Arizona lawmakers approve lifting school spending cap

The Arizona Legislature has averted potential school closings by approving a one-time increase to a constitutional cap on school district spending.

The Arizona Senate approved Concurrent Resolution 2039, which allows for a one-time increase in the state’s aggregate expenditure limit (AEL) by $1.2 billion.

Voters approved a change to the state’s constitution in 1980 that capped education spending and adjusted it annually for inflation. The provision allows lawmakers to increase the limit by passing a resolution in both chambers. The Senate approved the resolution Monday after the House approved the measure last week. It does not need the governor’s signature to take effect.

In raising the limit, schools are able to spend an additional $1.2 billion in the remaining school year. Lawmakers initially appropriated the funds but COVID-19 aid sent to districts increased overall school spending.

Democrats were unanimous in supporting the measure.

“I am grateful that we are taking a position of alleviating that stress and anxiety, and getting the school funding to our schools, which is just so necessary,” Sen. Christine Marsh, D-Phoenix, said.

Six Republicans voted against raising the limit, saying schools must learn to live within their means.

Sen. Michelle Ugenti-Rita, R-Scottsdale, described the measure as “feeding the beast,” saying that raising the expenditure limit is “capitulating to the educational terrorists” that kept Arizona children home amid the COVID-19 pandemic.

“They shut our schools down,” she said. “They disenfranchised parents. They let our kids stay home. They told our kids they couldn’t come back. The only reason we’re open is because of parents, not because of them.”

Also voting against the measure was Sen. Vince Leach, R-Tucson. He brought up the hesitance to approve increasing the limit because of the legal challenge to Proposition 208. The 3.5% income tax increase to high earners was sent back to Maricopa County Superior Court Judge John Hannah by the Arizona Supreme Court on the basis that the tax revenue from the voter-approved tax would blow through the AEL. Lifting the AEL could influence the judge currently deliberating whether the proposition is constitutional.

Hannah is set to rule on the case in the coming weeks.