Agency: MSP - Related to Basic Programs

Line Item: Other Programs

Function

Other Programs consist of a myriad of Related to Basic Programs that do not fit in the prior three subcategories. The largest programs provide supplements for teacher salaries and charter schools. Other programs support electronic delivery of courses, provide matching funds for library resources and school nurses, fund the learning of critical languages, and enhance K-3 reading improvement. The School LAND Trust Program is also included in this section.

Funding Detail

Program: Electronic High School

Function

The Electronic High School began operation in 1994. Students may enroll in the EHS to make up school credit, take courses not offered through their high schools, or take extra credit hours to graduate early. The EHS enrolls students from Utah as well as students from other states or countries. Utah students may enroll in the EHS without charge; students outside Utah pay a $50 fee for each course each quarter.

Courses offered through the EHS are correlated to the state core curriculum. The EHS offers competency based instruction and provides an open-entry open-exit curriculum. 'With a few exceptions, students are able to enroll any day of the year and work at their own pace until the course is completed. We expect students to complete a course within twelve months, but extensions can be granted' (USOE Electronic High School, Website, December 2006). Utah public school students wishing to enroll in the EHS must meet with their school counselor to ensure EHS courses they plan on taking meet graduation requirements.

Formula - School districts and charter schools do not receive EHS funding, rather all appropriated revenue supports the maintenance and operation of the EHS. Davis School District acts as the fiscal agent for the EHS.

Statutory Authority

The Electronic High School is governed by the following statute.

• UCA 53A-17a-131.15 - provides that the revenue appropriated to support the Electronic High School shall be distributed to the school according to rules established by the Board.

Administrative Rule R277-725-3 was passed by the State Board of Education. The rule provides administrative procedures associated with the governance of the Electronic High School.

Funding Detail

Program: School LAND Trust Program

Function

The School LAND (Learning And Nurturing Development) Trust Program, often referred to as School Trust Lands, was established by the Legislature in the 1999 General Legislative session. In exchange for not taxing federal land, the U.S. Congress 'gave lands to Utah schools at statehood. The lands are held in a legal trust for our schools. Schools own 3.3 million acres. The lands are managed by the School and Institutional Trust Lands Administration and must, by law, be used to generate money for our schools. The money is put in a permanent savings account, which is never spent, but invested' (USOE School LAND Trust Program, Website, December 2006) by the State Treasurer.

The interest and dividends earned of the permanent school fund are distributed to local schools to provide resources to improve student academic achievement as outlined in the school's academic improvement plan. Law requires each school to form a School Community Council which prepares the school improvement plan. Plans identify the academic needs of a school and provide a solution to these needs by using the annual School LAND Trust dividend allocated to the school. Local school boards approve each of the school generated academic improvement plans.

Formula - Ten percent of program revenue is distributed equally to districts and charter schools as a program base. The remaining 90 percent is distributed proportionally ad as determined by prior year fall enrollment.

Statutory Authority

The following statute governs the State contribution to the School LAND Trust program.

• 53A-16-101.5 - establishes the School LAND Trust program. Details the funding source for program appropriations and outlines the formula used to distribute funds to local schools. The statute also provides direction to local school districts in distributing allocated revenues among district schools. Finally, the statute requires the creation of School Community Councils in order to obtain trust land revenues and outlines the duties of the School Community Councils.

• 53A-17a-131.17 - provides for the State contribution to the School LAND Trust Program. Appropriations to the program, based on the amount of interest and dividend revenue collected, may be made 'up to a maximum of an amount equal to 2% of the funds provided for the Minimum School Program.'

Administrative Rule R277-477-3 was passed by the State Board of Education. The rule provides administrative procedures associated with the governance of the School LAND Trust program.

Funding Detail

Public schools receive all interest and dividends earned off of the permanent school fund in a given year. The appropriation made by the Legsislature each year is an estimate, actual funding may vary slightly depending on market conditions.

Program: Charter School Local Replacement

Function

The Charter School Local Replacement Funding program was established to provide revenue to charter schools to assist in capital facility needs. Unlike school districts, charter schools do not have bonding authority or the ability to tax their patrons to cover facility costs. The Legislature created a statutory formula that provides an equalized per pupil state appropriation to each charter school to replace some of the locally generated property tax revenue charter schools cannot access.

The local replacement formula passed during the 2008 General Session maintains some of the same concepts of the earlier versions, but alters slightly the payment of costs by reinstating a cost sharing mechanism between the state and local school districts.

Formula - Senate Bill 2 (2008 General Session) establishes a "District Average Per Pupil Revenue" rate. This rate is based on the total revenues generated by property taxes in the school districts divided by the total ADM of the school district (including district students attending a charter school). Property taxes included in the formula are the Voted Leeway, Board Leeway, 10 Percent of Basic, Tort Liability, Capital Outlay and Voted Capital levies. The bill originally included state funds supporting the Voted, Board, and Capital Outlay Guarantee programs. These revenue sources were excluded from the fund formula by an amendment made in the House during debate.

The Average Per Pupil Revenue rate for each school district ranges across the state. The formula maintains state funding to replace local district revenues for Debt Service. The state is required to provide the state-average per student Debt Service Revenues for each student enrolled in a charter school.

Statute now requires school districts to contribute 25 percent of their "District Average Per Pupil Revenue" to support the Charter School Local Replacement. One primary difference between this mechanism and the original cost-sharing mechanism created in 2002-03 is that school districts do not directly transfer funding to the charter schools. The USOE is required to deduct from the school district's Minimum School Program allocation funds equal to 25 percent of the "District Average Per Pupil Revenue" for each district-student enrolled in a charter school.

Statute establishes a minimum threshold of $1,427 per charter school student. If the formula produces less than this amount, the state will provide an additional supplement to bring the total to $1,427/student.

Statutory Authority

The following statutes govern charter schools and the Local Replacement Funding Program. Statutes pertaining to the regulation of charter schools may be found in UCA 53A-1a-501 through UCA 53A-1a-515. Some highlighted statutes are provided below.

• UCA 53A-1a-502.5 - provides authority to the State Charter School Board to authorize new charter schools.

• UCA 53A-1a-503 - establishes the purpose of charter schools through identifying seven statutory principles.

• UCA 53A-1a-503 - clarifies the status of charter schools within the public education system.

• UCA 53A-1a-513 - details general funding provisions for charter schools including the Local Replacement Formula Program, distribution of other Minimum School Program funds, and WPU weighting mechanism used in distributing funds to charter schools based on the grade-levels served by the school. Statute also excludes charter schools from receiving allocations for pupil transportation.

Administrative Rule R277-470-5 and R277-470-6 were passed by the State Board of Education. These rules provide administrative procedures associated with the governance of funds allocated to charter schools and the calculation of state funding for charter schools.

Funding Detail

Program: Charter School Administration

Function

Funding administrative functions, particularly the completion of various financial reports, within a charter school remains one of the largest obstacles for a newly formed charter school to overcome. Because each charter school is a local education agency (LEA) each school must generate many of the same reports as a school district. Funding provided through this program is targeted to assist charters in meeting these administrative needs.

Background

The Administrative Cost program within the Basic Program provided some assistance to charters prior to FY 2008. However, since the inception of charter school properly assimilating them into the established framework and formulas of the traditional public education system has been complex. The Administrative Cost program is one area where, although integrated with the traditional system, the system does not address the unique characteristics of operating a charter school.

Charter schools were treated as one school district under the Administrative Cost program. The formula assumes that as student population increases, a school district is better able to meet administrative functions without direct state support. However, each charter school manages administrative and finance procedures locally on an individual basis. As the entire charter school population increases, the total administrative costs among the schools also increases. This is primarily because more independent schools begin operation. As independent schools, it is more difficult for charter schools to build on economies of scale when compared to a school district.

In FY 2008, the Legislature appropriated revenue to support an administrative cost program targeted for charter schools. The creation of this program removed the eligibility of charter schools to participate in the Administrative Cost program within the Basic Program.

Formula - Appropriated revenue is distributed to charter schools on an equal, per student basis. Each charter school receives $100 per enrolled student.

Funding Detail

Program: K-3 Reading Improvement

Function

The K-3 Reading Improvement Program was created during the 2004 General Session. The program set the statewide goal to have all Utah students reading at or above grade level by the time they complete the third grade. There are three funding programs within the K-3 Reading Improvement Program: Base Level, Guarantee Program, and Low Income Students Program. School districts and charter schools 'must submit a State Board approved plan for reading proficiency improvement prior to using the program funds' (USOE Finance & Statistics, MSP Descriptions, November 2006). The Utah State Office of Education has drafted a State framework for instruction and intervention to ensure all students progress at an appropriate and successful rate, mitigating the cycle of reading failure.

Formula - The formulas for each of the three funding programs include:

• Base Level - a base amount as determined by fall enrollment.

• Guarantee Program - '$21 per WPU minus the amount raised by a tax levy of 0.000056,' (USOE Finance & Statistics, MSP Descriptions, November 2006) or matching funds provided by the district or charter school.

• Low Income Program - '$21 per WPU minus the amount raised by a tax levy of 0.000065,' (USOE Finance & Statistics, MSP Descriptions, November 2006) or matching funds provided by the district or charter school.

Statutory Authority

The following statute provides the legal framework for the K-3 Reading Improvement Program.

• UCA 53A-17a-150 - defines the K-3 Reading Improvement Program and establishes the funding mechanisms for each of the three funding programs. The statute also requires school districts to develop plans to meet district determined reading achievement goals.

Administrative Rule R277-422 was passed by the State Board of Education. The rule provides administrative procedures associated with the governance of the K-3 Reading Achievement Program.

Funding Detail

Program: Public Education Job Enhancement

Function

The Public Education Job Enhancement Program (PEJEP) was established to 'attract, train, and retain, teachers in Special Education (PreK-12) and secondary school educators (7-12) in math, physics, chemistry, physical science, information technology, and learning technology' (USOE Educator Quality Services, December 2006). PEJEP contains two award programs for teachers.

• Advancement Award (Scholarship) - are scholarships to 'encourage teachers to earn additional education leading to endorsements, degrees and advanced degrees for secondary teachers in math, physics, chemistry, physical science, information technology, learning technology, and special education PreK-12' (USOE Educator Quality Services, December 2006). Receiving a scholarship requires application by a principal or superintendent on behalf of a teacher.

• Opportunity Award (Signing Bonus) - a school principal, district superintendent (or their designee) may recommend a signing bonus for a new educator. Newly hired educators working in a public school that 'agree to a four (4) consecutive year contract to teach in the subject areas defined in 53A-1a-601(1)' (USOE Educator Quality Services, December 2006) qualify to receive a signing bonus. Signing bonus awards are divided into two parts. Educators receive the first half when they sign the contract and the second half is distributed upon the completion of the 4 year commitment. Regulations prohibit a teacher from receiving the signing bonus and scholarship program concurrently.

PEJEP Committee - A Public Education Job Enhancement Committee, including representatives from public education, higher education, private industry, and government, creates rules and administers the PEJEP.

Statutory Authority

The following statutes govern the Public Education Job Enhancement Program.

• UCA 53A-1a-601 - defines the purpose of the PEJEP program. The statute also determines qualifying teachers, teaching subjects and award program criteria. Further, the statute provides re-payment criteria should a teacher fail to fulfill statutory requirements.

• UCA 53A-1a-602 - provides for the creation of the Job Enhancement committee to administer the PEJEP and details committee membership.

Funding Detail

An ongoing appropriation of $70,000 in the Utah State Office of Education provides for program administration and oversight.

Program: Educator Salary Adjustments

Function

During the 2007 General Session, the Legislature passed House Bill 382 'Amendments to Education Funding' (Dee, B.). Implementation of the bill provides 'salary increases and bonuses for educators and bonuses for classified personnel employed by school districts, charter schools, and the Utah Schools for the Deaf and Blind' (House Bill 382, 2007 General Session). The ongoing Educator Salary Adjustment was implemented in recognition of the need to attract and retain qualified and dedicated teachers in the public education system. The bonuses were provided in FY 2008 only.

Educators qualifying for the ongoing salary adjustment include: classroom teachers; speech pathologists; librarians or media specialists; preschool teachers; school administrators; mentor teachers; teacher specialists or teacher leaders; guidance counselors; audiologists; psychologists; or social workers. The program envisioned that each qualifying educator would receive the same increase in ongoing salary adjustment. Through this process, the Legislature provided a greater percent increase to beginning school teachers, in an effort to bring up the average beginning teacher salary in the state.

Each qualifying teacher received an ongoing adjustment of $2,500 in FY 2008. The Legislature increased this amount by another $1,700 in FY 2009 for a total of $4,200 over the two-year period. In addition to the appropriated amounts, the Legislature allocated sufficient revenue to pay for the associated employer-paid benefit costs of retirement, worker's compensation, Social Security, and Medicare. Qualifying teachers are required to pay all personal pay-roll deductions as they do with their current base salary.

Formula - Funding is distributed to school districts and charter schools in proportion to the total number of qualifying full-time-equivalent (FTE) educators in the district or charter school when compared to the state total.

Statutory Authority

The following statute governs the Educator Salary Adjustments.

• UCA 53A-17a-153 - defines the purpose of the salary adjustments and details which educators qualify for the adjustment. The statute also provides direction to the State Board of Education on the distribution of the salary adjustment to school districts and subsequently to the educators.

Funding Detail

During each General Session, the Legislature reviews the program's appropriation to ensure sufficient funds for the number of qualifying educators.

Program: USFR Teacher Salary Supplement Restricted Account

Function

The Teacher Salary Supplement Restricted Account in the Uniform School Fund was created in the 2008 General Session to pay the costs associated with the Teacher Salary Supplement Program. The State Division of Finance distributes funding from the account to teachers that qualify for the supplement.

Teacher Salary Supplement Program - provides qualifying secondary math and science teachers with a $4,100 salary supplement. Teachers receive the full supplement if they are assigned full-time to teach one or more of the courses listed in statute and have a qualifying degree also listed in statute. The Qualifying Educational Background requires teachers to have a bachelor's degree major, master's degree, or doctoral degree in the content areas listed in statute to qualify for a supplement. Teachers that have a part-time assignment to teach in one of the lists courses may receive a partial salary adjustment based on the number of hours worked in the course.

In addition to the $4,100 salary adjustment, the Legislature appropriated funding to cover the employer-paid benefit costs associated with retirement, worker's compensation, Social Security, and Medicare. Qualifying teachers that receive a supplement are required to pay all personal pay-roll deductions as they do with their current base salary.

The Utah Department of Human Resource Management (DHRM) administers the program. Teachers must apply to DHRM in order to be considered for the salary supplement and teachers may apply after each semester/trimester or at the end of the school year. State DHRM determines if a teacher is eligible by verifying degree and course assignments. Once DHRM certifies a list (by school district and charter school) of eligible teachers and the amount of their salary supplement, the list is given to the State Division of Finance for payment from the restricted account. The Division of Finance transfers funding to the school district or charter school.

Formula - School districts and charter schools receive funding based on total certified amount established by DHRM. This amount is based on the total number of qualified teachers that applied for the program and their supplement award amount. Statute requires that school districts and charter schools provide a salary supplement equal to the amount specified for each eligible teacher.

Statutory Authority

The following statute governs the Teacher Salary Supplement Program & Restricted Account.

• UCA 53A-17a-156 - outlines the Teacher Salary Supplement Program including definitions of 'Eligible Teacher' and 'Qualifying Educational Background'. The statute also specifies the maximum amount of the supplement and provisions governing partial supplements. Finally, the statute provides direction to the State Department of Human Resource Management and the State Division of Finance to use in administering the program and distributing salary supplements to teachers.

• UCA 53A-17a-157 - creates the Teacher Salary Supplement Restricted Account in the Uniform School Fund and specifies the use of funds appropriated to the account. The restricted account is funded solely through appropriations made by the Legislature.

Funding Detail

Program: Library Books & Electronic Resources

Function

Program funding assists public schools in maintaining and updating collections in school library media centers. The State Board of Education passed administrative rule R277-467 that clarifies the use and distribution of program funding. The Board defines library books as 'trade books that support the school curriculum and books for recreational reading interests. This definition does not include textbooks or books uses solely for classroom instruction or classroom libraries.' Similarly, the Board defines electronic resources as 'databases, CDs, DVDs, software or other items in electronic format which may be included in the school library media collection and made available for use or access in the school library media center.'

The Legislature first appropriated funding for this program during the 2007 General Session, or FY 2008.

Formula - Public schools receive an allocation from the appropriation provided annually in the Minimum School Program. The distribution formula has two components. First, 25 percent of the funding is divided equally among all public schools (including district schools and charter schools). Second, 75 percent of the funding is divided among public schools proportional to each school's average daily membership as compared to the total state average daily membership. Public schools cannot use program funding to supplant other monies used to purchase library books or electronic resources.

Statutory Authority

The appropriation for Library Books & Electronic Resources is made each year in the Minimum School Program Act in an un-codified section of the bill. An appropriation for the program first appeared in Section 8 of House Bill 160 (2007 General Session).

Funding Detail

Budget reductions made in the 2009 General Session reduced total program funding by $1 million.

Program: Matching Fund for School Nurses

Function

The School Nurses Matching Fund was created in the 2007 General Session to assist school districts and charter schools in increasing the number of school nurses working in the public schools. Program participation is optional and public schools electing to participate must apply for a program grant.

Formula - Funds are awarded on an application basis. Participating school districts and charter schools must provide an equal amount of matching funds and not supplant other funding currently used for school nurses.

Statutory Authority

The appropriation for school nurses is made each year in the Minimum School Program Act in an un-codified section of the bill. An appropriation for the program first appeared in Section 7 of House Bill 160 (2007 General Session).

Funding Detail

Program: Critical Languages & Dual Immersion

Function

The Critical Languages program began in FY 2008 as a pilot program to assist school districts and charter schools in providing instruction in the 'critical languages' as defined by the federal National Security Language Initiative. These languages include Chinese, Arabic, Russian, Farsi, Hindi, and Korean. The pilot program assists students in acquiring foreign language skills and reinforces the academic, societal, and economic development benefits associated with critical language acquisition.

Critical language courses may be taught over the Utah Education Network's EDNET system or through the Electronic High School. Program courses may use paraprofessionals, fluent in the language being taught, to provide reinforcement and tutoring to students. By using the State's distance education network, students across the state can participate in a critical language class offered state-wide. The program increases the potential pool of students in order to build sufficient demand to offer the course.

Formula - As a pilot program, the State Board of Education was tasked with establishing participation criteria for public schools. The program provides $6,000 per critical language taught per school, for a total of 20 schools. In addition, program funding provides schools with $100 per student that completes a course and $400 per foreign exchange student who completes a course.

Statutory Authority

The following statute governs the Critical Languages program.

• UCA 53A-15-104 - enacts the program and outlines program requirements, qualifying critical languages, and distribution of program funding.

Funding Detail

Ongoing funds support the Critical Languages program. Additional one-time funding has been appropriated in FY 2009 and FY 2010 to support the Critical Languages Program ($480,000) and the Dual Language Immersion Program ($270,000). The Dual Language Immersion Program provides incentive funds to 15 qualifying schools to teach the following languages: Chinese (6 programs), Spanish (6 programs), French (2 programs) and one program in Navajo.

Program: Extended Year for Special Educators

Function

The program provides additional contract days for special education teachers in order to meet the added duties and responsibilities associated with complying with state and federal regulations. Educators can use additional work days to perform duties associated with student the student IEP (individualized education program) process, administering student assessments, conferring with parents, maintaining records and preparing reports. This program was created by the Legislature during the 2008 General Session.

Program participation is voluntary for special educators and is restricted to educators working in the positions of special education teacher and speech-language pathologist. Teachers may receive a $200 stipend per additional day of work (up to a maximum of 10 days). In addition to the stipend, the Legislature appropriated funding to cover the employer-paid benefit costs of retirement, worker's compensation, Social Security, and Medicare. Participating teachers are required to pay all personal pay-roll deductions as they do with their current base salary.

Formula - The State Board of Education will annually review the program and determine, based on the annual appropriation, the total number of extended contract days that can be funded. School districts and charter schools will receive funding based on the total number of qualifying teachers multiplied by the total number of contract days. Teachers not working full-time in a special education position may receive a partial stipend.

Statutory Authority

The following statute governs the Extended-Year for Special Educators.

• UCA 53A-17a-158 - outlines the Extended-Year for Special Educators program and includes provisions governing the use of additional contract days, which teachers qualify for program funding, and the amount of daily stipend.

Funding Detail

Program: USTAR Centers (Year-Round Math & Science)

Function

Created during the 2008 General Session, the USTAR Centers program was created to provide a financial incentive for school districts and charter schools to adopt programs that result in more efficient use of personnel and capital facilities. Statute outlines several potential benefits to the program. These benefits include: increased compensation for math and science teachers by providing opportunities for an expanded contract year; increased capacity of school buildings by using buildings more hours of the day or for more days in a year; decrease class sizes by expanding the number of instructional opportunities in a year; provide opportunities for earlier high school graduation and college preparation; and additional opportunities for remedial or advanced courses.

Statute outlines a grant program where school districts and charter schools submit proposals on how to implement the program. The State Board of Education will award grants to public schools on a competitive basis. Program participation is voluntary for an individual teacher and voluntary for a charter school or school district.

Formula - Funding is awarded on a competitive grant basis to school districts and charter schools. Program provisions require that grant monies be used to provide full year teacher contracts, part-time teacher contract extensions, or a combination of both, for math and science teachers. Up to 5 percent of grant funding can be used to math and science field trips, textbooks, and supplies.

Statutory Authority

The following statute governs the USTAR Centers program.

• UCA 53A-17a-159 - details the goals and potential benefits associated with the program. The statute also provides clarification on the distribution of program funding, procedures for soliciting proposals, and restrictions on the use of grant monies. The State Board of Education is required to make an annual report on the program during the 2009, 2010, and 2011 interims to the Public Education Appropriations Subcommittee.

Funding Detail