S.F. _____ H.F. _____ Section 1. Section 257.10, subsection 5, Code 2015, is 1 amended to read as follows: 2 5. Combined district cost per pupil. The combined district 3 cost per pupil for a school district is the sum of the regular 4 program district cost per pupil and the special education 5 support services district cost per pupil. Combined district 6 cost per pupil does not include a modified supplemental amount 7 added for school districts that have a negative balance of 8 funds raised for special education instruction programs, a 9 modified supplemental amount granted by the school budget 10 review committee for a single school year, or a modified 11 supplemental amount added for programs for dropout prevention 12 established pursuant to sections 257.38 through 257.41 . 13 Sec. 2. Section 257.11, subsection 4, paragraph a, Code 14 2015, is amended to read as follows: 15 a. In order to provide additional funding to school 16 districts for programs serving at-risk pupils , alternative 17 program and alternative school pupils in secondary schools, and 18 pupils identified as potential dropouts or returning dropouts 19 as defined in section 257.39, a supplementary weighting plan 20 for at-risk such pupils is adopted. A supplementary weighting 21 of forty-eight ten-thousandths per pupil shall be assigned 22 to the percentage of pupils in a school district enrolled in 23 grades one through six, as reported by the school district on 24 the basic educational data survey for the base year, who are 25 eligible for free and reduced price meals under the federal 26 National School Lunch Act and the federal Child Nutrition 27 Act of 1966, 42 U.S.C. §1751-1785, multiplied by the budget 28 enrollment in the school district; and a supplementary 29 weighting of one hundred fifty-six one-hundred-thousandths 30 per pupil shall be assigned to pupils included in the 31 budget enrollment of the school district. Amounts received 32 as supplementary weighting for at-risk pupils under this 33 subsection shall be utilized by a school district to develop 34 or maintain at-risk pupils’ programs, which may include 35 -1- LSB 1118XD (6) 86 kh/sc 1/ 9

S.F. _____ H.F. _____ alternative programs and alternative school programs , and 1 returning dropout and dropout prevention programs approved 2 pursuant to section 257.40 . 3 Sec. 3. Section 257.11, subsection 4, Code 2015, is amended 4 by adding the following new paragraphs: 5 NEW PARAGRAPH . d. Up to five percent of the total amount 6 that a school district receives as supplementary weighting 7 pursuant to this subsection or as a modified supplemental 8 amount received under section 257.41, may be used in the budget 9 year for purposes of providing district-wide or building-wide 10 at-risk and dropout prevention programming targeted to pupils 11 who are not deemed at risk. 12 NEW PARAGRAPH . e. Notwithstanding paragraph “d” and section 13 282.24, if a pupil has been determined by the school district 14 to be likely to inflict self-harm or likely to harm another 15 pupil and all of the following apply, the school district may 16 use amounts received pursuant to paragraph “a” to pay the 17 instructional costs necessary to address the pupil’s behavior 18 during instructional time when those services are not otherwise 19 provided to pupils who do not require special education and the 20 costs exceed the costs of instruction of pupils in a regular 21 curriculum: 22 (1) The pupil does not require special education. 23 (2) The pupil is not in a court-ordered placement under 24 chapter 232 under the care and custody of the department of 25 human services or juvenile court services. 26 (3) The pupil is not in the state training school or the 27 Iowa juvenile home pursuant to a court order entered under 28 chapter 232 under the care and custody of the department of 29 human services. 30 (4) The pupil is not placed in a facility licensed under 31 chapter 135B, 135C, or 135H. 32 Sec. 4. Section 257.38, Code 2015, is amended to read as 33 follows: 34 257.38 Programs Funding for at-risk, alternative school, and 35 -2- LSB 1118XD (6) 86 kh/sc 2/ 9

S.F. _____ H.F. _____ returning dropouts and dropout prevention programs —— plan . 1 1. Boards of school districts, individually or jointly with 2 boards of other school districts, requesting to use a modified 3 supplemental amount for costs in excess of the amount received 4 under section 257.11, subsection 4, for programs for at-risk 5 students, secondary students who attend alternative programs 6 and alternative schools, and returning dropouts and dropout 7 prevention, shall submit comprehensive program plans for the 8 programs and budget costs, including annual requests for a 9 modified supplemental amount for funding the programs, to the 10 department of education as a component of the comprehensive 11 school improvement plan submitted to the department pursuant to 12 section 256.7, subsection 21 . The program plans shall include: 13 a. Program goals, objectives, and activities to meet 14 the needs of children who may drop out of school students 15 identified as at risk, secondary students who attend 16 alternative programs and alternative schools, or potential 17 dropouts or returning dropouts . 18 b. Student identification criteria and procedures. 19 c. Staff in-service education design. 20 d. Staff utilization plans. 21 e. Evaluation criteria and procedures and performance 22 measures. 23 f. Program budget. 24 g. Qualifications required of personnel delivering the 25 program. 26 h. A provision for dropout prevention and integration of 27 dropouts into the educational program of the district for 28 at-risk students . 29 i. A provision for identifying dropouts at-risk students . 30 j. A program for returning dropouts. 31 k. j. Other factors the department requires. 32 2. Program plans shall identify the parts of the plan that 33 will be implemented first upon approval of the request. If a 34 district is requesting to use a modified supplemental amount 35 -3- LSB 1118XD (6) 86 kh/sc 3/ 9

S.F. _____ H.F. _____ to finance the program, the school district shall not identify 1 more than five percent of its budget enrollment for the budget 2 year as returning dropouts and potential dropouts. 3 Sec. 5. Section 257.40, Code 2015, is amended to read as 4 follows: 5 257.40 Approval of programs for at-risk pupils, alternative 6 programs and schools, and returning dropouts and dropout 7 prevention —— annual report . 8 1. The board of directors of a school district requesting 9 to use a modified supplemental amount for costs in excess of 10 the funding received under section 257.11, subsection 4, for 11 programs for at-risk students, secondary students who attend 12 alternative programs and alternative schools, or returning 13 dropouts and dropout prevention shall submit requests for a 14 modified at-risk supplemental amount, including budget costs, 15 to the department not later than December 15 of the year 16 preceding the budget year during which the program will be 17 offered. The department shall review the request and shall 18 prior to January 15 either grant approval for the request 19 or return the request for approval with comments of the 20 department included. An unapproved request for a program may 21 be resubmitted with modifications to the department not later 22 than February 1. Not later than February 15, the department 23 shall notify the department of management and the school budget 24 review committee of the names of the school districts for which 25 programs using a modified supplemental amount for funding have 26 been approved and the approved budget of each program listed 27 separately for each school district having an approved request. 28 2. Beginning January 15, 2007, the department shall submit 29 an annual report to the chairpersons and ranking members 30 of the senate and house education committees that includes 31 the ways school districts in the previous school year used 32 modified supplemental amounts approved under subsection 33 1 ; identifies, by grade level, age, and district size, the 34 students in the dropout and dropout prevention programs for 35 -4- LSB 1118XD (6) 86 kh/sc 4/ 9

S.F. _____ H.F. _____ which the department approves a request; describes school 1 district progress toward increasing student achievement and 2 attendance for the students in the programs; and describes how 3 the school districts are using the revenues from the modified 4 supplemental amounts to improve student achievement among 5 minority subgroups. 6 Sec. 6. Section 257.41, subsections 1 and 2, Code 2015, are 7 amended to read as follows: 8 1. Budget. The budget of an approved program for at-risk 9 students, secondary students who attend alternative programs 10 or alternative schools, or returning dropouts and dropout 11 prevention for a school district, after subtracting funds 12 received under section 257.11, subsection 4, paragraphs “a” 13 through “c” , and from other sources for that purpose, including 14 any previous carryover, shall be funded annually on a basis 15 of one-fourth or more from the district cost of the school 16 district and up to three-fourths through establishment of a 17 modified supplemental amount. Annually, the department of 18 management shall establish a modified supplemental amount for 19 each such school district equal to the difference between the 20 approved budget for the program for returning dropouts and 21 dropout prevention for that district and the sum of the amount 22 funded from the district cost of the school district plus funds 23 received under section 257.11, subsection 4, and from other 24 sources for that purpose, including any previous carryover . 25 2. Appropriate uses of funding. Appropriate uses of the 26 returning dropout and dropout prevention program funding for an 27 approved program include but are not limited to the following: 28 a. Salary and benefits for instructional staff, 29 instructional support staff, and school-based youth services 30 staff who are working with students who are participating in 31 at-risk or dropout prevention programs, alternative programs, 32 and alternative schools, in a traditional or alternative 33 setting, if the staff person’s time is dedicated to working 34 with returning dropouts or such students who are deemed, at any 35 -5- LSB 1118XD (6) 86 kh/sc 5/ 9

S.F. _____ H.F. _____ time during the school year, to be at risk of dropping out, 1 in order to provide services beyond those which are provided 2 by the school district to students who are not identified 3 as at risk of dropping out participating in such programs 4 or alternative schools . However, if the staff person works 5 part-time with students who are participating in returning 6 dropout and dropout prevention programs, alternative programs, 7 and alternative schools a program or alternative school and 8 the staff person has another unrelated staff assignment, 9 only the portion of the staff person’s time that is related 10 to the returning dropout and dropout prevention program , 11 alternative program, or alternative school may be charged to 12 the program or school . For purposes of this paragraph, if 13 an alternative setting is necessary to provide for a program 14 which is offered at a location off school grounds and which 15 is intended to serve student needs by improving relationships 16 and connections to school, decreasing truancy and tardiness, 17 providing opportunities for course credit recovery, or helping 18 students identified as at risk of dropping out to accelerate 19 through multiple grade levels of achievement within a shortened 20 time frame, the tuition costs for a student identified as at 21 risk of dropping out shall be considered an appropriate use of 22 the returning dropout and dropout prevention program funding 23 under this section . 24 b. Professional development for all teachers and staff 25 working with at-risk students and programs involving dropout 26 prevention strategies under a program or an alternative school 27 setting . 28 c. Research-based resources, materials, software, supplies, 29 and purchased services that meet all of the following criteria: 30 (1) Meets the needs of kindergarten through grade twelve 31 students identified as at risk of dropping out and of returning 32 dropouts . 33 (2) Are beyond those provided by the regular school program. 34 (3) Are necessary to provide the services listed in the 35 -6- LSB 1118XD (6) 86 kh/sc 6/ 9

S.F. _____ H.F. _____ school district’s dropout prevention plan submitted pursuant 1 to section 257.38 . 2 (4) Will remain with the kindergarten through grade twelve 3 at-risk program, alternative program or alternative school, or 4 returning dropout and dropout prevention program. 5 d. Up to five percent of the total budgeted amount received 6 pursuant to subsection 1 may be used for purposes of providing 7 district-wide or building-wide returning dropout and dropout 8 prevention programming targeted to students who are not deemed 9 at risk of dropping out. 10 Sec. 7. Section 257.41, Code 2015, is amended by adding the 11 following new subsection: 12 NEW SUBSECTION . 4. Other uses. Notwithstanding subsection 13 2 and section 282.24, if a student has been determined by the 14 school district to be likely to inflict self-harm or likely to 15 harm another student and all of the following apply, the school 16 district may use the modified supplemental amount established 17 under subsection 1 to pay the instructional costs necessary to 18 address the student’s behavior during instructional time when 19 those services are not otherwise provided to students who do 20 not require special education and the costs exceed the costs of 21 instruction of students in a regular curriculum: 22 (1) The student does not require special education. 23 (2) The student is not in a court-ordered placement under 24 chapter 232 under the care and custody of the department of 25 human services or juvenile court services. 26 (3) The student is not in the state training school or the 27 Iowa juvenile home pursuant to a court order entered under 28 chapter 232 under the care and custody of the department of 29 human services. 30 (4) The pupil is not placed in a facility licensed under 31 chapter 135B, 135C, or 135H. 32 EXPLANATION 33 The inclusion of this explanation does not constitute agreement with 34 the explanation’s substance by the members of the general assembly. 35 -7- LSB 1118XD (6) 86 kh/sc 7/ 9

S.F. _____ H.F. _____ This bill makes changes relating to at-risk programs, 1 alternative programs and alternative schools, and returning 2 dropout and dropout prevention programs and funding for the 3 schools and programs. 4 The bill modifies a provision that establishes supplementary 5 weighting for programs serving at-risk pupils and alternative 6 school pupils in secondary schools to add alternative programs 7 for secondary school pupils and programs for returning dropouts 8 and dropout prevention. 9 The bill authorizes a school district to use, in the budget 10 year, up to 5 percent of the total supplementary weighting 11 amounts received pursuant to Code section 257.11, subsection 4, 12 or up to 5 percent of a modified supplemental amount received 13 pursuant to Code section 257.41 for at-risk pupils, alternative 14 program and alternative school pupils, or pupils in returning 15 dropout and dropout prevention programs, for purposes of 16 providing district-wide or building-wide at-risk and dropout 17 prevention programming targeted to students who are not deemed 18 at risk. 19 The bill strikes a provision that allows a school district 20 to use up to 5 percent of its total budgeted amount received 21 for an approved program for returning dropouts and dropout 22 prevention to be used for purposes of providing district-wide 23 or building-wide returning dropout and dropout prevention 24 programming targeted to students who are not deemed at risk of 25 dropping out. 26 The bill provides that when a student who does not require 27 special education and who is not in a court-ordered placement 28 under the care and custody of the department of human services 29 or juvenile court services and who is not in the state training 30 school or the Iowa juvenile home and who is not placed in 31 a hospital, health care facility, or psychiatric medical 32 institution for children and who has been determined by the 33 school district to be likely to inflict self-harm or likely 34 to harm another student, the school district may use the 35 -8- LSB 1118XD (6) 86 kh/sc 8/ 9

S.F. _____ H.F. _____ supplementary weighting amounts and the modified supplemental 1 amounts received for at-risk, alternative program and school, 2 or returning dropout and dropout prevention programs to pay the 3 instructional costs necessary to address the student’s behavior 4 during instructional time when those services are not otherwise 5 provided to students who do not require special education 6 and the costs exceed the costs of instruction of pupils in a 7 regular curriculum. 8 The modified supplemental amount which a school district 9 may request must be for costs in excess of the supplementary 10 weighting amounts received by the school district for at-risk 11 students, alternative program and school students, and 12 potential or returning dropouts. 13 The bill makes conforming changes relating to the submission 14 of comprehensive program plans to the department of education 15 by school districts requesting to use a modified supplemental 16 amount for costs in excess of the supplementary weighting 17 received for at-risk, alternative school, and returning 18 dropouts and dropout prevention; and relating to budgets for 19 programs funded with modified supplemental amounts and to 20 allowable uses of program funding. 21 The bill strikes a provision requiring the department to 22 submit an annual report to the general assembly describing the 23 ways school districts used modified supplemental amounts for 24 returning dropout and dropout prevention programs in the prior 25 school year. 26 -9- LSB 1118XD (6) 86 kh/sc 9/ 9