Caucus briefed on two resolutions seeking temporary override of Arizona schools' aggregate expenditure limit

Caucus staff explained two resolutions in the negotiated budget package: SCR 1041 and SCR 1042. Both would temporarily override the aggregate expenditure limit (AEL), a voter-approved limit on combined school-district spending passed in 1980.

The presenter described the AEL as a limit on total spending of all Arizona school districts combined and said it applies to all local revenue sources except 12 statutory exemptions such as federal grants, gifted money or property, and debt service for bonds and overrides. "The AEL does not restrict how much money school districts receive, it only limits what the school districts can spend," the presenter said.

SCR 1041 would override the AEL for one year, authorizing school districts to spend local revenues in excess of the limit in FY 2025–26. SCR 1042 would override it for an additional year, FY 2026–27. The presenter said both resolutions require a two-thirds vote of the legislature. "Both of these resolutions require a 2 thirds vote of the legislature, and with that, I'm available to answer any questions," the presenter said.

A caucus participant who identified herself as a public-school teacher commented that lifting the AEL would allow districts to spend money already budgeted and said the uncertainty was creating concern among teachers about pay. "As a public school teacher who has a threat of this not being left lifted and told, we don't know if we're going to have funding to pay you," she said, adding that the resolution was not creating new funds but allowing expenditure of already-budgeted revenue.

No formal vote on the resolutions was recorded during the caucus briefing in the provided transcript.