HF 602 (LSB 2213HV (2) 89)

HOUSE FILE 602

BY  COMMITTEE ON EDUCATION

(SUCCESSOR TO HF 265)

A BILL FOR

An Act relating to authorized transfers of school district general fund moneys to the student activity fund and including effective date provisions.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:

    Section 1.  Section 298A.8, subsection 1, Code 2021, is amended to read as follows:
   1.  The student activity fund is a special revenue fund. A student activity fund must be established in any school corporation receiving money from student-related activities such as admissions, activity fees, student dues, student fund-raising events, or other student-related cocurricular or extracurricular activities. Moneys in this fund shall be used to support only the cocurricular or extracurricular program defined in department of education administrative rules.
    Sec. 2.  Section 298A.8, Code 2021, is amended by adding the following new subsection:
   NEW SUBSECTION.  3.  For the school budget year beginning July 1, 2020, the school budget year beginning July 1, 2021, and the school budget year beginning July 1, 2022, the board of directors may, by board resolution and notwithstanding any provision of law to the contrary, transfer from the school corporation’s general fund to the student activity fund an amount necessary, as recommended by the superintendent, to fund cocurricular or extracurricular activities for which moneys from student-related activities such as admissions, activity fees, student dues, student fund-raising events, or other student-related cocurricular or extracurricular activities fail to meet the financial needs of the activity as the result of restrictions placed on the activity related to the COVID-19 pandemic. This subsection is repealed July 1, 2023.
    Sec. 3.  EFFECTIVE DATE.  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 provides that for the school budget year beginning July 1, 2020, the school budget year beginning July 1, 2021, and the school budget year beginning July 1, 2022, the school board may, by resolution, transfer from the school corporation’s general fund to the student activity fund an amount necessary, as recommended by the superintendent, to fund cocurricular or extracurricular activities for which moneys from admissions, activity fees, student dues, student fund-raising events, or other student-related cocurricular or extracurricular activities fail to meet the financial needs of the activity as the result of restrictions placed on the activity related to the COVID-19 pandemic. The provision authorizing the transfers to the student activity fund is repealed July 1, 2023.
   The bill also modifies language regarding use of moneys in the student activity fund to reflect current rules adopted by the department of education.
   The bill takes effect upon enactment.