Extends Proposition 301 sales tax due to expire in 2021 to 2041

Yavapai Community College breathed a sigh of relief when Governor Doug Ducey signed into law a bill extending for 20 years the education sales tax rate that generates about $667 million annually for Arizona schools. For the past several years, Yavapai College has indicated concern that it would lose the annual State contribution from proposition 301 when it sunsetted in 2021. That concern is now gone.

The College annually receives state assistance in three categories: First, it receives about $640,000 based on enrollment. Increased enrollment means increased state aid. This is called “maintenance support.”

Second, the College has been receiving about $639,000 pursuant to a special Science, Technology, Engineering, and Math (STEM) grant.

Finally, it receives about $700,000 from the State as its “State Shared Sales Tax.” Because of the new law, the sales tax revenue flowing to the College is no longer in danger of evaporating.

It was almost 20 years ago when Governor Jane Hull and Arizona voters passed Proposition 301.

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