Section 1: Title This Act shall be known as "The Fair Charter School Reimbursement Act"

Section 2: Purpose The purpose of this Act is to ensure equitable charter school tuition reimbursement for municipalities based on their financial capacity. This Act seeks to amend Section 89 of Chapter 71 of the Massachusetts General Laws by adding provisions that adjust reimbursement levels based on a municipality's combined effort yield relative to its foundation budget.

Section 3: Amendment to MGL Chapter 71, Section 89

Amend Section (gg) of MGL Chapter 71, Section 89, by adding the following provisions at the end of Section (gg) but before Section (hh):

1.(I) If the municipality’s combined effort yield is less than or equal to 100 per cent of the municipality’s foundation budget and reimbursement in accordance with this section is less than 100 per cent of a municipality’s total charter tuition assessments for the current fiscal year, then a municipality shall be reimbursed 100 per cent of the total charter sending tuition assessments or whichever amount is greater.

2.(II) If the municipality’s combined effort yield is less than or equal to 150 per cent of the municipality’s foundation budget but is greater than 100 per cent of the municipality’s foundation budget, and reimbursement in accordance with this section is less than 50 per cent of a municipality’s total charter tuition assessments for the current fiscal year, then a municipality shall be reimbursed 50 per cent of the total charter sending tuition assessments or whichever amount is greater.

Section 3: Effective Date This Act shall take effect at the beginning of the next fiscal year following its passage.

Legislative Declaration The Commonwealth acknowledges the financial burden that charter school tuition assessments place on municipalities. This amendment ensures that municipalities with lower fiscal capacity receive adequate reimbursement, thereby promoting fairness in education funding.