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DURHAM, N.C. -- Durham public schools could be getting more money to save teachers' jobs under the proposed budget from the state House of Representatives. But even with that extra money, the school system may still have to make some cuts.

Education and the money to pay for it was the topic of the town hall meeting Friday in Durham. Durham public schools are facing a $20 million budget shortfall this year.

To soften the blow, the Durham County manager is proposing a four cent tax increase to generate an extra $6 million for schools, saving 111 teachers' jobs.

If county commissioners passed the current budget proposal, Durham County schools still need nearly $7 million more to save about 130 teachers.

House leaders said their proposed state budget gives counties an extra $120 million in lottery funds to use for education.

“It gives the county the authority to put the money in the classrooms or in buildings,” said Rep. Mickey Michaux, the budget writer.

But that $120 million has to be split across the whole state, which means Durham still won't have the money it needs to keep all of its teachers and the ones who are left could end up with bigger class sizes.

“Do you know what 45 kids looks like?,” said Love Anderson, a teacher at Hillside High School. “It's 18 calculators and 45 students. It's 25 desks and 45 students.”

County commissioners said they're reluctant to raise taxes any higher because people with low or fixed incomes can't afford to pay more.

The proposed House budget provides the extra $120 million in funds for school systems. However, the proposed Senate budget does not. The two groups hope to come to a compromise by the end of June.

Michaux also received word during the town hall meeting that a bill that would send nearly $500 million to North Carolina was voted down in the U.S. House on Friday. He broke into his comments on local issues to talk about what this would mean for the state. "It's built into our budget to square one," Michaux said.

He said the money was part of the Family Medical Assistance Program, which falls under Medicaid. The lawmaker said the bill could go back to the Senate where they could put the money back in and then send it back to the House for a re-vote.