Monday, February 9, 2015

Quick budget update

Yesterday, the House Appropriations and Senate Finance Committees released their amendments to the 2014-2016 biennial budget. We are still waiting to receive the amendment half-sheets to get more details but overall both bodies stuck fairly close to the governor’s recommendations for public education. Both the House and Senate included additional funds, over the $150 million proposed by the governor, to pay down the deferred contribution portion of the unfunded liability in the teacher retirement account. The House included $190million and the Senate included $187.2 million. This pay-down will lower the teacher retirement rate by 43 basis points, from 14.50% to 14.07%. As a result of these payments, both the state and local school divisions will see a positive impact on their budgets. 

Check back tomorrow for additional details on the House and Senate budgets.