HB 126: "An Act relating to the public school funding program; repealing the public school foundation program; relating to the definition of school district, to the transportation of students, to school district layoff plans, to the special education service agency, to the child care grant program, and to compulsory attendance in public schools; and providing for an effective date."
00HOUSE BILL NO. 126 01 "An Act relating to the public school funding program; repealing the public 02 school foundation program; relating to the definition of school district, to the 03 transportation of students, to school district layoff plans, to the special education 04 service agency, to the child care grant program, and to compulsory attendance 05 in public schools; and providing for an effective date." 06 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 07 * Section 1. PURPOSE OF SECTION 2. The purpose of sec. 2 of this Act is to provide 08 a level of funding through the public school funding program that allows for an equitable level 09 of educational opportunities and outcomes for those students attending the public schools of 10 the state; to promote local decision-making; and, through increased control of funding, to 11 provide more local responsibility and accountability for decisions affecting public schools. 12 * Sec. 2. AS 14 is amended by adding a new chapter to read: 13 Chapter 19. Public School Funding Program. 14 Article 1. State Funding to Public Schools.
01 Sec. 14.19.100. Public school account. (a) The public school account is 02 established. The account consists of appropriations for distribution to school districts, 03 the state boarding school, and for the centralized correspondence study program under 04 this chapter. 05 (b) The money in the account may be used only in aid of public schools, 06 including community school programs, and for centralized correspondence study 07 programs under this chapter. 08 Sec. 14.19.200. State funding for districts. (a) The state funding for which 09 a school district is eligible in a fiscal year is the sum of 10 (1) the amount for which a district qualifies under AS 14.19.210 11 (equalization funding); and 12 (2) the amount for which a district qualifies under AS 14.19.215 13 (incentive funding). 14 (b) If amounts in the public school account (AS 14.19.100) are insufficient to 15 meet the amounts authorized under (a) of this section for a fiscal year, the department 16 shall reduce pro rata or eliminate incentive funding among the eligible districts. If 17 funding is still insufficient, the department shall reduce the state share of equalization 18 funding for which districts are eligible by the necessary percentage as determined by 19 the department. If the state share of equalization funding is reduced under this 20 subsection, the department shall also reduce state funding for centralized 21 correspondence study and the state boarding school by the same percentage. 22 Sec. 14.19.210. Equalization funding. (a) A district is eligible for 23 equalization funding in an amount equal to the sum of its level I and level II funding, 24 as calculated under this section. 25 (b) Except as provided in (e) of this section, level I equalization funding 26 consists of a level I state share and a level I local contribution, determined as follows: 27 (1) level I state share equals level I need minus level I local 28 contribution; level I need equals the district adjusted ADM, multiplied by the base 29 student allocation set out at AS 14.19.275, plus any intensive services funding for 30 which the district qualifies under AS 14.19.220(a)(2); district adjusted ADM is 31 calculated as follows:
01 (A) the ADM of a funding community is multiplied by the 02 funding community size factor set out in AS 14.19.260; 03 (B) the product obtained under (A) of this paragraph is 04 multiplied by the funding community area cost factor described in 05 AS 14.19.270(a) and set out in regulations adopted by the department; 06 (C) if a funding community is the only funding community in 07 a district with an ADM of 900 or less, the product obtained under (B) of this 08 paragraph is multiplied by the appropriate factor set out in AS 14.19.260(b); 09 (D) the ADMs of each funding community in a district, as 10 adjusted according to (A) - (C) of this paragraph are summed; the sum is then 11 multiplied by the special needs factor set out in AS 14.19.220(a)(1); 12 (E) the product obtained under (D) of this paragraph is 13 multiplied by a district's student transportation factor described in 14 AS 14.19.270(b) and set out in regulations by the department; the resulting 15 product is the district's adjusted ADM; 16 (2) for the fiscal year beginning July 1, 1997, the level I local 17 contribution is the equivalent of a three mill tax levy on the full and true value of the 18 taxable real and personal property in the district as of January 1 of the second 19 preceding fiscal year, as determined by the Department of Community and Regional 20 Affairs under AS 14.19.310 and AS 29.45.110, not to exceed 35 percent of a district's 21 level I need as determined under AS 14.19.210(b)(1) for the preceding fiscal year; for 22 the fiscal year beginning July 1, 1998 and subsequent fiscal years, the required mill 23 equivalent shall be increased by one-fourth of a mill each year until the level I local 24 contribution is the equivalent of a four mill tax levy, but in each year a district's level 25 I local contribution may not exceed 35 percent of the district's level I need for the 26 preceding fiscal year, as determined under AS 14.19.210(b)(1). 27 (c) Except as provided in (e) of this section, level II equalization funding 28 consists of a level II state share and a level II local contribution, determined by the 29 following formula: 30 (1) level II state share = Vs/(Vs + Vi) X Vs X 5 mills X district ADM; 31 and
01 (2) level II local contribution = Vs X 5 mills X district ADM - the 02 amount determined under (1) of this subsection. 03 (d) Equalization funding may not be provided to a district in a city or borough 04 if the level I and level II local contributions required under (b) and (c) of this section 05 have not been made. 06 (e) In a regional educational attendance area, level I funding consists of level 07 I need, calculated under (b)(1) of this section, and level II funding consists of the level 08 II state share only, determined under (c)(1) of this section for that regional educational 09 attendance area. 10 (f) In this section 11 (1) "Vi" means the amount determined by dividing the full and true 12 value of the taxable real and personal property in the district as calculated under 13 AS 14.19.310 and AS 29.45.110 by the district ADM; in a regional educational 14 attendance area, "Vi" equals zero; 15 (2) "Vs" means the amount determined by dividing the sum of the full 16 and true value of the taxable real and personal property of all districts in the state as 17 calculated under AS 14.19.310 and AS 29.45.110 by the total ADM of all districts in 18 the state. 19 Sec. 14.19.215. Incentive funding. (a) In addition to level I and level II 20 equalization funding for which a district may qualify, a district may be eligible for 21 level III incentive funding as provided in this section. 22 (b) The department may adopt regulations setting out the requirements for 23 incentive funding. 24 (c) A district is eligible for incentive funding under this section if the 25 department receives an incentive funding application and plan that meets the 26 requirements set out in regulations adopted by the department, and if the commissioner 27 approves the plan, based on findings that the incentive plan 28 (1) describes how the district will implement one or more quality 29 school initiatives set out in regulations adopted by the department; 30 (2) includes a budget for implementing the incentive plan, consistent 31 with (d) of this section; and
01 (3) meets all other requirements for the incentive funding as set out in 02 regulations adopted by the department. 03 (d) An incentive plan budget must provide that at least 35 percent of the 04 money necessary to implement the plan will be from money of the district. State 05 incentive funding shall comprise the balance of the necessary money, except that 06 incentive funding may not exceed $97.50 per district ADM. 07 Sec. 14.19.220. Special needs and intensive services funding. (a) As a 08 component of level I equalization funding, a district is eligible for special needs 09 funding and may be eligible for intensive services funding as follows: 10 (1) special needs funding is available to a district to assist the district 11 in providing special education, gifted and talented education, vocational education, and 12 bilingual education to its students; a special needs funding factor of 1.20 shall be 13 applied as set out in AS 14.19.210(b)(1); 14 (2) in addition to the special needs funding for which a district is 15 eligible under (1) of this subsection, a district is eligible for intensive services funding 16 for each special education student who needs and receives intensive services and is 17 enrolled on the last day of the count period; for each such student, intensive services 18 funding is equal to $22,500 multiplied by the area cost factor of the funding 19 community in which the student is enrolled. 20 (b) In this section "intensive services" has the meaning given by the 21 department by regulation adopted under AS 14.30.180 - 14.30.350. 22 Sec. 14.19.230. State funding for centralized correspondence study. Except 23 as provided in AS 14.19.200(b), funding for the state centralized correspondence study 24 program includes an allocation from the public school account (AS 14.19.100) in an 25 amount calculated by multiplying the ADM of the correspondence program by the base 26 student allocation and multiplying that product by 65 percent. 27 Sec. 14.19.235. State funding for state boarding school. Except as provided 28 in AS 14.19.200(b), funding for the state boarding school established under 29 AS 14.16.010 includes an allocation from the public school account (AS 14.19.100) 30 in an amount calculated by multiplying the ADM of the state boarding school by the 31 special needs factor in AS 14.19.220(a)(1), and multiplying that product by the base
01 student allocation. The state boarding school is also eligible for intensive services 02 funding under AS 14.19.220(a)(2). 03 Sec. 14.19.240. Local contribution. (a) The required local contribution to 04 a district in a city or borough is the sum of levels I and II local contributions required 05 under AS 14.19.210. 06 (b) A district's level I local contribution is calculated according to 07 AS 14.19.210(b)(2). 08 (c) A district's level II local contribution is calculated according to 09 AS 14.19.210(c)(2). 10 (d) Nothing in this section prohibits a city or borough from contributing to its 11 district amounts in excess of the local contribution required under this section. 12 Sec. 14.19.250. Funding communities. The department shall adopt 13 regulations defining funding communities within each district that reflect geographic 14 and attendance area factors. The regulations may not allow for funding communities 15 smaller than 10 ADM. 16 Sec. 14.19.260. Funding community size factor. (a) For purposes of 17 calculating a district's adjusted ADM to determine level I equalization funding, the 18 ADM of each funding community in a district shall be multiplied by a funding 19 community size factor as set out in the following table: 20 ADM Funding Community Size Factor 21 10 - 20 2.75 22 21 - 40 2.20 23 41 - 80 1.90 24 81 - 160 1.55 25 161 - 400 1.40 26 401 - 1,000 1.10 27 over 1,000 1.00 28 (b) For a district that consists of one funding community with an ADM of 29 900 or less, the district ADM shall be multiplied according to AS 14.19.210(b)(1) by 30 the appropriate factor as set out in the following table: 31 ADM Factor
01 1 - 250 1.12 02 251 - 525 1.08 03 526 - 900 1.06 04 Sec. 14.19.270. Area cost and transportation factors. (a) For purposes of 05 calculating a district's adjusted ADM under AS 14.19.210(b)(1), the department shall 06 adopt in regulation an area cost factor for each funding community. In adopting the 07 regulations, the department shall consider factors that affect the cost of providing 08 public educational services in a funding community, including student transportation. 09 (b) For purposes of calculating a district's adjusted ADM under 10 AS 14.19.210(b)(1), the department shall adopt in regulation a transportation factor for 11 each district. 12 Sec. 14.19.275. Base student allocation. The base student allocation is 13 $2,950 for the fiscal year beginning July 1, 1997, $3,150 for the fiscal year beginning 14 July 1, 1998, $3,250 for the fiscal year beginning July 1, 1999, $3,325 for the fiscal 15 year beginning July 1, 2000, $3,400 for the fiscal year beginning July 1, 2001, and 16 $3,400 for subsequent fiscal years. 17 Article 2. Preparation of Public School Funding Budget. 18 Sec. 14.19.300. Student count estimate. (a) A district shall prepare and 19 submit to the department by October 15 of each fiscal year, in the manner and on 20 forms prescribed by the department, an estimate of its ADM and other student count 21 data for the succeeding fiscal year, upon which computations can be made to estimate 22 the amount of public school funding for which the district may be eligible under 23 AS 14.19.200 in the succeeding fiscal year. In making its report, the district shall 24 consider its ADM, other student count data, the pattern of growth or decline of the 25 student population in preceding years, and other pertinent information available to the 26 district. 27 (b) Part-time students and district correspondence students shall be included 28 in the student count data in accordance with regulations adopted by the department. 29 Sec. 14.19.305. Fund balance in school operating fund. (a) A district may 30 not accumulate in a fiscal year an unreserved portion of its year-end fund balance in 31 its school operating fund, as defined by department regulations, that is greater than 10
01 percent of its expenditures for that fiscal year. 02 (b) The department shall review each district's annual audit under AS 14.14.050 03 for the preceding fiscal year to ascertain its year-end operating fund balance. The 04 amount by which the unreserved portion of that balance exceeds the amount permitted 05 in (a) of this section shall be deducted from the public school funding that would 06 otherwise be paid to the district in the current fiscal year. 07 Sec. 14.19.310. Determination of full and true value by Department of 08 Community and Regional Affairs. (a) To determine the amount of required local 09 contribution under AS 14.19.240 and to aid the department and the legislature in 10 planning, the Department of Community and Regional Affairs, in consultation with the 11 assessor for each district in a city or borough, shall determine the full and true value 12 of the taxable real and personal property in each district in a city or borough. If there 13 is no local assessor or current local assessment for a city or borough school district, 14 then the Department of Community and Regional Affairs shall make the determination 15 of full and true value from information available. In making the determination, the 16 Department of Community and Regional Affairs shall be guided by AS 29.45.110. 17 The determination of full and true value shall be made by October 1 and sent by 18 certified mail, return receipt requested, on or before that date to the president of the 19 school board in each district in a city or borough. Duplicate copies shall be sent to 20 the commissioner. The governing body of a city or borough that is a school district 21 may obtain judicial review of the determination. The superior court may modify the 22 determination of the Department of Community and Regional Affairs only upon a 23 finding of abuse of discretion or upon a finding that there is no substantial evidence 24 to support the determination. 25 (b) Motor vehicles subject to the motor vehicle registration tax under 26 AS 28.10.431 shall be treated as taxable property under this section. 27 Article 3. Procedure for Payments of Public School Funding. 28 Sec. 14.19.400. Student counting periods. (a) Within two weeks after the 29 end of the 20-school-day period ending the fourth Friday in October, each district shall 30 transmit a report to the department that, under regulations adopted by the department, 31 reports its ADM for that counting period and other student count information that will
01 aid the department in making a determination of its state aid under the public school 02 funding program. If it makes the district eligible for more state aid under the program, 03 a district may transmit, within two weeks after the 20-school-day period ending the 04 second Friday in February, a similar report for that counting period. For centralized 05 correspondence study, the October report shall be based on the period from July 1 06 through the fourth Friday in October, except that summer school students shall be 07 counted as a proportionate fraction as determined by the department. The department 08 may make necessary corrections in the report submitted, and shall notify the district 09 of changes made. The commissioner shall notify the governor of additional 10 appropriations the commissioner estimates to be necessary to fully finance the public 11 school funding program for the current fiscal year. 12 (b) Upon written request and for good cause shown, the commissioner may 13 permit a district to use a 20-school-day counting period other than the periods set out 14 in (a) of this section. However, a counting period approved under this subsection must 15 be 20 consecutive school days unless one or more alternate counting periods are 16 necessary to permit a district to implement flexible scheduling that meets the district's 17 needs and goals without jeopardizing the public school funding for which the district 18 would be ordinarily be eligible under this chapter. 19 Sec. 14.19.410. Distribution of public school funding. (a) The department 20 shall determine the public school funding for each school district in a fiscal year on 21 the basis of the district's student count data reported under AS 14.19.400. On or 22 before the 15th day of each of the first nine months of each fiscal year, one-twelfth 23 of each district's public school funding shall be distributed on the basis of the data 24 reported for the preceding fiscal year. On or before the 15th day of each of the last 25 three months of each fiscal year, one-third of the balance of each district's public 26 school funding shall be distributed, after the balance has been recomputed on the basis 27 of student count and other data reported for the current fiscal year. 28 (b) If a district receives more public school funding than it is entitled to 29 receive under this chapter, the district shall immediately remit the amount of 30 overpayment to the commissioner, to be returned to the public school account 31 (AS 14.19.100).
01 (c) Upon an adequate showing of a cash flow shortfall of a district, and in the 02 discretion of the commissioner, the department may make advance payments to a 03 district. The total of advance payments may not exceed the amount of public school 04 funding for which the district is eligible for the fiscal year. 05 Article 4. General Provisions. 06 Sec. 14.19.900. Construction and implementation of chapter. (a) This 07 chapter does not create a debt of the state. Each district shall establish, maintain, and 08 operate under a balanced budget. The state is not responsible for the debts of a school 09 district. 10 (b) Money to carry out the provisions of AS 14.19.100 - 14.19.990 may be 11 appropriated annually by the legislature into the public school account (AS 14.19.100). 12 If amounts in the account are insufficient to meet the allocations authorized under 13 AS 14.19.200 - 14.19.275 for a fiscal year, public school funding shall be reduced 14 according to AS 14.19.200(b). 15 Sec. 14.19.910. Restrictions governing receipt and expenditure of district 16 money. (a) Each district shall maintain complete financial records of the receipt and 17 disbursement of public school funding, money acquired from local effort, and other 18 money received or held by the district. The records must be in the form required by 19 the department and are subject to audit by the department at a time and place 20 designated by the department. 21 (b) All district money, including public school funding, shall be received, held, 22 and expended by the district in accordance with 23 (1) applicable local law and state and federal constitutional provisions, 24 statutes, and regulations, including those related to ethical standards and accounting 25 principles; and 26 (2) other legal requirements. 27 (c) Public school funding provided under this chapter is for general operational 28 purposes of the district. The district shall allocate this money so that the district's 29 educational program is consistent with the requirements of federal, state, and local law. 30 Sec. 14.19.920. Regulations. The department shall adopt regulations to 31 interpret and implement this chapter.
01 Sec. 14.19.990. Definitions. In this chapter, unless the context requires 02 otherwise, 03 (1) "ADM or average daily membership" means the aggregate number 04 of full-time equivalent students enrolled in a funding community during the student 05 count period for which a determination is being made divided by the actual number 06 of days that school is in session for the student count period for which the 07 determination is being made; 08 (2) "commissioner" means the commissioner of education; 09 (3) "department" means the Department of Education; 10 (4) "district" means a city or borough school district or a regional 11 educational attendance area; 12 (5) "district adjusted ADM" means the number resulting from the 13 calculations under AS 14.19.210(b)(1); 14 (6) "district ADM" means the sum of the ADMs in a district; 15 (7) "local contribution" means appropriations and the value of in-kind 16 services made by a city or borough to its district; 17 (8) "public school funding" means money provided under the public 18 school funding program established in AS 14.19.100 - 14.19.990; 19 (9) "taxable real and personal property" means all real and personal 20 property taxable under the laws of the state. 21 * Sec. 3. AS 14.03.120(g) is amended to read: 22 (g) In this section, "district" has the meaning given in AS 14.19.990 23 [AS 14.17.250]. 24 * Sec. 4. AS 14.03.125(e) is amended to read: 25 (e) In this section, "district" has the meaning given in AS 14.19.990 26 [AS 14.17.250]. 27 * Sec. 5. AS 14.03.150(c) is amended to read: 28 (c) The department may not award a school construction or major maintenance 29 grant under AS 14.11 to a municipality that is a school district or a regional 30 educational attendance area that is not in compliance with (a) of this section. The 31 department shall reduce the amount of public school funding [STATE FOUNDATION
01 AID] under AS 14.19.200 [AS 14.17.021] for which a school district may qualify, by 02 the amount, if any, paid by the department under (b) of this section. 03 * Sec. 6. AS 14.09.010 is repealed and reenacted to read: 04 Sec. 14.09.010. Transportation of students. (a) A district may provide for 05 the transportation of students. 06 (b) A district that provides for the transportation of students is eligible for 07 adjustments in public school funding as set out in AS 14.19.270(b). 08 (c) A district that provides for the transportation of students may determine 09 and establish a system for the transportation of students to address needs and priorities 10 of the district. However, the district shall comply with applicable statutes, regulations, 11 and local laws related to minimum standards for school buses, school bus driver 12 training courses, certification of course instructors, certification of bus drivers, and 13 other safety concerns related to the transportation of students. 14 * Sec. 7. AS 14.11.008(b) is amended to read: 15 (b) The required participating share for a municipal school district is based on 16 the district's full value per ADM, which is calculated by dividing the full and true 17 value of the taxable real and personal property in the district, calculated as described 18 in AS 14.19.310 [AS 14.17.025(a)(1)], by the district average daily membership 19 (ADM) as defined in AS 14.19.990 [AS 14.17.250], for the same fiscal year for which 20 the valuation was made. The municipal district's full value per ADM determines the 21 district's required participating share, as follows: 22 Full Value Per ADM District Participating Share 23 $ 1 - $100,000 5 percent 24 100,001 - 200,000 10 percent 25 200,001 - 600,000 30 percent 26 over 600,000 35 percent. 27 * Sec. 8. AS 14.14.115(c)(2) is amended to read: 28 (2) "district" has the meaning given in AS 14.19.990 [AS 14.17.250]. 29 * Sec. 9. AS 14.16.050(a)(2) is amended to read: 30 (2) requirements relating to the public school funding program 31 [STATE FINANCIAL ASSISTANCE FOR EDUCATION] and the receipt and
01 expenditure of that funding [ASSISTANCE]: 02 (A) AS 14.19.300 [AS 14.17.080] (relating to student count 03 estimates); 04 (B) AS 14.19.305 [AS 14.17.082] (relating to school operating 05 fund balances); 06 (C) AS 14.19.300 - 14.19.910 [AS 14.17.160 - 14.17.220] 07 (setting out the procedure for payment of public school funding [FINANCIAL 08 ASSISTANCE], and imposing general requirements and limits on money paid); 09 * Sec. 10. AS 14.16.080(a) is amended to read: 10 (a) AS 14.19.235 [AS 14.17.024] applies to the calculation of public school 11 funding [STATE AID] payable for operation of the state boarding school. 12 * Sec. 11. AS 14.20.177(a) is amended to read: 13 (a) A school district may implement a layoff plan under this section if it is 14 necessary for the district to reduce the number of tenured teachers because 15 (1) school attendance in the district has decreased; [OR] 16 (2) the level I [BASIC] need of the school district determined under 17 AS 14.19.210(b)(1) [AS 14.17.021(b) AND ADJUSTED UNDER AS 14.17.225(b)] 18 decreases by three percent or more from the previous year; or 19 (3) the state share of equalization funding is reduced under 20 AS 14.19.200(b) by three percent or more in a fiscal year. 21 * Sec. 12. AS 14.30.347 is amended to read: 22 Sec. 14.30.347. Transportation of exceptional children. When transportation 23 is required to be provided as related services, an exceptional child [CHILDREN] shall 24 be carried with other children, if the district provides transportation to other 25 children in the district, except when the nature of the [THEIR] physical or mental 26 disability [DISABILITIES] is such that it is in the best interest of the exceptional 27 child [CHILDREN], as determined by the school district, that the child [THEY] be 28 transported separately. A district is responsible for the costs associated with 29 providing transportation as a related service to an exceptional child. [STATE 30 REIMBURSEMENT FOR TRANSPORTATION OF EXCEPTIONAL CHILDREN 31 SHALL BE AS PROVIDED FOR TRANSPORTATION OF ALL OTHER PUPILS
01 EXCEPT THAT ELIGIBILITY FOR REIMBURSEMENT IS NOT SUBJECT TO 02 RESTRICTION BASED ON THE MINIMUM DISTANCE BETWEEN THE 03 SCHOOL AND THE RESIDENCE OF THE EXCEPTIONAL CHILD.] 04 * Sec. 13. AS 14.30.650 is repealed and reenacted to read: 05 Sec. 14.30.650. Funding. (a) Subject to legislative appropriation, each fiscal 06 year the department may allocate to the agency an amount equal to 18 percent of the 07 unadjusted statewide ADM multiplied by $85. 08 (b) In this section, "statewide ADM" means the sum of all district ADMs in 09 the state as calculated under AS 14.19. 10 * Sec. 14. AS 29.45.020(a) is amended to read: 11 (a) If a municipality levies and collects property taxes, the governing body 12 shall provide the following notice: 13 "NOTICE TO TAXPAYERFor the current fiscal year the (city)(borough) has been allocated 14 amount of state aid for school and municipal purposes under the applicable 15 financial assistance Acts: 16 PUBLIC SCHOOL FUNDING PROGRAM (AS 14.19) [PUBLIC 17 SCHOOL FOUNDATION PROGRAM ASSISTANCE (AS 14.17)] $ 18 STATE AID FOR RETIREMENT OF SCHOOL CONSTRUCTION 19 DEBT (AS 14.11.100) $ 20 MUNICIPAL TAX RESOURCE EQUALIZATION ASSISTANCE 21 (AS 29.60.010 - 29.60.080) $ 22 STATE AID FOR MISCELLANEOUS MUNICIPAL SERVICES 23 (AS 29.60.100 - 29.60.180) $ 24 TOTAL AID $ 25 The millage equivalent of this state aid, based on the dollar value of a mill in 26 the municipality during the current assessment year and for the preceding 27 assessment year, is: 28 MILLAGE EQUIVALENT 29 PREVIOUS YEAR THIS YEAR 30 PUBLIC SCHOOL FUNDING PROGRAM ....MILLS ....MILLS 31 [PUBLIC SCHOOL FOUNDATION PROGRAM
01 ASSISTANCE] 02 STATE AID FOR RETIREMENT OF 03 SCHOOL CONSTRUCTION DEBT ....MILLS ....MILLS 04 MUNICIPAL TAX RESOURCE 05 EQUALIZATION ASSISTANCE ....MILLS ....MILLS 06 STATE AID FOR MISCELLANEOUS 07 MUNICIPAL SERVICES ....MILLS ....MILLS 08 TOTAL MILLAGE EQUIVALENT ....MILLS ....MILLS" 09 Notice shall be provided 10 (1) by furnishing a copy of the notice with tax statements mailed for 11 the fiscal year for which aid is received; or 12 (2) by publishing in a newspaper of general circulation in the 13 municipality a copy of the notice once each week for a period of three successive 14 weeks, with publication to occur not later than 45 days after the final adoption of the 15 municipality's budget. 16 * Sec. 15. AS 44.47.305(c) is amended to read: 17 (c) A grant under (a) of this section may not exceed $50 per month for each 18 child the child care facility cares for, or for each full-time equivalent, as determined 19 by the department. The grant shall be adjusted on a geographic basis by the same 20 percentages as funding communities [INSTRUCTIONAL UNIT ALLOTMENTS] are 21 adjusted under AS 14.19.270 [AS 14.17.051]. 22 * Sec. 16. AS 14.09.020; AS 14.17.010, 14.17.021, 14.17.022, 14.17.024, 14.17.025, 23 14.17.026, 14.17.031, 14.17.041, 14.17.043, 14.17.045, 14.17.047, 14.17.051, 14.17.056, 24 14.17.080, 14.17.082, 14.17.140, 14.17.160, 14.17.170, 14.17.190, 14.17.200, 14.17.210, 25 14.17.220, 14.17.225, 14.17.250; and AS 14.30.010(b)(7) are repealed. 26 * Sec. 17. TRANSITION: INCENTIVE FUNDING. (a) Notwithstanding 27 AS 14.19.215(c), enacted by sec. 2 of this Act, for the fiscal years beginning July 1, 1997 and 28 July 1, 1998 and for the purposes of calculating public school funding under AS 14.19, 29 enacted by sec. 2 of this Act, a district is eligible for incentive funding if the department 30 receives an incentive funding plan and application from the district by January 15 of the 31 applicable fiscal year and the commissioner approves the plan based on findings that the
01 incentive plan will enable the district to 02 (1) establish student standards that meet or exceed the student standards set 03 out in regulations adopted by the Department of Education under AS 14.03 and AS 14.07; 04 (2) implement district-wide plans for school improvement that meet or exceed 05 the elements of the school improvement process adopted by the Northwest Association of 06 Schools and Colleges and published by the National Study of School Evaluation as the 1995 07 editions of the Elementary School Improvement: Focusing on Student Performance; Middle 08 Level School Improvement: Focusing on Student Performance; Senior High School 09 Improvement: Focusing on Student Performance; and K - 12 School Improvement: Focusing 10 on Student Performance; or 11 (3) establish a performance-based assessment system for teachers based on 12 district standards and implement a professional development plan, aligned with the assessment 13 system, that includes instructional methods designed to improve student performance. 14 * Sec. 18. TRANSITION: AREA COST FACTORS. (a) Notwithstanding AS 14.19.270, 15 enacted by sec. 2 of this Act, for the fiscal years beginning July 1, 1997, and July 1, 1998 and 16 for the purposes of calculating public school funding under AS 14.19, enacted by sec. 2 of this 17 Act, the area cost factor of a funding community of a school district is as follows: 18 DISTRICT FUNDING COMMUNITY AREA COST FACTOR 19 Alaska Gateway Alcan Border 1.14 20 Alaska Gateway Dot Lake 1.14 21 Alaska Gateway Eagle 1.14 22 Alaska Gateway Mentasta 1.14 23 Alaska Gateway Northway 1.14 24 Alaska Gateway Tanacross 1.14 25 Alaska Gateway Tetlin 1.14 26 Alaska Gateway Tok 1.14 27 Aleutians East Akutan 1.32 28 Aleutians East Cold Bay 1.32 29 Aleutians East False Pass 1.32 30 Aleutians East King Cove 1.32 31 Aleutians East Nelson Lagoon 1.32
01 Aleutians East Sand Point 1.32 02 Aleutians Region Atka 1.32 03 Alyeska Central School Alyeska Central School 1.00 04 Anchorage Anchorage 1.00 05 Anchorage Eagle River 1.00 06 Anchorage Girdwood 1.00 07 Annette Island Annette 1.05 08 Bering Strait Brevig Mission 1.40 09 Bering Strait Diomede 1.55 10 Bering Strait Elim 1.40 11 Bering Strait Gambell 1.55 12 Bering Strait Golovin 1.40 13 Bering Strait Koyuk 1.40 14 Bering Strait Savoonga 1.55 15 Bering Strait Shaktoolik 1.40 16 Bering Strait Shishmaref 1.40 17 Bering Strait St. Michael 1.40 18 Bering Strait Stebbins 1.40 19 Bering Strait Teller 1.40 20 Bering Strait Unalakleet 1.40 21 Bering Strait Wales 1.40 22 Bering Strait White Mountain 1.40 23 Bristol Bay Bristol Bay 1.40 24 Bristol Bay South Naknek 1.40 25 Chatham Angoon 1.05 26 Chatham Cube Cove 1.05 27 Chatham Elfin Cove 1.05 28 Chatham Gustavus 1.05 29 Chatham Hobart Bay 1.05 30 Chatham Klukwan 1.05 31 Chatham Tenakee Springs 1.05
01 Chugach Chenega Bay 1.14 02 Chugach Icy Bay 1.14 03 Chugach Tatitlek 1.14 04 Chugach Whittier 1.05 05 Chugach Yakataga 1.14 06 Copper River Chistochina 1.05 07 Copper River Copper Center 1.05 08 Copper River Gakona 1.05 09 Copper River Glennallen 1.05 10 Copper River Kenny Lake 1.05 11 Copper River Lottie Sparks 1.05 12 Copper River Slana 1.05 13 Cordova Cordova 1.14 14 Craig Craig 1.05 15 Delta/Greely Delta Junction 1.14 16 Delta/Greely Healy Lake 1.14 17 Denali Anderson 1.14 18 Denali Cantwell 1.14 19 Denali Healy 1.14 20 Dillingham Dillingham 1.32 21 Fairbanks Eielson 1.00 22 Fairbanks Fairbanks 1.00 23 Fairbanks North Pole 1.00 24 Fairbanks Salcha 1.05 25 Fairbanks Two Rivers 1.05 26 Galena Galena 1.32 27 Haines Haines 1.05 28 Haines Mosquito Lake 1.05 29 Hoonah Hoonah 1.05 30 Hydaburg Hydaburg 1.05 31 Iditarod Anvik 1.32
01 Iditarod Grayling 1.32 02 Iditarod Holy Cross 1.32 03 Iditarod Lake Minchumina 1.32 04 Iditarod Lime Village 1.32 05 Iditarod McGrath 1.32 06 Iditarod Nikolai 1.32 07 Iditarod Shageluk 1.32 08 Iditarod Takotna 1.32 09 Iditarod Telida 1.32 10 Juneau Juneau 1.00 11 Kake Kake 1.05 12 Kashunamiut Chevak 1.32 13 Kenai Peninsula Anchor Point 1.00 14 Kenai Peninsula Cooper Landing 1.00 15 Kenai Peninsula Homer 1.00 16 Kenai Peninsula Hope 1.00 17 Kenai Peninsula Kachemak Selo 1.05 18 Kenai Peninsula Kasilof 1.00 19 Kenai Peninsula Kenai 1.00 20 Kenai Peninsula McNeil Canyon 1.00 21 Kenai Peninsula Moose Pass 1.00 22 Kenai Peninsula Nanwalek 1.05 23 Kenai Peninsula Nikiski 1.00 24 Kenai Peninsula Nikolaevsk 1.05 25 Kenai Peninsula Ninilchik 1.00 26 Kenai Peninsula Port Graham 1.05 27 Kenai Peninsula Razdolna 1.05 28 Kenai Peninsula Seldovia 1.05 29 Kenai Peninsula Seward 1.00 30 Kenai Peninsula Soldotna 1.00 31 Kenai Peninsula Sterling 1.00
01 Kenai Peninsula Tyonek 1.05 02 Kenai Peninsula Voznesenka 1.05 03 Ketchikan Ketchikan 1.00 04 Klawock Klawock 1.05 05 Kodiak Island Akhiok 1.14 06 Kodiak Island Big Sandy Lake 1.14 07 Kodiak Island Chiniak 1.05 08 Kodiak Island Danger Bay 1.14 09 Kodiak Island Karluk 1.14 10 Kodiak Island Kodiak 1.05 11 Kodiak Island Larsen Bay 1.14 12 Kodiak Island Old Harbor 1.14 13 Kodiak Island Ouzinkie 1.14 14 Kodiak Island Port Lions 1.14 15 Kuspuk Aniak 1.32 16 Kuspuk Chuathbaluk 1.32 17 Kuspuk Crooked Creek 1.32 18 Kuspuk Lower Kalskag 1.32 19 Kuspuk Red Devil 1.32 20 Kuspuk Sleetmute 1.32 21 Kuspuk Stony River 1.32 22 Kuspuk Upper Kalskag 1.32 23 Lake and Peninsula Chignik Bay 1.32 24 Lake and Peninsula Chignik Lagoon 1.32 25 Lake and Peninsula Chignik Lake 1.32 26 Lake and Peninsula Egegik 1.32 27 Lake and Peninsula Igiugig 1.32 28 Lake and Peninsula Ivanof Bay 1.32 29 Lake and Peninsula Kokhanok 1.32 30 Lake and Peninsula Levelok 1.32 31 Lake and Peninsula Newhalen 1.32
01 Lake and Peninsula Nondalton 1.32 02 Lake and Peninsula Pedro Bay 1.32 03 Lake and Peninsula Perryville 1.32 04 Lake and Peninsula Pilot Point 1.32 05 Lake and Peninsula Port Alsworth 1.32 06 Lake and Peninsula Port Heiden 1.32 07 Lower Kuskokwim Akiuk 1.32 08 Lower Kuskokwim Akula 1.32 09 Lower Kuskokwim Atmautlauk 1.32 10 Lower Kuskokwim Bethel 1.32 11 Lower Kuskokwim Chefornak 1.32 12 Lower Kuskokwim Eek 1.32 13 Lower Kuskokwim Goodnews Bay 1.32 14 Lower Kuskokwim Kipnuk 1.32 15 Lower Kuskokwim Kongiganak 1.32 16 Lower Kuskokwim Kwethluk 1.32 17 Lower Kuskokwim Kwigillingok 1.32 18 Lower Kuskokwim Mekoryuk 1.40 19 Lower Kuskokwim Napakiak 1.32 20 Lower Kuskokwim Napaskiak 1.32 21 Lower Kuskokwim Newtok 1.32 22 Lower Kuskokwim Nightmute 1.32 23 Lower Kuskokwim Nunapitchuk 1.32 24 Lower Kuskokwim Oscarville 1.32 25 Lower Kuskokwim Platinum 1.32 26 Lower Kuskokwim Quinhagak 1.32 27 Lower Kuskokwim Toksook Bay 1.32 28 Lower Kuskokwim Tuntutuliak 1.32 29 Lower Kuskokwim Tununak 1.32 30 Lower Yukon Alakanak 1.32 31 Lower Yukon Emmonak 1.32
01 Lower Yukon Hooper Bay 1.32 02 Lower Yukon Kotlik 1.32 03 Lower Yukon Marshall 1.32 04 Lower Yukon Mountain Village 1.32 05 Lower Yukon Pilot Station 1.32 06 Lower Yukon Pitkas Point 1.32 07 Lower Yukon Russian Mission 1.32 08 Lower Yukon Scammon Bay 1.32 09 Lower Yukon Sheldon Point 1.32 10 Mat-Su Beryozava 1.05 11 Mat-Su Big Lake 1.00 12 Mat-Su Butte 1.00 13 Mat-Su Colony 1.00 14 Mat-Su Glacier View 1.00 15 Mat-Su Houston 1.00 16 Mat-Su Mat-Su Valley 1.00 17 Mat-Su Palmer 1.00 18 Mat-Su Pt. McKenzie 1.00 19 Mat-Su Skwentna 1.05 20 Mat-Su Sutton 1.00 21 Mat-Su Talkeetna 1.00 22 Mat-Su Trapper Creek 1.00 23 Mat-Su Wasilla 1.00 24 Mat-Su Willow 1.00 25 Mt. Edgecumbe Mt. Edgecumbe 1.00 26 Nenana Nenana 1.14 27 Nome Nome 1.32 28 North Slope Anaktuvuk Pass 1.55 29 North Slope Atqasuk 1.55 30 North Slope Barrow 1.55 31 North Slope Kaktovik 1.55
01 North Slope Nuiqsut 1.55 02 North Slope Point Hope 1.55 03 North Slope Point Lay 1.55 04 North Slope Wainwright 1.55 05 Northwest Arctic Ambler 1.45 06 Northwest Arctic Buckland 1.45 07 Northwest Arctic Deering 1.45 08 Northwest Arctic Kiana 1.45 09 Northwest Arctic Kivalina 1.45 10 Northwest Arctic Kobuk 1.45 11 Northwest Arctic Kotzebue 1.45 12 Northwest Arctic Noatak 1.45 13 Northwest Arctic Noorvik 1.45 14 Northwest Arctic Selawik 1.45 15 Northwest Arctic Shungnak 1.45 16 Pelican Pelican 1.05 17 Petersburg Petersburg 1.00 18 Pribilof St. George 1.40 19 Pribilof St. Paul 1.40 20 Sitka Sitka 1.00 21 Skagway Skagway 1.05 22 Southeast Island Craik 1.05 23 Southeast Island Edna Bay 1.05 24 Southeast Island Hollis 1.05 25 Southeast Island Howard Valentine 1.05 26 Southeast Island Jr. Gildersleeve 1.05 27 Southeast Island Kasaan 1.05 28 Southeast Island Naukati 1.05 29 Southeast Island Polk Inlet 1.05 30 Southeast Island Port Alexander 1.05 31 Southeast Island Port Protection 1.05
01 Southeast Island Thorne Bay 1.05 02 Southeast Island Whale Pass 1.05 03 Southwest Region Aleknagik North 1.32 04 Southwest Region Clarks Point 1.32 05 Southwest Region Ekwok 1.32 06 Southwest Region Koliganek 1.32 07 Southwest Region Manokotak 1.32 08 Southwest Region New Stuyahok 1.32 09 Southwest Region Portage 1.32 10 Southwest Region Togiak 1.32 11 Southwest Region Twin Hills 1.32 12 St. Mary's St. Mary's 1.32 13 Tanana Tanana 1.40 14 Unalaska Unalaska 1.32 15 Valdez Valdez 1.05 16 Wrangell Wrangell 1.00 17 Yakutat Yakutat 1.14 18 Yukon Flats Arctic Village 1.45 19 Yukon Flats Beaver 1.45 20 Yukon Flats Birch Creek 1.45 21 Yukon Flats Central 1.32 22 Yukon Flats Chalkyitsik 1.45 23 Yukon Flats Circle 1.32 24 Yukon Flats Fort Yukon 1.45 25 Yukon Flats Northern Lights 1.32 26 Yukon Flats Rampart 1.45 27 Yukon Flats Stevens Village 1.45 28 Yukon Flats Venetie 1.45 29 Yukon/Koyukuk Allakaket 1.40 30 Yukon/Koyukuk Bettles 1.40 31 Yukon/Koyukuk Hughes 1.40
01 Yukon/Koyukuk Huslia 1.40 02 Yukon/Koyukuk Kaltag 1.40 03 Yukon/Koyukuk Koyukuk 1.40 04 Yukon/Koyukuk Manley Hot Springs 1.40 05 Yukon/Koyukuk Minto 1.32 06 Yukon/Koyukuk Nulato 1.40 07 Yukon/Koyukuk Ruby 1.40 08 Yupiit Akiachak 1.32 09 Yupiit Akiak 1.32 10 Yupiit Tuluksak 1.32 11 (b) The Department of Education shall research and report to the governor and the 12 legislature regarding the area costs in the funding communities in the school districts in the 13 state for the public school funding program under AS 14.19 as enacted by sec. 2 of this Act. 14 The department shall submit the report no later than January 1, 1999. 15 (c) For the period during which the area cost factors set out in (a) of this section serve 16 as the public school funding area cost factors under AS 14.19, enacted by sec. 2 of this Act, 17 those area cost factors apply for purposes of geographic adjustments to child care grants under 18 AS 44.47.305(c), as amended by sec. 15 of this Act. 19 * Sec. 19. TRANSITION: STUDENT TRANSPORTATION. (a) Notwithstanding 20 AS 14.09.010(b) and 14.19.270(b), enacted by sec. 2 of this Act, for the fiscal years beginning 21 July 1, 1997 and July 1, 1998 and for the purposes of calculating public school funding under 22 AS 14.19, enacted by sec. 2 of this Act, a school district that provides student transportation 23 shall have its adjusted ADM multiplied by a transportation factor as follows: 24 District Transportation Factor 25 Alaska Gateway 1.07 26 Aleutian Region 1.00 27 Aleutians East 1.01 28 Anchorage 1.04 29 Annette Islands 1.00 30 Bering Strait 1.00 31 Bristol Bay 1.07
01 Chatham 1.00 02 Chugach 1.00 03 Copper River 1.09 04 Cordova 1.01 05 Craig 1.00 06 Delta/Greely 1.10 07 Denali 1.07 08 Dillingham 1.04 09 Fairbanks 1.05 10 Galena 1.02 11 Haines 1.04 12 Hoonah 1.01 13 Hydaburg 1.00 14 Iditarod 1.01 15 Juneau 1.04 16 Kake 1.01 17 Kashunamiut 1.00 18 Kenai Peninsula 1.05 19 Ketchikan 1.04 20 Klawock 1.00 21 Kodiak Island 1.03 22 Kuspuk 1.02 23 Lake and Peninsula 1.02 24 Lower Kuskokwim 1.01 25 Lower Yukon 1.00 26 Mat-Su 1.08 27 Nenana 1.05 28 Nome 1.03 29 North Slope 1.02 30 Northwest Arctic 1.00 31 Pelican 1.00
01 Petersburg 1.02 02 Pribilof 1.00 03 Sitka 1.04 04 Skagway 1.00 05 Southeast Island 1.03 06 Southwest Region 1.02 07 St. Mary's 1.00 08 Tanana 1.01 09 Unalaska 1.03 10 Valdez 1.04 11 Wrangell 1.03 12 Yakutat 1.03 13 Yukon Flats 1.01 14 Yukon/Koyukuk 1.01 15 Yupiit 1.00 16 * Sec. 20. TRANSITION: HOLD HARMLESS. (a) Notwithstanding the provisions of 17 secs. 1 - 19 of this Act and except as provided in (c) of this section, if, for a fiscal year 18 beginning July 1, 1997, through July 1, 2000, a school district would receive less public 19 school funding under AS 14.19.210, enacted by sec. 2 of this Act, than the district would have 20 received as state aid for the fiscal year beginning July 1, 1997, and if the district meets the 21 requirements of (b) of this section, the district is eligible to instead receive a percentage of 22 the state aid the district would have received for the fiscal year beginning July 1, 1997, 23 according to the following table: 24 for the fiscal year beginning percentage of state aid for the fiscal year beginning July 1, 1997 25 July 1, 1997 100 26 July 1, 1998 98 27 July 1, 1999 95 28 July 1, 2000 90 29 (b) A school district in a city or borough is not entitled to the hold harmless 30 percentage set out in (a) of this section for a fiscal year unless the city or borough makes a 31 local contribution to the district for that fiscal year as required under this subsection. For the
01 hold harmless for the fiscal year beginning July 1, 1997, the required local contribution is the 02 equivalent of a four mill tax levy; for the fiscal year beginning July 1, 1998, the required local 03 contribution is the equivalent of a five mill tax levy; for the fiscal year beginning 04 July 1, 1999, the required local contribution is the equivalent of a six mill tax levy; and for 05 the fiscal year beginning July 1, 2000, the required local contribution is the equivalent of a 06 seven mill tax levy. 07 (c) For the purposes of the reduction required under AS 14.19.200(b), enacted by sec. 08 2 of this Act, hold harmless funding authorized under (a) and (b) of this section is treated the 09 same as the state share of equalization funding under AS 14.19.210. 10 (d) For purposes of this section, "state aid" means state foundation aid distributed 11 under the former AS 14.17, additional district support appropriated by the legislature, and 12 student transportation support reimbursed by the Department of Education. 13 * Sec. 21. TRANSITION: REGULATIONS. To the extent the regulations are not 14 inconsistent with the language and purposes of this Act, regulations relating to state aid for 15 public schools adopted by the Department of Education before the effective date of this Act 16 remain in effect as valid regulations implementing this Act. The Department of Education 17 may administer and enforce those previously adopted regulations relating to state foundation 18 aid for public schools. 19 * Sec. 22. This Act takes effect July 1, 1997.