00                             SENATE BILL NO. 84                                                                          
01 "An Act relating to funding for high school vocational education as a component of                                      
02 funding for public schools; increasing the base student allocation used in the public                                   
03 school funding formula; and providing for an effective date."                                                           
04 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA:                                                                
05    * Section 1. AS 14.17.410(b) is amended to read:                                                                   
06            (b)  Public school funding consists of state aid, a required local contribution,                             
07       and eligible federal impact aid determined as follows:                                                            
08                 (1)  state aid equals basic need minus a required local contribution and                                
09       90 percent of eligible federal impact aid for that fiscal year; basic need equals the sum                         
10       obtained under (D) of this paragraph, multiplied by the base student allocation set out                           
11       in AS 14.17.470; district adjusted ADM is calculated as follows:                                                  
12                      (A)  the ADM of each school in the district is calculated by                                       
13            applying the school size factor to the student count as set out in AS 14.17.450;                             
14                      (B)  the number obtained under (A) of this paragraph is                                            
01            multiplied by the district cost factor described in AS 14.17.460;                                            
02                      (C)  the ADMs of each school in a district, as adjusted                                            
03            according to (A) and (B) of this paragraph, are added; the sum is then                                       
04            multiplied by the special needs factor set out in AS 14.17.420(a)(1) and the                             
05            high school vocational education factor set out in AS 14.17.420(a)(3);                                   
06                      (D)  the number obtained for intensive services under                                              
07            AS 14.17.420(a)(2) and the number obtained for correspondence study under                                    
08            AS 14.17.430 are added to the number obtained under (C) of this paragraph;                                   
09                      (E)  notwithstanding (A) - (C) of this paragraph, if a school                                      
10            district's ADM adjusted for school size under (A) of this paragraph decreases                                
11            by five percent or more from one fiscal year to the next fiscal year, the school                             
12            district may use the last fiscal year before the decrease as a base fiscal year to                           
13            offset the decrease, according to the following method:                                                      
14                           (i)  for the first fiscal year after the base fiscal year                                     
15                 determined under this subparagraph, the school district's ADM adjusted                                  
16                 for school size determined under (A) of this paragraph is calculated as                                 
17                 the district's ADM adjusted for school size, plus 75 percent of the                                     
18                 difference in the district's ADM adjusted for school size between the                                   
19                 base fiscal year and the first fiscal year after the base fiscal year;                                  
20                           (ii)  for the second fiscal year after the base fiscal year                                   
21                 determined under this subparagraph, the school district's ADM adjusted                                  
22                 for school size determined under (A) of this paragraph is calculated as                                 
23                 the district's ADM adjusted for school size, plus 50 percent of the                                     
24                 difference in the district's ADM adjusted for school size between the                                   
25                 base fiscal year and the second fiscal year after the base fiscal year;                                 
26                           (iii)  for the third fiscal year after the base fiscal year                                   
27                 determined under this subparagraph, the school district's ADM adjusted                                  
28                 for school size determined under (A) of this paragraph is calculated as                                 
29                 the district's ADM adjusted for school size, plus 25 percent of the                                     
30                 difference in the district's ADM adjusted for school size between the                                   
31                 base fiscal year and the third fiscal year after the base fiscal year;                                  
01                      (F)  the method established in (E) of this paragraph is available                                  
02            to a school district for the three fiscal years following the base fiscal year                               
03            determined under (E) of this paragraph only if the district's ADM adjusted for                               
04            school size determined under (A) of this paragraph for each fiscal year is less                              
05            than the district's ADM adjusted for school size in the base fiscal year;                                    
06                      (G)  the method established in (E) of this paragraph does not                                      
07            apply to a decrease in the district's ADM adjusted for school size resulting                                 
08            from a loss of enrollment that occurs as a result of a boundary change under                                 
09            AS 29;                                                                                                       
10                 (2)  the required local contribution of a city or borough school district is                            
11       the equivalent of a four mill tax levy on the full and true value of the taxable real and                         
12       personal property in the district as of January 1 of the second preceding fiscal year, as                         
13       determined by the Department of Commerce, Community, and Economic                                                 
14       Development under AS 14.17.510 and AS 29.45.110, not to exceed 45 percent of a                                    
15       district's basic need for the preceding fiscal year as determined under (1) of this                               
16       subsection.                                                                                                       
17    * Sec. 2. AS 14.17.420(a) is amended to read:                                                                      
18            (a)  As a component of public school funding, a district is eligible for special                             
19       needs and high school vocational education funding and may be eligible for                                    
20       intensive services funding as follows:                                                                            
21                 (1)  special needs funding is available to a district to assist the district                            
22       in providing special education, gifted and talented education, vocational education,                              
23       and bilingual education services to its students; a special needs funding factor of 1.20                          
24       shall be applied as set out in AS 14.17.410(b)(1);                                                                
25                 (2)  in addition to the special needs funding for which a district is                                   
26       eligible under (1) of this subsection, a district is eligible for intensive services funding                      
27       for each special education student who needs and receives intensive services and is                               
28       enrolled on the last day of the count period; for each such student, intensive services                           
29       funding is equal to the intensive student count multiplied by 13;                                             
30                 (3)  in addition to the special needs and intensive services funding                                
31       available under (1) and (2) of this subsection, a district is eligible for funding for                        
01       high school vocational education instruction for each student who is enrolled in                              
02       grades nine through 12, as determined by the department; a high school                                        
03       vocational education funding factor of 1.025 shall be applied as set out in                                   
04       AS 14.17.410(b)(1); in this paragraph, "vocational education instruction"                                     
05       excludes costs associated with                                                                                
06                      (A)  administrative expenses; and                                                              
07                      (B)  instruction in general literacy, mathematics, and job                                     
08            readiness skills.                                                                                        
09    * Sec. 3. AS 14.17.440(a) is amended to read:                                                                      
10            (a)  Except as provided in AS 14.17.400(b), funding for state boarding schools                               
11       established under AS 14.16.010 includes an allocation from the public education fund                              
12       in an amount calculated by                                                                                        
13                 (1)  determining the ADM of state boarding schools by applying the                                      
14       school size factor to the student count as described in AS 14.17.450;                                             
15                 (2)  multiplying the number obtained under (1) of this subsection by the                                
16       special needs factor in AS 14.17.420(a)(1) and the high school vocational education                           
17       factor set out in AS 14.17.420(a)(3) and multiplying that product by the base student                         
18       allocation; and                                                                                                   
19                 (3)  multiplying the product determined under (2) of this subsection by                                 
20       the district cost factor that is applicable to calculation of the state aid for the adjacent                      
21       school district under AS 14.17.460.                                                                               
22    * Sec. 4. AS 14.17.470 is amended to read:                                                                         
23            Sec. 14.17.470. Base student allocation. The base student allocation is $5,790                         
24       [$5,680].                                                                                                         
25    * Sec. 5. AS 14.17.470, as amended by sec. 4 of this Act, is amended to read:                                      
26            Sec. 14.17.470. Base student allocation. The base student allocation is $5,905                         
27       [$5,790].                                                                                                         
28    * Sec. 6. AS 14.17.470, as amended by secs. 4 and 5 of this Act, is amended to read:                               
29            Sec. 14.17.470. Base student allocation. The base student allocation is $6,025                         
30       [$5,905].                                                                                                         
31    * Sec. 7. Sections 1 - 4 of this Act take effect July 1, 2011.                                                     
01    * Sec. 8. Section 5 of this Act takes effect July 1, 2012.                                                         
02    * Sec. 9. Section 6 of this Act takes effect July 1, 2013.