North Carolina ranks last in the nation for its efforts to fund public schools, according to a new report, and is second-to-last in overall funding levels. The findings highlight ongoing challenges in ensuring access to adequate educational resources across the state.
The Education Law Center released its “Making the Grade 2025” report, evaluating school funding across the United States. The report examines per-pupil spending, funding fairness, and the effort states put into financing public education from PreK through 12th grade.
In the report, North Carolina received an “F” for funding effort, which measures investment in public education as a share of the state’s GDP. Officials stated that the state’s investment is significantly below the national average, ranking it at the bottom among all 50 states in this category.
The state also earned an “F” in funding level, a measure of cost-adjusted per-pupil revenue from state and local sources. North Carolina spends roughly $12,193 per student, which is about $5,660 below the national average. This low funding level ranks the state second-to-last nationally.
Despite low overall funding, North Carolina received a “C” for funding distribution. The state ranks 17th out of 48 in this category. The report notes that the funding system is somewhat progressive, with higher-poverty districts receiving around 5% more per student than lower-poverty districts.
Education advocates say the report underscores long-standing concerns about the state’s commitment to adequately financing public education. Many argue that low funding levels can affect teacher retention, classroom resources, and student outcomes.
In recent years, North Carolina has tried to supplement funding with lottery-funded grants. For example, two school systems in Western North Carolina recently received over $100 million in additional support. However, experts say these grants alone cannot close the gap with national per-student spending averages.
The report highlights a broader trend of funding challenges in several states, but emphasizes that North Carolina remains at the bottom in both effort and spending. The findings may prompt renewed discussions about increasing state investments in schools and revisiting funding formulas to ensure fairer distribution.
State officials have yet to respond publicly to the report, but education advocates hope it will encourage lawmakers to prioritize public school funding and address the disparities highlighted.
As public schools in North Carolina face increasing demands—from classroom sizes to technology needs—the report calls attention to the urgent need for investment to ensure that all students have access to quality education.
North Carolina’s ranking in the “Making the Grade 2025” report may serve as a warning that, without increased effort and higher spending, the state risks falling further behind other states in educational outcomes and student success.
