School Board Tax Cap Discussion on 9-15-26

The Londonderry School District Board discussed House Bill 1300 and a proposed property-tax levy cap at its September 15, 2026 meeting. The cap question is expected on the November 3 state ballot; if approved by a three-fifths majority, it would apply to the district’s FY2028 and FY2029 budgets. Presenters explained that the measure limits growth in the local property-tax levy—not total appropriations—and said its formula relies on CPI and new-construction figures, the latter of which the Department of Revenue Administration has not defined. They estimated that existing cost increases, including collective bargaining agreements, the bus contract, health insurance, special education, utilities, software, and capital reserves, could put the district about $2 million over the cap before accounting for new construction. They also reported an estimated $150,000 shortfall in adequacy aid compared with the prior estimate and approximately $21.5 million in projected revenues.

Board members and public commenters raised concerns that meeting the cap could require staffing or program reductions and could affect classroom services despite ballot language asserting otherwise. Presenters described a pending court challenge to the ballot question’s wording and noted that prior local tax-cap discussions and a 2026 petition had addressed school funding decisions. The discussion included no contract awards, bids, purchasing decisions, or procurement-related votes; the principal fiscal issue was the potential effect of the proposed tax cap on future school budgets.