Modifies GS 115C-111.05, setting forth funding for children with disabilities by the State Board of Education (Board), as follows. Exempts public schools for the deaf and blind established under Article 9C of GS Chapter 115C from the statute’s requirements. Makes conforming changes. Now requires that those schools receiving funds receive funds that are the lesser of (1) all children who are identified as children with disabilities or (2) 13% of the sum of the allocated average daily membership in the public school units co-located within the boundaries of a local school administrative unit for the current school year, plus the number of students that received scholarship grants pursuant to Part 2A of Article 39 of GS Chapter 115C (private and proprietary school grants) for the most recent school year that data is available and reside within the boundaries of the local school administrative unit. (Currently, the lesser of prong (1) or 13% of its allotted average daily membership in the local school administrative unit for the current school year). Requires the State Education Assistance Authority (Authority) to provide the Department of Public Instruction (DPI) by March 15 annually the number of students provided such scholarship grants that resided within the boundaries of each local school administrative unit during the most recent school year.
Appropriates $25 million from the General Fund to DPI in recurring funds for the 2025-26 school year to be allocated to public school units for children with disabilities funding.
Effective July 1, 2025, and applies beginning with the funding allocations for the 2025-26 fiscal year.

Statutes affected:
Filed: 115C-111.05