Wake County Schools estimates $12.6M budget shortfall next year
RALEIGH (WTVD) -- As North Carolina teachers prepare to receive the biggest pay raise they've seen in years, local school districts are now scrambling to cover their share of the costs.
Wake County Schools provides one of the largest teacher pay supplements in the state.
Administrators are now bracing for a budget hole left by the proposed state budget estimated at $12.6 million.
According to Chief Business Officer for Wake County Schools David Neter, the district needs a projected $11.1 million to cover their share of the raises and benefit increases.
The shortfall also includes $1.5 million in state funding cuts to transportation, teacher assistants and services to at-risk students.
"There's no doubt it's going to cost us," said Wake County School Board Vice Chairman Tom Benton. "Our local commissioners gave us $10.2 million in additional funding for the coming year. That was based on a 2.5-percent increase across the board for teachers. Now, it's 7-percent, so there's some money that will have to come out of that."
The extra $10.2 million from the county was earmarked for services like new literacy, graduation programs and an enrollment spike of more than 4,000 students.
Wake County Commissioner Paul Coble believes Wake County Schools has more than enough money to cover the gap using the district's so-called rainy day fund.
"It is perfectly reasonable to ask them to spend money they're sitting on to address need," said Coble.
According to Neter, the district has more than $88 million in reserve funds.
But he says only $36 million of that money is unassigned, $30 million of the fund is already included in next year's budget.
Neter says it's possible the school district will have to tap into the left over money.
Monday, Wake County Commissioners voted 4-2 against including a local sales tax referendum on the November ballot to help with funding at Wake County Schools.
"I think the taxpayers would feel better if they would spend down those dollars and use those for their needs before they ask the taxpayers to take on additional tax burden," said Coble.
Click here for more on Neter's report.
