The bill amends the school funding formula in South Dakota to incorporate the use of an average fall enrollment when determining local need for education funding. Specifically, it introduces a new definition for "average fall enrollment," which is calculated as the sum of the fall enrollments for the two school years immediately prior to the current school year, divided by two. This change aims to provide a more stable basis for calculating local need, as it allows for fluctuations in student enrollment to be smoothed out over a two-year period.

Additionally, the bill modifies the calculation of "local need" by allowing the use of either the average fall enrollment or the current year's fall enrollment, whichever is greater. It also includes a deletion of the previous definition of "alternative instruction participation adjustment" and replaces it with a new calculation method. These changes are intended to enhance the accuracy and fairness of funding allocations to school districts, ensuring that they are better equipped to meet the educational needs of their students.

Statutes affected:
Introduced, 01/28/2026: 13-13-10.1