Print
House Study Bill 117 - IntroducedA Bill ForAn Act 1relating to school funding by establishing the state
2percent of growth and the categorical state percent of
3growth for the budget year beginning July 1, 2023, modifying
4provisions relating to the property tax replacement
5payments, making appropriations, and including effective
6date provisions.
7BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
1 Section 1. Section 257.8, subsections 1 and 2, Code 2023,
2are amended to read as follows:
31. State percent of growth. The state percent of growth for
4the budget year beginning July 1, 2020, is two and three-tenths
5percent. The state percent of growth for the budget year
6beginning July 1, 2021, is two and four-tenths percent. The
7state percent of growth for the budget year beginning July 1,
82022, is two and one-half percent. The state percent of growth
9for the budget year beginning July 1, 2023, is three percent.
10 The state percent of growth for each subsequent budget year
11shall be established by statute which shall be enacted within
12thirty days of the transmission of the governor’s budget
13required by February 1 under section 8.21 during the regular
14legislative session beginning in the base year.
152. Categorical state percent of growth. The categorical
16state percent of growth for the budget year beginning July 1,
172020, is two and three-tenths percent. The categorical state
18percent of growth for the budget year beginning July 1, 2021,
19is two and four-tenths percent. The categorical state percent
20of growth for the budget year beginning July 1, 2022, is two
21and one-half percent. The categorical state percent of growth
22for the budget year beginning July 1, 2023, is three percent.
23 The categorical state percent of growth for each budget
24year shall be established by statute which shall be enacted
25within thirty days of the transmission of the governor’s
26budget required by February 1 under section 8.21 during the
27regular legislative session beginning in the base year. The
28categorical state percent of growth may include state percents
29of growth for the teacher salary supplement, the professional
30development supplement, the early intervention supplement, the
31teacher leadership supplement, and for budget years beginning
32on or after July 1, 2020, transportation equity aid payments
33under section 257.16C.
34 Sec. 2. Section 257.16B, subsections 1 and 2, Code 2023, are
35amended to read as follows:
-1- 11. For each fiscal year beginning on or after July 1, 2020
2 2021, there is appropriated from the general fund of the state
3to the department of education an amount necessary to make all
4school district property tax replacement payments under this
5section, as calculated in subsection 2.
62. a. For the budget year beginning July 1, 2020, the
7department of management shall calculate for each school
8district all of the following:
9(1) The regular program state cost per pupil for the budget
10year beginning July 1, 2012, multiplied by one hundred percent
11less the regular program foundation base per pupil percentage
12pursuant to section 257.1 for the budget year beginning July
131, 2020.
14(2) The regular program state cost per pupil for the budget
15year beginning July 1, 2020, multiplied by one hundred percent
16less the regular program foundation base per pupil percentage
17pursuant to section 257.1 for the budget year beginning July
181, 2020.
19(3) The amount of each school district’s property tax
20replacement payment. Each school district’s property tax
21replacement payment equals the school district’s weighted
22enrollment for the budget year beginning July 1, 2020,
23multiplied by the remainder of the amount calculated for
24the school district under subparagraph (2) minus the amount
25calculated for the school district under subparagraph (1).
26b. a. For the budget year beginning July 1, 2021, the
27department of management shall calculate for each school
28district all of the following:
29(1) The regular program state cost per pupil for the budget
30year beginning July 1, 2012, multiplied by one hundred percent
31less the regular program foundation base per pupil percentage
32pursuant to section 257.1 for the budget year beginning July
331, 2021.
34(2) The regular program state cost per pupil for the budget
35year beginning July 1, 2021, multiplied by one hundred percent
-2-1less the regular program foundation base per pupil percentage
2pursuant to section 257.1 for the budget year beginning July
31, 2021.
4(3) The amount of each school district’s property tax
5replacement payment. Each school district’s property tax
6replacement payment equals the school district’s weighted
7enrollment for the budget year beginning July 1, 2021,
8multiplied by the remainder of the amount calculated for
9the school district under subparagraph (2) minus the amount
10calculated for the school district under subparagraph (1).
11c. b. (1) For each the budget year beginning on or after
12 July 1, 2022, the amount of each school district’s property
13tax replacement payment shall be the product of the school
14district’s weighted enrollment for the budget year multiplied
15by the per pupil property tax replacement amount for the budget
16year calculated under subparagraph (2).
17(2) The per pupil property tax replacement amount for
18the budget years year beginning on or after July 1, 2022, is
19equal to the sum of one hundred fifty-three dollars plus the
20difference between the following:
21(a) The regular program state cost per pupil for the budget
22year beginning July 1, 2022, multiplied by one hundred percent
23less the regular program foundation base per pupil percentage
24pursuant to section 257.1 for the applicable budget year under
25this paragraph beginning July 1, 2022.
26(b) The regular program state cost per pupil for the budget
27year beginning July 1, 2021, multiplied by one hundred percent
28less the regular program foundation base per pupil percentage
29pursuant to section 257.1 for the applicable budget year under
30this paragraph beginning July 1, 2022.
31c. (1) For each budget year beginning on or after July
321, 2023, the amount of each school district’s property
33tax replacement payment shall be the product of the school
34district’s weighted enrollment for the budget year multiplied
35by the per pupil property tax replacement amount for the budget
-3-1year calculated under subparagraph (2).
2(2) The per pupil property tax replacement amount for budget
3years beginning on or after July 1, 2023, is equal to the sum
4of one hundred fifty-three dollars plus the difference between
5the following:
6(a) The regular program state cost per pupil for the budget
7year beginning July 1, 2023, multiplied by one hundred percent
8less the regular program foundation base per pupil percentage
9pursuant to section 257.1 for the applicable budget year under
10this paragraph.
11(b) The regular program state cost per pupil for the budget
12year beginning July 1, 2021, multiplied by one hundred percent
13less the regular program foundation base per pupil percentage
14pursuant to section 257.1 for the applicable budget year under
15this paragraph.
16 Sec. 3. EFFECTIVE DATE. This Act, being deemed of immediate
17importance, takes effect upon enactment.
18EXPLANATION
19The inclusion of this explanation does not constitute agreement with
20the explanation’s substance by the members of the general assembly.
21This bill relates to school funding by establishing the
22state percent of growth and the categorical state percent
23of growth for the budget year beginning July 1, 2023, and
24modifying provisions relating to the property tax replacement
25payments.
26The bill establishes a state percent of growth of 3 percent
27for the budget year beginning July 1, 2023. The state percent
28of growth is used to calculate the amount of supplemental state
29aid for a budget year as part of the state school foundation
30program. The bill also establishes a categorical state percent
31of growth of 3 percent for the budget year beginning July 1,
322023. The categorical state percent of growth is generally
33used to calculate the amount of supplemental state aid for each
34of the categorical funding supplements.
35Code section 257.16B provides for school district property
-4-1tax replacement payments. For each budget year beginning on
2or after July 1, 2022, the amount of each school district’s
3property tax replacement payment is the product of the school
4district’s weighted enrollment for the budget year multiplied
5by the per pupil property tax replacement amount for the budget
6year. The per pupil property tax replacement amount for budget
7years beginning on or after July 1, 2022, is equal to the
8sum of $153 plus the difference between the following: (1)
9the regular program state cost per pupil for the budget year
10beginning July 1, 2022, multiplied by 100 percent less the
11regular program foundation base per pupil percentage; and (2)
12the regular program state cost per pupil for the budget year
13beginning July 1, 2021, multiplied by 100 percent less the
14regular program foundation base per pupil percentage. The
15regular program foundation base per pupil percentage is 88.4
16percent.
17The bill modifies the property tax replacement payment
18calculation for budget years beginning on or after July 1,
192023. For budget years beginning on or after July 1, 2023,
20the amount of each school district’s property tax replacement
21payment is the product of the school district’s weighted
22enrollment for the budget year multiplied by the per pupil
23property tax replacement amount for the budget year. The
24per pupil property tax replacement amount for budget years
25beginning on or after July 1, 2023, is equal to the sum of $153
26plus the difference between the following: (1) the regular
27program state cost per pupil for the budget year beginning July
281, 2023, multiplied by 100 percent less the regular program
29foundation base per pupil percentage; and (2) the regular
30program state cost per pupil for the budget year beginning July
311, 2021, multiplied by 100 percent less the regular program
32foundation base per pupil percentage.
33The bill takes effect upon enactment.
-5-md/jh
2percent of growth and the categorical state percent of
3growth for the budget year beginning July 1, 2023, modifying
4provisions relating to the property tax replacement
5payments, making appropriations, and including effective
6date provisions.
7BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
1 Section 1. Section 257.8, subsections 1 and 2, Code 2023,
2are amended to read as follows:
31. State percent of growth. The state percent of growth for
4the budget year beginning July 1, 2020, is two and three-tenths
5percent. The state percent of growth for the budget year
6beginning July 1, 2021, is two and four-tenths percent. The
7state percent of growth for the budget year beginning July 1,
82022, is two and one-half percent. The state percent of growth
9for the budget year beginning July 1, 2023, is three percent.
10 The state percent of growth for each subsequent budget year
11shall be established by statute which shall be enacted within
12thirty days of the transmission of the governor’s budget
13required by February 1 under section 8.21 during the regular
14legislative session beginning in the base year.
152. Categorical state percent of growth. The categorical
16state percent of growth for the budget year beginning July 1,
172020, is two and three-tenths percent. The categorical state
18percent of growth for the budget year beginning July 1, 2021,
19is two and four-tenths percent. The categorical state percent
20of growth for the budget year beginning July 1, 2022, is two
21and one-half percent. The categorical state percent of growth
22for the budget year beginning July 1, 2023, is three percent.
23 The categorical state percent of growth for each budget
24year shall be established by statute which shall be enacted
25within thirty days of the transmission of the governor’s
26budget required by February 1 under section 8.21 during the
27regular legislative session beginning in the base year. The
28categorical state percent of growth may include state percents
29of growth for the teacher salary supplement, the professional
30development supplement, the early intervention supplement, the
31teacher leadership supplement, and for budget years beginning
32on or after July 1, 2020, transportation equity aid payments
33under section 257.16C.
34 Sec. 2. Section 257.16B, subsections 1 and 2, Code 2023, are
35amended to read as follows:
-1- 11. For each fiscal year beginning on or after July 1, 2020
2 2021, there is appropriated from the general fund of the state
3to the department of education an amount necessary to make all
4school district property tax replacement payments under this
5section, as calculated in subsection 2.
62. a. For the budget year beginning July 1, 2020, the
7department of management shall calculate for each school
8district all of the following:
9(1) The regular program state cost per pupil for the budget
10year beginning July 1, 2012, multiplied by one hundred percent
11less the regular program foundation base per pupil percentage
12pursuant to section 257.1 for the budget year beginning July
131, 2020.
14(2) The regular program state cost per pupil for the budget
15year beginning July 1, 2020, multiplied by one hundred percent
16less the regular program foundation base per pupil percentage
17pursuant to section 257.1 for the budget year beginning July
181, 2020.
19(3) The amount of each school district’s property tax
20replacement payment. Each school district’s property tax
21replacement payment equals the school district’s weighted
22enrollment for the budget year beginning July 1, 2020,
23multiplied by the remainder of the amount calculated for
24the school district under subparagraph (2) minus the amount
25calculated for the school district under subparagraph (1).
26b. a. For the budget year beginning July 1, 2021, the
27department of management shall calculate for each school
28district all of the following:
29(1) The regular program state cost per pupil for the budget
30year beginning July 1, 2012, multiplied by one hundred percent
31less the regular program foundation base per pupil percentage
32pursuant to section 257.1 for the budget year beginning July
331, 2021.
34(2) The regular program state cost per pupil for the budget
35year beginning July 1, 2021, multiplied by one hundred percent
-2-1less the regular program foundation base per pupil percentage
2pursuant to section 257.1 for the budget year beginning July
31, 2021.
4(3) The amount of each school district’s property tax
5replacement payment. Each school district’s property tax
6replacement payment equals the school district’s weighted
7enrollment for the budget year beginning July 1, 2021,
8multiplied by the remainder of the amount calculated for
9the school district under subparagraph (2) minus the amount
10calculated for the school district under subparagraph (1).
11c. b. (1) For each the budget year beginning on or after
12 July 1, 2022, the amount of each school district’s property
13tax replacement payment shall be the product of the school
14district’s weighted enrollment for the budget year multiplied
15by the per pupil property tax replacement amount for the budget
16year calculated under subparagraph (2).
17(2) The per pupil property tax replacement amount for
18the budget years year beginning on or after July 1, 2022, is
19equal to the sum of one hundred fifty-three dollars plus the
20difference between the following:
21(a) The regular program state cost per pupil for the budget
22year beginning July 1, 2022, multiplied by one hundred percent
23less the regular program foundation base per pupil percentage
24pursuant to section 257.1 for the applicable budget year under
25this paragraph beginning July 1, 2022.
26(b) The regular program state cost per pupil for the budget
27year beginning July 1, 2021, multiplied by one hundred percent
28less the regular program foundation base per pupil percentage
29pursuant to section 257.1 for the applicable budget year under
30this paragraph beginning July 1, 2022.
31c. (1) For each budget year beginning on or after July
321, 2023, the amount of each school district’s property
33tax replacement payment shall be the product of the school
34district’s weighted enrollment for the budget year multiplied
35by the per pupil property tax replacement amount for the budget
-3-1year calculated under subparagraph (2).
2(2) The per pupil property tax replacement amount for budget
3years beginning on or after July 1, 2023, is equal to the sum
4of one hundred fifty-three dollars plus the difference between
5the following:
6(a) The regular program state cost per pupil for the budget
7year beginning July 1, 2023, multiplied by one hundred percent
8less the regular program foundation base per pupil percentage
9pursuant to section 257.1 for the applicable budget year under
10this paragraph.
11(b) The regular program state cost per pupil for the budget
12year beginning July 1, 2021, multiplied by one hundred percent
13less the regular program foundation base per pupil percentage
14pursuant to section 257.1 for the applicable budget year under
15this paragraph.
16 Sec. 3. EFFECTIVE DATE. This Act, being deemed of immediate
17importance, takes effect upon enactment.
18EXPLANATION
19The inclusion of this explanation does not constitute agreement with
20the explanation’s substance by the members of the general assembly.
21This bill relates to school funding by establishing the
22state percent of growth and the categorical state percent
23of growth for the budget year beginning July 1, 2023, and
24modifying provisions relating to the property tax replacement
25payments.
26The bill establishes a state percent of growth of 3 percent
27for the budget year beginning July 1, 2023. The state percent
28of growth is used to calculate the amount of supplemental state
29aid for a budget year as part of the state school foundation
30program. The bill also establishes a categorical state percent
31of growth of 3 percent for the budget year beginning July 1,
322023. The categorical state percent of growth is generally
33used to calculate the amount of supplemental state aid for each
34of the categorical funding supplements.
35Code section 257.16B provides for school district property
-4-1tax replacement payments. For each budget year beginning on
2or after July 1, 2022, the amount of each school district’s
3property tax replacement payment is the product of the school
4district’s weighted enrollment for the budget year multiplied
5by the per pupil property tax replacement amount for the budget
6year. The per pupil property tax replacement amount for budget
7years beginning on or after July 1, 2022, is equal to the
8sum of $153 plus the difference between the following: (1)
9the regular program state cost per pupil for the budget year
10beginning July 1, 2022, multiplied by 100 percent less the
11regular program foundation base per pupil percentage; and (2)
12the regular program state cost per pupil for the budget year
13beginning July 1, 2021, multiplied by 100 percent less the
14regular program foundation base per pupil percentage. The
15regular program foundation base per pupil percentage is 88.4
16percent.
17The bill modifies the property tax replacement payment
18calculation for budget years beginning on or after July 1,
192023. For budget years beginning on or after July 1, 2023,
20the amount of each school district’s property tax replacement
21payment is the product of the school district’s weighted
22enrollment for the budget year multiplied by the per pupil
23property tax replacement amount for the budget year. The
24per pupil property tax replacement amount for budget years
25beginning on or after July 1, 2023, is equal to the sum of $153
26plus the difference between the following: (1) the regular
27program state cost per pupil for the budget year beginning July
281, 2023, multiplied by 100 percent less the regular program
29foundation base per pupil percentage; and (2) the regular
30program state cost per pupil for the budget year beginning July
311, 2021, multiplied by 100 percent less the regular program
32foundation base per pupil percentage.
33The bill takes effect upon enactment.
-5-md/jh