71st OREGON LEGISLATIVE ASSEMBLY--2001 Regular Session
NOTE: Matter within { + braces and plus signs + } in an
amended section is new. Matter within { - braces and minus
signs - } is existing law to be omitted. New sections are within
{ + braces and plus signs + } .
LC 1703
House Bill 2637
Sponsored by Representative MORGAN; Representatives KRUSE, C
WALKER
SUMMARY
The following summary is not prepared by the sponsors of the
measure and is not a part of the body thereof subject to
consideration by the Legislative Assembly. It is an editor's
brief statement of the essential features of the measure as
introduced.
Directs that federal forest reserve revenues are not considered
to be local revenue of school district for purposes of State
School Fund distribution. Directs school district to use federal
forest reserve revenues for maintenance, capital construction and
transportation.
Declares emergency, effective July 1, 2001.
A BILL FOR AN ACT
Relating to federal forest reserve revenues received by school
districts; creating new provisions; amending ORS 294.060,
327.013 and 328.005; and declaring an emergency.
Be It Enacted by the People of the State of Oregon:
SECTION 1. ORS 328.005 is amended to read:
328.005. (1) The governing body of each county shall create a
county school fund.
{ + (2) A school district that receives a share of federal
forest reserve receipts transferred to the county school fund
under ORS 294.060 may only use such moneys for maintenance,
capital construction and transportation. + }
{ - (2) - } { + (3) Notwithstanding subsection (2) of this
section, + } when a county governing body transfers federal
forest reserve receipts under ORS 294.060 { - (5) - } { +
(4) + } subject to a condition that such moneys be used only for
a purpose described in ORS 328.205 (1)(a) or (b), a school
district receiving a share of such moneys shall not use the
moneys for any other purpose.
SECTION 2. ORS 294.060 is amended to read:
294.060. (1) The moneys received by each county under ORS
293.560 shall be divided 75 percent to the road fund and 25
percent to the { + county + } school fund of the county
{ - and, subject to subsections (2) and (3) of this section, the
moneys shall be expended as other moneys in those funds are
expended - } .
(2) The moneys apportioned to the county road fund may be
applied in payment of any outstanding road bonds or may be placed
in any county road bond sinking fund for the purpose of being so
applied.
{ - (3) The moneys apportioned to the school fund in any
county operating under and by virtue of ORS chapter 333 shall be
used for and applied to the payment of the bonded and warrant
indebtedness of the school districts incurred prior to January 1,
1925, until such bonded and warrant indebtedness has been paid in
full. - }
{ - (4) - } { + (3) + } Notwithstanding the division of
receipts specified in subsection (1) of this section, in any
county east of the summit of the Cascade Mountains with a
population of less than 9,000 and more than 6,500, according to
the 1990 federal decennial census, moneys from the road fund in
excess of $2 million may be transferred to the school fund when
the amount of money credited to the road fund under subsection
(1) of this section exceeds the amount needed for county roads,
as determined by the board of county commissioners. Any amount
received by a school district from the school fund of the county
that is in excess of the 25 percent required under subsection (1)
of this section shall not be considered as a receipt that would
reduce the district's apportionments from the State School Fund.
{ - (5) - } { + (4) + } Notwithstanding the division of
receipts specified in subsection (1) of this section, in any
county east of the summit of the Cascade Mountains with a
population of less than 58,000 and more than 55,000, according to
the 1990 federal decennial census, if the moneys credited to the
road fund under subsection (1) of this section exceed the amount
needed for county roads, as determined by the county governing
body, the portion of such moneys in excess of an amount specified
by the county governing body may be transferred to the school
fund of the county or may be transferred directly to the school
districts of the county in accordance with procedures established
by the county governing body. The county governing body may
distribute moneys under this subsection among the several school
districts without regard to the percentage of the resident
average daily membership in each school district. Moneys
transferred under this subsection may be transferred upon the
condition that any school district receiving a share of such
moneys must use the moneys only for a purpose described in ORS
328.205 (1)(a) or (b). Any amount received by a school district
from the county under this subsection that is in excess of the 25
percent required under subsection (1) of this section shall not
be considered as a receipt that would reduce the district's
apportionments from the State School Fund.
{ - (6) - } { + (5) + } Notwithstanding the division of
receipts specified in subsection (1) of this section, in any
county east of the summit of the Cascade Mountains with a
population of less than 6,500, according to the 1990 federal
decennial census, moneys received by the county under ORS 293.560
may be divided between the road fund and the school fund of the
county as specified under an agreement between the county
governing body and the education service district board of the
county that provides for a different apportionment of those
moneys. Any amount received by a school district from the school
fund of the county that is in excess of the 25 percent required
under subsection (1) of this section shall not be considered as a
receipt that would reduce the district's apportionments from the
State School Fund.
{ - (7) - } { + (6) + } Notwithstanding the division of
receipts specified in subsection (1) of this section, in any
county west of the summit of the Cascade Mountains with a
population of less than 19,500 and more than 6,500, according to
the 1990 federal decennial census, moneys from the road fund in
excess of $1 million may be transferred to the school fund when
the amount of money credited to the road fund under subsection
(1) of this section exceeds the amount needed for county roads,
as determined by the board of county commissioners. Any amount
received by a school district from the school fund of the county
that is in excess of the 25 percent required under subsection (1)
of this section shall not be considered as a receipt that would
reduce the district's apportionments from the State School Fund.
{ - (8) - } { + (7) + } As used in subsections { - (4) to
(7) - } { + (3) to (6) + } of this section, 'summit of the
Cascade Mountains' has the meaning for that term provided in ORS
477.001.
SECTION 3. ORS 327.013 is amended to read:
327.013. The State School Fund distributions shall be computed
as follows:
(1) General Purpose Grant = Funding Percentage X Target Grant X
District extended ADMw.
(2) The funding percentage shall be calculated by the
Superintendent of Public Instruction to distribute as nearly as
practicable the total sum available for distribution of money.
(3) Target Grant = Statewide Target per ADMw Grant + Teacher
Experience Factor.
(4) Statewide Target per ADMw Grant = $4,500.
(5) Teacher Experience Factor = $25 X {District average teacher
experience - statewide average teacher experience}. ' Average
teacher experience' means the average, in years, of teaching
experience of certified teachers as reported to the Department of
Education.
(6) District extended ADMw = ADMw or ADMw of the prior year,
whichever is greater.
(7)(a) Weighted average daily membership or ADMw = average
daily membership + an additional amount computed as follows:
(A) 1.0 for each student in average daily membership eligible
for special education as a child with disabilities under ORS
343.035, applicable to not to exceed 11 percent of the district's
ADM without review and approval of the Department of Education.
Children with disabilities eligible for special education in
adult local correctional facilities as defined in ORS 169.005 or
adult regional correctional facilities as defined in ORS 169.620
shall not be included in the calculation of the 11 percent.
(B) 0.5 for each student in average daily membership eligible
for and enrolled in an English as a Second Language program under
ORS 336.079.
(C) 0.2 for each student in average daily membership enrolled
in a union high school district or in an area of a unified school
district where the district is only responsible for educating
students in grades 9 through 12 in that area.
(D) -0.1 for each student in average daily membership enrolled
in an elementary district operating kindergarten through grade 6
or kindergarten through grade 8 or in an area of a unified school
district where the district is only responsible for educating
students in kindergarten through grade 8.
(E) 0.25 times the sum of the following:
(i) The number of children 5 to 17 years of age in poverty
families in the district, as determined by the Department of
Education from a report of the federal Department of Education,
as adjusted by the school district's proportion of students in
the county receiving free or reduced price lunches under the
United States Department of Agriculture's current Income
Eligibility Guidelines if the number is higher than the number
determined from census data and only if the school district had
an average daily membership of 2,500 or less for the 1995-1996
school year, and as further adjusted by the number of students in
average daily membership in June of the year of distribution
divided by number of students in average daily membership in the
district, or its predecessors, in June 1990;
(ii) The number of children in foster homes in the district as
determined by the report of the Department of Human Services to
the federal Department of Education, 'Annual Statistical Report
on Children in Foster Homes and Children in Families Receiving
AFDC Payments in Excess of the Poverty Income Level,' or its
successor, for October 31 of the year prior to the year of
distribution; and
(iii) The number of children in the district in
state-recognized facilities for neglected and delinquent
children, based on information from the Department of Human
Services for October 31 of the year prior to the year of
distribution.
(F)(i) An additional amount as determined by ORS 327.077 (1997
Edition) shall be added to the ADMw for each remote small school
in the district.
(ii) An additional amount as determined by section 23, chapter
1066, Oregon Laws 1999, for each small high school in the
district that is equal to the small high school additional
weighting amount.
(G) All numbers of children used for the computation in this
section must reflect any district consolidations that have
occurred since the numbers were compiled.
(b) The total additional weight that shall be assigned to any
student in average daily membership in a district, exclusive of
students described in paragraph (a)(E) and (F) of this subsection
shall not exceed 2.0.
(8) Transportation Grant = 70 percent of Approved
Transportation Costs.
(9) Local Revenues are the total of the following:
(a) The amount of revenue offset against local property taxes
as determined by the Department of Revenue under ORS 311.175
(3)(a)(A);
(b) The amount of property taxes actually received by the
district including penalties and interest on taxes;
(c) The amount of revenue received by the district from the
Common School Fund under ORS 327.403 to 327.415;
(d) The amount of revenue received by the district from the
county school fund;
{ - (e) The amount of revenue received by the district from
the 25 percent of federal forest reserve revenues required to be
distributed to schools by ORS 294.060 (1); - }
{ - (f) - } { + (e) + } The amount of revenue received by
the district from state managed forestlands under ORS 530.115
(1)(b) and (c);
{ - (g) - } { + (f) + } The amount of revenue received
under ORS 334.400 by a school district in an education service
district that provides equalization under ORS 334.400;
{ - (h) - } { + (g) + } Moneys received in lieu of property
taxes;
{ - (i) - } { + (h) + } Federal funds received without
specific application by the school district and which are not
deemed under federal law to be nonsupplantable; and
{ - (j) - } { + (i) + } Any positive amount obtained by
subtracting the operating property taxes actually imposed by the
district, based on the rate certified pursuant to ORS 310.060,
from the amount that would have been imposed by the district if
the district had certified the maximum rate of operating property
taxes allowed by law.
(10) Notwithstanding subsection (9) of this section, Local
Revenues do not include:
(a) The amount of revenue actually received by the district,
including penalties and interest on taxes, that is used for
payment of bonds issued to finance or refinance an unfunded
obligation for prior service costs under a contract of
integration pursuant to ORS 238.685 (2)(a); { - and - }
(b) If a school district imposes local option taxes pursuant to
ORS 280.040 to 280.145, an amount equal to the lesser of:
(A) The amount of revenue actually received by the district
from local option taxes imposed pursuant to ORS 280.040 to
280.145;
(B) Ten percent of the combined total for the school district
of the general purpose grant, the transportation grant and the
facility grant of the district; or
(C) $500 per district extended ADMw { + ; and
(c) The amount of revenue received by the district from federal
forest reserve revenues required to be distributed to schools by
ORS 294.060 (1) and deposited in the county school fund + }.
(11)(a) Facility Grant = 8 percent of total construction costs
of new school buildings.
(b) A school district shall receive a Facility Grant in the
distribution year that a new school building is first used.
(c) As used in this subsection:
(A) 'New school building' includes new school buildings, adding
structures onto existing school buildings and adding
premanufactured structures to a school district if those
buildings or structures are to be used for instructing students.
(B) 'Construction costs' does not include costs for land
acquisition.
SECTION 4. { + The amendments to ORS 327.013 by section 3 of
this 2001 Act affect State School Fund distributions commencing
with the 2001-2002 distribution. + }
SECTION 5. ORS 327.013, as amended by section 30, chapter 1066,
Oregon Laws 1999, is amended to read:
327.013. The State School Fund distributions shall be computed
as follows:
(1) General Purpose Grant = Funding Percentage X Target Grant X
District extended ADMw.
(2) The funding percentage shall be calculated by the
Superintendent of Public Instruction to distribute as nearly as
practicable the total sum available for distribution of money.
(3) Target Grant = Statewide Target per ADMw Grant + Teacher
Experience Factor.
(4) Statewide Target per ADMw Grant = $4,500.
(5) Teacher Experience Factor = $25 X {District average teacher
experience - statewide average teacher experience}. ' Average
teacher experience' means the average, in years, of teaching
experience of certified teachers as reported to the Department of
Education.
(6) District extended ADMw = ADMw or ADMw of the prior year,
whichever is greater.
(7)(a) Weighted average daily membership or ADMw = average
daily membership + an additional amount computed as follows:
(A) 1.0 for each student in average daily membership eligible
for special education as a child with disabilities under ORS
343.035, applicable to not to exceed 11 percent of the district's
ADM without review and approval of the Department of Education.
Children with disabilities eligible for special education in
adult local correctional facilities as defined in ORS 169.005 or
adult regional correctional facilities as defined in ORS 169.620
shall not be included in the calculation of the 11 percent.
(B) 0.5 for each student in average daily membership eligible
for and enrolled in an English as a Second Language program under
ORS 336.079.
(C) 0.2 for each student in average daily membership enrolled
in a union high school district or in an area of a unified school
district where the district is only responsible for educating
students in grades 9 through 12 in that area.
(D) -0.1 for each student in average daily membership enrolled
in an elementary district operating kindergarten through grade 6
or kindergarten through grade 8 or in an area of a unified school
district where the district is only responsible for educating
students in kindergarten through grade 8.
(E) 0.25 times the sum of the following:
(i) The number of children 5 to 17 years of age in poverty
families in the district, as determined by the Department of
Education from a report of the federal Department of Education,
as adjusted by the school district's proportion of students in
the county receiving free or reduced price lunches under the
United States Department of Agriculture's current Income
Eligibility Guidelines if the number is higher than the number
determined from census data and only if the school district had
an average daily membership of 2,500 or less for the 1995-1996
school year, and as further adjusted by the number of students in
average daily membership in June of the year of distribution
divided by number of students in average daily membership in the
district, or its predecessors, in June 1990;
(ii) The number of children in foster homes in the district as
determined by the report of the Department of Human Services to
the federal Department of Education, 'Annual Statistical Report
on Children in Foster Homes and Children in Families Receiving
AFDC Payments in Excess of the Poverty Income Level,' or its
successor, for October 31 of the year prior to the year of
distribution; and
(iii) The number of children in the district in
state-recognized facilities for neglected and delinquent
children, based on information from the Department of Human
Services for October 31 of the year prior to the year of
distribution.
(F) An additional amount as determined by ORS 327.077 shall be
added to the ADMw for each remote small elementary school and for
each small high school in the district.
(G) All numbers of children used for the computation in this
section must reflect any district consolidations that have
occurred since the numbers were compiled.
(b) The total additional weight that shall be assigned to any
student in average daily membership in a district, exclusive of
students described in paragraph (a)(E) and (F) of this subsection
shall not exceed 2.0.
(8) Transportation Grant = 70 percent of Approved
Transportation Costs.
(9) Local Revenues are the total of the following:
(a) The amount of revenue offset against local property taxes
as determined by the Department of Revenue under ORS 311.175
(3)(a)(A);
(b) The amount of property taxes actually received by the
district including penalties and interest on taxes;
(c) The amount of revenue received by the district from the
Common School Fund under ORS 327.403 to 327.415;
(d) The amount of revenue received by the district from the
county school fund;
{ - (e) The amount of revenue received by the district from
the 25 percent of federal forest reserve revenues required to be
distributed to schools by ORS 294.060 (1); - }
{ - (f) - } { + (e) + } The amount of revenue received by
the district from state managed forestlands under ORS 530.115
(1)(b) and (c);
{ - (g) - } { + (f) + } The amount of revenue received
under ORS 334.400 by a school district in an education service
district that provides equalization under ORS 334.400;
{ - (h) - } { + (g) + } Moneys received in lieu of property
taxes;
{ - (i) - } { + (h) + } Federal funds received without
specific application by the school district and which are not
deemed under federal law to be nonsupplantable; and
{ - (j) - } { + (i) + } Any positive amount obtained by
subtracting the operating property taxes actually imposed by the
district, based on the rate certified pursuant to ORS 310.060,
from the amount that would have been imposed by the district if
the district had certified the maximum rate of operating property
taxes allowed by law.
(10) Notwithstanding subsection (9) of this section, Local
Revenues do not include:
(a) The amount of revenue actually received by the district,
including penalties and interest on taxes, that is used for
payment of bonds issued to finance or refinance an unfunded
obligation for prior service costs under a contract of
integration pursuant to ORS 238.685 (2)(a); { - and - }
(b) If a school district imposes local option taxes pursuant to
ORS 280.040 to 280.145, an amount equal to the lesser of:
(A) The amount of revenue actually received by the district
from local option taxes imposed pursuant to ORS 280.040 to
280.145;
(B) Ten percent of the combined total for the school district
of the general purpose grant, the transportation grant and the
facility grant of the district; or
(C) $500 per district extended ADMw { + ; and
(c) The amount of revenue received by the district from federal
forest reserve revenues required to be distributed to schools by
ORS 294.060 (1) and deposited in the county school fund + }.
(11)(a) Facility Grant = 8 percent of total construction costs
of new school buildings.
(b) A school district shall receive a Facility Grant in the
distribution year that a new school building is first used.
(c) As used in this subsection:
(A) 'New school building' includes new school buildings, adding
structures onto existing school buildings and adding
premanufactured structures to a school district if those
buildings or structures are to be used for instructing students.
(B) 'Construction costs' does not include costs for land
acquisition.
SECTION 6. { + The amendments to ORS 327.013 by section 5 of
this 2001 Act become operative July 1, 2005. + }
SECTION 7. { + The amendments to ORS 327.013 by section 5 of
this 2001 Act affect State School Fund distributions commencing
with the 2005-2006 distribution. + }
SECTION 8. { + This 2001 Act being necessary for the immediate
preservation of the public peace, health and safety, an emergency
is declared to exist, and this 2001 Act takes effect July 1,
2001. + }
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