Financing Public Schools FY 2021-22

Three bills were enacted during the 2021 legislative session that substantively impacted the financing of public schools in Colorado:

• Senate Bill 21-268 provided funding for school districts in FY 2021-22, modified the school finance formula, and made administrative and grant program funding changes. It was signed into law by the Governor on June 11, 2021 and took effect on that date.
• House Bill 21-1164 began phasing out the total program mill levy tax credits that were put in place through the enactment of House Bill 20-1418.
• House Bill 21-1325 reestablished the Legislative Interim Committee on School Finance for two disadvantage.

This memorandum summarizes the primary funding changes for school finance which were enacted during the 2021 legislative session.  Estimates in this memorandum will be adjusted during the 2022 legislative session through the enactment of the Colorado Department of Education (CDE) supplemental bill, based on actual pupil counts and local property tax collections.