School Capital Fund Commission Meeting

School Capital Fund Commission Meeting Recap: July 21, 2025

The Buncombe County School Capital Fund Commission held its regular meeting on July 21, 2025, focusing on routine administrative updates and a significant legislative change affecting the commission’s funding authority. The session began with the approval of the agenda and the minutes from the April 28, 2025 meeting, both of which passed unanimously. No public comments were received during the designated comment period.

The commission formally reaffirmed its annual officer appointments, reappointing Terri Wells as Chair and George Sieburg as Vice-Chair. The commission also appointed Keri Clark as Secretary, replacing the previous holder of that role. Regarding membership terms, the commission noted that Matt Kern had completed his second term limit on July 11, 2025. However, the commission decided to allow Matt Kern to continue serving in an advisory capacity at the pleasure of the board until a replacement is appointed, citing flexibility within the commission’s bylaws.

A major portion of the meeting was dedicated to reviewing House Bill 309, a state law ratified on June 30, 2025, which modifies Article 39 of the North Carolina General Statutes. Under this new legislation, effective from July 1, 2025, through June 30, 2027, the distribution of local sales and use tax revenue is temporarily altered. Instead of directing 50% of net proceeds to the School Capital Fund Commission, 100% of the funds will be distributed to Buncombe County. The county is required to use 50% of these funds for local school administrative unit capital outlays or operating expenses, while the remaining 50% may be used for any public purpose. Additionally, if the county receives federal or state disaster funding, such as revenue replacement for Hurricane Helene, it must return a proportionate share to the commission.

Dr. Rob Jackson, Superintendent of Buncombe County Schools, presented the impact of these legislative changes on the school system. He stated that Buncombe County Schools requested the diversion of approximately $4 million for both Asheville City Schools (ACS) and Buncombe County Schools (BCS), an amount equal to the shift made in a January 2025 resolution. Dr. Jackson explained that the school system prioritized operating expenses over capital projects due to recent hurricane-related challenges, describing the decision as "akin to King Solomon trying to figure out what to do with the baby." He further noted that before any funds are moved from the School Capital Fund Commission, school systems will have the opportunity to present on the impact of diverted funds at a Board of Commissioners meeting this year.

The commission reviewed and approved the schedule for future meetings, which includes sessions on September 29, 2025, and February 16, 2026, for project updates, followed by a session on March 30, 2026, to hear project requests, and a final session on April 27, 2026, to vote on priority requests. The meeting was adjourned at 3:15 p.m. by unanimous vote.

This meeting highlights a temporary but significant shift in how school funding is allocated in Buncombe County. For residents, the key takeaway is that while the School Capital Fund Commission continues to exist, its role is currently limited to an advisory capacity regarding capital needs due to the state law’s redirection of sales tax revenue to the county. The commission will continue to monitor project requests and updates throughout the 2025–2026 cycle, with the next major action being the presentation of the school funding request to the County Commissioners in September.