S1236............................................................by FINANCE APPROPRIATIONS - PUBLIC SCHOOLS - OPERATIONS DIVISION - Appropriates $567,802,800 for the Educational Support Program/Division of Operations for fiscal year 2008; provides for expenditures for certain technology programs; distributes moneys for replacement of school maintenance and operations levy funds; directs the distribution of moneys for instructional software and textbooks; directs the expenditure of moneys for conducting a study and developing plans regarding rural schools; provides intent regarding discretionary funds; and amends existing law to increase the salary-based apportionment for classified staff and to revise the state's share of the Transportation Support Program. 03/16 Senate intro - 1st rdg - to printing 03/19 Rpt prt - to Fin Rpt out - rec d/p - to 2nd rdg 03/20 2nd rdg - to 3rd rdg 03/27 3rd rdg - PASSED - 25-8-2 AYES -- Andreason, Bair, Bastian, Broadsword, Cameron, Coiner, Corder, Darrington, Davis, Fulcher, Gannon, Geddes, Goedde, Hammond, Heinrich, Hill, Jorgenson, Keough, Little, Lodge, McGee, McKague, Richardson, Siddoway, Stegner NAYS -- Bilyeu, Burkett(Cronin), Kelly, Langhorst, Malepeai, Schroeder, Stennett, Werk(Douglas) Absent and excused -- McKenzie, Pearce Floor Sponsor - Cameron Title apvd - to House 03/27 House intro - 1st rdg - to 2nd rdg Rls susp - PASSED - 50-16-4 AYES -- Anderson, Andrus, Barrett, Bayer, Bedke, Bell, Bilbao, Black, Block, Bolz, Brackett, Bradford, Chadderdon, Clark, Crane, Edmunson, Eskridge, Hart, Harwood, Henderson, Kren, Labrador, Loertscher, Luker, Marriott, Mathews, McGeachin, Mortimer, Moyle, Nielsen, Nonini, Patrick, Raybould, Ring, Roberts, Schaefer, Shepherd(2), Shepherd(8), Shirley, Shively, Smith(24), Snodgrass, Stevenson, Thayn, Trail, Vander Woude, Wills, Wood(27), Wood(35), Mr. Speaker NAYS -- Bock, Boe, Chavez, Chew, Henbest, Jaquet, Killen, King, LeFavour, Pasley-Stuart, Pence, Ringo, Ruchti, Rusche, Sayler, Smith(30) Absent and excused -- Collins, Durst, Hagedorn, Lake Floor Sponsor - Bayer Title apvd - to Senate 03/28 To enrol - Rpt enrol - Pres signed - Sp signed To Governor 04/02 Governor signed Session Law Chapter 352 Effective: 07/01/07
]]]] LEGISLATURE OF THE STATE OF IDAHO ]]]] Fifty-ninth Legislature First Regular Session - 2007 IN THE SENATE SENATE BILL NO. 1236 BY FINANCE COMMITTEE 1 AN ACT 2 RELATING TO THE APPROPRIATION FOR THE PUBLIC SCHOOLS DIVISION OF OPERATIONS; 3 PROVIDING FOR EXPENDITURES FOR THE PUBLIC SCHOOLS DIVISION OF OPERATIONS 4 FOR FISCAL YEAR 2008; APPROPRIATING GENERAL FUND MONEYS FOR TRANSFER TO 5 THE PUBLIC SCHOOL INCOME FUND; APPROPRIATING FUNDS TO THE EDUCATIONAL SUP- 6 PORT PROGRAM/DIVISION OF OPERATIONS FOR FISCAL YEAR 2008; DIRECTING THAT 7 $9,800,000 BE EXPENDED FOR TECHNOLOGY PROGRAMS; DIRECTING THAT $3,017,000 8 BE DISTRIBUTED FOR THE REPLACEMENT OF CERTAIN LEVY FUNDS; DIRECTING THAT 9 $9,950,000 BE DISTRIBUTED FOR TEXTBOOK MATERIAL PURCHASES AND PROVIDING 10 THAT EXPENDITURES BE MATCHED BY LOCAL FUNDS; DIRECTING THAT $100,000 BE 11 ALLOCATED TO STUDY AND DEVELOP PLANS THAT ADDRESS CHALLENGES FACING RURAL 12 SCHOOLS; PROVIDING AN ESTIMATE OF DISCRETIONARY FUNDS PER SUPPORT UNIT; 13 PROVIDING LEGISLATIVE FINDINGS REGARDING ACTUAL DISCRETIONARY FUNDS AVAIL- 14 ABLE PER SUPPORT UNIT AT THE LOCAL LEVEL; AMENDING SECTION 33-1004E, IDAHO 15 CODE, TO PROVIDE FOR A BASE SALARY INCREASE FOR CLASSIFIED STAFF; AND 16 AMENDING SECTION 33-1006, IDAHO CODE, TO REVISE THE STATE'S SHARE OF THE 17 TRANSPORTATION SUPPORT PROGRAM. 18 Be It Enacted by the Legislature of the State of Idaho: 19 SECTION 1. The following amount shall be expended from state sources for 20 the Public Schools Division of Operations for the period July 1, 2007, through 21 June 30, 2008: 22 FROM: 23 General Fund $525,558,000 24 Public School Endowment Earnings Reserve Fund Transfer 26,995,000 25 Federal Mineral Royalties 1,500,000 26 Public Education Stabilization Fund 3,017,000 27 Liquor Control Fund 1,200,000 28 Miscellaneous Receipts/Balances 2,300,000 29 Federal Grant Fund 7,232,800 30 TOTAL $567,802,800 31 SECTION 2. Notwithstanding the provisions of Sections 33-907, 33-1018, 32 33-1018A and 33-1018B, Idaho Code, there is hereby appropriated the following 33 amounts to be transferred to the Public School Income Fund for the period July 34 1, 2007, through June 30, 2008: 35 FROM: 36 General Fund $525,558,000 37 Public Education Stabilization Fund 3,017,000 38 TOTAL $528,575,000 39 SECTION 3. There is hereby appropriated to the Educational Support 40 Program/Division of Operations, pursuant to law and the provisions of this 41 act, the following amounts to be expended from the listed funds for the period 42 July 1, 2007, through June 30, 2008: 2 1 FROM: 2 Public School Income Fund $560,570,000 3 Federal Grant Fund 7,232,800 4 TOTAL $567,802,800 5 SECTION 4. Of the moneys appropriated in Section 3 of this act, 6 $9,800,000 shall be expended by the Superintendent of Public Instruction as 7 follows: 8 (1) The Idaho Council for Technology in Learning shall distribute 9 $4,050,000 for ongoing school district technology expenditures, through 10 the Public School Technology Grant Program, pursuant to Section 33-4806, 11 Idaho Code. Such expenditures may include the personnel costs associated 12 with school district information technology staff support. Of this amount, 13 up to $160,000 may be expended by the Superintendent of Public Instruction 14 for staff support and various expenses related to the Idaho Council for 15 Technology in Learning, as approved by the State Board of Education; 16 (2) The Superintendent of Public Instruction shall transfer $650,000 to 17 the Library Services Improvement Fund for ongoing costs associated with 18 the State Library's "Libraries Linking Idaho" (LiLI) projects; 19 (3) The Superintendent of Public Instruction shall distribute $5,100,000 20 to school districts in a like manner as equalized, ongoing state discre- 21 tionary funds, with seventy-five percent (75%) of such funds being dis- 22 tributed by August 31, and twenty-five percent (25%) of such funds in the 23 final payment of the fiscal year. Such funds shall be expended for the 24 purchase of technology equipment and software. 25 SECTION 5. Of the moneys appropriated in Section 3 of this act, the 26 Superintendent of Public Instruction shall distribute $3,017,000 to school 27 districts, allocated according to the same proportions as the moneys distrib- 28 uted in fiscal year 2006, pursuant to Section 63-3638(10), Idaho Code, for the 29 replacement of school maintenance and operations levy funds. 30 SECTION 6. Of the moneys appropriated in Section 3 of this act, 31 $9,950,000 shall be distributed for the purchase of instructional software and 32 textbooks, whether physical or electronic. In order to be eligible to receive 33 such funds, the school district or public charter school shall expand at least 34 one dollar ($1.00) in discretionary funds on such purchases for every three 35 dollars ($3.00) in funds provided by this section. The Superintendent of Pub- 36 lic Instruction shall determine the formulas and methodologies by which such 37 funds are distributed, within the framework of an average daily attendance 38 (ADA) based distribution. 39 SECTION 7. Of the moneys appropriated in Section 3 of this act, up to 40 $100,000 may be expended by the Superintendent of Public Instruction to con- 41 duct a study and develop plans that address the challenges of rural schools 42 including, but not limited to, the issues of declining enrollment, 43 inefficiencies in administration and service delivery, and recruitment of 44 qualified teachers. 45 SECTION 8. Pursuant to the provisions of Section 33-1018, Idaho Code, it 46 is estimated that the appropriation of state funds to the Educational Support 47 Program/Division of Operations will result in total discretionary funds of 48 $25,442 per support unit. The Legislature recognizes that this figure does not 49 reflect additional discretionary funds that will be made available through 50 interest earnings at the local level as a result of this appropriation and the 3 1 state's replacement of maintenance and operations levy funds. On a statewide 2 basis, the maintenance and operations levy replacement will result in approxi- 3 mately $4.2 million in additional interest earnings, while the amendment of 4 Section 33-1009, Idaho Code, will result in approximately $6.75 million in 5 additional interest earnings, for a total of $10.95 million. This represents 6 an additional 3.1% increase in the amount of discretionary funds per support 7 unit that will actually be available at the local level. 8 In addition, this appropriation provides $20.13 million in new line item 9 funding for classroom supplies, textbooks and remedial education. For school 10 districts and public charter schools that currently expend discretionary funds 11 for these items, which were not previously funded by the state, those moneys 12 may now be freed up for other uses. In cases where the new state funds fully 13 supplant existing local discretionary efforts, this will result in an addi- 14 tional 5.8% increase in the amount of discretionary funds per support unit 15 that will actually be available at the local level, for a total increase of 16 8.9%, when added to the additional interest earnings. 17 It is the intent of the Legislature that the Superintendent of Public 18 Instruction and the Legislature understand the uses of and demands for discre- 19 tionary funds. Inasmuch as significant discretionary funds were previously 20 used for classroom supplies, textbooks and remediation, school districts and 21 public charter schools are hereby requested to report to the Superintendent of 22 Public Instruction the actual uses of discretionary funds for fiscal year 23 2007, and the budgeted uses for fiscal year 2008. 24 SECTION 9. That Section 33-1004E, Idaho Code, be, and the same is hereby 25 amended to read as follows: 26 33-1004E. DISTRICT'S SALARY-BASED APPORTIONMENT. Each district shall be 27 entitled to a salary-based apportionment calculated as provided in this sec- 28 tion. 29 1. To determine the apportionment for instructional staff, first deter- 30 mine the district average experience and education index by placing all eligi- 31 ble district certificated instructional employees on the statewide index pro- 32 vided in section 33-1004A, Idaho Code. The resulting average is the district 33 index. Districts with an index above the state average index shall receive 34 their actual index but not more than the state average plus .03 for the 35 1994-95 school year, and shall receive their actual index but not more than 36 the state average plus .06 for the 1995-96 school year, and thereafter shall 37 receive their actual district index. The district instructional staff index 38 shall be multiplied by the instructional base salary of $23,906. The amount so 39 determined shall be multiplied by the district staff allowance for instruc- 40 tional staff determined as provided in section 33-1004 2., Idaho Code. The 41 instructional salary allocation shall be increased by the amount necessary for 42 each full-time equivalent instructional staff member placed on the experience 43 and education index to be allocated at least the minimum salary mandated by 44 this section. Full-time instructional staff salaries shall be determined from 45 a salary schedule developed by each district and submitted to the state 46 department of education. No full-time instructional staff member shall be paid 47 less than $30,000. If an instructional staff member has been certified by the 48 national board for professional teaching standards, the staff member shall be 49 designated as a master teacher and receive $2,000 per year for five (5) years. 50 The instructional salary shall be increased by $2,000 for each master teacher. 51 The resulting amount is the district's salary-based apportionment for instruc- 52 tional staff. For purposes of this section, teachers qualifying for the salary 53 increase as master teacher shall be those who have been recognized as national 4 1 board certified teachers as of July 1 of each year. 2 2. To determine the apportionment for district administrative staff, 3 first determine the district average experience and education index by placing 4 all eligible certificated administrative employees on the statewide index pro- 5 vided in section 33-1004A, Idaho Code. The resulting average is the district 6 index. Districts with an index above the state average index shall receive 7 their actual index but not more than the state average plus .03 for the school 8 year 1994-95, and shall receive their actual index but not more than the state 9 average index plus .06 for the 1995-96 school year, and thereafter shall 10 receive their actual district index. The district administrative staff index 11 shall be multiplied by the base salary of $34,773. The amount so determined 12 shall be multiplied by the district staff allowance for administrative staff 13 determined as provided in section 33-1004 3., Idaho Code. The resulting amount 14 is the district's salary-based apportionment for administrative staff. 15 3. To determine the apportionment for classified staff, multiply 16 $ 19,20719,783 by the district classified staff allowance determined as pro- 17 vided in section 33-1004 4., Idaho Code. The amount so determined is the 18 district's apportionment for classified staff. 19 4. The district's salary-based apportionment shall be the sum of the 20 apportionments calculated in subsections 1., 2. and 3., of this section, plus 21 the benefit apportionment as provided in section 33-1004F, Idaho Code. 22 SECTION 10. That Section 33-1006, Idaho Code, be, and the same is hereby 23 amended to read as follows: 24 33-1006. TRANSPORTATION SUPPORT PROGRAM. (1) The state board of education 25 shall determine what costs of transporting pupils, including maintenance, 26 operation and depreciation of basic vehicles, insurance, payments under con- 27 tract with other public transportation providers whose vehicles used to trans- 28 port pupils comply with federal transit administration regulations, "bus test- 29 ing," 49 C.F.R. part 665, and any revision thereto, as provided in subsection 30 (4)(d) of this section, or other state department of education approved pri- 31 vate transportation providers, salaries of drivers, and any other costs, shall 32 be allowable in computing the transportation support program of school dis- 33 tricts. 34 (2) Any costs associated with the addition of vehicle features that are 35 not part of the basic vehicle shall not be allowable in computing the trans- 36 portation support program of school districts. A basic vehicle is hereby 37 defined as the cost of the vehicle without optional features, plus the addi- 38 tion of essential safety features and features necessary for the transporta- 39 tion of pupils with disabilities. 40 (3) Each school district shall maintain records and make reports as are 41 required for the purposes of this section. 42 (4) The transportation support program of a school district shall be 43 based upon the allowable costs of: 44 (a) Transporting public school pupils one and one-half (1 1/2) miles or 45 more to school; 46 (b) Transporting pupils less than one and one-half (1 1/2) miles as pro- 47 vided in section 33-1501, Idaho Code, when approved by the state board of 48 education; 49 (c) The costs of payments when transportation is not furnished, as pro- 50 vided in section 33-1503, Idaho Code; 51 (d) The transportation program for grades six (6) through twelve (12), 52 upon the costs of payments pursuant to a contract with other public or 53 private transportation providers entered into as provided in section 5 1 33-1510, Idaho Code, if the school district establishes that the reim- 2 bursable costs of transportation under the contract are equal to or less 3 than the costs for school buses; 4 (e) The costs of providing transportation to and from approved school 5 activities as may be approved by rules of the state board of education; 6 (f) The employer's share of contributions to the public employee retire- 7 ment system and to social security. 8 (5) The state's share of the transportation support program shall be 9 eighty-five percent (85%) of reimbursable transportation costs of the district 10 incurred during the immediately preceding state fiscal year, provided the 11 reimbursable costs do not exceed one hundred three percent (103%) of the 12 statewide average reimbursable cost per mile or the state average reimbursable 13 cost per student rider, whichever is more advantageous to the school district. 14 If a school district's costs exceed the one hundred three percent (103%) limit 15 when computed by the more advantageous of the two (2) methods, that school 16 district shall be reimbursed at eighty-five percent (85%) of the maximum limit 17 for whichever method is more favorable to the school district. A school dis- 18 trict may appeal the application of the one hundred three percent (103%) limit 19 on reimbursable costs to the state board of education, which may establish for 20 that district a new percentile limit for reimbursable costs compared to the 21 statewide average, which is higher than one hundred three percent (103%). In 22 doing so, the state board of education may set a new limit that is greater 23 than one hundred three percent (103%), but is less than the percentile limit 24 requested by the school district. However, the percentage increase in the one 25 hundred three percent (103%) cap shall not exceed the percentage of the 26 district's bus runs that qualify as a hardship bus run, pursuant to this sub- 27 section. Any costs above the new level established by the state board of edu- 28 cation shall not be reimbursed. Such a change shall only be granted by the 29 state board of education if the application can be justified based on uniquely30 difficult geographic circumstances, or extraordinary one (1) time circum-31 stances outside the district's foresight and control. An application granted32 based on extraordinary one (1) time circumstances shall be effective for one33 (1) year only. An application based on uniquely difficult geographic circum-34 stances shall be reviewed by the state board of education for continued valid-35 ity at least every five (5) yearsfor hardship bus runs. To qualify as a hard- 36 ship bus run, such bus run shall display uniquely difficult geographic circum- 37 stances and meet at least two (2) of the following criteria: 38 (a) The number of student riders per mile is less than fifty percent 39 (50%) of the statewide average number of student riders per mile; 40 (b) Less than a majority of the miles on the bus run are by paved sur- 41 face, concrete or asphalt, road; 42 (c) Over ten percent (10%) of the miles driven on the bus run are a five 43 percent (5%) slope or greater. 44 The legislative audits section of the legislative services office shall review 45 cap increases granted by the state board of education pursuant to this sec- 46 tion, and shall include findings in the board's regular audit report for any 47 instances in which such increases failed to meet the standards set forth in 48 this subsection. 49 (6) School districts that are unable to absorb the impact of the limita- 50 tion on reimbursable expenses, through either efficiencies or the utilization 51 of fund balances, may apply to the state board of education to receive a loan 52 of moneys, not to exceed the amount of state funds lost through the applica- 53 tion of the limitation on reimbursable expenses, from the public education 54 stabilization fund. Any school district receiving such a loan shall cause its 55 reimbursement of state transportation moneys to be reduced by a like amount in 6 1 the subsequent fiscal year, and the moneys so reduced shall be deposited in 2 the public education stabilization fund. 3 (7) Beginning on July 1, 2005, any eligible home-based public virtual 4 school may claim transportation reimbursement for the prior fiscal year's cost 5 of providing educational services to students. In order to be eligible, such a 6 school shall have at least one (1) average daily attendance divisor, pursuant 7 to section 33-1002, Idaho Code, that is greater than the median divisor shown 8 for any category of pupils, among the actual divisors listed. For the purposes 9 of paragraphs (a), (b) and (c) of this subsection (7), "education provider" 10 means the home-based public virtual school or an entity that has legally con- 11 tracted with the home-based public virtual school to supply education ser- 12 vices. Reimbursable costs shall be limited to the costs of: 13 (a) Providing an internet connection service between the student and the 14 education provider, not including the cost of telephone service; 15 (b) Providing electronic and computer equipment used by the student to 16 transmit educational material between the student and the education pro- 17 vider; 18 (c) Providing a toll-free telephone service for students to communicate 19 with the education provider; 20 (d) Providing education-related, face-to-face visits by representatives 21 of the home-based public virtual school, with such reimbursements limited 22 to the mileage costs set for state employee travel by the state board of 23 examiners; and 24 (e) Any actual pupil transportation costs that would be reimbursable if 25 claimed by a school district. 26 The total reimbursement for such home-based public virtual schools shall be 27 exempt from the statewide average cost per mile limitations of this section. 28 The state's share of reimbursable costs shall be eighty-five percent (85%), 29 subject to the statewide cost per student rider provisions of this section. 30 For the purposes of such home-based public virtual school, the number of stu- 31 dent riders shall be the same as the number of pupils in average daily atten- 32 dance.
|STATEMENT OF PURPOSE|
This is the Fiscal Year 2008 appropriation for the Division of Operations portion of the Public Schools budget. The pieces of the Public Schools budget that are part of this division's appropriation include: 1.) The classified staff portion of the salary-based apportionment formula; 2.) State paid employee benefits for classified staff, which includes PERSI and FICA; 3.) Pupil transportation costs; 4.) Technology funds; 5.) Textbook funds; 6.) Ag Replacement phase-out funds; 7.) Rural school study funds; 8.) State discretionary funds; and 9.) The Operations' portion of federal pass-through funding to local school districts.
This budget adds funds for an increase of 250 new midterm and full-term support units, and an increase in available federal pass-through funds. It also directs all $9.8 million earmarked in Section 4 be used for Technology. In FY 2007, public schools could also choose to use this money for ISAT remediation. ISAT remediation is now funded separately as an earmark in the Division of Children's Programs portion of the Public Schools budget. The budget also includes a 3% base salary increase for classified staff, which is made possible by the amendments to Section 33-1004E, Idaho Code, found in Section 9 of the bill.
New items in this budget include the $9,950,000 provided in Section 6 for the purchase of textbook materials. Local districts and charters would be required to put forward $1 for every $3 of state funds so received. Section 5 of the bill provides for the second year of funding for the 5-year phase down of unequalized moneys previously received by school districts as a state replacement of M&O personal property taxes on agricultural equipment. Section 7 provides one-time funding for the Superintendent of Public Instruction to conduct a study of the challenges facing rural schools.
While the amount of direct-funded state discretionary funds per support unit in this budget is essentially flat, at $25,442 per classroom, Section 8 of the bill recognizes that the actions taken by the Legislature in other areas, ranging from creating greater local interest earnings by providing funds sooner, to the displacement of local discretionary funds through the direct state funding of various line items, will result in an effective increase in local discretionary funds available per support unit of at least 3.1%, and up to 8.9%. The level of direct state funding per classroom is backed by a guarantee of support from the Public Education Stabilization Fund, which would be automatically tapped, if necessary, to maintain FY 2008 discretionary funds at the level stated in Section 8 of the bill.
Section 10 amends Section 33-1006, Idaho Code, to provide more specific rules and oversight for the State Board of Education's process of granting waivers from the state's cap on pupil transportation costs.
|A.||Sources of Funds|
|4.||TOTAL STATE APPROPRIATIONS||$1,517,953,800||$1,644,698,400||$567,802,800|
General Fund Percent Increase:
Total Funds Percent Increase:
|3.||Exceptional Contracts/Tuition Equivalents||$5,750,000||$6,075,000||$0|
|6.||Teacher Incentive Award||$313,200||$166,100||$0|
|7.||State Paid Employee Benefits||$133,897,900||$139,771,900||$18,468,800|
|8.||Early Retirement Program||$4,750,000||$4,750,000||$0|
|9.||Bond Levy Equalization||$6,300,000||$11,200,000||$0|
|10.||Idaho Safe & Drug-Free Schools||$5,500,000||$7,000,000||$0|
|11.||Sub-total -- Statutory Requirements||$962,904,900||$1,012,263,900||$187,878,100|
|B.||Other Program Distributions|
|2.||Idaho Reading Initiative||$2,800,000||$2,800,000||$0|
|3.||Limited English Proficiency (LEP)||$6,040,000||$6,040,000||$0|
|4.||High School Redesign (Gifted & Talented)||$500,000||$1,000,000||$0|
|5.||High School Redesign (IDLA)||$1,100,000||$2,800,000||$0|
|6.||School Facilities Funding (Lottery)||$10,772,900||$19,122,600||$0|
|7.||School Facilities Maintenance Match||$5,650,000||$2,300,000||$0|
|11.||Dual Credit Class Allowance||$0||$0||$0|
|13.||Ag Replacement Phase-out||$0||$3,017,000||$3,017,000|
|14.||Safe School Study||$0||$150,000||$0|
|15.||Rural School Initiative||$0||$100,000||$100,000|
|16.||Federal Funds for Local School Districts||$175,000,000||$215,000,000||$7,232,800|
|17.||Sub-total -- Other Program Distributions||$211,662,900||$282,609,600||$30,099,800|
|TOTAL CATEGORICAL EXPENDITURES||$1,174,567,800||$1,294,873,500||$217,977,900|
|III.||EDUCATION STABILIZATION FUNDS||$0||$0||$0|
|IV.||STATE DISCRETIONARY FUNDS||$343,386,000||$349,824,900||$349,824,900|
|V.||ESTIMATED SUPPORT UNITS||13,500||13,750||13,750|
|VI.||STATE DISCRETIONARY PER SUPPORT||$25,436||$25,442||$25,442|
|VII.||LOCAL DISCRETIONARY PER SUPPOR||$0||$0||$0|
|VIII.||TOTAL DISCRETIONARY PER SUPPORT||$25,436||$25,442||$25,442|
Budgetand Policy Analysis