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Conference committee debates how 3% cap would apply to school mill levies; asks Department of Public Instruction for cost scenarios
Summary
Committee members examined options for applying a 3% cap to K‑12 mill levies under House Bill 1176, discussed gap funding, and asked Adam Tesher of the Department of Public Instruction to produce cost estimates and draft language showing two scenarios: separate 3% caps by levy type, and freezing current 60‑mill levels in dollars.
Conference committee members reviewing House Bill 1176 spent substantial time on sections that would cap local property-tax growth at 3% and the effect that cap could have on public-school mill levies and state school funding.
Adam Tesher, school finance officer with the Department of Public Instruction, told the committee the amendment “makes the funding formula whole” so districts receive their full per-pupil payment, but levying authority outside the funding formula could still cause districts to see a net decrease in available dollars. “If [a school district] exceeds the growth, the 3% cap…we will reduce their state payment dollar for dollar,” Tesher said, describing how levies…
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