Bill Text: IA SF455 | 2017-2018 | 87th General Assembly | Enrolled


Bill Title: A bill for an act relating to school district funding by modifying and establishing provisions relating to state school foundation program and school district transportation costs, making appropriations, and including effective date provisions. (Formerly SSB 1124.) Effective 3-8-18.

Sponsorship: Committee Bill

Status: (Passed) 2018-03-08 - NOBA: Final [SF455 Detail]

Download: Iowa-2017-SF455-Enrolled.html

Senate File 455 - Enrolled




                              SENATE FILE       
                              BY  COMMITTEE ON EDUCATION

                              (SUCCESSOR TO SSB
                                  1124)
 \5
                                   A BILL FOR
 \1
                                        Senate File 455

                             AN ACT
 RELATING TO SCHOOL DISTRICT FUNDING BY MODIFYING AND
    ESTABLISHING PROVISIONS RELATING TO STATE SCHOOL FOUNDATION
    PROGRAM AND SCHOOL DISTRICT TRANSPORTATION COSTS, MAKING
    APPROPRIATIONS, AND INCLUDING EFFECTIVE DATE PROVISIONS.

 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
                           DIVISION I
               STATE AND DISTRICT COSTS PER PUPIL
    Section 1.  Section 257.2, subsection 12, Code 2018, is
 amended to read as follows:
    12.  "Supplemental state aid" means the amount by which state
 cost per pupil and district cost per pupil will increase from
 one budget year to the next as the result of the state percent
 of growth.
    Sec. 2.  Section 257.8, subsection 5, Code 2018, is amended
 to read as follows:
    5.  Alternate supplemental state aid ==== definitions.
    a.  For budget years beginning July 1, 2000, and subsequent
 budget years, references to the terms "supplemental state aid",
 "regular program state cost per pupil", and "regular program
 district cost per pupil" shall mean those terms as calculated
 for those school districts that calculated regular program
 supplemental state aid for the school budget year beginning
 July 1, 1999, with the additional thirty=eight dollars
 specified in section 257.8, subsection 4, Code 2013.
    b.  For the budget year beginning July 1, 2018, and
 subsequent budget years, references to "supplemental state
 aid" and "regular program state cost per pupil" shall mean
 those terms as calculated including the additional amount for
 the budget year beginning July 1, 2018, under section 257.9,
 subsection 2, paragraph "b", and references to "regular program
 district cost per pupil" shall mean that term as calculated
 including any adjustments made under section 257.10, subsection
 2.
    Sec. 3.  Section 257.9, subsection 2, Code 2018, is amended
 to read as follows:
    2.  Regular program state cost per pupil for 1992=1993 and
 succeeding years.
    a.  For the budget year beginning July 1, 1992, and
 succeeding budget years beginning before July 1, 2018, the
 regular program state cost per pupil for a budget year is the
 regular program state cost per pupil for the base year plus the
 regular program supplemental state aid for the budget year.
    b.  For the budget year beginning July 1, 2018, the regular
 program state cost per pupil is the regular program state
 cost per pupil for the base year plus the regular program
 supplemental state aid for the budget year, plus five dollars.
    c.  For the budget year beginning July 1, 2019, and
 succeeding budget years, the regular program state cost per
 pupil for a budget year is the regular program state cost per
 pupil for the base year plus the regular program supplemental
 state aid for the budget year.
    Sec. 4.  Section 257.10, subsection 2, paragraph b, Code
 2018, is amended to read as follows:
    b.  If the regular program district cost per pupil of a
 school district for the budget year under paragraph "a" exceeds
 one hundred five percent of the regular program state cost
 per pupil for the budget year and the state percent of growth
 for the budget year is greater than two percent, the regular
 program district cost per pupil for the budget year for that
 district shall be reduced to one hundred five percent of the
 regular program state cost per pupil for the budget year.
 However, under such conditions, if the difference between the
 regular program district cost per pupil for the budget year and
 the regular program state cost per pupil for the budget year
 is greater than an amount equal to two percent multiplied by
 the regular program state cost per pupil for the base year, the
 regular program district cost per pupil for the budget year
 shall be reduced by the amount equal to two percent multiplied
 by the regular program state cost per pupil for the base year.
    Sec. 5.  Section 257.10, subsection 2, Code 2018, is amended
 by adding the following new paragraph:
    NEW PARAGRAPH.  c.  For the budget year beginning July 1,
 2018, and succeeding budget years, if the regular program
 district cost per pupil for the budget year calculated under
 this subsection in any school district is less than the
 regular program state cost per pupil for the budget year, the
 department of management shall increase the regular program
 district cost per pupil of that district to an amount equal to
 the regular program state cost per pupil for the budget year.
    Sec. 6.  EFFECTIVE UPON ENACTMENT.  This division of this
 Act, being deemed of immediate importance, takes effect upon
 enactment.
                           DIVISION II
              SCHOOL DISTRICT TRANSPORTATION COSTS
    Sec. 7.  NEW SECTION.  257.16C  Transportation equity program
 ==== fund.
    1.  A transportation equity program is established to
 provide prioritized additional funding for school districts
 with a transportation cost per pupil that exceeds the statewide
 adjusted transportation cost per pupil for the same budget
 year.
    2.  a.  For the budget year beginning July 1, 2018, and
 each succeeding budget year, the department of management
 shall annually determine a statewide adjusted transportation
 cost per pupil that is not lower than the statewide average
 transportation cost per pupil. The statewide adjusted
 transportation cost per pupil shall be annually determined, by
 taking into account amounts appropriated to the transportation
 equity fund under subsection 3, for the purpose of providing
 transportation equity aid for those school districts with the
 highest transportation cost per pupil differential.
    b.  Each school district that satisfies the criteria of
 subsection 1 shall receive transportation equity aid in an
 amount equal to the school district's actual enrollment for
 the school year, excluding the shared=time enrollment for the
 school year, multiplied by the school district's transportation
 cost per pupil differential for the budget year.
    c.  For purposes of this section:
    (1)  "Statewide average transportation cost per pupil" means
 the total transportation cost for all school districts in the
 state used to calculate each school district's transportation
 cost per pupil under paragraph "d" divided by the total
 enrollment for all school districts used to calculate each
 school district's transportation cost per pupil under paragraph
 "d".
    (2)  "Transportation cost per pupil differential" means an
 amount equal to a school district's transportation cost per
 pupil minus the statewide adjusted transportation cost per
 pupil for the same budget year.
    d.  A school district's transportation cost per pupil
 shall be determined by dividing the school district's actual
 transportation cost for all children transported in all school
 buses for a school year pursuant to section 285.1, subsection
 12, less the amount received for transporting nonpublic school
 pupils under section 285.1, by the district's actual enrollment
 for the school year, excluding the shared=time enrollment for
 the school year as defined in section 257.6.
    3.  a.  A transportation equity fund is created as a separate
 and distinct fund in the state treasury under the control of
 the department of management. Moneys in the fund include
 revenues credited to the fund, appropriations made to the
 fund, and other moneys deposited in the fund. For each fiscal
 year beginning on or after July 1, 2018, there is appropriated
 all moneys in the fund to the department of management for
 purposes of making transportation equity aid payments under
 this section.
    b.  If the balance of the fund exceeds the amount necessary
 to make all transportation equity aid payments under
 subsection 2, moneys remaining in the fund shall be used for
 transportation base funding payments under subsection 4.
    c.  If the balance of the fund exceeds the amount necessary
 to make all transportation equity aid payments and all
 transportation base funding payments, moneys remaining in the
 fund at the end of a fiscal year, notwithstanding section 8.33,
 shall remain in the fund and shall be available for expenditure
 for the purposes of this section in subsequent fiscal years.
    4.  For budget years beginning on or after July 1, 2018, if
 funding is available as provided in subsection 3, paragraph
 "b", each school district in the state shall receive a
 transportation base funding payment in an amount equal to
 the school district's enrollment used under subsection 2,
 paragraph "d", multiplied by the lesser of the statewide
 average transportation cost per pupil or the school district's
 transportation cost per pupil for the budget year. If an
 amount appropriated for a budget year is insufficient to pay
 all transportation base funding payments, the department of
 management shall prorate such payment amounts.
    5.  a.  The sum of the transportation equity aid payment
 and the transportation base funding payment paid to a school
 district for a budget year shall not exceed the school
 district's actual transportation cost used to calculate
 the school district's transportation cost per pupil under
 subsection 2, paragraph "d", for the budget year.
    b.  Transportation equity aid payments and transportation
 base funding payments shall be paid at the same time and in the
 same manner as foundation aid is paid under section 257.16,
 and may be included in the monthly payment of state aid under
 section 257.16, subsection 2.
    6.  Transportation equity aid payments and transportation
 base funding payments received under this section are
 miscellaneous income and shall be deposited in the general fund
 of the school district. However, the transportation equity aid
 amount and the transportation base funding amount shall not be
 included in district cost. Transportation equity aid under
 this section shall not affect the receipt or amount of a budget
 adjustment received under section 257.14 or transportation
 assistance aid under section 257.31, subsection 17.
    Sec. 8.  TRANSPORTATION EQUITY FUND ==== APPROPRIATION.  There
 is appropriated from the general fund of the state to the
 department of management for the fiscal year beginning July
 1, 2018, and ending June 30, 2019, the following amount, or
 so much thereof as is necessary, to be used for the purposes
 designated:
    For deposit in the transportation equity fund created
 pursuant to section 257.16C, subsection 3:
 .................................................. $ 11,200,000
    Sec. 9.  EFFECTIVE DATE.  This division of this Act, being
 deemed of immediate importance, takes effect upon enactment.


                                                                                            JACK WHITVER


                                                                                            LINDA UPMEYER


                                                                                            W. CHARLES SMITH


                                                                                            KIM REYNOLDS

                             -1-
feedback