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Less Weathly MD School Districts to Benefit from Change in State Aid

creative commons

ANNAPOLIS, Md. (AP) - The Maryland House of Delegates has approved an adjustment to how localities' wealth is calculated in determining state aid for schools.

The House voted 135-3 for the bill Thursday. It now goes to the Senate.

The measure aims to take into account inflated wealth estimates resulting from a public financing tool used to spur development. For example, Baltimore has had property value increases, but it hasn't received the equivalent increases in revenue for schools. That's because of agreements that direct future gains in tax revenue to development improvements, as an incentive for developers.

The bill would require those agreements, known as tax increment financing, to be considered in an overall estimate of a jurisdiction's wealth. The measure would bring more education aid to less-wealthy jurisdictions that use such financing.

Don Rush is the News Director at Delmarva Public Media. An award-winning journalist, Don reports major local issues of the day, from sea level rise, to urban development, to the changing demographics of Delmarva.