HF 380 (LSB 2170YH (1) 90)

HOUSE FILE 380

BY  SORENSEN

(COMPANION TO SF 53 BY COURNOYER)

A BILL FOR

An Act relating to certain amounts of school district funding for programs for at-risk students, secondary students who attend alternative programs or alternative schools, or returning dropouts and dropout prevention, and including effective date provisions.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:

    Section 1.  Section 257.41, subsection 3, Code 2023, is amended to read as follows:
   3.  Limitation.
   a.  For the fiscal year beginning July 1, 2013, and each succeeding fiscal year beginning before July 1, 2023, the ratio of the amount of the modified supplemental amount established by the department of management compared to the school district’s total regular program district cost shall not exceed two and one-half percent. However, if the school district’s highest such ratio so determined for any fiscal year beginning on or after July 1, 2009, but before July 1, 2013, exceeded two and one-half percent, the ratio may exceed two and one-half percent but shall not exceed the highest such ratio established during that period.
   b.  For the fiscal year beginning July 1, 2023, the ratio of the amount of the modified supplemental amount established by the department of management compared to the school district’s total regular program district cost shall not exceed three percent. However, if the school district’s highest such ratio so determined for any fiscal year beginning on or after July 1, 2009, but before July 1, 2013, exceeded three percent, the ratio may exceed three percent but shall not exceed the highest such ratio established during that period.
   c.  For the fiscal year beginning July 1, 2024, the ratio of the amount of the modified supplemental amount established by the department of management compared to the school district’s total regular program district cost shall not exceed three and one-half percent. However, if the school district’s highest such ratio so determined for any fiscal year beginning on or after July 1, 2009, but before July 1, 2013, exceeded three and one-half percent, the ratio may exceed three and one-half percent but shall not exceed the highest such ratio established during that period.
   d.  For the fiscal year beginning July 1, 2025, the ratio of the amount of the modified supplemental amount established by the department of management compared to the school district’s total regular program district cost shall not exceed four percent. However, if the school district’s highest such ratio so determined for any fiscal year beginning on or after July 1, 2009, but before July 1, 2013, exceeded four percent, the ratio may exceed four percent but shall not exceed the highest such ratio established during that period.
   e.  For the fiscal year beginning July 1, 2026, the ratio of the amount of the modified supplemental amount established by the department of management compared to the school district’s total regular program district cost shall not exceed four and one-half percent. However, if the school district’s highest such ratio so determined for any fiscal year beginning on or after July 1, 2009, but before July 1, 2013, exceeded four and one-half percent, the ratio may exceed four and one-half percent but shall not exceed the highest such ratio established during that period.
   f.  For the fiscal year beginning July 1, 2027, and each succeeding fiscal year, the ratio of the amount of the modified supplemental amount established by the department of management compared to the school district’s total regular program district cost shall not exceed five percent.
    Sec. 2.  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.
   As part of the budget for a school district’s program for at-risk students, secondary students who attend alternative programs and alternative schools, or returning dropouts and dropout prevention, the school board may request to use a modified supplemental amount. However, current law provides that the ratio of the amount of the modified supplemental amount compared to the school district’s total regular program district cost shall not exceed 2.5 percent or the school district’s highest ratio for any fiscal year beginning on or after July 1, 2009, but before July 1, 2013, whichever is greater.
   This bill modifies the maximum modified supplemental amount calculation for fiscal years beginning on or after July 1, 2023, but before July 1, 2027, by increasing the 2.5 percent ratio figure by 0.5 percent each fiscal year until the fiscal year beginning July 1, 2027, and each fiscal year thereafter, when the maximum ratio percentage is set at 5 percent for all school districts.
   The bill takes effect upon enactment.