This bill amends current law regarding special education state aid funding by eliminating the requirement for prorated distribution in cases of insufficient funding. Specifically, it removes the provision that required the state to proportionally distribute special education aid among districts when the appropriated amount was insufficient. Instead, the bill mandates that funding for special education programs be sourced from the education trust fund, ensuring that districts receive the full amount of aid they are entitled to without proration.

Additionally, the bill introduces new legal language that allows the governor to draw funds from the education trust fund to meet the state's obligations for special education aid, regardless of the fund's balance. If the fund's balance falls below zero after such a draw, the state comptroller is required to transfer sufficient funds from the general fund to cover the deficit. This change is expected to significantly increase special education aid, with estimates suggesting an increase of at least $16.4 million per year starting in FY 2026, as the number of qualifying students may vary annually.

Statutes affected:
Introduced: 186-C:18