• North Carolina K-12 public schools have received close to $6 billion in Covid-19 relief funds
  • A new analysis finds school districts have about 75% of Covid funds unspent, and although poor districts receive significantly more per-student funding, they have more trouble getting dollars out the door
  • School district troubles derive from changes in how the pandemic has been received and the reality that Covid politics is big influence on Covid policy

Since March 2020, the federal government has appropriated $200 billion to help schools nationwide deal with the impacts of the coronavirus pandemic. Of that amount, North Carolina has received between $5.6 billion and $6 billion in Covid-19 relief funds, the difference depending on how and when the funds are counted.

That’s a lot of money. Two questions we need to answer: How is the money distributed? How is the money being spent? While too early to tell what impact Covid funds have had on helping to remediate the effects of the pandemic, we do have good general data about how Covid funds are being spent.

Earlier this year I wrote about how the distribution of Covid relief funds wasn’t going well. At that time nearly 90% of Covid relief funds allotted to school districts was still unspent.

Those data were from the N.C. Department of Public Instruction, which tracks Covid expenditures. Understandably, the high percentage of unspent Covid relief funds turned a few heads. Officials at DPI and school administrators responded to the criticism by saying the distribution of funds takes time. The federal Covid legislation allows states to spend money over several years. Moreover, districts are only reimbursed by the state for qualified expenses after funds are expended.

That sounded plausible. There was, however, reason to believe the pace of Covid spending by schools would soon quicken. Schools had summer school programs to help address learning loss, and funding for other Covid-related aid programs was also being distributed.

Has the pace of Covid relief spending by local education agencies (LEAs) increased? To help answer that question, Table 1 uses DPI data tracking Covid-related expenditures. The other information mentioned is from calculations by the author.

Table 1. Federal Covid-19 Relief Funding and Expenditures by N.C. School District

LEATotal ExpendituresTotal AllotmentBalancePercent RemainingADMTotal Covid Aid Per StudentTotal Covid Spending Per Student
Alamance-Burlington Schools$22,118,552 $88,210,691 $66,092,139 74.93%23,046$3,828 $960
Alexander County Schools$3,148,932 $14,945,987 $11,797,055 78.93%4,757$3,142 $662
Alleghany County Schools$708,262 $6,412,198 $5,703,936 88.95%1,410$4,548 $502
Anson County Schools$3,323,813 $16,379,469 $13,055,656 79.71%3,147$5,205 $1,056
Ashe County Schools$2,047,905 $12,136,505 $10,088,600 83.13%2,936$4,134 $698
Avery County Schools$2,666,318 $9,827,557 $7,161,239 72.87%1,898$5,178 $1,405
Beaufort County Schools$6,419,988 $29,668,914 $23,248,926 78.36%6,351$4,672 $1,011
Bertie County Schools$2,392,067 $14,030,051 $11,637,984 82.95%1,987$7,061 $1,204
Bladen County Schools$5,512,377 $33,745,832 $28,233,455 83.67%4,094$8,243 $1,346
Brunswick County Schools$11,072,427 $45,970,459 $34,898,032 75.91%12,851$3,577 $862
Buncombe County Schools$15,218,495 $86,577,545 $71,359,050 82.42%23,718$3,650 $642
Asheville City Schools$2,942,473 $12,572,256 $9,629,783 76.60%4,331$2,903 $679
Burke County Schools$13,075,936 $41,384,489 $28,308,553 68.40%11,908$3,475 $1,098
Cabarrus County Schools$21,814,236 $59,170,393 $37,356,157 63.13%34,458$1,717 $633
Kannapolis City Schools$7,069,195 $21,110,235 $14,041,040 66.51%5,418$3,896 $1,305
Caldwell County Schools$6,629,045 $36,639,941 $30,010,896 81.91%11,231$3,262 $590
Camden County Schools$751,956 $2,524,152 $1,772,196 70.21%1,888$1,337 $398
Carteret County Schools$5,532,853 $24,765,709 $19,232,856 77.66%8,091$3,061 $684
Caswell County Schools$2,282,575 $11,742,118 $9,459,543 80.56%2,356$4,984 $969
Catawba County Schools$10,287,338 $48,025,011 $37,737,673 78.58%15,747$3,050 $653
Hickory City Schools$1,908,148 $14,922,459 $13,014,311 87.21%4,120$3,622 $463
Newton-Conover City Schools$2,454,808 $9,852,507 $7,397,699 75.08%2,929$3,364 $838
Chatham County Schools$5,275,441 $22,111,830 $16,836,389 76.14%9,071$2,438 $582
Cherokee County Schools$3,619,719 $13,900,110 $10,280,391 73.96%3,102$4,481 $1,167
Edenton-Chowan County Schools$2,134,559 $8,861,793 $6,727,234 75.91%1,880$4,714 $1,135
Clay County Schools$1,589,949 $5,120,537 $3,530,588 68.95%1,287$3,979 $1,235
Cleveland County Schools$10,903,432 $65,638,109 $54,734,677 83.39%14,134$4,644 $771
Columbus County Schools$5,527,455 $30,999,409 $25,471,954 82.17%5,395$5,746 $1,025
Whiteville City Schools$2,826,808 $14,363,310 $11,536,502 80.32%2,192$6,553 $1,290
Craven County Schools$12,713,768 $59,659,412 $46,945,644 78.69%13,295$4,487 $956
Cumberland County Schools$36,962,818 $219,978,352 $183,015,534 83.20%50,341$4,370 $734
Currituck County Schools$2,831,706 $7,726,792 $4,895,086 63.35%4,332$1,784 $654
Dare County Schools$2,155,447 $9,865,713 $7,710,266 78.15%5,296$1,863 $407
Davidson County Schools$10,383,586 $53,199,094 $42,815,508 80.48%18,603$2,860 $558
Lexington City Schools$3,762,060 $17,805,829 $14,043,769 78.87%3,058$5,823 $1,230
Thomasville City Schools$2,219,122 $16,199,121 $13,979,999 86.30%2,271$7,133 $977
Davie County Schools$3,405,341 $15,108,515 $11,703,174 77.46%6,102$2,476 $558
Duplin County Schools$7,406,857 $45,543,640 $38,136,783 83.74%9,656$4,717 $767
Durham County Schools$26,330,460 $175,914,111 $149,583,651 85.03%33,648$5,228 $783
Edgecombe County Schools$5,022,959 $33,425,494 $28,402,535 84.97%5,621$5,947 $894
Winston-Salem/Forsyth County Schools$42,082,568 $253,593,916 $211,511,348 83.41%53,777$4,716 $783
Franklin County Schools$6,576,087 $34,995,431 $28,419,344 81.21%8,059$4,342 $816
Gaston County Schools$24,334,517 $121,725,944 $97,391,427 80.01%30,975$3,930 $786
Gates County Schools$1,821,817 $4,837,599 $3,015,782 62.34%1,595$3,033 $1,142
Graham County Schools$1,180,966 $4,895,209 $3,714,243 75.88%1,140$4,294 $1,036
Granville County Schools$4,042,908 $24,440,910 $20,398,002 83.46%7,231$3,380 $559
Greene County Schools$5,367,333 $21,428,049 $16,060,716 74.95%2,881$7,438 $1,863
Guilford County Schools$67,599,487 $339,409,708 $271,810,221 80.08%71,331$4,758 $948
Halifax County Schools$2,784,446 $25,457,014 $22,672,568 89.06%2,194$11,603 $1,269
Roanoke Rapids City Schools$3,091,890 $12,245,284 $9,153,394 74.75%2,764$4,430 $1,119
Weldon City Schools$1,500,767 $9,275,277 $7,774,510 83.82%755$12,285 $1,988
Harnett County Schools$12,523,577 $84,543,754 $72,020,177 85.19%20,688$4,087 $605
Haywood County Schools$3,330,284 $24,739,416 $21,409,132 86.54%7,143$3,463 $466
Henderson County Schools$8,166,663 $40,295,582 $32,128,919 79.73%13,463$2,993 $607
Hertford County Schools$3,180,267 $15,925,330 $12,745,063 80.03%2,646$6,019 $1,202
Hoke County Schools$8,478,820 $36,703,251 $28,224,431 76.90%9,041$4,060 $938
Hyde County Schools$926,739 $3,093,413 $2,166,674 70.04%541$5,718 $1,713
Iredell-Statesville Schools$12,548,508 $57,794,381 $45,245,873 78.29%20,685$2,794 $607
Mooresville City Schools$2,915,957 $10,250,222 $7,334,265 71.55%6,094$1,682 $478
Jackson County Schools$2,733,225 $13,660,863 $10,927,638 79.99%3,613$3,781 $756
Johnston County Schools$28,562,173 $117,761,448 $89,199,275 75.75%37,837$3,112 $755
Jones County Schools$1,577,185 $6,117,121 $4,539,936 74.22%1,031$5,933 $1,530
Lee County Schools$6,948,893 $33,592,461 $26,643,568 79.31%9,899$3,394 $702
Lenoir County Schools$7,268,718 $53,784,609 $46,515,891 86.49%8,486$6,338 $857
Lincoln County Schools$7,393,284 $28,763,785 $21,370,501 74.30%11,406$2,522 $648
Macon County Schools$3,582,175 $18,067,494 $14,485,319 80.17%4,488$4,026 $798
Madison County Schools$2,407,629 $9,661,080 $7,253,451 75.08%2,252$4,290 $1,069
Martin County Schools$3,567,238 $15,761,954 $12,194,716 77.37%2,852$5,527 $1,251
McDowell County Schools$4,563,743 $23,098,840 $18,535,097 80.24%5,936$3,891 $769
Charlotte-Mecklenburg County Schools$108,246,397 $543,168,411 $434,922,014 80.07%148,434$3,659 $729
Mitchell County Schools$1,693,557 $7,023,825 $5,330,268 75.89%1,838$3,821 $921
Montgomery County Schools$3,995,210 $16,439,021 $12,443,811 75.70%3,694$4,450 $1,082
Moore County Schools$8,847,807 $32,376,750 $23,528,943 72.67%13,003$2,490 $680
Nash County Public Schools$13,013,623 $64,777,403 $51,763,780 79.91%15,015$4,314 $867
New Hanover County Schools$13,144,963 $98,383,976 $85,239,013 86.64%26,002$3,784 $506
Northampton County Schools$3,058,796 $15,699,281 $12,640,485 80.52%1,407$11,158 $2,174
Onslow County Schools$19,899,306 $95,338,453 $75,439,147 79.13%27,608$3,453 $721
Orange County Schools$4,074,237 $15,645,759 $11,571,522 73.96%7,381$2,120 $552
Chapel-Hill/Carrboro City Schools$4,218,406 $15,224,078 $11,005,672 72.29%12,312$1,237 $343
Pamlico County Schools$2,196,937 $6,002,137 $3,805,200 63.40%1,247$4,813 $1,762
Elizabeth City/Pasquotank County Schools$3,713,288 $26,068,032 $22,354,744 85.76%5,238$4,977 $709
Pender County Schools$5,185,269 $29,479,790 $24,294,521 82.41%9,973$2,956 $520
Perquimans County Schools$1,861,000 $7,290,401 $5,429,401 74.47%1,634$4,462 $1,139
Person County Schools$4,758,897 $18,469,588 $13,710,691 74.23%4,326$4,269 $1,100
Pitt County Schools$21,796,424 $116,876,547 $95,080,123 81.35%23,826$4,905 $915
Polk County Schools$1,751,033 $7,026,358 $5,275,325 75.08%2,113$3,325 $829
Randolph County Schools$8,383,662 $56,355,189 $47,971,527 85.12%15,817$3,563 $530
Asheboro City Schools$3,328,812 $17,978,764 $14,649,953 81.48%4,594$3,914 $725
Richmond County Schools$8,168,197 $38,143,289 $29,975,092 78.59%7,018$5,435 $1,164
Robeson County Schools$25,231,076 $167,672,753 $142,441,677 84.95%21,307$7,869 $1,184
Rockingham County Schools$6,104,781 $48,883,556 $42,778,775 87.51%11,581$4,221 $527
Rowan-Salisbury County Schools$11,704,603 $79,068,788 $67,364,185 85.20%18,756$4,216 $624
Rutherford County Schools$7,260,071 $37,650,134 $30,390,063 80.72%7,615$4,944 $953
Sampson County Schools$8,891,080 $43,754,186 $34,863,106 79.68%8,002$5,468 $1,111
Clinton City Schools$2,630,117 $12,897,726 $10,267,609 79.61%2,950$4,372 $892
Scotland County Schools$9,108,461 $35,756,834 $26,648,373 74.53%5,597$6,389 $1,627
Stanly County Schools$9,268,675 $28,076,334 $18,807,659 66.99%8,348$3,363 $1,110
Stokes County Schools$4,530,690 $17,425,782 $12,895,092 74.00%5,811$2,999 $780
Surry County Schools$5,000,580 $27,567,180 $22,566,600 81.86%7,433$3,709 $673
Elkin City Schools$838,665 $3,327,100 $2,488,435 74.79%1,204$2,763 $697
Mount Airy City Schools$1,572,786 $7,158,765 $5,585,979 78.03%1,611$4,444 $976
Swain County Schools$1,610,887 $6,156,057 $4,545,170 73.83%1,946$3,163 $828
Transylvania County Schools$2,863,783 $12,789,974 $9,926,191 77.61%3,381$3,783 $847
Tyrrell County Schools$689,205 $3,201,927 $2,512,722 78.48%629$5,091 $1,096
Union County Schools$15,264,602 $75,299,343 $60,034,741 79.73%41,974$1,794 $364
Vance County Schools$5,820,942 $41,182,494 $35,361,552 85.87%5,289$7,786 $1,101
Wake County Schools$67,724,743 $386,656,572 $318,931,829 82.48%163,731$2,362 $414
Warren County Schools$2,583,311 $12,821,105 $10,237,794 79.85%1,785$7,183 $1,447
Washington County Schools$1,767,003 $11,208,454 $9,441,451 84.24%1,216$9,217 $1,453
Watauga County Schools$3,494,458 $10,952,083 $7,457,625 68.09%4,752$2,305 $735
Wayne County Schools$24,274,424 $95,659,303 $71,384,879 74.62%18,032$5,305 $1,346
Wilkes County Schools$5,886,702 $40,685,734 $34,799,032 85.53%9,002$4,520 $654
Wilson County Schools$9,412,394 $63,046,680 $53,634,286 85.07%10,960$5,752 $859
Yadkin County Schools$3,960,886 $16,792,726 $12,831,840 76.41%5,078$3,307 $780
Yancey County Schools$2,360,763 $8,407,077 $6,046,314 71.92%2,091$4,021 $1,129
Sums and Averages$1,056,698,562 $5,423,820,713 $4,367,122,151 80.50%1,431,320$3,789 $738
$46,000

Some patterns emerge from the data. Yes, LEAs continue to carry high balances of unused Covid funds, but the balances on average are lower than we saw in July. In July, about 90% of LEA Covid funds were still in accounts. More recent data, through the end of September, shows about 80% of Covid allotments are still unspent. Currently, about 48 LEAs — or about 41% of all LEAs — had 80% or more of Covid relief funds unspent. That’s an improvement over July, when 114 of 117 LEAs (97%) had still not spent 80% or more of Covid allotments. Despite the explanations, the number still seems high, considering we’re told the Covid aid dollars were to ensure schools would reopen, get kids back in school, and help address the needs of disadvantaged students and districts.

What About Poor Districts?

Covid relief funding was distributed to get schools open and deal with the impacts of the virus on students. Those realities served to highlight funding difference among districts. To help schools address the difficulties of operating and reopening school districts during a pandemic, Congress distributed nearly $200 billion in Elementary and Secondary School Emergency Relief (ESSER) Fund money using Title I formulas, to ensure that districts with high poverty would receive more money.

So, have poor districts been able to access additional funds and put resources to work?

To answer that question, we compared the fund balances of the 15 poorest districts with the 15 wealthiest districts in North Carolina, as measured by median household income by county.

As seen in Tables 2 and 3 (see below), the poorest 15 districts have larger unspent fund balances — 81.5% to 74.2% for wealthy districts. By that standard, wealthier districts are doing a slightly better job of getting resources to where they need to be.

Poor districts are certainly receiving more in Covid aid than wealthy districts. On average the 15 poorest districts received about $1,352 in Covid aid per student, while the wealthiest districts received on average about $595 per student.

As mentioned previously, poor districts have a higher percentage of unspent funds compared to wealthy districts. But are the resources getting out the door? Considering the money specifically targets poor districts, the high percentage of unspent funds seems to indicate poor districts aren’t as efficient in getting Covid funds to where they need to be.

Conclusion

Six billion dollars in federal Covid aid has brought a windfall of cash to many North Carolina school districts. Federal Covid aid was directed at stabilizing and reopening schools and remediating the impacts of Covid on students. Still, having resources is not the same as successfully addressing a problem.

Although LEAs have improved the spending pace relative to earlier this year, the average school district has still used only about 20% of its Covid funds. Unspent Covid funding balances for LEAs still average around 80%. Administrators say the high percentage of unspent funds derives from lags in how spending is tracked in districts and the ability of districts to use funds for multiyear projects.

Yes, overall spending numbers improved over several months ago. However, the high numbers obscure that the fundamental nature of Covid spending plans has changed. Federal money was distributed to get kids back to school, deal with the impacts of Covid, and provide resources to help disadvantaged students and districts. By the middle of last summer, however, it was clear that the economic fallout would not be as bad as predicted and that most of the impacts were localized. The money clearly eclipsed the needs of many districts. It needed to be spent wisely, so spending plans were drawn up. Up to 80% of the one-time Covid funds could potentially be spent on hiring, staff salary, and a wide variety of other recurring expenses, a short-sighted move that will strain future budgets. This tells you, to no one’s surprise, that education priorities are frequently less about education policy and more about education politics.

Table 2. 15 Poorest School Districts’ Federal Covid-19 Relief Funding and Expenditures

LEATotal ExpendituresTotal AllotmentBalancePercent RemainingADMTotal Covid Aid Per StudentTotal Covid Spending Per StudentCounty Median Household Income
Bladen County Schools$5,512,377$33,745,832$28,233,45583.67% 4,094 $8,243$1,346$32,378
Bertie County Schools$2,392,067$14,030,051$11,637,98482.95% 1,987 $7,061$1,204$33,143
Robeson County Schools$25,231,076$167,672,753$142,441,67784.95% 21,307 $7,869$1,184$33,679
Halifax County Schools$2,784,446$25,457,014$22,672,56889.06% 2,194 $11,603$1,269$34,251
Weldon City Schools$1,500,767$9,275,277$7,774,51083.82%755$12,285$1,988$34,251
Roanoke Rapids City Schools$3,091,890$12,245,284$9,153,39474.75% 2,764 $4,430$1,119$34,251
Tyrrell County Schools$689,205$3,201,927$2,512,72278.48%629$5,091$1,096$35,472
Northampton County Schools$3,058,796$15,699,281$12,640,48580.52% 1,407 $11,158$2,174$35,499
Washington County Schools$1,767,003$11,208,454$9,441,45184.24% 1,216 $9,217$1,453$35,512
Edgecombe County Schools$5,022,959$33,425,494$28,402,53584.97% 5,621 $5,947$894$35,516
Scotland County Schools$9,108,461$35,756,834$26,648,37374.53% 5,597 $6,389$1,627$35,617
Warren County Schools$2,583,311$12,821,105$10,237,79479.85% 1,785 $7,183$1,447$35,962
Richmond County Schools$8,168,197$38,143,289$29,975,09278.59% 7,018 $5,435$1,164$36,091
Columbus County Schools$5,527,455$30,999,409$25,471,95482.17% 5,395 $5,746$1,025$36,398
Whiteville City Schools$2,826,808$14,363,310$11,536,50280.32% 2,192 $6,553$1,290$36,398
Average81.52%$1,352

Table 3. 15 Wealthiest School Districts’ Federal Covid-19 Relief Funding and Expenditures

LEATotal ExpendituresTotal AllotmentBalancePercent RemainingADMTotal Covid Aid Per StudentTotal Covid Spending Per StudentCounty Median Household Income
Moore County Schools$8,847,807$32,376,750$23,528,94372.67% 13,003 $2,490$680$57,899
Dare County Schools$2,155,447$9,865,713$7,710,26678.15% 5,296 $1,863$407$58,012
Durham County Schools$26,330,460$175,914,111$149,583,65185.03% 33,648 $5,228$783$58,190
Iredell-Statesville Schools$12,548,508$57,794,381$45,245,87378.29% 20,685 $2,794$607$58,198
Mooresville City Schools$2,915,957$10,250,222$7,334,26571.55% 6,094 $1,682$478$58,198
Camden County Schools$751,956$2,524,152$1,772,19670.21% 1,888 $1,337$398$63,349
Chatham County Schools$5,275,441$22,111,830$16,836,38976.14% 9,071 $2,438$582$63,531
Kannapolis City Schools$7,069,195$21,110,235$14,041,04066.51% 5,418 $3,896$1,305$64,174
Cabarrus County Schools$21,814,236$59,170,393$37,356,15763.13% 34,458 $1,717$633$64,174
Charlotte-Mecklenburg County Schools$108,246,397$543,168,411$434,922,01480.07% 148,434 $3,659$729$64,312
Currituck County Schools$2,831,706$7,726,792$4,895,08663.35% 4,332 $1,784$654$66,284
Orange County Schools$4,074,237$15,645,759$11,571,52273.96% 7,381 $2,120$552$68,211
Chapel-Hill/Carrboro City Schools$4,218,406$15,224,078$11,005,67272.29% 12,312 $1,237$343$68,211
Union County Schools$15,264,602$75,299,343$60,034,74179.73% 41,974 $1,794$364$75,397
Wake County Schools$67,724,743$386,656,572$318,931,82982.48% 163,731 $2,362$414$76,956
Averages74.24%$595