With the passage of Proposition 301 in the November 2000 general election, the Arizona state Department of Revenue started collecting an additional 0.6% sales tax, dedicating the increased revenues to public education which is set to expire at the end of 2020. For more info, please see AZ Statute 15-1472.
Prop 301 generates over $640 million dollars annually, with about $500 million going to K-12 education. Here’s a breakdown of where the money went in 2016 (source: Joint Legislative Budget Committee):
- K-12: $500M
- State Universities: $69.6M
- Community Colleges: $18.2M
- Tax credit for low-income households: $25M
Funds for Community Colleges are intended to support Workforce Development.
Proposition 301 is an Arizona State Grant.