North Carolina Supreme Court Overturns Leandro Education Funding Plan

Ruling raises questions about the future of public school financing in the state

Apr. 5, 2026 at 2:04pm

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The North Carolina Supreme Court has struck down a 2021 agreement that could have pumped over $5 billion into the state's public schools, including more than $50 million for New Hanover County Schools. The decision nullifies the Leandro case, a 1994 lawsuit that accused the state of not providing an adequate education to every student.

Why it matters

The Leandro ruling has been a long-running legal battle over education funding in North Carolina. The court's decision to overturn the 2021 agreement means the state legislature will now have sole authority over public education spending, raising concerns about the future of school funding, especially for the state's most vulnerable students.

The details

The Supreme Court's ruling on the Leandro case throws out a 2021 agreement that would have provided significant new funding for North Carolina's public schools. The agreement, reached after years of litigation, could have pumped over $5 billion into schools statewide and more than $50 million to New Hanover County Schools specifically.

  • The Leandro case was first filed in 1994.
  • A 2021 agreement was reached to increase education funding, but was never implemented.
  • On April 5, 2026, the North Carolina Supreme Court overturned the 2021 Leandro agreement.

The players

North Carolina Supreme Court

The state's highest court that issued the ruling overturning the Leandro education funding agreement.

Gov. Josh Stein

The Democratic governor of North Carolina who criticized the court's decision, saying it would close the doors of opportunity for children across the state.

Josie Barnhart and Pat Bradford

Republican members of the New Hanover County School Board who said the court's decision reinforces that the state legislature should have sole authority over public education spending.

Judy Justice and Tim Merrick

Democratic members of the New Hanover County School Board who said the court chose politics over children in its decision.

Christopher Barnes

The superintendent of New Hanover County Schools who said the decision brings more awareness to the crisis in education funding in North Carolina.

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What they’re saying

“This Supreme Court, by rendering this decision and throwing out its past precedent, is essentially slamming the doors of opportunity closed on our children across the state.”

— Gov. Josh Stein

“This is why it is so important to communicate the needs of (New Hanover County Schools) to our local and state leaders so we can provide excellent education for all students.”

— Josie Barnhart, New Hanover County School Board member

“With this ruling no longer pending in the courts as it has for three decades, I'm believing the NC General Assembly will come back in session mid-April to pass a state budget funding a quality education for all students.”

— Pat Bradford, New Hanover County School Board member

“They have ignored all previous rulings, the last one which took place in 2022, which clearly stated that the state legislature needed to release those funds to the schools of NC so that all children have an equal opportunity to receive a sound and basic education as stated in our state constitution.”

— Judy Justice, New Hanover County School Board member

“As a school board member, I am deeply concerned by the Court's decision to ignore precedence, and overturn Leandro. It weakens our state's constitutional commitment to provide every child with a sound, basic education. We must continue to advocate for our students and hold state leaders accountable to that promise.”

— Tim Merrick, New Hanover County School Board member

What’s next

The North Carolina General Assembly will now have the sole authority to determine education funding levels in the state, rather than the courts. Advocates for the Leandro case say they will continue to push for increased school funding through meetings and conversations with state lawmakers.

The takeaway

The North Carolina Supreme Court's decision to overturn the Leandro education funding agreement raises significant concerns about the future of public school financing in the state. With the legislature now in full control, there are fears that funding disparities and inadequate resources for the state's most vulnerable students could persist or worsen without court oversight.