HB21-1325 Summary

• Creates a Legislative Interim Committee on School Finance with 8 members (4 Senate, 4 House) to study and recommend changes to Colorado's public school funding formula through 2023.

• Committee must study modernizing the school finance formula, reviewing methods for identifying at-risk students, addressing small/rural school district funding, alternative educator support for K-2 grades, and special education funding incorporation.

• Directs committee to design a state matching money program beginning in 2022-23 to assist low-property wealth school districts in obtaining voter approval for additional mill levies.

• Requires committee to contract with a third-party vendor by September 1, 2021 to study alternative methods of measuring student economic disadvantage beyond free lunch eligibility as a poverty indicator.

• Appropriates $100,153 for 2021-22 fiscal year and authorizes use of $90 million from the State Education Fund as necessary to implement school finance formula changes.