Education Subcommittee 2014-15 fiscal year budget highlights

Fiscal Research Division Education Team Education Subcommittee 2014-15 Fiscal Year Budget Highlights Fiscal Brief October 9, 2014 The North Carolina General Assembly House and Senate Appropriations Subcommittees on Education (ED Subcommittees) develop and recommend the budget for the State’s three education systems: Public Schools, the North Carolina Community College System (NCCCS), and the University of North Carolina System (UNC). Actual and Certified Expenditures and Receipts' Actual Actual Actual Certified FY 2011-12 FY 2012-13 FY 2013-14 FY 2014-15 Expenditures 15,302,551,399 15,519,690,197 15,541,650,219 17,139203,909 Less: Receipts 4,169,846,913 4,091,556,273 4,185,254,357 5363,933,093 Net General Fund Appropriations $11,132,704,486 $11,428,133,924 $11,356,395,862 $11,775270,816 Positions (FTE) 39,014.0 36,347. 1 36,497.3 36,441.0 1 Division level budget and FTE information is provided at the end of this budget brief. S.L. 2014-100, Appropriations Act of 2014 (S.B.744), appropriates $1 1 .8 billion for the three Education (ED) agencies. Legislative adjustments to the FY 2014-15 budget for ED agencies increased spending by $1 12.8 million above the previously-enacted levels and by $223.0 million above the FY 2013-14 authorized budget. Major actions in the Appropriations Act and accompanying Joint Conference Committee Report include: • Increasing compensation for employees of the State, UNC System, Community Colleges, and local school districts; • Changing substantive policies and funding formulas across all three ED agencies; • Modifying financial aid and tuition policies and funding; and • Making technical adjustments to the 2013 Appropriations Act. This Fiscal Brief summarizes these actions and other adjustments in the FY 2014-15 budgets for Education. Budget Overview The certified FY 2014-15 Net General Fund Appropriation for the ED Subcommittee agencies is $11.8 billion. This is an increase of 1.0% over the previously-enacted FY 2014-15 Certified Budget. The General Fund Appropriation funds 36,499 full-time equivalent positions (FTE).' The chart below shows the budget by agency. ED Net General Fund Appropriation FY 2014-15 $11.8 Billion Community Colleges 9% Public Schools 69% UNC System 22% ' Local school district and community college staff are not included in position counts as they are not State employees; additionally, this count does not reflect positions that may be eliminated as part of management flexibility reductions.