S.F. _____ Section 1. Section 257.1, subsection 2, paragraph b, Code 1 2014, is amended to read as follows: 2 b. For the budget year commencing July 1, 1999, and for each 3 succeeding budget year the regular program foundation base per 4 pupil is eighty-seven and five-tenths percent of the regular 5 program state cost per pupil. For the budget year commencing 6 July 1, 1991, and for each succeeding budget year the special 7 education support services foundation base is seventy-nine 8 percent of the special education support services state cost 9 per pupil. The combined foundation base is the sum of the 10 regular program foundation base, the special education support 11 services foundation base, the total teacher salary supplement 12 district cost, the total professional development supplement 13 district cost, the total early intervention supplement district 14 cost, the total teacher leadership supplement district cost, 15 the total area education agency teacher salary supplement 16 district cost, and the total area education agency professional 17 development supplement district cost , and the low-income 18 program supplement . 19 Sec. 2. Section 257.1, subsection 3, Code 2014, is amended 20 to read as follows: 21 3. Computations rounded. In making computations and 22 payments under this chapter , except in the case of computations 23 relating to funding of special education support services, 24 media services, and educational services provided through the 25 area education agencies, and the teacher salary supplement, the 26 professional development supplement, the early intervention 27 supplement, and the teacher leadership supplement, and the 28 low-income program supplement, the department of management 29 shall round amounts to the nearest whole dollar. 30 Sec. 3. Section 257.4, subsection 1, paragraph a, Code 2014, 31 is amended by adding the following new subparagraph: 32 NEW SUBPARAGRAPH . (10) The amount of the low-income program 33 supplement to be received by the school district under section 34 257.10A. 35 -1- LSB 6034XC (8) 85 md/sc 1/ 3

S.F. _____ Sec. 4. NEW SECTION . 257.10A Low-income program supplement. 1 1. In order to provide additional funding to school 2 districts for programs serving low-income pupils, each district 3 shall receive for each budget year beginning on or after July 4 1, 2015, a low-income program supplement as calculated under 5 subsection 2. 6 2. Each school district’s low-income program supplement 7 shall be an amount equal to the number of pupils in the school 8 district, as reported by the school district on the basic 9 educational data survey for the base year, who are eligible for 10 free and reduced price meals under the federal National School 11 Lunch Act and the federal Child Nutrition Act of 1966, 42 12 U.S.C. §1751-1785, multiplied by four hundredths of the regular 13 program state cost per pupil for the budget year. 14 3. Amounts received under this section shall be utilized 15 by a school district to develop or maintain programs for 16 low-income pupils, including but not limited to before and 17 after school educational programs, summer education programs, 18 individual instructional assistance programs, tutoring and 19 mentoring programs, programs to reduce or waive student fees 20 required as part of the school district’s educational program, 21 or other programs or assistance approved by the department. 22 4. For purposes of this section, “low-income pupils” means 23 pupils who are eligible for free and reduced price meals under 24 the federal National School Lunch Act and the federal Child 25 Nutrition Act of 1966, 42 U.S.C. §1751-1785. 26 Sec. 5. Section 257.16, subsection 4, Code 2014, is amended 27 to read as follows: 28 4. Notwithstanding any provision to the contrary, if 29 the governor orders budget reductions in accordance with 30 section 8.31 , the teacher salary supplement district cost, 31 the professional development supplement district cost, the 32 early intervention supplement district cost, and the teacher 33 leadership supplement district cost as calculated under 34 section 257.10, subsections 9, 10, 11, and 12 , and the area 35 -2- LSB 6034XC (8) 85 md/sc 2/ 3

S.F. _____ education agency teacher salary supplement district cost and 1 the area education agency professional development supplement 2 district cost as calculated under section 257.37A, subsections 3 1 and 2 , and the low-income program supplement as calculated 4 under section 257.10A shall be paid in full as calculated and 5 the reductions in the appropriations provided in accordance 6 with this section shall be reduced from the remaining moneys 7 appropriated pursuant to this section and shall be distributed 8 on a per pupil basis calculated with the weighted enrollment 9 determined in accordance with section 257.6, subsection 5 . 10 EXPLANATION 11 The inclusion of this explanation does not constitute agreement with 12 the explanation’s substance by the members of the general assembly. 13 This bill provides additional funding to school districts 14 for programs serving low-income pupils, as defined in the bill. 15 Under the bill, each district receives for each budget 16 year beginning on or after July 1, 2015, a low-income program 17 supplement. Each school district’s low-income program 18 supplement is an amount equal to the number of pupils in the 19 school district who are eligible for free and reduced price 20 meals multiplied by four hundredths of the regular program 21 state cost per pupil for the budget year. 22 Amounts received by a school district under the bill must be 23 utilized by a school district to develop or maintain programs 24 for low-income pupils, including but not limited to before and 25 after school educational programs, summer education programs, 26 individual instructional assistance programs, tutoring and 27 mentoring programs, programs to reduce or waive student fees 28 required as part of the school district’s educational program, 29 or other programs or assistance approved by the department. 30 The amount of the low-income program supplement is included 31 within the combined foundation base and is paid to each school 32 district as part of the state foundation aid under Code section 33 257.1. 34 -3- LSB 6034XC (8) 85 md/sc 3/ 3