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ARIZONA HOUSE OF REPRESENTATIVES57th Legislature, 2nd Regular Session |
House: APPROP DP 15-1-2-0 | Third Read 46-12-2-0-0
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HB 4163: K-12 education; 2026-2027
Sponsor: Representative Livingston, LD 28
Signed by the Governor
Overview
Contains provisions relating to K-12 education needed to implement the FY 2027 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
Public School Funding Formula (Permanent Law)
1. Increases the base level for FY 2027 from $5,113.26 to $5,215.53. (Sec. 2)
2. Increases the FY 2027 state support level per route mile from:
a. $3.01 to $3.07 for 0.5 or less approved daily route mileage per eligible student transported;
b. $2.47 to $2.52 for more than 0.5 through 1.0 approved daily route mileage per eligible student transported; and
c. $3.01 to $3.07 for more than 1.0 approved daily route mileage per eligible student transported. (Sec. 3)
3. Increases charter additional assistance from:
a. $2,131.90 to $2,174.54 per student count in preschool programs for children with disabilities, kindergarten and the 1st-8th grades; and
b. $2,484.69 to $2,534.38 per student count in the 9th-12th grades. (Sec. 1)
4. Adjusts tax year 2026 qualifying tax rates for school districts in accordance with statutory truth in taxation requirements. (Sec. 5)
Arizona State Schools for the Deaf and the Blind (ASDB) (Permanent Law)
5. Establishes the Property Proceeds Fund that is administered by ASDB and that consists of proceeds from the sale or lease of school buildings and grounds. (Sec. 4)
6. Specifies Property Proceeds Fund monies are subject to legislative appropriation and are exempt from lapsing. (Sec. 4)
7. Requires ASDB to deposit in the Property Proceeds Fund all monies that ASDB receives for the sale or lease of school buildings and grounds beginning July 1, 2026. (Sec. 4)
8. Directs the State Treasurer, on notice from ASDB, to invest and divest Property Proceeds Fund monies and credit monies earned from investment to the Property Proceeds Fund. (Sec. 4)
9. Specifies ASDB is not required to deposit monies in the Property Proceeds Fund if ASDB receives the monies for:
a. fees, rentals and other charges for the use of school facilities for nonschool events;
b. proceeds from the lease of school buildings or grounds to a school; or
c. proceeds from the lease of school buildings or grounds for less than one year. (Sec. 4)
10. States a lease of school buildings or grounds for less than one year that includes an automatic lease renewal resulting in a total lease duration exceeding one year is considered a lease for more than one year. (Sec. 4)
11. Instructs ASDB, in any fiscal year in which the Legislature appropriates monies from the Property Proceeds Fund to ASDB, to prepare an expenditure plan for the monies and submit the plan to the Joint Legislative Budget Committee for review. (Sec. 4)
12. Requires ASDB, before it may sell school buildings or grounds, to:
a. determine the appraised value of the buildings or grounds by ordering independent appraisals from at least two different firms;
b. submit a proposal to sell school buildings or grounds to the Joint Committee on Capital Review for review; and
c. sell the property in accordance with statute relating to the disposition of real property by a state agency. (Sec. 4)
13. Mandates ASDB procure appraisal services according to the Arizona Procurement Code. (Sec. 4)
14. Stipulates ASDB may award a contract for appraisal services to a firm only if the appraiser is well qualified and a designated member of a nationally recognized real estate appraisal association, institute or society. (Sec. 4)
15. Allows ASDB to use any appraisal ordered as prescribed as the appraised value of the school buildings or grounds. (Sec. 4)
Failing Schools Tutoring Fund (Session Law)
16. Continues to authorize the Arizona Department of Education (ADE) to use Failing Schools Tutoring Fund monies in FY 2027 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 toward improved academic outcomes; and
c. outreach to ensure that schools and parents have access to tutoring opportunities. (Sec. 6)
17. Requires ADE, by September 1, 2026, to report proposed FY 2027 Failing Schools Tutoring Fund expenditures for the authorized purposes to specified individuals. (Sec. 6)
Child Sexual Abuse and Assault Awareness and Prevention Pilot Program
(Child Abuse Awareness Pilot Program) (Session Law)
18. Establishes the Child Abuse Awareness Pilot Program in ADE. (Sec. 7)
19. Repeals the Child Abuse Awareness Pilot Program on January 1, 2029. (Sec. 7)
20. Requires ADE, by July 1, 2027, to:
a. allow public schools to apply to participate in the Child Abuse Awareness Pilot Program; and
b. select six public schools from the applicants to participate in the Child Abuse Awareness Pilot Program during the 2027-2028 school year. (Sec. 7)
21. Directs ADE to consult with the Department of Child Safety (DCS) and organizations operated by survivors of grooming or human trafficking in developing the Child Abuse Awareness Pilot Program and its curriculum. (Sec. 7)
22. Requires the Child Abuse Awareness Pilot Program to include, for teachers, at least four hours of in-person, evidence-based instructional modules that are provided by an organization selected by ADE. (Sec. 7)
23. Specifies the training and resources that may be included in the instructional modules for teachers. (Sec. 7)
24. Requires the Child Abuse Awareness Pilot Program to include for parents of students enrolled in the participating schools:
a. at least three hours of in-person, evidence-based instruction provided by an organization selected by ADE; and
b. age-appropriate educational materials designed for children in kindergarten or the 1st-12th grades regarding child sexual abuse and assault awareness and prevention, including exploitation, grooming behaviors and grooming with the intent to exploit (educational materials). (Sec. 7)
25. Specifies the skills and strategies that may be included in the evidence-based instruction that an organization provides to the parents of students enrolled in the participating schools. (Sec. 7)
26. Stipulates the Child Abuse Awareness Pilot Program must include a uniform child sexual abuse and assault response policy and reporting procedure that is based on best practices. (Sec. 7)
27. Details what may be included in the uniform child sexual abuse and assault response policy and reporting procedure. (Sec. 7)
28. Authorizes ADE to contract with a provider to implement the Child Abuse Awareness Pilot Program if the provider demonstrates it is able to meet all prescribed requirements. (Sec. 7)
29. Instructs ADE to select one or more organizations to provide the instructional modules for teachers or the instruction for the parents of students, or both. (Sec. 7)
30. Outlines requirements an organization must meet to be selected by ADE to provide the instructional modules for teachers or the instruction for the parents of students, or both. (Sec. 7)
31. Directs ADE, beginning on the general effective date, to gather stakeholder input to develop a Child Abuse Awareness Pilot Program curriculum, including scheduling stakeholder meetings, and:
a. soliciting input from representatives of specified entities; and
b. selecting an organization that meets prescribed requirements to:
i. develop the Child Abuse Awareness Pilot Program curriculum;
ii. coordinate stakeholder input; and
iii. ensure the curriculum is survivor-informed and prevention-focused. (Sec. 7)
32. Subjects the Child Abuse Awareness Pilot Program curriculum developed by the organization selected by ADE to approval by the State Board of Education and ADE.
33. Requires ADE to:
a. make the educational materials available to the public on its website; and
b. provide the webpage address for the educational materials to each participating school and the Director of the Department of Health Services (DHS). (Sec. 7)
34. Directs ADE to select an organization to provide by mail a printed copy of the educational materials on receipt of any request that is submitted by schools on behalf of parents of students. (Sec. 7)
35. Allows ADE, if sufficient monies are available, to reimburse the organization selected by ADE for the actual costs of providing printed copies of the educational materials to the parents of students. (Sec. 7)
36. Prohibits a public school participating in the Child Abuse Awareness Pilot Program from requiring any parent to participate. (Sec. 7)
37. Instructs a public school participating in the Child Abuse Awareness Pilot Program, on enrollment of a student, to provide to the student's parent:
a. the webpage address for the educational materials posted on ADE's website; and
b. an opportunity to request a printed copy of the educational materials. (Sec. 7)
38. Stipulates that if a student's parent requests a printed copy of the educational materials and authorizes the school to disclose the parent's address, the:
a. school must submit the request and address to the organization selected by ADE; and
b. organization must mail a printed copy of the educational materials to the student's parent. (Sec. 7)
39. Requires DHS to include, in the educational materials and information that is compiled and provided to new parents, the webpage address for the educational materials posted on ADE's website. (Sec. 7)
40. Instructs each public school participating in the Child Abuse Awareness Pilot Program to report to ADE and DCS, by October 1, 2028, specified information regarding the Pilot Program. (Sec. 7)
41. Defines grooming and exploitation. (Sec. 7)
Miscellaneous
42. As session law, directs ADE to:
a. recalculate the state aid for the Alhambra Elementary School District (ESD) in FY 2025 as the result of a change in the assessed valuation of property within the school district; and
b. increase Alhambra ESD's FY 2027 state aid by $852,200. (Sec. 8)
43. As session law, repeals the provisions relating to the state aid calculations for Alhambra ESD on January 1, 2028. (Sec. 8)
44. As session law, continues to contain an intent clause relating to classroom spending for school districts. (Sec. 9)
45. Makes technical and conforming changes. (Sec. 2)
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Initials CH HB 4163
6/19/2026 Page 0 Signed by the Governor
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