Establishing School Finance Transparency Commission

SB 1081 Text

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Introduced Version - Originating in Committee

Senate Bill 1081 History

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WEST virginia legislature
2026 regular session
Originating
Senate Bill 1081
By Senators Rucker, Taylor, Azinger, Clements, M. Maynard, Roberts, Rose, and Thorne
[Originating in the Committee on Select Committee on School Choice; reported February 26, 2026]
A BILL to amend the Code of West Virginia, 1931, as amended, by adding a new section, designated §18-9-7, relating to establishing a School Finance Transparency Commission; setting forth findings; establishing purpose of commission; setting forth members of commission; directing State Department of Education to provide support to commission; requiring commission to produce report; and terminating commission on December 31, 2026.
Be it enacted by the Legislature of West Virginia:

article 9. school finances.

§18-9-7. School Finance Transparency Commission.

(a) The Legislature finds that:
(1) The Public School Support Program distributes substantial state appropriations to county boards of education through a funding formula that includes multiple components intended to support professional personnel, service personnel, transportation, and other educational needs;
(2) A significant portion of state aid is provided to county boards of education in a manner that allows local flexibility in expenditure decisions;
(3) Over time, changes in enrollment, personnel costs, local funding capacity, and educational delivery models have altered the financial landscape for public education;
(4) Policymakers and the public would benefit from a clearer understanding of how state and local education revenues are allocated and expended at the county level, including long-term spending patterns and the relationship between formula components and actual expenditures; and
(5) Greater transparency and coordination among state officials and the Legislature will assist in aligning future education funding decisions with accurate and comprehensive financial information.
It is therefore the purpose of this section to establish a collaborative body to improve understanding of county-level education finance practices and to promote informed policymaking regarding public school funding.
(b) There is hereby created the School Finance Transparency Commission, which shall be convened by the Governor.
(c) The commission shall consist of the following members:
(1) The Governor, or designee, who shall serve as chair;
(2) The State Superintendent of Schools;
(3) The President of the State Board of Education;
(4) Three members of the Senate appointed by the President of the Senate; and
(5) Three members of the House of Delegates appointed by the Speaker of the House of Delegates; and
(6) The Governor shall designate a representative from each of the following:
(A) A member of a county board of education;
(B) A county board of education superintendent; and
(C) A treasurer of a county board of education.
(d) The commission shall:
(1) Review information relating to how county boards of education expend state appropriations and local share funds provided through the Public School Support Program;
(2) Examine historical and current spending patterns across counties, including expenditures related to personnel, administration, operations, and instructional services;
(3) Identify trends associated with enrollment changes, staffing levels, and cost drivers affecting county education finances;
(4) Evaluate the relationship between funding formula components and actual county expenditures, including whether expenditures align with the purposes reflected in the formula steps;
(5) Consider methods to improve fiscal transparency, consistency of financial reporting, and public understanding of education funding; and
(6) Identify specific statutory requirements that create financial strains on county boards of education.
(7) Consider all options to address financial challenges relating to declining enrollment.
(8) Develop recommendations for administrative, statutory, or policy changes that may enhance accountability and clarity in school finance.
(e) The State Department of Education shall provide administrative support to the commission. State agencies and county boards of education shall cooperate with reasonable requests for information necessary to carry out the purposes of this section, consistent with applicable law.
(f) On or before December 1, 2026, the commission shall submit a report of its findings and recommendations to the Governor, the President of the Senate, and the Speaker of the House of Delegates.
(g)

The commission shall terminate on December 31, 2026.

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