75th OREGON LEGISLATIVE ASSEMBLY--2009 Regular Session
 
SA to A-Eng. SB 574
 
LC 2788/SB 574-A14
 
                      SENATE AMENDMENTS TO
                   A-ENGROSSED SENATE BILL 574
 
              By JOINT COMMITTEE ON WAYS AND MEANS
 
                             June 16
 
  On page 2 of the printed A-engrossed bill, line 25, after '
Counties' insert 'and the area comprising the North Powder School
District'.
  On page 3, line 8, after 'County' insert 'and the area
comprising the North Powder School District'.
  In line 22, after '334.690' insert '(1)'.
  In line 33, after 'county' insert 'or area'.
  On page 4, line 7, after 'county' insert 'and area'.
  After line 8, insert:
  '  { +  SECTION 6a. + }  { + If the Department of Education
incurs excessive costs under section 4 or 6 of this 2009 Act, as
determined by the department, the department may charge an
education service district for the amount of the costs that is
excessive and attributable to that education service
district. + } ' .
  On page 5, delete lines 2 through 10 and insert:
  '  { +  SECTION 9. + }  { + (1) Employees who are employed by
an education service district that is merged or dissolved and
annexed and who are employed in duties that, after the merger or
dissolution and annexation, are to be performed by the new
education service district shall be considered employees of the
new education service district. The new education service
district shall succeed the previous education service district as
party to any employment contracts.
  ' (2) Employees in the new education service district shall
retain any seniority and accumulated sick leave and vacation
leave from the previous education service district.
  ' (3) All real and personal property belonging to an education
service district that is merged or dissolved and annexed is
considered property of the new education service district.
  ' (4)(a) All obligations of an education service district that
is merged or dissolved and annexed are considered obligations of
the new education service district.
  ' (b) As used in this subsection, 'obligations' means all
contractual obligations, employment and service contracts and
collective bargaining agreements. + } ' .
  On page 10, delete lines 34 through 45 and delete pages 11 and
12 and insert:
  '  { +  SECTION 20. + } 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 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 95.25 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, 327.348, 327.355, 327.357 and 327.360 the
total amount calculated under paragraph (b) of this subsection as
school district general purpose grants, facility grants, high
cost disabilities 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,
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) The total amount calculated under subsection (3)(d) of
this section for the component school districts of the education
service district X (4.75 : 95.25);   { - or - }
  ' (b) $1 million  { - . - }  { + ; or
  ' (c) $1 million for each former education service district of
the education service district if the former education service
district:
  ' (A) Was operating as an education service district on June
30, 2011;
  ' (B) Merged to form the education service district, effective
July 1, 2011; and
  ' (C) Prior to the merger described in subparagraph (B) of this
paragraph, received a general services grant of $1 million for
the 2010-2011 fiscal year. + }
  ' (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:
  ' (a) The State School Fund grant of an education service
district may not be less than zero;   { - and - }
  ' (b) The State School Fund grant of an education service
district shall be in an amount that, when combined with the local
revenues of the education service district, equals $1 million or
more  { - . - }  { + ; and
  ' (c) The State School Fund grant of an education service
district shall be in an amount that, when combined with the local
revenues of the education service district, equals $1 million for
each former education service district that:
  ' (A) Was operating as an education service district on June
30, 2011;
  ' (B) Merged to form the education service district, effective
July 1, 2011; and
  ' (C) Prior to the merger described in subparagraph (B) of this
paragraph, received a State School Fund grant in an amount that,
when combined with the local revenues of the education service
district, equaled $1 million for the 2010-2011 fiscal year. + }
  ' (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 21. + } ORS 327.019, as amended by section 13,
chapter 846, Oregon Laws 2007, 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 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 95.25 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 and 327.348 the total amount calculated under
paragraph (b) of this subsection as school district general
 
purpose grants, facility grants, high cost disabilities 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,
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) The total amount calculated under subsection (3)(d) of
this section for the component school districts of the education
service district X (4.75 : 95.25);   { - or - }
  ' (b) $1 million  { - . - }  { + ; or
  ' (c) $1 million for each former education service district of
the education service district if the former education service
district:
  ' (A) Was operating as an education service district on June
30, 2011;
  ' (B) Merged to form the education service district, effective
July 1, 2011; and
  ' (C) Prior to the merger described in subparagraph (B) of this
paragraph, received a general services grant of $1 million for
the 2010-2011 fiscal year. + }
  ' (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:
  ' (a) The State School Fund grant of an education service
district may not be less than zero;   { - and - }
  ' (b) The State School Fund grant of an education service
district shall be in an amount that, when combined with the local
revenues of the education service district, equals $1 million or
more  { - . - }  { + ; and
  ' (c) The State School Fund grant of an education service
district shall be in an amount that, when combined with the local
revenues of the education service district, equals $1 million for
each former education service district that:
  ' (A) Was operating as an education service district on June
30, 2011;
  ' (B) Merged to form the education service district, effective
July 1, 2011; and
  ' (C) Prior to the merger described in subparagraph (B) of this
paragraph, received a State School Fund grant in an amount that,
when combined with the local revenues of the education service
district, equaled $1 million for the 2010-2011 fiscal year. + }
  ' (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.'.
  On page 13, delete lines 1 through 23.
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