72nd OREGON LEGISLATIVE ASSEMBLY--2003 Regular Session
SA to SB 550
LC 2897/SB 550-4
SENATE AMENDMENTS TO
SENATE BILL 550
By COMMITTEE ON REVENUE
April 7
On page 1 of the printed bill, line 2, after 'ORS' insert '
327.008,' and delete '327.026, 338.157'.
In line 3, delete 'and 338.165' and insert '327.099, 327.336
and 338.145'.
Delete lines 6 through 28 and delete pages 2 through 10 and
insert:
' { + SECTION 1. + } { + Section 2 of this 2003 Act is added
to and made a part of ORS 327.006 to 327.081. + }
' { + SECTION 2. + } { + (1) There is established within the
State School Fund a High Cost Disabilities Account.
' (2) Each fiscal year, the Department of Education shall
distribute moneys from the account to school districts as high
cost disabilities grants. A school district may receive moneys
from the account if the school district has a resident pupil with
disabilities for whom the approved cost to the school district of
providing special education and related services, as determined
under subsection (4) of this section, exceeds the amount that is
equal to four times the general purpose grant per extended ADMw
of the school district.
' (3) The amount of moneys received by a school district under
this section for each resident pupil with disabilities shall
equal the approved costs, as determined under subsection (4) of
this section, incurred by the school district in providing
special education and related services to the pupil minus the
amount that is equal to four times the general purpose grant per
extended ADMw of the school district.
' (4) The department shall determine the approved costs
incurred by a school district in providing special education and
related services to a pupil with disabilities. In determining the
approved costs for which a school district may receive moneys
under this section, the department shall consider:
' (a) How efficiently the special education and related
services are provided by the school district; and
' (b) The use of available resources by the school district.
' (5) If the total approved costs for which school districts
are seeking moneys from the account exceeds the amount in the
account in any fiscal year, the department shall prorate the
amount of moneys available for distribution in the account among
those school districts that are eligible for moneys from the
account.
' (6) The department shall distribute any moneys in the account
that are not distributed under this section in any fiscal year to
school districts based on ORS 327.008 and 327.013.
' (7) The State Board of Education may adopt any rules
necessary for the administration of this section. + }
' { + SECTION 3. + } ORS 327.008, as amended by section 13,
chapter 6, Oregon Laws 2002 (third special session), is amended
to read:
' 327.008. (1) There is established a State School Fund in the
General Fund. The fund shall consist of moneys appropriated by
the Legislative Assembly and moneys transferred from the
Education Stability Fund. The State School Fund is continuously
appropriated { + to the Department of Education + } for the
purposes of ORS 327.006 to 327.081, 327.095, 327.099, 327.101,
327.125, 327.137, 334.380, 336.575, 336.580, 336.635, 342.173,
343.243, 343.533 { - , - } { + and + } 343.961 { - and
461.543 - } .
' (2) There shall be apportioned from the State School Fund to
each school district a State School Fund grant, consisting of the
positive amount equal to a general purpose grant and a facility
grant and a transportation grant { + and a high cost
disabilities grant + } minus local revenue, computed as provided
in ORS 327.013.
' (3) There shall be apportioned from the State School Fund to
each education service district a State School Fund grant as
calculated under sections 2 to 7, chapter 695, Oregon Laws 2001.
' (4) All figures used in the determination of the distribution
of the State School Fund shall be estimates for the same year as
the distribution occurs, unless otherwise specified.
' (5) Numbers of students in average daily membership used in
the distribution formula shall be the numbers as of June of the
year of distribution.
' (6) A school district may not use the portion of the State
School Fund grant that is attributable to the facility grant for
capital construction costs.
' (7) The total amount of the State School Fund that is
distributed as facility grants { - shall - } { + may + } not
exceed $17.5 million in any biennium. If the total amount to be
distributed as facility grants exceeds this limitation, the
Department of Education shall prorate the amount of funds
available for facility grants among those school districts that
qualified for a facility grant.
' { + (8) Each fiscal year, the Department of Education shall
transfer the amount of $12 million from the State School Fund to
the High Cost Disabilities Account established in section 2 of
this 2003 Act. + }
' { + SECTION 4. + } ORS 327.008, as amended by section 13,
chapter 695, Oregon Laws 2001, and section 14, chapter 6, Oregon
Laws 2002 (third special session), is amended to read:
' 327.008. (1) There is established a State School Fund in the
General Fund. The fund shall consist of moneys appropriated by
the Legislative Assembly and moneys transferred from the
Education Stability Fund. The State School Fund is continuously
appropriated { + to the Department of Education + } for the
purposes of ORS 327.006 to 327.081, 327.095, 327.099, 327.101,
327.125, 327.137, 336.575, 336.580, 336.635, 342.173, 343.243,
343.533 { - , - } { + and + } 343.961 { - and 461.543 - } .
' (2) There shall be apportioned from the State School Fund to
each school district a State School Fund grant, consisting of the
positive amount equal to a general purpose grant and a facility
grant and a transportation grant { + and a high cost
disabilities grant + } minus local revenue, computed as provided
in ORS 327.013.
' (3) There shall be apportioned from the State School Fund to
each education service district a State School Fund grant as
calculated under ORS 327.019.
' (4) All figures used in the determination of the distribution
of the State School Fund shall be estimates for the same year as
the distribution occurs, unless otherwise specified.
' (5) Numbers of students in average daily membership used in
the distribution formula shall be the numbers as of June of the
year of distribution.
' (6) A school district may not use the portion of the State
School Fund grant that is attributable to the facility grant for
capital construction costs.
' (7) The total amount of the State School Fund that is
distributed as facility grants { - shall - } { + may + } not
exceed $17.5 million in any biennium. If the total amount to be
distributed as facility grants exceeds this limitation, the
Department of Education shall prorate the amount of funds
available for facility grants among those school districts that
qualified for a facility grant.
' { + (8) Each fiscal year, the Department of Education shall
transfer the amount of $12 million from the State School Fund to
the High Cost Disabilities Account established in section 2 of
this 2003 Act. + }
' { + SECTION 5. + } ORS 327.013, as amended by section 17,
chapter 695, Oregon Laws 2001, is amended to read:
' 327.013. The State School Fund distributions for school
districts 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 - } { + may + } 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
based on the most recent federal decennial census, 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 of the year of the most recent federal
decennial census;
' (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) High cost disabilities grant = the total amount
received by a school district under section 2 of this 2003 Act
for providing special education and related services to resident
pupils with disabilities. + }
' { - (8) - } { + (9)(a) + } Transportation grant
{ - = - } { + equals:
' (A) + } 70 percent of approved transportation costs { + for
those school districts ranked below the 80th percentile under
paragraph (b) of this subsection + }.
' { + (B) 80 percent of approved transportation costs for
those school districts ranked in or above the 80th percentile but
below the 90th percentile under paragraph (b) of this subsection.
' (C) 90 percent of approved transportation costs for those
school districts ranked in or above the 90th percentile under
paragraph (b) of this subsection.
' (b) Each fiscal year, the Department of Education shall rank
school districts based on the approved transportation costs per
ADM of each school district, ranking the school district with the
highest approved transportation costs per ADM at the top of the
order. + }
' { - (9) - } { + (10) + } 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) The amount of revenue received by the district from state
managed forestlands under ORS 530.115 (1)(b) and (c);
' (g) Moneys received in lieu of property taxes;
' (h) Federal funds received without specific application by
the school district and which are not deemed under federal law to
be nonsupplantable;
' (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; and
' (j) Any amount distributed to the district in the prior
fiscal year under section 4 (3), chapter 695, Oregon Laws 2001.
' { - (10) - } { + (11) + } Notwithstanding subsection
{ - (9) - } { + (10) + } 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 { + and the high cost
disabilities grant + } of the district; or
' (C) $500 per district extended ADMw.
' { - (11)(a) - } { + (12)(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 2003 Act apply to State School Fund
distributions commencing with the 2003-2004 distribution. + }
' { + SECTION 7. + } ORS 327.013, as amended by section 30,
chapter 1066, Oregon Laws 1999, section 12, chapter 670, Oregon
Laws 2001, and sections 17, 20 and 23, chapter 695, Oregon Laws
2001, is amended to read:
' 327.013. The State School Fund distributions for school
districts 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 - } { + may + } 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
based on the most recent federal decennial census, 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 of the year of the most recent federal
decennial census;
' (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) High cost disabilities grant = the total amount
received by a school district under section 2 of this 2003 Act
for providing special education and related services to resident
pupils with disabilities. + }
' { - (8) - } { + (9) + } { + (a) + } Transportation grant
{ - = - } { + equals:
' (A) + } 70 percent of approved transportation costs { + for
those school districts ranked below the 80th percentile under
paragraph (b) of this subsection + }.
' { + (B) 80 percent of approved transportation costs for
those school districts ranked in or above the 80th percentile but
below the 90th percentile under paragraph (b) of this subsection.
' (C) 90 percent of approved transportation costs for those
school districts ranked in or above the 90th percentile under
paragraph (b) of this subsection.
' (b) Each fiscal year, the Department of Education shall rank
school districts based on the approved transportation costs per
ADM of each school district, ranking the school district with the
highest approved transportation costs per ADM at the top of the
order. + }
' { - (9) - } { + (10) + } 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) The amount of revenue received by the district from state
managed forestlands under ORS 530.115 (1)(b) and (c);
' (g) Moneys received in lieu of property taxes;
' (h) Federal funds received without specific application by
the school district and which are not deemed under federal law to
be nonsupplantable;
' (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; and
' (j) Any amount distributed to the district in the prior
fiscal year under section 4 (3), chapter 695, Oregon Laws 2001,
or ORS 327.019 (8).
' { - (10) - } { + (11) + } Notwithstanding subsection
{ - (9) - } { + (10) + } 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 { + and the high cost
disabilities grant + } of the district; or
' (C) $500 per district extended ADMw.
' { - (11)(a) - } { + (12)(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 8. + } { + The amendments to ORS 327.013 by
section 7 of this 2003 Act apply to State School Fund
distributions commencing with the 2005-2006 distribution. + }
' { + SECTION 9. + } { + The amendments to ORS 327.013 by
section 7 of this 2003 Act become operative on July 1, 2005. + }
' { + SECTION 10. + } ORS 327.019 is amended to read:
' 327.019. (1) As used in this section:
' (a) 'Education service district extended ADMw' means the sum
of the extended ADMw of the component school districts of the
education service district as computed under ORS 327.013.
' (b) 'Local revenues of an education service district' means
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
state-managed forestlands under ORS 530.115 (1)(b) and (c); and
' (D) 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.
' (2) Each fiscal year, the Superintendent of Public
Instruction shall calculate a State School Fund grant for each
education service district as provided in this section.
' (3)(a) Each fiscal year, the superintendent shall calculate
the total amount appropriated or allocated to the State School
Fund and available for distribution to school districts,
education service districts and programs + total amount of local
revenues of all school districts, computed as provided in ORS
327.013, + total amount of local revenues of all education
service districts. The superintendent may not include in the
calculation under this paragraph amounts { - transferred from
the State School Fund to the Out-of-State Disabilities Placement
Education Fund or amounts - } recovered by the Department of
Education from the State School Fund under ORS 343.243.
' (b) The superintendent shall multiply the amount calculated
under paragraph (a) of this subsection by 95 percent.
' (c) Based on the amount calculated under paragraph (b) of
this subsection, the superintendent shall calculate a funding
percentage to distribute as nearly as practicable under ORS
327.006 to 327.133 the total amount calculated under paragraph
(b) of this subsection as school district general purpose grants,
facility grants and transportation grants to school districts.
' (d) Based on the funding percentage calculated under
paragraph (c) of this subsection, the superintendent shall
calculate the general purpose grant, facility grant { + , + }
{ - and - } transportation grant { + and high cost disabilities
grant + } amounts for each school district.
' (4) The general services grant for an education service
district shall equal the higher of:
' (a) Total amount calculated under subsection (3)(d) of this
section for the component school districts of the education
service district X 5.263 percent; or
' (b) $1 million.
' (5) Subject to subsection (6) of this section, the State
School Fund grant for an education service district = general
services grant - local revenues of the education service
district.
' (6)(a) After completing the calculations under subsections
(2) to (5) of this section, the Superintendent of Public
Instruction shall apportion from the State School Fund to each
education service district an amount = (funding percentage X
general services grant) - local revenues of the education
service district.
' (b) The funding percentage used in paragraph (a) of this
subsection shall be calculated by the superintendent to
distribute as nearly as practicable the total amount available
for distribution to education service districts from the State
School Fund for each fiscal year.
' (7) Notwithstanding subsections (5) and (6) of this section,
the State School Fund grant of an education service district may
not be less than zero.
' (8) An education service district shall distribute to its
component school districts any amount of local revenues of the
education service district that is greater than the general
services grant. The amount that each component school district
receives under this subsection shall be prorated based on the
district extended ADMw of each school district.
' { + SECTION 11. + } { + The amendments to ORS 327.019 by
section 10 of this 2003 Act apply to State School Fund
distributions commencing with the 2005-2006 distribution. + }
' { + SECTION 12. + } { + The amendments to ORS 327.019 by
section 10 of this 2003 Act become operative on July 1, 2005. + }
' { + SECTION 13. + } Section 4, chapter 695, Oregon Laws
2001, is amended to read:
' { + Sec. 4. + } (1) For the 2001-2002, 2002-2003, 2003-2004
and 2004-2005 fiscal years, to calculate the target amount for
each education service district:
' (a) The Superintendent of Public Instruction shall calculate
the total amount appropriated or allocated to the State School
Fund for a fiscal year and available for distribution to school
districts, education service districts and programs + total
amount of local revenues of all school districts, computed as
provided in ORS 327.013, + total amount of local revenues of all
education service districts. The superintendent may not include
in the calculation under this paragraph amounts { - transferred
from the State School Fund to the Out-of-State Disabilities
Placement Education Fund or amounts - } recovered by the
Department of Education from the State School Fund under ORS
343.243.
' (b) The superintendent shall multiply the amount calculated
under paragraph (a) of this subsection by:
' (A) For the 2001-2002 fiscal year, 95.34 percent.
' (B) For the 2002-2003 fiscal year, 95.36 percent.
' (C) For the 2003-2004 fiscal year, 95.25 percent.
' (D) For the 2004-2005 fiscal year, 95.15 percent.
' (c) Based on the amount calculated under paragraph (b) of
this subsection, the superintendent shall calculate a funding
percentage to distribute as nearly as practicable under ORS
327.006 to 327.133 the total amount calculated for each fiscal
year under paragraph (b) of this subsection as school district
general purpose grants, facility grants { + , + } { - and - }
transportation grants { + and high cost disabilities grants + }
to school districts.
' (d) Based on the funding percentage calculated under
paragraph (c) of this subsection, the superintendent shall
calculate the general purpose grant, facility grant and
transportation grant amounts for each school district.
' (2) The target amount for each education service district is
equal to the following percent of the total of the education
service district's component school districts' general purpose
grants, facility grants and transportation grants, as calculated
under subsection (1)(d) of this section:
' (a) For the 2001-2002 fiscal year, 4.888 percent.
' (b) For the 2002-2003 fiscal year, 4.866 percent.
' (c) For the 2003-2004 fiscal year, 4.987 percent.
' (d) For the 2004-2005 fiscal year, 5.097 percent.
' (3) For the 2003-2004 and 2004-2005 fiscal years, an
education service district shall distribute to its component
school districts any amount of local revenues of the education
service district that is greater than the general services grant
of the education service district for that fiscal year. The
amount that each component school district receives under this
subsection shall be prorated based on the district extended ADMw
of each school district.
' { + SECTION 14. + } { + The amendments to section 4,
chapter 695, Oregon Laws 2001, by section 13 of this 2003 Act
apply to State School Fund distributions commencing with the
2003-2004 distribution. + }
' { + SECTION 15. + } ORS 327.336 is amended to read:
' 327.336. (1) As used in this section:
' (a) 'Extended ADMw' means the district extended weighted
average daily membership computed under ORS 327.013 (6).
' (b) 'Local option tax rate' means the amount of local option
taxes imposed by the school district for the current fiscal year,
after compression under ORS 310.150 and after subtraction of the
amount of school district local option taxes that are distributed
to an urban renewal agency pursuant to ORS 457.440, divided by
the assessed value of the school district.
' (c) 'School district' means a common or union high school
district.
' (d) 'Target district' means the school district that, for the
fiscal year prior to the year for which grants are being
determined, had a total assessed value of taxable property per
district extended ADMw that was greater than all but 25 percent
of the school districts in this state for that prior fiscal year.
The Department of Education shall determine which school district
is the target district for a fiscal year, based on the total
assessed values of school districts reported to the Department of
Education by the Department of Revenue for the fiscal year prior
to the year for which grants are being determined under this
section.
' (2) A school district shall receive a local option
equalization grant for a fiscal year:
' (a) In which the school district imposes local option taxes
pursuant to ORS 280.040 to 280.145; and
' (b) For which the total assessed value of taxable property
per extended ADMw of the school district for the prior fiscal
year does not exceed the total assessed value of taxable property
per extended ADMw of the target district for the prior fiscal
year.
' (3) The amount of the local option equalization grant shall
equal the lesser of:
' (a) The product of the local option tax rate of the school
district for the current fiscal year X (total assessed value per
extended ADMw of the target district for the prior fiscal year -
total assessed value per extended ADMw of the school district for
the prior fiscal year) X the extended ADMw of the school district
for the prior fiscal year; or
' (b) The amount obtained by subtracting the local option tax
imposed by the school district for the current fiscal year, after
compression under ORS 310.150, from the lesser of:
' (A) Ten percent of the combined total for the school district
of the general purpose grant, the transportation grant { + , + }
{ - and - } the facility grant { + and the high cost
disabilities grant + } of the school district for the current
fiscal year; or
' (B) $500 multiplied by the extended ADMw of the school
district for the current fiscal year.
' (4) If the amount computed under subsection (3)(b) of this
section is zero or less, a local option equalization grant may
not be made to the school district for the fiscal year.
' (5) As soon as is practicable after school districts have
certified property taxes to the assessor under ORS 310.060, the
Department of Revenue shall report to the Department of Education
a list of school districts certifying local option taxes for the
current fiscal year and the local option tax rates for those
districts. The amount of each local option equalization grant
shall be calculated by the Department of Education.
' (6) If the election authorizing the imposition of a local
option tax is held after the start of a biennium in which the
local option tax is to be imposed, the local option equalization
grant for a fiscal year of that biennium shall be determined as
otherwise prescribed in this section, but may not be paid to the
school district until the first fiscal year of the next
succeeding biennium.
' { + SECTION 16. + } ORS 327.099 is amended to read:
' 327.099. (1) The Department of Education shall adjust the
distribution to a school district to reflect the difference
between the estimated level of local revenues to the district
under ORS 327.013 { - (9) - } { + (10) + } and the projected
level of those same local revenues used to calculate the State
School Fund apportionment to the district. The adjustment shall
be incorporated in the May 15 apportionment to the district in
the distribution year.
' (2) The department shall adjust the May 15 apportionment to a
school district in the distribution year to reflect an ADMw of
the district equal to the higher of the ADMw of the prior year or
the adjusted ADMw for the December quarter. Adjusted ADMw for the
December quarter shall equal:
' (a) ADMw as determined by the department from information
provided in the December quarterly report for the current
distribution year filed with the department under ORS 327.133;
' (b) Multiplied by the lesser of 1.0 or the average of the
ratios for the preceding two years of the ADM for the year ending
June 30 to the ADM for the quarter ending December 31 for the
same school year as filed under ORS 327.133.
' (3) The sum equal to the sum of all negative adjustments made
to the May 15 apportionment under subsection (1) of this section
is appropriated to the department for purposes of funding
positive adjustments required under subsection (1) of this
section and adjustments required under subsection (2) of this
section.
' (4) The department shall also set aside an amount of the
funds appropriated to the State School Fund for the fiscal year
to fund any positive adjustments required under subsection (1) of
this section and adjustments required under subsection (2) of
this section in excess of the amount available under subsection
(3) of this section. The amount set aside shall be as determined
by law.
' (5) If the amounts available under subsections (3) and (4) of
this section are either not sufficient to fund the positive
adjustments or exceed the positive adjustments to districts
required under subsections (1) and (2) of this section and the
adjustments required under subsection (2) of this section, the
Superintendent of Public Instruction shall recalculate the
funding percentage in ORS 327.013 (2) to distribute as nearly as
practicable the total sum available for distribution.
' { + SECTION 17. + } ORS 338.145 is amended to read:
' 338.145. (1) The public charter school shall be responsible
for providing transportation to students who reside within the
school district and who attend the public charter school. The
public charter school may negotiate with a school district for
the provision of transportation to students attending the public
charter school.
' (2) Notwithstanding subsection (1) of this section, the
school district within which the public charter school is located
shall be responsible for the transportation of students attending
the public charter school pursuant to ORS 327.043 in the same
manner as students attending nonchartered public schools if the
student is a resident of the school district. However, a school
district may not be required to add or extend existing bus routes
or other transportation services pursuant to this subsection.
' (3) Students who attend public charter schools and who reside
outside of the school district may use existing bus routes and
transportation services of the school district in which a public
charter school is located.
' (4) Any transportation costs incurred by a school district
under this section shall be considered approved transportation
costs for purposes of ORS 327.013 { - (8) - } { + (9) + } in
the same manner as transportation costs incurred by the school
district for transporting students who attend nonchartered public
schools are considered approved transportation costs for purposes
of ORS 327.013 { - (8) - } { + (9) + }.
' { + SECTION 18. + } { + On January 1, 2004, the
Out-of-State Disabilities Placement Education Fund is abolished.
Any moneys in the fund on January 1, 2004, shall be transferred
to the State School Fund. + }
' { + SECTION 19. + } { + ORS 327.047 and 327.051 are
repealed on January 1, 2004. + }
' { + SECTION 20. + } { + This 2003 Act being necessary for
the immediate preservation of the public peace, health and
safety, an emergency is declared to exist, and this 2003 Act
takes effect July 1, 2003. + } ' .
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