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S1070aa........................................................by EDUCATION
SCHOOL FACILITY SUPPORT FUND - Amends and adds to existing law to create a
"School Facility Support Fund"; to provide for allocation of money to the
fund, including lottery money, school support funds which remain following
distributions and school district employers share of the Public Employee
Retirement System extraordinary gains; and to govern the uses of the moneys
in the fund.
02/07 Senate intro - 1st rdg - to printing
02/08 Rpt prt - to Educ
02/23 Rpt out - to 14th Ord
03/01 Rpt out amen - to engros
03/02 Rpt engros - 1st rdg - to 2nd rdg as amen
03/05 2nd rdg - to 3rd rdg as amen
03/08 3rd rdg as amen - PASSED - 27-8-0
AYES -- Andreason, Brandt, Bunderson, Burtenshaw, Danielson,
Darrington, Davis, Deide, Dunklin, Frasure, Geddes, Goedde, Ingram,
Ipsen, Keough, King-Barrutia, Lee, Lodge, Noh, Risch, Sandy,
Schroeder, Sims, Sorensen, Stegner, Wheeler, Williams,
NAYS -- Boatright, Branch(Bartlett), Cameron, Hawkins, Richardson,
Stennett, Thorne, Whitworth
Absent and excused -- None
Floor Sponsor -- Deide
Title apvd - to House
03/09 House intro - 1st rdg - to Educ
|||| LEGISLATURE OF THE STATE OF IDAHO ||||
Fifty-sixth Legislature First Regular Session - 2001
IN THE SENATE
SENATE BILL NO. 1070
BY EDUCATION COMMITTEE
1 AN ACT
2 RELATING TO STATE SUPPORT OF SCHOOL FACILITIES; PROVIDING A STATEMENT OF LEG-
3 ISLATIVE PURPOSE; AMENDING SECTION 33-905, IDAHO CODE, TO STRIKE REFER-
4 ENCES TO LOTTERY DIVIDENDS AND GOVERN USE OF FUNDS DISTRIBUTED; AMENDING
5 CHAPTER 9, TITLE 33, IDAHO CODE, BY THE ADDITION OF A NEW SECTION 33-906,
6 IDAHO CODE, TO CREATE THE SCHOOL FACILITY SUPPORT FUND AND TO GOVERN THE
7 USES OF THE MONEYS IN THE FUND; AMENDING CHAPTER 9, TITLE 33, IDAHO CODE,
8 BY THE ADDITION OF A NEW SECTION 33-907, IDAHO CODE, TO GOVERN THE ALLOCA-
9 TION AND USE OF EXISTING RESOURCES; AMENDING CHAPTER 9, TITLE 33, IDAHO
10 CODE, BY THE ADDITION OF A NEW SECTION 33-908, IDAHO CODE, TO GOVERN DIS-
11 TRIBUTION OF CERTAIN EXISTING RESOURCES; AMENDING SECTION 33-1009, IDAHO
12 CODE, TO PROVIDE TRANSFER OF A CERTAIN REMAINING BALANCE IN THE PUBLIC
13 SCHOOL INCOME FUND; AND AMENDING SECTION 67-7434, IDAHO CODE, TO PROVIDE
14 THE DISTRIBUTION OF LOTTERY DIVIDENDS.
15 Be It Enacted by the Legislature of the State of Idaho:
16 SECTION 1. LEGISLATIVE PURPOSE. It is the purpose of the Legislature,
17 through the establishment of the School Facility Support Fund, to advance the
18 efforts of local school patrons to provide school facilities which meet educa-
19 tional needs of children in Idaho. The fund will constitute an ongoing commit-
20 ment of state appropriations to school facilities. Because the fund will pro-
21 vide property tax reduction, it will serve as an incentive to continue to
22 build and expand the school infrastructure. Through the operation of the fund,
23 greater uniformity, equity and stability is provided in the distribution of
24 the moneys, including the appropriated money, the lottery funds, the end of
25 year funds in the foundation program and the proceeds of an extraordinary gain
26 in the public school retirement system employer's gain share.
27 SECTION 2. That Section 33-905, Idaho Code, be, and the same is hereby
28 amended to read as follows:
29 33-905. SCHOOL DISTRICT BUILDING ACCOUNT -- PAYMENTS TO ACCOUNT -- MONEYS
30 APPROPRIATED TO STATE BOARD -- APPLICATION FOR MONEYS -- PAYMENTS TO DISTRICTS
31 -- REPORTS ON APPLICATIONS -- USES OF MONEYS. 1. The state of Idaho, recogniz-
32 ing its responsibility to establish and maintain a general, uniform and thor-
33 ough system of public, free common schools, in an effort to partially fulfill
34 this responsibility, hereby creates and establishes the school district build-
35 ing account in the state treasury. The school district building account shall
36 have paid into it such appropriations or revenues as may be provided by law.
37 2. Moneys in the school district building account are hereby appropriated
38 to and may be expended by the state board of education at any time for the
39 purposes provided in this section, any provision of chapter 35, title 67,
40 Idaho Code, or chapter 36, title 67, Idaho Code, notwithstanding.
41 3. (a) As to any moneys in the account other than lottery dividends dis-
42 tributed pursuant to subsection 4. of this section, tThe board of trustees
2
1 of any school district may apply to the state board of education to
2 receive a payment or payments from the school district building account;
3 provided, a district demonstrates to the state board of education that it
4 has a substantial and serious need based upon the district's classroom
5 student-teacher ratios, past efforts to levy for such construction, physi-
6 cal condition of existing structures, and the total assessed market value
7 of the district, all of which shall be further defined by actual need
8 criteria established by the state board of education.
9 (b) When an application for moneys from the account is approved by the
10 state board of education, the state board shall inform the school district
11 that the application has been approved, citing the amount approved for
12 payment and an estimate of the time when the payment can actually be made
13 to the school district.
14 4. By not later than August 31, moneys in the account pursuant to distri-
15 bution from section 67-7434, Idaho Code, the lottery dividends and interest
16 earned thereon, shall be distributed to each of the several school districts,
17 in the proportion that the average daily attendance of that district for the
18 previous school year bears to the total average daily attendance of the state
19 during the previous school year. For the purposes of this subsection 4. only,
20 the Idaho school for the deaf and blind shall be considered a school district,
21 and shall receive a distribution based upon the average daily attendance of
22 the school. Average daily attendance shall be calculated as provided in sec-
23 tion 33-1002 4., Idaho Code.
24 5. All payments from the school district building account shall be paid
25 out directly to the school district in warrants drawn by the state controller
26 upon presentation of proper vouchers from the state board of education. Pend-
27 ing payments out of the school district building account, the moneys in the
28 account shall be invested by the state treasurer in the same manner as pro-
29 vided under section 67-1210, Idaho Code, with respect to other idle moneys in
30 the state treasury. Interest earned on the investments shall be returned to
31 the school district building account.
32 65. Payments from the school district building account received by a
33 school district may shall be used by the school district for the purposes
34 authorized in section 33-1102, Idaho Code for purposes described by the dis-
35 trict in the application.
36 76. (a) By not later than December 1, each school district shall report
37 to the state department of education the projects on which moneys received
38 from the school district building account were expended. The state depart-
39 ment of education shall transmit a summary of such reports to the legisla-
40 ture by not later than January 15 of the following year.
41 (b) By not later than December 1, each school district shall report to
42 the state department of education the planned uses for the moneys received
43 from the school district building account. The state department of educa-
44 tion shall transmit a summary of the reports to the legislature by not
45 later than January 15 of the following year.
46 SECTION 3. That Chapter 9, Title 33, Idaho Code, be, and the same is
47 hereby amended by the addition thereto of a NEW SECTION, to be known and des-
48 ignated as Section 33-906, Idaho Code, and to read as follows:
49 33-906. SCHOOL FACILITY SUPPORT FUND. There is hereby created and estab-
50 lished the "School Facility Support Fund." The fund shall have paid into it
51 such appropriations or revenues as may be provided by law.
52 Moneys in the school facility support fund are hereby appropriated to and
53 may be expended by the state department of education at any time for the pur-
3
1 poses provided in this section, the provisions of chapter 35 or 36, title 67,
2 Idaho Code, notwithstanding. Payments from the school facility support fund
3 shall be paid out directly to school districts in warrants drawn by the state
4 controller upon presentation of proper vouchers from the department of educa-
5 tion. Pending payments out of the fund, the moneys in the fund shall be
6 invested by the state treasurer in the same manner as provided under section
7 67-1210, Idaho Code, with respect to other idle moneys in the state treasury.
8 Interest earned on the investment shall be returned to the school facility
9 support fund.
10 By not later than July 15 of each year, moneys in the fund shall be dis-
11 tributed to the school district in the same proportion that funds were dis-
12 tributed to that district for the previous school year from the state school
13 foundation program.
14 Moneys received by a school district from a distribution of the moneys in
15 the school facility support fund by appropriation shall be used by the school
16 district as follows:
17 (1) If the district has bonded indebtedness or has a school plant facili-
18 ties levy, the moneys shall be used by the district to reduce the dollar cer-
19 tification for bond interest and redemption for the ensuing year to the extent
20 of the funds available and then to reduce the dollar certification for school
21 plant facilities levy. If the amount received by the district exceeds the
22 annual bond interest and redemption certification and school plant facilities
23 levy certification, the balance shall be used to reduce principal, if possi-
24 ble. If principal reduction is not possible, the excess shall revert to the
25 fund and accumulate in a line of credit account as provided in subsection (2)
26 of this section.
27 (2) If the school district has no bonded indebtedness nor school plant
28 facilities levy, or if there is money returned as provided in subsection (1)
29 of this section, the amount due the district shall be retained in the fund and
30 shall accumulate to the credit of that district to be applied to bonded
31 indebtedness or school plant facilities levy reduction as they may be subse-
32 quently incurred. After the fifth year of accumulation, the amount retained in
33 the first year shall be returned to the fund for distribution to other school
34 districts, and thereafter, the initial year of accumulation shall annually be
35 returned so that the amount retained on behalf of a school district shall
36 total an accumulation of five (5) years' distribution.
37 SECTION 4. That Chapter 9, Title 33, Idaho Code, be, and the same is
38 hereby amended by the addition thereto of a NEW SECTION, to be known and des-
39 ignated as Section 33-907, Idaho Code, and to read as follows:
40 33-907. ALLOCATION OF EXISTING RESOURCES. In addition to moneys in the
41 school facility support fund from appropriation, the fund shall also provide
42 for allocation of existing resources as follows:
43 (1) One-half (1/2) of the lottery dividends distributed pursuant to sec-
44 tion 67-7434, Idaho Code;
45 (2) That portion of foundation support moneys, if any, existing as a
46 result of the difference between the calculation of per unit support based
47 upon November average daily attendance and the calculation based upon final
48 average daily attendance and subsequently available as a residual in the foun-
49 dation support fund.
50 (3) In any fiscal year beginning 2003 or thereafter, in which the exis-
51 tence of extraordinary gains causes the board of the public employee retire-
52 ment system to order an allocation of extraordinary gains, the school dis-
53 tricts' employer's share shall be transferred by the public employee retire-
4
1 ment system to the fund created by this section.
2 SECTION 5. That Chapter 9, Title 33, Idaho Code, be, and the same is
3 hereby amended by the addition thereto of a NEW SECTION, to be known and des-
4 ignated as Section 33-908, Idaho Code, and to read as follows:
5 33-908. ADDITIONAL DISTRIBUTIONS. By not later than July 15 of each year,
6 moneys in the fund pursuant to section 33-907, Idaho Code, shall be distrib-
7 uted to the school district in the same proportion that funds were distributed
8 to that district for the previous school year from the state school foundation
9 program. These moneys shall be used by the district first to address any
10 existing health or safety issue, and thereafter may be used for any purpose
11 consistent with the provisions of section 33-1102, Idaho Code.
12 SECTION 6. That Section 33-1009, Idaho Code, be, and the same is hereby
13 amended to read as follows:
14 33-1009. PAYMENTS FROM THE PUBLIC SCHOOL INCOME FUND.
15 1. a. Payments of the state general account appropriation for public
16 school support shall be made each year by the state board of education to
17 the public school districts of the state in five (5) payments. Payments to
18 the districts shall be made not later than the fifteenth day of August,
19 the first day of October, the fifteenth day of November, the fifteenth day
20 of February, and the fifteenth day of May each year. Each payment by the
21 state board of education shall be approximately twenty percent (20%) of
22 the total general account appropriation for the fiscal year. Amounts
23 apportioned due to a special transfer to the public school income fund to
24 restore or reduce a deficiency in the prior year's transfer pursuant to
25 subsection 4. of this section shall not be subject to this limitation.
26 b. Payments of moneys, other than the state general account appropria-
27 tion, that accrue to the public school income fund shall be made by the
28 state board of education to the school districts of the state on the fif-
29 teenth day of November, February, May and July each year. The total amount
30 of such payments shall be determined by the state department of education
31 and shall not exceed the amount of moneys available and on deposit in the
32 public school income fund at the time such payment is made.
33 c. Amounts apportioned due to a special transfer to the public school
34 income fund to restore or reduce a deficiency in the prior year's transfer
35 pursuant to subsection 4. of this section shall not be subject to the lim-
36 itation imposed by paragraphs a. and b.
37 2. Payments made to the school districts in August, October and November
38 are advance payments for the current year and will be based upon payments from
39 the public school income fund for the preceding school year. Each school dis-
40 trict shall receive its proportionate share of the advance payments in the
41 same ratio that its total payment for the preceding year was to the total pay-
42 ments to all school districts for the preceding year.
43 3. No later than the fifteenth day of February in each year, the state
44 department of education shall compute the state distribution factor based on
45 the total average daily attendance through the first Friday in November. The
46 factor will be used in payments of state funds in February and May. Attendance
47 shall be reported in a format and at a time specified by the state department
48 of education.
49 As of the thirtieth day of June of each year the state department of edu-
50 cation shall determine final payments to be made on July fifteenth next suc-
51 ceeding to the several school districts from the public school income fund for
5
1 the school year ended June 30. The July payments shall take into consider-
2 ation:
3 a. the average daily attendance of the several school districts for the
4 twenty-eight (28) best weeks of the school year completed not later than
5 the thirtieth of June,
6 b. all funds available in the public school income fund for the fiscal
7 year ending on the thirtieth of June the amount of the state distribution
8 factor as determined pursuant to this subsection,
9 c. all payments distributed for the current fiscal year to the several
10 school districts,
11 d. payments made or due for the transportation support program and the
12 exceptional education support program. The state department of education
13 shall apportion and direct the payment to the several school districts so
14 much of the moneys in the public school income fund in each year, taking
15 into account the advance made under subsection 2. of this section, in such
16 amounts as will provide in full for each district its support program, and
17 not more than therefor required, and no school district shall receive less
18 than fifty dollars ($50.00).
19 4. If the full amount appropriated from the general account by the legis-
20 lature is not transferred to the public school income fund by the end of the
21 fiscal year, the deficiency resulting therefrom shall either be restored or
22 reduced through a special transfer from the general account in the first sixty
23 (60) days of the following fiscal year, or shall be calculated in computing
24 district levies, and any additional levy shall be certified by the state
25 superintendent of public instruction to the board of county commissioners and
26 added to the district's maintenance and operation levy. If the deficiency is
27 restored or reduced by special transfer, the amount so transferred shall be in
28 addition to the amount appropriated to be transferred in such following fiscal
29 year, and shall be apportioned to each school district in the same amount as
30 each would have received had the transfer been made in the year the deficiency
31 occurred. The state department of education shall distribute to the school
32 district the full amount of the special transfer as soon as practical after
33 such transfer is made. In making the levy computations required by this sub-
34 section the state department of education shall take into account and consider
35 the full amount of money receipted into the public school income fund from all
36 sources for the given fiscal year. Deficits in the transfer of the appropri-
37 ated amount of general account revenue to the public school income fund shall
38 be reduced by the amount, if any, that the total amount receipted from other
39 sources into the public school income fund exceeds the official estimated
40 amount from those sources. The official estimate of receipts from other
41 sources shall be the total amount stated by the legislature in the appropria-
42 tion bill.
43 5. Any amount remaining in the public school income fund after distribu-
44 tion as provided in subsection 3. of this section shall be transferred to the
45 school facility support fund as provided in section 33-907, Idaho Code.
46 6. Any apportionments in any year, made to any school district, which may
47 within the succeeding three (3) year period be found to have been in error
48 either of computation or transmittal, may be corrected during the three (3)
49 year period by reduction of apportionments to any school district to which
50 over-apportionments may have been made or received, and corresponding addition
51 to apportionments to any school district to which under-apportionments may
52 have been made or received.
53 SECTION 7. That Section 67-7434, Idaho Code, be, and the same is hereby
54 amended to read as follows:
6
1 67-7434. LOTTERY DIVIDENDS. Annually, on July 1, the lottery shall trans-
2 fer one-half (1/2) of its net income to the permanent building account and
3 one-half (1/2) of its net income to the school district building account
4 facility support fund created in section 33-906, Idaho Code, after reserving
5 sufficient moneys to ensure the continuation of the lottery, as determined by
6 the director and commission.
7 A one (1) time allotment of two hundred thousand dollars ($200,000) of the
8 lottery's first year dividends shall be allocated and used by the permanent
9 building fund advisory council for the construction of a Vietnam veterans
10 memorial in the state.
|||| LEGISLATURE OF THE STATE OF IDAHO ||||
Fifty-sixth Legislature First Regular Session - 2001
Moved by Schroeder
Seconded by Andreason
IN THE SENATE
SENATE AMENDMENT TO S.B. NO. 1070
1 AMENDMENT TO SECTION 3
2 On page 3 of the printed bill, in line 5, following "tion." insert: "For
3 the purposes of this section only, each charter school duly organized in this
4 state shall be considered a school district, and shall receive a distribution
5 in the same manner as a school district; provided that a charter school may
6 apply the distribution to any project for which bonds could be issued by a
7 school district as provided in section 33-1102, Idaho Code.".
Moved by Schroeder
Seconded by Deide
IN THE SENATE
SENATE AMENDMENT TO S.B. NO. 1070
8 AMENDMENTS TO SECTION 3
9 On page 3 of the printed bill, in line 32, delete "fifth" and insert:
10 "tenth"; and in line 36, delete "five (5)" and insert: "ten (10)".
Moved by Deide
Seconded by Schroeder
IN THE SENATE
SENATE AMENDMENT TO S.B. NO. 1070
11 AMENDMENTS TO SECTION 4
12 On page 3 of the printed bill, in line 52, following "gains," insert: "an
13 amount equal to"; and in line 53, following "transferred" delete "by the pub-
14 lic employee retire"; and on page 4, in line 1, delete: "ment system" and
15 insert: "from the existing state appropriation for public schools".
|||| LEGISLATURE OF THE STATE OF IDAHO ||||
Fifty-sixth Legislature First Regular Session - 2001
IN THE SENATE
SENATE BILL NO. 1070, As Amended
BY EDUCATION COMMITTEE
1 AN ACT
2 RELATING TO STATE SUPPORT OF SCHOOL FACILITIES; PROVIDING A STATEMENT OF LEG-
3 ISLATIVE PURPOSE; AMENDING SECTION 33-905, IDAHO CODE, TO STRIKE REFER-
4 ENCES TO LOTTERY DIVIDENDS AND GOVERN USE OF FUNDS DISTRIBUTED; AMENDING
5 CHAPTER 9, TITLE 33, IDAHO CODE, BY THE ADDITION OF A NEW SECTION 33-906,
6 IDAHO CODE, TO CREATE THE SCHOOL FACILITY SUPPORT FUND AND TO GOVERN THE
7 USES OF THE MONEYS IN THE FUND; AMENDING CHAPTER 9, TITLE 33, IDAHO CODE,
8 BY THE ADDITION OF A NEW SECTION 33-907, IDAHO CODE, TO GOVERN THE ALLOCA-
9 TION AND USE OF EXISTING RESOURCES; AMENDING CHAPTER 9, TITLE 33, IDAHO
10 CODE, BY THE ADDITION OF A NEW SECTION 33-908, IDAHO CODE, TO GOVERN DIS-
11 TRIBUTION OF CERTAIN EXISTING RESOURCES; AMENDING SECTION 33-1009, IDAHO
12 CODE, TO PROVIDE TRANSFER OF A CERTAIN REMAINING BALANCE IN THE PUBLIC
13 SCHOOL INCOME FUND; AND AMENDING SECTION 67-7434, IDAHO CODE, TO PROVIDE
14 THE DISTRIBUTION OF LOTTERY DIVIDENDS.
15 Be It Enacted by the Legislature of the State of Idaho:
16 SECTION 1. LEGISLATIVE PURPOSE. It is the purpose of the Legislature,
17 through the establishment of the School Facility Support Fund, to advance the
18 efforts of local school patrons to provide school facilities which meet educa-
19 tional needs of children in Idaho. The fund will constitute an ongoing commit-
20 ment of state appropriations to school facilities. Because the fund will pro-
21 vide property tax reduction, it will serve as an incentive to continue to
22 build and expand the school infrastructure. Through the operation of the fund,
23 greater uniformity, equity and stability is provided in the distribution of
24 the moneys, including the appropriated money, the lottery funds, the end of
25 year funds in the foundation program and the proceeds of an extraordinary gain
26 in the public school retirement system employer's gain share.
27 SECTION 2. That Section 33-905, Idaho Code, be, and the same is hereby
28 amended to read as follows:
29 33-905. SCHOOL DISTRICT BUILDING ACCOUNT -- PAYMENTS TO ACCOUNT -- MONEYS
30 APPROPRIATED TO STATE BOARD -- APPLICATION FOR MONEYS -- PAYMENTS TO DISTRICTS
31 -- REPORTS ON APPLICATIONS -- USES OF MONEYS. 1. The state of Idaho, recogniz-
32 ing its responsibility to establish and maintain a general, uniform and thor-
33 ough system of public, free common schools, in an effort to partially fulfill
34 this responsibility, hereby creates and establishes the school district build-
35 ing account in the state treasury. The school district building account shall
36 have paid into it such appropriations or revenues as may be provided by law.
37 2. Moneys in the school district building account are hereby appropriated
38 to and may be expended by the state board of education at any time for the
39 purposes provided in this section, any provision of chapter 35, title 67,
40 Idaho Code, or chapter 36, title 67, Idaho Code, notwithstanding.
41 3. (a) As to any moneys in the account other than lottery dividends dis-
42 tributed pursuant to subsection 4. of this section, tThe board of trustees
2
1 of any school district may apply to the state board of education to
2 receive a payment or payments from the school district building account;
3 provided, a district demonstrates to the state board of education that it
4 has a substantial and serious need based upon the district's classroom
5 student-teacher ratios, past efforts to levy for such construction, physi-
6 cal condition of existing structures, and the total assessed market value
7 of the district, all of which shall be further defined by actual need
8 criteria established by the state board of education.
9 (b) When an application for moneys from the account is approved by the
10 state board of education, the state board shall inform the school district
11 that the application has been approved, citing the amount approved for
12 payment and an estimate of the time when the payment can actually be made
13 to the school district.
14 4. By not later than August 31, moneys in the account pursuant to distri-
15 bution from section 67-7434, Idaho Code, the lottery dividends and interest
16 earned thereon, shall be distributed to each of the several school districts,
17 in the proportion that the average daily attendance of that district for the
18 previous school year bears to the total average daily attendance of the state
19 during the previous school year. For the purposes of this subsection 4. only,
20 the Idaho school for the deaf and blind shall be considered a school district,
21 and shall receive a distribution based upon the average daily attendance of
22 the school. Average daily attendance shall be calculated as provided in sec-
23 tion 33-1002 4., Idaho Code.
24 5. All payments from the school district building account shall be paid
25 out directly to the school district in warrants drawn by the state controller
26 upon presentation of proper vouchers from the state board of education. Pend-
27 ing payments out of the school district building account, the moneys in the
28 account shall be invested by the state treasurer in the same manner as pro-
29 vided under section 67-1210, Idaho Code, with respect to other idle moneys in
30 the state treasury. Interest earned on the investments shall be returned to
31 the school district building account.
32 65. Payments from the school district building account received by a
33 school district may shall be used by the school district for the purposes
34 authorized in section 33-1102, Idaho Code for purposes described by the dis-
35 trict in the application.
36 76. (a) By not later than December 1, each school district shall report
37 to the state department of education the projects on which moneys received
38 from the school district building account were expended. The state depart-
39 ment of education shall transmit a summary of such reports to the legisla-
40 ture by not later than January 15 of the following year.
41 (b) By not later than December 1, each school district shall report to
42 the state department of education the planned uses for the moneys received
43 from the school district building account. The state department of educa-
44 tion shall transmit a summary of the reports to the legislature by not
45 later than January 15 of the following year.
46 SECTION 3. That Chapter 9, Title 33, Idaho Code, be, and the same is
47 hereby amended by the addition thereto of a NEW SECTION, to be known and des-
48 ignated as Section 33-906, Idaho Code, and to read as follows:
49 33-906. SCHOOL FACILITY SUPPORT FUND. There is hereby created and estab-
50 lished the "School Facility Support Fund." The fund shall have paid into it
51 such appropriations or revenues as may be provided by law.
52 Moneys in the school facility support fund are hereby appropriated to and
53 may be expended by the state department of education at any time for the pur-
3
1 poses provided in this section, the provisions of chapter 35 or 36, title 67,
2 Idaho Code, notwithstanding. Payments from the school facility support fund
3 shall be paid out directly to school districts in warrants drawn by the state
4 controller upon presentation of proper vouchers from the department of educa-
5 tion. For the purposes of this section only, each charter school duly orga-
6 nized in this state shall be considered a school district, and shall receive a
7 distribution in the same manner as a school district; provided that a charter
8 school may apply the distribution to any project for which bonds could be
9 issued by a school district as provided in section 33-1102, Idaho Code. Pend-
10 ing payments out of the fund, the moneys in the fund shall be invested by the
11 state treasurer in the same manner as provided under section 67-1210, Idaho
12 Code, with respect to other idle moneys in the state treasury. Interest earned
13 on the investment shall be returned to the school facility support fund.
14 By not later than July 15 of each year, moneys in the fund shall be dis-
15 tributed to the school district in the same proportion that funds were dis-
16 tributed to that district for the previous school year from the state school
17 foundation program.
18 Moneys received by a school district from a distribution of the moneys in
19 the school facility support fund by appropriation shall be used by the school
20 district as follows:
21 (1) If the district has bonded indebtedness or has a school plant facili-
22 ties levy, the moneys shall be used by the district to reduce the dollar cer-
23 tification for bond interest and redemption for the ensuing year to the extent
24 of the funds available and then to reduce the dollar certification for school
25 plant facilities levy. If the amount received by the district exceeds the
26 annual bond interest and redemption certification and school plant facilities
27 levy certification, the balance shall be used to reduce principal, if possi-
28 ble. If principal reduction is not possible, the excess shall revert to the
29 fund and accumulate in a line of credit account as provided in subsection (2)
30 of this section.
31 (2) If the school district has no bonded indebtedness nor school plant
32 facilities levy, or if there is money returned as provided in subsection (1)
33 of this section, the amount due the district shall be retained in the fund and
34 shall accumulate to the credit of that district to be applied to bonded
35 indebtedness or school plant facilities levy reduction as they may be subse-
36 quently incurred. After the tenth year of accumulation, the amount retained in
37 the first year shall be returned to the fund for distribution to other school
38 districts, and thereafter, the initial year of accumulation shall annually be
39 returned so that the amount retained on behalf of a school district shall
40 total an accumulation of ten (10) years' distribution.
41 SECTION 4. That Chapter 9, Title 33, Idaho Code, be, and the same is
42 hereby amended by the addition thereto of a NEW SECTION, to be known and des-
43 ignated as Section 33-907, Idaho Code, and to read as follows:
44 33-907. ALLOCATION OF EXISTING RESOURCES. In addition to moneys in the
45 school facility support fund from appropriation, the fund shall also provide
46 for allocation of existing resources as follows:
47 (1) One-half (1/2) of the lottery dividends distributed pursuant to sec-
48 tion 67-7434, Idaho Code;
49 (2) That portion of foundation support moneys, if any, existing as a
50 result of the difference between the calculation of per unit support based
51 upon November average daily attendance and the calculation based upon final
52 average daily attendance and subsequently available as a residual in the foun-
53 dation support fund.
4
1 (3) In any fiscal year beginning 2003 or thereafter, in which the exis-
2 tence of extraordinary gains causes the board of the public employee retire-
3 ment system to order an allocation of extraordinary gains, an amount equal to
4 the school districts' employer's share shall be transferred from the existing
5 state appropriation for public schools to the fund created by this section.
6 SECTION 5. That Chapter 9, Title 33, Idaho Code, be, and the same is
7 hereby amended by the addition thereto of a NEW SECTION, to be known and des-
8 ignated as Section 33-908, Idaho Code, and to read as follows:
9 33-908. ADDITIONAL DISTRIBUTIONS. By not later than July 15 of each year,
10 moneys in the fund pursuant to section 33-907, Idaho Code, shall be distrib-
11 uted to the school district in the same proportion that funds were distributed
12 to that district for the previous school year from the state school foundation
13 program. These moneys shall be used by the district first to address any
14 existing health or safety issue, and thereafter may be used for any purpose
15 consistent with the provisions of section 33-1102, Idaho Code.
16 SECTION 6. That Section 33-1009, Idaho Code, be, and the same is hereby
17 amended to read as follows:
18 33-1009. PAYMENTS FROM THE PUBLIC SCHOOL INCOME FUND.
19 1. a. Payments of the state general account appropriation for public
20 school support shall be made each year by the state board of education to
21 the public school districts of the state in five (5) payments. Payments to
22 the districts shall be made not later than the fifteenth day of August,
23 the first day of October, the fifteenth day of November, the fifteenth day
24 of February, and the fifteenth day of May each year. Each payment by the
25 state board of education shall be approximately twenty percent (20%) of
26 the total general account appropriation for the fiscal year. Amounts
27 apportioned due to a special transfer to the public school income fund to
28 restore or reduce a deficiency in the prior year's transfer pursuant to
29 subsection 4. of this section shall not be subject to this limitation.
30 b. Payments of moneys, other than the state general account appropria-
31 tion, that accrue to the public school income fund shall be made by the
32 state board of education to the school districts of the state on the fif-
33 teenth day of November, February, May and July each year. The total amount
34 of such payments shall be determined by the state department of education
35 and shall not exceed the amount of moneys available and on deposit in the
36 public school income fund at the time such payment is made.
37 c. Amounts apportioned due to a special transfer to the public school
38 income fund to restore or reduce a deficiency in the prior year's transfer
39 pursuant to subsection 4. of this section shall not be subject to the lim-
40 itation imposed by paragraphs a. and b.
41 2. Payments made to the school districts in August, October and November
42 are advance payments for the current year and will be based upon payments from
43 the public school income fund for the preceding school year. Each school dis-
44 trict shall receive its proportionate share of the advance payments in the
45 same ratio that its total payment for the preceding year was to the total pay-
46 ments to all school districts for the preceding year.
47 3. No later than the fifteenth day of February in each year, the state
48 department of education shall compute the state distribution factor based on
49 the total average daily attendance through the first Friday in November. The
50 factor will be used in payments of state funds in February and May. Attendance
51 shall be reported in a format and at a time specified by the state department
5
1 of education.
2 As of the thirtieth day of June of each year the state department of edu-
3 cation shall determine final payments to be made on July fifteenth next suc-
4 ceeding to the several school districts from the public school income fund for
5 the school year ended June 30. The July payments shall take into consider-
6 ation:
7 a. the average daily attendance of the several school districts for the
8 twenty-eight (28) best weeks of the school year completed not later than
9 the thirtieth of June,
10 b. all funds available in the public school income fund for the fiscal
11 year ending on the thirtieth of June the amount of the state distribution
12 factor as determined pursuant to this subsection,
13 c. all payments distributed for the current fiscal year to the several
14 school districts,
15 d. payments made or due for the transportation support program and the
16 exceptional education support program. The state department of education
17 shall apportion and direct the payment to the several school districts so
18 much of the moneys in the public school income fund in each year, taking
19 into account the advance made under subsection 2. of this section, in such
20 amounts as will provide in full for each district its support program, and
21 not more than therefor required, and no school district shall receive less
22 than fifty dollars ($50.00).
23 4. If the full amount appropriated from the general account by the legis-
24 lature is not transferred to the public school income fund by the end of the
25 fiscal year, the deficiency resulting therefrom shall either be restored or
26 reduced through a special transfer from the general account in the first sixty
27 (60) days of the following fiscal year, or shall be calculated in computing
28 district levies, and any additional levy shall be certified by the state
29 superintendent of public instruction to the board of county commissioners and
30 added to the district's maintenance and operation levy. If the deficiency is
31 restored or reduced by special transfer, the amount so transferred shall be in
32 addition to the amount appropriated to be transferred in such following fiscal
33 year, and shall be apportioned to each school district in the same amount as
34 each would have received had the transfer been made in the year the deficiency
35 occurred. The state department of education shall distribute to the school
36 district the full amount of the special transfer as soon as practical after
37 such transfer is made. In making the levy computations required by this sub-
38 section the state department of education shall take into account and consider
39 the full amount of money receipted into the public school income fund from all
40 sources for the given fiscal year. Deficits in the transfer of the appropri-
41 ated amount of general account revenue to the public school income fund shall
42 be reduced by the amount, if any, that the total amount receipted from other
43 sources into the public school income fund exceeds the official estimated
44 amount from those sources. The official estimate of receipts from other
45 sources shall be the total amount stated by the legislature in the appropria-
46 tion bill.
47 5. Any amount remaining in the public school income fund after distribu-
48 tion as provided in subsection 3. of this section shall be transferred to the
49 school facility support fund as provided in section 33-907, Idaho Code.
50 6. Any apportionments in any year, made to any school district, which may
51 within the succeeding three (3) year period be found to have been in error
52 either of computation or transmittal, may be corrected during the three (3)
53 year period by reduction of apportionments to any school district to which
54 over-apportionments may have been made or received, and corresponding addition
55 to apportionments to any school district to which under-apportionments may
6
1 have been made or received.
2 SECTION 7. That Section 67-7434, Idaho Code, be, and the same is hereby
3 amended to read as follows:
4 67-7434. LOTTERY DIVIDENDS. Annually, on July 1, the lottery shall trans-
5 fer one-half (1/2) of its net income to the permanent building account and
6 one-half (1/2) of its net income to the school district building account
7 facility support fund created in section 33-906, Idaho Code, after reserving
8 sufficient moneys to ensure the continuation of the lottery, as determined by
9 the director and commission.
10 A one (1) time allotment of two hundred thousand dollars ($200,000) of the
11 lottery's first year dividends shall be allocated and used by the permanent
12 building fund advisory council for the construction of a Vietnam veterans
13 memorial in the state.
STATEMENT OF PURPOSE
10912
The constitution of the State of Idaho in Article IX, Section 1,
states in part ". . . it shall be the duty of the legislature of Idaho, to
establish and maintain a general, uniform and thorough system of
public, free common schools."
Since school facilities are as integral to a thorough education
system as are teachers and books, and in order to more adequately
comply with this constitutional mandate, this legislation is proposed.
While the legislature has provided various means for local school
districts to construct and maintain adequate school facilities, through
various legislative action, there still remains many school facility
inadequacies in Idaho. In 1974 the legislature came to the rescue of a
few school districts by passing and funding the Public School Building
Account Law. It was done because a few school districts were
experiencing very rapid growth and needed help from the State. Today we
have a problem of a larger scale. Many Idaho school districts were
recipients of Federal Forest funds and used those funds to build school
buildings. These funds have diminished almost to the point of
nonexistence. In addition, the farm economy is as bad as we have ever
seen it. Also, there are still school districts that are growing
rapidly and require a new bond issue every year or two. In many
instances, and for many of the reasons afore mentioned, the property
tax is too great a burden and the bond issue elections fail. This
legislation will remedy that problem by creating an ongoing school
facility support fund of $30,000,000.
In addition, in many instances school districts fail to
appropriately prioritize the funding that they presently have
available. The lottery proceeds have been used for projects while
health & safety issues remained unmet. Each year school districts
receive unanticipated funds from the foundation support program which
are a result of the difference between the estimated calculated support
unit amount and the actual amount based on final average daily
attendance. Currently these funds are used for various purposes and in
many instances are not used for the highest priority, health and safety
of students. Additionally should we experience extraordinary gains in
the Public Employee Retirement fund, effective in 2003 these funds will
also accrue to the school facilities support fund. This legislation
focuses those funds first on health and safety issues and then on other
capital projects. School personnel are often expressing concern about
the lack of funding to repair roofs, light parking lots, replace worn-
out furniture, purchase computers, and fix assorted problems in their
schools. This legislation will remedy these situations.
FISCAL IMPACT
$30, 000, 000
Contact
Name: Darrel Deide
Phone:332-1345
STATEMENT OF PURPOSE/FISCAL NOTE S 1070