Bill > HB1557

This bill modifies the state aid formula for special education by lowering the threshold at which school districts can receive financial assistance for special education costs. Currently, districts can receive aid for special education expenses that exceed 3.5 times the state average expenditure per pupil, but the bill would reduce this threshold to 1.5 times the state average expenditure. The bill removes previous provisions for emergency assistance funds totaling $500,000 that were designated to help districts with special education cost mitigation. Under the new formula, school districts will be liable for 1.5 times the estimated state average expenditure per pupil plus 20% of additional costs up to 10 times the state average expenditure. The state Department of Education will be responsible for 80% of costs above the 1.5 times threshold up to 10 times the state average expenditure, and will cover all costs exceeding 10 times the state average expenditure. The bill is set to take effect on July 1, 2026, and while it does not provide additional funding, it is expected to substantially increase state and local spending on special education and potentially require significant administrative resources to process the expanded aid claims.

Education

https://gc.nh.gov/bill_Status/billinfo.aspx?id=2054&inflect=2