016-17 20.84 0.00
2017-18* 20.18 0.66
2018-19 20.18 0.00
2019-20 20.18 0.00
2020-21 20.18 0.00
2021-22* 18.30 1.88
2022-23 18.30 0.00
*Denotes Revaluation Year
**Fiscal Years 1989-90 through 2021-22 reflect
approved tax rates; Fiscal Year 2022-23 reflects
Manager Recommended tax rate.
11
BOCC Approved
6/19/2018
School Districts Local Current Expense Fund Balance Policy
Joint Policy Between
Orange County Board of County Commissioners
Chapel Hill-Carrboro City Schools Board of Education
Orange County Schools Board of Education
1. Guidelines
The School Budget and Fiscal Control Act (SBFCA) establishes accounting,
budgetary and fiscal control guidelines for School Systems. The SBFCA is
codified in G.S. Chapter 115C, Article 31, beginning at G.S. 115C-422. This
act parallels the statutes established for Local Government with a few
exceptions.
2. Definitions
2.1.Total Fund Balance — The difference between a school system's total assets
and its total liabilities at the end of the fiscal year.
2.2.Fund Balance Available for Appropriation — The sum of a school system's
assets held in cash and investments minus the sum of the school system's
liabilities and encumbrances at the end of the fiscal year as outlined in G.S.
115C-425 of the SBFCA.
2.3.Designated Fund Balance — The amount of the available fund balance that
has been appropriated for the budget year through budgetary action of the
School Board.
2.4.Undesignated Fund Balance - The difference between Fund Balance
Available for Appropriation and Designated Fund Balance.
3. Policy
3.1.Fund Balance for Cash Flow Purposes — Each school district will make a
good faith effort to maintain a level of undesignated fund balance that will
ensure sufficient funds are available to address its cash flow needs. The
following levels are to be maintained for cash flow purposes only:
3.1.1. Chapel Hill Carrboro City Schools - The targeted level of
undesignated fund balance for cash flow purposes will be at a minimum
of 5.5 percent of budgeted expenditures.
3.1.2. Orange County Schools — The targeted level of undesignated fund
balance for cash flow purposes will be at a minimum of 5.5 percent of
budgeted expenditures.
12
BOCC Approved
6/19/2018
3.2.Accumulated Fund Balance Above Cash Flow Purposes - In the event that
either school district accumulates more than the percentage amounts allowed
for cash flow purposes, the respective Boards of Education will develop a plan
in place for spending the accumulated fund balance surplus for non-recurring
purposes. The Board of Education will share that plan with the Board of
County Commissioners
3.3.Fund Balance Appropriation Occurring Outside the Normal Annual
Budgeting Process—Appropriation of fund balance is a budgetary action that
rests with elected bodies of each school system. It is highly desired that fund
balance appropriations be limited to non-recurring expenses. Both school
districts have historically appropriated fund balance as a part of their normal
budgeting process, and this practice will remain until additional revenue is
available to eliminate the use of fund balance. The Board of Education should
note and explain significant deviations in the normal budgetary appropriation
as a part of the budget narrative accompanying the recommended and
adopted budgets.
If the Board of Education finds it necessary to appropriate fund balance,
outside the normal annual budgeting process, the Board of Education shall
highlight the appropriation in their next fiscal year's budget request. The
County Commissioners are not obligated to increase local current expense in
order to fund recurring items for which the Board of Education appropriates
fund balance outside of the normal budgeting process.
4. Undesignated Fund Balance — Undesignated fund balance may be allowed to
accumulate above the cash flow percentages under certain circumstances. School
Boards will develop a detailed plan for future use of accumulated fund balance.
Boards of Education are to use undesignated fund balance to address unforeseen
events or opportunities. In these instances, it is the responsibility of the Board of
Commissioners to work with the School Boards to address the extraordinary
issues.
5. Extraordinary Emergency Needs — There may arise a time in the future when
one or both school district(s) experience(s) an unforeseen extraordinary uninsured
event that greatly compromises how the district(s) serve(s) children. In such
instances, there may be a need for the school district(s) to use some or all of its
fund balance. In such instances, the Board(s) of Education is(are) to take
appropriate action to correct the problem, and following necessary budgetary
action by the Board of County Commissioners, the County will reimburse the
School Board(s) for the necessary expenditures.
6. Policy Review - The School/County Collaboration Work Group shall review this
policy every 18 months to determine if changes to the policy are necessary.
13
School Projects Summary- RECOMMEND
Fiscal Years 2022-32
Current Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10 Ten
Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year Year
Appropriations 2021-22 2022-23 2023-24 2024-25 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 Total
Bond Referendum 45,000,000 45,000,000 40,000,000 130,000,000
Chapel Hill-Carrboro City Schools
Bond Referendum 1,922,000
Chapel Hill-Carrboro City Schools
Article 46 Sales Tax Proceeds 1,219,446 1,268,223 1,318,952 1,371,710 1,426,578 1,483,641 1,542,987 1,604,706 1,668,894 1,735,650 1,805,076 15,226,417
Debt Financing-School Improvements 2,519,561 2,569,952 2,621,351 2,673,778 2,727,254 2,781,799 2,837,435 2,894,184 2,952,068 3,011,109 3,071,331 28,140,261
Lottery Proceeds 846,461 846,461 846,461 846,461 846,461 846,461 846,461 846,461 846,461 846,461 846,461 8,464,610
Recurring Capital Items 1,810,800 1,810,800 1,810,800 1,810,800 1,810,800 1,810,800 1,810,800 1,810,800 1,810,800 1,810,800 1,810,800 18,108,000
Supplemental Deferred Maintenance Program 11,810,800 22,494,200 34,305,000
Chapel Hill-Carrboro City Schools Total 8,318,268 18,306,236 29,091,764 6,702,749 6,811,093 6,922,701 7,037,683 7,156,151 7,278,223 7,404,020 7,533,668 104,244,288
Orange County Schools
Bond Referendum 11,386,000
Orange County Schools
Article 46 Sales Tax Proceeds 800,842 832,876 866,191 900,839 936,872 974,348 1,013,322 1,053,855 1,096,009 1,139,849 1,185,443 9,999,604
Debt Financing-School Improvements 1,654,661 1,687,754 1,721,509 1,755,940 1,791,059 1,826,879 1,863,417 1,900,685 1,938,699 1,977,473 2,017,022 18,480,437
Lottery Proceeds 555,893 555,893 555,893 555,893 555,893 555,893 555,893 555,893 555,893 555,893 555,893 5,558,930
Recurring Capital Items 1,189,200 1,189,200 1,189,200 1,189,200 1,189,200 1,189,200 1,189,200 1,189,200 1,189,200 1,189,200 1,189,200 11,892,000
Supplemental Deferred Maintenance Program 3,600,000 5,442,200 10,702,800 16,145,000
Orange County Schools Total 19,186,596 9,707,923 15,035,593 4,401,872 4,473,024 4,546,320 4,621,832 4,699,633 4,779,801 4,862,415 4,947,558 62,075,971
Durham Tech Community College 500,000 10,500,000 1 11,000,000
Appropriations Total 27,504,864 28,514,159 54,627,357 11,104,621 11,284,117 56,469,021 11,659,515 56,855,784 12,058,024 52,266,435 12,481,226 1 307,320,259
Revenues/Funding Sources
Article 46 Sales Tax Proceeds 2,020,288 2,101,099 2,185,143 2,272,549 2,363,450 2,457,989 2,556,309 2,658,561 2,764,903 2,875,499 2,990,519 25,226,021
Debt Financing-Bond Proceeds 13,308,000 45,000,000 45,000,000 40,000,000 130,000,000
Debt Financing-Durham Tech 500,000 10,500,000 11,000,000
Debt Financing-School Improvements 10,774,222 23,310,706 39,039,860 5,629,718 5,418,313 5,508,678 5,600,852 5,694,869 5,790,767 5,888,582 5,988,353 107,870,698
Lottery Proceeds 1,402,354 1,402,354 1,402,354 1,402,354 1,402,354 1,402,354 1,402,354 1,402,354 1,402,354 1,402,354 1,402,354 14,023,540
Transfer from General Fund 1,200,000 1,500,000 1,800,000 2,100,000 2,100,000 2,100,000 2,100,000 2,100,000 2,100,000 2,100,000 19,200,000
Revenues/Funding Sources Total 27,504,864 28,514,159 54,627,357 11,104,621 11,284,117 56,469,021 11,659,515 56,855,784 12,058,024 52,266,435 12,481,226 1307,320,259
Revised for Updated ADM% 14
School Projects Summary- RECOMMEND
Fiscal Years 2022-32
Current Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10 Ten
Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year Year
Appropriations 2021-22 2022-23 2023-24 2024-25 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 Total
Bond Referendum 45,000,000 45,000,000 40,000,000 130,000,000
Chapel Hill-Carrboro City Schools
Bond Referendum 1,922,000
Chapel Hill-Carrboro City Schools
Article 46 Sales Tax Proceeds 1,219,446 1,235,027 1,284,427 1,335,804 1,389,236 1,444,806 1,502,598 1,562,702 1,625,210 1,690,218 1,757,827 14,827,855
Debt Financing-School Improvements 2,519,561 2,502,680 2,552,733 2,603,788 2,655,864 2,708,981 2,763,161 2,818,424 2,874,793 2,932,288 2,990,934 27,403,646
Lottery Proceeds 846,461 824,304 824,304 824,304 824,304 824,304 824,304 824,304 824,304 824,304 824,304 8,243,040
Recurring Capital Items 1,810,800 1,763,400 1,763,400 1,763,400 1,763,400 1,763,400 1,763,400 1,763,400 1,763,400 1,763,400 1,763,400 17,634,000
Supplemental Deferred Maintenance Program 11,763,400 22,067,600 33,831,000
Chapel Hill-Carrboro City Schools Total 8,318,268 18,088,811 28,492,464 6,527,296 6,632,804 6,741,491 6,853,463 6,968,830 7,087,707 7,210,210 7,336,465 101,939,541
Orange County Schools
Bond Referendum 11,386,000
Orange County Schools
Article 46 Sales Tax Proceeds 800,842 866,073 900,716 936,745 974,214 1,013,183 1,053,711 1,095,859 1,139,693 1,185,281 1,232,692 10,398,167
Debt Financing-School Improvements 1,654,661 1,755,026 1,790,127 1,825,930 1,862,449 1,899,697 1,937,691 1,976,445 2,015,974 2,056,294 2,097,419 19,217,052
Lottery Proceeds 555,893 578,050 578,050 578,050 578,050 578,050 578,050 578,050 578,050 578,050 578,050 5,780,500
Recurring Capital Items 1,189,200 1,236,600 1,236,600 1,236,600 1,236,600 1,236,600 1,236,600 1,236,600 1,236,600 1,236,600 1,236,600 12,366,000
Supplemental Deferred Maintenance Program 3,600,000 5,489,600 11,129,400 16,619,000
Orange County Schools Total 19,186,596 9,925,349 15,634,893 4,577,325 4,651,313 4,727,530 4,806,052 4,886,954 4,970,317 5,056,225 5,144,761 64,380,719
Durham Tech Community College 500,000 10,500,000 11,000,000
Appropriations Total 27,504,864 28,514,160 54,627,357 11,104,621 11,284,117 56,469,021 11,659,515 56,855,784 12,058,024 52,266,435 12,481,226 307,320,260
Revenues/Funding Sources
Article 46 Sales Tax Proceeds 2,020,288 2,101,100 2,185,143 2,272,549 2,363,450 2,457,989 2,556,309 2,658,561 2,764,903 2,875,499 2,990,519 25,226,022
Debt Financing-Bond Proceeds 13,308,000 45,000,000 45,000,000 40,000,000 130,000,000
Debt Financing-Durham Tech 500,000 10,500,000 11,000,000
Debt Financing-School Improvements 10,774,222 23,310,706 39,039,860 5,629,718 5,418,313 5,508,678 5,600,852 5,694,869 5,790,767 5,888,582 5,988,353 107,870,698
Lottery Proceeds 1,402,354 1,402,354 1,402,354 1,402,354 1,402,354 1,402,354 1,402,354 1,402,354 1,402,354 1,402,354 1,402,354 14,023,540
Transfer from General Fund 1,200,000 1,500,000 1,800,000 2,100,000 2,100,000 2,100,000 2,100,000 2,100,000 2,100,000 2,100,000 19,200,000
Revenues/Funding Sources Total 27,504,864 28,514,160 54,627,357 11,104,621 11,284,117 56,469,021 11,659,515 56,855,784 12,058,024 52,266,435 12,481,226 1307,320,260