Permitting an exchange of the cash reserve levy for another local levy within the school budget for certain school districts to correct for an extreme circumstance and including effective date provisions

Where it is now

1. ✓
   Done: IntroducedApril 23, 2026
2. ✓
   Done: SubcommitteeApril 23, 2026
3. ✓
   Done: House committeeApril 28, 2026
4. ✓
   Done: Passes the HouseMay 2, 202685–0
5. ✕
   Stopped: Senate committeeDied when the General Assembly ended
6. Next: Passes the Senate
7. Next: To the Governor
8. Next: Signed into law

Died when the session ended The 2026 session adjourned on May 3, 2026, the General Assembly’s last regular session. Bills that didn’t pass both chambers died. What’s a funnel?

What’s in it

AI summary If a single property correction causes a school district to lose $100 million or more in taxable value, that district can increase its cash reserve levy beyond normal limits. To do this, the district must lower its other property tax levies by at least the same amount so the total tax collected stays the same. The district must notify the department of management to make these changes.¹

Why it matters. School districts that experience a $100 million or more reduction in taxable property value due to a single property correction may increase their cash reserve levy for the 2026 school budget year. To do this, these districts must reduce other property tax levies by an amount equal to or greater than the increase to ensure they stay within total property tax dollar limits. The department of management would adjust the property tax levy rates for these districts once they provide notification.²

Full bill text³

House subcommittee

Named April 23, 2026 (as HSB 781). On April 27, 2026 it recommended passage.

• Rep. David E. Young REmail
• Rep. Bill Gustoff REmail
• Rep. Kenan Judge DEmail

Three legislators hear a bill first and recommend what the committee should do; it’s the best time to weigh in. How to take part

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