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H0189.............................................................by EDUCATION SCHOOL DISTRICTS - Amends existing law to revise how a school district's value index is calculated by using the free and reduced lunch rate in the school compared to the state average of free and reduced lunch rates. 02/06 House intro - 1st rdg - to printing 02/07 Rpt prt - to Educ
|||| LEGISLATURE OF THE STATE OF IDAHO |||| Fifty-seventh Legislature First Regular Session - 2003IN THE HOUSE OF REPRESENTATIVES HOUSE BILL NO. 189 BY EDUCATION COMMITTEE 1 AN ACT 2 RELATING TO THE VALUE INDEX CALCULATION FOR SCHOOL DISTRICTS; AMENDING SECTION 3 33-906B, IDAHO CODE, TO REVISE HOW A SCHOOL DISTRICT'S VALUE INDEX IS CAL- 4 CULATED; AND DECLARING AN EMERGENCY. 5 Be It Enacted by the Legislature of the State of Idaho: 6 SECTION 1. That Section 33-906B, Idaho Code, be, and the same is hereby 7 amended to read as follows: 8 33-906B. VALUE INDEX CALCULATION. The state department of education shall 9 establish a value index for each school district, based on each school 10 district's market value per support unit for equalization purposes, theaver-11age annual seasonally-adjusted unemployment rate in the county in which a plu-12rality of the school district's market value for assessment purposes of tax-13able property is located and the per capita incomefree and reduced lunch rate 14 in thecounty in which a plurality of the school district's market value for15assessment purposes is locatedschool district and the state average of free 16 and reduced lunch rates. The value index for each school district shall be 17 calculated as the sum of the followingthree (3)two (2) components: 18 (1) The state department of education shall annually calculate the market 19 value per support unit that is used to equalize school funding for each school 20 district in the state, and one hundred twenty-five percent (125%) of the 21 statewide average. The first portion of the value index shall be calculated by 22 dividing the school district's market value for equalization purposes per sup- 23 port unit by the statewide average market value for equalization per support 24 unit and dividing the result of this calculation by two (2). 25 (2) The second portion of the value index shall be calculated by dividing 26 the statewideunemployment rate by the unemployment rate in the county in27which a plurality of the school district's market value for assessment pur-28poses of taxable property is locatedfree and reduced lunch rate average rate 29 by one hundred twenty-five percent (125%) of the school district's free and 30 reduced lunch rate, and dividing the result of this calculation byfourtwo 31 (42). For the purposes of this subsection, the statewideunemploymentfree and 32 reduced lunch rate andcounty unemploymentschool district free and reduced 33 lunch rates shall bebased on the most recent average annual seasonally-34adjusted unemployment rate data reported by the United States department of35labor, for which there is a complete calendar year of datacalculated annually 36 by the state department of education when such figures are available. 37(3) The third portion of the value index shall be calculated by dividing38the county per capita income in the county in which a plurality of the school39district's market value for assessment purposes of taxable property is located40by the statewide per capita income, and dividing the result of this calcula-41tion by four (4). For the purposes of this subsection, the statewide per cap-42ita income and county per capita income shall be based on the most recent data43reported by the United States department of commerce, for which there is a2 1complete calendar year of data.2 SECTION 2. An emergency existing therefor, which emergency is hereby 3 declared to exist, this act shall be in full force and effect on and after its 4 passage and approval.
STATEMENT OF PURPOSE RS 12476C1 The purpose of this legislation is to amend the value index calculation in Section 33-906B, Idaho Code, providing a subsidy to school districts passing bond issues after September 15, 2002. Each school districts free and reduced lunch rates will replace the county unemployment rate data reported by the United States Department of Labor and the county per capita income as determined by the United States Department of Commerce in determining the value index calculation. The second component is the market value per support unit determined by the State Department of Education that is used to equalize school funding for each school district in the state, and the statewide average. This change ensures that all data used in calculating the value index is school district specific. FISCAL IMPACT The original legislation SB1474 estimated that in FY '04, the impact will be approximately $1,000,000, in FY '05,$1,5000,000 and escalating each year for 20 years reaching a maximum plateau of $16 - $20,000,000 in 20 years. It is estimated that the change in the value index will yield an economic impact consistent with the above figure. Contact: Name: Rep. Tom Trail Phone: 332-1202 STATEMENT OF PURPOSE/FISCAL NOTE H 189