Update: Indiana gov. signs bill on bus funding losses

The bill, signed into law last week, is designed to give flexibility to school districts facing transportation budget reductions. The legislation allows districts that have lost at least 10% of their transportation fund levies due to property tax caps to use money from other funds to pay for transportation through 2016.

Thomas McMahon・Executive Editor

March 31, 2014

1 min to read

INDIANAPOLIS — Gov. Mike Pence last week signed into law a bill that is designed to give flexibility to Indiana school districts facing transportation budget reductions.

As previously reported, House Bill 1062 will allow school corporations that have lost at least 10% of their transportation fund levies due to circuit breaker credits (property tax caps) to use money from other funds to pay for transportation through 2016.

"Maintaining transportation is a big concern for many Indiana schools," Sen. Randy Head, a co-sponsor of the bill, said when it passed the state Senate. "Legislators have been working hard to find a solution to the obstacles school corporations face. House Bill 1062 provides necessary relief to struggling school corporations, ensuring they are able to keep buses running to provide safe and reliable transportation for students."

The legislation also extends a financial relief bill for schools by allowing districts that lose at least 20% of their levies from circuit breaker credits to refinance existing debt. This statute expired in 2013, but HB 1062 extends it through 2018.

Topics:budget cuts Indiana taxes Management Safety

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