School boards; provide process for removal from office for just cause and remove authority to request ad valorem tax increase exceeding 2%.

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To: Education; Ways and
Means
MISSISSIPPI LEGISLATURE REGULAR SESSION 2026

By: Representative Karriem

HOUSE BILL NO. 521

AN ACT TO PROVIDE FOR THE REMOVAL OF SCHOOL BOARD MEMBERS FOR 1
MALFEASANCE, MISFEASANCE OR NONFEASANCE IN OFFICE OR FOR OTHER 2
JUST CAUSE, INCLUDING, NEGLECT TO PERFORM OFFICIAL DUTIES 3
ASSOCIATED WITH THE CONDUCT OF PUBLIC SCHOOLS AND PROGRAMS, BREACH 4
OF PUBLIC TRUST OR ABUSE OF AUTHORITY; TO REQUIRE THE LOCAL SCHOOL 5
BOARD TO MAKE AN OFFICIAL RECOMMENDATION FOR REMOVAL TO THE 6
APPROPRIATE LOCAL GOVERNING AUTHORITY; TO PRESCRIBE THE MANNER FOR 7
NOTICE AND ADMINISTRATIVE PROCEEDINGS PROVIDED TO THE ACCUSED 8
SCHOOL BOARD MEMBER RECOMMENDED FOR REMOVAL; TO PROVIDE THAT THE 9
LOCAL GOVERNING AUTHORITY SHALL ACT AS THE REVIEWING BODY WHICH 10
SHALL VOTE UPON ITS FINDINGS UPON THE CONCLUSION OF THE HEARING; 11
TO PROVIDE THAT THE REMOVAL OR NONREMOVAL OF AN ACCUSED SCHOOL 12
BOARD MEMBER SHALL REQUIRE A MAJORITY VOTE OF THE LOCAL GOVERNING 13
AUTHORITY; TO PROVIDE AN APPEALS PROCESS FOR AN AGGRIEVED PARTY; 14
TO AMEND SECTION 37-6-13, MISSISSIPPI CODE OF 1972, TO PROVIDE 15
THAT CHRONIC ABSENTEEISM FROM ATTENDING MEETINGS OF THE SCHOOL 16
BOARD MAY CONSTITUTE GROUNDS FOR REMOVAL FOR NEGLECT TO PERFORM 17
OFFICIAL DUTIES ASSOCIATED WITH THE CONDUCT OF PUBLIC SCHOOLS; TO 18
AMEND SECTIONS 37-57-104, 37-57-105 AND 37-57-107, MISSISSIPPI 19
CODE OF 1972, TO DELETE THE AUTHORITY OF SCHOOL BOARDS TO INCREASE 20
AD VALOREM TAXES LEVIED FOR SCHOOL DISTRICT PURPOSES BY MORE THAN 21
TWO PERCENT OVER THE AMOUNT LEVIED IN THE PRECEDING YEAR ABSENT 22
APPROVAL BY A MAJORITY VOTE IN A REFERENDUM ON THE PROPOSED TAX 23
INCREASE; TO AMEND SECTION 27-39-207, MISSISSIPPI CODE OF 1972, IN 24
CONFORMITY TO THE PRECEDING PROVISIONS; AND FOR RELATED PURPOSES. 25
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI: 26
SECTION 1. (1) (a) Upon the official recommendation of 27
removal by the local school board, duly spread upon the minutes 28
and presented by the president of the board to the appropriate 29
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local governing authority, any school board member may be removed 30
for any of the following reasons, given just cause: 31
(i) Acts of misfeasance, malfeasance and 32
nonfeasance that are directly related to the office and duties of 33
school board members; 34
(ii) Failure to perform official duties associated 35
with the conduct of public schools and programs under the 36
provisions of Title 37, Mississippi Code of 1972, for which an 37
oath to faithfully discharge such duties have been administered, 38
which result in an adverse and detrimental effect on the 39
district's function; 40
(iii) Breach of public trust or abuse of 41
authority; 42
(iv) Committing any act that results in a 43
conviction, guilty plea, plea of nolo contendere, or the receipt 44
of probation or post-release supervision that would result in a 45
licensed teacher or administrator's license being suspended or 46
revoked under the provisions of Section 37-3-2; or 47
(v) Failing to attend more than fifty percent 48
(50%)of the scheduled meetings of the school board for which 49
public notice is require during a calendar year, except for 50
absences caused by required military duty. 51
(b) Upon receipt of the school board's recommendation 52
for removal under any grounds of violation specified in paragraph 53
(a), the local governing authority shall act as the reviewing 54
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body. The governing authority shall send a copy of the 55
recommendation and any supporting documents to the accused school 56
board member along with a summons requiring the accused to respond 57
to the allegations within thirty (30) days. The notification 58
shall be accomplished by any of the methods provided for in Rule 4 59
of the Mississippi Rules of Civil Procedure or by certified mail. 60
If the accused does not respond within the thirty-day period, he 61
or she shall be considered to be in default. Upon receipt of the 62
response and any supporting documents from the accused, the local 63
governing authority shall determine the merits of the complaint. 64
The local governing authority may meet informally with the accused 65
and discuss the alleged violation. 66
(2) (a) If the local governing authority determines that 67
the recommendation for removal lacks merit, it may dismiss the 68
recommendation. 69
(b) If the local governing authority determines that 70
there is substantial evidence that a violation has occurred or if 71
the accused admits to the truth of the allegations upon which the 72
recommendation for removal is based, the governing authority 73
shall set a date within fifteen (15) days of such determination 74
upon which a hearing shall be held in connection with the vote 75
upon the question of whether or not the accused school board 76
member shall be removed. 77
(c) A court reporter shall be in attendance and shall 78
record the proceedings. The local governing authority shall have 79
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the right and duty to impose reasonable restrictions as it may 80
deem necessary or appropriate to ensure an orderly, expeditious 81
and impartial proceeding. The parties may offer oral testimony 82
through witnesses and shall have the right of cross-examination. 83
The rules of evidence shall be relaxed. 84
(d) At the conclusion of the hearing, the local 85
governing authority shall take a vote upon its findings. A 86
majority vote of the governing authority shall be required to 87
affirm the removal or nonremoval of the accused school board 88
member. 89
(3) (a) Any individual aggrieved by a final decision of the 90
local governing authority shall be entitled to judicial review. 91
(b) An appeal from the decision of the hearing 92
committee shall be made by filing a written notice of appeal with 93
the circuit court clerk of the county where the accused resides. 94
The notice of appeal and the payment of costs must be filed and 95
paid with the circuit clerk, within thirty (30) days of the entry 96
of the order being appealed. The appeal shall otherwise be 97
conducted in accordance with existing laws and rules. 98
(c) Any party aggrieved by the action of the circuit 99
court may appeal to the Mississippi Supreme Court in the manner 100
provided by law and rules. 101
(4) If it is determined after all matter of appeal have been 102
exhausted that the board member shall be removed from the 103
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respective school board, the vacancy thereby created shall be 104
filled in the time and manner prescribed in Section 37-7-203. 105
(5) For purposes of this section, the following terms shall 106
have the meanings ascribed herein: 107
(a) "Malfeasance in office" means the intentional and 108
unlawful conduct that causes harm to someone else. 109
(b) "Misfeasance in office" means the improper 110
execution of a lawful act while acting in an official capacity. 111
(c) "Nonfeasance in office" means the failure to 112
perform a legal duty or obligation. 113
(d) "Breach of public trust" means a public official or 114
government figure abuses his or her position by acting in a way 115
that violates the faith and confidence the public has placed in 116
them, often by prioritizing personal gain over the public 117
interest. 118
(e) "Abuse of authority" means an individual's improper 119
use of power and authority inherent in the position held, by means 120
of intimidation, threats, blackmail or coercion. However, it does 121
not include the legitimate exercise of an individual's supervisory 122
power or authority. 123
SECTION 2. Section 37-6-13, Mississippi Code of 1972, is 124
amended as follows: 125
37-6-13. (1) Each person serving as a member of the school 126
board of any school district shall receive per diem in the amount 127
of One Hundred Twelve Dollars ($112.00) for no more than 128
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thirty-six (36) meetings of the school board during any one (1) 129
fiscal year or, in his or her discretion, irrevocably may choose 130
to receive as compensation for his or her services an annual 131
salary, subject to the following provisions: 132
(a) For a person serving as a member of the school 133
board of a school district with less than five thousand (5,000) 134
students enrolled in the school district, the person shall receive 135
an annual salary of Four Thousand Dollars ($4,000.00); 136
(b) For a person serving as a member of the school 137
board of a school district with at least five thousand (5,000) 138
students but less than ten thousand (10,000) students enrolled in 139
the school district, the person shall receive an annual salary of 140
not less than Four Thousand Dollars ($4,000.00) but not more than 141
Five Thousand Dollars ($5,000.00); and 142
(c) For a person serving as a member of the school 143
board of a school district with greater than ten thousand (10,000) 144
students enrolled in the school district, the person shall receive 145
an annual salary of not less than Four Thousand Dollars 146
($4,000.00) but not more than Six Thousand Dollars ($6,000.00). 147
This choice shall remain in force for all successive terms or 148
periods of service of that member. The receipt of the 149
compensation shall not entitle any member of a school board to 150
receive or be eligible for any state employee group insurance, 151
retirement or other fringe benefits. Each member shall be 152
reimbursed for the necessary expenses and mileage in attending 153
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meetings of the school board. In addition to the foregoing, all 154
members may be reimbursed for mileage and actual expenses incurred 155
in the further performance of their duties, including attendance 156
at any mandatory school board training session or at regional and 157
national education meetings, when such mileage and other expenses 158
are authorized by the board prior to the date on which they occur. 159
Detailed vouchers shall be submitted for reimbursement for all 160
expenses authorized by this section. Such reimbursement shall be 161
in accordance with Section 25-3-41. 162
Such expenses shall be paid on order of the school board by 163
pay certificates issued by the superintendent of the school 164
district involved against the funds available for payment of the 165
administrative expense of the district. 166
(2) (a) If a member of a school board misses twenty percent 167
(20%) or more of the meetings of the school board during a 168
calendar year, except for absences caused by required military 169
duty, the member must reimburse the school district that portion 170
of the total salary paid to the member that year which is 171
proportionate to the number of meetings missed by the member in 172
relation to the total number of school board meetings held during 173
that year. For purposes of this subsection, consideration may be 174
given only to meetings of which public notice is required. 175
Failure of a member to regularly attend meetings of the school 176
board so as to constitute chronic absenteeism, as indicated by 177
missing twenty percent (20%) or more of the meetings, shall 178
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subject such member to recommendation for removal from the board 179
for neglect to perform official duties as prescribed in Section 1 180
of this act. 181
(b) Before February 1 of each year, the president of 182
each local school board shall submit a report to the State Board 183
of Education containing the names of any members of the school 184
board who missed twenty percent (20%) or more of the school board 185
meetings during the preceding calendar year. 186
(c) Any member of the local school board who misses 187
more than fifty percent (50%) of the regularly scheduled meetings 188
of the board, for which public notice is required, except for 189
absences caused by required military duty, shall be removed by the 190
local governing authority without a formal recommendation of the 191
school board, as authorized in Section 1 of this act, upon being 192
notified by the school board president that the frequency of said 193
board member's absences has exceeded fifty percent (50%). 194
SECTION 3. Section 37-57-104, Mississippi Code of 1972, is 195
amended as follows: 196
37-57-104. (1) Each school board shall submit to the 197
levying authority for the school district a certified copy of an 198
order adopted by the school board requesting an ad valorem tax 199
effort in dollars for the support of the school district. The 200
copy of the order shall be submitted by the school board when the 201
copies of the school district's budget are filed with the levying 202
authority pursuant to Section 37-61-9. Upon receipt of the school 203
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board's order requesting the ad valorem tax effort in dollars, the 204
levying authority shall determine the millage rate necessary to 205
generate funds equal to the dollar amount requested by the school 206
board. For the purpose of calculating this millage rate, any 207
additional amount that is levied pursuant to Section 37-57-105(1) 208
to cover anticipated delinquencies and costs of collection or any 209
amount that may be levied for the payment of the principal and 210
interest on school bonds or notes shall be excluded from the 211
limitation of fifty-five (55) mills provided for in subsection (2) 212
of this section. 213
(2) (a) Except as otherwise provided under paragraph (b) or 214
(c) of this subsection, if the millage rate necessary to generate 215
funds equal to the dollar amount requested by the school board is 216
greater than fifty-five (55) mills, and if this millage rate is 217
higher than the millage then being levied pursuant to the school 218
board's order requesting the ad valorem tax effort for the 219
currently existing fiscal year, then the levying authority shall 220
call a referendum on the question of exceeding, during the next 221
fiscal year, the then existing millage rate being levied for 222
school district purposes. The referendum shall be scheduled for 223
not more than six (6) weeks after the date on which the levying 224
authority receives the school board's order requesting the ad 225
valorem tax effort. 226
When a referendum has been called, notice of the referendum 227
shall be published at least five (5) days per week, unless the 228
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only newspaper published in the school district is published less 229
than five (5) days per week, for at least three (3) consecutive 230
weeks, in at least one (1) newspaper published in the school 231
district. The notice shall be no less than one-fourth (1/4) page 232
in size, and the type used shall be no smaller than eighteen (18) 233
point and surrounded by a one-fourth-inch solid black border. The 234
notice may not be placed in that portion of the newspaper where 235
legal notices and classified advertisements appear. The first 236
publication of the notice shall be made not less than twenty-one 237
(21) days before the date fixed for the referendum, and the last 238
publication shall be made not more than seven (7) days before that 239
date. If no newspaper is published in the school district, then 240
the notice shall be published in a newspaper having a general 241
circulation in the school district. The referendum shall be held, 242
as far as is practicable, in the same manner as other referendums 243
and elections are held in the county or municipality. At the 244
referendum, all registered, qualified electors of the school 245
district may vote. The ballots used at the referendum shall have 246
printed thereon a brief statement of the amount and purpose of the 247
increased tax levy and the words "FOR INCREASING THE MILLAGE 248
LEVIED FOR SCHOOL DISTRICT PURPOSES FROM (MILLAGE RATE CURRENTLY 249
LEVIED) MILLS TO (MILLAGE RATE REQUIRED UNDER SCHOOL BOARD'S 250
ORDER) MILLS," and "AGAINST INCREASING THE MILLAGE LEVIED FOR 251
SCHOOL DISTRICT PURPOSES FROM (MILLAGE RATE CURRENTLY LEVIED) 252
MILLS TO (MILLAGE RATE REQUIRED UNDER SCHOOL BOARD'S ORDER) 253
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MILLS." The voter shall vote by placing a cross (X) or checkmark 254
(√) opposite his choice on the proposition. 255
If a majority of the registered, qualified electors of the 256
school district who vote in the referendum vote in favor of the 257
question, then the ad valorem tax effort in dollars requested by 258
the school board shall be approved. However, if a majority of the 259
registered, qualified electors who vote in the referendum vote 260
against the question, the millage rate levied by the levying 261
authority shall not exceed the millage then being levied pursuant 262
to the school board's order requesting the ad valorem tax effort 263
for the then currently existing fiscal year. 264
Nothing in this subsection shall be construed to require any 265
school district that is levying more than fifty-five (55) mills 266
pursuant to Sections 37-57-1 and 37-57-105 to decrease its millage 267
rate to fifty-five (55) mills or less. Further, nothing in this 268
subsection shall be construed to require a referendum in a school 269
district where the requested ad valorem tax effort in dollars 270
requires a millage rate of greater than fifty-five (55) mills but 271
the requested dollar amount does not require any increase in the 272
then existing millage rate. Further, nothing in this subsection 273
shall be construed to require a referendum in a school district 274
where, because of a decrease in the assessed valuation of the 275
district, a millage rate of greater than fifty-five (55) mills is 276
necessary to generate funds equal to the dollar amount generated 277
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by the ad valorem tax effort for the currently existing fiscal 278
year. 279
(b) However, if a levying authority is levying in 280
excess of fifty-five (55) mills on July 1, 1997, the levying 281
authority may levy an additional amount not exceeding three (3) 282
mills in the aggregate for the period beginning July 1, 1997, and 283
ending June 30, 2003, subject to the limitation on increased 284
receipts from ad valorem taxes prescribed in Sections 37-57-105 285
and 37-57-107. 286
(c) If the levying authority for any school district 287
lawfully has decreased the millage levied for school district 288
purposes, but subsequently determines that there is a need to 289
increase the millage rate due to a disaster in which the Governor 290
has declared a disaster emergency or the President of the United 291
States has declared an emergency or major disaster, then the 292
levying authority may increase the millage levied for school 293
district purposes up to an amount that does not exceed the millage 294
rate in any one (1) of the immediately preceding ten (10) fiscal 295
years without any referendum that otherwise would be required 296
under this subsection. 297
(3) * * * If the millage rate necessary to generate funds 298
equal to the dollar amount requested by the school board is equal 299
to fifty-five (55) mills or less, but the dollar amount requested 300
by the school board exceeds the * * * two percent (2%) increase 301
limitation provided for in Section 37-57-107, the school board may 302
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exceed the * * * two percent (2%) increase limitation only after 303
the school board has determined the need for additional revenues 304
and * * * a majority of the registered, qualified electors voting 305
in a referendum called by the levying authority have voted in 306
favor of the increase. The notice and manner of holding the 307
referendum shall be as prescribed in subsection (2) of this 308
section for a referendum on the question of increasing the millage 309
rate in school districts levying more than fifty-five (55) mills 310
for school district purposes. The ballot shall contain the 311
language "FOR THE SCHOOL TAX INCREASE OVER TWO PERCENT (2%)" and 312
"AGAINST THE SCHOOL TAX INCREASE OVER TWO PERCENT (2%)." If a 313
majority of the registered, qualified electors of the school 314
district who vote in the referendum vote in favor of the question, 315
then the increase requested by the school board shall be approved. 316
For the purposes of this subsection, the revenue sources excluded 317
from the increase limitation under Section 37-57-107 also shall be 318
excluded from the limitation described in this subsection in the 319
same manner as they are excluded under Section 37-57-107. 320
( * * *4) The aggregate receipts from ad valorem taxes 321
levied for school district purposes pursuant to Sections 37-57-1 322
and 37-57-105, excluding collection fees, additional revenue from 323
the ad valorem tax on any newly constructed properties or any 324
existing properties added to the tax rolls or any properties 325
previously exempt which were not assessed in the next preceding 326
year, and amounts received by school districts from the School Ad 327
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Valorem Tax Reduction Fund pursuant to Section 37-61-35, shall be 328
subject to the increase limitation under this section and Section 329
37-57-107. 330
( * * *5) The school board shall pay to the levying 331
authority all costs that are incurred by the levying authority in 332
the calling and holding of any election under this section. 333
( * * *6) The provisions of this section shall not be 334
construed to affect in any manner the authority of school boards 335
to levy millage for the following purposes: 336
(a) The issuance of bonds, notes and certificates of 337
indebtedness, as authorized in Sections 37-59-1 through 37-59-45 338
and Sections 37-59-101 through 37-59-115; 339
(b) The lease of property for school purposes, as 340
authorized under the Emergency School Leasing Authority Act of 341
1986 (Sections 37-7-351 through 37-7-359); 342
(c) The lease or lease-purchase of school buildings, as 343
authorized under Section 37-7-301; 344
(d) The issuance of promissory notes in the event of a 345
shortfall of ad valorem taxes and/or revenue from local sources, 346
as authorized under Section 27-39-333; and 347
(e) The construction of school buildings outside the 348
school district, as authorized under Section 37-7-401. 349
Any millage levied for the purposes specified in this 350
subsection shall be excluded from the millage limitations 351
established under this section. 352
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SECTION 4. Section 37-57-105, Mississippi Code of 1972, is 353
amended as follows: 354
37-57-105. (1) In addition to the taxes levied under 355
Section 37-57-1, the levying authority for the school district, as 356
defined in Section 37-57-1, upon receipt of a certified copy of an 357
order adopted by the school board of the school district 358
requesting an ad valorem tax effort in dollars for the support of 359
the school district and any charter schools located in the 360
district, shall, at the same time and in the same manner as other 361
ad valorem taxes are levied, levy an annual ad valorem tax in the 362
amount fixed in such order upon all of the taxable property of 363
such school district, which shall not be less than the millage 364
rate certified by the State Board of Education as the uniform 365
minimum school district ad valorem tax levy required for the 366
support of the total funding formula as required by Sections 367
37-151-200 through 37-151-215 in such school district under 368
Sections 37-57-1 and 37-151-211. However, any school district 369
levying less than the uniform minimum school district ad valorem 370
tax levy on July 1, 1997, shall only be required to increase its 371
local district maintenance levy in four (4) mill annual increments 372
in order to attain such millage requirements. In making such 373
levy, the levying authority shall levy an additional amount 374
sufficient to cover anticipated delinquencies and costs of 375
collection so that the net amount of money to be produced by such 376
levy shall be equal to the amount which is requested by the school 377
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board. The proceeds of such tax levy, excluding levies for the 378
payment of the principal of and interest on school bonds or notes 379
and excluding levies for costs of collection, shall be placed in 380
the school depository to the credit of the school district and 381
shall be expended in the manner provided by law for the purpose of 382
supplementing teachers' salaries, extending school terms, 383
purchasing furniture, supplies and materials, and for all other 384
lawful operating and incidental expenses of such school district. 385
The monies authorized to be received by school districts from 386
the School Ad Valorem Tax Reduction Fund pursuant to Section 387
37-61-35 shall be included as ad valorem tax receipts. The 388
levying authority for the school district, as defined in Section 389
37-57-1, shall reduce the ad valorem tax levy for such school 390
district in an amount equal to the amount distributed to such 391
school district from the School Ad Valorem Tax Reduction Fund each 392
calendar year pursuant to Section 37-61-35. Such reduction shall 393
not be less than the millage rate necessary to generate a 394
reduction in ad valorem tax receipts equal to the funds 395
distributed to such school district from the School Ad Valorem Tax 396
Reduction Fund pursuant to Section 37-61-35. The millage levy 397
certified by the State Board of Education as the minimum tax levy 398
shall be subject to the provisions of this paragraph. 399
In any county where there is located a nuclear generating 400
power plant on which a tax is assessed under Section 27-35-309(3), 401
such required levy and revenue produced thereby may be reduced by 402
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the levying authority in an amount in proportion to a reduction in 403
the base revenue of any such county from the previous year. Such 404
reduction shall be allowed only if the reduction in base revenue 405
equals or exceeds five percent (5%). "Base revenue" shall mean 406
the revenue received by the county from the ad valorem tax levy 407
plus the revenue received by the county from the tax assessed 408
under Section 27-35-309(3) and authorized to be used for any 409
purposes for which a county is authorized by law to levy an ad 410
valorem tax. For purposes of determining if the reduction equals 411
or exceeds five percent (5%), a levy of millage equal to the prior 412
year's millage shall be hypothetically applied to the current 413
year's ad valorem tax base to determine the amount of revenue to 414
be generated from the ad valorem tax levy. For the purposes of 415
this section and Section 37-57-107, the portion of the base 416
revenue used for the support of any school district shall be 417
deemed to be the aggregate receipts from ad valorem taxes for the 418
support of any school district. This paragraph shall apply to 419
taxes levied for the 1987 fiscal year and for each fiscal year 420
thereafter. If the Mississippi Supreme Court or another court 421
finally adjudicates that the tax levied under Section 27-35-309(3) 422
is unconstitutional, then this paragraph shall stand repealed. 423
The State Department of Education shall calculate a local pro 424
rata amount for the aggregate receipts of the tax levied in this 425
section by dividing the aggregate receipts by the sum of the 426
school district's net enrollment, as determined under Section 427
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37-151-211, and the net enrollment of any charter school students 428
who reside in the district. 429
(2) When the tax is levied upon the territory of any school 430
district located in two (2) or more counties, the order of the 431
school board requesting the levying of such tax shall be certified 432
to the levying authority of each of the counties involved, and 433
each of the levying authorities shall levy the tax in the manner 434
specified herein. The taxes so levied shall be collected by the 435
tax collector of the levying authority involved and remitted by 436
the tax collector to the school depository of the home county to 437
the credit of the school district involved as provided above, 438
except that taxes for collection fees may be retained by the 439
levying authority for deposit into its general fund. 440
(3) The aggregate receipts from ad valorem taxes levied for 441
school district purposes, excluding collection fees, pursuant to 442
this section and Section 37-57-1 shall be subject to the increased 443
limitation under Section 37-57-107 * * *. 444
SECTION 5. Section 37-57-107, Mississippi Code of 1972, is 445
amended as follows: 446
37-57-107. (1) Beginning with the tax levy for the * * * 447
2025 fiscal year and for each fiscal year thereafter, the 448
aggregate receipts from taxes levied for school district purposes 449
pursuant to Sections 37-57-105 and 37-57-1 shall not exceed the 450
aggregate receipts from those sources during any one (1) of the 451
immediately preceding three (3) fiscal years, as determined by the 452
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school board, plus an increase not to exceed * * * two percent 453
(2%). For the purpose of this limitation, the term "aggregate 454
receipts" when used in connection with the amount of funds 455
generated in a preceding fiscal year shall not include excess 456
receipts required by law to be deposited into a special account. 457
However, the term "aggregate receipts" includes any receipts 458
required by law to be paid to a charter school. The additional 459
revenue from the ad valorem tax on any newly constructed 460
properties or any existing properties added to the tax rolls or 461
any properties previously exempt which were not assessed in the 462
next preceding year may be excluded from the * * * two percent 463
(2%) increase limitation set forth herein. Taxes levied for 464
payment of principal of and interest on general obligation school 465
bonds issued heretofore or hereafter shall be excluded from 466
the * * * two percent (2%) increase limitation set forth herein. 467
Any additional millage levied to fund any new program mandated by 468
the Legislature shall be excluded from the limitation for the 469
first year of the levy and included within such limitation in any 470
year thereafter. For the purposes of this section, the term "new 471
program" shall include, but shall not be limited to * * *: 472
(a) * * * any additional millage levied and the revenue generated 473
therefrom, which is excluded from the limitation for the first 474
year of the levy, to support the * * * Early Childhood Education 475
Program shall be specified on the minutes of the school board and 476
of the governing body making such tax levy; (b) any additional 477
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millage levied and the revenue generated therefrom, which shall be 478
excluded from the limitation for the first year of the levy, for 479
the purpose of generating additional local contribution funds 480
required for the total funding formula as required by Sections 481
37-151-200 through 37-151-215; and (c) any additional millage 482
levied and the revenue generated therefrom which shall be excluded 483
from the limitation for the first year of the levy, for the 484
purpose of support and maintenance of any agricultural high school 485
which has been transferred to the control, operation and 486
maintenance of the school board by the board of trustees of the 487
community college district under provisions of Section 37-29-272. 488
(2) The * * * two percent (2%) increase limitation 489
prescribed in this section may be increased an additional amount 490
only when the school board has determined the need for additional 491
revenues and has held an election on the question of raising the 492
limitation prescribed in this section. The limitation may be 493
increased only if * * * a majority of those voting in the election 494
shall vote for the proposed increase. The resolution, notice and 495
manner of holding the election shall be as prescribed * * * under 496
Section 37-57-104. Revenues collected for the fiscal year in 497
excess of the * * * two percent (2%) increase limitation pursuant 498
to an election shall be included in the tax base for the purpose 499
of determining aggregate receipts for which the * * * two percent 500
(2%) increase limitation applies for subsequent fiscal years. 501
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(3) Except as otherwise provided for excess revenues 502
generated pursuant to an election, if revenues collected as the 503
result of the taxes levied for the fiscal year pursuant to this 504
section and Section 37-57-1 exceed the increase limitation, then 505
it shall be the mandatory duty of the school board of the school 506
district to deposit such excess receipts over and above the 507
increase limitation into a special account and credit it to the 508
fund for which the levy was made. It will be the further duty of 509
such board to hold the funds and invest the same as authorized by 510
law. Such excess funds shall be calculated in the budgets for the 511
school districts for the purpose for which such levies were made, 512
for the succeeding fiscal year. Taxes imposed for the succeeding 513
year shall be reduced by the amount of excess funds available. 514
Under no circumstances shall such excess funds be expended during 515
the fiscal year in which such excess funds are collected. 516
(4) For the purposes of determining ad valorem tax receipts 517
for a preceding fiscal year under this section, the term "fiscal 518
year" means the fiscal year beginning October 1 and ending 519
September 30. 520
(5) Beginning with the 2013-2014 school year, each school 521
district in which a charter school is located shall pay to the 522
charter school an amount for each student enrolled in the charter 523
school equal to the ad valorem taxes levied per pupil for the 524
support of the school district in which the charter school is 525
located. The pro rata ad valorem taxes to be transferred to the 526
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charter school must include all levies for the support of the 527
school district under Sections 37-57-1 (local contribution to the 528
total funding formula as required by Sections 37-151-200 through 529
37-151-215) and 37-57-105 (school district operational levy) but 530
may not include any taxes levied for the retirement of school 531
district bonded indebtedness or short-term notes or any taxes 532
levied for the support of vocational-technical education programs. 533
Payments made pursuant to this subsection by a school district to 534
a charter school must be made before the expiration of three (3) 535
business days after the funds are distributed to the school 536
district. 537
SECTION 6. Section 27-39-207, Mississippi Code of 1972, is 538
amended as follows: 539
27-39-207. (1) Unless the increased revenue in a budget is 540
derived solely from the expansion of a school district's ad 541
valorem tax base, a school district shall not budget an increase 542
in an ad valorem tax effort in dollars for support of the school 543
district unless it first advertises its intention to do so at the 544
same time that it advertises its intention to fix its budget for 545
the next fiscal year. 546
(2) A request for an increase in ad valorem tax effort in 547
dollars for the support of the school district pursuant to 548
Sections 37-57-104, 37-57-105 and 37-57-107 shall not be levied 549
until an order has been approved by the school board of the school 550
district in accordance with the following procedure: 551
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(a) The school board of the school district shall 552
advertise its intent to increase its ad valorem tax effort in 553
dollars in a newspaper of general circulation in the county. The 554
advertisement shall be no less than one-fourth (1/4) page in size 555
and the type used shall be no smaller than eighteen (18) point and 556
surrounded by a one-fourth-inch solid black border. The 557
advertisement shall not be placed in any portion of the newspaper 558
where legal notices and classified advertisements appear. The 559
advertisement shall appear in a newspaper that is published at 560
least five (5) days a week, unless the only newspaper in the 561
county is published less than five (5) days a week. The newspaper 562
selected shall be one of general interest, readership and 563
circulation in all areas of the community. The advertisement 564
shall be published once each week for the two-week period 565
preceding the adoption of the final budget. The advertisement 566
shall provide that the school board of the school district will 567
meet on a certain day, date, time and place fixed in the 568
advertisement, which shall be no less than seven (7) days after 569
the day the first advertisement is published. The meeting on the 570
proposed increase may coincide with the hearing on the proposed 571
budget of the school board of the school district. 572
(b) Except as provided for in subsection (1) of this 573
section, if a school district is requesting an increase in ad 574
valorem tax effort in dollars pursuant to Sections 37-57-105 and 575
37-57-107, it shall be in the following form: 576
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"NOTICE OF PROPOSED AD VALOREM TAX EFFORT 577
(Name of the school district) 578
The (name of the school district) will hold a public hearing 579
on its proposed school district budget for fiscal year (insert the 580
year) on (date and time) at (meeting place). At this meeting, a 581
proposed ad valorem tax effort will be considered. 582
The (name of the school district) is now operating with a 583
projected total budget revenue of $_________. Of that amount, 584
____ percent or $_________ of such revenue is obtained through ad 585
valorem taxes. For next fiscal year, the proposed budget has 586
total projected revenue of $_________. Of that amount, ____ 587
percent or $_________ is proposed to be financed through a total 588
ad valorem tax levy. 589
For the next fiscal year, the proposed increase in ad valorem 590
tax effort by (name of the school district) may result in an 591
increase in the ad valorem tax millage rate. Ad valorem taxes are 592
paid on homes, automobile tags, business fixtures and equipment, 593
and rental real property. 594
Any citizen of (name of the school district) is invited to 595
attend this public hearing on the proposed ad valorem tax effort, 596
and will be allowed to speak for a reasonable amount of time and 597
offer tangible evidence before any vote is taken." 598
(3) The school board of the school district, after the 599
hearing has been held in accordance with the above procedures, may 600
adopt an order requesting the levying of an ad valorem tax effort 601
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ST: School boards; provide process for removal
from office for just cause and remove authority
to request ad valorem tax increase exceeding 2%.
in dollars in excess of the certified tax rate. If such order is 602
not adopted on the day of the public hearing, the scheduled date, 603
time and place for consideration and adoption of the order shall 604
be announced at the public hearing. 605
(4) All hearings shall be open to the public. The school 606
board of the school district shall permit all interested parties 607
desiring to be heard an opportunity to present oral testimony 608
within reasonable time limits and offer tangible evidence. 609
(5) Each school board of a school district shall notify the 610
taxing entity of the date, time and place of its public hearing. 611
No school board of a school district may schedule its hearing at 612
the same time as another overlapping school district in the same 613
county. 614
SECTION 7. This act shall take effect and be in force from 615
and after July 1, 2026. 616