Leadership announces local aid resolution
March 11, 2008House and Senate leadership announced yesterday that they have reached agreement on local aid amounts for fiscal 2009, proposing a 4.4 percent increase in the three major categories: Chapter 70 school funding, Lottery aid, and Additional Assistance.
The agreement calls for the state budget to level-fund Lottery aid at $935 million, even though Lottery proceeds are projected to fall about $124 million short of this amount.
In a joint statement, Senate President Therese Murray and House Speaker Salvatore DiMasi said, “The Legislature’s budget will ensure the additional $124 million is distributed [from the General Fund] and that cities and towns are held harmless to last year’s allotment.”
The agreement would also maintain a commitment made by the Legislature three years ago by increasing Chapter 70 allocations by $223 million to $3.95 billion. The increase comes as part of a five-year plan to move individual school districts toward their target-aid contribution level. Under the Legislature’s plan, each school district would see an increase in Chapter 70 funding over last year.
Additional Assistance would be level-funded at $380 million.
A Local Aid Resolution, including specific amounts for each city and town, is expected to be filed today.
The agreement, the earliest in recent memory, was a priority of the MMA, which has been asking legislative leaders to reach an early resolution on the three main school and municipal aid accounts so that municipalities can plan their budgets. Last year, leadership announced its local aid resolution on April 4.
“This resolution gives our cities and towns the answers they need to navigate through these fiscally challenging times,” Murray said.
DiMasi added, “I am pleased that this agreement ensures every community in the commonwealth will see an increase in local aid based on dependable forms of revenue.”
In recent years the House has approved a spending plan by late April, with a Senate budget approved by the end of May. A final budget bill is generally signed in late June or early July.
• Download Resolution, with local aid amounts for each community and school district (68K PDF)
• Download local aid resolution press release (130K PDF)
Written by MMA Publications/Web Director John Ouellette




