The bill amends Chapter 16-7.2 of the General Laws, known as "The Education Equity and Property Tax Relief Act," by introducing a new section that allows school districts to elect and choose not to spend money on any mandate that is not fully funded through the state education aid formula or any other state funding received through the Department of Elementary and Secondary Education, starting July 1, 2026.

A mandate is defined as any rule, regulation, or policy implemented by the department that requires a school district to incur expenses without corresponding state funding. If a school district decides to exercise this option, it must provide written notice to the department by August 31 of the fiscal year in which it intends to refrain from spending, specifying the unfunded mandate and the total dollar amount being saved.

Furthermore, the bill stipulates that school districts opting not to spend on these unfunded mandates will not be penalized or have their state aid reduced as a result of this decision. The act will take effect upon its passage.