Jordan district staff warns funding shifts in Utah Legislature could offset proposed WPU increase

District officials updated the Jordan Board of Education on Feb. 11 about bills in the Utah Legislature that could change how education funds are collected and distributed, and warned that headline increases in the Weighted Pupil Unit (WPU) may be offset by other shifts in line items.

Associate Superintendent Mike Anderson told the board that the Public Education Appropriations Committee recommended a 1% WPU increase (the district’s summary cited a recommended 5% total WPU increase in committee discussion; Anderson clarified later that committee text indicated the final recommended increase under negotiation settled at 1% above the standard allocation) and that there is little new ongoing money available. He said the district is actively tracking 87 education-related bills this session and highlighted a subset with direct financial or operational implications.

Key bills discussed - HB 344 (school fees): Passed the House and was fast-tracked; includes a new definition for extracurricular activities, and requires high schools to provide a fee-free pathway for graduation beginning fall 2026. Anderson said the change clarifies which fees may be charged (AP/IB/concurrent enrollment, driver education, specific course/program expenses) while prohibiting charges for textbooks and certain common education expenses. He warned the district still faces a significant shortfall for covering common education expenses, estimating a $2–3 million gap for the district.

- HB 455 (Utah Fits All cleanup): Anderson said the appropriation request was trimmed to $40 million from an initial $80 million ask; a 1% WPU increase is roughly equivalent to $43.5 million statewide, he noted, so the two funding streams are comparable in scale.

- HB 267 (collective bargaining): The bill, in its final form as of the meeting, had passed both chambers and was on the governor’s desk. Anderson said it forbids collective bargaining in the form originally proposed in earlier drafts and contains provisions about employee participation in the Utah Retirement System for certain non-public-employee organizations.

- SB 37: Anderson and Business Administrator John Larson flagged Senate Bill 37 as a major concern. The bill would redirect revenue from the minimum basic property tax (the “basic levy” that the state currently requires districts to levy) from school district receipts into a state general fund bucket and then remit education money to districts in the state funding formula rather than letting the local district receive the levy proceeds directly. Larson explained that under current practice the state reduces its WPU payment by the amount of the local basic levy; SB 37 would “gross up” that stream, sending the levy to the state first and then remitting WPU monies without subtracting the levy — a structural change that reduces local transparency and raises questions about accountability. Anderson said the district has raised concerns about the property tax notice continuing to show the district as the levying entity while the revenues could be routed elsewhere. SB 37 had passed the Senate and been assigned to the House Revenue and Taxation Committee.

- SB 102: Anderson called this bill “likewise concerning.” The bill would roll certain designated programs into the state’s flexible allocation; in past years, he noted, items moved into the flexible allocation have later been reduced or removed. The bill’s repealer language also targets the professional staff weighted pupil unit (a funding mechanism the district associates with about $20,500,000), which would no longer be tied to growth — Anderson and Larson estimated the district could lose the growth-linked portion (Larson estimated a loss of approximately $820,000 in growth this year and an additional $5.8 million in board-guaranteed funding linked to WPUs). Anderson told the board the net effect could substantially reduce the practical increase from any WPU percentage rise.

- SB 237 (greenbelt taxes): The bill would change how greenbelt property taxes are handled; Jordan District currently receives about $1.2 million annually from greenbelt taxes, and the statewide fiscal note cited about a $13 million decrease across jurisdictions if the proposal passes. Anderson described the bill as likely well-intentioned but with material effects on the district’s revenues.

Board members asked for clarifications throughout the briefing. Larson walked the board through the mechanics of how the basic levy currently offsets state WPU payments and how SB 37 changes remittance flows; Anderson pointed the board to the Joint Legislative Committee (JLC) tracking sheet in Board Docs for details on the 87 bills the district is watching.

What the board will do: Staff and the board’s government relations committee will continue monitoring these measures. The board discussed the USBA (Utah School Boards Association) alerts and a JLC “call to action” on particular bills; members indicated they may contact legislators or attend committee hearings as the bills move through Revenue and Taxation and other committees.