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HD 3395

An Act to study raising the Chapter 70 inflation cap

194th Legislature (2025-2026) Introduced by Colleen Garry and 2 co-sponsors

Creates a Special Task Force to study the fiscal, economic, and educational effects of raising the Chapter 70 inflation cap; delivers a one-year final report to inform policy.

Senate concurred
0
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Bill Summary · HD 3395

Summary of House Bill 3395 (HD 3395) – An Act to study raising the Chapter 70 inflation cap

Overview

HD 3395 proposes the creation of a special task force to study the fiscal, economic, and educational effects of increasing the foundation budget inflation cap under Chapter 70. The bill seeks to inform policymakers by analyzing current conditions under the existing cap (4.5%) and evaluating potential impacts of raising the cap to higher levels. A final report is due within one year of enactment.

What the bill would do

  • Establishment of a Special Task Force (Section 1)

    • Purpose: Review and report on the fiscal, economic, and educational impact of raising the foundation budget inflation cap.
    • Required elements for the report include:
    • (i) Consequences of the current inflation cap on school districts
    • (ii) Districts most negatively affected by the 4.5% cap
    • (iii) Examples of layoffs or budget cuts resulting from the cap
    • (iv) The total financial impact to the Commonwealth of raising the cap to different levels

  • Task Force Composition (Section 2)

    • Chair: Commissioner of Elementary and Secondary Education or designee
    • Ex officio/major legislative leadership roles: Chairs of the Joint Committee on Education; Secretary of Administration and Finance or designee
    • Education stakeholder voices: President of the Massachusetts Association of School Superintendents; Executive Director of the Massachusetts Association of Regional Schools
    • Legislative representation: 1 member appointed by the President of the Senate; 1 member appointed by the Senate Minority Leader; 1 member appointed by the Speaker of the House; 1 member appointed by the House Minority Leader
    • Governor-appointed members: 6 members, of whom 3 must be superintendents of public school districts

  • Reporting Timeline (Section 3)

    • The task force must submit its findings not later than one year after enactment
    • Deliverables go to the House and Senate clerks, the Ways and Means committees, and the Joint Committee on Education

Who would be affected

  • Primary: Public school districts governed under Chapter 70 foundation budget formula (potentially benefiting from or reacting to changes in the inflation cap)
  • State agencies and associations: Department of Elementary and Secondary Education (DESE), the Administration and Finance Secretariat, and education-related associations (e.g., superintendent and regional school groups)
  • Elected officials and policymakers: Senate and House leadership and appropriations committees

Status and procedural notes

  • Introduced: February 27, 2025
  • Referred to: Committee on Education
  • Status: Senate concurred
  • Purpose: A study/reporting bill to inform possible future changes to the Chapter 70 inflation cap; no immediate funding changes are specified in the text provided.

This bill creates a structured, data-driven review to assess whether raising the Chapter 70 inflation cap is fiscally and educationally advisable, with a prioritized focus on affected districts and quantified financial implications.

Compiled from official sources — confirm details with the bill’s official record.

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