Every School Has Resources Act.

GENERAL ASSEMBLY OF NORTH CAROLINA
SESSION 2025
S 1
SENATE BILL 822

Short Title: Every School Has Resources Act. (Public)
Sponsors: Senators Chaudhuri and Robinson (Primary Sponsors).
Referred to: Rules and Operations of the Senate
April 23, 2026
*S822-v-1*
A BILL TO BE ENTITLED 1
AN ACT TO ESTABLISH A GRANT PROGRAM TO A SSIST LOCAL SCHOOL 2
ADMINISTRATIVE UNITS WITH CREATING A DEV ELOPMENT DIRECTOR 3
POSITION. 4
Whereas, many local school administrative units in North Carolina – particularly 5
rural, small, and low -wealth units – lack the administrative capacity to pursue external grant 6
funding, philanthropic partnerships, and community development opportunities; and 7
Whereas, dedicated development staff at the unit level have proven effective at 8
unlocking supplementa l funding streams that reduce dependence on local property taxes and 9
State appropriations; and 10
Whereas, the upfront cost of hiring a Development Director creates a barrier for local 11
school administrative units that would benefit most, as local boards of ed ucation are 12
understandably reluctant to commit current expense fund revenues to a position before its return 13
on investment is established; and 14
Whereas, a phased, performance -linked grant model will allow local school 15
administrative units to build developme nt capacity while assuming a graduated share of the 16
financial commitment as the position demonstrates measurable results; and 17
Whereas, North Carolina has a compelling interest in ensuring that all local school 18
administrative units, regardless of wealth or size, have equitable access to external funding 19
opportunities that support the sound basic education of students across the State, consistent with 20
Article IX of the North Carolina Constitution; and 21
Whereas, transparent reporting requirements protect taxpay ers and give the General 22
Assembly the information needed to evaluate program effectiveness and make responsible 23
decisions about program renewal; Now, therefore, 24
The General Assembly of North Carolina enacts: 25
SECTION 1.(a) Definitions. – As used in this section, the following definitions 26
apply: 27
(1) Development Director. – A full - or part -time employee of an eligible unit 28
whose primary duties include identifying, pursuing, and managing external 29
funding opportunities for the eligible unit, including competitive grants, 30
private philanthropy, corporate sponsorships, and community partnerships. 31
The position may be titled Director of Development, Grants Manager, 32
Director of Grants and Community Partnerships, or a similar designat ion, 33
provided the primary duties are substantially equivalent. 34
(2) Eligible unit. – A local school administrative unit, as defined in 35
G.S. 115C-5(6), that does not currently employ a full -time staff member 36
General Assembly Of North Carolina Session 2025
Page 2 Senate Bill 822-First Edition
whose primary duties are grant writing and development, and satisfies at least 1
one of the following: 2
a. Is located in a county with a population of fewer than 150,000 persons 3
according to the most recent decennial census. 4
b. Qualifies for supplemental funding under G.S. 115C-472.22. 5
c. Has a percentage of students eligible for free or reduced -price meals 6
under the National School Lunch Act at or above the statewide average 7
for the prior school year. 8
(3) External funds raised. – Revenues attributable to the efforts of the 9
Development Director that derive from sources outside the eligible unit's State 10
and local formula allocations and standard federal entitlement grants, 11
including competitive grants, private foundation awards, corporate 12
contributions, and documented in-kind donations with verified market value. 13
(4) Grant year. – A 12 -month period beginning on the effective date of each 14
annual award. 15
(5) Total position cost. – All costs directly attributable to the Development 16
Director position in a grant year, including salary, employer payroll taxes, 17
health i nsurance, retirement contributions, and documented professional 18
development expenses. 19
SECTION 1.(b) Establishment; Term. – There is established the Every District Has 20
Resources Grant Program (Program) to assist eligible units in establishing a Development 21
Director position. To the extent funds are made available for this purpose, the Department of 22
Public Instruction (Department) shall administer the Program in accordance with this act. The 23
Program shall commence with the 2026-2027 fiscal year and conclude June 30, 2029. 24
SECTION 1.(c) Application. – An eligible unit may apply for a grant under the 25
Program by submitting a written application to the Department on a form and according to a 26
schedule prescribed by the Department. At a minimum, the application sh all include the 27
following: 28
(1) A description of the eligible unit's current development capacity and prior 29
grant history. 30
(2) A detailed plan for recruiting, hiring, and supervising the Development 31
Director. 32
(3) A proposed budget for the Development Direct or position for all three grant 33
years, including anticipated sources of matching funds for grant years two and 34
three. 35
(4) A written commitment from the local board of education, adopted by 36
resolution at a duly noticed public meeting, authorizing participat ion in the 37
Program and certifying the unit's intent to provide required matching funds in 38
grant years two and three. 39
(5) Identification of specific external funding opportunities the Development 40
Director will initially pursue. 41
(6) Any additional information the Department deems necessary for Program 42
administration. 43
SECTION 1.(d) Applicant Selection. – The Department shall notify all applicants 44
of award decisions within 60 days of the application deadline. If the number of applicants exceeds 45
available funds, the Department shall give priority to eligible units in the following order: 46
(1) Units with the highest percentage of students eligible for free or reduced-price 47
meals. 48
(2) Units that qualify for supplemental funding under G.S. 115C-472.22. 49
(3) Units with the lowest average daily membership for the prior school year. 50
General Assembly Of North Carolina Session 2025
Senate Bill 822-First Edition Page 3
(4) Units that have never previously employed dedicated development or 1
grant-writing staff. 2
(5) Units demonstrating the most credible external funding pipeline. 3
SECTION 1.(e) Awards; Matching Funds. – Eligible units selected to receive an 4
award shall receive the award for three consecutive grant years, subject to the annual performance 5
and reporting requirements of this act and any other requirements of the Department. Awards in 6
grant years two and three require matching funds, which may come from any source other than 7
State funds. Eligible units may also supplement the position with non -State funds. Award 8
amounts and matching requirements for each year are as follows: 9
(1) Grant year one. – The Department shall fund up to one hundred percent 10
(100%) of the total position cost, not to exceed seventy-five thousand dollars 11
($75,000) per eligible unit. 12
(2) Grant year two. – The Department shall fund up to fifty percent (50%) of the 13
total position cost, not to exceed thirty -seven thousand five hundred dollars 14
($37,500). The unit shall provide matching funds equal to the remaining fifty 15
percent (50%) or more. 16
(3) Grant year three. – The Department shall fund up to twenty-five percent (25%) 17
of the total position cost, not to exceed eighteen thousand seven hundred fifty 18
dollars ($18,750). The unit shall provide matching funds equal to the 19
remaining seventy-five percent (75%) or more. 20
SECTION 1.(f) Use of Funds; Position Continuity. – Funds awar ded under the 21
Program may only be used for total position cost. An eligible unit receiving an award shall 22
maintain the Development Director position throughout each grant year for which funds are 23
received. An eligible unit that eliminates the position duri ng a grant year shall repay to the 24
Department a prorated portion of the award for that year, as determined by the Department. 25
SECTION 1.(g) Continuation Eligibility. – A unit's eligibility to continue receiving 26
Program funds in grant years two and three is contingent upon the following: 27
(1) Timely submission of the annual performance report for the preceding grant 28
year. 29
(2) Verification by the Department that the Development Director position was 30
maintained for the full preceding grant year. 31
(3) Verification that required matching funds were contributed in the preceding 32
grant year. 33
(4) A written finding by the Department that Program participation by the unit 34
remains consistent with the purposes of this act. The Department may waive 35
the requirement of this subdivision if an eligible unit experiences a 36
documented extraordinary circumstance, including natural disaster, sudden 37
enrollment decline, or a financial emergency declared by the Local 38
Government Commission. Any such waiver shall be granted in writing an d 39
supported by written findings. 40
SECTION 1.(h) Audits. – The Department or the North Carolina Office of the State 41
Auditor may audit any participating unit to verify the accuracy of expenditure reports and 42
compliance with Program requirements. Participatin g units shall maintain all financial records 43
related to the Program for a minimum of five years following the close of the final grant year. At 44
the discretion of the Department, any unit that receives an award and fails to comply with the 45
requirements of this act or applicable rules may be required to repay all or a portion of the grant 46
funds to the Department, with interest as established by State Board of Education rule. 47
SECTION 1.(i) Annual Unit Performance Report. – Each participating unit shall 48
submit an annual performance report to the Department no later than 90 days following the close 49
of each grant year. The annual performance report shall include all of the following: 50
(1) Fiscal summary. – A complete accounting of: 51
General Assembly Of North Carolina Session 2025
Page 4 Senate Bill 822-First Edition
a. Total position cost for the grant year, itemized. 1
b. Amount of Program grant funds received. 2
c. Total matching funds contributed, listed by source. 3
(2) External funds raised. – A complete accounting of all external funds raised 4
during the grant year, including: 5
a. The name and type of each funding source. 6
b. The amount awarded or pledged. 7
c. The date of award or pledge. 8
d. The project or purpose funded. 9
(3) Return on investment statement. – A calculation of the ratio of external funds 10
raised to total position cost for the grant year, expressed as a dollar return per 11
dollar of total position cost. 12
(4) Pipeline report. – A description of pending applications, active cultivation 13
relationships, and anticipated external funding opportunities in the subsequent 14
year. 15
(5) Narrative summary. – A written narrative describing the Development 16
Director's activities, measurable outcomes, challenges encountered, and 17
recommendations for Program improvement. 18
SECTION 1.(j) Reporting. – No later than October 1 of each year of the Program, 19
the Department shall report to the Joint Legislative Education Oversight Committee and make 20
publicly available on its website the following information: 21
(1) The number of units that applied for and received awards. 22
(2) The total amount of Program funds disbursed. 23
(3) The total external funds raised across all participating units. 24
(4) The aggregate return on investment for the Program statewide. 25
(5) The geographic, demographic, and wealth characteristics of participating 26
units. 27
(6) A comparison of external funds raised by grant year to assess whether 28
development capacity grows over the Program cycle. 29
(7) A recommendation from the Superintendent of Public Instruction as to 30
whether the Program should be continued, expanded, modified, or allowed to 31
expire, with supporting rationale and data. 32
(8) Any other information the Department deems relevant to evaluating 33
effectiveness of the Program. 34
SECTION 2. There is appropriated from the General Fund to the Department of 35
Public Instruction the sum of one million dollars ($1,000,000) in nonrecurring funds for the 36
2026-2027 fiscal year to establish and administer the Every District Has Resources Grant 37
Program, as authorized by this act. At the end of each fiscal year during the Program, 38
unencumbered Program funds shall not revert to the General Fund but shall be transferred to the 39
Needs-Based Public School Capital Fund. 40
SECTION 3. This act becomes effective July 1, 2026, and applies beginning with 41
the 2026-2027 school year. 42