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VA HB1604

VA HB1604
Certain school divisions; cost-savings agreements; requirements.


summary

Introduced
01/03/2025
In Committee
01/03/2025
Crossed Over
Passed
Dead
02/22/2025

Introduced Session

2025 Regular Session

Bill Summary

Certain school divisions; cost-savings agreements; requirements. Removes the limitation on any school board that enters into certain cost-savings agreements with a school board that governs a contiguous school division for the consolidation or sharing of educational, administrative, or support services and thus qualifies for adjustment of state share of basic aid computed annually on the basis of the composite index of local ability-to-pay of such contiguous school division that caps such adjusted basic aid payment at an amount equal to the basic aid payment appropriated to such locality by the 2007 Session of the General Assembly. The bill also permits, notwithstanding the requirement set forth in relevant law that a school division have 65 percent or more of its local taxes coming from real estate taxes in order for the school board that governs such school division to be eligible to enter into such cost-savings agreements with a contiguous school division, the Bath County School Board to enter into such cost-savings agreements with the Augusta County School Board, provided that all other conditions and limitations set forth in relevant law apply to any such agreement.

AI Summary

This bill modifies existing legislation related to cost-savings agreements between school divisions in Virginia. Specifically, the bill removes previous restrictions that limited how school boards could enter into agreements with contiguous (neighboring) school divisions for consolidating or sharing educational, administrative, or support services. The bill provides an exception for the Bath County School Board, allowing it to enter into cost-savings agreements with the Augusta County School Board, even though Bath County does not meet the previous requirement of having 65 percent or more of its local taxes coming from real estate taxes. The bill also simplifies language about additional funding, removing specific date and payment limitations, while maintaining that additional funds can only be paid if specifically appropriated. By making these changes, the bill aims to provide more flexibility for school divisions to collaborate and potentially reduce operational costs through shared services, while ensuring fiscal responsibility through appropriation requirements.

Committee Categories

Education

Sponsors (1)

Last Action

Left in Education (on 02/04/2025)

bill text


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bill summary

Document Type Source Location Created
State Bill Page https://lis.virginia.gov/bill-details/20251/HB1604 01/03/2025
Fiscal Note/Analysis - Fiscal Impact Statement from Department of Planning and Budget (HB1604) https://lis.blob.core.windows.net/files/1020701.PDF 01/15/2025
BillText https://lis.virginia.gov/bill-details/20251/HB1604/text/HB1604 01/03/2025
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