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Senate deadlocks on charter school funding bill after hours of debate

Utah State Senate · March 10, 2014
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Summary

After extended debate over whether to increase the local property-tax share that follows students to charter schools, the Utah Senate failed to advance SB202 on a 14-14 tie with one member absent. Sponsors said the bill would equalize funding; opponents warned it could force local tax increases and weaken local oversight.

Senate Bill 202, a bill to change how local property-tax replacement funds follow students to charter schools, failed in a tied vote on the Utah Senate floor after a lengthy floor debate.

Senator Howard Stevenson, the bill sponsor, said the measure would make replacement funding uniform across the state and gradually increase the local contribution that follows a charter-school student from the current 25% toward 50% in 2 percentage-point steps. "It ensures that the local replacement funding that follows students is uniform across the state, rather than having the richer districts protected," Stevenson said during floor debate.

Opponents — including school board members and senators who reported district-by-district fiscal analyses — said the change could trigger local tax increases for some districts and reduce transparency because charter revenue is not overseen by locally elected boards. "Diverted into charter schools from districts are not overseen by elected officials, and their uses are not transparent or reported to the community," Senator Jones stated, summarizing feedback from multiple school districts that warned of steep local impacts and potential tax hikes.

Senator Henderson and others asked whether the bill would obligate districts to raise property taxes; Stevenson replied that the sponsor’s intent was that districts would reallocate local revenues from students who left to charters and that debt service would remain with districts, not charters. Several senators cited estimates from rural and small districts showing millions in potential revenue loss under the proposed phase-in.

The Senate suspended its three-reading requirement to consider the bill on third reading. After final debate and a call of the roll, the presiding officer announced: "Senate Bill 202 have received 14 yay votes and 14 nay votes with 1 being absent" — the result left the measure failing on the floor.

The failure leaves the status quo in place for the 25% local contribution and ends the floor effort to phase the local share higher this session. Sponsors indicated interest in continuing negotiations off the floor and in preparing alternative language for future consideration.