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House File 136 - IntroducedA Bill ForAn Act 1relating to the state school foundation program, by
2modifying requirements for the enactment of the state
3percents of growth, establishing state percents of growth,
4modifying provisions relating to school district property
5tax replacement payments, and including effective date and
6applicability provisions.
7BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
1 Section 1. Section 257.8, subsections 1 and 2, Code 2017,
2are amended to read as follows:
31. State percent of growth. The state percent of growth
4for the budget year beginning July 1, 2014, is four percent.
5 The state percent of growth for the budget year beginning July
61, 2015, is one and twenty-five hundredths percent. The state
7percent of growth for the budget year beginning July 1, 2016,
8is two and twenty-five hundredths percent. The state percent
9of growth for the budget year beginning July 1, 2017, is one
10and eleven hundredths percent. The state percent of growth for
11each subsequent budget year shall be established by statute
12which shall be enacted within thirty days of the submission in
13the year preceding the base year transmission of the governor’s
14budget required by February 1 under section 8.21 during the
15regular legislative session beginning in the base year. The
16establishment of the state percent of growth for a budget year
17shall be the only subject matter of the bill which enacts the
18state percent of growth for a budget year.
192. Categorical state percent of growth. The categorical
20state percent of growth for the budget year beginning July
211, 2014, is four percent. The categorical state percent of
22growth for the budget year beginning July 1, 2015, is one and
23twenty-five hundredths percent. The categorical state percent
24of growth for the budget year beginning July 1, 2016, is two
25and twenty-five hundredths percent. The categorical state
26percent of growth for the budget year beginning July 1, 2017,
27is one and eleven hundredths percent. The categorical state
28percent of growth for each budget year shall be established
29by statute which shall be enacted within thirty days of the
30submission in the year preceding the base year transmission of
31the governor’s budget required by February 1 under section 8.21
32during the regular legislative session beginning in the base
33year. The establishment of the categorical state percent of
34growth for a budget year shall be the only subject matter of
35the bill which enacts the categorical state percent of growth
-1-1for a budget year. The categorical state percent of growth
2may include state percents of growth for the teacher salary
3supplement, the professional development supplement, the early
4intervention supplement, and the teacher leadership supplement.
5 Sec. 2. Section 257.16B, subsection 2, paragraph d,
6unnumbered paragraph 1, Code 2017, is amended to read as
7follows:
8For each the budget year beginning on or after July 1, 2016,
9the department of management shall calculate for each school
10district all of the following:
11 Sec. 3. Section 257.16B, subsection 2, paragraph d,
12subparagraph (3), Code 2017, is amended to read as follows:
13(3) The amount of each school district’s property tax
14replacement payment. Each school district’s property tax
15replacement payment equals the school district’s weighted
16enrollment for the budget year beginning July 1, 2016,
17 multiplied by the remainder of the amount calculated for
18the school district under subparagraph (2) minus the amount
19calculated for the school district under subparagraph (1).
20 Sec. 4. Section 257.16B, subsection 2, Code 2017, is amended
21by adding the following new paragraph:
22 NEW PARAGRAPH. e. For each budget year beginning on
23or after July 1, 2017, the department of management shall
24calculate for each school district all of the following:
25(1) The regular program state cost per pupil for the budget
26year beginning July 1, 2012, multiplied by one hundred percent
27less the regular program foundation base per pupil percentage
28pursuant to section 257.1.
29(2) The regular program state cost per pupil for the budget
30year beginning July 1, 2017, multiplied by one hundred percent
31less the regular program foundation base per pupil percentage
32pursuant to section 257.1.
33(3) The amount of each school district’s property tax
34replacement payment. Each school district’s property tax
35replacement payment equals the school district’s weighted
-2-1enrollment for the budget year multiplied by the remainder
2of the amount calculated for the school district under
3subparagraph (2) minus the amount calculated for the school
4district under subparagraph (1).
5 Sec. 5. EFFECTIVE UPON ENACTMENT. This Act, being deemed of
6immediate importance, takes effect upon enactment.
7 Sec. 6. APPLICABILITY. This Act applies to school budget
8years beginning on or after July 1, 2017.
9EXPLANATION
10The inclusion of this explanation does not constitute agreement with
11the explanation’s substance by the members of the general assembly.
12This bill relates to the state school foundation program, by
13modifying requirements for the enactment of the state percents
14of growth, establishing state percents of growth, and modifying
15provisions relating to school district property tax replacement
16payments.
17The bill establishes a state percent of growth of 1.11
18percent for the budget year beginning July 1, 2017. The
19state percent of growth is used to calculate the amount
20of supplemental state aid for a budget year as part of the
21state school foundation program. The bill also establishes
22a categorical state percent of growth of 1.11 percent for
23the budget year beginning July 1, 2017. The categorical
24state percent of growth is used to calculate the amount of
25supplemental state aid for each of the categorical funding
26supplements.
27Current Code section 257.8 requires bills establishing the
28state percent of growth and the categorical state percent of
29growth to be enacted within 30 days of the submission in the
30year preceding the base year of the governor’s budget. Code
31section 257.8 also requires the state percent of growth and the
32categorical state percent of growth to be enacted in separate
33bills and be the only subject matter of each bill. The bill
34strikes the subject matter requirement for such bills and
35specifies that the enactment deadline for bills establishing
-3-1the state percent of growth and the categorical state percent
2of growth is within 30 days of transmission of the governor’s
3budget, which Code section 8.21 requires by February 1 of the
4regular legislative session beginning in the base year.
5Current Code section 257.16B provides for school district
6property tax replacement payments. For each budget year
7beginning on or after July 1, 2016, each school district’s
8property tax replacement payment amount is equal to the school
9district’s weighted enrollment for the budget year multiplied
10by the difference of the following: (1) the regular program
11state cost per pupil for the budget year beginning July 1,
122016, multiplied by 100 percent less the regular program
13foundation base per pupil percentage; and (2) the regular
14program state cost per pupil for the budget year beginning July
151, 2012, multiplied by 100 percent less the regular program
16foundation base per pupil percentage. Under current law, the
17regular program foundation base per pupil percentage is 87.5
18percent.
19The bill modifies the replacement payment calculation for
20budget years beginning on or after July 1, 2017. For each
21budget year beginning on or after July 1, 2017, each school
22district’s property tax replacement payment amount is equal to
23the school district’s weighted enrollment for the budget year
24multiplied by the difference of the following: (1) the regular
25program state cost per pupil for the budget year beginning July
261, 2017, multiplied by 100 percent less the regular program
27foundation base per pupil percentage; and (2) the regular
28program state cost per pupil for the budget year beginning July
291, 2012, multiplied by 100 percent less the regular program
30foundation base per pupil percentage.
31The bill takes effect upon enactment and applies to school
32budget years beginning on or after July 1, 2017.
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2modifying requirements for the enactment of the state
3percents of growth, establishing state percents of growth,
4modifying provisions relating to school district property
5tax replacement payments, and including effective date and
6applicability provisions.
7BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
1 Section 1. Section 257.8, subsections 1 and 2, Code 2017,
2are amended to read as follows:
31. State percent of growth. The state percent of growth
4for the budget year beginning July 1, 2014, is four percent.
5 The state percent of growth for the budget year beginning July
61, 2015, is one and twenty-five hundredths percent. The state
7percent of growth for the budget year beginning July 1, 2016,
8is two and twenty-five hundredths percent. The state percent
9of growth for the budget year beginning July 1, 2017, is one
10and eleven hundredths percent. The state percent of growth for
11each subsequent budget year shall be established by statute
12which shall be enacted within thirty days of the submission in
13the year preceding the base year transmission of the governor’s
14budget required by February 1 under section 8.21 during the
15regular legislative session beginning in the base year. The
16establishment of the state percent of growth for a budget year
17shall be the only subject matter of the bill which enacts the
18state percent of growth for a budget year.
192. Categorical state percent of growth. The categorical
20state percent of growth for the budget year beginning July
211, 2014, is four percent. The categorical state percent of
22growth for the budget year beginning July 1, 2015, is one and
23twenty-five hundredths percent. The categorical state percent
24of growth for the budget year beginning July 1, 2016, is two
25and twenty-five hundredths percent. The categorical state
26percent of growth for the budget year beginning July 1, 2017,
27is one and eleven hundredths percent. The categorical state
28percent of growth for each budget year shall be established
29by statute which shall be enacted within thirty days of the
30submission in the year preceding the base year transmission of
31the governor’s budget required by February 1 under section 8.21
32during the regular legislative session beginning in the base
33year. The establishment of the categorical state percent of
34growth for a budget year shall be the only subject matter of
35the bill which enacts the categorical state percent of growth
-1-1for a budget year. The categorical state percent of growth
2may include state percents of growth for the teacher salary
3supplement, the professional development supplement, the early
4intervention supplement, and the teacher leadership supplement.
5 Sec. 2. Section 257.16B, subsection 2, paragraph d,
6unnumbered paragraph 1, Code 2017, is amended to read as
7follows:
8For each the budget year beginning on or after July 1, 2016,
9the department of management shall calculate for each school
10district all of the following:
11 Sec. 3. Section 257.16B, subsection 2, paragraph d,
12subparagraph (3), Code 2017, is amended to read as follows:
13(3) The amount of each school district’s property tax
14replacement payment. Each school district’s property tax
15replacement payment equals the school district’s weighted
16enrollment for the budget year beginning July 1, 2016,
17 multiplied by the remainder of the amount calculated for
18the school district under subparagraph (2) minus the amount
19calculated for the school district under subparagraph (1).
20 Sec. 4. Section 257.16B, subsection 2, Code 2017, is amended
21by adding the following new paragraph:
22 NEW PARAGRAPH. e. For each budget year beginning on
23or after July 1, 2017, the department of management shall
24calculate for each school district all of the following:
25(1) The regular program state cost per pupil for the budget
26year beginning July 1, 2012, multiplied by one hundred percent
27less the regular program foundation base per pupil percentage
28pursuant to section 257.1.
29(2) The regular program state cost per pupil for the budget
30year beginning July 1, 2017, multiplied by one hundred percent
31less the regular program foundation base per pupil percentage
32pursuant to section 257.1.
33(3) The amount of each school district’s property tax
34replacement payment. Each school district’s property tax
35replacement payment equals the school district’s weighted
-2-1enrollment for the budget year multiplied by the remainder
2of the amount calculated for the school district under
3subparagraph (2) minus the amount calculated for the school
4district under subparagraph (1).
5 Sec. 5. EFFECTIVE UPON ENACTMENT. This Act, being deemed of
6immediate importance, takes effect upon enactment.
7 Sec. 6. APPLICABILITY. This Act applies to school budget
8years beginning on or after July 1, 2017.
9EXPLANATION
10The inclusion of this explanation does not constitute agreement with
11the explanation’s substance by the members of the general assembly.
12This bill relates to the state school foundation program, by
13modifying requirements for the enactment of the state percents
14of growth, establishing state percents of growth, and modifying
15provisions relating to school district property tax replacement
16payments.
17The bill establishes a state percent of growth of 1.11
18percent for the budget year beginning July 1, 2017. The
19state percent of growth is used to calculate the amount
20of supplemental state aid for a budget year as part of the
21state school foundation program. The bill also establishes
22a categorical state percent of growth of 1.11 percent for
23the budget year beginning July 1, 2017. The categorical
24state percent of growth is used to calculate the amount of
25supplemental state aid for each of the categorical funding
26supplements.
27Current Code section 257.8 requires bills establishing the
28state percent of growth and the categorical state percent of
29growth to be enacted within 30 days of the submission in the
30year preceding the base year of the governor’s budget. Code
31section 257.8 also requires the state percent of growth and the
32categorical state percent of growth to be enacted in separate
33bills and be the only subject matter of each bill. The bill
34strikes the subject matter requirement for such bills and
35specifies that the enactment deadline for bills establishing
-3-1the state percent of growth and the categorical state percent
2of growth is within 30 days of transmission of the governor’s
3budget, which Code section 8.21 requires by February 1 of the
4regular legislative session beginning in the base year.
5Current Code section 257.16B provides for school district
6property tax replacement payments. For each budget year
7beginning on or after July 1, 2016, each school district’s
8property tax replacement payment amount is equal to the school
9district’s weighted enrollment for the budget year multiplied
10by the difference of the following: (1) the regular program
11state cost per pupil for the budget year beginning July 1,
122016, multiplied by 100 percent less the regular program
13foundation base per pupil percentage; and (2) the regular
14program state cost per pupil for the budget year beginning July
151, 2012, multiplied by 100 percent less the regular program
16foundation base per pupil percentage. Under current law, the
17regular program foundation base per pupil percentage is 87.5
18percent.
19The bill modifies the replacement payment calculation for
20budget years beginning on or after July 1, 2017. For each
21budget year beginning on or after July 1, 2017, each school
22district’s property tax replacement payment amount is equal to
23the school district’s weighted enrollment for the budget year
24multiplied by the difference of the following: (1) the regular
25program state cost per pupil for the budget year beginning July
261, 2017, multiplied by 100 percent less the regular program
27foundation base per pupil percentage; and (2) the regular
28program state cost per pupil for the budget year beginning July
291, 2012, multiplied by 100 percent less the regular program
30foundation base per pupil percentage.
31The bill takes effect upon enactment and applies to school
32budget years beginning on or after July 1, 2017.
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