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Committee approves substitute to let charters bid alongside cities for surplus school buildings, adds revolving loan fund changes
Summary
The House Education Committee adopted a second substitute to HB 241 to let charter schools and eligible municipalities have equal footing when bidding for surplus school buildings, require charters to split future sale profits with the district, add an oath for charter board members, and repurpose a revolving loan fund for small capital projects. The committee recommended the bill favorably, 8–4.
Representative Perucci introduced HB 241 (second substitute), which would allow charter schools to join municipalities as eligible entities with first‑right‑of‑refusal bids when a district surpluses a school building. The substitute clarified that municipalities and charters would be on equal footing; if a charter purchases a district building at fair market value and later sells it, the substitute requires profit‑sharing with the district. The substitute also requires charter board members to take an oath of office and repurposes the charter revolving loan fund for small capital projects.
Representative Perucci said the changes were negotiated with stakeholders. Charter representatives (Wallace Stegner Academy, Utah Charter Network, Utah Association of Public Charter Schools) urged support, noting unused surplus buildings and limited capital for charters. District and municipal representatives raised concerns about local fiscal responsibility, declining enrollment pressures on district facilities, and protecting community assets in rural areas.
After debate and public testimony the committee adopted the second substitute and then voted (roll call) to recommend HB 241 favorably as substituted; the transcript records an 8–4 vote with Representatives Moss, Auxier, Miller and Hayes voting no.
What happens next: HB 241, as adopted in second substitute form, was recommended favorably by the House Education Committee and proceeds to the next stage.
