H.R. 7570: Reinvest in Public Schools Act of 2026

Introduced Feb 13, 20261 cosponsors

Sponsor

Wesley Bell

Democrat · MO-1

School repair money should go to classrooms, not interest

3 min readLast updated July 29, 2026

Why it matters

100 percent of these refinanced bond proceeds would have to support public school construction, repairs, rehabilitation, or school-site land. That means if your district can borrow more cheaply, more money can stay with buildings and classrooms instead of interest payments.

H.R. 7570 would reopen a tax-exempt refinancing option for public school bonds, so districts could potentially cut interest costs and keep more money for facilities.

Right now, that refinancing tool is mostly unavailable. This bill creates a narrow exception for public school projects, not a blanket revival for every government bond.

To qualify, the bond has to be issued by a state or local government, and 100 percent of the available project proceeds must go to public school construction, rehabilitation, repair, or land for a new school site. That keeps the bill focused on buildings, not general operating costs.

The bill also blocks deals designed to generate arbitrage gains beyond normal savings from lower interest rates. If this works as supporters intend, your school district could refinance old debt at lower rates and redirect some of those savings into classrooms, repairs, or new facilities.

The tradeoff is federal revenue: investors would receive tax-exempt interest again on these qualifying bonds, so Washington would collect less tax revenue than it otherwise would.

Bill Progress

IntroducedFeb 13

Committee

Pass House

Pass Senate

Signed

Law

Latest Action · Feb 13, 2026

1/2

Referred to the House Committee on Ways and Means.

H.R. 7570 Bill Summary

What H.R. 7570 actually does.

Public schools regain a tax-exempt refinancing tool

H.R. 7570 would let certain advance refunding bonds for public school facilities qualify for tax-exempt treatment again if issued by a state or local government.

All project proceeds must stay tied to school facilities

To qualify, 100 percent of available project proceeds must be used for public school construction, rehabilitation, repair, or land where a school facility will be built.

Private-school projects are not included

The special rule is limited to public school facilities. The bill does not extend this tax-exempt refinancing treatment to private-school projects.

Arbitrage-driven refunding deals are excluded

The bill blocks transactions designed to create a material financial advantage from arbitrage beyond ordinary savings from lower interest rates.

The change starts after enactment

The new tax-exempt treatment would apply only to qualifying advance refunding bonds issued after the bill becomes law.

Who benefits from H.R. 7570?

Public school districts carrying older debt

Districts that want to refinance existing bonds could gain access to lower-cost borrowing if their projects meet the bill's public-school-only rules.

Students, teachers, and families using aging school buildings

If a district saves money on interest, those dollars could stay available for repairs, renovations, or replacement facilities instead of debt service.

State and local governments financing school construction

Governments that issue school bonds would get a targeted financing tool back for eligible public school facility projects.

Who is affected by H.R. 7570?

Federal taxpayers and the Treasury

Because investors would receive tax-exempt interest on qualifying bonds, the federal government would likely collect less tax revenue.

Bond issuers and school districts using the exception

They would have to keep the financing tied entirely to qualifying public school facility uses and avoid structures the bill treats as abusive arbitrage transactions.

Private schools and non-school local projects

They would not get this special tax-exempt advance refunding treatment, because the bill is limited to public school facilities.

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Tracking floor activity — no debate on H.R. 7570 yet. Updates when a legislator speaks on the record.

HR7570 Legislative Journey

1 actions

House: Committee Action

Feb 13, 2026

Referred to the House Committee on Ways and Means.

About the Sponsor

Wesley Bell

Democrat, Missouri's 1st congressional district · 1 years in Congress

Committees: Armed Services, Oversight and Government Reform, Foreign Affairs

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Cosponsors (1)

This bill has 1 cosponsor: 1 Democrat. Cosponsors represent 1 state: Illinois.

1Democrat·1 state

Robin Kelly

Democrat · IL

Committee Sponsors

Ways and Means Committee

19D26R

|0 signed45 not yet

0 of 45 committee members cosponsored

No committee members have cosponsored this bill

19 Democrats across this committee haven't cosponsored yet. Mobilize their constituents

H.R. 7570 Quick Facts

Cosponsors

Committee: Ways and Means
Chamber: House
Policy: Taxation
Introduced: Feb 13, 2026

Referred to the House Committee on Ways and Means.

Feb 13, 2026

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H.R. 7570 Common Questions

What does H.R. 7570 actually do?

It lets certain public school bonds be refinanced with tax-exempt interest again. The goal is to help school districts lower borrowing costs on facility debt.

Would this help my local school district save money?

Potentially, yes. If your district can refinance older bonds at lower rates, it could spend less on interest and keep more money available for school buildings and repairs.

What school projects qualify under H.R. 7570?

Public school construction, rehabilitation, repairs, and land for a new school site. The bill says 100% of available project proceeds must go to those uses.