Alabama Senate advances RAISE Act and a multi‑year education funding package

The Alabama Senate passed the RAISE Act and a group of linked education appropriations on the special order calendar, advancing a multi‑year plan to shift more state K‑12 funding to a student‑based formula. The package includes Senate Bill 305 (the RAISE Act) and supplemental appropriations to seed the new fund.

Senator Chris Orr, sponsor of SB 305, told colleagues the plan “will now put over $375,000,000 into the RAISE fund,” with those dollars intended to flow to districts over three years: about $100 million in year one, $120.5 million in year two and $150 million in year three. Orr said the money will be distributed under the student‑based formula the RAISE Act creates and that the funding is intended to avoid “yo‑yo” budgeting for school systems that hire staff or make other investments assuming sustained support.

The bill’s substitute and related appropriations both passed the Senate. On final passage for SB 305 the clerk recorded 27 ayes and 0 nays. Other education measures tied to the package — including SB 111, SB 112, SB 113 and SB 114 (supplemental appropriations and Education Trust Fund items) — also cleared the Senate during the same floor period with recorded votes ranging from the high 20s to low 30s on later motions and committee substitutes.

Nut graf: Supporters said the change directs money toward students identified in the formula (poverty, English learners, special education, gifted) and gives local districts flexibility to allocate the combined dollars among those student groups. Opponents and some senators sought assurances the state will not underfund the program later and asked how the new approach will interact with existing local and federal funding streams.

Key details and discussion

- Funding design: Orr said the RAISE fund will be seeded from the Education Opportunity Fund and structured to push money out by the formula rather than by application. "The state department will have your numbers for your school system," Orr said, describing an automated distribution based on counts of poverty, EL and special education students.

- Flexibility for local districts: The committee substitute added language allowing local school boards and superintendents to move funds among the student categories that generated the dollars. Orr described the change as flexibility to address local priorities: "You don't have to spend in the EL pot... you have the flexibility to spend that hundred thousand dollars among all those student groups." He and other sponsors said the flexibility still requires the spending be used for the student groups that drew down the dollars, not for unrelated projects.

- Maintenance of effort and federal requirements: The Senate added language preserving required maintenance‑of‑effort for federal programs and clarified how state and federal rules will intersect. Senators pressed staff and the sponsor on whether district counts and Choice Act dynamics could produce double counting or unintended cuts; Orr and staff said the department and revenue process will track enrollment and spending to avoid double draws.

- Implementation timing and support: Sponsors described the three‑year seeding as an effort to provide a predictable funding glide path while the formula is phased in. Committee sponsors said technical amendments requested by the K‑12 community were incorporated in the committee substitute before floor adoption.

Votes and next steps

- SB 305 (RAISE Act): Motion for final passage made by Senator Orr; recorded vote on final passage: 27 ayes, 0 nays; outcome: passed. - SB 111 (supplemental appropriations, education): committee substitute adopted; recorded votes during final actions show 28 ayes on third reading; outcome: passed. - SB 114 (supplemental appropriations): committee substitute and floor amendments adopted; final passage recorded at 30 ayes, 0 nays; outcome: passed. - SB 113 (supplemental appropriations): committee substitute adopted and amendments adopted; final passage recorded at 31 ayes, 0 nays; outcome: passed. - SB 112 (Education Trust Fund appropriations): committee substitute adopted; final passage recorded at 32 ayes, 0 nays; outcome: passed.

Senators who spoke most prominently on the floor included Senator Orr (sponsor), who led the presentation and substitute motions, and Senator Jabo Smitherman, who pressed for clarity on application timelines, flexibility, and how the Choice Act and student migration might affect district counts and revenue. Smitherman said she supported the effort overall and emphasized the importance of insulating districts from sudden funding cuts.

Why it matters

Lawmakers described the package as a structural shift in how Alabama directs state K‑12 dollars, tying more funding to student need rather than flat per‑pupil allotments. The changes are intended to concentrate resources for poverty‑affected students, English learners and special education while giving local districts some discretion to direct funds where they see the greatest need.

Implementation questions remain about enrollment tracking under the Choice Act, the department's operational readiness to distribute formula dollars, and how the state will ensure sustainable funding in future budgets. Sponsors said they will continue discussions with the State Department of Education and local superintendents as rules are written and funds are allocated.

Ending

Senator Orr concluded floor remarks by urging continued collaboration: "We don't want to pull the rug from beneath our school systems," he said, describing the three‑year funding plan as a way to build confidence for local investment. The bills now move to the process steps required for enrollment and, where applicable, reconciliation with the House.