new school funding plan

On Wednesday, I participated in a news conference here at the statehouse with 2 other legislators. We presented our new plan for school funding: the Vermont Local Education Affordability Formula.

The LEAF proposal will reduce the property tax burden, restore local control and empower local communities to better manage their schools so we can have the best education for our children that communities can afford. It is tax neutral, not raising or lowering our school taxes.

Briefly, this is how it would work:

Each school district would receive a per-pupil grant equal to 85% of the average statewide per-pupil spending for the prior year. This would be about $8500 using current spending figures. The grant would be funded through existing broad-based taxes and the existing non-residential education property tax. The plan eliminates the statewide property tax on residential property and the CLA for residential properties. Spending in excess of the $8500 per pupil grant would be raised at the local level on the local residential grand list. Towns that spend less than the grant receive a credit for 20% of the savings for use against the municipal tax liability. Non residential property continues to be taxed under the existing structure. Local voters would decide how much to spend on school budgets and if they want to spend more than the $8500 grant, the excess is raised at the local level. There would be a direct correlation between the decisions of voters and the impact on their tax bills. The plan eliminates excess spending penalties and the 2 acre limitation. Special Education and Early Essential Education are moved into the General Fund and administered by the Department of Education.

We are planning to do a 'road show’ and I’ll let you know when we have a schedule. There is more information on the LEAF plan at www.vermontleaf.com. Contact me at cbranagan@leg.state.vt.us or 527-7694.

Rep. Carolyn Branagan