NC H853

Modifies small school system supplemental funding allocation formula for county school administrative units with average daily membership fewer than 4,080 students, effective July 1, 2013.

Establishes specific staffing allocations including 5.5 additional regular classroom teachers for counties with higher population density and 7 teachers for less dense counties, plus program enhancement teachers and one teacher assistant per 400 students.

Sets consolidated funds allotment base at $717,360 for fiscal years 2013-2014 and 2014-2015, with pro rata reductions if appropriated funds are insufficient.

Requires counties receiving supplemental funds to use them to supplement, not replace, local current expense funds, with consequences including funding denial if counties fail to maintain 95% of prior three-year average local per-student spending.

Directs Joint Legislative Education Oversight Committee to study current school funding formulas and recommend modifications addressing high-performance incentives, reweighting low-wealth county formulas, and adjusting average daily membership calculations more frequently.