MA H536

Establishes a Municipal Education Fund administered by the Commissioner of Elementary and Secondary Education to support minimum aid communities, below effort increment communities, and prioritize gateway cities, rural districts, and districts serving high-needs students

Modifies the Chapter 70 school funding formula by revising definitions of "required local contribution" and "target local contribution," with adjustments of 1-2% based on how far a municipality's contribution falls below target local share thresholds

Creates a tiered cap system for local contributions ranging from 82.5% to 88.5% of foundation budget, depending on whether a municipality's combined effort yield equals 100%, 150%, or 200% of its foundation budget

Establishes a special legislative commission to examine education funding distribution, reviewing combined effort yield calculations, enrollment changes, below effort increment formulas, municipal revenue growth factors, and target local contributions

Commission must file findings and recommendations by December 31, 2025, including proposals for more equitable fund distribution and new municipal revenue options linked to the Fair Share Amendment revenues from the 2022 election