Other revenue will remain on the equalization track.

 

House Appropriators voted 8-1 to defeat House Bill 1109, which repeals other revenue equalization.

 

Equalization of other revenue dollars collected by school districts from six different tax areas came in 2016 as part of the Blue Ribbon Task Force package that increased in teacher pay. A five-year step down period began this year with districts keeping 80 percent of their other revenue dollars, with the additional 20 percent being equalized, and each year thereafter equalization increasing by 20 percent.

 

“That money should stay in the district,” Rep. Kyle Schoenfish told committee members. “I don’t feel that these particular funds should be (subject) to equalization.”

 

S.D. Department of Education CFO Matt Flett said the other revenues that are distributed to schools “have a flavor of a statewide tax” and the equalization of these dollars were part of the compromise to form the funding formula package in 2016.

 

“Let’s keep our big picture hat on,” Flett requested. “This formula, the Blue Ribbon, is a package.”

 

A sentiment echoed by Rep. Jean Hunhoff.

 

“I think it goes back to principle,” Rep. Hunhoff told fellow committee members. “We put something in place three years ago. We set the rules in place. We’ve got to give them time.”

 

ASBSD was monitoring the bill.

 

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