Fiscal Note
HB0129 - Amendments to Education Financing
State Impact:
Enacting this bill freezes the minimum basic state rate and guarantees a minimum amount of property tax revenue from the basic rate. This increases the local portion of the minimum school program by $5,146,000 in FY 2012 and is distributed through the WPU. Due to recapture, revenue to the Uniform School Fund could increase by $4,650,000 in FY 2012.
| Funding Source | FY 2010 Approp. | FY 2011 Approp. | FY 2012 Approp. | FY 2010 Revenue | FY 2011 Revenue | FY 2012 Revenue |
| Uniform School Fund | $0 | $0 | $0 | $0 | $0 | $4,650,000 |
| Property Tax | $0 | $0 | $5,146,000 | $0 | $0 | $5,146,000 |
| Total | $0 | $0 | $5,146,000 | $0 | $0 | $9,796,000 |
Individual, Business and/or Local Impact:
Enacting this bill could increase or decrease revenue to school districts depending upon property tax revenue generated within a district and the funding received by the district through the minimum school program. Because of the revenue increase from the basic rate freeze, other local property taxes decrease by $5,146,000. If a school district that has a decrease in revenue decides to make up the lost revenue, there will be an increase in property tax on individuals and businesses. There will likely be recapture of $4,650,000 from school districts to the Uniform School Fund in FY 2012.
| 2/11/2010, 8:00:09 AM, Lead Analyst: Young, T./Attny: AOS | Office of the Legislative Fiscal Analyst |