Lawmakers gave final approval Thursday morning to a $2.4 billion schools budget for 2010 that will result in a net cut of about 5.2 percent to education and will allow charter schools to expand.

The House voted 47-27 Thursday morning to pass the bill, HB2, with changes the Senate made to the original bill on Wednesday. Those changes included allowing charter schools to expand. An earlier version of the bill would have frozen charter school growth in 2010-2011.

Brian Allen, state charter school board chair, said he is "thrilled" charter schools will be allowed to continue to grow.

Rep. Ron Bigelow, R-West Valley City, who originally sought to limit charter school expansion, said he agreed with the new changes because they would keep the state board of education from giving final approval to new charter schools until lawmakers approve full funding. Now, the state board approves new charters in the fall about two years before they're scheduled to open.

Bigelow said, however, that fully funding education growth, including charter school expansion, could result in tax increases in the future.

"If the economy doesn't turn around I absolutely guarantee you the only place you will find money is from a tax increase," Bigelow said.

Another change in HB2 takes $300,000 from a program that gives math and science teachers extra pay to fund a new performance pay pilot program for elementary schools.

Rep. Greg Hughes, R-Draper, who is sponsoring the bill, HB328, that would create the performance pay program said funding that program would be a way to keep the "ball rolling even in the most difficult of times." HB328 still must pass the Senate, but will now be funded if it does.

Several lawmakers in the House expressed concern over taking $300,000 from extra pay for math and science teachers for the performance pay pilot program, especially after they decided to axe the rest of what was left of a $20 million performance pay program passed last year.

"This is robbing Peter to pay Paul in order to fund a program that is a new program in a year where the budget is what is it," said Rep. Kory Holdaway, R-Taylorsville, who is also a special education teacher.

Kim Campbell, Utah Education Association (UEA) president, said she was also disappointed to see funding for a new program in this budget year, though the union supports the concept of performance pay.

"There were still some pet projects left in the long-term funding package in a time when I think the public expects them to roll up their sleeves and focus on the basics," Campbell said.

Overall, HB2 cuts 5.2 percent from education with help from $298 million in federal stimulus money. The education budget lawmakers passed Thursday is about $144.8 million less than the budget they passed last year, said Sen. Howard Stephenson, R-Draper.

Steven Peterson, with the Utah School Boards Association and the Utah School Superintendents Association, said the cuts will still be a challenge to schools but are better than what they might have been.

"I think they've worked very hard to try to have public education held harmless as much as possible," Peterson said. "The 5.2 percent cut is a far cry from where they started."

Lawmakers warned the federal stimulus money will help for only one year and if the economy doesn't turn around, schools could face much tougher cuts next legislative session.

Stephenson warned school districts not to use all their reserves to deal with cuts this year as they might need them for next year.