
In a recent ruling, a Wake County Superior Court judge decided against North Carolina Attorney General Josh Stein regarding the use of $12 million paid by Smithfield Foods since July 2019. The funds, originally part of a $50 million environmental settlement with Smithfield, must now be allocated to North Carolina’s public schools for environmental enhancements.
The lawsuit, brought by Randolph County pastor Jonathan Burris on behalf of the local school board, argued that the funds should benefit public schools rather than an environmental grant program managed by Stein. Critics had previously labeled the funds as a “slush fund” for financing various environmental grants since 2001.
Judge Graham Shirley’s ruling emphasized the state constitution’s mandate that such funds be used for public school maintenance. He declared that all funds received from Smithfield Foods after July 1, 2019, must support environmental improvements in public schools.
Attorney Paul “Skip” Stam, representing Burris, stressed that the funds should be specifically allocated to environmental projects within schools. Stein contended that the funds did not require General Assembly appropriation, but the court found that Stein’s handling of the funds violated the state constitution, reinforcing the necessity of directing the funds toward public education.
This decision marks a significant shift in the allocation of environmental settlement funds, ensuring they are used to enhance the educational environment in North Carolina’s public schools.