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House Journal: Page 710: Thursday, March 20, 1997

10   facility or which is a nonprofit corporation organized
11   under chapter 504A and exempt from taxation pursuant
12   to section 501(c) of the Internal Revenue Code, may
13   submit a plan and proposed budget for the education of
14   a child living in the facility to the department of
15   education by January 1 annually.  The department of
16   education shall notify the facility of its approval or
17   denial of the plan in writing by February 1.
18   Notification, if the plan is denied, shall identify
19   any areas of noncompliance with the education
20   standards provided in section 256.11, and shall
21   contain recommendations for corrective action
22   necessary for compliance.
23     (2)  Notwithstanding section 282.31, if the plan is
24   approved, the department of education shall direct the
25   department of revenue and finance to pay the approved
26   budget amount provided for in the plan to the facility
27   in monthly installments beginning September 15 and
28   ending June 15 of the next succeeding school year.
29   The installments shall be as nearly equal as possible
30   as determined by the department of management, taking
31   into consideration the relative budget and cash
32   position of the state's resources.  The department of
33   revenue and finance shall transfer the approved budget
34   amount for the facility from the moneys appropriated
35   under section 257.16 and make the payments to the
36   facility.  The facility shall submit an accounting for
37   the actual cost of the plan to the department of
38   education by August 1 of the following school year.
39   The department shall review and approve or modify all
40   expenditures incurred in compliance with rules adopted
41   by the state board of education pursuant to section
42   256.7, subsection 10, and shall notify the department
43   of revenue and finance of the approved accounting
44   amount.  The approved accounting amount shall be
45   compared with any amounts paid by the department of
46   revenue and finance to the facility and any
47   differences added to or subtracted from the October
48   payment made under this paragraph for the next school
49   year.  Any amount paid by the department of revenue
50   and finance shall be deducted monthly from the state

Page 2  

 1   foundation aid paid under section 257.16 to all school
 2   districts in the state during the subsequent fiscal
 3   year.  The portion of the total amount of the approved
 4   budget that shall be deducted from the state aid of a
 5   school district shall be the same as the ratio that
 6   the budget enrollment for the budget year of the
 7   school district bears to the total budget enrollment
 8   in the state for that budget year in which the
 9   deduction is made.  Not more than ten percent of the
10   moneys received under this paragraph shall be used for

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