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Senate Study Bill 1037

Bill Text

PAG LIN
  1  1    Section 1.  Section 257.1, subsection 2, unnumbered
  1  2 paragraph 3, Code 1999, is amended to read as follows:
  1  3    For the budget year commencing July 1, 1995 1999, the
  1  4 department of management shall add the amount of the
  1  5 additional budget adjustment computed in section 257.14,
  1  6 subsection 2 1, to the combined foundation base.
  1  7    Sec. 2.  NEW SECTION.  257.13  ON-TIME FUNDING FOR NEW
  1  8 STUDENTS.
  1  9    1.  For the school budget year beginning July 1, 1999, if a
  1 10 district's actual enrollment for the budget year, determined
  1 11 under section 257.6, is greater than its budget enrollment for
  1 12 the budget year, the district may submit a request to the
  1 13 school budget review committee for on-time funding for new
  1 14 students.  The school budget review committee shall consider
  1 15 the relative increase in enrollment on a district-by-district
  1 16 basis, in determining whether to approve the request, and
  1 17 shall determine the amount of additional funding to be
  1 18 provided if the request is granted.  An application for on-
  1 19 time funding pursuant to this subsection must be received by
  1 20 the department of education by November 1.  Written notice of
  1 21 the committee's decision shall be given through the department
  1 22 of education to the school board for a district.
  1 23    2.  If the school budget review committee approves a
  1 24 request for on-time funding for new students, the funding
  1 25 shall be in an amount up to the product of the state cost per
  1 26 pupil for the budget year multiplied by the difference between
  1 27 the actual enrollment for the budget year and the budget
  1 28 enrollment for the budget year.  The additional funding
  1 29 received under this section is miscellaneous income to the
  1 30 district.
  1 31    3.  There is appropriated for the fiscal year beginning
  1 32 July 1, 1999, and ending June 30, 2000, from the general fund
  1 33 of the state to the department of education up to four million
  1 34 dollars to pay additional funding authorized under this
  1 35 section, which shall be paid to school districts in the same
  2  1 manner as other state aids payable under section 257.16.  If
  2  2 the requests approved by the school budget review committee
  2  3 exceed the appropriation in this subsection, the payments to
  2  4 school districts receiving approval for on-time funding shall
  2  5 be prorated such that each school district approved for on-
  2  6 time funding shall receive an amount of on-time funding equal
  2  7 to the percentage that the on-time funding to be provided to
  2  8 the district bears to the total amount of on-time funding to
  2  9 be provided to all districts receiving approval.
  2 10    4.  If the board of directors of a school district
  2 11 determines that a need exists for additional funds exceeding
  2 12 the state aid amount provided in this section, a request for
  2 13 modified allowable growth based upon increased enrollment may
  2 14 be submitted to the school budget review committee as provided
  2 15 in section 257.31.
  2 16    5.  A school district which is receiving a budget
  2 17 adjustment for a budget year pursuant to section 257.14 shall
  2 18 receive on-time funding for increased enrollment, reduced by
  2 19 the amount of the budget adjustment for that budget year.  The
  2 20 resulting amount shall not be less than zero.  The school
  2 21 district shall comply with the procedures established in
  2 22 subsection 1.
  2 23    6.  If a district receives additional funding under this
  2 24 section for a budget year, the department of management shall
  2 25 determine the amount of the additional funding which would
  2 26 have been generated by local property tax revenues, in
  2 27 proportion to the amount of funding actually received pursuant
  2 28 to this section, if the actual enrollment for the budget year
  2 29 had been used in determining district cost for that budget
  2 30 year.  The department of management shall reduce, but not by
  2 31 more than the amount of the additional funding, the district's
  2 32 total state school aids otherwise available under this chapter
  2 33 for the next following budget year by the amount so
  2 34 determined, and shall increase the district's additional
  2 35 property tax levy for the next following budget year by the
  3  1 amount necessary to compensate for the reduction in state aid,
  3  2 so that the local property tax for the next following year
  3  3 will be increased only by the amount which it would have been
  3  4 increased in the budget year if the enrollment calculated in
  3  5 this section could have been used to establish the levy.
  3  6    Sec. 3.  Section 257.14, subsection 1, Code 1999, is
  3  7 amended to read as follows:
  3  8    1.  For the budget years commencing July 1, 1997, and July
  3  9 1, 1998, and July 1, 1999, if the department of management
  3 10 determines that the regular program district cost of a school
  3 11 district for a budget year is less than the total of the
  3 12 regular program district cost plus any adjustment added under
  3 13 this section for the base year for that school district, the
  3 14 department of management shall provide a budget adjustment for
  3 15 that district for that budget year that is equal to the
  3 16 difference.
  3 17    Sec. 4.  APPLICABILITY AND EFFECTIVE DATE.  This Act, being
  3 18 deemed of immediate importance, takes effect upon enactment
  3 19 and applies to the computation of school aid under the state
  3 20 school foundation program for the school budget year beginning
  3 21 July 1, 1999.  
  3 22                           EXPLANATION
  3 23    This bill provides additional funding for certain school
  3 24 districts that have either decreasing or increasing
  3 25 enrollments.
  3 26    The bill extends the budget guarantee provision currently
  3 27 applicable to school districts for the budget year commencing
  3 28 July 1, 1998, to the next succeeding budget year, commencing
  3 29 July 1, 1999.  The bill additionally provides, for the budget
  3 30 year beginning July 1, 1999, that if a school district's
  3 31 regular program district cost is less than its regular program
  3 32 district cost with the budget guarantee provision for the year
  3 33 preceding the budget year, the department of management shall
  3 34 provide an additional budget adjustment to reach the 100
  3 35 percent level.  The bill provides that this additional budget
  4  1 adjustment to reach the 100 percent level shall be added to
  4  2 the combined foundation base, resulting in amounts guaranteed
  4  3 being fully comprised of additional state aid.
  4  4    The bill also provides that for the school budget year
  4  5 beginning July 1, 1999, school districts experiencing
  4  6 increases in enrollment may submit a request to the school
  4  7 budget review committee for on-time funding for new students.
  4  8 The request would be due by November 1, 1999.  The school
  4  9 budget review committee shall determine whether, and to what
  4 10 extent, a request shall be granted on a district-by-district
  4 11 basis.  If a request is approved, the funding shall be in an
  4 12 amount of up to the product of the state cost per pupil for
  4 13 the budget year multiplied by the difference between the
  4 14 actual enrollment for the budget year and the budget
  4 15 enrollment for the budget year.
  4 16    The bill makes an appropriation from the general fund of
  4 17 the state to the department of education of up to $4 million
  4 18 for the fiscal year beginning July 1, 1999, and ending June
  4 19 30, 2000, payable in the same manner as other state aids
  4 20 payable to school districts pursuant to Code section 257.16.
  4 21 If requests for on-time funding exceed the appropriation
  4 22 available, school districts with approved requests shall
  4 23 receive prorated payments.  School districts may request
  4 24 modified allowable growth above and beyond amounts received
  4 25 for on-time funding pursuant to Code section 257.31.
  4 26    The additional funding received in a given budget year will
  4 27 impact the following year's state aid and property tax levels.
  4 28 The amount which would have been generated by property taxes
  4 29 if the actual (increased) enrollment figure was used in
  4 30 determining the district cost will be calculated by the
  4 31 department of management.  This amount will reduce the level
  4 32 of state aid available to the district for the following year,
  4 33 but not by more than the amount of the additional funding.
  4 34 The district's additional property tax levy for the following
  4 35 budget year will then be increased by the amount necessary to
  5  1 compensate for the reduction in state aid.
  5  2    The bill would take effect upon enactment and apply to the
  5  3 school budget year beginning July 1, 1999.  
  5  4 LSB 1929XC 78
  5  5 rn/cf/24.2
     

Text: SSB01036                          Text: SSB01038
Text: SSB01000 - SSB01099               Text: SSB Index
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