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State budget overview: representative says ‘no school … is gonna take a cut’ as lawmakers consider property-tax changes
Summary
A visiting state representative briefed Morrow County commissioners on the state budget, saying the legislature updated school funding so districts will not see cuts in fiscal years 2026–27 and advancing a proposal to cap unencumbered school carryovers at 30% to provide property-tax relief.
A state representative addressed the Morrow County Commissioners on April 23 to outline the two-year state budget, school-funding changes and several property-tax proposals now before the legislature. He told the board the budget was sent to the Senate and that negotiations will continue through June, with the fiscal year beginning July 1.
Why it matters: The representative said the House updated the fair-school-funding formula to fiscal year 2025 levels so that school districts would not experience cuts during fiscal years 2026–27. He framed that as a short-term stabilization while longer-term formula changes are developed.
Key points: The representative described the change this way: "we said no school, in essence, is gonna take a cut" for the next two years. He also said the legislature is examining large unencumbered cash balances in school districts and other local government entities; he cited a figure of about $10,500,000,000 in carryover balances statewide and said a 30% cap on carryovers could free roughly $4,200,000,000 that would deliver property-tax relief in 2026 if implemented as proposed.
Discussion and local context: Commissioners and staff clarified that districts vary widely in why they maintain fund balances — some because of debt schedules, planned capital projects, or investment returns. The representative and board members agreed county budget commissions already have review authority in some circumstances but said the proposed cap aims to standardize a threshold at the state level. He and other speakers repeatedly cautioned that a single statewide rule may not fit every district and that the policy would continue to be refined in the Senate.
Other budget items: The representative said libraries were moved off a percentage-of-GRF formula to fixed dollar amounts (about $490,000,000 in year one and $500,000,000 in year two, a $10,000,000 increase in year two) to provide funding stability. He also mentioned a bundle of property-tax bills under consideration and House Bill 28 regarding replacement levies, framed principally as a transparency matter for voters.
What’s next: The representative said final decisions are expected during the Senate’s work through June; the county will monitor how statewide changes affect local levies, school budgets and county budget-commission procedures.
Attributions: Statements and figures above are taken from the representative’s remarks to the board (Speaker 4 in the transcript). The transcript does not provide the representative’s full name.
