Bill Text: IA HF446 | 2017-2018 | 87th General Assembly | Introduced
Bill Title: A bill for an act relating to public school funding by authorizing the establishment of school district flexibility funds, providing for the transfer of certain unexpended and unobligated funds, and including effective date provisions. (See HF 565.)
Sponsorship: Partisan Bill (Republican 1)
Status: (Introduced - Dead) 2017-03-15 - Withdrawn. H.J. 665. [HF446 Detail]
Download: Iowa-2017-HF446-Introduced.html
House File 446 - Introduced HOUSE FILE BY KOESTER A BILL FOR 1 An Act relating to public school funding by authorizing 2 the establishment of school district flexibility funds, 3 providing for the transfer of certain unexpended and 4 unobligated funds, and including effective date provisions. 5 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: TLSB 2494YH (5) 87 md/sc PAG LIN 1 1 Section 1. Section 256C.4, subsection 1, paragraph e, Code 1 2 2017, is amended to read as follows: 1 3 e. Preschool foundation aid funding shall not be used for 1 4 the costs of constructing a facility in connection with an 1 5 approved local program. Preschool foundation aid funding may 1 6 be used by approved local programs and community providers 1 7 for professional development for preschool teachers, for 1 8 instructional equipment, for material and equipment designed 1 9 to develop pupils' large and small motor skills, and for other 1 10 direct costs. Preschool foundation aid funding may be used 1 11 by approved local programs for the costs of transportation 1 12 involving children participating in the preschool program. 1 13 The costs of transporting other children associated with the 1 14 preschool program or transported as provided in section 256C.3, 1 15 subsection 3, paragraph "h", may be prorated by the school 1 16 district. Preschool foundation aid funding received by an 1 17 approved local program that remain unexpended or unobligated 1 18 at the end of a fiscal year shall beused to build the approved 1 19 local program's preschool program capacity in the next 1 20 succeeding fiscal yeartransferred for deposit in the school 1 21 district's flexibility fund established under section 298A.16. 1 22 Sec. 2. Section 257.10, subsection 10, paragraph d, Code 1 23 2017, is amended to read as follows: 1 24 d. The use of the funds calculated under this subsection 1 25 and any amount designated for professional development purposes 1 26 from the school district's flexibility fund under section 1 27 298A.16 shall comply with the requirements of chapter 284. If 1 28 all professional development requirements of chapter 284 are 1 29 met and funds received under this subsection remain unexpended 1 30 and unobligated at the end of a fiscal year, the school 1 31 district shall transfer all such unexpended and unobligated 1 32 funds for deposit in the school district's flexibility fund 1 33 established under section 298A.16. 1 34 Sec. 3. Section 257.41, subsection 1, Code 2017, is amended 1 35 to read as follows: 2 1 1. Budget. The budget of an approved program for at=risk 2 2 students, secondary students who attend alternative programs 2 3 or alternative schools, or returning dropouts and dropout 2 4 prevention for a school district, after subtracting funds 2 5 received under section 257.11, subsection 4, paragraphs "a" 2 6 through "c", and from other sources for that purpose, including 2 7 anyprevious carryoveramount designated from the school 2 8 district's flexibility fund under section 298A.16, shall be 2 9 funded annually on a basis of one=fourth or more from the 2 10 district cost of the school district and up to three=fourths 2 11 through establishment of a modified supplemental amount. 2 12 Annually, the department of management shall establish a 2 13 modified supplemental amount for each such school district 2 14 equal to the difference between the approved budget for the 2 15 program for that district and the sum of the amount funded from 2 16 the district cost of the school district plus funds received 2 17 under section 257.11, subsection 4, and from other sources 2 18 for that purpose, including anyprevious carryoveramount 2 19 designated from the school district's flexibility fund under 2 20 section 298A.16. 2 21 Sec. 4. Section 257.41, Code 2017, is amended by adding the 2 22 following new subsection: 2 23 NEW SUBSECTION. 5. Unless otherwise provided by law, 2 24 moneys received by a school district from any source for use in 2 25 at=risk pupils' programs, alternative programs and alternative 2 26 school programs, and returning dropout and dropout prevention 2 27 programs, that remain unexpended or unobligated at the end of 2 28 a budget year beginning on or after July 1, 2016, shall be 2 29 transferred for deposit in the school district's flexibility 2 30 fund established under section 298A.16. 2 31 Sec. 5. Section 257.46, subsection 1, Code 2017, is amended 2 32 to read as follows: 2 33 1. The budget of an approved gifted and talented children 2 34 program for a school district, after subtracting funds 2 35 received from other sources for that purpose, including any 3 1 amount designated from the school district's flexibility fund 3 2 under section 298A.16, shall be funded annually on a basis 3 3 of one=fourth or more from the district cost of the school 3 4 district. 3 5 Sec. 6. Section 257.46, subsection 3, Code 2017, is amended 3 6 to read as follows: 3 7 3. If any portion of the gifted and talented program budget 3 8 remains unexpended at the end of the budget year, unless 3 9 otherwise provided by law, the remainder shall becarried over 3 10 to the subsequent budget year and added to the gifted and 3 11 talented program budget for that yeartransferred for deposit 3 12 in the school district's flexibility fund established under 3 13 section 298A.16. 3 14 Sec. 7. Section 284.6, subsection 9, Code 2017, is amended 3 15 to read as follows: 3 16 9. Moneys received pursuant to section 257.10, subsection 3 17 10, or section 257.37A, subsection 2, shall be maintained 3 18 as a separate listing within a school district's or area 3 19 education agency's budget for funds received and expenditures 3 20 made pursuant to this subsection. A school district shall 3 21 certify to the department of education how the school 3 22 district allocated the funds and that moneys received under 3 23 this subsection were used to supplement, not supplant, the 3 24 professional development opportunities the school district 3 25 would otherwise make available. Moneys received pursuant to 3 26 section 257.10, subsection 10, that remain unexpended and 3 27 unobligated at the end of a fiscal year shall, pursuant to 3 28 section 257.10, subsection 10, paragraph "d", be transferred 3 29 for deposit in the school district's flexibility fund 3 30 established under section 298A.16. 3 31 Sec. 8. NEW SECTION. 298A.16 School district flexibility 3 32 fund. 3 33 1. A flexibility fund shall be established in each school 3 34 corporation if the school corporation has unexpended and 3 35 unobligated funds required to be transferred from any of the 4 1 following sources: 4 2 a. The home school assistance program under section 299A.12. 4 3 b. At=risk pupils programs, alternative programs and 4 4 alternative school programs, and returning dropout and dropout 4 5 prevention programs under section 257.40. 4 6 c. Gifted and talented children programs under section 4 7 257.46. 4 8 2. In addition to the transfers to the flexibility fund 4 9 required by law, a school district may transfer to the 4 10 flexibility fund any unexpended and unobligated moneys in 4 11 any other school district fund if the program, purpose, or 4 12 requirements for the expenditure of such moneys have been 4 13 repealed or are no longer in effect. 4 14 3. Moneys deposited in the flexibility fund may be used 4 15 by the school district during a budget year beginning in 4 16 the calendar year following the calendar year in which the 4 17 moneys were transferred to the flexibility fund for any of the 4 18 following: 4 19 a. An approved local program under the statewide preschool 4 20 program for four=year=old children under chapter 256C. 4 21 b. Professional development requirements under chapter 284. 4 22 c. The home school assistance program under section 299A.12. 4 23 d. At=risk pupils programs, alternative programs and 4 24 alternative school programs, and returning dropout and dropout 4 25 prevention programs under section 257.40. 4 26 e. Gifted and talented children programs under section 4 27 257.46. 4 28 4. Expenditures from the flexibility fund shall be 4 29 approved by resolution of the board of directors of the school 4 30 corporation and shall be included in the budget certified in 4 31 accordance with chapter 24. Before the board of directors may 4 32 adopt the resolution approving expenditures from the fund, the 4 33 board shall hold a public hearing on the proposed resolution. 4 34 The proposed resolution must state the original source and 4 35 purpose of the funds, the proposed use of such funds, the 5 1 amount of the proposed expenditure, and the fiscal year from 5 2 which the transfer of such funds to the flexibility fund 5 3 occurred. The board shall publish notice of the time and the 5 4 place of the public hearing in the same manner as required in 5 5 section 24.9. The department of education shall prescribe the 5 6 form for public hearing notices. Within ten days following 5 7 adoption, a copy of the resolution shall be provided to the 5 8 auditor of state for inclusion in any audit performed under 5 9 chapter 11. 5 10 5. Expenditures approved from the flexibility fund 5 11 shall not be included in district cost, shall be regarded as 5 12 miscellaneous income, and shall not be considered a part of the 5 13 school district's unexpended fund balance. 5 14 6. When exercising authority to carry out an agency action, 5 15 as defined in section 17A.2, or any applicable activity or 5 16 decision specified in section 17A.2, subsection 11, paragraphs 5 17 "a" through "l", related to the provisions of this section, the 5 18 department of education shall engage in such agency action, 5 19 activity, or decision in a manner that gives deference to 5 20 decisions of a school district's board of directors, promotes 5 21 flexibility for school districts, and minimizes intrusions into 5 22 school district operations' and board of directors' decision 5 23 making. In addition, in any such agency action activity or 5 24 decision, the burden shall be on the department of education to 5 25 demonstrate that any decision or action of a school district's 5 26 board of directors is an irrational, illogical, or wholly 5 27 unjustifiable interpretation of a provision of law. 5 28 Sec. 9. Section 299A.12, subsection 1, Code 2017, is amended 5 29 to read as follows: 5 30 1. The board of directors of a school district shall expend 5 31 moneys received pursuant to section 257.6, subsection 1, 5 32 paragraph "a", subparagraph (5), and amounts designated from 5 33 the school district's flexibility fund under section 298A.16 5 34 for purposes of providing a home school assistance program. 5 35 Sec. 10. Section 299A.12, subsection 2, unnumbered 6 1 paragraph 1, Code 2017, is amended to read as follows: 6 2 Purposes for which a school district may expend funds 6 3 received pursuant to section 257.6, subsection 1, paragraph 6 4 "a", subparagraph (5), or amounts designated from the school 6 5 district's flexibility fund under section 298A.16 shall include 6 6 but not be limited to the following: 6 7 Sec. 11. Section 299A.12, subsection 2, paragraphs c and d, 6 8 Code 2017, are amended to read as follows: 6 9 c. Salary and benefits for the supervising teacher of 6 10 the home school assistance program students. If the teacher 6 11 is a part=time home school assistance program teacher and a 6 12 part=time regular classroom teacher, funds received pursuant to 6 13 section 257.6, subsection 1, paragraph "a", subparagraph (5), 6 14 or amounts designated from the school district's flexibility 6 15 fund under section 298A.16 may be used only for the portion of 6 16 time in which the teacher is a home school assistance program 6 17 teacher. 6 18 d. Salary and benefits for clerical and office staff of 6 19 the home school assistance program. If the staff members are 6 20 shared with other programs or functions within the district, 6 21 funds received pursuant to section 257.6, subsection 1, 6 22 paragraph "a", subparagraph (5), or amounts designated from the 6 23 school district's flexibility fund under section 298A.16 shall 6 24 only be expended for the portion of time spent providing the 6 25 home school assistance program services. 6 26 Sec. 12. Section 299A.12, subsection 3, unnumbered 6 27 paragraph 1, Code 2017, is amended to read as follows: 6 28 Purposes for which a school district shall not expend funds 6 29 received pursuant to section 257.6, subsection 1, paragraph 6 30 "a", subparagraph (5), or amounts designated from the school 6 31 district's flexibility fund under section 298A.16 include but 6 32 are not limited to the following: 6 33 Sec. 13. Section 299A.12, Code 2017, is amended by adding 6 34 the following new subsection: 6 35 NEW SUBSECTION. 4. Unless otherwise prohibited by law, 7 1 moneys received by a school district pursuant to section 257.6, 7 2 subsection 1, paragraph "a", subparagraph (5), that remain 7 3 unexpended or unobligated at the end of a budget year beginning 7 4 on or after July 1, 2016, shall be transferred for deposit 7 5 in the school district's flexibility fund established under 7 6 section 298A.16. 7 7 Sec. 14. EFFECTIVE UPON ENACTMENT. This Act, being deemed 7 8 of immediate importance, takes effect upon enactment. 7 9 EXPLANATION 7 10 The inclusion of this explanation does not constitute agreement with 7 11 the explanation's substance by the members of the general assembly. 7 12 This bill relates to public school funding by authorizing 7 13 the establishment of school district flexibility funds 7 14 and providing for the transfer of certain unexpended and 7 15 unobligated funds of the school district to the flexibility 7 16 fund. 7 17 The bill requires a flexibility fund to be established 7 18 in each school corporation if the school corporation has 7 19 unexpended or unobligated funds from the school district's 7 20 preschool program under Code chapter 256C, professional 7 21 development supplement categorical funding, home school 7 22 assistance program, at=risk pupils program, alternative 7 23 programs, returning dropout and dropout prevention programs, 7 24 and gifted and talented children program. The bill provides 7 25 that moneys deposited in the flexibility fund may be used 7 26 by the school district during a budget year beginning in 7 27 the calendar year following the calendar year in which the 7 28 moneys were deposited in the flexibility fund for the school 7 29 district's preschool program, professional development costs, 7 30 home school assistance program, at=risk pupils program, 7 31 alternative programs, returning dropout and dropout prevention 7 32 programs, and gifted and talented children program. 7 33 The bill provides that in addition to the transfers to 7 34 the flexibility fund required by law, a school district may 7 35 transfer to the flexibility fund any unexpended and unobligated 8 1 moneys in any other school district fund if the program, 8 2 purpose, or requirements for expenditure of such moneys have 8 3 been repealed or are no longer in effect. 8 4 Expenditures from the flexibility fund are required to be 8 5 approved by resolution of the school board following a public 8 6 hearing and must be included in the school district's certified 8 7 budget. The bill specifies that expenditures approved from the 8 8 flexibility fund are not included in district cost, must be 8 9 regarded as miscellaneous income, and are not considered a part 8 10 of the school district's unexpended fund balance. 8 11 The bill makes corresponding changes to the provisions 8 12 of law governing preschool programs under Code chapter 256C, 8 13 professional development supplement categorical funding, 8 14 home school assistance programs, at=risk pupils programs, 8 15 alternative programs, returning dropout and dropout prevention 8 16 programs, and gifted and talented children programs to 8 17 require the transfer of unexpended or unobligated funds from 8 18 those programs to the flexibility fund and to authorize the 8 19 expenditure of moneys from the flexibility fund for those 8 20 programs. 8 21 The bill takes effect upon enactment. LSB 2494YH (5) 87 md/sc
