You're in North Carolina, which means you're in one of the states with a legislative mandate for gifted services. I recommend you use this as your primary weapon: http://ftp.legislature.state.nc.us/...DF/ByArticle/Chapter_115C/Article_9B.pdf

In particular:
Quote
(b) Each plan shall include the following components:
(1) Screening, identification, and placement procedures that allow for the identification of specific educational needs and for the assignment of academically or intellectually gifted students to appropriate services.

And the key phrase there is "appropriate services," because obviously if you can show that your child is doing the exact same work this year as he was last year, they have failed to provide him with appropriate services. That becomes a phrase you use frequently in dealing with the school, because it lets them know that they have a legal obligation, and you know it, so they'd better fulfill it.

Also, I'd drop all that language about "I know you have a lot of students in your class, and can not possibly cater to all of them," because according to that law, in the case of any academically or intellectually gifted child, the school is very much required to do just that.

Pull up the local school board's policies for gifted services to see what the specific plan is.