House File 2792 - Reprinted



                                       HOUSE FILE       
                                       BY  COMMITTEE ON APPROPRIATIONS

                                       (SUCCESSOR TO HF 2710)
                                       (SUCCESSOR TO HSB 758)


    Passed House, Date                Passed Senate,  Date             
    Vote:  Ayes        Nays           Vote:  Ayes        Nays         
                 Approved                            

                                      A BILL FOR

  1 An Act relating to education finances, including the funding of,
  2    operation of, and appropriation of moneys to the department of
  3    education, the department of management, and the state board
  4    of regents, providing for participation in an instructional
  5    support program by school districts, relating to education
  6    standards and services by providing for a statewide core
  7    curriculum and standards study, providing for adjusted
  8    additional property tax levy aid for school districts,
  9    allocating and restricting utilization of local option sales
 10    and services tax moneys under specified circumstances,
 11    providing for an equity in property taxation interim study,
 12    making an appropriation, providing for an increase in the
 13    number of years for which supplementary weighting for limited
 14    English proficient students may be obtained, and providing
 15    effective and applicability dates.
 16 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
 17 HF 2792
 18 kh/es/25

PAG LIN



  1  1                           DIVISION I
  1  2         STUDENT ACHIEVEMENT AND TEACHER QUALITY PROGRAM
  1  3    Section 1.  DEPARTMENT OF EDUCATION.  There is appropriated
  1  4 from the general fund of the state to the department of
  1  5 education for the designated fiscal years of the fiscal period
  1  6 beginning July 1, 2006, and ending June 30, 2009, the
  1  7 following amounts, or so much thereof as is necessary, to be
  1  8 used for the purposes designated:
  1  9    For purposes, as provided in law, of the student
  1 10 achievement and teacher quality program established pursuant
  1 11 to chapter 284:
  1 12 FY 2006=2007...................................... $104,593,894
  1 13 FY 2007=2008...................................... $139,593,894
  1 14 FY 2008=2009...................................... $174,593,894
  1 15    Sec. 2.  Section 256.11, Code Supplement 2005, is amended
  1 16 by adding the following new subsection:
  1 17    NEW SUBSECTION.  9.  Beginning July 1, 2006, each school
  1 18 district shall have a qualified teacher librarian who shall be
  1 19 licensed by the board of educational examiners under chapter
  1 20 272.  The state board shall establish in rule a definition of
  1 21 and standards for an articulated sequential kindergarten
  1 22 through grade twelve media program.  A school district that
  1 23 entered into a contract with an individual for employment as a
  1 24 media specialist or librarian prior to June 1, 2006, shall be
  1 25 considered to be in compliance with this subsection until the
  1 26 individual leaves the employ of the school district.
  1 27    Sec. 3.  Section 256.11A, Code 2005, is amended to read as
  1 28 follows:
  1 29    256.11A  GUIDANCE PROGRAM TEACHER LIBRARIAN == MEDIA
  1 30 SERVICES PROGRAM == WAIVER.
  1 31    1.  Schools and school districts unable to meet the
  1 32 standard adopted by the state board requiring each school or
  1 33 school district operating a kindergarten through grade twelve
  1 34 program to provide an articulated sequential elementary=
  1 35 secondary guidance program The board of directors of a school
  2  1 district may, not later than August 1, 1995 2006, for the
  2  2 school year beginning July 1, 1995 2006, file a written
  2  3 request to the department of education that the department
  2  4 waive the requirement for adopted by the state board pursuant
  2  5 to section 256.11, subsection 9, that school or the school
  2  6 district have a qualified teacher librarian.  The procedures
  2  7 specified in subsection 3 apply to the request.  Not later
  2  8 than August 1, 1996 2007, for the school year beginning July
  2  9 1, 1996 2007, the board of directors of a school district or
  2 10 the authorities in charge of a nonpublic school may request a
  2 11 one=year extension of the waiver.
  2 12    2.  Not later than August 1, 1995, for the school year
  2 13 beginning July 1, 1995, the board of directors of a school
  2 14 district, or authorities in charge of a nonpublic school, may
  2 15 file a written request with the department of education that
  2 16 the department waive the rule adopted by the state board to
  2 17 establish and operate a media services program to support the
  2 18 total curriculum for that district or school.  The procedures
  2 19 specified in subsection 3 apply to the request.  Not later
  2 20 than August 1, 1996, for the school year beginning July 1,
  2 21 1996, the board of directors of a school district or the
  2 22 authorities in charge of a nonpublic school may request an
  2 23 additional one=year extension of the waiver.
  2 24    3.  2.  A request for a waiver filed by the board of
  2 25 directors of a school district or authorities in charge of a
  2 26 nonpublic school shall describe actions being taken by the
  2 27 district or school to meet the requirement for which the
  2 28 district or school has requested a waiver.
  2 29    Sec. 4.  Section 256.44, subsection 1, paragraph a, Code
  2 30 Supplement 2005, is amended to read as follows:
  2 31    a.  If a teacher registers for national board for
  2 32 professional teaching standards certification prior to June
  2 33 30, 2006 2007, a one=time initial reimbursement award in the
  2 34 amount of up to one=half of the registration fee paid by the
  2 35 teacher for registration for certification by the national
  3  1 board for professional teaching standards.  The teacher shall
  3  2 apply to the department of education within one year of
  3  3 registration, submitting to the department any documentation
  3  4 the department requires.  A teacher who receives an initial
  3  5 reimbursement award shall receive a one=time final
  3  6 registration award in the amount of the remaining national
  3  7 board registration fee paid by the teacher if the teacher
  3  8 notifies the department of the teacher's certification
  3  9 achievement and submits any documentation requested by the
  3 10 department.
  3 11    Sec. 5.  Section 284.1, unnumbered paragraph 1, Code 2005,
  3 12 is amended to read as follows:
  3 13    A student achievement and teacher quality program is
  3 14 established to promote high student achievement.  The program
  3 15 shall consist of the following four five major elements:
  3 16    Sec. 6.  Section 284.1, Code 2005, is amended by adding the
  3 17 following new subsection:
  3 18    NEW SUBSECTION.  5.  Evaluation of teachers against the
  3 19 Iowa teaching standards.
  3 20    Sec. 7.  Section 284.2, subsection 1, Code 2005, is amended
  3 21 to read as follows:
  3 22    1.  "Beginning teacher" means an individual serving under
  3 23 an initial or intern license, issued by the board of
  3 24 educational examiners under chapter 272, who is assuming a
  3 25 position as a classroom teacher.  For purposes of the
  3 26 beginning teacher mentoring and induction program created
  3 27 pursuant to section 284.5, "beginning teacher" also includes
  3 28 preschool teachers who are licensed by the board of
  3 29 educational examiners under chapter 272 and are employed by a
  3 30 school district or area education agency.
  3 31    Sec. 8.  Section 284.2, subsection 2, Code 2005, is amended
  3 32 by striking the subsection.
  3 33    Sec. 9.  Section 284.2, subsection 8, Code 2005, is amended
  3 34 to read as follows:
  3 35    8.  "Mentor" means an individual employed by a school
  4  1 district or area education agency as a classroom teacher or a
  4  2 retired teacher who holds a valid license issued under chapter
  4  3 272.  The individual must have a record of four years of
  4  4 successful teaching practice, must be employed on a
  4  5 nonprobationary basis, and must demonstrate professional
  4  6 commitment to both the improvement of teaching and learning
  4  7 and the development of beginning teachers.
  4  8    Sec. 10.  Section 284.2, subsection 12, Code 2005, is
  4  9 amended to read as follows:
  4 10    12.  "Teacher" means an individual holding a practitioner's
  4 11 license issued under chapter 272, who is employed in a
  4 12 nonadministrative position as a teacher, teacher librarian,
  4 13 media specialist, preschool teacher, or counselor by a school
  4 14 district or area education agency pursuant to a contract
  4 15 issued by a board of directors under section 279.13.  However,
  4 16 an individual who is employed by an area education agency
  4 17 shall only be considered a teacher for purposes of this
  4 18 chapter if the individual directly delivers instruction to
  4 19 school or school district students for fifty percent or more
  4 20 of the individual's contracted time.  A teacher may be
  4 21 employed in both an administrative and a nonadministrative
  4 22 position by a board of directors and shall be considered a
  4 23 part=time teacher for the portion of time that the teacher is
  4 24 employed in a nonadministrative position.  "Teacher" includes
  4 25 a licensed individual employed on a less than full=time basis
  4 26 by a school district through a contract between the school
  4 27 district and an institution of higher education with a
  4 28 practitioner preparation program in which the licensed teacher
  4 29 is enrolled.
  4 30    Sec. 11.  Section 284.4, subsection 1, paragraph e, Code
  4 31 Supplement 2005, is amended to read as follows:
  4 32    e.  Adopt a teacher evaluation plan that, at minimum,
  4 33 requires a performance review of teachers in the participating
  4 34 district at least once every three years based upon the Iowa
  4 35 teaching standards and individual career development plans,
  5  1 and requires administrators to complete evaluator training in
  5  2 accordance with section 284.10.
  5  3    Sec. 12.  Section 284.5, subsections 1, 3, 4, and 7, Code
  5  4 Supplement 2005, are amended to read as follows:
  5  5    1.  A beginning teacher mentoring and induction program is
  5  6 created to promote excellence in teaching, enhance student
  5  7 achievement, build a supportive environment within school
  5  8 districts and area education agencies, increase the retention
  5  9 of promising beginning teachers, and promote the personal and
  5 10 professional well=being of classroom teachers.
  5 11    3.  Each school district and area education agency shall
  5 12 provide a beginning teacher mentoring and induction program
  5 13 for all classroom teachers who are beginning teachers, and
  5 14 notwithstanding section 284.4, subsection 1, a school district
  5 15 and an area education agency shall be eligible to receive
  5 16 moneys under section 284.13, subsection 1, paragraph "b", for
  5 17 purposes of implementing a beginning teacher mentoring and
  5 18 induction program in accordance with this section.
  5 19    4.  Each participating school district and area education
  5 20 agency shall develop an initial beginning teacher mentoring
  5 21 and induction plan.  A school district shall include its plan
  5 22 in the school district's comprehensive school improvement plan
  5 23 submitted pursuant to section 256.7, subsection 21.  The
  5 24 beginning teacher mentoring and induction plan shall, at a
  5 25 minimum, provide for a two=year sequence of induction program
  5 26 content and activities to support the Iowa teaching standards
  5 27 and beginning teacher professional and personal needs; mentor
  5 28 training that includes, at a minimum, skills of classroom
  5 29 demonstration and coaching, and district expectations for
  5 30 beginning teacher competence on Iowa teaching standards;
  5 31 placement of mentors and beginning teachers; the process for
  5 32 dissolving mentor and beginning teacher partnerships; district
  5 33 organizational support for release time for mentors and
  5 34 beginning teachers to plan, provide demonstration of classroom
  5 35 practices, observe teaching, and provide feedback; structure
  6  1 for mentor selection and assignment of mentors to beginning
  6  2 teachers; a district facilitator; and program evaluation.
  6  3    7.  If a beginning teacher who is participating in a
  6  4 mentoring and induction program leaves the employ of a
  6  5 participating school district or area education agency prior
  6  6 to completion of the program, the participating school
  6  7 district or area education agency subsequently hiring the
  6  8 beginning teacher shall credit the beginning teacher with the
  6  9 time earned in the program prior to the subsequent hiring.
  6 10    Sec. 13.  Section 284.6, subsection 1, unnumbered paragraph
  6 11 1, Code 2005, is amended to read as follows:
  6 12    The department shall coordinate a statewide network of
  6 13 career development for Iowa teachers.  A participating school
  6 14 district or career development provider that offers a career
  6 15 development program in accordance with section 256.9,
  6 16 subsection 50, shall demonstrate that the program contains the
  6 17 following:
  6 18    Sec. 14.  Section 284.6, subsections 3 and 4, Code 2005,
  6 19 are amended to read as follows:
  6 20    3.  A participating school district shall incorporate a
  6 21 district career development plan into the district's
  6 22 comprehensive school improvement plan submitted to the
  6 23 department in accordance with section 256.7, subsection 21.
  6 24 The district career development plan shall include a
  6 25 description of the means by which the school district will
  6 26 provide access to all teachers in the district to career
  6 27 development programs or offerings that meet the requirements
  6 28 of subsection 1.  The plan shall align all career development
  6 29 with the school district's long=range student learning goals
  6 30 and the Iowa teaching standards.  The plan shall indicate the
  6 31 school district's approved career development provider or
  6 32 providers.
  6 33    4.  In cooperation with the teacher's evaluator, the career
  6 34 teacher employed by a participating school district shall
  6 35 develop an individual teacher career development plan.  The
  7  1 evaluator shall consult with the teacher's supervisor on the
  7  2 development of the individual teacher career development plan.
  7  3 The purpose of the plan is to promote individual and group
  7  4 career development.  The individual plan shall be based, at
  7  5 minimum, on the needs of the teacher, the Iowa teaching
  7  6 standards, and the student achievement goals of the attendance
  7  7 center and the school district as outlined in the
  7  8 comprehensive school improvement plan.
  7  9    Sec. 15.  Section 284.7, unnumbered paragraph 1, Code
  7 10 Supplement 2005, is amended to read as follows:
  7 11    To promote continuous improvement in Iowa's quality
  7 12 teaching workforce and to give Iowa teachers the opportunity
  7 13 for career recognition that reflects the various roles
  7 14 teachers play as educational leaders, an Iowa teacher career
  7 15 path is established for teachers employed by participating
  7 16 school districts.  A participating school district shall use
  7 17 funding allocated under section 284.13, subsection 1,
  7 18 paragraph "d" "h", to raise teacher salaries to meet the
  7 19 requirements of this section.  The Iowa teacher career path
  7 20 and salary minimums are as follows:
  7 21    Sec. 16.  Section 284.7, subsection 1, unnumbered paragraph
  7 22 1, Code Supplement 2005, is amended to read as follows:
  7 23    Effective July 1, 2001, the The following career path
  7 24 levels are established and shall be implemented in accordance
  7 25 with this chapter:
  7 26    Sec. 17.  Section 284.7, subsection 1, paragraph a,
  7 27 subparagraph (1), subparagraph subdivisions (a) and (b), Code
  7 28 2005, are amended to read as follows:
  7 29    (a)  Has successfully completed an approved practitioner
  7 30 preparation program as defined in section 272.1 or holds an
  7 31 intern teacher license issued by the board of educational
  7 32 examiners under chapter 272.
  7 33    (b)  Holds an initial or intern teacher license issued by
  7 34 the board of educational examiners.
  7 35    Sec. 18.  Section 284.7, subsection 1, paragraph a,
  8  1 subparagraph (2), Code Supplement 2005, is amended by striking
  8  2 the subparagraph and inserting in lieu thereof the following:
  8  3    (2)  Beginning July 1, 2006, the minimum salary for a
  8  4 beginning teacher shall be twenty=five thousand five hundred
  8  5 dollars.
  8  6    Sec. 19.  Section 284.7, subsection 1, paragraph b,
  8  7 subparagraph (2), Code Supplement 2005, is amended by striking
  8  8 the subparagraph and inserting in lieu thereof the following:
  8  9    (2)  Beginning July 1, 2006, the minimum salary for a
  8 10 first=year career teacher shall be twenty=six thousand five
  8 11 hundred dollars and the minimum salary for all other career
  8 12 teachers shall be twenty=seven thousand five hundred dollars.
  8 13    Sec. 20.  Section 284.7, subsection 5, Code Supplement
  8 14 2005, is amended to read as follows:
  8 15    5.  A teacher employed in a participating district shall
  8 16 not receive less compensation in that participating district
  8 17 than the teacher received in the school year preceding
  8 18 participation, as set forth in section 284.4 due to
  8 19 implementation of this chapter.  A teacher who achieves
  8 20 national board for professional teaching standards
  8 21 certification and meets the requirements of section 256.44
  8 22 shall continue to receive the award as specified in section
  8 23 256.44 in addition to the compensation set forth in this
  8 24 section.
  8 25    Sec. 21.  Section 284.7, subsection 6, paragraphs a and b,
  8 26 Code Supplement 2005, are amended to read as follows:
  8 27    a.  If the licensed employees of a school district or area
  8 28 education agency receiving funds pursuant to section 284.13,
  8 29 subsection 1, paragraph "d" "h" or "e" "i", for purposes of
  8 30 this section, are organized under chapter 20 for collective
  8 31 bargaining purposes, the board of directors and the certified
  8 32 bargaining representative for the licensed employees shall
  8 33 mutually agree upon a formula for distributing the funds among
  8 34 the teachers employed by the school district or area education
  8 35 agency.  However, the school district must comply with the
  9  1 salary minimums provided for in this section.  The parties
  9  2 shall follow the negotiation and bargaining procedures
  9  3 specified in chapter 20 except that if the parties reach an
  9  4 impasse, neither impasse procedures agreed to by the parties
  9  5 nor sections 20.20 through 20.22 shall apply and the funds
  9  6 shall be paid as provided in paragraph "b".  Negotiations
  9  7 under this section are subject to the scope of negotiations
  9  8 specified in section 20.9.  If a board of directors and the
  9  9 certified bargaining representative for licensed employees
  9 10 have not reached mutual agreement for the distribution of
  9 11 funds received pursuant to section 284.13, subsection 1,
  9 12 paragraph "d" "h" or "e" "i", by July 15 of the fiscal year
  9 13 for which the funds are distributed, paragraph "b" of this
  9 14 subsection shall apply.
  9 15    b.  If, once the minimum salary requirements of this
  9 16 section have been met by the school district or area education
  9 17 agency, and the school district or area education agency
  9 18 receiving funds pursuant to section 284.13, subsection 1,
  9 19 paragraph "d" "h" or "e" "i", for purposes of this section,
  9 20 and the certified bargaining representative for the licensed
  9 21 employees have not reached an agreement for distribution of
  9 22 the funds remaining, in accordance with paragraph "a", the
  9 23 board of directors shall divide the funds remaining among
  9 24 full=time teachers employed by the district or area education
  9 25 agency whose regular compensation is equal to or greater than
  9 26 the minimum career teacher salary specified in this section.
  9 27 The payment amount for teachers employed on less than a
  9 28 full=time basis shall be prorated.
  9 29    Sec. 22.  Section 284.8, subsection 1, Code 2005, is
  9 30 amended to read as follows:
  9 31    1.  A participating school district shall review a
  9 32 teacher's performance at least once every three years for
  9 33 purposes of assisting teachers in making continuous
  9 34 improvement, documenting continued competence in the Iowa
  9 35 teaching standards, identifying teachers in need of
 10  1 improvement, or to determine whether the teacher's practice
 10  2 meets school district expectations for career advancement in
 10  3 accordance with section 284.7.  The review shall include, at
 10  4 minimum, classroom observation of the teacher, the teacher's
 10  5 progress, and implementation of the teacher's individual
 10  6 career development plan; shall include supporting
 10  7 documentation from other evaluators, teachers, parents, and
 10  8 students; and may include video portfolios as evidence of
 10  9 teaching practices.
 10 10    Sec. 23.  Section 284.10, subsection 5, Code 2005, is
 10 11 amended to read as follows:
 10 12    5.  By July 1, 2005 2007, the director shall develop and
 10 13 implement an evaluator training certification renewal program
 10 14 for administrators and other practitioners who need to renew a
 10 15 certificate issued pursuant to this section.
 10 16    Sec. 24.  Section 284.11, Code 2005, is amended by striking
 10 17 the section and inserting in lieu thereof the following:
 10 18    284.11  MARKET FACTOR TEACHER SALARIES.
 10 19    1.  The general assembly finds that Iowa school districts
 10 20 need to be more competitive in recruiting and retaining
 10 21 talented professionals into the teaching profession.  To
 10 22 ensure that school districts in all areas of the state have
 10 23 the ability to attract highly qualified teachers, it is the
 10 24 intent of the general assembly to encourage school districts
 10 25 to establish teacher compensation opportunities that recognize
 10 26 the need for geographic or other locally determined wage
 10 27 differentials and provide incentives for traditionally
 10 28 hard=to=staff schools and subject=area shortages.  This
 10 29 section provides for state assistance to allow school
 10 30 districts to add a market factor to teacher salaries paid by
 10 31 the school districts.
 10 32    2.  A school district shall be paid annually, from moneys
 10 33 allocated for market factor salaries pursuant to section
 10 34 284.13, subsection 1, paragraph "f", an amount of state
 10 35 assistance to create market factor incentives for classroom
 11  1 teachers in the school district.  Market factor incentives may
 11  2 include but are not limited to improving salaries due to
 11  3 geographic differences, recruitment and retention needs of the
 11  4 school district in such areas as hard= to=staff schools,
 11  5 subject=area shortages, or improving the racial or ethnic
 11  6 diversity on local teaching staffs.  The school district shall
 11  7 have the sole discretion to award funds received by the school
 11  8 district in accordance with section 284.13, subsection 1,
 11  9 paragraph "f", to classroom teachers on an annual basis.  The
 11 10 funds shall supplement, but not supplant, wages and salaries
 11 11 paid as a result of a collective bargaining agreement reached
 11 12 pursuant to chapter 20 or as a result of funds appropriated
 11 13 elsewhere in this chapter, in chapter 256D, or in chapter
 11 14 294A.
 11 15    3.  The allocations to each school district shall be made
 11 16 in one payment on or about October 15 of the fiscal year for
 11 17 which the appropriation is made, taking into consideration the
 11 18 relative budget and cash position of the state resources.
 11 19 Moneys received under this section shall not be commingled
 11 20 with state aid payments made under section 257.16 to a school
 11 21 district and shall be accounted for by the local school
 11 22 district separately from state aid payments.  Payments made to
 11 23 school districts under this section are miscellaneous income
 11 24 for purposes of chapter 257.  A school district shall maintain
 11 25 a separate listing within its budget for payments received and
 11 26 expenditures made pursuant to this section.  A school district
 11 27 shall certify to the department of education how the school
 11 28 district allocated the funds and that moneys received under
 11 29 this section were used to supplement, not supplant, the salary
 11 30 the school district would otherwise pay the teacher.
 11 31    4.  The department shall include market factor salaries
 11 32 when reporting teacher salaries in the annual condition of
 11 33 education report.
 11 34    Sec. 25.  Section 284.13, subsection 1, Code Supplement
 11 35 2005, is amended to read as follows:
 12  1    1.  For each fiscal year in which moneys are appropriated
 12  2 by the general assembly for purposes of the student
 12  3 achievement and teacher quality program, the moneys shall be
 12  4 allocated as follows in the following priority order:
 12  5    a.  For each fiscal year of the fiscal year period
 12  6 beginning July 1, 2005 2006, and ending June 30, 2006 2009, to
 12  7 the department of education, the amount of two million two
 12  8 hundred fifty thousand dollars for the issuance of national
 12  9 board certification awards in accordance with section 256.44.
 12 10 Of the amount allocated under this paragraph, up to two
 12 11 hundred fifty thousand dollars may be used to support the
 12 12 implementation of a national board certification support
 12 13 program, and not less than eighty=five thousand dollars shall
 12 14 be used to administer the ambassador to education position in
 12 15 accordance with section 256.45.
 12 16    b.  For the fiscal year beginning July 1, 2005 2006, and
 12 17 succeeding fiscal years, an amount up to four million two six
 12 18 hundred fifty thousand dollars for first=year and second=year
 12 19 beginning teachers, to the department of education for
 12 20 distribution to school districts and area education agencies
 12 21 for purposes of the beginning teacher mentoring and induction
 12 22 programs.  A school district or area education agency shall
 12 23 receive one thousand three hundred dollars per beginning
 12 24 teacher participating in the program.  If the funds
 12 25 appropriated for the program are insufficient to pay mentors,
 12 26 and school districts, and area education agencies as provided
 12 27 in this paragraph, the department shall prorate the amount
 12 28 distributed to school districts and area education agencies
 12 29 based upon the amount appropriated.  Moneys received by a
 12 30 school district or area education agency pursuant to this
 12 31 paragraph shall be expended to provide each mentor with an
 12 32 award of five hundred dollars per semester, at a minimum, for
 12 33 participation in the school district's or area education
 12 34 agency's beginning teacher mentoring and induction program; to
 12 35 implement the plan; and to pay any applicable costs of the
 13  1 employer's share of contributions to federal social security
 13  2 and the Iowa public employees' retirement system or a pension
 13  3 and annuity retirement system established under chapter 294,
 13  4 for such amounts paid by the district or area education
 13  5 agency.
 13  6    c.  For each fiscal year of the fiscal year period
 13  7 beginning July 1, 2005 2006, and ending June 30, 2006 2009, up
 13  8 to four six hundred eighty=five ninety=five thousand dollars
 13  9 to the department of education for purposes of implementing
 13 10 the career development program requirements of section 284.6,
 13 11 the review panel requirements of section 284.9, and the
 13 12 evaluator training program in section 284.10.  From the moneys
 13 13 allocated to the department pursuant to this paragraph, not
 13 14 less than ten thousand dollars shall be distributed to the
 13 15 board of educational examiners for purposes of convening an
 13 16 educator licensing review working group.  From the moneys
 13 17 allocated to the department pursuant to this paragraph, not
 13 18 less than eighty=five thousand dollars shall be used to
 13 19 administer the ambassador to education position in accordance
 13 20 with section 256.45.  A portion of the funds allocated to the
 13 21 department for purposes of this paragraph may be used by the
 13 22 department for administrative purposes.  Notwithstanding
 13 23 section 8.33, moneys allocated for purposes of this paragraph
 13 24 prior to July 1, 2004, which remain unobligated or unexpended
 13 25 at the end of the fiscal year for which the moneys were
 13 26 appropriated, shall remain available for expenditure for the
 13 27 purposes for which they were allocated, for the fiscal year
 13 28 beginning July 1, 2004, and ending June 30, 2005.
 13 29    d.  For each fiscal year in which funds are appropriated
 13 30 for purposes of this chapter, the moneys remaining after
 13 31 distribution as provided in paragraphs "a" through "c" and "e"
 13 32 shall be allocated to school districts for salaries and career
 13 33 development in accordance with the following formula:
 13 34    (1)  Fifty percent of the allocation shall be in the
 13 35 proportion that the basic enrollment of a school district
 14  1 bears to the sum of the basic enrollments of all school
 14  2 districts in the state for the budget year.
 14  3    (2)  Fifty percent of the allocation shall be based upon
 14  4 the proportion that the number of full=time equivalent
 14  5 teachers employed by a school district bears to the sum of the
 14  6 number of full=time equivalent teachers who are employed by
 14  7 all school districts in the state for the base year.
 14  8    e.  From moneys available under paragraph "d", the
 14  9 department shall allocate to area education agencies an amount
 14 10 per classroom teacher employed by an area education agency
 14 11 that is approximately equivalent to the average per teacher
 14 12 amount allocated to the districts.  The average per teacher
 14 13 amount shall be calculated by dividing the total number of
 14 14 classroom teachers employed by school districts and the
 14 15 classroom teachers employed by area education agencies into
 14 16 the total amount of moneys available under paragraph "d".
 14 17    f.  d.  For the fiscal year beginning July 1, 2005 2006,
 14 18 and ending June 30, 2006 2007, up to ten million dollars to
 14 19 the department of education for use by school districts to add
 14 20 one additional teacher contract day to the school calendar.
 14 21 The department shall distribute funds allocated for the
 14 22 purpose of this paragraph based on the average per diem
 14 23 contract salary for each district as reported to the
 14 24 department for the school year beginning July 1, 2004 2005,
 14 25 multiplied by the total number of full=time equivalent
 14 26 teachers in the base year.  The department shall adjust each
 14 27 district's average per diem salary by the allowable growth
 14 28 rate established under section 257.8 for the fiscal year
 14 29 beginning July 1, 2005 2006.  The contract salary amount shall
 14 30 be the amount paid for their regular responsibilities but
 14 31 shall not include pay for extracurricular activities.  School
 14 32 districts shall distribute funds to teachers based on
 14 33 individual teacher per diem amounts.  These funds shall not
 14 34 supplant existing funding for professional development
 14 35 activities.  Notwithstanding any provision to the contrary,
 15  1 moneys received by a school district under this paragraph
 15  2 shall not revert but shall remain available for the same
 15  3 purpose in the succeeding fiscal year.  A school district
 15  4 shall submit a report to the department in a manner determined
 15  5 by the department describing its use of the funds received
 15  6 under this paragraph.  The department shall submit a report on
 15  7 school district use of the moneys distributed pursuant to this
 15  8 paragraph to the chairpersons and ranking members of the house
 15  9 and senate standing committees on education, the joint
 15 10 appropriations subcommittee on education, and the legislative
 15 11 services agency not later than January 15, 2006 2007.
 15 12    g.  e.  For the fiscal year beginning July 1, 2005 2006,
 15 13 and ending June 30, 2006 2007, up to six million six hundred
 15 14 twenty=five thousand dollars to the department of education
 15 15 for use by school districts for either salaries or
 15 16 professional development, or both, as determined by the school
 15 17 district.  Funds received by a school district for purposes of
 15 18 this paragraph shall be distributed using the formula provided
 15 19 in paragraph "d" "h" and are subject to the provisions of
 15 20 section 284.7, subsection 6.  A school district shall submit a
 15 21 report to the department in a manner determined by the
 15 22 department describing its use of the funds received under this
 15 23 paragraph.  The department shall submit a report on school
 15 24 district use of the funds distributed pursuant to this
 15 25 paragraph to the chairpersons and ranking members of the house
 15 26 and senate standing committees on education, the joint
 15 27 appropriations subcommittee on education, and the legislative
 15 28 services agency not later than January 15, 2006 annually.
 15 29    f.  For purposes of market factor teacher salaries pursuant
 15 30 to section 284.11, the following amounts are allocated to the
 15 31 department for the following fiscal years:
 15 32    (1)  For the fiscal year beginning July 1, 2006, and ending
 15 33 June 30, 2007, the sum of three million three hundred ninety
 15 34 thousand dollars.
 15 35    (2)  For the fiscal year beginning July 1, 2007, and ending
 16  1 June 30, 2008, the sum of seven million five hundred thousand
 16  2 dollars.
 16  3    (3)  For the fiscal year beginning July 1, 2008, and ending
 16  4 June 30, 2009, the sum of ten million dollars.
 16  5    The department shall use the formula set forth in paragraph
 16  6 "h" to distribute moneys allocated under this paragraph.
 16  7    g.  For purposes of the pay=for=performance program
 16  8 established pursuant to section 284.14, the following amounts
 16  9 are allocated to the department of management for the
 16 10 following fiscal years:
 16 11    (1)  For the fiscal year beginning July 1, 2006, and ending
 16 12 June 30, 2007, the sum of one million dollars.  Of the amount
 16 13 allocated under this subparagraph, an amount equal to one
 16 14 hundred fifty thousand dollars shall be distributed to the
 16 15 institute for tomorrow's workforce created pursuant to section
 16 16 7K.1 for the activities of the institute.
 16 17    (2)  For the fiscal year beginning July 1, 2007, and ending
 16 18 June 30, 2008, the sum of two million five hundred thousand
 16 19 dollars.
 16 20    (3)  For the fiscal year beginning July 1, 2008, and ending
 16 21 June 30, 2009, the sum of five million dollars.
 16 22    h.  For each fiscal year in which funds are appropriated
 16 23 for purposes of this chapter, the moneys remaining after
 16 24 distribution as provided in paragraphs "a" through "g" shall
 16 25 be allocated to school districts for salaries and career
 16 26 development in accordance with the following formula:
 16 27    (1)  Fifty percent of the allocation shall be in the
 16 28 proportion that the basic enrollment of a school district
 16 29 bears to the sum of the basic enrollments of all school
 16 30 districts in the state for the budget year.
 16 31    (2)  Fifty percent of the allocation shall be based upon
 16 32 the proportion that the number of full=time equivalent
 16 33 teachers employed by a school district bears to the sum of the
 16 34 number of full=time equivalent teachers who are employed by
 16 35 all school districts in the state for the base year.
 17  1    i.  From moneys available under paragraph "h", the
 17  2 department shall allocate to area education agencies an amount
 17  3 per classroom teacher employed by an area education agency
 17  4 that is approximately equivalent to the average per teacher
 17  5 amount allocated to the districts.  The average per teacher
 17  6 amount shall be calculated by dividing the total number of
 17  7 classroom teachers employed by school districts and the
 17  8 classroom teachers employed by area education agencies into
 17  9 the total amount of moneys available under paragraph "h".
 17 10    h.  j.  Notwithstanding section 8.33, any moneys remaining
 17 11 unencumbered or unobligated from the moneys allocated for
 17 12 purposes of paragraph "a", or "b", or "c" shall not revert but
 17 13 shall remain available in the succeeding fiscal year for
 17 14 expenditure for the purposes designated.  The provisions of
 17 15 section 8.39 shall not apply to the funds appropriated
 17 16 pursuant to this subsection.
 17 17    Sec. 26.  Section 284.13, subsection 2, Code Supplement
 17 18 2005, is amended to read as follows:
 17 19    2.  A school district that is unable to meet the provisions
 17 20 of section 284.7, subsection 1, with funds allocated pursuant
 17 21 to subsection 1, paragraph "d" "h", may request a waiver from
 17 22 the department to use funds appropriated under chapter 256D to
 17 23 meet the provisions of section 284.7, subsection 1, if the
 17 24 difference between the funds allocated to the school district
 17 25 pursuant to subsection 1, paragraph "d" "h", and the amount
 17 26 required to comply with section 284.7, subsection 1, is not
 17 27 less than ten thousand dollars.  The department shall consider
 17 28 the average class size of the school district, the school
 17 29 district's actual unspent balance from the preceding year, and
 17 30 the school district's current financial position.
 17 31    Sec. 27.  NEW SECTION.  284.14  PAY=FOR=PERFORMANCE
 17 32 PROGRAM.
 17 33    1.  COMMISSION.
 17 34    a.  A pay=for=performance commission is established to
 17 35 design and implement a pay=for=performance program and provide
 18  1 a study relating to teacher and staff compensation containing
 18  2 a pay=for=performance component.  The study shall measure the
 18  3 cost and effectiveness in raising student achievement of a
 18  4 compensation system that provides financial incentives based
 18  5 on student performance.  The commission is part of the
 18  6 executive branch of government.  The legislative services
 18  7 agency shall, upon request, provide technical and
 18  8 administrative support to the commission.
 18  9    The commission shall select its own chairperson and
 18 10 establish its own rules of procedure.  A majority of the
 18 11 voting members of the commission shall constitute a quorum.
 18 12    b.  Any vacancy on the commission shall be filled by the
 18 13 appropriate appointing authority.  Members shall receive a per
 18 14 diem.  Membership of the commission shall be as follows:
 18 15    (1)  One classroom teacher selected jointly by the Iowa
 18 16 state educational association and the professional educators
 18 17 of Iowa.
 18 18    (2)  One principal selected by the school administrators of
 18 19 Iowa.
 18 20    (3)  One private sector representative selected by the Iowa
 18 21 business council.  This representative must meet all of the
 18 22 following qualifications:
 18 23    (a)  Possess a degree in education and have teaching
 18 24 experience.
 18 25    (b)  Be employed in a business employing at least two
 18 26 hundred persons that has an employee performance pay program.
 18 27    (c)  Have served as a school board member.
 18 28    (4)  One industrial engineer appointed by the American
 18 29 society of engineers, who has technical knowledge and
 18 30 experience in the design and implementation of individual and
 18 31 group pay=for=performance incentive programs.
 18 32    (5)  One small business private sector employer, who
 18 33 employs at least fifty people in a targeted industry, selected
 18 34 by the governor, who has general management experience and top
 18 35 line and bottom line responsibilities.
 19  1    (6)  One professional economist with a doctoral degree with
 19  2 experience and knowledge in student achievement using test
 19  3 scores to measure student progress, selected by the voting
 19  4 members of the commission, after they convene.
 19  5    (7)  One representative from the department of education
 19  6 who shall serve as a nonvoting member.
 19  7    (8)  Two members of the senate and two members of the house
 19  8 of representatives who shall serve as nonvoting members for
 19  9 two=year terms coinciding with the legislative biennium.
 19 10    c.  Voting members shall serve three=year terms except for
 19 11 the terms of the initial members, which shall be staggered so
 19 12 that two members' terms expire each calendar year.  A vacancy
 19 13 in the membership of the board shall be filled by appointment
 19 14 by the initial appointing authority.
 19 15    d.  The pay=for=performance commission is not subject to
 19 16 the provisions of section 69.16 or 69.16A.
 19 17    2.  DEVELOPMENT OF PROGRAM.  Beginning July 1, 2006, the
 19 18 commission shall gather sufficient information to identify a
 19 19 pay=for=performance program based upon student achievement
 19 20 gains and global content standards where student achievement
 19 21 gains cannot be easily measured.  The commission shall review
 19 22 pay=for=performance programs in both the public and private
 19 23 sector.  Based on this information, the commission shall
 19 24 design a program utilizing both individual and group incentive
 19 25 components.  At least half of any available funding identified
 19 26 by the commission shall be designated for individual
 19 27 incentives.
 19 28    a.  Commencing with the school year beginning July 1, 2007,
 19 29 the commission shall initiate demonstration projects, in
 19 30 selected kindergarten through grade twelve schools, to test
 19 31 the effectiveness of the pay=for=performance program.  The
 19 32 purpose of the demonstration projects is to identify the
 19 33 strengths and weaknesses of the pay=for=performance program
 19 34 design, evaluate cost effectiveness, analyze student
 19 35 achievement gains, test assessments, allow thorough review of
 20  1 data, and make necessary adjustments before implementing the
 20  2 pay=for=performance program statewide.
 20  3    b.  The commission shall select ten school districts as
 20  4 demonstration projects.  To the extent practicable,
 20  5 participants shall represent geographically distinct rural,
 20  6 urban, and suburban areas of the state.  Participants shall
 20  7 provide reports or other information as required by the
 20  8 commission.
 20  9    c.  Commencing with the school year beginning July 1, 2008,
 20 10 the commission shall select twenty additional school districts
 20 11 as demonstration projects.
 20 12    3.  REPORTS AND FINAL STUDY.  Based on the information
 20 13 generated by the demonstration projects, the commission shall
 20 14 prepare an interim report by January 15, 2007, followed by
 20 15 interim progress reports annually, followed by a final study
 20 16 report analyzing the effectiveness of pay=for=performance in
 20 17 raising student achievement levels.  The final study report
 20 18 shall be completed no later than six months after the
 20 19 completion of the demonstration projects.  The commission
 20 20 shall provide copies of the final study report to the
 20 21 department of education and to the chairpersons and ranking
 20 22 members of the senate and house standing committees on
 20 23 education.
 20 24    4.  STATEWIDE IMPLEMENTATION == REMEDIATION.  Commencing
 20 25 with the school year beginning July 1, 2009, the
 20 26 pay=for=performance program shall be implemented statewide,
 20 27 notwithstanding the provisions of chapters 20 and 279 to the
 20 28 contrary.
 20 29    a.  The commission, in consultation with the department of
 20 30 education, shall develop a system which will provide for
 20 31 valid, reliable tracking and measuring of enhanced student
 20 32 achievement under the pay=for=performance program.  Where
 20 33 possible, student performance shall be based solely on student
 20 34 achievement, objectively measured by academic gains made by
 20 35 individual students using valid, reliable, and nonsubjective
 21  1 assessment tools such as the dynamic indicators of basic early
 21  2 literacy skills (DIBELS), the Iowa test of basic skills, or
 21  3 the Iowa test of educational development.
 21  4    b.  The commission shall develop a pay=for=performance pay
 21  5 plan for teacher compensation.  The plan shall establish
 21  6 salary adjustments which vary directly with the enhancement of
 21  7 student achievement.  The plan shall include teacher
 21  8 performance standards which identify the following five levels
 21  9 of teacher performance with standards to measure each level:
 21 10    (1)  Superior performance.
 21 11    (2)  Exceeds expectations.
 21 12    (3)  Satisfactory.
 21 13    (4)  Emerging.
 21 14    (5)  In need of remediation.
 21 15    No individual salary adjustments under an individual
 21 16 incentive component of a pay=for=performance program shall be
 21 17 provided to teachers whose students do not demonstrate at
 21 18 least a satisfactory level of performance.
 21 19    c.  The department of education, in conjunction with the
 21 20 commission, shall create a teacher remediation program to
 21 21 provide counseling and assistance for teachers whose students
 21 22 do not demonstrate adequate increases in achievement.
 21 23    5.  STAFFING.  The legislative services agency may annually
 21 24 use up to fifty thousand dollars of the moneys appropriated
 21 25 for the pay=for=performance program to provide technical and
 21 26 administrative assistance to the commission and monitoring of
 21 27 the program.  The commission may annually use up to two
 21 28 hundred thousand dollars of the moneys appropriated for
 21 29 consultation services in coordination with the legislative
 21 30 services agency.
 21 31    6.  IOWA EXCELLENCE FUND.  An Iowa excellence fund is
 21 32 created within the office of the treasurer of state, to be
 21 33 administered by the commission.  Notwithstanding section 8.33,
 21 34 moneys in the fund that remain unencumbered or unobligated at
 21 35 the close of the fiscal year shall not revert but shall remain
 22  1 in the fund.
 22  2    The commission may provide grants from this fund, according
 22  3 to criteria developed by the commission, for implementation of
 22  4 the pay=for=performance program.
 22  5    Sec. 28.  NEW SECTION.  284A.1  DEFINITIONS.
 22  6    As used in this chapter, unless the context otherwise
 22  7 requires:
 22  8    1.  "Administrator" means an individual holding a
 22  9 professional administrator license issued under chapter 272,
 22 10 who is employed in a school district administrative position
 22 11 by a school district or area education agency pursuant to a
 22 12 contract issued by a board of directors under section 279.23.
 22 13 An administrator may be employed in both an administrative and
 22 14 a nonadministrative position by a board of directors and shall
 22 15 be considered a part=time administrator for the portion of
 22 16 time that the individual is employed in an administrative
 22 17 position.
 22 18    2.  "Beginning administrator" means an individual serving
 22 19 under an initial administrator license, issued by the board of
 22 20 educational examiners under chapter 272, who is assuming a
 22 21 position as a school district administrator for the first
 22 22 time.
 22 23    3.  "Department" means the department of education.
 22 24    4.  "Mentor" means an individual employed by a school
 22 25 district or area education agency as a school district
 22 26 administrator or a retired administrator who holds a valid
 22 27 license issued under chapter 272.  The individual must have a
 22 28 record of four years of successful administrative experience
 22 29 and must demonstrate professional commitment to both the
 22 30 improvement of teaching and learning and the development of
 22 31 beginning administrators.
 22 32    5.  "School board" means the board of directors of a school
 22 33 district or a collaboration of boards of directors of school
 22 34 districts.
 22 35    6.  "State board" means the state board of education.
 23  1    Sec. 29.  NEW SECTION.  284A.2  BEGINNING ADMINISTRATOR
 23  2 MENTORING AND INDUCTION PROGRAM.
 23  3    1.  A beginning administrator mentoring and induction
 23  4 program is created to promote excellence in school leadership,
 23  5 improve classroom instruction, enhance student achievement,
 23  6 build a supportive environment within school districts,
 23  7 increase the retention of promising school leaders, and
 23  8 promote the personal and professional well=being of
 23  9 administrators.
 23 10    2.  The department, in collaboration with other educational
 23 11 partners, shall develop a model beginning administrator
 23 12 mentoring and induction program for all beginning
 23 13 administrators.
 23 14    3.  Each school board shall establish an administrator
 23 15 mentoring program for all beginning administrators.  The
 23 16 school board may adopt the model program developed by the
 23 17 department pursuant to subsection 2.  Each school board's
 23 18 beginning administrator mentoring and induction program shall,
 23 19 at a minimum, provide for one year of programming.  Each
 23 20 school board shall develop an initial beginning administrator
 23 21 mentoring and induction plan.  The plan shall describe the
 23 22 mentor selection process, describe supports for beginning
 23 23 administrators, describe program organizational and
 23 24 collaborative structures, provide a budget, provide for
 23 25 sustainability of the program, and provide for program
 23 26 evaluation.  The school board employing an administrator shall
 23 27 determine the conditions and requirements of an administrator
 23 28 participating in a program established pursuant to this
 23 29 section.  A school board shall include its plan in the school
 23 30 district's comprehensive school improvement plan submitted
 23 31 pursuant to section 256.7, subsection 21.
 23 32    4.  By the end of a beginning administrator's second year
 23 33 of employment, the beginning administrator may be
 23 34 comprehensively evaluated at the discretion of the school
 23 35 board.
 24  1    Sec. 30.  NEW SECTION.  284A.3  PROGRAM APPROPRIATION.
 24  2    1.  For the fiscal year beginning July 1, 2006, and each
 24  3 succeeding fiscal year, there is appropriated from the general
 24  4 fund of the state to the department of education the sum of
 24  5 two hundred fifty thousand dollars for purposes of
 24  6 administering the beginning administrator mentoring and
 24  7 induction program established pursuant to this chapter.
 24  8    2.  A school district shall receive one thousand three
 24  9 hundred dollars per beginning administrator participating in
 24 10 the program.  If the funds appropriated for the program are
 24 11 insufficient to pay mentors and school districts as provided
 24 12 in this subsection, the department shall prorate the amount
 24 13 distributed to school districts based upon the amount
 24 14 appropriated.  Moneys received by a school district pursuant
 24 15 to this subsection shall be expended to provide each mentor
 24 16 with an award of five hundred dollars per semester, at a
 24 17 minimum, for participation in the school district's beginning
 24 18 administrator mentoring and induction program; to implement
 24 19 the plan; and to pay any applicable costs of the employer's
 24 20 share of contributions to federal social security and the Iowa
 24 21 public employees' retirement system or a pension and annuity
 24 22 retirement system established under chapter 294, for such
 24 23 amounts paid by the district.
 24 24    3.  Notwithstanding section 8.33, any moneys remaining
 24 25 unobligated or unexpended from the moneys appropriated under
 24 26 subsection 1 shall not revert, but shall remain available in
 24 27 the succeeding fiscal year for expenditure for the purposes
 24 28 designated.  The provisions of section 8.39 shall not apply to
 24 29 the funds appropriated pursuant to this section.
 24 30    Sec. 31.  INSTITUTE FOR TOMORROW'S WORKFORCE == IOWA
 24 31 EDUCATION EFFICIENCY AND IMPROVEMENT PLAN.  The institute for
 24 32 tomorrow's workforce shall develop an Iowa education
 24 33 efficiency and improvement plan, the goal of which is to
 24 34 establish a new educational delivery system.  In developing
 24 35 the plan, the institute shall address issues concerning the
 25  1 alignment of school districts, area education agencies, public
 25  2 postsecondary institutions, and the department of education,
 25  3 focusing on specific quantitative and qualitative indicators,
 25  4 management, governance, services, boundaries, infrastructure
 25  5 and efficiencies, and administrative efficiencies.  The
 25  6 institute shall submit the plan and any recommendations for
 25  7 changes to state law and administrative rules to the general
 25  8 assembly, the governor, and the department of education by
 25  9 January 15, 2007.  The plan shall be implemented by the
 25 10 general assembly and the governor unless rejected by the
 25 11 general assembly and the governor by June 30, 2007.
 25 12    Sec. 32.  STATE MANDATE FUNDING SPECIFIED.  In accordance
 25 13 with section 25B.2, subsection 3, the state cost of requiring
 25 14 compliance with any state mandate included in this Act shall
 25 15 be paid by a school district from state school foundation aid
 25 16 received by the school district under section 257.16.  This
 25 17 specification of the payment of the state cost shall be deemed
 25 18 to meet all the state funding=related requirements of section
 25 19 25B.2, subsection 3, and no additional state funding shall be
 25 20 necessary for the full implementation of this Act by and
 25 21 enforcement of this Act against all affected school districts.
 25 22                           DIVISION II
 25 23                        EDUCATION POLICY
 25 24                     DEPARTMENT OF EDUCATION
 25 25    Sec. 33.  There is appropriated from the general fund of
 25 26 the state to the department of education for the fiscal year
 25 27 beginning July 1, 2006, and ending June 30, 2007, the
 25 28 following amount, or so much thereof as is necessary, to be
 25 29 used for the purpose designated:
 25 30    To assist school districts with the implementation of
 25 31 statewide graduation requirements as provided in division III
 25 32 of this Act:
 25 33 .................................................. $    130,000
 25 34                          DIVISION III
 25 35               MISCELLANEOUS EDUCATION PROVISIONS
 26  1    Sec. 34.  Section 261.25, subsection 1A, as enacted by 2006
 26  2 Iowa Acts, House File 2527, if enacted, is amended to read as
 26  3 follows:
 26  4    1A.  There is appropriated from the general fund of the
 26  5 state to the commission for each fiscal year the sum of five
 26  6 million one hundred sixty-seven thousand three hundred fifty-
 26  7 eight dollars for proprietary tuition grants for students
 26  8 attending for-profit accredited private institutions.
 26  9    Sec. 35.  Section 257.4, subsection 1, Code 2005, is
 26 10 amended to read as follows:
 26 11    1.  COMPUTATION OF TAX.
 26 12    a.  A school district shall cause an additional property
 26 13 tax to be levied each year.  The rate of the additional
 26 14 property tax levy in a school district shall be determined by
 26 15 the department of management and shall be calculated to raise
 26 16 the difference between the combined district cost for the
 26 17 budget year and the sum of the products of the regular program
 26 18 foundation base per pupil times the weighted enrollment in the
 26 19 district and the special education support services foundation
 26 20 base per pupil times the special education support services
 26 21 weighted enrollment in the district.
 26 22    b.  For the budget year beginning July 1, 2006, and
 26 23 succeeding budget years, the department of management shall
 26 24 determine an adjusted additional property tax levy and a
 26 25 statewide maximum adjusted additional property tax levy rate.
 26 26 For purposes of this paragraph, the adjusted additional
 26 27 property tax levy shall be that portion of the additional
 26 28 property tax levy corresponding to the state cost per pupil
 26 29 multiplied by a school district's weighted enrollment, and
 26 30 then multiplied by one hundred percent less the regular
 26 31 program foundation base per pupil percentage pursuant to
 26 32 section 257.1.  The district shall receive adjusted additional
 26 33 property tax levy aid in an amount equal to the difference
 26 34 between the adjusted additional property tax levy rate and the
 26 35 statewide maximum adjusted additional property tax levy rate,
 27  1 as applied per thousand dollars of assessed valuation on all
 27  2 taxable property in the district.  The statewide maximum
 27  3 adjusted additional property tax levy rate shall be annually
 27  4 determined by the department taking into account amounts
 27  5 allocated pursuant to section 257.15, subsection 4.
 27  6    Sec. 36.  Section 257.15, Code 2005, is amended by adding
 27  7 the following new subsection:
 27  8    NEW SUBSECTION.  4.  The department of management shall
 27  9 allocate from amounts appropriated pursuant to section 257.16,
 27 10 subsection 1, for the purpose of calculating the statewide
 27 11 maximum adjusted additional property tax levy rate and
 27 12 providing adjusted additional property tax levy aid as
 27 13 provided in section 257.4, subsection 1, paragraph "b", an
 27 14 amount not to exceed the following:
 27 15    a.  For the budget year beginning July 1, 2006, six million
 27 16 dollars.
 27 17    b.  For the budget year beginning July 1, 2007, twelve
 27 18 million dollars.
 27 19    c.  For the budget year beginning July 1, 2008, eighteen
 27 20 million dollars.
 27 21    d.  For the budget year beginning July 1, 2009, and
 27 22 succeeding budget years, twenty=four million dollars.
 27 23    Sec. 37.  Section 257.16, subsection 1, Code 2005, is
 27 24 amended to read as follows:
 27 25    1.  There is appropriated each year from the general fund
 27 26 of the state an amount necessary to pay the foundation aid,
 27 27 and supplementary aid under section 257.4, subsection 2, and
 27 28 adjusted additional property tax levy aid under section
 27 29 257.15, subsection 4.
 27 30    Sec. 38.  Section 257.31, subsection 5, paragraph j, Code
 27 31 2005, is amended to read as follows:
 27 32    j.  Unusual need to continue providing a program or other
 27 33 special assistance to non=English speaking pupils after the
 27 34 expiration of the three=year four=year period specified in
 27 35 section 280.4.
 28  1    Sec. 39.  Section 280.4, subsection 3, Code 2005, is
 28  2 amended to read as follows:
 28  3    3.  In order to provide funds for the excess costs of
 28  4 instruction of limited English proficient students above the
 28  5 costs of instruction of pupils in a regular curriculum,
 28  6 students identified as limited English proficient shall be
 28  7 assigned an additional weighting of twenty=two hundredths, and
 28  8 that weighting shall be included in the weighted enrollment of
 28  9 the school district of residence for a period not exceeding
 28 10 three four years.  However, the school budget review committee
 28 11 may grant supplemental aid or modified allowable growth to a
 28 12 school district to continue funding a program for students
 28 13 after the expiration of the three=year four=year period.
 28 14    Sec. 40.  Section 423B.7, subsection 6, Code 2005, is
 28 15 amended to read as follows:
 28 16    6.  Local sales and services tax moneys received by a city
 28 17 or county may be expended for any lawful purpose of the city
 28 18 or county.
 28 19    a.  Notwithstanding the provisions of this subsection,
 28 20 sales and services tax moneys received from a tax imposed by a
 28 21 county pursuant to this chapter shall not be expended by or
 28 22 for the benefit of a school district located in whole or in
 28 23 part in the county unless the county is imposing a local
 28 24 option sales and services tax for school infrastructure
 28 25 purposes pursuant to chapter 423E.
 28 26    b.  Paragraph "a" of this subsection is repealed December
 28 27 31, 2022.
 28 28    Sec. 41. Section 423E.4, Code Supplement 2005, is amended
 28 29 by adding the following new subsection:
 28 30    NEW SUBSECTION.  7.  Notwithstanding subsection 2 of this
 28 31 section or any other provision to the contrary, a school
 28 32 district that is located in whole or in part in a county that
 28 33 has not previously imposed the local sales and services tax
 28 34 for school infrastructure, and which votes on and approves the
 28 35 tax at a rate of one percent on or before July 1, 2008, shall
 29  1 receive an amount equal to its pro rata share of the local
 29  2 sales and services tax receipts as provided in section 423E.3,
 29  3 subsection 5, paragraph "d", for a period corresponding to
 29  4 one=half the duration of the tax authorized by the voters.
 29  5 For the second half of the duration of the tax authorized by
 29  6 the voters, local sales and services tax receipts shall be
 29  7 distributed as otherwise applicable pursuant to subsection 2
 29  8 of this section.
 29  9    Sec. 42.  EQUITY IN PROPERTY TAXATION INTERIM STUDY
 29 10 COMMITTEE.
 29 11    1.  The legislative council is requested to establish an
 29 12 equity in property taxation interim study committee to review
 29 13 the provisions of chapter 257 and develop one or more
 29 14 proposals that will equalize property tax rates applicable
 29 15 pursuant to the basic school foundation aid formula.  The
 29 16 review shall include but not be limited to finance formulas
 29 17 that specifically address equalizing property tax rates, and
 29 18 shall be authorized for and conducted over a two= year period
 29 19 during the 2006 and 2007 legislative interims.
 29 20    2.  The membership of the committee shall include the
 29 21 following:
 29 22    a.  Two members of the senate standing committee on
 29 23 education.
 29 24    b.  Two members of the house standing committee on
 29 25 education.
 29 26    c.  Two members of the senate standing committee on ways
 29 27 and means.
 29 28    d.  Two members of the house standing committee on ways and
 29 29 means.
 29 30    e.  Persons representing education associations and
 29 31 stakeholders, urban and rural property tax interests, and
 29 32 other associations, groups, or interested parties as may be
 29 33 identified by the council, or added by the chairperson or
 29 34 co=chairpersons of the study committee designated by the
 29 35 council.
 30  1    3.  Staffing assistance shall be provided by the department
 30  2 of education, with the assistance of the department of
 30  3 management and the department of revenue.  The committee shall
 30  4 report its findings and recommendations, including proposed
 30  5 legislation, to the general assembly no later than January 1,
 30  6 2008.
 30  7    Sec. 43.  STATEWIDE GRADUATION REQUIREMENTS.
 30  8    The department of education shall use funds appropriated
 30  9 for graduation requirements under division II of this Act to
 30 10 assist school districts with the implementation of graduation
 30 11 requirements established pursuant to section 256.7, subsection
 30 12 26, as amended by 2006 Iowa Acts, Senate File 2272, if
 30 13 enacted.  The department shall survey school districts as to
 30 14 their readiness for implementation of the requirements.  The
 30 15 department shall review Iowa law and administrative rules and
 30 16 policies to determine if changes are necessary or beneficial
 30 17 to implement the graduation requirements.  The department
 30 18 shall submit its findings and recommendations in a report to
 30 19 the chairpersons and ranking members of the senate and house
 30 20 of representatives standing education committees and to the
 30 21 chairpersons and ranking members of the joint appropriations
 30 22 subcommittee on education by January 1, 2007.
 30 23    Sec. 44.  PARTICIPATION IN AN INSTRUCTIONAL SUPPORT PROGRAM
 30 24 BY SCHOOL DISTRICTS == SUSPENSION OF REQUIREMENTS.
 30 25 Notwithstanding any contrary provision in chapter 257,
 30 26 including sections 257.18 through 257.21, a school district
 30 27 that has participated in a board=approved instructional
 30 28 support program during the fiscal year beginning July 1, 2005,
 30 29 and ending June 30, 2006, may continue to participate in the
 30 30 board=approved instructional support program for the fiscal
 30 31 year beginning July 1, 2006, and ending June 30, 2007, to the
 30 32 extent established by the board's resolution, as if it had
 30 33 complied with those sections, if all of the following apply:
 30 34    1.  The board of directors of the school district has
 30 35 adopted or adopts a resolution not later than May 15, 2006, to
 31  1 participate in the board=approved instructional support
 31  2 program as otherwise provided in section 257.18.  If the board
 31  3 of directors has adopted a budget which did not account for
 31  4 the board=approved instructional support program, the board of
 31  5 directors may adjust its budget to account for the
 31  6 board=approved instructional support program as approved by
 31  7 the department of management.
 31  8    2.  The secretary of the board of directors does not
 31  9 receive a petition as authorized in section 257.18, subsection
 31 10 2, within twenty=eight days following the adoption of the
 31 11 resolution by the board of directors of the school district to
 31 12 participate in the board=approved instructional support
 31 13 program as provided in subsection 1, which asks that an
 31 14 election be called to approve or disapprove the action of the
 31 15 board of directors in adopting the resolution.
 31 16    Sec. 45.  EFFECTIVE DATE.  Section 44 of this division of
 31 17 this Act, being deemed of immediate importance, takes effect
 31 18 upon enactment.
 31 19    Sec. 46.  EFFECTIVE DATE.  The sections of this Act
 31 20 amending section 257.4, subsection 1, relating to the
 31 21 calculation of an adjusted additional property tax levy and a
 31 22 statewide maximum adjusted additional property tax levy rate,
 31 23 enacting section 257.15, subsection 4, relating to allocating
 31 24 funds for calculation of the statewide maximum adjusted
 31 25 additional property tax levy rate and providing adjusted
 31 26 additional property tax levy aid, amending section 257.16,
 31 27 subsection 1, relating to conforming changes, amending section
 31 28 423B.7, relating to prohibiting expenditure of sales and
 31 29 services tax moneys under specified circumstances, and
 31 30 enacting section 423E.4, subsection 7, relating to the
 31 31 distribution of local option sales and services tax revenue
 31 32 under specified circumstances, take effect upon enactment.
 31 33    Sec. 47.  EFFECTIVE AND APPLICABILITY DATES.  The sections
 31 34 of this Act amending sections 257.31 and 280.4, being deemed
 31 35 of immediate importance, take effect upon enactment and are
 32  1 applicable for the school budget year beginning July 1, 2006,
 32  2 and succeeding budget years.
 32  3 HF 2792
 32  4 kh:nh/es/25