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H0678...............................................by REVENUE AND TAXATION
SCHOOL DISTRICTS - TAX LEVIES - Amends and adds to existing law to reduce
the maintenance and operation levy; to revise how maximum school
maintenance and operation levies are calculated for tax year 2007 and
thereafter; to provide for a budget stabilization levy for certain
districts; to reduce the local district's contribution; to require school
districts to reduce their local district contribution to be eligible for
education support program distributions; to provide ongoing property tax
relief; to provide that moneys in the fund shall be state discretionary
funds; to provide for the transfer of excess revenues of the General Fund
upon certain circumstances occurring; and to provide for transfers to the
Public School Income Fund.
02/13 House intro - 1st rdg - to printing
02/14 Rpt prt - to Rev/Tax
02/15 Rpt out - rec d/p - to 2nd rdg
02/16 2nd rdg - to 3rd rdg
02/17 3rd rdg - PASSED - 52-17-1
AYES -- Anderson, Andrus, Barraclough, Barrett, Bayer, Bedke, Bell,
Bilbao, Black, Block, Bolz, Brackett, Bradford, Cannon, Chadderdon,
Clark, Collins, Crow, Deal, Denney, Ellsworth, Eskridge, Field(18),
Field(23), Garrett, Hart(Jacobson), Harwood, Henderson, Lake,
Loertscher, Mathews, McGeachin, McKague, Moyle, Nielsen, Nonini,
Raybould, Ring, Roberts, Rusche, Rydalch, Sali, Sayler, Schaefer,
Shepherd(2), Shepherd(8), Shirley, Smith(24), Stevenson, Wills, Wood,
Mr. Speaker
NAYS -- Bastian, Boe, Edmunson, Henbest, Jaquet, Kemp, LeFavour,
Martinez, Mitchell, Pasley-Stuart, Pence, Ringo, Skippen, Smith(30),
Smylie, Snodgrass, Trail
Absent and excused -- Miller
Floor Sponsor - Roberts
Title apvd - to Senate
02/20 Senate intro - 1st rdg - to Loc Gov
03/10 Rpt out - to 14th Ord
03/17 Rpt out - w/o amen - to 2nd rdg
03/20 2nd rdg - to 3rd rdg
03/23 Ret'd to Loc Gov
]]]] LEGISLATURE OF THE STATE OF IDAHO ]]]]
Fifty-eighth Legislature Second Regular Session - 2006
IN THE HOUSE OF REPRESENTATIVES
HOUSE BILL NO. 678
BY REVENUE AND TAXATION COMMITTEE
1 AN ACT
2 RELATING TO SCHOOL LEVIES; AMENDING SECTION 33-802, IDAHO CODE, TO REDUCE THE
3 MAINTENANCE AND OPERATION LEVY, TO REVISE HOW MAXIMUM SCHOOL MAINTENANCE
4 AND OPERATION LEVIES ARE CALCULATED FOR TAX YEAR 2007 AND THEREAFTER AND
5 TO PROVIDE FOR A BUDGET STABILIZATION LEVY FOR CERTAIN DISTRICTS; AMENDING
6 SECTION 33-1002, IDAHO CODE, TO REDUCE THE LOCAL DISTRICT'S CONTRIBUTION,
7 TO PROVIDE FOR CALCULATION OF THE NUMBER, TO REQUIRE SCHOOL DISTRICTS TO
8 REDUCE THEIR LOCAL DISTRICT CONTRIBUTION TO BE ELIGIBLE FOR EDUCATION SUP-
9 PORT PROGRAM DISTRIBUTIONS AND TO MAKE A TECHNICAL CORRECTION; AMENDING
10 SECTION 33-1002D, IDAHO CODE, TO PROVIDE ONGOING PROPERTY TAX RELIEF AND
11 TO PROVIDE THAT MONEYS IN THE FUND SHALL BE STATE DISCRETIONARY FUNDS;
12 AMENDING CHAPTER 68, TITLE 67, IDAHO CODE, BY THE ADDITION OF A NEW SEC-
13 TION 67-6804, IDAHO CODE, TO PROVIDE FOR THE TRANSFER OF EXCESS REVENUES
14 OF THE GENERAL FUND UPON CERTAIN CIRCUMSTANCES OCCURRING AND TO PROVIDE
15 FOR TRANSFERS TO THE PUBLIC SCHOOL INCOME FUND; DECLARING AN EMERGENCY,
16 PROVIDING RETROACTIVE APPLICATION AND PROVIDING EFFECTIVE DATES.
17 Be It Enacted by the Legislature of the State of Idaho:
18 SECTION 1. That Section 33-802, Idaho Code, be, and the same is hereby
19 amended to read as follows:
20 33-802. SCHOOL LEVIES. Any tax levied for school purposes shall be a lien
21 on the property against which the tax is levied. The board of trustees shall
22 determine the levies upon each dollar of taxable property in the district for
23 the ensuing fiscal year as follows:
24 1. Bond, Interest and Judgment Obligation Levies. Such levies as shall be
25 required to satisfy all maturing bond, bond interest, and judgment obliga-
26 tions.
27 2. Maximum School Maintenance and Operation Levies. Such levies for main-
28 taining and operating the schools of the district and for the payment of
29 tuition and transportation, that do not exceed an amount equal to four-tenths
30 of one percent (.4%) during tax year 1994, and do not exceed an amount equal
31 to three-tenths fifteen-hundredths of one percent (.315%) during tax year 1995
32 2006 and thereafter, applied to the actual or adjusted market value for
33 assessment purposes of the district as such valuation existed on December 31
34 of the previous year, but allowances necessary as a credit for prepaid taxes,
35 as provided in section 63-1607, Idaho Code, shall not be included in such max-
36 imum levies. Provided however, that in the event property within a district's
37 boundaries is contained in a revenue allocation area established under chapter
38 29, title 50, Idaho Code, and such revenue allocation area has given notice of
39 termination thereunder, then, only for the purpose of determining the levy
40 described in this subsection, the district may add the increment value, as
41 defined in section 50-2903, Idaho Code, to the actual or adjusted market value
42 for assessment purposes of the district as such value existed on December 31
43 of the previous year. For tax year 2007 and thereafter, the levy rate limita-
2
1 tion of this subsection shall be modified as follows:
2 (a) Multiply the amount of money raised statewide in the prior year pur-
3 suant to this section by one and three-hundredths (1.03);
4 (b) Subtract the value of any increase in statewide market value for
5 assessment purposes resulting from new construction or change of land use
6 classification as evidenced by the value shown on the new construction
7 roll compiled pursuant to section 63-301A, Idaho Code, from the actual or
8 adjusted statewide market value as such valuation existed on December 31
9 of the previous year;
10 (c) Divide the amount in subsection 2.(a) of this section by the amount
11 in subsection 2.(b) of this section;
12 (d) Reduce the rate resulting from the calculation in subsection 2.(c) of
13 this section by an amount equal to the moneys appropriated pursuant to
14 section 33-1002D, Idaho Code.
15 3. Authorized School Maintenance and Operation Levies. Such levies for
16 maintaining and operating the schools of the district and for the payment of
17 tuition and transportation that do not exceed one hundred eleven percent
18 (111%) of the local district's contribution authorized in subsection 2. of
19 section 33-1002, Idaho Code. Implementation of the provisions of this subsec-
20 tion shall be authorized only after approval by a majority of the district's
21 electors voting on the question. Levies otherwise authorized by law shall not
22 require an election.
23 4. Supplemental Maintenance and Operation Levies. No levy in excess of
24 the levy permitted by subsection 2. or 3. of this section shall be made by a
25 noncharter school district unless such a supplemental levy in a specified
26 amount and for a specified time not to exceed two (2) years be first autho-
27 rized through an election held pursuant to chapter 4, title 33, Idaho Code,
28 and approved by a majority of the district electors voting in such election. A
29 levy approved pursuant to this subsection may be reduced by a majority vote of
30 the board of trustees in the second year.
31 5. Charter District Supplemental Maintenance and Operation. Levies pursu-
32 ant to the respective charter of any such charter district shall be first
33 authorized through an election held pursuant to chapter 4, title 33, Idaho
34 Code, and approved by a majority of the district electors voting in such elec-
35 tion.
36 6. The Local District Contribution. The local school district contribu-
37 tion levy is the amount utilized for calculating local district participation
38 in the educational foundation program, which is applied to the adjusted market
39 value for assessment purposes, as such valuation existed on December 31 of the
40 previous year, together with the increment value, as defined in section
41 50-2903, Idaho Code, if applicable under the circumstance described in subsec-
42 tion 2. of this section, relating to termination of a revenue allocation area.
43 7. The board of trustees of any school district that has, for at least
44 seven (7) consecutive years, been authorized through an election held pursuant
45 to chapter 4, title 33, Idaho Code, to certify a supplemental levy that has
46 annually been equal to or greater than twenty percent (20%) of the total gen-
47 eral maintenance and operation fund, may submit the question of an indefinite
48 term supplemental levy to the electors of the school district. Such question
49 shall clearly state the dollar amount that will be certified annually and that
50 the levy will be for an indefinite number of years. The question must be
51 approved by a majority of the district electors voting on the question in an
52 election held pursuant to chapter 4, title 33, Idaho Code. The levy approved
53 pursuant to this subsection may be reduced by a majority vote of the board of
54 trustees during any fiscal year.
55 (8) School districts not receiving state equalization funds in fiscal
3
1 year 2006 may authorize a budget stabilization levy for fiscal years 2007
2 through 2011. Such levies shall not exceed the following amount:
3 (a) The amount of money the school district received from its maintenance
4 and operations levy and state property tax replacments fund in fiscal year
5 2006; minus
6 (b) The amount of money the school district will receive from its mainte-
7 nance and operations levy and state property tax replacement funds in fis-
8 cal year 2007, and the amount of equalized state funds that the state
9 department of education estimates the school district will receive in fis-
10 cal year 2007.
11 SECTION 2. That Section 33-1002, Idaho Code, be, and the same is hereby
12 amended to read as follows:
13 33-1002. EDUCATIONAL SUPPORT PROGRAM. The educational support program is
14 calculated as follows:
15 1. State Educational Support Funds. Add the state appropriation, includ-
16 ing the moneys available in the public school income fund, together with all
17 miscellaneous revenues to determine the total state funds.
18 2. From the total state funds subtract the following amounts needed for
19 state support of special programs provided by a school district:
20 a. Pupil tuition-equivalency allowances as provided in section 33-1002B,
21 Idaho Code;
22 b. Transportation support program as provided in section 33-1006, Idaho
23 Code;
24 c. Feasibility studies allowance as provided in section 33-1007A, Idaho
25 Code;
26 d. The approved costs for border district allowance, provided in section
27 33-1403, Idaho Code, as determined by the state superintendent of public
28 instruction;
29 e. The approved costs for exceptional child approved contract allowance,
30 provided in subsection 2. of section 33-2004, Idaho Code, as determined by
31 the state superintendent of public instruction;
32 f. Certain expectant and delivered mothers allowance as provided in sec-
33 tion 33-2006, Idaho Code;
34 g. Salary-based apportionment calculated as provided in sections 33-1004
35 through 33-1004F, Idaho Code;
36 h. Unemployment insurance benefit payments according to the provisions of
37 section 72-1349A, Idaho Code;
38 i. For expenditure as provided by the public school technology program;
39 j. For the support of provisions that provide a safe environment condu-
40 cive to student learning and maintain classroom discipline, an allocation
41 of $300 per support unit; and
42 k. Any additional amounts as required by statute to effect administrative
43 adjustments or as specifically required by the provisions of any bill of
44 appropriation;
45 to secure the state educational support funds.
46 3. Local Districts' Contribution Calculation. Without including any
47 allowance as a credit for prepaid taxes as provided by section 63-1607, Idaho
48 Code, the local districts' contribution shall be the amount appropriated pur-
49 suant to section 33-1002D, Idaho Code, plus three-tenths percent (.3%) during
50 fiscal year 2003-04 and each year thereafter, a percentage of the total state
51 adjusted market value for assessment purposes for the previous year with such
52 percentage being determined pursuant to section 33-802, Idaho Code, and with
53 such value being determined by the provisions of section 63-315, Idaho Code,
4
1 with such value being multiplied by the percentage calculated in section
2 33-802 2.(a),(b),(c) and (d), Idaho Code, and four-tenths percent (.4%) during
3 fiscal year 1994-95 and each year thereafter, of the cooperative electrical
4 associations' property values that have been derived from the taxes paid in
5 lieu of ad valorem property taxes for the previous year as provided in section
6 63-3502, Idaho Code. In order to receive state funds, pursuant to this sec-
7 tion, a charter district shall utilize a school maintenance and operation
8 property tax levy, for the purposes of calculating the moneys to be raised,
9 that is no greater than that which it levied in tax year 1994, less the dif-
10 ference between the maximum levy rate permitted by section 33-802, Idaho Code,
11 and four-tenths of one percent (.4%).
12 4. Educational Support Program Distribution Funds. Add the local dis-
13 tricts' contribution, subsection 3. of this section, and the state educational
14 support program funds, subsection 1. of this section, together to secure the
15 total educational support program distribution funds.
16 5. Average Daily Attendance. The total state average daily attendance
17 shall be the sum of the average daily attendance of all of the school dis-
18 tricts of the state. The state board of education shall establish rules set-
19 ting forth the procedure to determine average daily attendance and the time
20 for, and method of, submission of such report. Average daily attendance calcu-
21 lation shall be carried out to the nearest hundredth. Computation of average
22 daily attendance shall also be governed by the provisions of section 33-1003A,
23 Idaho Code.
24 6. Support Units. The total state support units shall be determined by
25 using the tables set out hereafter called computation of kindergarten support
26 units, computation of elementary support units, computation of secondary sup-
27 port units, computation of exceptional education support units, and computa-
28 tion of alternative school secondary support units. The sum of all of the
29 total support units of all school districts of the state shall be the total
30 state support units.
31 COMPUTATION OF KINDERGARTEN SUPPORT UNITS
32 Average Daily
33 Attendance Attendance Divisor Units Allowed
34 41 or more .... 40....................... 1 or more as computed
35 31 - 40.99 ADA.... -....................... 1
36 26 - 30.99 ADA.... -....................... .85
37 21 - 25.99 ADA.... -....................... .75
38 16 - 20.99 ADA.... -....................... .6
39 8 - 15.99 ADA.... -....................... .5
40 1 - 7.99 ADA.... -....................... count as elementary
41 COMPUTATION OF ELEMENTARY SUPPORT UNITS
42 Average Daily
43 Attendance Attendance Divisor Minimum Units Allowed
44 300 or more ADA........................................ 15
45 ..23...grades 4,5 & 6....
46 ..22...grades 1,2 & 3....1994-95
47 ..21...grades 1,2 & 3....1995-96
48 ..20...grades 1,2 & 3....1996-97
49 and each year thereafter.
50 160 to 299.99 ADA... 20..................... 8.4
51 110 to 159.99 ADA... 19..................... 6.8
52 71.1 to 109.99 ADA... 16..................... 4.7
53 51.7 to 71.0 ADA... 15..................... 4.0
54 33.6 to 51.6 ADA... 13..................... 2.8
5
1 16.6 to 33.5 ADA... 12..................... 1.4
2 1.0 to 16.5 ADA... n/a.................... 1.0
3 COMPUTATION OF SECONDARY SUPPORT UNITS
4 Average Daily
5 Attendance Attendance Divisor Minimum Units Allowed
6 750 or more .... 18.5..................... 47
7 400 - 749.99 ADA.... 16....................... 28
8 300 - 399.99 ADA.... 14.5..................... 22
9 200 - 299.99 ADA.... 13.5..................... 17
10 100 - 199.99 ADA.... 12....................... 9
11 99.99 or fewer Units allowed as follows:
12 Grades 7-12 ......................... 8
13 Grades 9-12 ......................... 6
14 Grades 7- 9 ......................... 1 per 14 ADA
15 Grades 7- 8 ......................... 1 per 16 ADA
16 COMPUTATION OF EXCEPTIONAL EDUCATION SUPPORT UNITS
17 Average Daily
18 Attendance Attendance Divisor Minimum Units Allowed
19 14 or more .... 14.5..................... 1 or more as computed
20 12 - 13.99.... -....................... 1
21 8 - 11.99.... -....................... .75
22 4 - 7.99.... -....................... .5
23 1 - 3.99.... -....................... .25
24 COMPUTATION OF ALTERNATIVE SCHOOL SECONDARY SUPPORT UNITS
25 Pupils in Attendance Attendance Divisor Minimum Units Allowed
26 12 or more.......... 12...................... 1 or more as computed
27 In applying these tables to any given separate attendance unit, no school
28 district shall receive less total money than it would receive if it had a
29 lesser average daily attendance in such separate attendance unit. In applying
30 the kindergarten table to a kindergarten program of less days than a full
31 school year, the support unit allowance shall be in ratio to the number of
32 days of a full school year. The tables for exceptional education and alterna-
33 tive school secondary support units shall be applicable only for programs
34 approved by the state department of education following rules established by
35 the state board of education. Moneys generated from computation of support
36 units for alternative schools shall be utilized for alternative school pro-
37 grams. School district administrative and facility costs may be included as
38 part of the alternative school expenditures.
39 7. State Distribution Factor per Support Unit. Divide educational support
40 program distribution funds, after subtracting the amounts necessary to pay the
41 obligations specified in subsection 2. of this section, by the total state
42 support units to secure the state distribution factor per support unit.
43 8. District Share of State Funds for Educational Support Program. Ascer-
44 tain a district's share of state funds for the educational support program as
45 follows:
46 a. District Contribution Calculation. Without including any allowance as
47 a credit for prepaid taxes, as provided in section 63-1607, Idaho Code,
48 the district contribution calculation shall be the rate determined under
49 subsection 3. of this section.
50 b. District Support Units. The number of support units for each school
51 district in the state shall be determined as follows:
6
1 (1) Divide the actual average daily attendance, excluding students
2 approved for inclusion in the exceptional child educational program,
3 for the administrative schools and each of the separate schools and
4 attendance units by the appropriate divisor from the tables of sup-
5 port units in this section, then add the quotients to obtain the
6 district's support units allowance for regular students, kindergarten
7 through grade 12 including alternative school secondary students.
8 Calculations in application of this subsection shall be carried out
9 to the nearest tenth.
10 (2) Divide the combined totals of the average daily attendance of
11 all preschool, handicapped, kindergarten, elementary, secondary and
12 juvenile detention center students approved for inclusion in the
13 exceptional child program of the district by the appropriate divisor
14 from the table for computation of exceptional education support units
15 to obtain the number of support units allowed for the district's
16 approved exceptional child program. Calculations for this subsection
17 shall be carried out to the nearest tenth when more than one (1) unit
18 is allowed.
19 (3) The total number of support units of the district shall be the
20 sum of the total support units for regular students, subsection
21 8.b.(1) of this section, and the support units allowance for the
22 approved exceptional child program, subsection 8.b.(2) of this sec-
23 tion.
24 c. Total District Allowance Educational Program. Multiply the district's
25 total number of support units, carried out to the nearest tenth, by the
26 state distribution factor per support unit and to this product add the
27 approved amount of programs of the district provided in subsection 2. of
28 this section to secure the district's total allowance for the educational
29 support program.
30 d. District Share. To secure the district's share of state apportionment,
31 subtract the amount of the local district contribution calculation, sub-
32 section 3. of this section, from the amount of the total district allow-
33 ance, subsection 8.c. of this section.
34 e. Adjustment of District Share. The contract salary of every noncertifi-
35 cated teacher shall be subtracted from the district's share as calculated
36 from the provisions of subsection 8.d. of this section.
37 SECTION 3. That Section 33-1002D, Idaho Code, be, and the same is hereby
38 amended to read as follows:
39 33-1002D. PROPERTY TAX REPLACEMENT RELIEF. The purpose of this section is
40 to provide ongoing property tax relief. All moneys transferred to the public
41 school income fund, pursuant to section 67-6804, Idaho Code, shall be annually
42 appropriated by the legislature to the educational support program/division of
43 operations as state discretionary funds. replace a portion of the authorized
44 school maintenance and operation property tax levy with state sales tax
45 receipts. As used in this section, the term "property tax computation ratio"
46 shall mean a ratio determined by dividing the district's certified property
47 tax maintenance and operation budget by the actual or adjusted market value
48 for assessment purposes as such values existed on December 31 of the previous
49 calendar year, together with the increment value, as defined in section
50 50-2903, Idaho Code, if applicable under the circumstance described in section
51 33-802 2., Idaho Code, relating to termination of a revenue allocation area.
52 (1) (a) In the case of a school district that had a property tax computa-
53 tion ratio of not less than four-tenths of one percent (.4%) in tax year
7
1 1994, that school district shall receive from the appropriations made for
2 that purpose, an amount equal to the greater of the district's actual or
3 adjusted market value for assessment purposes as such valuation existed on
4 December 31 of the previous calendar year, together with the increment
5 value, as defined in section 50-2903, Idaho Code, if applicable under the
6 circumstance described in section 33-802 2., Idaho Code, relating to ter-
7 mination of a revenue allocation area, multiplied by one-tenth of one per-
8 cent (.1%).
9 (b) In the case of a school district that had a property tax computation
10 ratio of less than four-tenths of one percent (.4%) in tax year 1994, the
11 greater of the 1992, 1993 or 1994 property tax computation ratio less
12 three-tenths of one percent (.3%) shall be designated the district's base
13 multiplier. In no case shall the base multiplier be less than zero (0).
14 Four-tenths of one percent (.4%) less the greater of the district's 1992,
15 1993 or 1994 property tax computation ratio shall be designated the
16 district's adjustment factor. In no case shall the adjustment factor be
17 greater than one-tenth of one percent (.1%) or less than zero (0). Each
18 school district's actual multiplier shall be the base multiplier plus one-
19 fifth (1/5) of the adjustment factor in tax year 1995, the base multiplier
20 plus two-fifths (2/5) of the adjustment factor in tax year 1996, the base
21 multiplier plus three-fifths (3/5) of the adjustment factor in tax year
22 1997, the base multiplier plus four-fifths (4/5) of the adjustment factor
23 in tax year 1998, and the base multiplier plus the adjustment factor in
24 tax year 1999 and beyond. Each school district shall receive, from the
25 appropriations made for that purpose, an amount equal to the district's
26 actual or adjusted market value for assessment purposes as such valuation
27 existed on December 31 of the previous calendar year, together with the
28 increment value, as defined in section 50-2903, Idaho Code, if applicable
29 under the circumstance described in section 33-802 2., Idaho Code, relat-
30 ing to termination of a revenue allocation area, multiplied by the
31 district's actual multiplier.
32 (c) The preceding provisions of this subsection notwithstanding, appro-
33 priations from the state for the value of one-tenth of one percent (.1%)
34 of the greater of the district's actual or adjusted market value for
35 assessment purposes as such valuation existed on December 31 of the previ-
36 ous calendar year, together with the increment value, as defined in sec-
37 tion 50-2903, Idaho Code, if applicable under the circumstance described
38 in section 33-802 2., Idaho Code, relating to termination of a revenue
39 allocation area, shall not exceed seventy-five million dollars
40 ($75,000,000) in any fiscal year. If the amount school districts would
41 otherwise be entitled to receive pursuant to the preceding provisions of
42 this subsection exceeds seventy-five million dollars ($75,000,000), then
43 each school district shall receive its share of seventy-five million dol-
44 lars ($75,000,000) based on the formulas contained in this section.
45 (2) (a) Participation in this property tax reduction program is voluntary
46 for a charter district. If a charter district participates, in addition to
47 the provisions of subsection (1) of this section it shall not have a prop-
48 erty tax computation ratio that is above three-tenths of one percent (.3%)
49 or the district's property tax computation ratio in tax year 1994, less
50 one-tenth of one percent (.1%), whichever is greater.
51 (b) If in any year the charter district's property tax computation ratio
52 used to calculate its maintenance and operation budget is increased above
53 the limit specified in this subsection the district shall not be eligible
54 for the distribution pursuant to subsection (1) of this section for that
55 year.
8
1 (3) Limitations imposed upon a school district's property tax computation
2 ratio under the provisions of this section do not apply to any levy approved
3 by electors of the school district as provided by law.
4 (4) Distributions calculated as provided in this section shall be made to
5 school districts of this state in two (2) equal installments on the due dates
6 as specified in section 63-903(1), Idaho Code, for the property taxes being
7 replaced.
8 (5) For purposes of section 33-1002, Idaho Code, moneys distributed pur-
9 suant to this section shall not be included in determining total state funds.
10 SECTION 4. That Chapter 68, Title 67, Idaho Code, be, and the same is
11 hereby amended by the addition thereto of a NEW SECTION, to be known and des-
12 ignated as Section 67-6804, Idaho Code, and to read as follows:
13 67-6804. TRANSFER OF EXCESS REVENUES. (1) The legislature finds that it
14 is in the best interest of the taxpayers of the state of Idaho to establish a
15 state budget system that captures surplus revenues for the purposes described
16 herein.
17 (2) If the state controller certifies that the receipts to the general
18 fund for the fiscal year just ending have exceeded the receipts of the previ-
19 ous fiscal year by more than eight percent (8%), then the state controller
20 shall transfer all general fund collections in excess of said eight percent
21 (8%) increase to the public school income fund.
22 (3) Once a transfer has been made, pursuant to this section, the state
23 controller shall transfer the same dollar amount to the public school income
24 fund in each subsequent fiscal year. If the provisions of subsection (2) of
25 this section cause further transfers to be made, then the annual transfer made
26 by the state controller shall be increased by a like amount.
27 (4) All transfers to the public school income fund authorized by this
28 section shall be expended pursuant to the provisions of section 33-1002D,
29 Idaho Code.
30 SECTION 5. An emergency existing therefor, which emergency is hereby
31 declared to exist, Section 1 of this act shall be in full force and effect on
32 and after its passage and approval, and retroactively to January 1, 2006. Sec-
33 tions 2, 3 and 4 shall be in full force and effect on and after July 1, 2006.
STATEMENT OF PURPOSE
RS 16049
This legislation reduces the maximum property tax levy for
Maintenance and Operations of schools from .3% to .15%. It also
repeals .10% of property tax replacement which has been capped at
$75,000,000 and is currently being funded through the general
fund.
It further caps the revenue growth produced by the remaining .15%
levy at 3% per year.
If receipts for the general fund for the year just ended exceed
the revenues from the previous year by 8%, then the excess shall
be transferred to the public school income fund and a
corresponding reduction shall be made in the Maintenance and
Operation levy.
FISCAL NOTE
Property taxes will be reduced approximately $125,000,000. It is
expected that the appropriation from the general fund for schools
will increase by a similar amount
Contact
Name: Rep. Roberts
Phone: 332-1000
Rep. Moyle
Rep. Lake
STATEMENT OF PURPOSE/FISCAL NOTE H 678