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Committee advances bill lowering education excess‑spending threshold, staff warn of uncertain district impacts
Summary
The Appropriations Committee voted to report S220 favorably after staff explained the bill would lower the excess‑spending threshold from 118% to 112% (FY2025 baseline, inflation‑adjusted), expand a bond debt exclusion and add a secretary‑discretion hold‑harmless; analysts said about 33 districts could be affected using current estimates but districts may change budgets in response.
Julia Reyktor of the Joint Fiscal Office told the Senate Appropriations Committee that S220 would change how the state calculates the education 'excess spending' threshold and therefore which school district dollars are subject to a second homestead property tax.
"There are no appropriations or expenses made out of this bill," Reyktor said, then explained that the bill lowers the threshold from 118% to 112% of the FY2025 statewide average per‑pupil spending, adjusted for inflation, and applies the change going forward.
Reyktor said her office's best current estimate — using incomplete FY27 district budget data — is that about 10–12 districts would exceed the…
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