Greenville school board pushes back against county funding cut, ‘false narrative’

Greenville County Schools Board of Trustees is pushing back against Greenville County’s proposal to redirect funding away from schools for roadway projects.

Greenville County unveiled a proposal on May 6 to retain nearly double the amount of fee-in-lieu-of-tax (FILOT) income to fund a roughly $43 million line item for road maintenance. This action would reduce the amount of funding received by the local school district.

A FILOT is tax incentive used to attract new businesses. Greenville County shares the fee revenue with other county taxing entities like the school system. The proposed redistribution would increase the FILOT payments the county retains from 39% to about 60%.

Superintendent Burke Royster said the school district was projected to receive $25.8 million in FILOT payments for fiscal year 2026. GCS estimates it will lose approximately $8 million from the county’s proposed distribution change. A estimated dollar amount of the potential revenue loss has not been provided by Greenville County. 

“It’s extremely concerning when repaving roads takes a precedent over educating students,” Royster said. 

Read more about Greenville County’s proposal 

GCS Board of Trustees unanimously approved a resolution urging Greenville County Council to reject the proposed redistribution of FILOT payments during a special called meeting on May 13. County Council is tentatively scheduled to introduce its budget on May 20.

Royster raised concerns about the impact on the district’s FY26 budget, which was presented for first reading on May 5. A millage rate increase is currently not proposed for the next fiscal year. To account for the revenue reductions, the district would look at significantly reducing the planned salary increases for teachers and employees in order to not increase the millage rate.

The district also fears that County Council’s actions could set a precedent for future redistribution of FILOT funding. Royster said a continued reduction in the local revenue would create a significant hole in the district’s budget. 

“Our budget is hugely driven by personnel and predominantly by teachers and individuals delivering instruction directly to students,” Royster said. “We can’t take that kind of hit without a significant impact to that part of our budget.”

Royster said what was more concerning to him were the “flagrantly untrue assertions” made by members of County Council at the May 12 budget work session. 

GCS issued a statement after Monday’s meeting refuting claims about the school district’s budget and performance. According to the statement, GCS ranks in the top eight for academic performance and operates with the eighth lowest per-pupil expenditure in the state, contrary to recent claims. In addition, less than 1% of the district’s total spending is for administrative costs. 

“Inaccurate figures have been cited about the portion of Greenville County residents’ taxes that fund public schools. After accounting for state tax credits, the actual share ranges from 15% to 30% – not the 67% figure falsely claimed. Additionally, the school operations tax does not apply to owner-occupied homes, contrary to what some have suggested,” according to the GCS statement.

Several board members also commented on the claims made by county councilmembers. Board Chair Carolyn Styles said she has never seen a time like now where public education was being devalued in the community. 

“The timing is terrible,” Styles said. “The decision is terrible. On top of that, it’s based on a false narrative.”

Budget updates

During the May 13 meeting, the GCS Board of Trustees also received updates on elements of the General Assembly’s state budget that would impact the district’s FY26 budget. 

Royster said House Bill 3645 has not advanced, which would have required the school district to extend paid parental leave from six weeks to 12 weeks. This unfunded mandate would have cost GCS $1.5 million in the FY26 budget to implement. 

The school district also had concerns about the state funding it would receive from the State Aid to Classroom program. Traditional school districts were proposed to only receive $22 million in new K-12 aid for classroom funding, while charter districts would receive $90 million. GCS was budgeted to receive $3.75 million under the new State Aid to Classroom funding. 

“We’re getting pounded from two different directions at the same time,” Trustee Chuck Saylors said. “(Greenville County) Council is trying to rob us and the legislature is trying to underfund us.”

Royster said a provision presented by Rep. Bruce Bannister to amend the education funding formula was passed in the South Carolina House. This provision will go to the General Assembly’s conference committee for consideration. If passed, GCS could receive approximately $2 million in additional state revenue. 

A second and final reading of the school district’s FY26 budget is scheduled for June 2.

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