00 SENATE BILL NO. 62 01 "An Act relating to the public school foundation program; and providing for an 02 effective date." 03 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 04 * Section 1. AS 14.17.021(b) is amended to read: 05  (b) The basic need of a school district is determined by multiplying the Alaska 06 school price index for [AREA COST DIFFERENTIAL OF] the district under 07 AS 14.17.049 [AS 14.17.051] by the number of instructional units in the district under 08 AS 14.17.031 and then multiplying that product by the instructional unit value in 09 AS 14.17.056. 10 * Sec. 2. AS 14.17.022 is amended to read: 11  Sec. 14.17.022. MONEY FOR CENTRALIZED CORRESPONDENCE 12 STUDY. Money for providing centralized correspondence study programs for students 13 not enrolled in an approved school district correspondence study program includes an 14 allocation from the public school foundation account in an amount calculated by 01 multiplying the instructional unit value in AS 14.17.056 by the total number of 02 instructional units, as determined by applying the number of correspondence students 03 to the formula [FOR ELEMENTARY SCHOOLS] in AS 14.17.041(b) 04 [AS 14.17.041(b)(1)], then multiplying that product by 65 percent. 05 * Sec. 3. AS 14.17.024(a) is amended to read: 06  (a) Money for the instructional services provided in a fiscal year by the state 07 boarding school established under AS 14.16.010 includes an allocation from the public 08 school foundation account in an amount calculated by 09  (1) multiplying the instructional unit value in AS 14.17.056 by the total 10 number of instructional units under AS 14.17.031 for that fiscal year, as determined 11 by treating the school as if it were a school district consisting of a single funding 12 community; 13  (2) multiplying the product determined under (1) of this subsection by 14 the Alaska school price index [AREA COST DIFFERENTIAL] that is applicable to 15 calculation of the entitlement for the adjacent school district under AS 14.17.049 16 [AS 14.17.051]; and 17  (3) adding 10 percent of the eligible federal impact aid received for that 18 fiscal year on behalf of the school plus any federal impact aid received on behalf of 19 the school which the state, under P.L. 81-874 (20 U.S.C. 236 - 244), as amended, and 20 regulations adopted under it, could not consider as local resources if the school were 21 considered a school district. 22 * Sec 4. AS 14.17.031(a) is amended to read: 23  (a) The department shall adopt regulations defining funding communities 24 within a [EACH] district that reflect geographic and attendance area factors. For the 25 purpose of determining allowable instructional units, a student is [STUDENTS ARE] 26 counted in the district and the funding community from which that student receives 27 [THEY RECEIVE] educational services. The total number of instructional units in a 28 school district is the sum of the following units for each funding community within 29 the district, as determined by the department: 30  (1) the number of units for elementary and secondary students 31 determined under AS 14.17.041(a) or (b); 01  (2) the number of units for vocational education determined under 02 AS 14.17.043; 03  (3) the number of units for special education determined under 04 AS 14.17.045; [AND] 05  (4) the number of units for bilingual education determined under 06 AS 14.17.047; and 07  (5) the number of units for gifted and talented education 08 determined under AS 14.17.048. 09 * Sec. 5. AS 14.17.043 is repealed and reenacted to read: 10  Sec. 14.17.043. VOCATIONAL EDUCATION INSTRUCTIONAL UNITS. 11 Vocational education instructional units for a funding community are calculated by 12 multiplying the secondary student enrollment in that funding community on the last 13 day of the student counting period under AS 14.17.160 by a supplemental revenue 14 weighting factor specified in regulations adopted by the department. The department 15 shall assign each school district a minimum of 1.00 instructional unit for that district's 16 vocational education program. 17 * Sec. 6. AS 14.17.045 is amended to read: 18  Sec. 14.17.045. SPECIAL EDUCATION INSTRUCTIONAL UNITS. (a) An 19 exceptional child, other than a gifted child, as both are defined in AS 14.30.350, 20 who is enrolled in a special education program, approved by the department, on the 21 last day of the counting period for which a determination is being made, generates 22 [0.025 INSTRUCTIONAL UNITS IF THE CHILD RECEIVES GIFTED SERVICES,] 23 0.056 instructional units if the child receives resource services, 0.1 instructional units 24 if the child receives self-contained services, or 0.333 instructional units if the child 25 receives intensive or hospital/homebound services, as those categories of service are 26 defined by the department by regulation, in the funding community in which the child 27 is served. A child may be counted in one special education category only. 28  (b) Notwithstanding (a) of this section, in a district that offers a special 29 education program for exceptional children other than gifted children, as both are 30 defined in AS 14.30.350, each funding community receives a minimum of 0.25 31 instructional units for special education for each funding community in which such a 01 child is served or the district receives a minimum of 1.00 instructional units for special 02 education, whichever is greater. 03 * Sec. 7. AS 14.17 is amended by adding new sections to read: 04  Sec. 14.17.048. GIFTED AND TALENTED INSTRUCTIONAL UNITS. 05 Gifted and talented instructional units for a funding community in a district are 06 calculated by 07  (1) multiplying by .045 the elementary and secondary student 08 enrollment in the funding community on the last day of the student counting period 09 under AS 14.17.160; and 10  (2) multiplying the product obtained under (1) of this section by a 11 supplemental revenue weighting factor specified in regulations adopted by the 12 department. 13  Sec. 14.17.049. ALASKA SCHOOL PRICE INDEX. (a) The department 14 shall determine the Alaska school price index for a district or districts based on an 15 average of expenditures for educational goods and services as reported by the school 16 districts receiving aid under this chapter for fiscal years 1989 and 1992. The 17 department, by regulation, shall assign weights for the following categories of 18 expenditures: 19  (1) salaries and benefits of certificated employees; 20  (2) salaries and benefits of noncertificated employees; 21  (3) other expenses for non-personnel educational goods and services. 22  (b) The department shall adjust the Alaska school price index for a district or 23 districts in fiscal year 1997 and every third fiscal year after that, based on a national 24 elementary and secondary school price index as designated in regulations adopted by 25 the department. The department shall notify school districts annually of the Alaska 26 school price index for each district. 27  (c) The department may require school districts to submit uniform expenditure 28 reports as designated in regulations adopted by the department. 29  (d) The department shall assign an Alaska school price index to a new district 30 based on the Alaska school price index for districts that the department determines 31 have similar characteristics, including remoteness, population density, and geographic 01 location. 02 * Sec. 8. AS 14.17.080 is amended to read: 03  Sec 14.17.080. STUDENT COUNT ESTIMATES. Each district shall prepare 04 and submit to the department, by November 20 [OCTOBER 15] of each fiscal year, 05 in the manner and on forms prescribed by the department, an estimate of its average 06 daily membership and other student count data for the succeeding fiscal year, upon 07 which computations can be made of the amount of estimated state foundation aid for 08 which the district will be eligible under AS 14.17.021 in that fiscal year. In making 09 this estimate for the succeeding fiscal year, the district shall consider its average daily 10 membership in the current fiscal year, other student count data, the pattern of growth 11 or decline in preceding years, and other pertinent information available to the district. 12 The preliminary reports required by this section are the basis for estimating the need 13 for state foundation aid for the next fiscal year. 14 * Sec. 9. AS 14.17.160(b) is amended to read: 15  (b) Upon written request and for good cause shown, the commissioner may 16 permit a district to use a 20-school-day counting period from the same school year 17 other than the periods set out in (a) of this section. However, the counting period must 18 be 20 consecutive school days. 19 * Sec. 10. AS 14.17.160 is amended by adding new subsections to read: 20  (c) Upon written request, and for good cause shown, the commissioner may 21 permit a district to use, for purposes of reporting its average daily membership, the 22 October or February counting period report described in (a) of this section, or the 23 report for another period authorized under (b) of this section, from the immediately 24 preceding school year. The report must accompany a request under this subsection, 25 and is in addition to the October report for the current school year required by (a) of 26 this section. 27  (d) For purposes of this section, "good cause" includes reduction in student 28 enrollment. 29 * Sec. 11. AS 14.17.031(b), 14.17.051, and AS 14.30.315 are repealed. 30 * Sec. 12. TRANSITION: BASIC NEED OF A DISTRICT FOR FISCAL YEARS 1994, 31 1995, AND 1996. For each of fiscal years 1994, 1995, and 1996, if calculation under 01 AS 14.17, as amended by this Act, of a school district's basic need results, for a reason other 02 than reduction in student enrollment, in an amount that is less than the amount of that 03 district's basic need as calculated for fiscal year 1993, the school district's basic need shall 04 be the amount calculated for fiscal year 1993. 05 * Sec. 13. TRANSITION: REGULATIONS. Notwithstanding sec. 15 of this Act, the 06 Department of Education may immediately proceed to adopt regulations necessary to 07 implement this Act. The regulations take effect under the Administrative Procedure Act, but 08 not before July 1, 1993. 09 * Sec. 14. Section 13 of this Act takes effect immediately under AS 01.10.070(c). 10 * Sec. 15. Sections 1 - 12 of this Act take effect July 1, 1993.