The DeKalb County School District received between $10 million and $15 million more than its share of Education Special Purpose Local Option Sales Tax (ESPLOST VI) revenue over nearly four years, according to the district's June 15, 2026, news release. The money must go back to City Schools of Decatur and Atlanta Public Schools.
How the error happened
Three school systems share ESPLOST VI revenue under percentages approved by all three boards in March 2022: DeKalb County School District receives 90.44%, City Schools of Decatur 5.45%, and Atlanta Public Schools 4.11%. But from July 1, 2022, through May 31, 2026, the Georgia Department of Revenue distributed funds at incorrect rates, sending DeKalb more than its agreed share.
City Schools of Decatur staff discovered the discrepancy and reported it to DeKalb.
In one sample month — October 2024 — DeKalb received $12,622,603, about $225,294 above its allotted amount. Decatur Schools received $169,891 less than expected that month and Atlanta Schools $55,402 less.
Why it matters
The district already faced capital budget shortfalls before the overpayment surfaced. At a November 2024 meeting with Druid Hills High School families, district officials said the school's modernization project would cost at least $80 million but had only $50 million budgeted. Cross Keys High School's project ballooned from an $85 million budget to a $150 million cost estimate, according to Appen Media reporting.
The district has earned $40.95 million in interest from ESPLOST VI funds, according to a June 2026 capital projects update. The board has not said whether that interest cushion will cover the repayment or whether capital project budgets will be reduced.
Interim Superintendent Dr. Norman C. Sauce III said in the June 15 statement that the district contacted the Georgia Department of Revenue to correct the distribution rates and ensure accurate accounting through June 30, 2027.
What's next
ESPLOST VII goes before voters in November 2026. If approved, it would begin generating revenue in July 2027.
