Ways and Means advances education finance bill after narrow votes on unemployment and amendments

The House Ways and Means Committee recommended House File 2,433, the Education Finance Bill, to the general register following adoption of a DE3 amendment and a tied roll-call defeat of an amendment that would have reversed a scheduled rollback of unemployment insurance coverage for hourly school workers.

The bill implements a $40 million REED Act allocation in the first biennium, keeps the base budget at a zero change from the February forecast and includes multiple policy provisions governing literacy instruction, school grant structures and targeted aids. The committee adopted DE3 by voice vote; Representative Pinto’s A22 amendment to restore unemployment insurance for hourly school workers failed on a roll call that ended 14 ayes and 14 nays.

“While we made great progress in the 2023–24 session in both finance and policy, there was still more to do for the growing needs of our school districts, teachers, and students,” Chair Joaquin said as she described budget and program intent. Christina Perra of House Research summarized the primary policy changes: unemployment insurance modifications affecting noninstructional employees and changes to the REED Act that emphasize science-of-reading definitions and literacy instruction standards.

Key provisions described by sponsors include: a $40 million allocation for the REED Act in the first biennium; a new flexible “basic supplemental aid” per-pupil funding stream created by slowing the growth of student-support aid and reallocating some library-aid funds; temporary funding for task forces and specialty programs; and a change that terminates a partnership between the Department of Education and the Carey (Cary) institute (the transcript refers to an institute at the University of Minnesota) with implementation activities to be completed by the Department of Education.

On unemployment insurance, the bill provides $30 million in the first year to cover the current summer (as described by Chair Kreisha) but includes a provision setting the UI treatment for K‑12 hourly workers to expire in 2028. Representative Pinto offered an amendment (A22) to reverse the rollback and retain UI coverage; Pinto characterized school hourly workers as “disproportionately women and people of color” and argued they face financial hardship in summers without UI. After debate, A22 failed on a 14–14 roll call.

Committee members offered varied perspectives. Representative Kotyza Wooten opposed removing UI, saying hourly school staff are essential and often low-paid and that many districts already struggle with bus-driver and paraprofessional shortages. Representative Novotny recounted his own experience as a bus driver and asked about biennial savings; Chairs and sponsors described the policy trade-offs and earlier funding steps: a 2023 enactment had provided around $135 million in earlier funding, and the current agreement directed $30 million to the coming summer while staging a 2028 sunset.

On policy, House Research’s Christina Perra said the REED Act changes primarily adjust definitions to require literacy instruction grounded in the science of reading, add teacher-candidate demonstration requirements for literacy instruction, and include technical changes for dual-immersion programs and math-core evidence-based instruction.

The committee adopted the DE3 amendment by voice vote and then recommended House File 2,433, as amended, to the general register. The roll-call on Representative Pinto’s A22 amendment is recorded as 14 ayes and 14 nays; the amendment did not pass.

What happens next: House File 2,433 as amended goes to the general register and is positioned for House-floor consideration and any subsequent conference negotiations.