H-8042

   Amend  the amendment, H-8010, to Senate File 455, as amended, passed, and reprinted by the Senate, as follows:
   1.  By striking page 1, line 5, through page 6, line 12, and inserting: 
<DIVISION ___
STATE AND DISTRICT COSTS PER PUPIL

   Sec. ___.  Section 257.1, subsection 4, Code 2018, is amended to read as follows:
   4.  Legislative review.  The provisions of this chapter shall be subject to legislative review at least every five years. The review shall be based upon a school finance formula status report containing the recommendations of a legislative interim committee appointed to conduct a review of the school finance formula, to be prepared with the assistance of the department of education, in association with the departments of management and revenue. The report shall include recommendations for school finance formula changes or revisions based upon demographic changes, enrollment trends, and property tax valuation fluctuations observed during the preceding five-year interval; an analysis of the operation of the school finance formula during the preceding five-year interval; an analysis of adjustments to regular program state cost per pupil under section 257.9, subsection 2, adjustments to regular program district cost per pupil under section 257.10, subsection 2, and supplementary weighting for transportation costs under section 257.11, subsection 7A; and a summary of issues that have arisen since the previous review and potential approaches for their resolution. The first such report shall be submitted to the general assembly no later than January 1, 2005, with subsequent reports developed and submitted by January 1 at least every fifth year thereafter.
   Sec. ___.  Section 257.2, subsection 12, Code 2018, is amended to read as follows:
   12.  “Supplemental state aid” means the amount by which state cost per pupil and district cost per pupil will increase from one budget year to the next as the result of the state percent of growth.
   Sec. ___.  Section 257.8, subsection 5, Code 2018, is amended to read as follows:
   5.  Alternate supplemental state aid —— definitions.  
   a.  For budget years beginning July 1, 2000, and subsequent budget years, references to the terms “supplemental state aid”, “regular program state cost per pupil”, and “regular program district cost per pupil” shall mean those terms as calculated for those school districts that calculated regular program supplemental state aid for the school budget year beginning July 1, 1999, with the additional thirty-eight dollars specified in section 257.8, subsection 4, Code 2013.
   b.  For the budget year beginning July 1, 2018, and subsequent budget years, references to “supplemental state aid” and “regular program state cost per pupil” shall mean those terms as calculated including the additional amounts for specified budget years under section 257.9, subsection 2, paragraphs “b”, “c”, and “d”, and references to “regular program district cost per pupil” shall mean that term as calculated including any adjustments made under section 257.10, subsection 2.
   Sec. ___.  Section 257.9, subsection 2, Code 2018, is amended to read as follows:
   2.  Regular program state cost per pupil for 1992-1993 and succeeding years.
   a.  For the budget year beginning July 1, 1992, and succeeding budget years beginning before July 1, 2018, the regular program state cost per pupil for a budget year is the regular program state cost per pupil for the base year plus the regular program supplemental state aid for the budget year.
   b.  For the budget year beginning July 1, 2018, the regular program state cost per pupil is the regular program state cost per pupil for the base year plus the regular program supplemental state aid for the budget year, plus five dollars.
   c.  For the budget year beginning July 1, 2019, the regular program state cost per pupil is the regular program state cost per pupil for the base year plus the regular program supplemental state aid for the budget year, plus ten dollars.
   d.  For the budget year beginning July 1, 2020, the regular program state cost per pupil is the regular program state cost per pupil for the base year plus the regular program supplemental state aid for the budget year, plus twenty dollars.
   e.  For the budget year beginning July 1, 2021, and succeeding budget years, the regular program state cost per pupil for a budget year is the regular program state cost per pupil for the base year plus the regular program supplemental state aid for the budget year.
   Sec. ___.  Section 257.10, subsection 2, paragraph b, Code 2018, is amended to read as follows:
   b.  If the regular program district cost per pupil of a school district for the budget year under paragraph “a” exceeds one hundred five percent of the regular program state cost per pupil for the budget year and the state percent of growth for the budget year is greater than two percent, the regular program district cost per pupil for the budget year for that district shall be reduced to one hundred five percent of the regular program state cost per pupil for the budget year. However, under such conditions, if the difference between the regular program district cost per pupil for the budget year and the regular program state cost per pupil for the budget year is greater than an amount equal to two percent multiplied by the regular program state cost per pupil for the base year, the regular program district cost per pupil for the budget year shall be reduced by the amount equal to two percent multiplied by the regular program state cost per pupil for the base year.
   Sec. ___.  Section 257.10, subsection 2, Code 2018, is amended by adding the following new paragraph:
   NEW PARAGRAPH.  c.  For the budget year beginning July 1, 2018, and succeeding budget years, if the regular program district cost per pupil for the budget year calculated under this subsection in any school district is less than the regular program state cost per pupil for the budget year, the department of management shall increase the regular program district cost per pupil of that district to an amount equal to the regular program state cost per pupil for the budget year.
   Sec. ___.  EFFECTIVE UPON ENACTMENT.  This division of this Act, being deemed of immediate importance, takes effect upon enactment.
DIVISION ___
SCHOOL DISTRICT SUPPLEMENTARY WEIGHTING

   Sec. ___.  Section 257.10, subsection 8, paragraph a, Code 2018, is amended to read as follows:
   a.  Combined district cost is the sum of the regular program district cost per pupil multiplied by the weighted enrollment minus the additional pupils added due to section 257.11, subsection 7A, the regular program state cost per pupil multiplied by the number of pupils added due to section 257.11, subsection 7A, the special education support services district cost, the total teacher salary supplement district cost, the total professional development supplement district cost, the total early intervention supplement district cost, and the total teacher leadership supplement district cost, plus the sum of the additional district cost allocated to the district to fund media services and educational services provided through the area education agency, the area education agency total teacher salary supplement district cost and the area education agency total professional development supplement district cost.
   Sec. ___.  Section 257.11, Code 2018, is amended by adding the following new subsection:
   NEW SUBSECTION.  7A.  School district transportation costs.
   a.  In order to provide additional funds for school district transportation costs resulting from the transportation of resident pupils required by chapter 285 and paid from sources other than the district’s physical plant and equipment levy fund under section 298A.4 or revenue received from the secure an advanced vision for education fund under section 423F.2, a supplementary weighting plan for such pupils is adopted.
   b.  Each school district shall be assigned a supplementary weighting amount as follows:
   (1)  For the budget year beginning July 1, 2018, ten percent of the combined weighting amount calculated under paragraph “c”, subparagraph (2), for that budget year.
   (2)  For the budget year beginning July 1, 2019, twenty percent of the combined weighting amount calculated under paragraph “c”, subparagraph (2), for that budget year.
   (3)  For the budget year beginning July 1, 2020, and each succeeding budget year, thirty percent of the combined weighting amount calculated under paragraph “c”, subparagraph (2), for that budget year.
   c.  (1)  (a)  Transportation cost factor.  For each budget year beginning on or after July 1, 2018, the department of management shall calculate for each school district all of the following:
   (i)  The sum of the school district’s total transportation costs incurred for the transportation of pupils required under chapter 285, and paid from sources other than the district’s physical plant and equipment levy fund under section 298A.4 or revenue received from the secure an advanced vision for education fund under section 423F.2, for the three years immediately preceding the base year.
   (ii)  The sum of the school district’s regular program district cost for the three years immediately preceding the base year, excluding amounts attributable to budget adjustments received under section 257.14.
   (iii)  The school district’s budget enrollment multiplied by the quotient of the school district’s amount under subparagraph subdivision (i) divided by the school district’s amount under subparagraph subdivision (ii).
   (iv)  The school district’s amount under subparagraph subdivision (iii) divided by the sum of the amounts calculated under subparagraph subdivision (iii) for all school districts.
   (v)  The amount calculated under subparagraph subdivision (iv) multiplied by ninety percent of the sum of all school districts’ transportation costs incurred for the transportation of pupils required under chapter 285 for the year preceding the base year and paid from sources other than the district’s physical plant and equipment levy fund under section 298A.4 or revenue received from the secure an advanced vision for education fund under section 423F.2.
   (vi)  The quotient of the amount calculated under subparagraph subdivision (v) divided by the regular program state cost per pupil for the budget year.
   (b)  Budget enrollment factor.  For each budget year beginning on or after July 1, 2018, the department of management shall calculate for each school district all of the following:
   (i)  The quotient of the school district’s budget enrollment divided by the statewide total budget enrollment multiplied by five percent of the sum of all school districts’ transportation costs incurred for the transportation of pupils required under chapter 285 for the year preceding the base year and paid from sources other than the district’s physical plant and equipment levy fund under section 298A.4 or revenue received from the secure an advanced vision for education fund under section 423F.2.
   (ii)  The amount calculated under subparagraph subdivision (i) divided by the regular program state cost per pupil for the budget year.
   (c)  Route miles factor.  For each budget year beginning on or after July 1, 2018, the department of management shall calculate for each school district all of the following:
   (i)  The quotient of the school district’s total route miles traveled for the transportation of pupils required under chapter 285 for the year preceding the base year divided by the school district’s budget enrollment.
   (ii)  The school district’s amount under subparagraph subdivision (i) divided by the sum of the amounts calculated under subparagraph subdivision (i) for all school districts.
   (iii)  The amount calculated under subparagraph subdivision (ii) multiplied by five percent of the sum of all school districts’ transportation costs incurred for the transportation of pupils required under chapter 285 for the year preceding the base year and paid from sources other than the district’s physical plant and equipment levy fund under section 298A.4 or revenue received from the secure an advanced vision for education fund under section 423F.2.
   (iv)  The amount calculated under subparagraph subdivision (iii) divided by the regular program state cost per pupil for the budget year.
   (2)  The combined weighting amount for each school district is the sum of the following:
   (a)  The amount calculated under subparagraph (1), subparagraph division (a), subparagraph subdivision (vi).
   (b)  The amount calculated under subparagraph (1), subparagraph division (b), subparagraph subdivision (ii).
   (c)  The amount calculated under subparagraph (1), subparagraph division (c), subparagraph subdivision (iv).
   d.  Funding received by a school district as the result of supplementary weighting under this subsection shall not affect a school district’s eligibility for transportation assistance under section 257.31, subsection 17.
   e.  Amounts received by a school district as the result of supplementary weighting under this subsection shall be deposited in the school district’s general fund and may be used for any general fund purpose.
   f.  If a school district established as the result of a reorganization under chapter 275 does not have sufficient transportation cost data, regular program district cost per pupil data, or enrollment data for the calculation of amounts required under this subsection, the department of management shall use estimated transportation cost data, regular program district cost per pupil data, and enrollment data derived from data for prior budget years from each district involved in the reorganization until such amounts can be calculated using actual data for the reorganized school district. 
   g.  For the budget years beginning July 1, 2018, July 1, 2019, and July 1, 2020, and if necessary, any subsequent budget years, if insufficient or incomplete transportation cost data makes the implementation of this subsection impractical, the department of management shall, in consultation with the department of education and the legislative services agency, establish procedures and modified methodologies for calculating supplementary weighting and funding amounts under this subsection.
   Sec. ___.  Section 257.11, subsection 8, Code 2018, is amended to read as follows:
   8.  Pupils ineligible.  A Except for transportation weighting under subsection 7A, a pupil eligible for the weighting plan provided in section 256B.9 is not eligible for supplementary weighting pursuant to this section unless it is determined that the course generating the supplemental weighting has no relationship to the pupil’s disability. A pupil attending an alternative program or an at-risk pupils’ program, including alternative high school programs, is not eligible for supplementary weighting under subsection 2.
   Sec. ___.  Section 257.31, subsection 17, paragraphs a and d, Code 2018, are amended to read as follows:
   a.  If a district’s average transportation costs per pupil exceed the state average transportation costs per pupil determined under paragraph “c” by one hundred fifty percent, the committee may grant transportation assistance aid to the district using exclusively the funds transferred to the committee in accordance with section 321.34, subsection 22. Such aid shall be miscellaneous income and shall not be included in district cost.
   d.  Funds transferred to the committee in accordance with section 321.34, subsection 22, are appropriated to and may be expended for the purposes of the committee, as described in this section subsection. However, highest priority shall be given to districts that meet the conditions described in this subsection. Notwithstanding any other provision of the Code, unencumbered or unobligated funds transferred to the committee pursuant to section 321.34, subsection 22, remaining on June 30 of the fiscal year for which the funds were transferred, shall not revert but shall be available for expenditure for the purposes of this subsection in subsequent fiscal years.
   Sec. ___.  EFFECTIVE UPON ENACTMENT.  This division of this Act, being deemed of immediate importance, takes effect upon enactment.>
   2.  By renumbering, redesignating, and correcting internal references as necessary.

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WINCKLER of Scott