Durham County leaders balance school boost and nonprofit cuts while updating budget ordinance

Durham County commissioners and county staff met in a June 3 budget work session to refine an ‘‘add-delete’’ budget list, propose changes to the county’s budget ordinance and identify how to provide $2.57 million in additional local funding for Durham Public Schools (DPS) without increasing the property tax rate beyond the manager’s recommendation.

County Manager Claudia Hager and budget staff presented a plan that would add $2,570,000 to DPS on top of the $10,350,000 in local support in the manager’s recommended budget and keep the tax rate at the manager’s recommended level. Hager summarized the adjustments as a combination of reduced capital allocations, contingency cuts, modest revenue increases and an appropriation of fund balance to close a remaining gap.

Why it matters: commissioners said they wanted to find ways to increase school funding while avoiding an additional tax increase. The discussion also included proposals to reduce or reallocate one-time county support for community partners and to change the county’s internal approval thresholds and reporting requirements in the budget ordinance — items that affect how quickly staff can execute contracts and move appropriations during the fiscal year.

Key funding moves discussed

- Durham Public Schools: Staff proposed giving DPS an additional $2,570,000 ‘‘on top of the 10,350,000.00 that the manager recommended,’’ to be paid for without increasing the tax rate beyond the manager’s recommendation. The board discussed multiple offsets to cover that amount.

- Capital reallocation: The county would reduce the recommended recurring capital allocation to DPS from $6,000,000 to $5,000,000, freeing $1,000,000 toward the DPS increase. Budget staff said the PAYGO/LOBs (locally funded capital) authorities and other revenue streams (ARPA, lottery) should still allow DPS to address urgent climate-related repairs and planning needs.

- Hayti Reborn/JM (community organization): Hayti Reborn had requested…