Use and administration of resale certificates for the local sales and use tax exclusion for sales for resale
Impact
The impact of HB 1120, if enacted, would significantly alter the current landscape of school funding in the state. By prioritizing support for historically underfunded districts, the bill is expected to improve educational resources available to students from disadvantaged backgrounds. Many educators and advocacy groups support this change as a means to level the playing field in educational access. However, there are concerns regarding the potential financial burden on the state budget and how this reallocation may affect funding in wealthier districts.
Summary
House Bill 1120 aims to address funding equity in K-12 education by reallocating state resources to ensure that all districts receive adequate support, regardless of local property tax revenue. The bill proposes an increase in funding for under-resourced schools and emphasizes the state's responsibility to provide equal educational opportunities to all students. Proponents believe that this bill will help bridge the funding gap between wealthy and low-income districts, ultimately enhancing the quality of education across the state.
Sentiment
The sentiment surrounding HB 1120 appears to be largely supportive among education advocates and teachers' unions, who see it as a necessary step toward achieving educational equity. However, some opposition comes from individuals in more affluent districts who argue that the bill may detract from their own funding, believing that their schools have unique needs that could be neglected under a redistribution strategy. This division highlights a broader debate about equity versus adequacy in education funding.
Contention
Notable points of contention regarding HB 1120 include concerns from critics about the unpredictability of funding sources and whether the bill will lead to increased taxes to support the proposed changes. Opponents argue that blanket funding increases might overlook the unique challenges faced by individual districts, leading to inefficiencies. Supporters counter that without such measures, the existing disparities will perpetuate cycles of poverty and educational disadvantage.
Provides for the extent of applicability of various exclusions and exemptions from state sales and use tax (Item #36) (EG +$789,900,000 GF RV See Note)
Provides for the rate of the state sales and use tax and for exemptions, exclusions, credits, and rebates claimed against sales and use taxes; and provides for a flat rate of income tax for individuals, estates, and trusts, increases the standard deduction, and modifies or repeals certain income tax deductions and credits (Items #5, 6, and 8) (EN SEE FISC NOTE RV See Note)
To establish a framework upon which to repeal the property tax on business inventories and offshore vessels as well as the state income tax credits associated therewith through the repeal of a state sales and use tax, the levy of a limited, temporary state sales and use tax, and limitations on the applicability of certain exclusions and exemptions from certain state sales and use taxes (Items #31 and 36) (OR SEE FISC NOTE GF RV)