Hi all,
We have some positive news to share with you: after extensive debate, the Legislature’s Education Committee unanimously voted “Ought to Pass” on Thursday on an amended version of LD 2226: An Act to Amend the Essential Programs and Services School Funding Formula.
As we have shared, both superintendents and board members believe that the changes proposed in this bill will update a badly outdated formula, make meaningful investments in Maine schools and direct more funding to the students who need it most. The amended bill advances those goals while protecting districts from swings in funding. Here is what is included in the amended bill, with changes beginning in Fiscal Year 2028:
• Updating the Regional Adjustment, as proposed by MEPRI — moving to a “Cost-of-Living” Index and updating the index to better reflect today’s labor markets. Adds close to $40 million to the formula to ensure the minimum index adequately pays for minimum teacher salaries
• Incorporating Relative Income Level into a Community’s Ability to Pay (as measured by % of economically disadvantaged students). Local mill rate expectations would be adjusted based on this index.
o Would use the “90/10” scenario as described in the MEPRI report
• Updating the Transportation Cost Model
• Moving to a Variable Weight for Economically Disadvantaged Students ranging from 0.15 to 0.35
• Special Education
o The amended bill would increase the prevalence threshold for special education from 15% to 17%
o Other proposed changes to special education would not be included (such as changes to midyear adjustments and collaring the “Maintenance of Effort” adjustment)
• Hold Harmless Provisions
o Districts would be “held harmless” and no district would lose any state subsidy because of the changes in LD 2226 for three years (FY28-FY30)
o Any potential negative changes to state subsidy would then be gradually phased in, from FY31-FY33
• MEPRI will also continue to study the EPS funding formula, including analyzing the effects of inflation on the formula, studying other potential poverty indicators, and looking at the larger question of whether EPS is truly “adequate”.
We believe this amended bill would be enormously beneficial for Maine schools — making meaningful updates, getting more funding to students who need it, and reducing swings in funding. The bill would also continue larger conversations about the true adequacy of the formula.
The bill will now head to the floor of the House and Senate in the coming weeks, and we’ll have more to share shortly.
Right now, you can reach out and thank the Education Committee for passing a bill that will benefit Maine schools and students. You can send an email to the whole committee by clicking on the link below:
We will also be sending out talking points early next week for you to share with your own local lawmakers.
This advocacy is crucial: LD 2226 must still get through the House and Senate in the coming weeks, and we will need your partnership and support. For now, thank you for your work!
