Bill > H706

This bill modifies the criteria for determining which counties are eligible for needs-based public school capital funding grants and changes how those funds are allocated. Specifically, the bill expands eligibility for grants to include counties that have census tracts experiencing persistent poverty or identified as having low to moderate income, in addition to the existing criteria based on a county's adjusted market value of taxable real property. The bill also introduces a new local matching fund requirement where counties with persistent poverty areas but high total property values will have a 35% match requirement. Additionally, the bill prohibits state agencies from using economic tier designations (a method of categorizing counties based on economic development) as a basis for allocating educational funds starting in the 2025-2026 fiscal year. For cooperative innovative high schools, the bill mandates that supplemental allotments will be distributed equally per school beginning in the 2025-2026 fiscal year for schools that were previously receiving such funds. The changes aim to create a more equitable approach to distributing educational resources by focusing on local economic conditions and need rather than broad county-level economic classifications.

Government Affairs

https://www.ncleg.gov/BillLookUp/2025/H706