HF 269 (LSB 2188HH (2) 87)

HOUSE FILE 269

BY  HANSON

A BILL FOR

An Act relating to school district transportation costs by establishing a transportation equity program, making appropriations, and including effective date provisions.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:

    Section 1.  NEW SECTION.  257.16C  Transportation equity program —— fund.
   1.  A transportation equity program is established to provide additional funding for school districts with a transportation density factor that is five pupils per square mile or less. The transportation density factor for each school district shall be calculated by dividing the budget enrollment for the school district, excluding shared-time enrollment, by the total number of square miles of area within the boundaries of the school district.
   2.  a.  A transportation equity fund is created as a separate and distinct fund in the state treasury under the control of the department of management. For each fiscal year beginning on or after July 1, 2017, there is appropriated from the general fund of the state to the department of management to be credited to the transportation equity fund the sum of five million dollars to be used for transportation equity aid payments under this section.
   b.  For each budget year beginning on or after July 1, 2017, the department of management shall calculate a transportation equity state cost per pupil by dividing the amount of the appropriation for the budget year under paragraph “a” by an amount equal to the sum of budget enrollments used in subsection 1 for all school districts eligible to receive transportation equity aid under this section.
   c.  Each school district that satisfies the criteria of subsection 1 shall receive transportation equity aid in an amount equal to the school district’s budget enrollment used to calculate the district’s transportation density factor multiplied by the transportation equity state cost per pupil for that budget year.
   d.  Transportation equity aid payments shall be paid by the department of management at the same time and in the same manner as foundation aid is paid under section 257.16, and may be included in the monthly payment of state aid under section 257.16, subsection 2.
   3.  Transportation equity aid payments received under this section are miscellaneous income and shall be deposited in the general fund of the school district. However, the transportation equity aid amount shall not be included in district cost. Transportation equity aid under this section shall not affect the receipt or amount of a budget adjustment received under section 257.14 or transportation assistance aid under section 257.31, subsection 17.
    Sec. 2.  EMERGENCY RULES.  The department of management may adopt emergency rules under section 17A.4, subsection 3, and section 17A.5, subsection 2, paragraph “b”, to implement the provisions of this Act and the rules shall be effective immediately upon filing unless a later date is specified in the rules. Any rules adopted in accordance with this section shall also be published as a notice of intended action as provided in section 17A.4.
    Sec. 3.  EFFECTIVE UPON ENACTMENT.  This Act, being deemed of immediate importance, takes effect upon enactment.
EXPLANATION
The inclusion of this explanation does not constitute agreement with
the explanation’s substance by the members of the general assembly.
   This bill establishes the transportation equity program to provide additional funding for school districts with a transportation density factor that is five pupils per square mile or less. The transportation density factor for each school district is calculated by dividing the budget enrollment for the school district, excluding shared-time enrollment, by the total number of square miles of area within the boundaries of the school district.
   The bill creates a transportation equity fund and for each fiscal year beginning on or after July 1, 2017, appropriates from the general fund of the state to the department of management to be credited to the transportation equity fund the sum of $5 million to be used for transportation equity aid payments. The bill requires the department of management to calculate annually a transportation equity state cost per pupil by dividing the amount of the appropriation for the budget year by an amount equal to the sum of the budget enrollments used to calculate transportation density factors for all school districts eligible to receive transportation equity aid. Each eligible school district’s transportation equity aid amount is equal to the school district’s budget enrollment used to calculate the district’s transportation density factor multiplied by the transportation equity state cost per pupil for that budget year. 
   The bill specifies the time and manner by which transportation equity aid payments are to be paid, where such amounts are to be deposited by school districts, and designates such amounts as miscellaneous income. The bill specifies, however, that the transportation equity aid amount shall not be included in district cost. In addition, transportation equity aid does not affect the receipt or amount of a budget adjustment received under Code section 257.14 or transportation assistance aid from the school budget review committee.
   The bill authorizes the department of management to adopt emergency rules to implement the provisions of the bill, and the rules shall be effective immediately upon filing unless a later date is specified in the rules. Any emergency rules adopted shall also be published as a notice of intended action.
   The bill being deemed of immediate importance, takes effect upon enactment.