The Joint Meeting of the Senate Committee on Finance and Assembly Committee on Ways and Means took place on May 10, 2025, focusing on budget recommendations for the upcoming fiscal years. The subcommittee presented significant adjustments to the general fund appropriations, proposing a decrease of $93.7 million for fiscal year 2026 and $30.2 million for fiscal year 2027 compared to the governor's recommended budget.
Key discussions centered around the education stabilization account and the pupil-centered funding plan. The subcommittee highlighted an estimated revenue reduction of approximately $208.6 million for fiscal year 2025, which included a $159.2 million decrease from the legislatively approved budget. To address this shortfall, the subcommittee recommended a permanent transfer of $126.9 million from the education stabilization account to the pupil-centered funding plan for fiscal year 2025.
For the pupil-centered funding plan, the subcommittee approved total funding of $5.724 billion for fiscal year 2026 and $5.761 billion for fiscal year 2027, reflecting a decrease from the previous executive budget recommendations. This adjustment was attributed to updated enrollment projections and revisions to the funding model.
The subcommittee also recommended general fund appropriations of $2.773 billion over the 2025-2027 biennium, which includes a 5.61% increase for inflation and enrollment. Specific allocations included $193.6 million for food service and transportation costs and $599.8 million to support pupils with disabilities each year.
Notably, the subcommittee did not approve the governor's recommendation for a new salary adjustment tier within the pupil-centered funding plan, instead proposing a transfer of $249.9 million for a school district salary adjustment program. They also recommended maintaining the statewide base per pupil funding amounts at $9,416 for fiscal year 2026 and $9,486 for fiscal year 2027.
Further recommendations included a review of the methodology for local special education funding and adjustments to the Nevada Teacher Advancement Scholarship Program. The subcommittee directed the Department of Education to reconcile scholarship program participation and associated liabilities, ensuring future budget considerations are informed by these findings.
In conclusion, the meeting underscored the challenges faced by Nevada's education funding amidst reduced revenue projections, while also outlining a strategic approach to maintain essential services and support for students. The subcommittee's recommendations will be crucial as the state prepares for the upcoming fiscal years.