An Act amending the act of March 10, 1949 (P.L.30, No.14), known as the Public School Code of 1949, in school finances, further providing for limitations on certain unreserved fund balances.

Pennsylvania House Bill 2735 updates the Public School Code of 1949 to restrict school districts from increasing real property taxes unless their projected ending fund balances meet specific limits. The bill establishes a sliding scale where larger districts with higher total budgeted expenditures must maintain lower percentages of committed, assigned, and unassigned funds compared to smaller districts. To ensure compliance, each district that approves a tax increase must submit certification data to the Department of Education by August 15 of each year starting in 2027.