Policy topic

Tax & Revenue Financing

Provisions (6)

FND.7Appropriation & Funding Availability

Annual legislative appropriations support major state facilities programs

Arizona uses annual legislative appropriations, including State General Fund appropriations, to support the New School Facilities Fund, Building Renewal Grant Fund, and Emergency Deficiencies Correction Fund.

Arizona State Roles and Responsibilities for PK-12 Public School Facilities (2025), printed p. 27 · Program: New School Facilities Fund; Building Renewal Grant Fund; Emergency Deficiencies Correction Fund

JUD.4State / Local Responsibility

Historical

Lynch Equal Protection Challenge to Property Tax Limits

In Lynch v. State of Alabama, plaintiffs challenged state constitutional property-tax limitations under the federal Equal Protection Clause, arguing that the provisions disproportionately restricted education funding in predominantly Black and rural areas. The federal district court found that intentional discrimination had not been demonstrated; the Eleventh Circuit upheld the decision, and the U.S. Supreme Court declined review.

Alabama State Profile (2025), printed p. 24

FIN.11Tax & Revenue Financing

Mello-Roos community facilities district special taxes

Districts may finance facilities with Mello-Roos community facilities district special taxes.

California — State Roles and Responsibilities for PK-12 Public School Facilities — 2025 State Profile (2025), printed p. 46

FIN.8Other Debt Instruments

State facilities revenue bonds are repaid from state trust-land revenues

Revenue bonds issued for Arizona school facilities are repaid from revenues generated by the lease or sale of state trust lands rather than from the state's general taxing power.

Arizona State Roles and Responsibilities for PK-12 Public School Facilities (2025), printed p. 27 · A.R.S. § 41-5751; A.R.S. § 41-5781; A.R.S. § 37-221

FIN.11Tax & Revenue Financing

State trust-land revenues support school facilities financing

Arizona school facilities financing includes proceeds from the lease and sale of state trust lands, with state law directing revenues to support facility-related funds and bond repayment.

Arizona State Roles and Responsibilities for PK-12 Public School Facilities (2025), printed p. 27 · A.R.S. § 37-221; A.R.S. § 41-5762

FIN.11Tax & Revenue Financing

Statutory and negotiated developer fees

Districts collect statutory and negotiated developer fees for school facilities.

California — State Roles and Responsibilities for PK-12 Public School Facilities — 2025 State Profile (2025), printed p. 46

Prototype research tool. Records are normalized from NCSI state profiles and have not been verified against current statutes or regulations. This is not legal advice — consult primary legal sources for current requirements.