Hearing on House Bill 13-81 highlights equity questions over changing local-revenue deduction from 75% to 50%

BISMARCK, N.D. — Lawmakers heard opposing views Tuesday on House Bill 13-81, which would reduce the percentage of “contribution from other local revenue” deducted from state aid worksheets from 75 percent to 50 percent, a change sponsors said would let some districts retain more local funds.

Representative Pat Heiner, who introduced the measure to the Appropriations - Education and Environment Division, told committee members the bill would move the line on the student-aid form (lines 35–43) from a 75 percent deduction to 50 percent and estimated a statewide appropriation impact of about $34.4 million if fully funded. He described the change as targeted: only districts that report significant in-lieu or other local revenue — for example certain energy or utility-related receipts — would see substantial increases in local retained funds.

Why it matters: Witnesses said the change could prevent small, declining districts…