House File 2072 - Introduced HOUSE FILE 2072 BY WILLEMS and COWNIE A BILL FOR An Act providing for the adjustment of state foundation aid 1 amounts payable to school districts based on a district’s 2 advanced placement program. 3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 4 TLSB 5081YH (3) 84 md/sc

H.F. 2072 Section 1. Section 257.7, subsection 1, Code 2011, is 1 amended to read as follows: 2 1. Budgets. School districts are subject to chapter 24 . 3 The authorized expenditures of a school district during a base 4 year shall not exceed the lesser of the budget for that year 5 certified under section 24.17 plus any allowable amendments 6 permitted in this section , or the authorized budget, which is 7 the sum of the combined district cost for that year including 8 any adjustments required by section 257.16B , the actual 9 miscellaneous income received for that year, and the actual 10 unspent balance from the preceding year. 11 Sec. 2. Section 257.10, subsection 8, paragraph a, Code 12 2011, is amended to read as follows: 13 a. (1) Combined district cost is the sum of the regular 14 program district cost per pupil multiplied by the weighted 15 enrollment, the special education support services district 16 cost, the total teacher salary supplement district cost, the 17 total professional development supplement district cost, and 18 the total early intervention supplement district cost, plus the 19 sum of the additional district cost allocated to the district 20 to fund media services and educational services provided 21 through the area education agency, the area education agency 22 total teacher salary supplement district cost and the area 23 education agency total professional development supplement 24 district cost. 25 (2) For budget years beginning on or after July 1, 2014, 26 each school district’s combined district cost for the purposes 27 of determining a school district’s authorized expenditures 28 under section 257.7 shall be adjusted to reflect the adjustment 29 to the school district’s state foundation aid under section 30 257.16B. 31 Sec. 3. NEW SECTION . 257.16B State foundation aid 32 adjustment —— advanced placement students. 33 1. For budget years beginning on or after July 1, 2014, the 34 department of management shall, following the determination of 35 -1- LSB 5081YH (3) 84 md/sc 1/ 4

H.F. 2072 the total amount of state foundation aid payable to each school 1 district pursuant to section 257.16, subsection 1, adjust the 2 total amount of state foundation aid payable to each school 3 district as follows: 4 a. Each school district’s total amount of state foundation 5 aid shall be reduced by an amount equal to the school 6 district’s weighted enrollment divided by the total statewide 7 weighted enrollment, and then multiplied by fifteen million 8 dollars. 9 b. Following the reduction in paragraph “a” , each school 10 district’s resulting total amount of state foundation aid shall 11 be increased by an amount equal to the school district’s total 12 number of advanced placement students divided by the total 13 number of advanced placement students in the state, and then 14 multiplied by fifteen million dollars. 15 2. The department of management shall notify each school 16 district of the amount of the adjustment to state foundation 17 aid under this section. Except for the adjustment to a 18 school district’s combined district cost for the purposes 19 of determining a school district’s authorized expenditures 20 under section 257.7, this section shall not result in the 21 recalculation of other state aid amounts or the recalculation 22 of any property tax levy for the budget year. 23 3. For purposes of this section, “advanced placement 24 student” means a student who was enrolled in the school 25 district during the school year preceding the base year, who 26 was enrolled in one or more advanced placement courses during 27 such school year as provided under section 261E.4, and who also 28 achieved a score on the advanced placement examination for 29 at least one such course of three or higher on the advanced 30 placement five-point scale. 31 4. The department of education shall adopt rules under 32 chapter 17A necessary to implement this section, including 33 rules that prescribe all necessary reporting requirements for 34 school districts. 35 -2- LSB 5081YH (3) 84 md/sc 2/ 4

H.F. 2072 EXPLANATION 1 This bill provides for an adjustment of state foundation 2 aid amounts to school districts based on participation in a 3 district’s advanced placement program. 4 Under the bill, for budget years beginning on or after July 5 1, 2014, the department of management is required to adjust 6 the total amount of state foundation aid payable to each 7 school district under the school foundation funding formula. 8 Each school district’s total amount of state foundation aid 9 is first reduced by an amount equal to the school district’s 10 weighted enrollment divided by the total statewide weighted 11 enrollment, and then multiplied by $15 million. Each school 12 district’s resulting total amount of state foundation aid is 13 then increased by an amount equal to the school district’s 14 total number of advanced placement students divided by the 15 total number of advanced placement students in the state, and 16 then multiplied by $15 million. 17 The bill defines “advanced placement student” to mean a 18 student who was enrolled in the school district during the 19 school year preceding the base year, who was enrolled in one 20 or more advanced placement courses during such school year 21 through direct instruction on-site, collaboration with another 22 school district, or through the online Iowa advanced placement 23 academy, and who also achieved a score on the advanced 24 placement examination for at least one such course of three or 25 higher on the advanced placement five-point scale. 26 The bill includes a requirement that each school district 27 be notified of the adjustments made under the bill and 28 states that except for the adjustment to a school district’s 29 combined district cost for the purposes of determining a school 30 district’s authorized expenditures under Code section 257.7, 31 the adjustments to state foundation aid do not result in the 32 recalculation of other state aid amounts or the recalculation 33 of any property tax levy for the budget year. 34 The bill requires the department of education to adopt 35 -3- LSB 5081YH (3) 84 md/sc 3/ 4

H.F. 2072 rules under Code chapter 17A necessary to implement the 1 bill, including rules that prescribe all necessary reporting 2 requirements for school districts. 3 -4- LSB 5081YH (3) 84 md/sc 4/ 4