Coronavirus: NC Lawmakers raid school bus replacement fund

North Carolina lawmakers could drain a quarter of the state fund set aside for replacing old school buses to help pay for other education items this year.

The Senate approved three bills this week, including two on Wednesday, that combined would take $13.9 million out of the $40 million in the state’s school bus replacement fund. The money would help pay for increased public school enrollment, the N.C. Promise Tuition program and more money for N.C. State and N.C. A&T State universities.

The legislation comes as state lawmakers are looking at how to fill a multi-billion budget hole this year caused by decreased tax revenue from the coronavirus pandemic.

Some lawmakers raised concerns about taking so much money from the bus fund.

“This is another non-recurring fund, funding a recurring cost,” Sen. Rick Horner, a Nash County Republican, said in a committee meeting Tuesday. “This is dangerous territory here.”

The state pays for replacing school buses once they hit 20 years old or have been driven 250,000 miles.

School bus money would pay for higher ed projects

House Bill 1071 uses school bus money to help pay for anticipated K-12 public school enrollment growth this fall. House Bill 472 gives N.C. State and N.C. A&T universities funding for research into agriculture and biopharmaceuticals.

Both bills were unanimously approved by the Senate on Wednesday. House Bill 472 goes to Gov. Roy Cooper for his signature and House Bill 1071 returns to the House to see if it supports changes the Senate made.

Senate Bill 814 funds the N.C. Promise Tuition program, which reduces tuition to $500 a semester at Elizabeth City State University, UNC-Pembroke and Western Carolina University. The Senate passed it Monday, and it’s now in a House committee.

Legislative staff told senators Tuesday that the school bus fund has just over $40 million in reserve right now, leading Sen. Jim Davis, a Macon County Republican, to question what a more than 25% drop in that fund might mean for school transportation needs next year.

“I’m just expressing the concerns of my district,” said Davis, who represents a rural swath of far western North Carolina.

Sen. Harry Brown, an Onslow County Republican, responded “that’s why it’s important we get this economy going again.”

Brown added that they have been “very careful” not to take too much money from the school bus fund. It can afford to take a hit in part, he said, because schools went remote for part of this year due to coronavirus, so there was less wear and tear on buses.

T. Keung Hui has covered K-12 education for the News & Observer since 1999, helping parents, students, school employees and the community understand the vital role education plays in North Carolina. His primary focus is Wake County, but he also covers statewide education issues.