Bill Summary – FastDemocracy

STATEMENT OF PURPOSE
                                                     RS31287 / H0521
This legislation provides the largest state investment in school facilities through three main avenues. First,
it dedicates $125 million in ongoing sales tax revenue to the new School Modernization Facilities Fund for
bonding, while providing the legislature with expanded options to cover annual service on the bonds in the
event of economic downturns.
Second, this legislation increases the funding to the School District Facility Fund in two ways. It increases the
sales tax revenue directed to the fund from 2.25% to 3.25% which is projected to be $25 million in FY 2025,
and redirects existing lottery dividends to the fund, which is projected to be approximately $50 million in FY
2025. This fund will help school districts with paying down school bonds, levies, and plant facility levies, with
any remaining funds being used at the district level for additional school facility projects.
Third, this legislation reduces income taxes from 5.8% to 5.695%, allowing Idahoans to have more money to
better support local bonds and levies related to school facilities.
Additional changes and technical edits are made to related Code provisions. Combined, this bill provides
unprecedented state support for school facility improvements in every school district in the state while ensuring
appropriate accountability.
                                                     FISCAL NOTE
                                                  General Fund Impact ($M)
                                                           FY2025                                     FY2026
 School Modernization Facilities
                                                            $125.0                                     $125
 Fund from Sales Tax
 Individual Income Tax Reduction                           ($46.9)                                    ($48.0)
 Corporate Income Tax Reduction                            ($12.2)                                    ($11.9)
 District Facility Fund from Sales
                                                            $25.5                                      $27.1
 Tax
 Online Sales Tax to Public
                                                             $3.0                                       $3.0
 Defense
Contact:
    Representative Mike Moyle
    Representative Jason A. Monks
    Senator Doug Ricks
    (208) 332-1000
DISCLAIMER: This statement of purpose and fiscal note are a mere attachment to this bill and prepared by a proponent
of the bill. It is neither intended as an expression of legislative intent nor intended for any use outside of the legislative
process, including judicial review (Joint Rule 18).
Statement of Purpose / Fiscal Note                                    Bill SOP/FN INTRODUCED: 02/08/2024, 9:18 AM
Statutes affected: 
Bill Text: 63-3024, 63-3025, 33-911, 33-102A, 33-104, 34-106, 33-802A, 33-905, 33-907, 33-1018B, 57-810, 57-811, 63-724, 63-2520, 63-3638, 67-5771A, 67-6409, 67-7434, 33-356, 33-1018C, 33-1102, 40-718