House File 568 HOUSE FILE BY COMMITTEE ON EDUCATION (SUCCESSOR TO HF 335) Passed House, Date Passed Senate, Date Vote: Ayes Nays Vote: Ayes Nays Approved A BILL FOR 1 An Act relating to state and local funding for the costs of 2 certain institutions for children under the jurisdiction of 3 the director of human services. 4 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 5 TLSB 2016HV 80 6 kh/pj/5 PAG LIN 1 1 Section 1. Section 256.7, subsection 10, Code 2003, is 1 2 amended to read as follows: 1 3 10. Adopt rules pursuant to chapter 17A relating to 1 4 educational programs and budget limitations for educational 1 5 programs pursuant to sections282.28,282.29, 282.30,and1 6 282.31, and 282.33. 1 7 Sec. 2. Section 282.32, Code 2003, is amended to read as 1 8 follows: 1 9 282.32 APPEAL. 1 10 An area education agency or local school district may 1 11 appeal a decision made pursuant to section282.28 or282.31 to 1 12 the state board of education. The decision of the state board 1 13 is final. 1 14 Sec. 3. NEW SECTION. 282.33 FUNDING FOR CHILDREN 1 15 RESIDING IN STATE MENTAL HEALTH INSTITUTES OR INSTITUTIONS. 1 16 1. A child who resides in an institution for children 1 17 under the jurisdiction of the director of human services 1 18 referred to in section 218.1, subsection 3, 5, 7, or 8, and 1 19 who is not enrolled in the educational program of the district 1 20 of residence of the child, shall receive appropriate 1 21 educational services. The institution in which the child 1 22 resides shall submit a proposed program and budget based on 1 23 the average daily attendance of the children residing in the 1 24 institution to the department of education and the department 1 25 of human services by January 1 for the next succeeding school 1 26 year. The department of education shall review and approve or 1 27 modify the proposed program and budget and shall notify the 1 28 department of revenue and finance of its action by February 1. 1 29 The department of revenue and finance shall pay the approved 1 30 budget amount to the department of human services in monthly 1 31 installments beginning September 15 and ending June 15 of the 1 32 next succeeding school year. The installments shall be as 1 33 nearly equal as possible as determined by the department of 1 34 revenue and finance, taking into consideration the relative 1 35 budget and cash position of the state's resources. The 2 1 department of revenue and finance shall pay the approved 2 2 budget amount for the department of human services from the 2 3 moneys appropriated under section 257.16 and the department of 2 4 human services shall distribute the payment to the 2 5 institution. The institution shall submit an accounting for 2 6 the actual cost of the program to the department of education 2 7 by August 1 of the following school year. The department 2 8 shall review and approve or modify all expenditures incurred 2 9 in compliance with the guidelines adopted pursuant to section 2 10 256.7, subsection 10, and shall notify the department of 2 11 revenue and finance of the approved accounting amount. The 2 12 approved accounting amount shall be compared with any amounts 2 13 paid by the department of revenue and finance to the 2 14 department of human services and any differences added to or 2 15 subtracted from the October payment made under this subsection 2 16 for the next school year. Any amount paid by the department 2 17 of revenue and finance shall be deducted monthly from the 2 18 state foundation aid paid under section 257.16 to all school 2 19 districts in the state during the subsequent fiscal year. The 2 20 portion of the total amount of the approved budget that shall 2 21 be deducted from the state aid of a school district shall be 2 22 the same as the ratio that the budget enrollment for the 2 23 budget year of the school district bears to the total budget 2 24 enrollment in the state for that budget year in which the 2 25 deduction is made. 2 26 2. Programs may be provided during the summer and funded 2 27 under this section if the institution determines a valid 2 28 educational reason to do so and the department of education 2 29 approves the program in the manner provided in subsection 1. 2 30 Sec. 4. Section 282.28, Code 2003, is repealed. 2 31 Sec. 5. FY 2003=2004 FUNDING. For purposes of providing 2 32 funding for educational programs provided to children residing 2 33 in an institution for children under the jurisdiction of the 2 34 director of human services referred to in section 218.1, 2 35 subsection 3, 5, 7, or 8, the institution providing such 3 1 programs to children residing in the institution shall submit 3 2 an estimated proposed program and budget based on the 3 3 estimated average daily attendance of children who will likely 3 4 be provided educational programs during the fiscal year 3 5 beginning July 1, 2003, and ending June 30, 2004, to the 3 6 department of education and the department of human services 3 7 by August 1, 2003. The department of education shall review 3 8 and approve or modify the proposed program and budget and 3 9 shall notify the department of revenue and finance of its 3 10 action by September 1, 2003. The department of revenue and 3 11 finance shall pay the approved budget amount, and the 3 12 department of human services shall distribute payments, as 3 13 provided in section 282.33. 3 14 EXPLANATION 3 15 This bill modifies the procedures for authorizing and 3 16 funding educational programs provided to children residing in 3 17 institutions under the jurisdiction of the director of human 3 18 services, specifically the mental health institutes at 3 19 Cherokee and Independence, the state training school at 3 20 Eldora, and the Iowa juvenile home at Toledo. 3 21 The bill requires the institution in which a child resides 3 22 to submit to the department of education a proposed program 3 23 and budget for approval or modification. Once a proposed 3 24 program and budget are approved, the department of revenue and 3 25 finance is directed to pay the approved budget amount in 3 26 monthly installments to the department of human services, 3 27 which will distribute the payments to the appropriate 3 28 institutions. Adjustments will be made to subtract or add to 3 29 the October payment in the following year if costs were 3 30 greater or less than proposed. 3 31 Currently, the funding for the programs is derived from an 3 32 appropriation made to the department of human services, though 3 33 the area education agencies provide the Iowa juvenile home and 3 34 the state training school with services under Code section 3 35 282.28, which the bill repeals. Under the bill, funding for 4 1 the education programs will come from the moneys appropriated 4 2 for school foundation aid. 4 3 For FY 2003=2004, the bill compresses the deadlines and 4 4 requires the institutions to provide to the department of 4 5 education, and the department of human services, an estimated 4 6 proposed program and budget based on the estimated average 4 7 daily attendance of children who will likely be provided 4 8 educational programs during the fiscal year. 4 9 LSB 2016HV 80 4 10 kh/pj/5