Senate Bill Aims to Add Tax Impact Clarity to School Bond Ballots

By Jonathan Eberle |

The Arizona State Senate is currently examining Senate Bill (SB) 1091, a proposed measure that seeks to enhance transparency in school district funding elections. If enacted, this legislation would require election ballots to include details on potential property tax reductions that would result if voters choose to reject budget overrides or bond measures.

Sponsored by Sen. Jake Hoffman (R-LD15), SB 1091 addresses a critical gap in the information provided to voters. School districts frequently request budget overrides or bond authorizations to secure funding beyond state limits, typically financed through secondary property tax levies, which must be approved via district-wide elections.

While current ballots do list estimated tax rates associated with proposed overrides or bonds, SB 1091 aims to take it a step further. The measure mandates that ballots clearly indicate the estimated reduction in secondary property taxes, should voters opt not to approve the proposal. This requirement allows taxpayers to comprehend the potential financial ramifications of their voting decisions.

Should the bill be approved, ballots would need to feature an average estimated tax reduction and specify the effective date for the tax decrease if the funding measure is rejected. This requirement extends to both budget override continuation elections and bond authorization continuation elections.

In addition to its primary provisions, the bill introduces technical updates to existing statutes without imposing any expected fiscal burden on the state’s general fund. Proponents of SB 1091 argue that it will significantly improve voter awareness regarding the financial implications of school funding, while critics express concerns that this focus on tax reductions could deter support for necessary educational resources.

Jonathan Eberle is a reporter for AZ Free News. You can send him news tips using this link.