Bill > H5285

This bill authorizes cities and towns to impose a two percent (2%) tax on the portion of a private higher education institution's endowment that exceeds one billion dollars ($1,000,000,000). The tax would be implemented through a local ordinance adopted by the city or town council, and all revenue generated from this tax must be specifically used to support the public school district in the same municipality. An "endowment" in this context refers to a financial asset donated to an institution, typically a university, which provides ongoing financial support. The bill is specifically targeting large, wealthy private universities with substantial endowment funds, allowing local governments to potentially redirect a small percentage of those funds to support local public education. The tax is optional for municipalities and would take effect immediately upon passage of the legislation.

Budget and Finance

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