1998 Legislation
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SENATE BILL NO. 1321 – Community colleges, tax levy


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Daily Data Tracking History

S1321..........................................................by SCHROEDER
COMMUNITY COLLEGES - Amends existing law to phase out, over the next four
years, the authorization for property tax levies to support community

01/23    Senate intro - 1st rdg - to printing
01/26    Rpt prt - to Loc Gov

Bill Text


 ||||              LEGISLATURE OF THE STATE OF IDAHO             ||||
Fifty-fourth Legislature                 Second Regular Session - 1998

                                      IN THE SENATE

                                   SENATE BILL NO. 1321

                                       BY SCHROEDER

 1                                        AN ACT

 7    Be It Enacted by the Legislature of the State of Idaho:

 8        SECTION  1.  That Section 33-2110A, Idaho Code, be, and the same is hereby
 9    amended to read as follows:

10        33-2110A.  TUITION OF OUT - OF - DISTRICT IDAHO STU-
11    DENTS, COUNTY TAXES AND OTHER FINANCIAL SUPPORT. (1) Any student  residing  in
12    the  area  of  a county outside of a community college district or in a county
13    without a community college district, who has been a resident  of  the  county
14    and state as defined by section 33-2110B, Idaho Code, immediately prior to the
15    date  of  his first enrollment in a community college, which residence may not
16    be acquired while attending and enrolled in a community college, may enroll in
17    any community college in the state, and the county of his residence shall  pay
18    that portion of his tuition as hereinafter set out. The tuition which shall be
19    paid  by  the  resident  county shall be that portion of the tuition uniformly
20    established by a community college district for all out - of -
21    district students, both in state as well as out of  state,  pursuant  to
22    section  33-2110,  Idaho Code, after deducting therefrom the amount of tuition
23    paid by a resident student at the community college; however, the liability of
24    the resident county shall not exceed two-thirds (2/3) the  total  tuition  and
25    fees  charged  and  in no instance shall it exceed five hundred dollars ($500)
26    each semester for a two (2) semester year for a full-time student. The student
27    shall pay the tuition and fees charged a student resident in the district, and
28    the balance, if any, of the nonresident student tuition above the maximum lia-
29    bility of the county of his residence. No county shall be liable for  out
30    -  of  -  district tuition unless the board of county commis-
31    sioners of that county has first verified to the community college in  writing
32    the  fact that the student is a resident of the county. Upon verification, the
33    county  shall  thereafter  be  liable  for  the  out  -  of  -
34    district tuition so long as the student is duly enrolled  and  attending
35    the college subject to the following limitations:
36        (a)  Liability  shall be for six (6) semesters or the term of the curricu-
37        lum for which the student is enrolled, whichever is lesser.
38        (b)  Liability shall terminate  if  the  student's  domiciliary  residence
39        changes and that change continues for twelve (12) months.
40        (2)  The  nonresident tuition shall be established annually not later than
41    August 1st and shall be forthwith filed with the  state  board  of  education,
42    together  with  a statement supporting the computation thereof. Each community
43    college, by September 30 and March 1 of each year, shall bill  the  county  of


 1    residence  of  each  nonresident  student enrolled at the commencement of each
 2    semester, and each board of county commissioners shall allow  and  order  paid
 3    any  bill  for  tuition  at the first regular meeting following receipt of the
 4    bill, but not exceeding forty-five (45) days after receipt. Upon failure of  a
 5    county to pay the tuition, a community college district may commence action in
 6    the district court of the state of Idaho for the county to collect the same.
 7        (3)  For  the  payment  of  tuition of nonresident students as herein pro-
 8    vided,  there shall be allocated in each county without  a  community  college
 9    district  to a county community college fund, and paid to the county treasurer
10    to be held in that fund, fifty  per  cent      percent  
11    (50%) of all moneys apportioned to the county out of liquor funds of the state
12    of  Idaho  as  set  forth  in chapter 4, title 23, Idaho Code, and that amount
13    shall be deducted from the amount that would otherwise  be  allocated  to  the
14    county;  and if liquor funds are not sufficient to pay the tuition, commencing
15    for the calendar year 1966, the board of county commissioners shall levy  upon
16    the  taxable property within each county without a community college district,
17    and, in a county with such a district, upon the taxable  property  within  the
18    county  lying outside of the community college district, an ad valorem tax not
19    to exceed six hundredths  per cent   percent  (.06%)  of
20    market  value  for  assessment purposes  for 1998, forty-five thousandths
21    percent (.045%) of market value for assessment purposes for 1999,  three  hun-
22    dredths  percent (.03%) of market value for assessment purposes for 2000, fif-
23    teen thousandths percent (.015%) of market value for assessment  purposes  for
24    2001,  and  thereafter, no levy shall be authorized , to be certified as
25    set out in section 33-2111, Idaho Code. The proceeds  of  the  levy  shall  be
26    placed  in  the  county  community college fund. Apportionment of liquor funds
27    herein provided shall commence for the fiscal  quarter  ending  September  30,
28    1965, and accruing during that quarter.
29        (4)  Based upon the enrollment established by the first semester's tuition
30    bills received by September 30, the board of county commissioners shall estab-
31    lish  immediately  a total community college annual tuition budget for two (2)
32    semesters which shall be equal to twice the amount of the tuition bills plus a
33    contingency factor of ten  per cent    percent    (10%).
34    This  budget shall be adjusted after March 1 based on any change of enrollment
35    shown by the second semester tuition bills. If enrollment is from none to  not
36    more  than  four  (4)  students, a minimum budget of five (5) students at five
37    hundred dollars ($500) each shall be established. In  the  event  all  tuition
38    bills received have been paid, notwithstanding any other provision hereof, (a)
39    any  liquor  funds  received, which in the quarter when received to any extent
40    are in excess of the budget, to the extent of that excess shall  not  be  paid
41    over to the county treasurer to be held in the community college fund, and (b)
42    any  funds  received from the levy on taxable property, which when received to
43    any extent are in excess of the budget after the application of  liquor  funds
44    thereto,  to the extent of that excess shall not be paid over to the community
45    college fund. Excess liquor funds shall be paid pursuant to  law  as  if  this
46    section were not applicable and excess funds shall be paid to the general fund
47    of  the  county.  In  the event the total liquor fund payable hereunder to the
48    county community college fund together with the receipts from the levy on tax-
49    able property for each fiscal year are  insufficient  to  pay  tuition  bills,
50    which  deficiency is caused by a levy of less than the maximum allowed hereun-
51    der, or by enrollment in excess of the budget herein provided, the budget  for
52    each  following  year shall be increased to the maximum allowed by the maximum
53    tax levy authorized to pay any deficiency at the earliest time. If  the  defi-
54    ciency  is  due  to  the  lack of funds in a fiscal year when the maximum levy
55    authorized shall have been made, for the next fiscal year thereafter the  num-


 1    ber  of students from that county shall be limited by the board of county com-
 2    missioners to the extent necessary to pay the deficiency not  later  than  the
 3    end  of  the  following year. Provided nevertheless, for the two (2) semesters
 4    commencing September, 19 65  98   the  board  of  county
 5    commissioners  shall  limit the community college budget and total students to
 6    estimated liquor funds available  on  quarterly  disbursements  .  
 7      through  June  30,  1966.   Any limitation of students authorized
 8    shall be accomplished (a) on the basis of student grades and  financial  need,
 9    and  (b)  by  each community college notifying the county of residence of each
10    student's application and the county shall accept or reject the application at
11    least five (5) days prior to the tuition billing dates set out herein. A  com-
12    munity college shall nevertheless have a right to require any student residing
13    outside the district to pay nonresident tuition if the county of his residence
14    is  more  than twenty-five  per cent   percent  (25%) in
15    arrears of a total county tuition bill for one (1) year as of the beginning of
16    the subsequent semester, but tuition shall be refunded to such  students  when
17    paid by the county.

18        SECTION  2.  That  Section 33-2111, Idaho Code, be, and the same is hereby
19    amended to read as follows:

21    the  maintenance  and  operation of each community college, in addition to the
22    income from tuition paid by students as hereinbefore provided,  the  board  of
23    trustees  may  levy upon the taxable property within the district a tax not to
24    exceed sixteen hundredths percent (.16%) of the market  value  for  assessment
25    purposes  on  all  taxable property within the district  for 1998, twelve
26    hundredths percent (.12%) of the market value for assessment purposes  on  all
27    taxable property within the district for 1999, eight hundredths percent (.08%)
28    of the market value for assessment purposes on all taxable property within the
29    district  for  2000,  four  hundredths  percent (.04%) of the market value for
30    assessment purpose on all taxable property within the district for  2001,  and
31    thereafter no levy shall be authorized .
32        The tax levy determined by the board of trustees, within said limit, shall
33    be  certified to the board of county commissioners in each county in which the
34    district may lie, not later than the second Monday in September of each  year.
35    No  levy  in  excess  of  sixteen hundredths percent (.16%) of the market
36    value for assessment purposes on all  taxable  property  within  the  district
37        the levy authorized in this section  shall be made unless
38    a supplemental levy in a specified amount be first authorized through an elec-
39    tion held, as provided in sections 33-401 through 33-406, Idaho  Code,  as  if
40    the community college district were a school district and approved by a major-
41    ity of the district electors voting in such election.

Statement of Purpose / Fiscal Impact


                            STATEMENT OF PURPOSE
                                  RS 07732
    The purpose of this legislation is to amend Section 33-2110A, Idaho 
    Code, to provide property tax relief by phasing out all property taxes used 
    for maintenance and operation of community colleges in Idaho.
    During FY 98 $10.1 million was raised through property taxes for 
    community colleges in Idaho. $9.2 million came from the counties of 
    Jerome, Twin Falls and Kootenai and $900,00 from county tuition billings. 
    During a 5 year period, these property taxes would be assumed by the 
    State General Fund.
    Contact: Gary J. Schroeder
            332-1 322
    S 1321