CLARKSBURG, Tenn. (February 18) — South Carroll Special School District’s board of education confronted what they called targeted state legislation that could deny the district of hundreds of thousands of dollars in sales tax funding tied to its rapidly growing virtual academy at their meeting on Wednesday, February 18. They also granted tenure to one of their teachers.
Sales Tax Distribution Debate
There is a growing debate within Carroll County that has made its way to the state legislature over how sales tax funding should be allocated for virtual school students enrolled at Clarksburg’s virtual academy from outside Carroll County.
Director of Schools, Dr. Lisa Norris, told the board that a bill introduced by Senator John Stevens would prevent the district from counting out-of-county virtual students in its enrollment calculations, effectively blocking the local sales tax revenue based on those students.
As it stands now, if nothing changes, South Carroll would gain an extra $388,538 in sales tax revenue, while the other school districts would all collectively lose that much. Huntingdon and McKenzie would each lose around $120,000, while West Carroll and Hollow Rock-Bruceton would lose less than $100,000 each.
In Tennessee, local sales tax revenue is divided among school districts based on each district’s share of total student enrollment. As South Carroll’s virtual academy has grown, so has its slice of that pie. Some argue that counting out-of-county virtual students inflates South Carroll’s enrollment figures, giving the district a claim on tax dollars that those students’ families didn’t generate.
Other Directors have expressed concern about Carroll County tax dollars funding the education of students who don’t live in Carroll County. Since changes have to be made at the state level, a bill was drafted.
“The bill is targeted toward us,” Norris said. “It’s written for Carroll County, specifically for one school who has virtual programs, and that’s us.”
She proposed an alternative that strives to compensate South Carroll for its growth without harming the other districts in Carroll County.
“Let the money follow the child,” she said. “I’ve suggested that we invoice the Tennessee Department of Revenue and that they provide payment to us for sales tax for those students from their home counties.”
According to Norris’s proposal, the state would calculate sales tax per student in each county, and then pay South Carroll based on the number of students they have from each particular county. If Clarksburg enrolls five virtual students from Knox County, for instance, the state would take that money from Knox County and write South Carroll a sales tax check.
Board member Tom Miller expressed frustration over the situation.
“We do what the state wants us to do, and then we’re getting penalized for actually making it work,” he said.
The issue is complicated by the State of Tennessee’s funding structure.
Under the state’s TISA formula, the district is required to carry a 31% local match. This is funded primarily through sales tax and property tax.
“We don’t have enough property tax to cover for our growth,” Dr. Norris said.
The district’s virtual programs have expanded far beyond initial projections.
Dr. Norris said Clarksburg Virtual Academy currently enrolls 252 students, while Clarksburg Adult High School has reached 380, totaling 632 virtual students districtwide, alongside 296 students at the brick-and-mortar Clarksburg school.
Board Chair Corey Bartholomew emphasized that the growth was never intended to harm neighboring districts.
“We never intended to harm any other schools in the county,” he said. “It was seeing the need a small school like us had to make some changes to survive.”
Senator Stevens, Norris said, had asked that the matter stay within the county among local directors. But she said the situation stems from a flaw in the original legislation.
“It’s a situation that the legislature didn’t think out,” she said. “It’s a loophole and they’re trying to figure out how to get out of it.”
As of the meeting, Dr. Norris said she had been in contact with Representative Brock Martin.
“He assures me he’ll keep me posted,” she said. “He was going to meet with legal this afternoon and Senator Stevens to see how they could draft the legislation. But they haven’t given us an inkling if they have accepted my proposal or not.”
The board voted to formally support Dr. Norris’s proposal for direct revenue collection through the Tennessee Department of Revenue.
Dewayne Ervin Earns Tenure
During the meeting, the board approved tenure for high school English teacher Dewayne Ervin.
Dr. Norris read a recommendation letter into the record:
“As Director of Schools for South Carroll County Special School District, it is my pleasure to recommend Mr. Dwayne Ervin, high school English teacher, for tenure. Mr. Ervin exemplifies the qualities of an effective and dedicated classroom teacher.”
The letter praised Ervin for more than classroom instruction.
“He serves as a mentor to new teachers, offering guidance, encouragement and practical support,” Norris read. “He models collaboration and leadership among his colleagues and continues positively to the culture of the high school.”
Board members noted the timing of the tenure recommendation was unusual mid-year, but viewed it as a reflection of Ervin’s merit.
“The timing is not usual, but it’s a demonstration of Mr. Ervin,” one board member said.
A number of Ervin’s students attended to support him and celebrate the accomplishment.
Bartholomew offered his support before the vote.
“Dr. Norris is making the recommendation for tenure, and with those present to observe this, I think it’s a testament for him as a teacher,” he said.
The board approved the tenure recommendation unanimously.
Ervin has more than 30 years of experience in education, having taught at Carroll Academy, Hollow Rock-Bruceton Special School District, and elsewhere.
“I am so grateful and so blessed to work with such good people,” Ervin said later. “I’m especially blessed that some of my students showed up to cheer me on!”
He thanked Dr. Norris for her recommendation and each member of the school board for their approval.
Other Business
Additionally, the board approved an overnight FFA trip for 10 students to Gatlinburg from March 22–25.
The board also approved $4,000 from fund balance for a stormwater prevention plan, which is a prerequisite for National Guard assistance with planned site improvements this summer.
They also approved $12,000 to be taken from fund balance for tree removal.
The board also received Director Norris’s evaluation summary, where she scored a combined 4.42 out of 5.0 across qualitative and quantitative categories.
Bartholomew offered a strong endorsement.
“I, as a board member, am very pleased with what Dr. Norris is doing,” he said. “She’s putting a lot of time into the school and things we’ve asked for.”
