South Carolina 2025-2026 Regular Session

South Carolina Senate Bill S0774

Introduced
1/13/26  

Caption

School District Distribution of Local Revenue Per Pupil

Impact

This new legislative framework could lead to significant changes in how school funding is allocated across South Carolina. By reducing state aid based on local revenues for students attending charter schools, the bill encourages a shift in funding from traditional public schools to charter schools. This may result in increased financial strain on districts with a high number of students opting for charter school education, as they will lose state funding proportional to local revenues.

Summary

S0774 amends the South Carolina Code of Laws by introducing Section 59-40-245, which impacts the distribution of state aid to local school districts. Specifically, the bill mandates a reduction in state aid to classrooms equal to the local revenue per pupil for each student attending a charter school authorized by the South Carolina Public Charter School District or higher education institutions. The funding reductions will be made in equal installments, ultimately reallocating these funds to the charter school sector.

Contention

Notably, the bill has sparked debate regarding its potential effects on local public schools versus charter schools. Proponents argue that it promotes equity in funding by ensuring that charter schools receive the same local funding as traditional schools, effectively leveling the playing field. Critics, however, raise concerns that this measure could destabilize funding for local districts, particularly those that already struggle financially. Additionally, there are questions regarding the implications for educational equity and quality as funding shifts away from traditional public schools.

Companion Bills

No companion bills found.

Previously Filed As

SC HB2686

REVENUE-LOCAL DISTRIBUTIONS

SC SB102

Modify the distribution of gaming revenues.

SC HB303

Excludes certain local revenues for the purposes of computing per pupil funding amounts for certain charter schools (OR NO IMPACT See Note)

SC HB1835

Relative to the formula for distribution of aid to school districts.

SC H3873

School distribution of in-home identification kits

SC A1178

Establishes a formula for the distribution of State aid to school districts.

SC HB2754

TPT; state revenues; distribution; HURF

SC SF3713

Increase safe schools revenue to school districts

SC HB1086

School funding; school district general funds; general fund carryover; State Aid; calculation of per pupil revenue; exceptions; effective date; emergency.

SC HB1086

School funding; school district general funds; general fund carryover; State Aid; calculation of per pupil revenue; exceptions; effective date; emergency.

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