DENVER — The program to offer free school meals for all students has brought in more money than expected, and yet it is still underfunded to the point where voters may not get what was promised.
Earlier this year, Next with Kyle Clark broke the news that the state's Healthy School Meals for All program was short more than $70 million dollars over the next two years.
The program was funded by Proposition FF in 2022 – an extra tax on households that earn more than $300,000.
More tax revenue is coming in than expected.
“We know that there are going to be extension filer payments that arrive by October when those extension filings need to be complete,” Greg Sobetski, chief economist for Legislative Council Staff, said.
People who filed for tax extensions are the reason for more money than expected, about $26 million more.
That's not the biggest problem, though.
“A lot of the budgetary issues related to the Healthy School Meals program are on the expenditure side, not the revenue side,” Sobetski said. “The greatest difference from initial estimates is how much the program cost rather than how much the revenue is being collected.”
Food for students costs more in 2024 than expected in 2022.
There is another issue.
When voters approved Prop FF, the ballot language underestimated how much would come in. Because of the Taxpayer Bill of Rights (TABOR), voters will have to be asked once more for the state to be able to keep that overage.
“When you get your ballot, you see ‘SHALL STATE TAXES BE INCREASED BY some amount of money.’ In the case of Proposition FF, back in 2022, that was $100.7 million,” Sobetski said. “We’re now expecting about $127 million, $26 million above that estimate.”
That will help some of the revenue problem, but not the costs.
Prop FF also promised raises for cafeteria staff and for schools to use locally sourced food.
The Colorado Department of Education (CDE) plans to hold public meetings to discuss ways to pitch to the state legislature for those promises to be kept.
Recommendations from CDE will be presented in December.
More from Marshall Zelinger:
SUGGESTED VIDEOS: Next with Kyle Clark