SF 2068 (LSB 5602XS (3) 88)

SENATE FILE 2068

BY  MATHIS, CELSI, RAGAN, JOCHUM, T. TAYLOR, PETERSEN, J. SMITH, WAHLS, and GIDDENS

A BILL FOR

An Act authorizing school districts to use funding from the secure an advanced vision for education fund for certain preschool program costs.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:

    Section 1.  NEW SECTION.  256C.6  Start-up and expansion funding —— secure an advanced vision for education funds.
   1.  For school budget years beginning on or after July 1, 2021, a school district may as part of the application for participation in the preschool program or separately under the application process established in this section, request approval from the department to adopt a resolution and revenue purpose statement under section 423F.3, subsection 3, paragraph “b”, subparagraph (2), to use a portion of the funds received under chapter 423F for up to three consecutive school budget years for costs associated with the school district’s initial school year participating in the statewide preschool program or costs associated with expansion of the school district’s approved local program, including preschool infrastructure costs.
   2.  Prior to the department approving a school district to use funding received under chapter 423F for the purposes specified in subsection 1, the school district shall, in addition to other relevant requirements established by the department by rule, demonstrate an insufficient capacity of public or private preschool programs within the school district boundaries and satisfy one or more of the following:
   a.  A percentage of students in the school district who are limited English proficient exceeds the statewide average.
   b.  A percentage of students in the school district who are eligible for free and reduced price meals under the federal National School Lunch Act and the federal Child Nutrition Act of 1966, 42 U.S.C. §1751-1785, that exceeds the statewide average.
   c.  More than fifteen percent of one or more attendance center’s students are not reading proficiently and are persistently at risk in reading by the end of third grade.
   3.  Funding received under chapter 423F that is approved and used for the purposes of this section shall supplement, not supplant, existing public funding for preschool programming, shall not reduce or affect the amount of preschool foundation aid received by a school district under section 256C.5, and shall not be transferred to the school district’s flexibility account under section 298A.2, subsection 2.
   4.  The department shall adopt rules relating to the application procedures for the approval of the use of funds available under this section, both as part of the application for participation in the preschool program and separately for school districts with an approved local program.
    Sec. 2.  Section 423F.3, subsection 3, paragraph a, Code 2020, is amended to read as follows:
   a.  (1)  If the board of directors adopts a resolution to use funds received under the operation of this chapter solely for providing property tax relief by reducing indebtedness from the levies specified under section 298.2 or 298.18, the board of directors may approve a revenue purpose statement for that purpose without submitting the revenue purpose statement to a vote of the electors.
   (2)  For fiscal years beginning on or after July 1, 2021, in addition to the purposes under subparagraph (1), if the board of directors, following approval by the department of education under section 256C.6, adopts a resolution to use a portion of the funds received under the operation of this chapter for up to three consecutive school budget years for costs associated with the school district’s initial school year participating in the statewide preschool program under chapter 256C or costs associated with expansion of the school district’s approved local program under chapter 256C, including preschool infrastructure costs, the board of directors may approve a revenue purpose statement for that purpose without submitting the revenue purpose statement to a vote of the electors. The aggregate amount of funds received under this chapter that may be approved for the uses specified under this subparagraph is limited to an amount equal to the total amount of funds received by the school district under this chapter for the first fiscal year for which such use is approved. Funds approved for use under this subparagraph shall not relieve the school district of funding use requirements established in the school district’s voter-approved revenue purpose statement, if applicable.
EXPLANATION
The inclusion of this explanation does not constitute agreement with
the explanation’s substance by the members of the general assembly.
   For school budget years beginning on or after July 1, 2021, this bill authorizes a school district to request approval from the department of education to adopt a resolution and a revenue purpose statement under Code chapter 423F to use a portion of the funds received from the secure an advanced vision for education (SAVE) fund for up to three consecutive school budget years for costs associated with the school district’s initial school year participating in the statewide preschool program under Code chapter 256C or costs associated with expansion of the school district’s approved local program under Code chapter 256C, including preschool infrastructure costs.
   School districts approved to use SAVE funds for the purposes specified in the bill, in addition to other relevant requirements established by the department of education by rule, shall demonstrate an insufficient capacity of public or private preschool programs within the school district boundaries and satisfy one or more of the following: (1) a percentage of students in the school district who are limited English proficient exceeds the statewide average; (2) a percentage of students in the school district who are eligible for free and reduced price meals that exceeds the statewide average; and (3) more than 15 percent of one or more attendance center’s students are not reading proficiently and are persistently at risk in reading by the end of third grade.
   If the department of education approves the school district’s use of SAVE funds for such preschool program purposes, the school board may approve a revenue purpose statement for that purpose without submitting the revenue purpose statement to a vote of the electors. The aggregate amount of SAVE funds that may be approved for the uses in the bill is limited to an amount equal to the total amount of SAVE funds received by the school district for the first fiscal year for which such use is approved. Funds approved for such uses shall not relieve the school district of funding use requirements established in the school district’s voter-approved revenue purpose statement, if applicable.