Education (School Funding)

The act makes optional an appropriation to comply with matching requirements under the federal 'Richard B. Russell National School Lunch Act' and allows the amount to be appropriated from the healthy school meals for all program cash fund.      The act allows money for administration of the summer electronic benefits transfer for children program to be appropriated from the healthy school meals for all program cash fund.     The act makes an appropriation for the start smart nutrition program optional, repeals the start smart nutrition program cash fund, transfers the start smart nutrition program cash fund balance to the general fund, and allows an appropriation for the start smart nutrition program to be made from the healthy school meals for all program cash fund.     The act makes an appropriation for the child nutrition school lunch protection program optional and allows an appropriation for the child nutrition school lunch protection program to be made from the healthy school meals for all program cash fund.     Under current law, the department of education administers a local school food purchasing program and a local school food purchasing technical assistance and education grant program (legacy local school food programs) that are distinct from the local school food purchasing program and technical assistance and education grant programs within the 'Healthy School Meals for All Act' (HSMA local school food programs). The act permits the general assembly to appropriate money for the legacy local school food programs if the healthy school meals for all program cash fund does not fully fund the HSMA local school food programs.     The act appropriates $3,001,741 from the healthy school meals for all program cash fund to the department of education for the affected programs. The act reduces appropriations for the 2026-27 state fiscal year to the department of education for the affected programs by $3,839,685, of which $229,097 is from the general fund and the remainder from various cash funds.(Note: This summary applies to this bill as enacted.)

Under current law, as a supplement to the state accountability system in the department of education, a local accountability system may be established by a local education provider to measure the performance of public schools and school districts in achieving student success and system effectiveness. The act repeals the local accountability system law, which includes the local accountability system grant program.     The act reduces the members of the accountability, accreditation, student performance, and resource inequity task force from 26 to 25 by removing the task force member who is a superintendent who represents a rural school district that participates in the repealed local accountability system grant program.(Note: This summary applies to this bill as enacted.)

The act repeals the teacher recruitment education and preparation program (TREP) after the 2026-27 budget year. The act repeals the teacher recruitment and preparation program and pathways in early technology early college high schools working group on July 1, 2027.     On July 1, 2026, the act requires the state treasurer to transfer $799,200 from the electrifying school buses grant program cash fund to the state education fund. The general assembly declares that TREP may receive funding from the state education fund.     For the 2026-27 state fiscal year, the act caps the amount that a district receives for a student participating in TREP under the school finance formulas at $7,104.     The act increases the cash fund appropriation to the department of education for state share of districts' total program funding and decreases the cash fund appropriation for extended high school in the 2026-27 long bill in order to fund TREP for the 2026-27 state fiscal year. The amount of the changes is contingent on whether House Bill 26-1364, concerning the calculation of the consumer price index for the 2025 calendar year, becomes law.(Note: This summary applies to this bill as enacted.)

The act repeals the requirement for the general assembly to appropriate money in the 2026-27 state fiscal year for the out-of-school time program grant program (grant program).     The act reduces the appropriation for the 2026-27 state fiscal year to the department of education for use by the grant program by $1,750,000.(Note: This summary applies to this bill as enacted.)

The act reduces by $5.2 million the appropriation for the Colorado academic accelerator grant program for the 2023-24 state fiscal year, which is available for expenditure through the 2026-27 state fiscal year.(Note: This summary applies to this bill as enacted.)

Compared to what was anticipated when appropriations were established in the 2025 regular legislative session for the 2025-26 budget year, the general assembly finds that for the 2025-26 budget year the actual funded pupil count and the at-risk pupil count are lower than anticipated; the local share of total program funding is higher than anticipated; and therefore, the general assembly intends to decrease the state share of districts' total program funding by $103,472,508 for the 2025-26 budget year.     Under current law, there are 2 total program formulas to finance public schools, commonly referred to as the old formula and the new formula. For the 2025-26 budget year, a district's total program is the greater of:The district's total program amount for the 2024-25 budget year; orThe amount calculated for the 2025-26 budget year under the old formula plus an amount equal to 15% of the difference between the amounts calculated between the old formula and the new formula.     The act clarifies that for the 2025-26 budget year, if the calculation under the new formula is less than the calculation under the old formula, then that district's total program for the 2025-26 budget year is the greater of:The district's total program amount for the 2024-25 budget year; orThe amount calculated for the 2025-26 budget year under the old formula.     The act reduces appropriations to the department of education for the 2025-26 budget year by $103,472,508.(Note: This summary applies to this bill as enacted.)