Greenville School District Rejects Budget Diverting Funds

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News Summary

The Greenville County School District Board has rejected a proposed county budget that threatens education funding in favor of road projects, raising significant concerns.

Greenville, SC – The Board of Trustees for the Greenville County School District (GCSD) has unanimously decided to reject a proposed county budget that threatens to divert millions of dollars from local schools to road improvement projects. The vote took place during a meeting on Tuesday, where the district expressed significant concerns over the financial impact of the budget presented by County Administrator Joseph Kernell.

GCSD anticipates a loss of approximately $7.7 million in funding from the county, which comes despite an expected total of $25.5 million in overall funding. The proposed budget includes $40 million earmarked for road projects, funded by a controversial reallocation of fee in lieu of taxes (FILOT) revenue. Under the new plan, the county would retain 60% of FILOT revenue, which is double the traditional retention percentage.

In addition to the impacts on education funding, affordable housing and land preservation initiatives could also face reductions of $1 to $2 million each as a result of the FILOT reallocation. School district officials assert that 75% of their funding is sourced from the state, with 25% coming from local revenue streams.

Before learning about the potential loss of FILOT funds, GCSD had already approved a balanced budget for the upcoming fiscal year. This budget included provisions for a $1,050 raise for teachers and a 2% raise for other employees, maintaining a record of four consecutive years without a tax increase. Superintendent Burke Royster has raised concerns about how these funding cuts could jeopardize the planned raises for educators.

The district’s proposed budget totals $962,992,000, reflecting an increase of about $40 million from the previous year, with more than $9 million allocated specifically for teacher raises. However, state funding distribution poses additional challenges, as only $22 million has been earmarked for public schools despite $90 million allocated for charter schools. Greenville County is set to receive $3.75 million from this state allocation for its public schools.

GCSD officials have criticized the unequal distribution of state funds, noting its adverse effects on the education of the majority of South Carolina students. In response to recent criticisms from county councilmember Curt McGahhey, who suggested that the school board has consistently raised taxes and characterized their administration as excessive, the school board defended its financial management. They highlighted their strong academic performance and the infrequency of tax increases over the past decade as indicators of effective stewardship.

Additionally, the board reiterated the importance of transparent communication regarding school funding and performance, especially for the benefit of the district’s 78,000 students. Board Chair Carolyn Styles pointed out the necessity for adequate administrative resources for large high schools, which can enroll over 2,000 students.

The Greenville County Council is scheduled to discuss the proposed budget and possible amendments at an upcoming committee meeting. As the discussion unfolds, the GCSD remains focused on ensuring that local schools receive the funding necessary to support their educational mission and sustain quality teaching for the community’s students.

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Additional Resources

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Author: HERE Greenville

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