Bill

Bill > HB753


VA HB753

VA HB753
Public school funding; composite index of local ability-to-pay.


summary

Introduced
01/13/2026
In Committee
01/13/2026
Crossed Over
Passed
Dead

Introduced Session

2026 Regular Regular Session

Bill Summary

Public school funding; composite index of local ability-to-pay; use value of real estate devoted to certain uses. Requires, for the purpose of determining the state and local shares of basic aid funding, that the composite index of local ability-to-pay utilize the use value of all applicable real estate (i) devoted to agricultural use, horticultural use, forest use, and open-space use in each locality that has adopted an ordinance by which it provides for the use valuation and taxation of such real estate and (ii) used in agricultural and forestal production within an agricultural district, forestal district, agricultural and forestal district, or agricultural and forestal district of local significance in each locality that provides for the use valuation and taxation of such real estate, regardless of whether it has adopted a local land-use plan or local ordinance for such valuation and taxation.

AI Summary

This bill modifies how the "composite index of local ability-to-pay" is calculated for public school funding, specifically affecting the state and local shares of "basic aid funding," which is a core component of school financing. The key change is that the calculation will now consider the "use value" of certain types of real estate. This means that land used for agriculture, horticulture, forestry, and open space will be valued based on its current use rather than its potential market value, which can often be higher. This applies to land in localities that have adopted ordinances for such use-based taxation, as well as land within designated agricultural or forestal districts, even if the locality hasn't formally adopted a local land-use plan or ordinance for this specific type of valuation. The intent is to provide a more accurate reflection of a locality's actual ability to contribute to school funding by accounting for the tax benefits provided to landowners of these specific types of properties.

Committee Categories

Education

Sponsors (2)

Last Action

Left in Education (on 02/18/2026)

bill text


bill summary

Loading...

bill summary

Loading...

bill summary

Document Type Source Location
State Bill Page https://lis.virginia.gov/bill-details/20261/HB753
Fiscal Note/Analysis - Fiscal Impact Statement from Department of Planning and Budget (HB753) https://lis.blob.core.windows.net/files/1101989.PDF
BillText https://lis.virginia.gov/bill-details/20261/HB753/text/HB753
Loading...