The bill amends Section 16-7.2-3 of the General Laws under "The Education Equity and Property Tax Relief Act" to establish a permanent foundation education aid formula. This formula will calculate foundation education aid for each district based on a core instructional amount and additional support for high-need students. The core instructional amount will be derived from regional expenditure data and updated annually. Notably, the bill introduces a new provision that will include a student's enrollment in Medicaid as part of the student success factor, starting with the FY 2027 calculation.

The Department of Elementary and Secondary Education is mandated to utilize a student's enrollment in Medicaid in calculations related to the application of the student success factor, the calculation of the state share ratio, and in the formulation of estimates related to foundation education aid. The act will take effect upon passage.

Statutes affected:
7454: 16-7.2-3