Utah SB 189: School District Funding Amendments

Bill Text

03-03 10:064th Sub. (Pumpkin) S.B. 189
Emily Buss proposes the following substitute bill:
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School District Funding Amendments
2026 GENERAL SESSION
STATE OF UTAH
Chief Sponsor: Emily Buss
House Sponsor: Tracy J. Miller
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LONG TITLE
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General Description:
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This bill establishes a framework for addressing enrollment growth disparities when school
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districts reorganize.
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Highlighted Provisions:
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This bill:
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▸ authorizes successor districts to create voluntary high growth transition loan
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arrangements;
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▸ establishes criteria for identifying high growth successor districts;
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▸ requires high growth transition planning during asset allocation;
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▸ directs the State Board of Education to track and report on growth patterns in
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reorganizations; and
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▸ authorizes the State Board to develop model policies and guidance.
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Money Appropriated in this Bill:
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None
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Other Special Clauses:
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None
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Utah Code Sections Affected:
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AMENDS:
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53G-3-302, as last amended by Laws of Utah 2025, Chapter 33
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ENACTS:
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53F-10-501, Utah Code Annotated 1953
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53F-10-502, Utah Code Annotated 1953
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53F-10-503, Utah Code Annotated 1953
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53F-10-504, Utah Code Annotated 1953
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4th Sub. S.B. 189

4th Sub. (Pumpkin) S.B. 18903-03 10:06
29 Be it enacted by the Legislature of the state of Utah:
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Section 1.  Section 53F-10-501 is enacted to read:
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Part 5. High Growth Framework for School District Reorganizations
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53F-10-501 . General provisions -- Definitions.
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(1)  "ADM" means average daily membership, as defined in Section 53F-2-102.
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(2)  "Allocation date" means the same as that term is defined in Section 53G-3-102.
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(3)  "Creation date" means the same as that term is defined in Section 53G-3-102.
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(4)  "Divided school district" means the same as that term is defined in Section 53G-3-102.
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(5)  "High growth successor district" means a successor district that meets the criteria
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described in Section 53F-10-502.
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(6)  "New school district" means the same as that term is defined in Section 53G-3-102.
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(7)  "Reorganization" means the creation of a new school district under Section
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53G-3-301.1, 53G-3-301.3, or 53G-3-301.4.
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(8)  "Reorganized new school district" means the same as that term is defined in Section
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53G-3-102.
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(9)  "Successor district" means a new school district or reorganized new school district.
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Section 2.  Section 53F-10-502 is enacted to read:
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53F-10-502 . High growth successor district criteria -- State Board identification
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and reporting.
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(1)  For purposes of this part, a successor district is a high growth successor district if:
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(a)  the successor district has been in operation for at least two full fiscal years since the
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allocation date and has had an average annual enrollment increase of at least 3%; or
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(b)  for a successor district that has been in operation for less than two full fiscal years
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since the allocation date, the successor district demonstrates projected enrollment
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growth of at least 5% annually based on:
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(i)  residential construction permits issued within the successor district's boundaries;
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(ii)  population growth projections from the Utah Population Committee created in
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Section 63C-20-103;
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(iii)  new housing development plans;
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(iv)  historical enrollment trends from the geographic area; and
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(v)  other relevant demographic data.
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(2)  The State Board of Education shall, using existing enrollment data collection processes:
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(a)  identify which successor districts meet the high growth criteria annually;
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(b)  calculate each successor district's proportional share of the divided school district
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03-03 10:064th Sub. (Pumpkin) S.B. 189
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based on the methodology established in Section 53G-3-302; and
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(c)  notify successor districts of their high growth status.
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(3)  The State Board shall report annually to the Public Education Appropriations
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Subcommittee regarding:
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(a)  the number of reorganizations that have occurred;
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(b)  which successor districts qualify as high growth successor districts;
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(c)  enrollment growth patterns and trends in successor districts;
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(d)  facility capacity challenges identified in high growth transition plans submitted
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under Subsection 53G-3-302(13);
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(e)  strategies successor districts have used to address high growth, including any
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voluntary loan arrangements; and
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(f)  recommendations for supporting equitable transitions during reorganizations.
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Section 3.  Section 53F-10-503 is enacted to read:
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53F-10-503 . Voluntary high growth transition loan arrangements authorized --
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Proportional repayment methodology.
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(1)  Successor districts from the same divided school district may enter into interlocal
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agreements under Title 11, Chapter 13, Interlocal Cooperation Act, to create voluntary
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transition loan arrangements to address en