On a day marked by legislative advancement, Colorado Governor Jared Polis inked the 2025 School Finance Act into law, heralding a substantial injection of funds into the state’s public education system. According to Colorado Senate Democrats, this bipartisan move promises a $256 million funding boost to support K-12 education, with a particular focus on students and districts facing the greatest challenges.
Speaker Julie McCluskie highlighted the commitment to ensuring stable funding, stating, “Despite nearly universal declining enrollment, the 2025 School Finance Act ensures that no district drops below the funding amount they received this school year,” as per Colorado Senate Democrats. In tandem, Senator Jeff Bridges celebrated the reform as a landmark investment since the 1990s, targeting critical increases in per-pupil funding and support for vulnerable students. Meanwhile, as schools report an average per-pupil funding rise of $410, Rep. Meghan Lukens reflected on the significance of these funds from a teacher’s perspective, emphasizing the potential for enhancing student success.
The legislation, breaking previous funding records, channels an additional $256.7 million to public schools for the upcoming 2025-2026 school term, pushing the total to an unprecedented $10.035 billion. Within the act, a noteworthy shift in funding strategy is articulated, where the new formula will be implemented gradually over a seven-year period. This strategic adjustment accommodates both the demographic reality of a decrease in student enrollment and the economic viability of the State Education Fund.
Crafted to address the intricacies of the state’s economic and educational landscape, the act also establishes the “Kids Matter Fund.” This initiative sets aside 0.00065 percent of the state revenue collected from federal taxable income each year, beginning July 1, 2026, a move that’s estimated to round up about $230 million for school programs, including special education. The act demonstrates a legislative push for flexibility, allowing adjustments to the funding formula or fiscal reserves to ensure a robust state education finance infrastructure.
