AN ACT RELATING TO EDUCATION -- THE EDUCATION EQUITY AND PROPERTY TAX RELIEF ACT (Provides that in local education agencies when over 45% of the children have a family income that is at or below 185% of federal poverty guidelines, then the student success factor will be 50% by the core instruction per-pupil amount.)

H8159

2026 -- H 8159
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LC005767
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STATE OF RHODE ISLAND
IN GENERAL ASSEMBLY
JANUARY SESSION, A.D. 2026
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A N A C T
RELATING TO EDUCATION -- THE EDUCATION EQUITY AND PROPERTY TAX
RELIEF ACT

Introduced By:
Representatives Casey, Phillips, and J. Brien

Date Introduced:
February 27, 2026

Referred To:
House Finance
It is enacted by the General Assembly as follows:
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SECTION 1. Section 16-7.2-3 of the General Laws in Chapter 16-7.2 entitled "The
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Education Equity and Property Tax Relief Act" is hereby amended to read as follows:
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16-7.2-3. Permanent foundation education aid established.
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(a) Beginning in the 2012 fiscal year, the following foundation education-aid formula shall
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take effect. The foundation education aid for each district shall be the sum of the core instruction
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amount in subsection (a)(1) of this section and the amount to support high-need students in
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subsection (a)(2) of this section, which shall be multiplied by the district state-share ratio calculated
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pursuant to § 16-7.2-4 to determine the foundation aid.
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(1) The core instruction amount shall be an amount equal to a statewide, per-pupil core
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instruction amount as established by the department of elementary and secondary education,
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derived from the average of northeast regional expenditure data for the states of Rhode Island,
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Massachusetts, Connecticut, and New Hampshire from the National Center for Education Statistics
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(NCES) that will adequately fund the student instructional needs as described in the basic education
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program and multiplied by the district average daily membership as defined in § 16-7-22.
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Expenditure data in the following categories: instruction and support services for students,
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instruction, general administration, school administration, and other support services from the
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National Public Education Financial Survey, as published by NCES, and enrollment data from the
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Common Core of Data, also published by NCES, will be used when determining the core

1
instruction amount. The core instruction amount will be updated annually. For the purpose of
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calculating this formula, school districts’ resident average daily membership shall exclude charter
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school and state-operated school students.
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(2) The amount to support high-need students beyond the core instruction amount shall be
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determined by:
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(i) Multiplying a student success factor of
forty percent (40%)

forty-five percent (45%)
by
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the core instruction per-pupil amount described in subsection (a)(1) of this section and applying
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that amount for each resident child whose family income is at or below one hundred eighty-five
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percent (185%) of federal poverty guidelines, hereinafter referred to as “poverty status.” By
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October 1, 2022, as part of its budget submission pursuant to § 35-3-4 relative to state fiscal year
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2024 and thereafter, the department of elementary and secondary education shall develop and
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utilize a poverty measure that in the department’s assessment most accurately serves as a proxy for
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the poverty status referenced in this subsection and does not rely on the administration of school
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nutrition programs. The department shall utilize this measure in calculations pursuant to this
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subsection related to the application of the student success factor, in calculations pursuant to § 16-
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7.2-4 related to the calculation of the state share ratio, and in the formulation of estimates pursuant
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to subsection (b) below. The department may also include any recommendations which seek to
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mitigate any disruptions associated with the implementation of this new poverty measure or
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improve the accuracy of its calculation. Beginning with the FY 2024 calculation, students whose
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family income is at or below one hundred eighty-five percent (185%) of federal poverty guidelines
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will be determined by participation in the supplemental nutrition assistance program (SNAP). The
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number of students directly certified through the department of human services shall be multiplied
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by a factor of 1.6; and
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(ii) Multiplying a multilingual learner (MLL) factor of twenty percent (20%) by the core
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instruction per-pupil amount described in subsection (a)(1) of this section, applying that amount
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for each resident child identified in the three lowest proficiency categories using widely adopted,
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independent standards and assessments in accordance with subsection (f)(1) of this section and as
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identified by the commissioner and defined by regulations of the council on elementary and
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secondary education. Local education agencies shall report annually to the department of
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elementary and secondary education by September 1, outlining the planned and prior year use of
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all funding pursuant to this subsection to provide services to MLL students in accordance with
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requirements set forth by the commissioner of elementary and secondary education. The
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department shall review the use of funds to ensure consistency with established best practices.
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(3) In local education agencies, when over forty-five percent (45%) of resident childcare

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are classified as “poverty status,” the student success factor will be fifty percent (50%) by the core
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instruction per-pupil amount described in subsection (a)(1) of this section and applying that amount
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for each resident child whose family income is at or below one hundred and eighty-five percent
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(185%) of federal poverty guidelines.
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(b) The department of elementary and secondary education shall provide an estimate of the
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foundation education aid cost as part of its budget submission pursuant to § 35-3-4. The estimate
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shall include the most recent data available as well as an adjustment for average daily membership
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growth or decline based on the prior year experience.
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(c) In addition, the department shall report updated figures based on the average daily
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membership as of October 1 by December 1.
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(d) Local education agencies may set aside a portion of funds received under subsection
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(a) to expand learning opportunities such as after school and summer programs, full-day
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kindergarten and/or multiple pathway programs, provided that the basic education program and all
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other approved programs required in law are funded.
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(e) The department of elementary and secondary education shall promulgate such
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regulations as are necessary to implement fully the purposes of this chapter.
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(f)(1) By October 1, 2023, as part of its budget submission pursuant to § 35-3-4 relative to
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state fiscal year 2025, the department of elementary and secondary education shall evaluate the
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number of students by district who qualify as multilingual learner (MLL) students and MLL
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students whose family income is at or below one hundred eighty-five percent (185%) of federal
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poverty guidelines. The submission shall also include segmentation of these populations by levels
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as dictated by the WIDA multilingual learner assessment tool used as an objective benchmark for
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English proficiency. The department shall also prepare and produce expense data sourced from the
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uniform chart of accounts to recommend funding levels required to support students at the various
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levels of proficiency as determined by the WIDA assessment tool. Utilizing this information, the
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department shall recommend a funding solution to meet the needs of multilingual learners; this may
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include but not be limited to inclusion of MLL needs within the core foundation formula amount
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through one or multiple weights to distinguish different students of need or through categorical
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means.
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(2) By October 1, 2024, as part of its budget submission pursuant to § 35-3-4 relative to
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state fiscal year 2026, the department of elementary and secondary education shall develop
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alternatives to identify students whose family income is at or below one hundred eighty-five percent
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(185%) of federal poverty guidelines through participation in state-administered programs,
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including, but not limited to, the supplemental nutrition assistance program (SNAP), and RIteCare

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and other programs that include the collection of required supporting documentation. The
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department may also include any recommendations that seek to mitigate any disruptions associated
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with implementation of this new poverty measure or improve the accuracy of its calculation.
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(3) The department shall also report with its annual budget request information regarding
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local contributions to education aid and compliance with §§ 16-7-23 and 16-7-24. The report shall
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also compare these local contributions to state foundation education aid by community. The
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department shall also report compliance to each city or town school committee and city or town
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council.
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(4) By October 1, 2025, as part of its budget submission pursuant to § 35-3-4 relative to
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state fiscal year 2027, the department of elementary and secondary education shall submit a report
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developed in coordination with the department of administration and the Rhode Island longitudinal
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data system within the office of the postsecondary commissioner. The report shall provide an
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overview of the process for matching the department of human services program participation data
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to the department of elementary and secondary education student enrollment records for use in the
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education funding formula and recommend methods to ensure consistency and accuracy in future
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matching processes.
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(5) As part of its FY 2027 budget submission, the department shall also submit an estimate
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of foundation education aid that uses expanded direct certification with Medicaid matching in
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consultation with the Rhode Island longitudinal data system and the executive office of health and
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human services to identify students whose family income is at or below one hundred eighty-five
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percent (185%) of federal poverty guidelines, in addition to an estimate under the current law
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poverty determination.
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(6) By December 31, 2025, the department of elementary and secondary education shall
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also develop and submit a report to the governor, speaker of the house, and senate president on
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current and recommended processes to ensure the consistency and validity of submitted high-cost
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special education data from local education agencies.
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SECTION 2. This act shall take effect upon passage.
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EXPLANATION
BY THE LEGISLATIVE COUNCIL
OF
A N A C T
RELATING TO EDUCATION -- THE EDUCATION EQUITY AND PROPERTY TAX
RELIEF ACT
***
1
This act would provide that in local education agencies when over forty-five percent (45%)
2
of the children have a family income that is at or below one hundred and eighty-five percent (185%)
3
of federal poverty guidelines, then the student success factor will be fifty percent (50%) by the core
4
instruction per-pupil amount.
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This act would take effect upon passage.
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