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ARIZONA HOUSE OF REPRESENTATIVESFifty-seventh Legislature First Regular Session |
Senate: APPROP DP 8-2-0-0 | 3rd Read 17-13-0-0
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SB 1744: 2025-2026; K-12 education
Sponsor: Senator Kavanagh (with permission of Committee on Rules), LD 3
House Engrossed
Overview
Contains provisions relating to K-12 education needed to implement the FY 2026 budget.
History
The Arizona Legislature adopts a budget for each fiscal year (FY) that contains general appropriations. Article IV, Section 20, Part 2 of the Constitution of Arizona requires the General Appropriations Act (feed bill) to contain only appropriations for the different state departments, state institutions, public schools and interest on public debt. Statutory changes necessary to reconcile the appropriations made in the feed bill and other changes are drafted into separate budget bills. These bills are prepared according to subject area.
Provisions
School Finance Formula (Permanent Law)
1. Increases the base level for FY 2026 from $5,013.00 to $5,113.26. (Sec. 6)
2. Increases charter additional assistance from:
a) $2,090.10 to $2,131.90 per student count in preschool programs for children with disabilities, kindergarten and the 1st-8th grades; and
b) $2,435.97 to $2,484.69 per student count in the 9th-12th grades. (Sec. 2)
3. Increases the FY 2026 state support level per route mile from:
a) $2.95 to $3.01 for 0.5 or less approved daily route mileage;
b) $2.42 to $2.47 for more than 0.5 through 1.0 approved daily route mileage; and
c) $2.95 to $3.01 for more than 1.0 approved daily route mileage. (Sec. 7)
4. Adjusts tax year 2025 qualifying tax rates in accordance with statutory truth-in-taxation requirements. (Sec. 8)
Small School Adjustment (SSA) Eligibility (Retroactive to July 1, 2025)
(Session Law)
5. Makes a common school district eligible for the SSA, when determining its FY 2026 budget, if the common school district:
a) is located in a county with a population of more than 200,000 but less than 210,000;
b) has a student count in kindergarten through the 8th grade between 126 and 149; and
c) has a current year average daily membership in kindergarten through the 8th grade of 125 or less. (Sec. 11)
6. Repeals the eligibility for the SSA as prescribed on January 1, 2027. (Sec. 11)
Public High School Automated External Defibrillator (AED) Requirements
7. As session law, requires, beginning on the general effective date and until August 1, 2026, each public high school that sponsors an athletic team or sports program to provide an AED at each school campus. (Sec. 13)
8. As session law, allows a public school to accept gifts, grants and donations to provide AEDs as prescribed. (Sec. 13)
9. As session law, defines AED and public school. (Sec. 13)
10. As permanent law, mandates, beginning August 1, 2026, each public high school that sponsors an athletic team or sports program to provide an AED at each school campus and school-sponsored athletic event and ensure that each AED provided is:
a) in an unlocked location that is clearly marked and easily accessible during the school day and at each school-sponsored athletic event;
b) in a location that complies with guidelines established by a nationally recognized organization focused on emergency cardiovascular care and from which it may be promptly retrieved and used at the school or school-sponsored athletic event; and
c) maintained in good working order and tested according to manufacturer's guidelines. (Sec. 1)
11. As permanent law, allows a school district or charter school to accept gifts, grants and donations to provide AEDs as prescribed. (Sec. 1)
12. As permanent law, defines AED and school-sponsored athletic event. (Sec. 1)
Adult Education and Workforce Development Program Performance Measures (Retroactive to July 1, 2025) (Permanent Law)
13. Reestablishes statute relating to performance measures for adult education and workforce development programs. (Sec. 3, 16)
14. Requires the State Board of Education (SBE), in cooperation with the Office of Economic Opportunity (OEO), rather than the Arizona Department of Education (ADE), to adopt performance measures to evaluate the performance of the Continuing High School and Workforce Training Program (High School Program), Adult Workforce Diploma Program (Diploma Program) and the Community College Adult Workforce Development Program (Community College Program). (Sec. 3, 16)
Community College Program (Permanent Law) (Retroactive to July 1, 2025)
15. Reestablishes the Community College Program in statute. (Sec. 3, 16)
16. Places the Community College Program in ADE, rather than SBE. (Sec. 3, 16)
17. Allows ADE to use up to 5% of the monies appropriated to the Community College Program Fund each year for Community College Program administration costs. (Sec. 3, 16)
18. Specifies the Community College Program must provide adult learners with preparation for and access to integrated education and training and additional study and support services. (Sec. 3, 16)
19. Mandates ADE accept applications from Community College Program applicants between July 1 and June 30 annually and determine whether each applicant is eligible to participate within six weeks after receipt of the completed application. (Sec. 3, 16)
20. Replaces the requirement that to be eligible to participate in the Community College Program, a Community College Program school must provide workforce training that leads to industry-recognized credentials or workforce or degree programs with the requirement that an eligible Community College Program school must provide adult education and literacy activities that prepare adult learners for, or provide adult learners with access to, integrated education and training models. (Sec. 3, 16)
21. Deletes the requirement that an adult learner participate in integrated education and training for a Community College Program school to receive Community College Program Fund monies. (Sec. 3, 16)
22. Allows a Community College Program school to receive up to $5,000, rather than $3,000, per full-time student each fiscal year. (Sec. 3, 16)
23. Instructs ADE to distribute Community College Program Fund monies to Community College Program schools each quarter. (Sec. 3, 16)
24. Caps the total amount distributed from the Community College Program Fund in any quarter at the sum of:
a) 1/4 of the total amount allocated for Community College Program schools in the fiscal year; and
b) any unspent monies that were allocated for Community College Program schools in a previous quarter. (Sec. 3, 16)
25. Requires a Community College Program school to use monies to increase its capacity to provide adult education and literacy activities that prepare adult learners for, or provide adult learners access to, integrated education and training models that lead to industry-recognized training or credentials or a community college certificate or degree, rather than to supplement and not supplant current Community College Program offerings. (Sec. 3, 16)
High School Program (Retroactive to July 1, 2025) (Permanent Law)
26. Reestablishes the High School Program in statute. (Sec. 3, 16)
27. Expands the information a High School Program school must annually report to ADE to include the average of the:
a) amount of time that an adult learner participates in the High School Program;
b) number of course credits earned by an adult learner; and
c) number of industry-recognized credentials earned by an adult learner. (Sec. 3, 16)
28. Caps the total projected full-time enrollment of High School Program schools at:
a) 130, rather than 1,400, in FY 2026; and
b) 0, rather than 1,400, in FY 2027. (Sec. 3, 16)
Diploma Program (Retroactive to July 1, 2025) (Permanent Law)
29. Reestablishes the Diploma Program in statute. (Sec. 9, 16)
30. Places the Diploma Program in OEO, rather than SBE. (Sec. 9, 16)
31. Tasks OEO, rather than ADE, with Diploma Program and Diploma Program Fund administration. (Sec. 9, 16)
32. Allows OEO to use up to 5% of Diploma Program monies for the costs of Diploma Program administration. (Sec. 9, 16)
33. Requires participating Diploma Program providers to report the number of currently enrolled students for whom invoices have been or have not yet been submitted together with the monthly invoices submitted to OEO. (Sec. 9, 16)
34. Adds, to the monthly written update OEO must provide to approved Diploma Program providers, the aggregate number of currently enrolled students in Arizona for whom an invoice has been or has not been submitted. (Sec. 9, 16)
35. Instructs OEO, beginning FY 2028, to review the data from each participating Diploma Program provider to ensure that the provider is achieving minimum Diploma Program performance standards. (Sec. 9, 16)
36. Requires OEO to include in the list of approved Diploma Program providers any provider who was included in the list of approved providers by SBE and was not removed from the list by SBE because the provider's authorization was revoked. (Sec. 14, 16)
9th Grade On-Track Grant Program (Grant Program) (Permanent Law)
37. Establishes the Grant Program in ADE and tasks ADE with administration. (Sec. 4)
38. Authorizes ADE to adopt policies and procedures for the Grant Program. (Sec. 4)
39. Establishes the Grant Program Fund and states that:
a) it is administered by ADE;
b) it consists of legislative appropriations, gifts, grants and donations;
c) monies are continuously appropriated and exempt from lapsing. (Sec. 4)
40. Directs ADE to use Grant Program Fund monies to provide grants to school districts and charter schools. (Sec. 4)
41. Instructs ADE to establish procedures for:
a) a school district or charter school to apply for a grant; and
b) ADE to evaluate grant applications and award grants to eligible school districts and charter schools for a term of more than one year but not more than five years. (Sec. 4)
42. Specifies ADE must ensure that grant application and reporting requirements do not impose an undue burden on school districts and charter schools. (Sec. 4)
43. Requires each grant application to be approved by the school district governing board or charter school governing body by majority vote before the school district or charter school may submit the application to ADE. (Sec. 4)
44. Directs ADE to award to each eligible school district or charter school on a first-come, first-served basis grants of at least $150 for each 9th grade student who is enrolled or projected to be enrolled during the term of the grant. (Sec. 4)
45. Limits the total number of 9th grade students who may be funded at:
a) 22,650 for grants awarded in FY 2026; and
b) 0 for grants awarded in FY 2027. (Sec. 4)
46. Mandates ADE provide administrative support to grant recipients for implementing 9th grade on-track programs and services. (Sec. 4)
47. Requires each school district or charter school that receives a grant award to use monies to establish and expand programs, opportunities and strategies to help 9th grade students complete sufficient credits to be on track to graduate in four years, including:
a) providing real-time, accessibly formatted student grade, attendance and behavior data to 9th grade teachers and support staff;
b) allocating time for 9th grade teachers and support staff to meet during the school day to review data and develop intervention strategies for at-risk 9th grade students;
c) providing timely, actionable data for 9th grade teachers;
d) creating highly effective 9th grade success teams;
e) establishing foundational structures and conditions for 9th grade on-track work;
f) establishing systems and processes to optimize 9th grade success team operations;
g) systematizing 9th grade success by recruiting and engaging all stakeholders;
h) executing proactive and data-driven intervention and referral systems and processes;
i) implementing proactive and high-leverage intervention strategies;
j) executing a comprehensive system of 9th grade transition supports;
k) creating a personalized and supportive environment for 9th grade students;
l) providing early preparation for high school entry;
m) providing proactive supports to 9th grade teachers and support staff;
n) implementing high quality instructional strategies and fair grading practices;
o) developing learning-centered professional communities and student-centered learning communities; and
p) establishing a partnership with an organization that has at least five years of experience providing 9th grade on-track programs and services to school districts and charter schools to increase 9th grade on-track rates. (Sec. 4)
48. Requires a school district or charter school to maintain records of meetings held by 9th grade teachers and support staff to review data and develop intervention strategies and provide those records to ADE on request. (Sec. 4)
49. Instructs a school district or charter school that receives a grant award to provide, on request from ADE, any information necessary to demonstrate grant program compliance. (Sec. 4)
50. Requires a school district or charter school that receives grant monies to supplement and not supplant programs, opportunities and strategies that help 9th grade students complete sufficient credits to be on track to graduate in four years. (Sec. 4)
51. Specifies a student is on track to graduate in four years if the student completes at least 25% of the credits required for high school graduation by the end of the 9th grade and does not earn more than one F letter grade, or the equivalent, in the 9th grade. (Sec. 4)
High School Equivalency (HSE) Preparation (Permanent Law)
52. Authorizes a county school superintendent to offer HSE preparation instruction through an accommodation school to 12th grade students enrolled in the accommodation school. (Sec. 5)
53. Stipulates the county school superintendent must, before providing HSE preparation instruction, obtain written consent from the student's parent or an emancipated student. (Sec. 5)
54. Requires a student who participates in HSE preparation instruction provided by a county school superintendent through an accommodation school to also be enrolled in a career and technical education course or program that leads to a certification, license or credential. (Sec. 5)
55. Defines HSE preparation instruction. (Sec. 5)
Early Education and Career Exploration Program (Career Program)
(Retroactive to June 30, 2025) (Session Law)
56. Delays the repeal of the Career Program and Career Program Fund from July 1, 2025 to July 1, 2027. (Sec. 10, 16)
57. Directs ADE to submit a report on the Career Program and Fund to specified individuals by June 30, 2026. (Sec. 10, 16)
Failing Schools Tutoring Fund (Session Law)
58. As session law, continues to authorize ADE to use Failing Schools Tutoring Fund monies in FY 2026 for:
a) providing assistance to school districts and charter schools for professional development and coaching for teachers and principals;
b) monitoring the progress of school districts and charter schools towards improved academic outcomes; and
c) outreach to ensure that schools and parents have access to tutoring opportunities. (Sec. 12)
59. As session law, requires ADE, by September 1, 2025, to report proposed FY 2026 Failing Schools Tutoring Fund expenditures for the authorized purposes to specified individuals. (Sec. 12)
Miscellaneous
60. As session law, continues to contain an intent clause relating to classroom spending for school districts. (Sec. 15)
61. Makes technical and conforming changes. (Sec. 6)
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65. SB 1744
66. Initials CH Page 0 House Engrossed
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