House Study Bill 114 



                                       SENATE/HOUSE FILE       
                                       BY  (PROPOSED DEPARTMENT OF
                                            EDUCATION BILL)


    Passed Senate, Date               Passed House,  Date             
    Vote:  Ayes        Nays           Vote:  Ayes        Nays         
                 Approved                            

                                      A BILL FOR

  1 An Act relating to incentives for school district reorganizations
  2    and shared operational functions, and making an appropriation.
  3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
  4 TLSB 1228XD 82
  5 ak/je/5

PAG LIN



  1  1    Section 1.  Section 257.3, subsection 2, paragraph d, Code
  1  2 2007, is amended to read as follows:
  1  3    d.  For purposes of this section, a reorganized school
  1  4 district is one which absorbs at least thirty percent of the
  1  5 enrollment of the school district affected by a reorganization
  1  6 or dissolved during a dissolution and in which action to bring
  1  7 about a reorganization or dissolution is initiated by a vote
  1  8 of the board of directors or jointly by the affected boards of
  1  9 directors to take effect on or after July 1, 2002 2007, and on
  1 10 or before July 1, 2006 2015.  Each district which initiated,
  1 11 by a vote of the board of directors or jointly by the affected
  1 12 boards, action to bring about a reorganization or dissolution
  1 13 to take effect on or after July 1, 2002 2007, and on or before
  1 14 July 1, 2006 2015, shall certify the date and the nature of
  1 15 the action taken to the department of education by January 1
  1 16 of the year in which the reorganization or dissolution takes
  1 17 effect.  For a reorganization or dissolution that took effect
  1 18 on or after July 1, 2002, and on or before July 1, 2006, the
  1 19 reorganized school district shall continue to receive the
  1 20 benefits of paragraphs "a" and "b" of this subsection for the
  1 21 time specified in those paragraphs.
  1 22    Sec. 2.  Section 257.11, subsection 2, paragraph c, Code
  1 23 2007, is amended by striking the paragraph and inserting in
  1 24 lieu thereof the following:
  1 25    c.  Pupils attending class for all or a substantial portion
  1 26 of a school day pursuant to a whole grade sharing agreement
  1 27 executed under sections 282.10 through 282.12 shall be
  1 28 eligible for supplementary weighting pursuant to this
  1 29 subsection.  A school district which executes a whole grade
  1 30 sharing agreement and which adopts a resolution jointly with
  1 31 other affected boards to study the question of undergoing a
  1 32 reorganization or dissolution to take effect on or before July
  1 33 1, 2014, shall receive a weighting of one=tenth of the
  1 34 percentage of the pupil's school day during which the pupil
  1 35 attends classes in another district, attends classes taught by
  2  1 a teacher who is jointly employed under section 280.15, or
  2  2 attends classes taught by a teacher who is employed by another
  2  3 school district.  A district shall be eligible for
  2  4 supplementary weighting pursuant to this paragraph for a
  2  5 maximum of three years.  Receipt of supplementary weighting
  2  6 for a second and third year shall be conditioned upon
  2  7 submission of information resulting from the study to the
  2  8 school budget review committee indicating progress toward the
  2  9 objective of reorganization on or before July 1, 2014.
  2 10    Sec. 3.  Section 257.11, subsection 5, paragraph a, Code
  2 11 2007, is amended to read as follows:
  2 12    a.  For the school budget year beginning July 1, 2002, and
  2 13 succeeding budget years through the school budget year
  2 14 beginning July 1, 2007, in order to provide additional funds
  2 15 for school districts in which a regional academy is located, a
  2 16 supplementary weighting plan for determining enrollment is
  2 17 adopted.
  2 18    Sec. 4.  Section 257.11, Code 2007, is amended by adding
  2 19 the following new subsection:
  2 20    NEW SUBSECTION.  5A.  SHARED OPERATIONAL FUNCTIONS ==
  2 21 INCREASED STUDENT OPPORTUNITIES.
  2 22    a.  In order to provide additional funding to increase
  2 23 student opportunities for school districts that share
  2 24 operational functions, a supplementary weighting of two
  2 25 hundredths per pupil shall be assigned to pupils enrolled in a
  2 26 district that shares with a political subdivision one or more
  2 27 operational functions in the areas of superintendent
  2 28 management, business management, human resources,
  2 29 transportation, or operation and maintenance for at least
  2 30 twenty percent of the school year.  The additional weighting
  2 31 shall be assigned for each discrete operational function
  2 32 shared.  For the purposes of this section, "political
  2 33 subdivision" means a city, township, county, school
  2 34 corporation, merged area, area education agency, institution
  2 35 governed by the state board of regents, or any other
  3  1 governmental subdivision.
  3  2    b.  Supplementary weighting pursuant to this subsection
  3  3 shall be available to a school district for a maximum of five
  3  4 years during the period commencing with the budget year
  3  5 beginning July 1, 2008, through the budget year beginning July
  3  6 1, 2014.  The minimum amount of additional weighting for which
  3  7 a school district shall be eligible is an amount equivalent to
  3  8 ten additional pupils, and the maximum amount of additional
  3  9 weighting for which a school district shall be eligible is an
  3 10 amount equivalent to forty additional pupils.  Receipt of
  3 11 supplementary weighting by a school district pursuant to this
  3 12 subsection for more than one year shall be contingent upon the
  3 13 annual submission of information by the district to the
  3 14 department documenting cost savings directly attributable to
  3 15 the shared operational functions.  Criteria for determining
  3 16 the number of years for which supplementary weighting shall be
  3 17 received pursuant to this subsection, subject to the five=year
  3 18 maximum, and for determining qualification of operational
  3 19 functions for supplementary weighting shall be determined by
  3 20 the department by rule, through consideration of long=term
  3 21 savings by the school district or increased student
  3 22 opportunities.
  3 23    c.  This subsection is repealed effective June 30, 2015.
  3 24    Sec. 5.  Section 257.11A, Code 2007, is amended to read as
  3 25 follows:
  3 26    257.11A  SUPPLEMENTARY WEIGHTING AND SCHOOL REORGANIZATION.
  3 27    1.  In determining weighted enrollment under section 257.6,
  3 28 if the board of directors of a school district has approved a
  3 29 contract for sharing pursuant to section 257.11 and the school
  3 30 district has approved an action to bring about a
  3 31 reorganization to take effect on and after July 1, 2002 2007,
  3 32 and on or before July 1, 2006 2015, the reorganized school
  3 33 district shall include, for a period of three years following
  3 34 the effective date of the reorganization, additional pupils
  3 35 added by the application of the supplementary weighting plan,
  4  1 equal to the pupils added by the application of the
  4  2 supplementary weighting plan in the year preceding the
  4  3 reorganization.  For the purposes of this subsection, the
  4  4 weighted enrollment for the period of three years following
  4  5 the effective date of reorganization shall include the
  4  6 supplementary weighting in the base year used for determining
  4  7 the combined district cost for the first year of the
  4  8 reorganization.  However, the weighting shall be reduced by
  4  9 the supplementary weighting added for a pupil whose residency
  4 10 is not within the reorganized district.
  4 11    2.  For purposes of this section, a reorganized district is
  4 12 one in which the reorganization was approved in an election
  4 13 pursuant to sections 275.18 and 275.20 and takes effect on or
  4 14 after July 1, 2002 2007, and on or before July 1, 2006 2014.
  4 15 Each district which initiates, by a vote of the board of
  4 16 directors or jointly by the affected boards, action to bring
  4 17 about a reorganization or dissolution to take effect on or
  4 18 after July 1, 2002 2007, and on or before July 1, 2006 2014,
  4 19 shall certify the date and the nature of the action taken to
  4 20 the department of education by January 1 of the year in which
  4 21 the reorganization or dissolution takes effect.
  4 22    3.  Notwithstanding subsection 1, a school district which
  4 23 was participating in a whole grade sharing arrangement during
  4 24 the budget year beginning July 1, 2001, and which received a
  4 25 maximum of two years of supplementary weighting pursuant to
  4 26 section 257.11, subsection 2, paragraph "c", shall include
  4 27 additional pupils added by the application of the
  4 28 supplementary weighting plan, equal to the pupils added by the
  4 29 application of the supplementary weighting plan in the year
  4 30 preceding the reorganization, for a period of four years
  4 31 following the effective date of the reorganization.
  4 32    4.  3.  A school district shall be eligible for a combined
  4 33 maximum total of six years of supplementary weighting under
  4 34 the provisions of this section and section 257.11, subsection
  4 35 2, paragraph "c".  A school district participating in a whole
  5  1 grade sharing arrangement during the budget year beginning
  5  2 July 1, 2001, that adopted a resolution jointly with other
  5  3 affected boards to study the question of undergoing a
  5  4 reorganization or dissolution to take effect on or after July
  5  5 1, 2002, and on or before July 1, 2006, shall continue to
  5  6 receive the supplementary weighting to which it was entitled
  5  7 pursuant to the provisions of this section and section 257.11,
  5  8 subsection 2, paragraph "c".
  5  9    Sec. 6.  SCHOOL SHARING AND EFFICENCIES IN OPERATION
  5 10 PROCESS == APPROPRIATION.  For the fiscal year beginning July
  5 11 1, 2007, and ending June 30, 2008, there is appropriated from
  5 12 the general fund of the state to the department of education
  5 13 the following amount, or so much thereof as is necessary, to
  5 14 be used for the purposes designated in this section:
  5 15 .................................................. $    400,000
  5 16    The amount appropriated pursuant to this section shall be
  5 17 utilized by the department to assist school districts in
  5 18 implementing shared operational functions.
  5 19                           EXPLANATION
  5 20    This bill makes changes related to incentives for school
  5 21 district reorganization and dissolution and shared operational
  5 22 functions between school districts and political subdivisions.
  5 23    The bill continues financial incentives for school
  5 24 districts to reorganize under Code chapter 257 through the
  5 25 school year ending June 30, 2014.  The bill leaves intact the
  5 26 reduced uniform levy for schools that reorganized prior to
  5 27 July 1, 2006.
  5 28    The bill strikes the current whole grade sharing
  5 29 arrangement, and replaces it with a modified and simplified
  5 30 version.  The new provision allows school districts that
  5 31 execute a whole grade sharing agreement and adopt a resolution
  5 32 to study the effect of undergoing a reorganization or
  5 33 dissolution to take effect on or before July 1, 2014, to
  5 34 weight one=tenth of a percentage of a student's school day
  5 35 during which the student attends classes in another district,
  6  1 is taught by a teacher jointly employed, or attends classes
  6  2 taught by a teacher employed by another district.  This
  6  3 supplementary weighting is available for a total of three
  6  4 years.  However, the second and third year of supplementary
  6  5 weighting funding is dependent upon the school district's
  6  6 progress toward reorganization.
  6  7    The bill provides an additional funding for regional
  6  8 academies through the school budget year beginning July 1,
  6  9 2007.
  6 10    The bill offers financial and operational support to help
  6 11 school districts reorganize, consolidate, or dissolve
  6 12 efficiently without allowing fiscal barriers to get in the
  6 13 way.  A supplementary weighting of two hundredths per pupil
  6 14 will be given to a district that shares with a political
  6 15 subdivision one or more of its administrative management,
  6 16 business management, human resources, transportation, or
  6 17 operational and maintenance functions for at least 20 percent
  6 18 of the year.  A political subdivision means a city, township,
  6 19 county, school corporation, merged area, area education
  6 20 agency, board of regents institution, or any other government
  6 21 subdivision.  This supplementary weighting is available for
  6 22 five years, with a minimum equivalent weighting of 10 pupils
  6 23 and a maximum equivalent weighting of 40 pupils.  After the
  6 24 first year of supplementary weighting, the school district
  6 25 must submit evidence of cost savings attributable to the
  6 26 shared operational functions.  This section will be repealed
  6 27 on June 30, 2015.
  6 28    The bill also provides for supplementary weighting funding
  6 29 for three years for a reorganized school district that is
  6 30 equal to the funding that was received in the year preceding
  6 31 the reorganization for a period.  The bill leaves intact
  6 32 supplementary weighting to schools that participated in whole
  6 33 grade sharing and that eventually reorganized prior to July 1,
  6 34 2006.
  6 35    An appropriation of $400,000 from the general fund is
  7  1 provided to assist schools in implementing shared operational
  7  2 functions.
  7  3 LSB 1228XD 82
  7  4 ak:sc/je/5