Dr. Stuart Little, a guest presenter, briefed the Olathe Public Schools Board of Education on July 10 about federal and state developments affecting school funding, including the national budget rescission and a new federal tax-credit scholarship provision that takes effect in January 2027 if states opt in.
Dr. Little said House Resolution 1 contains a nonpublic school scholarship tax-credit provision that would allow a 100% federal tax credit up to about $1,700 for certain contributions, and that participation is optional for states. "It is optional for states to participate," he said, noting the law authorizes states to determine implementation and that the provision could apply in conjunction with existing state scholarship programs.
He described how the rescission at the federal level is reducing certain allocations nationwide and said the district's share of targeted federal reductions is about $1,030,000. "Our our portion of that's about a million 30,000," he said in response to board questions; district staff later explained about $570,000 of that amount is payroll and contracted staff costs already under contract for next year, which creates timing pressure for the district.
On state policy, Dr. Little summarized the Kansas Education Funding Task Force, created by the legislature in 2024 to recommend a new school finance formula before the current formula sunsets in June 2027. He said the task force has prioritized weightings for at-risk students, English-language learners and special education, and is running multiple "runs" (simulations) to test how formula changes would affect all 286 Kansas districts.
"Anything that happens in school finance, the State Department of Education does a run, which is all 286 school districts and how it impacts every single one of them," he said. Dr. Little described the group's work as complex, warned that changes can have large and uneven financial impacts across districts, and said the task force is currently studying options and is unlikely to produce an immediate radical overhaul because of political and technical constraints.
Board members asked technical and timeline questions. Board member Julie Reagan asked who has been attending task force meetings; Dr. Little said legislative staff, associations, superintendents and other stakeholders have monitored meetings and that the task force includes legislators and education officials. Board members and presenters also discussed recent ESSER funding reinstatement and how state revenue fluctuations feed into future budget discussions.
Why it matters: the federal rescission and the optional federal tax-credit scholarship provision could change revenue streams and family choices, while a rewritten state school-finance formula could materially alter district funding distribution. The board received the briefing for information; no formal legislative position or action was taken at the meeting.