House File 2245 - Introduced HOUSE FILE 2245 BY COMMITTEE ON APPROPRIATIONS (SUCCESSOR TO HSB 594) A BILL FOR An Act relating to public school funding by modifying 1 provisions relating to the regular program state cost per 2 pupil and to appropriations to the transportation equity 3 fund and including effective date provisions. 4 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 5 TLSB 6148HV (1) 88 md/jh

H.F. 2245 Section 1. Section 257.9, subsection 2, Code 2020, is 1 amended to read as follows: 2 2. Regular program state cost per pupil for 1992-1993 and 3 succeeding years. 4 a. For the budget year beginning July 1, 1992, and 5 succeeding budget years beginning before July 1, 2018, the 6 regular program state cost per pupil for a budget year is the 7 regular program state cost per pupil for the base year plus the 8 regular program supplemental state aid for the budget year. 9 b. For the budget year beginning July 1, 2018, the regular 10 program state cost per pupil is the regular program state 11 cost per pupil for the base year plus the regular program 12 supplemental state aid for the budget year, plus five dollars. 13 c. For the budget year beginning July 1, 2019, the regular 14 program state cost per pupil is the regular program state 15 cost per pupil for the base year plus the regular program 16 supplemental state aid for the budget year, plus five dollars. 17 d. For the budget year beginning July 1, 2020, the regular 18 program state cost per pupil is the regular program state 19 cost per pupil for the base year plus the regular program 20 supplemental state aid for the budget year, plus ten dollars. 21 d. e. For the budget year beginning July 1, 2020 2021 , and 22 succeeding budget years, the regular program state cost per 23 pupil for a budget year is the regular program state cost per 24 pupil for the base year plus the regular program supplemental 25 state aid for the budget year. 26 Sec. 2. Section 257.16C, subsection 3, paragraph d, Code 27 2020, is amended to read as follows: 28 d. (1) For the fiscal year beginning July 1, 2019, there 29 is appropriated from the general fund of the state to the 30 department of management for deposit in the transportation 31 equity fund the sum of nineteen million dollars, or so much 32 thereof as is necessary, to be used for the purposes of this 33 section . 34 (2) For the fiscal year beginning July 1, 2020, there 35 -1- LSB 6148HV (1) 88 md/jh 1/ 4

H.F. 2245 is appropriated from the general fund of the state to the 1 department of management for deposit in the transportation 2 equity fund the sum of twenty-six million two hundred fifty 3 thousand dollars, or so much thereof as is necessary, to be 4 used for the purposes of this section. 5 (2) (3) For each fiscal year beginning on or after July 6 1, 2020 2021 , there is appropriated from the general fund of 7 the state to the department of management for deposit in the 8 transportation equity fund the sum of the following, or so much 9 thereof as is necessary, to be used for the purposes of this 10 section : 11 (a) The amount appropriated to the transportation equity 12 fund under this paragraph for the immediately preceding fiscal 13 year. 14 (b) The product of the amount determined under subparagraph 15 division (a) multiplied by the categorical percent of growth 16 under section 257.8, subsection 2 , for the budget year 17 beginning on the same date of the fiscal year for which the 18 appropriation is made. 19 Sec. 3. EFFECTIVE DATE. This Act, being deemed of immediate 20 importance, takes effect upon enactment. 21 EXPLANATION 22 The inclusion of this explanation does not constitute agreement with 23 the explanation’s substance by the members of the general assembly. 24 This bill relates to public school funding by modifying 25 provisions relating to the regular program state cost per pupil 26 and to appropriations to the transportation equity fund. 27 Current Code section 257.9 provides that for the budget 28 year beginning July 1, 2020, and succeeding budget years, the 29 regular program state cost per pupil for a budget year is the 30 regular program state cost per pupil for the base year, which 31 includes the $5 addition made for the budget year beginning 32 July 1, 2019, plus the regular program supplemental state aid 33 for the budget year. 34 Under the bill, for the budget year beginning July 1, 2020, 35 -2- LSB 6148HV (1) 88 md/jh 2/ 4

H.F. 2245 the regular program state cost per pupil is the regular program 1 state cost per pupil for the base year plus the regular program 2 supplemental state aid for the budget year, plus $10. Then 3 with the budget year beginning July 1, 2021, and succeeding 4 budget years, the regular program state cost per pupil will 5 again be calculated as the regular program state cost per pupil 6 for the base year plus the regular program supplemental state 7 aid for the budget year. 8 Code section 257.16C establishes a transportation equity 9 program to provide additional funding for school districts with 10 a transportation cost per pupil that exceeds the statewide 11 adjusted transportation cost per pupil, as determined by the 12 department of management. The amount of transportation equity 13 aid for each school district is an amount equal to the school 14 district’s actual enrollment for the school year, excluding the 15 shared-time enrollment for the school year, multiplied by the 16 school district’s transportation cost per pupil differential 17 for the budget year. Code section 257.16C establishes a 18 transportation equity fund and appropriates all moneys in the 19 fund to the department of management for purposes of making 20 the transportation equity aid payments. However, if the 21 balance of the fund exceeds the amount necessary to make all 22 transportation equity aid payments, moneys remaining in the 23 fund are required to be used for transportation base funding 24 payments as calculated under Code section 257.16C(4). 25 For each fiscal year beginning on or after July 1, 2020, 26 Code section 257.16C appropriates from the general fund of the 27 state to the transportation equity fund the sum of the amount 28 appropriated for the immediately preceding fiscal year plus 29 the product of the amount appropriated for the immediately 30 preceding fiscal year multiplied by the categorical percent 31 of growth for the corresponding school budget year. The 32 bill amends Code section 257.16C so that this appropriation 33 calculation begins with the fiscal year beginning July 1, 2021, 34 and appropriates $26,250,000 to the transportation equity fund 35 -3- LSB 6148HV (1) 88 md/jh 3/ 4

H.F. 2245 for the fiscal year beginning July 1, 2020. 1 The bill takes effect upon enactment. 2 -4- LSB 6148HV (1) 88 md/jh 4/ 4