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H.B. 3 Enrolled

                 

MINIMUM SCHOOL PROGRAM ACT AMENDMENTS

                 
1999 GENERAL SESSION

                 
STATE OF UTAH

                 
Sponsor: Nora B. Stephens

                  AN ACT RELATING TO PUBLIC EDUCATION; PROVIDING FOR STATE AND LOCAL
                  FUNDING OF THE MINIMUM SCHOOL PROGRAM ACT; PROVIDING A CEILING FOR
                  THE STATE CONTRIBUTION OF THE MAINTENANCE AND OPERATION PORTION OF
                  THE ACT NOT TO EXCEED $1,439,215,683; ESTABLISHING THE VALUE OF THE
                  WEIGHTED PUPIL UNIT AT $1,901; ESTABLISHING DISTRIBUTION FORMULAS;
                  PROVIDING A $29,358,000 APPROPRIATION FOR SCHOOL BUILDING AID; PROVIDING
                  $2,200,000 IN ONE-TIME APPROPRIATIONS; AND PROVIDING AN EFFECTIVE DATE.
                  This act affects sections of Utah Code Annotated 1953 as follows:
                  AMENDS:
                      53A-16-107, as enacted by Chapter 2, Laws of Utah 1988
                      53A-17a-103, as last amended by Chapter 234, Laws of Utah 1998
                      53A-17a-104, as last amended by Chapter 234, Laws of Utah 1998
                      53A-17a-111, as last amended by Chapter 234, Laws of Utah 1998
                      53A-17a-112, as last amended by Chapter 234, Laws of Utah 1998
                      53A-17a-113, as last amended by Chapter 234, Laws of Utah 1998
                      53A-17a-116, as last amended by Chapter 234, Laws of Utah 1998
                      53A-17a-119, as last amended by Chapter 234, Laws of Utah 1998
                      53A-17a-120, as last amended by Chapter 234, Laws of Utah 1998
                      53A-17a-121, as last amended by Chapter 234, Laws of Utah 1998
                      53A-17a-123, as last amended by Chapter 234, Laws of Utah 1998
                      53A-17a-124, as last amended by Chapter 234, Laws of Utah 1998
                      53A-17a-124.1, as last amended by Chapter 234, Laws of Utah 1998
                      53A-17a-124.5, as last amended by Chapter 234, Laws of Utah 1998
                      53A-17a-125, as last amended by Chapter 274, Laws of Utah 1997
                      53A-17a-126, as last amended by Chapter 234, Laws of Utah 1998


                      53A-17a-127, as last amended by Chapter 3, Laws of Utah 1998
                      53A-17a-128, as last amended by Chapter 234, Laws of Utah 1998
                      53A-17a-129, as last amended by Chapter 234, Laws of Utah 1998
                      53A-17a-130, as last amended by Chapter 234, Laws of Utah 1998
                      53A-17a-131.1, as last amended by Chapter 234, Laws of Utah 1998
                      53A-17a-131.2, as last amended by Chapter 234, Laws of Utah 1998
                      53A-17a-131.3, as last amended by Chapter 234, Laws of Utah 1998
                      53A-17a-131.4, as last amended by Chapter 234, Laws of Utah 1998
                      53A-17a-131.6, as last amended by Chapter 234, Laws of Utah 1998
                      53A-17a-131.8, as last amended by Chapter 234, Laws of Utah 1998
                      53A-17a-131.9, as last amended by Chapter 234, Laws of Utah 1998
                      53A-17a-132, as last amended by Chapter 234, Laws of Utah 1998
                      53A-17a-135, as last amended by Chapters 234 and 322, Laws of Utah 1998
                      53A-21-105, as last amended by Chapter 234, Laws of Utah 1998
                  ENACTS:
                      53A-17a-131.11, Utah Code Annotated 1953
                      53A-17a-131.12, Utah Code Annotated 1953
                  This act enacts uncodified material.
                  Be it enacted by the Legislature of the state of Utah:
                      Section 1. Section 53A-16-107 is amended to read:
                       53A-16-107. Debt service and capital outlay -- Maintenance of school plants --
                  Authority to use proceeds of .0002 tax rate -- Restrictions and procedure.
                      (1) (a) A local school board may levy a tax not to exceed .0024 per dollar of taxable value
                  for debt service and capital outlay.
                      (b) Each local school board may utilize the proceeds of a maximum of .0002 per dollar of
                  taxable value of its annual capital outlay levy for the maintenance of school plants in its school
                  district.
                      (2) A board that uses [this] the option provided under Subsection (1)(b) must do the

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                  following:
                      (a) maintain the same level of expenditure for maintenance in the current year as it did in
                  the preceding year, plus the annual average percentage increase applied to the maintenance and
                  operation budget for the current year; and
                      (b) identify the expenditure of capital outlay funds for maintenance by a district project
                  number to ensure that the funds were expended in the manner intended.
                      (3) The State Board of Education shall establish by rule the expenditure classification for
                  maintenance under this program using a standard classification system.
                      Section 2. Section 53A-17a-103 is amended to read:
                       53A-17a-103. Definitions.
                      As used in this chapter:
                      (1) "Basic state-supported school program" or "basic program" means public education
                  programs for kindergarten, elementary, and secondary school students that are operated and
                  maintained for the amount derived by multiplying the number of weighted pupil units for each
                  district by [$1,854] $1,901, except as otherwise provided in this chapter.
                      (2) "Certified revenue levy" means a property tax levy that provides the same amount of ad
                  valorem property tax revenue as was collected for the prior year, plus new growth, but exclusive of
                  revenue from collections from redemptions, interest, and penalties.
                      (3) "Leeway program" or "leeway" means a state-supported voted leeway program or board
                  leeway program authorized under Section 53A-17a-133 or 53A-17a-134 .
                      (4) "Pupil in average daily membership (ADM)" means a full-day equivalent pupil.
                      (5) "State-supported minimum school program" or "minimum school program" means public
                  school programs for kindergarten, elementary, and secondary schools.
                      (a) The minimum school program established in the districts shall include the equivalent of
                  a school term of nine months as determined by the State Board of Education.
                      (b) (i) The board shall establish the number of days or equivalent instructional hours that
                  school is held for an academic school year.
                      (ii) Education, enhanced by utilization of technologically enriched delivery systems, when

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                  approved by local school boards, shall receive full support by the State Board of Education as it
                  pertains to fulfilling the 990-hour attendance requirements, excluding time spent viewing
                  commercial advertising.
                      (c) The program shall be operated and maintained for the total of the following annual costs:
                      (i) the cost of a basic state-supported school program;
                      (ii) the amount appropriated in Section 53A-17a-123 for the local program;
                      (iii) the amount appropriated in Section 53A-17a-125 for retirement and social security;
                      (A) each school district shall receive its share of retirement and social security monies based
                  on its total weighted pupil units compared to the total weighted pupil units for all districts in the
                  state;
                      (B) the monies needed to support retirement and social security shall be determined by
                  taking the district's prior year allocation and adjusting it for student growth, for the percentage
                  increase in the value of the weighted pupil unit, and the effect of any change in the rates for
                  retirement, social security, or both;
                      (iv) the amount of the employer contribution required or made in behalf of employees under
                  Sections 49-2-301 and 49-3-301 ;
                      (v) the amount of the employer contribution under Section 1400 of the Federal Insurance
                  Contribution Act in accordance with Section 67-11-5 for local school boards;
                      (vi) the amount appropriated in Chapter 17a:
                      (A) for an incentives for excellence program;
                      (B) as a contingency fund for the State Board of Education;
                      (C) for state-supported transportation;
                      (D) for a teacher inservice program;
                      (E) for regional service centers;
                      (F) for the educational technology initiative program;
                      (G) for a school nurse program;
                      [(H) for the centennial schools program;]
                      [(I)] (H) for a comprehensive guidance program;

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                      [(J)] (I) for families, agencies, and communities together for children and youth at risk
                  programs;
                      [(K)] (J) for experimental and developmental programs;
                      [(L)] (K) for alternative language services programs;
                      [(M)] (L) for highly impacted schools; and
                      [(N)] (M) for character education programs; and
                      (vii) the cost of a leeway program.
                      (d) The program includes school construction aid programs authorized under Title 53A,
                  Chapter 21, Public Education Capital Outlay Act.
                      (6) "Weighted pupil unit or units" means the unit of measure of factors that is computed in
                  accordance with this chapter for the purpose of determining the costs of a program on a uniform
                  basis for each district.
                      Section 3. Section 53A-17a-104 is amended to read:
                       53A-17a-104. Amount of state's contribution toward minimum school program.
                      (1) The total contribution of the state toward the cost of the operation and maintenance
                  portion of the minimum school program, as provided and defined in Section 53A-17a-103 , may not
                  exceed the sum of [$1,398,982,182] $1,439,215,683 for the [1998-99] 1999-2000 school year,
                  except as otherwise provided by the Legislature through supplemental appropriations.
                      (2) It is intended that the funds provided are for the following purposes and in the following
                  amounts:
                                                       Estimated State and
                  Estimated                                 Local Funds at
                                                          [$1,854] $1,901
                  Weighted             Purpose                 Per Weighted
                  Pupil Units            State Contribution                 Pupil Unit
                  [19,443] 19,604    Basic program - kindergarten.         [$36,047,322] $37,267,204
                  [430,531] 427,276    Basic program - grades 1-12.            [$798,204,474] $812,251,676
                  [41,635] 41,394    Basic program - professional staff.         [$77,191,290] $78,689,994

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                  1,655         Basic program - administrative costs.     [$3,068,370] $3,146,155
                  5,494         Basic program - necessarily existent small     [$10,185,876] $10,444,094
                              schools and units for consolidated schools.    
                  [52,532] 52,697    Special education - regular program         [$97,394,328] $100,176,997
                               - add-on WPUs for students with disabilities.
                  [4,380] 4,724    Preschool Special Education Program.     [$8,120,520] $8,980,324
                  [11,868] 12,299    Self-contained regular WPUs.         [$22,003,272] $23,380,399
                  [238] 237    Extended year program for severely disabled. [$441,252] $450,537
                  [1,358] 1,350    Special education - state programs.         [$2,517,732] $2,566,350
                  [19,578] 19,464    Applied technology and technical education     [$36,297,612] $37,001,064
                               district programs.
                  [995] 989    Applied technology district set-aside.     [$1,844,730] $1,880,089
                  [9,654] 9,598    Youth at risk programs.             [$17,898,516] $18,245,798
                  [3,427] 3,407    Adult education.                 [$6,353,658] $6,476,707
                  [3,863] 3,841    Accelerated learning programs.         [$7,162,002] $7,301,741
                  [11,616] 11,549    Local programs.
             [$21,536,064] $21,954,649
                  [24,394] 24,253    Career ladder.
             [$45,226,476] $46,104,953
                  [25,804] 29,577    Class size reduction.                 [$47,840,616] $56,225,877
                  [668,465] 669,408    TOTAL OF ALL ABOVE         [$1,239,334,110] $1,272,544,608
                               PROGRAMS    
                              Social Security and retirement programs.     [$238,069,744] $244,458,871
                               Pupil Transportation to and from school.    [$49,297,947] $50,237,319
                              Contingency fund.             [$421,692] $419,246
                              Incentives for excellence.            [$618,498] $614,911
                              Regional service centers.            [$1,084,495] $1,111,595
                              Staff Development.                [$1,474,127] $1,965,577
                              Comprehensive Guidance.            [$6,900,784] $7,033,759
                              Educational Technology Initiative.        [$8,505,682] $8,970,322

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                              [Centennial Schools.]                [$1,143,437]
                               Alternative Language Services.        [$2,845,065] $2,828,564
                              Highly Impacted Schools.            [$5,404,553] $4,873,207
                              Character Education Program.        [$400,000]     $397,680
                              Families, Agencies, and Communities Together. [$1,257,966] $1,250,670
                              School Nurses.                 [$399,265]     $496,949
                              Transportation Levy.                         $225,000
                              Technology, Life, Careers, and Work-Based             $2,235,000
                              Learning Programs.
                              Truancy Intervention.                         $150,000
                              Youth in Custody.                         $1,000,000
                              Experimental and Developmental Program.     [$6,045,756] $5,933,056
                              State-supported voted leeway.         [$93,726,459] $109,075,315
                              State-supported board leeway.         [$33,502,343] $34,968,963
                              Total estimated contributions to     [$1,690,431,923] $1,750,790,612
                              school districts for all programs.    
                              Less estimated proceeds from         [$291,449,741] $311,574,929
                              state-supported local levies.
                              TOTAL STATE FUNDS         [$1,398,982,182] $1,439,215,683
                      Section 4. Section 53A-17a-111 is amended to read:
                       53A-17a-111. Weighted pupil units for programs for students with disabilities --
                  District allocation.
                      (1) There is appropriated to the State Board of Education [$130,477,104 (70,376]
                  $135,554,607 (71,307 weighted pupil units) for allocation to local school board programs for
                  students with disabilities.
                      (2) Included in the appropriation is [$97,394,328] $100,176,997 for add-on WPUs for
                  students with disabilities enrolled in regular programs.
                      (3) The number of weighted pupil units for students with disabilities shall reflect the direct

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                  cost of programs for those students conducted in accordance with definitions, guidelines, rules, and
                  standards established by the State Board of Education in accordance with Title 63, Chapter 46a, Utah
                  Administrative Rulemaking Act.
                      (4) Disability program monies allocated to districts are restricted and shall be spent for the
                  education of students with disabilities but may include expenditures for approved programs of
                  services conducted for certified instructional personnel who have students with disabilities in their
                  classes.
                      (5) The State Board of Education shall establish and strictly interpret definitions and provide
                  standards for determining which students have disabilities and shall assist districts in determining
                  the services that should be provided to students with disabilities.
                      (6) Each year the board shall evaluate the standards and guidelines that establish the
                  identifying criteria for disability classifications to assure strict compliance with those standards by
                  the districts.
                      (7) Each district shall receive its allocation of monies appropriated in Subsection
                  53A-17a-111 (2) for add-on WPUs for students with disabilities enrolled in regular programs as
                  provided in this subsection.
                      (a) The State Board of Education shall use the total number of special education add-on
                  weighted pupil units used to fund fiscal year 1989-90 as a foundation for the special education
                  add-on appropriation.
                      (b) A district's special education add-on WPUs for the current year may not be less than the
                  foundation special education add-on WPUs.
                      (8) When monies appropriated under this chapter fund the foundation weighted pupil units,
                  as outlined in Subsection (7)(a), growth WPUs shall be added to the prior year special education
                  add-on WPUs, and growth WPUs shall be determined as follows:
                      (a) The special education student growth factor is calculated by comparing S-3 total special
                  education ADM of two years previous to the current year to the S-3 total special education ADM
                  three years previous to the current year, not to exceed the official October total district growth factor
                  from the prior year.

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                      (b) When calculating and applying the growth factor, a district's S-3 total special education
                  ADM for a given year is limited to 12.18% of the district's S-3 total student ADM for the same year.
                      (c) Growth ADMs are calculated by applying the growth factor in Subsection (8)(a) to the
                  S-3 total special education ADM of two years previous to the current year.
                      (d) Growth ADMs for each district in Subsection (8)(c) are multiplied by 1.53 weighted
                  pupil units and added to the prior year special education add-on WPU to determine each district's
                  total allocation.
                      (9) If monies appropriated under this chapter for programs for students with disabilities do
                  not meet the costs of districts for those programs, each district shall first receive the amount
                  generated for each student with a disability under the basic program.
                      Section 5. Section 53A-17a-112 is amended to read:
                       53A-17a-112. Preschool special education appropriation -- Extended year program
                  appropriation -- Appropriation for special education programs in state institutions.
                      (1) Included in the [$130,477,104] $135,554,607 appropriation under Section 53A-17a-111
                  is:
                      (a) an amount of [$8,120,520] $8,980,324 for preschool special education programs;
                      (b) an amount of [$22,003,272] $23,380,399 for self-contained regular WPU special
                  education programs;
                      (c) an amount of [$441,252] $450,537 for extended year programs for the severely disabled;
                  and
                      (d) an amount of [$2,517,732] $2,566,350 for special education programs in state institutions
                  and for district impact aid.
                      (2) (a) The [$8,120,520 (4,380 weighted pupil units) appropriated] amount designated for
                  the preschool special education program under Subsection (1)(a) is allocated to school districts to
                  provide a free, appropriate public education to preschool students with a disability, ages three
                  through five.
                      (b) The monies are distributed on the basis of a school district's previous year December 1
                  disabled preschool child count as mandated by federal law.

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                      (3) The extended school year program for the severely disabled is limited to students with
                  severe disabilities with education program goals identifying significant regression and recoupment
                  disability as approved by the State Board of Education.
                      (4) (a) The monies appropriated for self-contained regular special education programs may
                  not be used to supplement other school programs.
                      (b) Monies in any of the other restricted line item appropriations may not be reduced more
                  than 2% to be used for purposes other than those specified by the appropriation, unless otherwise
                  provided by law.
                      (5) (a) The State Board of Education shall compute preschool funding by a factor of 1.205
                  times the current December 1 child count of eligible preschool aged three, four, and five-year-olds
                  times the WPU value, limited to 8% growth over the prior year December 1 count.
                      (b) The board shall develop guidelines to implement the funding formula for preschool
                  special education, and establish prevalence limits for distribution of the moneys.
                      Section 6. Section 53A-17a-113 is amended to read:
                       53A-17a-113. Weighted pupil units for applied technology education programs --
                  Funding of approved programs -- Performance measures -- Qualifying criteria.
                      (1) There is appropriated to the State Board for Applied Technology Education, hereafter
                  referred to in this section as the board, [$36,297,612 (19,578] $37,001,064 (19,464 weighted pupil
                  units) to pay the added instructional costs of approved applied technology education programs.
                      (a) Included in the [$36,297,612] appropriation is [$780,534] $800,321 (421 weighted pupil
                  units) for summer applied technology agriculture programs.
                      (b) These monies are allocated to eligible recipients as provided in Subsections (2), (3), and
                  (4).
                      (c) Money appropriated under Subsection 53A-17a-113 (1) and any money appropriated for
                  work-based education may not be used to fund programs below the ninth grade level.
                      (2) Weighted pupil units are computed for pupils in approved programs.
                      (a) The board shall fund approved programs based upon hours of membership of 9th through
                  12th grade students.

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                      (b) The board shall use an amount not to exceed 20% of the total appropriation under this
                  section to fund approved programs based on performance measures such as placement and
                  competency attainment defined in standards set by the board for districts to qualify for applied
                  technology funding.
                      (c) Leadership organization funds shall constitute an amount not to exceed 1% of the total
                  appropriation under this section, and shall be distributed to each local educational agency sponsoring
                  applied technology student leadership organizations in a ratio representing the agency's share of the
                  state's total membership in those organizations.
                      (d) The board shall make the necessary calculations for distribution of the appropriation to
                  school districts and may revise and recommend changes necessary for achieving equity and ease of
                  administration.
                      (3) (a) Twenty weighted pupil units shall be computed for each district, or 25 weighted pupil
                  units may be computed for each district that consolidates applied technology administrative services
                  with one or more other districts.
                      (b) Between 10 and 25 weighted pupil units shall be computed for each high school
                  conducting approved applied technology education programs in a district according to standards
                  established by the board.
                      (c) Forty weighted pupil units shall be computed for each district that operates an approved
                  district applied technology center.
                      (d) Between five and seven weighted pupil units shall be computed for each summer applied
                  technology agriculture program according to standards established by the board.
                      (e) The board shall, by rule, establish qualifying criteria for districts to receive weighted
                  pupil units under Subsection (3).
                      (4) (a) All monies allocated under Subsection (1) are computed by using average daily
                  membership in approved programs for the previous year.
                      (b) A district that has experienced student growth in grades 9 through 12 for the previous
                  year shall have the growth factor applied to the previous year's weighted pupil units when calculating
                  the allocation of monies under this subsection.

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                      (5) (a) The board shall establish rules for the upgrading of high school applied technology
                  education programs.
                      (b) The rules shall reflect technical training and actual marketable job skills in society.
                      (c) The rules shall include procedures to assist school districts to convert existing programs
                  which are not preparing students for the job market into programs that will accomplish that purpose.
                      (6) Programs that do not meet board standards may not be funded under this section.
                      Section 7. Section 53A-17a-116 is amended to read:
                       53A-17a-116. Weighted pupil units for applied technology set-aside programs.
                      (1) There is appropriated to the State Board for Applied Technology Education [$1,844,730
                  (995] $1,880,089 (989 weighted pupil units) for an applied technology set-aside program.
                      (2) Applied technology set-aside funds appropriated to the board are allocated by Request
                  for Proposal (RFP) to provide a district minimum payment for applied technology education.
                      (3) Each district shall receive a guaranteed minimum allocation.
                      (4) The set-aside funds remaining after the initial minimum payment allocation are
                  distributed by an RFP process to help pay for equipment costs necessary to initiate new programs
                  and for high priority programs as determined by labor market information.
                      Section 8. Section 53A-17a-119 is amended to read:
                       53A-17a-119. Weighted pupil units for adult education programs.
                      (1) There is appropriated to the State Board of Education [$6,353,658 (3,427] $6,476,707
                  (3,407 weighted pupil units) for allocation to local school boards for adult education programs,
                  consisting of adult high school completion and adult basic skills programs.
                      (2) Each district shall receive its pro rata share of the appropriation for adult high school
                  completion programs based on the number of people listed in the latest official census who are over
                  18 years of age and who do not have a high school diploma and prior year participation.
                      (3) On February 1 of each school year, the State Board of Education shall recapture monies
                  not used for an adult high school completion program for reallocation to districts that have
                  implemented programs based on need and effort as determined by the [State Board of Education]
                  board.

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                      (4) To the extent of monies available, school districts shall provide programs to adults who
                  do not have a diploma and who intend to graduate from high school, with particular emphasis on
                  homeless individuals who are seeking literacy and life skills.
                      (5) Overruns in adult education in any district may not reduce the value of the weighted                   pupil
                  unit for this program in another district.
                      (6) The board shall provide the Legislature with a recommendation as to if and when any
                  fees should be charged for participation in the adult high school completion programs funded under
                  this section.
                      (7) School districts shall spend money on adult basic skills programs according to standards
                  established by the [State Board of Education] board.
                      Section 9. Section 53A-17a-120 is amended to read:
                       53A-17a-120. Weighted pupil units for accelerated learning programs.
                      (1) There is appropriated to the State Board of Education [$7,162,002 (3,863] $7,301,741
                  (3,841 weighted pupil units) for allocation to local school boards for accelerated learning programs
                  in grades one through 12, which include programs for the gifted and talented, concurrent enrollment,
                  and advanced placement.
                      (2) (a) A school participating in the concurrent enrollment programs offered under Section
                  53A-15-101 shall receive on a per student basis up to $33.33 per quarter hour or $50 per semester
                  hour for each hour of higher education course work undertaken at the school.
                      [(b) The concurrent enrollment component of the appropriation under Subsection (1) and
                  the appropriation under Subsection (4) are the revenue source for the Subsection (2)(a) payments.]
                      [(c)] (b) Each year the amounts specified in Subsection (2)(a) shall be adjusted in proportion
                  to the increase in the value of the weighted pupil unit from the prior year established in Subsection
                  53A-17a-103 (1).
                      (3) (a) Districts shall spend monies for these programs according to standards established
                  by the State Board of Education in accordance with Title 63, Chapter 46a, Utah Administrative
                  Rulemaking Act.
                      (b) The State Board of Education shall develop uniform and consistent policies for school

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                  districts to follow in utilizing advanced placement and concurrent enrollment monies.
                      Section 10. Section 53A-17a-121 is amended to read:
                       53A-17a-121. Weighted pupil units for youth at risk programs.
                      (1) There is appropriated to the State Board of Education [$17,898,516 (9,654] $18,245,798
                  (9,598 weighted pupil units) for allocation to local school boards for youth at risk programs,
                  including the following:
                      (a) youth in custody;
                      (b) [teenage] adolescent pregnancy prevention;
                      (c) homeless and disadvantaged minority students;
                      (d) mathematics, engineering, and science achievement programs; [and]
                      (e) gang prevention and intervention; and
                      (f) at-risk flow through.
                      (2) Districts shall spend monies for these programs according to standards established by
                  the State Board of Education in accordance with Title 63, Chapter 46a, Utah Administrative
                  Rulemaking Act.
                      (3) (a) From the amount appropriated for youth at risk programs, the board shall allocate
                  moneys for [teenage] adolescent pregnancy prevention programs to school districts on the basis of
                  a district's total number of students enrolled in classes as of October 1 that teach a curriculum of
                  [teenage] adolescent pregnancy prevention as compared to the total number of students enrolled in
                  such programs in school districts throughout the state.
                      (b) The [teenage] adolescent pregnancy prevention programs funded under this subsection
                  shall require written consent from parents or guardians for student participation, involve parents or
                  guardians of participating students in a substantial and consistent manner, and comply with the
                  requirements of Sections 76-7-321 through 76-7-325 .
                      (c) To qualify for participation in the program, a district shall demonstrate to the state board
                  through prior research and pilot studies with similar student populations that those students attained
                  and retained knowledge, values, attitudes, and behaviors that promote abstinence from sexual
                  activity before marriage, and that the students had a lower pregnancy rate than comparison groups

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                  that did not participate in the program.
                      (d) Further qualification requires approval by the local board and state board of all teaching
                  materials, handouts, media materials, audiovisual materials, textbooks, curriculum materials, and
                  course outlines to be used in the program.
                      (e) The state board may not use a district's participation in the [teenage] adolescent
                  pregnancy prevention program as an offset against the district's historical proportionate share of the
                  remaining fund balance.
                      (f) A school district may spend any additional moneys allocated for [teenage] adolescent
                  pregnancy prevention programs as long as the programs comply with the guidelines established in
                  Subsections (3)(b), (c), and (d), if the need for such a program is greater than the allocation received
                  under Subsection (a).
                      (4) (a) From the amount appropriated for youth at risk programs, the board shall allocate
                  moneys to school districts for homeless and disadvantaged minority students.
                      (b) Each district shall receive its allocation on the basis of:
                      (i) the total number of homeless students in the district;
                      (ii) added to 50% of the number of disadvantaged minority students in the district;
                      (iii) multiplying the total of Subsections (i) and (ii) by the value of the weighted pupil unit;
                  and
                      (iv) prorating the amount under Subsection (iii) to the amount in Subsection (4)(a).
                      (5) (a) From the amount appropriated for youth at risk programs, the board shall allocate
                  moneys for mathematics, engineering, and science achievement programs, MESA programs, in the
                  districts.
                      (b) The board shall make the distribution to school districts on a competitive basis by
                  application under guidelines established by the board.
                      (6) (a) From the amount appropriated for youth at risk programs, the board shall distribute
                  moneys for gang prevention and intervention programs at the district or school level.
                      (b) The board shall make the distribution to school districts under guidelines established by
                  the board consistent with Section 53A-15-601 .

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                      (7) (a) From the amount appropriated for youth at risk programs, the board shall distribute
                  moneys for programs for youth in custody.
                      (b) The board shall allocate these moneys to school districts which operate programs for
                  youth in custody in accordance with standards established by the board.
                      (c) In addition to the appropriation under Subsection (1), there is appropriated for the fiscal
                  year beginning July 1, 1999, $1,000,000 for youth in custody programs operated by school districts.
                      (8) From the amount appropriated for youth at-risk programs, the board shall allocate monies
                  based on:
                      (a) a formula which takes into account prior year WPU's per district and a district's low
                  income population; and
                      (b) a minimum base of no less than $18,600 for small school districts.
                      Section 11. Section 53A-17a-123 is amended to read:
                       53A-17a-123. State contribution for the local program.
                      (1) There is appropriated to the State Board of Education [$21,536,064 (11,616]                   $21,954,649
                  (11,549 weighted pupil units) for allocation to school districts for the local program on the basis of
                  each district's prior year weighted pupil units for grades K-12 and necessarily existent small schools.
                      (2) As an exception to Section 53A-17a-136 these monies may be used for the following
                  purposes:
                      (a) maintenance and operation costs;
                      (b) capital outlay and debt service; or
                      (c) a combination of maintenance and operation costs and capital outlay and debt service.
                      Section 12. Section 53A-17a-124 is amended to read:
                       53A-17a-124. State contributions to career ladders -- Distribution of appropriation --
                  Performance bonus.
                      (1) There is appropriated to the State Board of Education [$45,226,476 (24,394]                   $46,104,953
                  (24,253 weighted pupil units) for career ladders for distribution to school districts in accordance with
                  career ladder guidelines provided by the state board and Title 53A, Chapter 9.
                      (a) The state board shall distribute the appropriation, upon application, to each local school

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                  board by a formula based on the average of equal weighting considerations for:
                      (i) a district's prior year average daily membership;
                      (ii) the total number of teachers employed by a district during the prior year; and
                      (iii) weighted pupil units allocated to the district.
                      (b) The Legislature shall provide for an annual adjustment in the career ladder appropriation
                  in proportion to:
                      (i) the increase in the value of the weighted pupil unit established in this chapter; and
                      (ii) the increase in the number of students in the state over the prior year.
                      (2) Each school district participating in the career ladder program may spend career ladder
                  monies:
                      (a) to pay a performance bonus to teachers judged by the district as being outstanding in
                  regular classroom performance;
                      (b) (i) for additional nonteaching days for teachers to devote to curriculum development,
                  inservice training, preparation, and related activities;
                      (ii) a local board of education may specifically use from the career ladder appropriation an
                  amount equivalent to $300 per eligible teacher per year for approved inservice costs, for daily
                  stipends, for per diem expenses, and for eligible teacher trainers; and
                      (c) for negotiated additional teacher compensation for extending the length of the
                  instructional day or the number of instructional days.
                      Section 13. Section 53A-17a-124.1 is amended to read:
                       53A-17a-124.1. State contribution for staff development -- Training on personalized
                  education plans.
                      (1) There is appropriated to the State Board of Education [$1,474,127] $1,965,577 for staff
                  development for school teachers, including instruction in methods which incorporate the revised
                  mathematics and science core curriculum, the use of technology as an instructional tool, and the
                  development of teacher skills in the use of new assessment tools that demonstrate student
                  competency.
                      (2) The board shall use the appropriation to improve access to schooling for all students by

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                  training teachers to provide a personalized education plan to meet the needs of each child.
                      (3) Included in the appropriation is $500,000 specifically designated for training teachers
                  in implementing reading and literacy initiatives.
                      Section 14. Section 53A-17a-124.5 is amended to read:
                       53A-17a-124.5. Appropriation for class size reduction.
                      (1) There is appropriated to the State Board of Education [$47,840,616 (25,804]                   $56,225,877
                  (29,577 weighted pupil units) to reduce the average class size in kindergarten through the [sixth]
                  eighth grade in the state's public schools.
                      (2) (a) Except as provided in Subsection (b), each district shall receive its allocation based
                  upon prior year average daily membership in kindergarten through grade [six] eight plus growth as
                  determined under Subsection 53A-17a-106 (3) as compared to the state total.
                      (b) The State Board of Education shall distribute [12%] 5% of the appropriation to school
                  districts based upon a formula developed by the board that takes into account:
                      (i) a school district's ability to raise money for growth and accompanying capital facility
                  needs;
                      (ii) need as reflected by:
                      (A) the current number of students in the affected grades in the district who are in alternative
                  housing; and
                      (B) growth in the affected grades both within the district and compared to the state as a
                  whole; and
                      (iii) the school district's past and present effort to raise money and to construct new or to
                  better utilize existing facilities through scheduling or delivery systems in order to deal with class size
                  reduction.
                      (c) The formula used to distribute moneys under Subsection (2)(b) shall be phased out as
                  follows:
                      [(i) 12% of the moneys shall be distributed by the formula for the fiscal year beginning July
                  1, 1998;]
                      [(ii)] (i) [the formula percentage shall decrease to] 5% of the moneys shall be distributed by

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                  the formula for the fiscal year beginning July 1, 1999; and
                      [(iii)] (ii) the formula distribution shall be totally eliminated for the fiscal year beginning
                  July 1, 2000.
                      (3) (a) A district may use its allocation to reduce class size in any one or all of the grades
                  referred to under this section, except as otherwise provided in Subsection (3)(b).
                      (b) (i) Each district shall use 50% of its allocation to reduce class size in any one or all of
                  grades kindergarten through grade two, with an emphasis on improving student reading skills.
                      (ii) If a district's average class size is below 18 in grades kindergarten through two, it may
                  petition the state board for, and the state board may grant, a waiver to use its allocation under
                  Subsection (3)(b)(i) for class size reduction in the other grades.
                      (4) Schools may use nontraditional innovative and creative methods to reduce class sizes
                  with this appropriation and may use part of their allocation to focus on class size reduction for
                  specific groups, such as at risk students, or for specific blocks of time during the school day.
                      (5) (a) A school district may use up to 20% of its allocation under Subsection (1) for capital
                  facilities projects if such projects would help to reduce class size.
                      (b) If a school district's student population increases by 5% or 700 students from the                   previous
                  school year, the school district may use up to 50% of any allocation it receives under this section for
                  classroom construction.
                      (6) This appropriation is to supplement any other appropriation made for class size
                  reduction.
                      (7) (a) The State Board of Education shall compile information on class size, both in average
                  student-teacher ratios and in actual number of students enrolled in each classroom by grade level for
                  elementary grades and by subject matter for secondary grades.
                      (b) The State Board of Education shall establish uniform class size reporting rules among
                  districts.
                      (c) Provisions may be made for explaining special circumstances where class size exceeds
                  or is below normal distributions.
                      (8) (a) Each school district shall provide [the State Board of Education with an annual

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                  accounting of how its allocation was used for class size reduction during the school year] annually
                  to the state superintendent of public instruction a summary report on the overall district plan for
                  utilizing class size reduction funds provided by the Legislature.
                      [(b) The state superintendent of public instruction shall provide the Legislature and the
                  governor with an annual report on the program's progress and success, including the information
                  received under Subsection (8)(a).]
                      (b) If the district has received new additional class size reduction funds during the previous
                  year, the district shall report data identifying how:
                      (i) the use of the funds complies with legislative intent; and
                      (ii) the use of the funds supplements the district's class size reduction plan.
                      (9) The Legislature shall provide for an annual adjustment in the appropriation authorized
                  under this section in proportion to the increase in the number of students in the state in kindergarten
                  through grade [six] eight.
                      Section 15. Section 53A-17a-125 is amended to read:
                       53A-17a-125. Appropriation for retirement and social security.
                      (1) There is appropriated to the State Board of Education [$229,443,217] $244,458,871 for
                  retirement and social security costs.
                      (2) The employee's retirement contribution shall be 1% for employees who are under the
                  state's contributory retirement program.
                      (3) The employer's contribution under the state's contributory retirement program is
                  determined under Section 49-2-301 , subject to the 1% contribution under Subsection (2).
                      (4) The employer-employee contribution rate for employees who are under the state's
                  noncontributory retirement program is determined under Section 49-3-301 .
                      Section 16. Section 53A-17a-126 is amended to read:
                       53A-17a-126. State support of pupil transportation -- Incentives to increase economy
                  and productivity in student transportation.
                      (1) The state's contribution of [$49,297,947] $50,237,319 for state-supported transportation
                  of public school students is apportioned and distributed in accordance with Section 53A-17a-127 ,

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                  except as otherwise provided in this section.
                      (2) (a) Included in the [$49,297,947] appropriation under Subsection (1) is an amount not
                  less than $1,397,000 to be deducted prior to any other distribution under this section to school
                  districts, and allocated to the Utah Schools for the Deaf and the Blind to pay transportation costs of
                  the schools' students.
                      (b) The Utah Schools for the Deaf and the Blind shall utilize these funds to pay for
                  transportation of their students based on current valid contractual arrangements and best
                  transportation options and methods as determined by the schools.
                      (c) All student transportation costs of the schools shall be paid from the allocation received
                  under Subsection (2).
                      (3) Each district shall receive its approved transportation costs, except that if during the
                  fiscal year the total transportation allowance for all districts exceeds the amount appropriated, all
                  allowances shall be reduced pro rata to equal not more than that amount.
                      (4) Included in the [$49,297,947] appropriation under Subsection (1) is an amount of
                  $187,000 for transportation of students, as approved by the state board, for school districts that
                  consolidate schools, implement double session programs at the elementary level, or utilize other
                  alternatives to building construction that require additional student transportation.
                      (5) (a) Part of the state's contribution for transportation, not to exceed $200,000, may be used
                  as an incentive for districts to increase economy and productivity in student transportation.
                      (b) This amount is distributed on a pro rata basis among districts which have achieved the
                  most efficiency according to the state formula.
                      (c) Districts receiving the incentive funding may expend the monies at the discretion of the
                  local school board.
                      (6) (a) Local school boards shall provide salary adjustments to employee groups that work
                  with the transportation of students comparable to those of classified employees authorized under
                  Section 53A-17a-137 , when dividing the weighted pupil unit for salary adjustment purposes.
                      (b) The State Board of Education shall conduct a study to evaluate the reimbursement system
                  of funding for pupil transportation with emphasis on looking at methodologies that will provide

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                  incentives for districts that will encourage economical practices.
                      Section 17. Section 53A-17a-127 is amended to read:
                       53A-17a-127. Eligibility for state-supported transportation -- Approved bus routes --
                  Additional local tax.
                      (1) A student eligible for state-supported transportation means:
                      (a) a student enrolled in kindergarten through grade six who lives at least 1-1/2 miles from
                  school;
                      (b) a student enrolled in grades seven through 12 who lives at least two miles from school;
                  and
                      (c) a student enrolled in a special program offered by a school district and approved by the
                  State Board of Education for trainable, motor, multiple-disabled, or other students with severe
                  disabilities who are incapable of walking to school or where it is unsafe for students to walk because
                  of their handicapping condition, without reference to distance from school.
                      (2) If a school district implements double sessions as an alternative to new building
                  construction, with the approval of the State Board of Education, those affected elementary school
                  students residing less than 1-1/2 miles from school may be transported one way to or from school
                  because of safety factors relating to darkness or other hazardous conditions as determined by the
                  local school board.
                      (3) (a) The State Office of Education shall distribute transportation monies to school districts
                  based on three factors:
                      (i) an allowance per mile for approved bus routes;
                      (ii) an allowance per hour for approved bus routes; and
                      (iii) an annual allowance for equipment and overhead costs based on approved bus routes
                  and the age of the equipment.
                      (b) In order for a bus to be considered for the equipment allowance, it must meet federal and
                  state regulations and standards for school buses.
                      (c) The State Office of Education shall annually review the allowance per mile, the
                  allowance per hour, and the annual equipment and overhead allowance and adjust the allowance to

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                  reflect current economic conditions.
                      (4) (a) Approved bus routes for funding purposes shall be determined on fall data collected
                  by October 1.
                      (b) Approved route funding shall be determined on the basis of the most efficient and
                  economic routes.
                      (5) A Transportation Advisory Committee with representation from local school
                  superintendents, business officials, school district transportation supervisors, and the State Office
                  of Education shall serve as a review committee for addressing school transportation needs, including
                  recommended approved bus routes.
                      (6) (a) A local school board may provide for the transportation of students who are not
                  eligible under Subsection (1), regardless of the distance from school, from:
                      (i) general funds of the district; and
                      (ii) a tax rate not to exceed .0003 per dollar of taxable value imposed on the district.
                      (b) A local school board may use revenue from the tax to pay for transporting participating
                  students to interscholastic activities, night activities, and educational field trips approved by the
                  board and for the replacement of school buses.
                      (c) (i) If a local school board levies a tax under Subsection (6)(a)(ii) of at least .0002, the
                  state may contribute an amount not to exceed 85% of the state average cost per mile, contingent upon
                  the Legislature appropriating funds for a state contribution.
                      (ii) The State Office of Education shall distribute the state contribution according to rules
                  enacted by the State Board of Education.
                      (d) (i) The amount of state guarantee money to which a school district would otherwise be
                  entitled to under Subsection (6)(c) may not be reduced for the sole reason that the district's levy is
                  reduced as a consequence of changes in the certified tax rate under Section 59-2-924 pursuant to
                  changes in property valuation.
                      (ii) Subsection (6)(d)(i) applies for a period of two years following the change in the certified
                  tax rate.
                      (7) There is appropriated for the fiscal year beginning July 1, 1999, $225,000 to the state

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                  board as the state's contribution under Subsection (6)(c)(i).
                      Section 18. Section 53A-17a-128 is amended to read:
                       53A-17a-128. Contingency fund for State Board of Education -- Laboratory school at
                  Utah State University.
                      (1) There is appropriated to the State Board of Education from the total amount of state
                  funds listed in Section 53A-17a-104 [$421,692] $419,246 as a contingency fund to do the following:
                      (a) stabilize the value of the weighted pupil unit;
                      (b) maintain program levels in districts that may experience unanticipated and unforeseen
                  losses of students;
                      (c) equalize programs in districts where a strict application of the law provides inequity;
                      (d) pay the added costs when Utah students attend school out of state; and
                      (e) assist in the operation of the laboratory school at Utah State University, [including]
                  through the allocation of monies for a teacher career ladder program at the school.
                      (2) The State Board of Education shall make a strict accounting of these funds and return
                  any unused part to the Uniform School Fund at the close of each fiscal year.
                      [(3) The state's contribution to the State Board of Education for the laboratory school at Utah
                  State University is a part of the contingency fund.]
                      [(4) The contribution shall be used to promote programs at the school.]
                      [(5)] (3) (a) There is established an advisory board for the laboratory school consisting of
                  the following:
                      (i) the president of Utah State University or his designee;
                      (ii) the state superintendent of public instruction or his designee;
                      (iii) the dean of the College of Education at Utah State University or his designee;
                      (iv) a local superintendent of schools;
                      (v) a staff member from the office of the State Board of Education;
                      (vi) a staff member from a local school board;
                      (vii) a staff member from the College of Education at Utah State University; and
                      (viii) two lay citizens noted for their contribution to the improvement of education.

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                      (b) The advisory board members in Subsections (a)(iv) through (viii) are appointed by the
                  State Board of Education for terms specified by that body.
                      Section 19. Section 53A-17a-129 is amended to read:
                       53A-17a-129. State contribution for incentives for excellence.
                      (1) The state's contribution of [$618,498] $614,911 for the incentives for excellence program
                  for the fiscal year beginning July 1, [1998] 1999, is appropriated to the State Board of Education for
                  distribution to school districts according to guidelines established by the board.
                      (2) A school district shall use its allocation to promote a strong partnership between public
                  education and private enterprise, to seek additional financial support from the business community,
                  and to enhance its educational excellence.
                      (3) School districts are encouraged under this program to develop projects that rely on
                  matching private and public monies to promote educational excellence.
                      Section 20. Section 53A-17a-130 is amended to read:
                       53A-17a-130. State contribution to regional service centers.
                      The state's contribution of [$1,084,495] $1,111,595 for regional service centers is
                  appropriated to the State Board of Education for distribution according to guidelines established by
                  the board.
                      Section 21. Section 53A-17a-131.1 is amended to read:
                       53A-17a-131.1. State contribution to the educational technology initiative.
                      (1) The state's contribution of [$8,505,682] $8,970,322 for maintaining the educational
                  technology initiative programs is appropriated to the State Board of Education for distribution
                  according to rules adopted by the board consistent with Title 53A, Chapter 1, Part 7, Educational
                  Technology Programs.
                      (2) Monies received under this section may be used to maintain existing programs and for
                  inservice programs required to implement the technology.
                      (3) Each school district shall develop a comprehensive inservice plan and report
                  expenditures for teacher training to the State Office of Education.
                      Section 22. Section 53A-17a-131.2 is amended to read:

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                       53A-17a-131.2. State contribution to highly impacted schools program.
                      The state's contribution of [$5,404,553] $4,873,207 for the Highly Impacted Schools
                  Program is appropriated to the State Board of Education for distribution according to the formula
                  adopted by the board under Section 53A-15-701 , which authorizes the Highly Impacted Schools
                  Program.
                      Section 23. Section 53A-17a-131.3 is amended to read:
                       53A-17a-131.3. State contributions to the school nurses program.
                      The state's contribution of [$399,265] $496,949 for the school nurses program is appropriated
                  to the State Board of Education for distribution according to guidelines established by the board.
                      Section 24. Section 53A-17a-131.4 is amended to read:
                       53A-17a-131.4. State contribution to Alternative Language Services Program.
                      (1) The state's contribution of [$2,845,065] $2,828,564 for an Alternative Language Services
                  Program is appropriated to the State Board of Education as a funding base for school districts to meet
                  the limited-English-proficient and second language acquisition needs of Utah's language minority
                  student population.
                      (2) The board shall allocate the appropriation to school districts based on submission of
                  [competitive] grant applications and assurances of and compliance with qualifying criteria
                  established by the state board pursuant to its rulemaking authority.
                      Section 25. Section 53A-17a-131.6 is amended to read:
                       53A-17a-131.6. State contribution to Character Education Program.
                      (1) The state's contribution of [$400,000] $397,680 for a Character Education Program for
                  the fiscal year beginning July 1, [1998] 1999, is appropriated to the State Board of Education for
                  distribution to school districts according to rules adopted by the state board.
                      (2) School districts shall use the appropriation primarily for implementing curriculum within
                  the classroom that provides for the direct instruction of students.
                      (3) Character education monies shall also be used to provide inservice training to teachers
                  on the use and teaching of character education materials and to acquaint teachers with the
                  requirements in the Utah Constitution and state statutes to teach qualities of character.

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                      (4) Character education programs are to be systematic and comprehensive in their approach
                  and include student materials, parental involvement, and teacher training.
                      (5) The principles taught, such as integrity, social responsibility, and the importance of the
                  work ethic should be designed to help students avoid high risk behaviors and learn to function as
                  caring, productive citizens in society.
                      (6) The State Office of Education shall assist districts and teachers in providing and
                  recommending character education curriculum to students that meets the guidelines referred to in
                  this section.
                      (7) Proposals in which parents are involved with educators in all phases of the design,
                  implementation, and evaluation of school and district programs shall be given highest priority.
                      Section 26. Section 53A-17a-131.8 is amended to read:
                       53A-17a-131.8. State contribution to the Comprehensive Guidance Program.
                      (1) The state's contribution of [$6,900,784] $7,033,759 for a Comprehensive Guidance
                  Program is appropriated to the State Board of Education for distribution to school districts as
                  follows:
                      (a) the board shall distribute the appropriation to districts to be used at their secondary
                  schools in grades 7-12, with the following priority:
                      (i) grades 9-12; and
                      (ii) grades 7-8 for those schools which meet program standards, to provide a guidance
                  curriculum and individual educational/occupational program for each student at the school;
                      (b) each school shall meet qualification criteria established by rules made by the State Board
                  of Education in order to receive moneys under this program; and
                      (c) the appropriation shall also be used to provide responsive services and eliminate
                  nonguidance activities currently being performed by counselors.
                      (2) (a) It is anticipated that under this program counselors will increase direct services to
                  students to involve at least 80% of the counselors' time and that districts shall document this with
                  onsite review teams.
                      (b) Districts shall provide training to their secondary teachers on their role in assisting in the

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                  development and implementation of SEOPs.
                      (3) The state superintendent of public instruction shall:
                      (a) prepare an inventory of working SEOPs for networking with schools throughout the state;
                  and
                      (b) monitor the program and provide an annual report on its progress and success.
                      Section 27. Section 53A-17a-131.9 is amended to read:
                       53A-17a-131.9. State contribution to agencies coming together for children and youth
                  at risk.
                      (1) There is appropriated [$1,257,966] $1,250,670 to the State Board of Education to
                  implement Title 63, Chapter 75, Families, Agencies, and Communities Together for Children and
                  Youth At Risk Act.
                      (2) Participation in the at risk programs funded under this section shall require consent from
                  a parent or legal guardian for the participant to receive initial or continuing services under the
                  program.
                      (3) A participant's parent or legal guardian shall be actively involved in the program and all
                  applicable state and federal laws and regulations shall be observed by the entities and individuals
                  providing the services.
                      (4) The board shall use the appropriation to experiment on a community full-service delivery
                  system level to provide data on the merits of moving the concept to a fully implemented statewide
                  system.
                      Section 28. Section 53A-17a-131.11 is enacted to read:
                      53A-17a-131.11. State contribution to truancy intervention.
                      The state's contribution of $150,000 for the Truancy Intervention Program is appropriated
                  to the State Board of Education for distribution to school districts according to guidelines established
                  by the board in accordance with Title 63, Chapter 46a, Utah Administrative Rulemaking Act.
                      Section 29. Section 53A-17a-131.12 is enacted to read:
                      53A-17a-131.12. State contribution to Technology, Life, Careers, and Work-based
                  Learning Programs.

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                      The state's contribution of $2,235,000 for the Technology, Life, Careers, and Work-based
                  Learning Programs is appropriated to the State Board of Education for distribution to school districts
                  according to guidelines established by the board in accordance with Title 63, Chapter 46a, Utah
                  Administrative Rulemaking Act.
                      Section 30. Section 53A-17a-132 is amended to read:
                       53A-17a-132. Experimental and developmental programs.
                      (1) The state's contribution of [$6,045,756] $5,933,056 for experimental and developmental
                  programs is appropriated to the State Board of Education for distribution to school districts as
                  follows:
                      (a) the board shall distribute the first part, 34% of the appropriation, equally among the
                  state's 40 school districts;
                      (b) the board shall distribute the second part, 41% of the appropriation, to each district on
                  the basis of its kindergarten through grade 12 average daily membership for the prior year as
                  compared to the prior year state total kindergarten through grade 12 average daily membership; and
                      (c) the board shall distribute 25% of the appropriation pursuant to standards established by
                  the board in accordance with Title 63, Chapter 46a, Utah Administrative Rulemaking Act.
                      (2) (a) A school district may fund a new experimental or developmental program with
                  monies appropriated under Subsection (1) for a maximum of three consecutive years.
                      (b) After the third year, the district shall either fund the program with regular ongoing
                  program monies or terminate the program.
                      (3) (a) The State Board of Education shall allocate $100,000 of the
                  experimental-developmental appropriation for programs to improve the efficiency of classified
                  employees in the public schools.
                      (b) The programs should include training components, classified staffing formulas, and
                  preventative maintenance formulas.
                      (4) (a) The State Board of Education shall allocate $584,900 of the appropriation for the
                  planning, development, and implementation of alternative experimental pilot programs, using
                  certificated teachers, which are cooperative ventures that have demonstrated support of parents, the

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                  recognized teachers' organization, administrators, and students.
                      (b) The State Board of Education shall select schools for the pilot programs by a grant
                  process using selection criteria developed by the state board.
                      (5) Models for experimental activities similar to the nine district consortium activities are
                  permissible under the experimental and developmental appropriation.
                      Section 31. Section 53A-17a-135 is amended to read:
                       53A-17a-135. Certified revenue levy.
                      (1) (a) In order to qualify for receipt of the state contribution toward the basic program and
                  as its contribution toward its costs of the basic program, each school district shall impose a minimum
                  basic tax rate per dollar of taxable value that generates [$175,959,630] $182,893,646 in revenues
                  statewide.
                      (b) The preliminary estimate for the [1998-99] 1999-2000 tax rate is [.001858] .001847.
                      (c) The State Tax Commission shall certify on or before June 22 the rate that generates
                  [$175,959,630] $182,893,646 in revenues statewide.
                      (d) If the minimum basic tax rate exceeds the certified revenue levy as defined in Section
                  59-2-102 , the state is subject to the notice requirements of Section 59-2-926 .
                      (e) For the calendar year beginning on January 1, 1998, and ending December 31, 1998, the
                  certified revenue levy shall be increased by the amount necessary to offset the decrease in revenues
                  from uniform fees on tangible personal property under Section 59-2-405 as a result of the decrease
                  in uniform fees on tangible personal property under Section 59-2-405 enacted by the Legislature
                  during the 1997 Annual General Session.
                      (f) For the calendar year beginning on January 1, 1999, and ending on December 31, 1999,
                  the certified revenue levy shall be adjusted by the amount necessary to offset the adjustment in
                  revenues from uniform fees on tangible personal property under Section 59-2-405.1 as a result of the
                  adjustment in uniform fees on tangible personal property under Section 59-2-405.1 enacted by the
                  Legislature during the 1998 Annual General Session.
                      (2) (a) The state shall contribute to each district toward the cost of the basic program in the
                  district that portion which exceeds the proceeds of the levy authorized under Subsection (1).

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                      (b) In accord with the state strategic plan for public education and to fulfill its responsibility
                  for the development and implementation of that plan, the Legislature instructs the State Board of
                  Education, the governor, and the Office of Legislative Fiscal Analyst in each of the coming five                   years
                  to develop budgets that will fully fund student enrollment growth.
                      (3) (a) If the proceeds of the levy authorized under Subsection (1) equal or exceed the cost
                  of the basic program in a school district, no state contribution shall be made to the basic program.
                      (b) The proceeds of the levy authorized under Subsection (1) which exceed the cost of the
                  basic program shall be paid into the Uniform School Fund as provided by law.
                      Section 32. Section 53A-21-105 is amended to read:
                       53A-21-105. State contribution to capital outlay programs.
                      (1) The state contribution toward the cost of the programs established under Section
                  53A-21-102 for the fiscal year beginning July 1, [1998] 1999, shall consist of an appropriation
                  totaling [$30,858,000] $29,358,000 to the State Board of Education[, $28,358,000] from the
                  Uniform School Fund [and a one-time transfer of $2,500,000 from the remaining balance in the
                  Minimum School Program Act for the fiscal year ended June 30, 1997].
                      [(2) Notwithstanding Subsection 53A-21-103 (3)(a), it is the intent of the Legislature that the
                  $2,500,000 appropriated from transfers shall be used only for the Capital Outlay Equalization
                  Program.]
                      (2) Of the amount appropriated under Subsection (1), $1,000,000 is one-time money.
                      Section 33. One-time appropriations.
                      (1) In addition to the contributions and appropriations set out in Title 53A, Chapter 17a,
                  Minimum School Program Act, for the fiscal year beginning July 1, 1999, there is appropriated from
                  the Uniform School Fund to the State Board of Education for distribution to school districts for the
                  fiscal year ending June 30, 1999, $2,000,000 in one-time nonlapsing moneys as follows:
                      (a) $355,305 for the Centennial Schools Program for distribution under Section 53A-1a-303 ;
                      (b) $1,567,060 for the Schools for the 21st Century Program for distribution under Section
                  53A-1a-403 ; and
                      (c) $77,635 for extended year experimental - developmental programs.

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                      (2) There is appropriated from the Uniform School Fund to the State Board of Education for
                  the fiscal year beginning July 1, 1999, $200,000 in one-time moneys for staff development in school
                  districts.
                      Section 34. Intent language.
                      (1) (a) It is the intent of the Legislature that an audit of the Youth in Custody Program be
                  done and that funding be justified based on program goals, delivery, and success.
                      (b) The State Office of Education is required, prior to the next Legislative General Session,
                  to provide adequate evaluation and program justification.
                      (c) Recommendations are to include alternative options for service delivery with emphasis
                  on achieving greater funding efficiency.
                      (2) (a) It is the intent of the Legislature that the State Office of Education provide a report
                  on its professional development programs to include the number of teachers participating and the
                  type of training given.
                      (b) It is the further intent of the Legislature that continuation of future funding be based on
                  selected criteria that achieve defined goals and that this information be provided to the 2000
                  Legislature.
                      (3) (a) It is the intent of the Legislature that the State Office of Education study and evaluate
                  the Comprehensive Guidance Program and provide a report that outlines the goals of the program
                  and assesses whether the program is achieving those goals.
                      (b) It is further intended that the office evaluate the program to determine if a
                  recommendation to move it to a weighted pupil unit driven program is justified.
                      (4) (a) It is the intent of the Legislature that the State Office of Education provide a report
                  on FACT to the Education Appropriations Subcommittee that details the amount funded for
                  personnel, the number of FTEs in the program, and the amount for services and program
                  effectiveness and the type of services.
                      (b) The office shall report data specific to kindergarten through grade three and Local
                  Interagency Council services.
                      (5) It is the intent of the Legislature that each school district evaluate its outdoor athletic

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                  facilities and upgrade the facilities as funds permit.
                      (6) (a) It is the intent of the Legislature that if the average class size increases during the
                  school year in a particular grade at a school, the school should use a portion of its class size                   reduction
                  moneys to adjust the class size downward in that grade, if warranted by the increased number of
                  students.
                      (b) The reduction may be done by hiring additional educators to go into existing classrooms
                  or creating new teaching stations for the additional educators.
                      (7) It is the intent of the Legislature that no schools be dropped from the Highly Impacted
                  Schools Program who meet the criteria for the program.
                      (8) (a) It is the intent of the Legislature that the State Office of Education work with the
                  Education Interim Committee and the Education Appropriations Subcommittee during the 1999
                  interim to study the consolidation or elimination of line items in the Minimum School Program Act
                  to provide school districts with greater flexibility in using public funds to operate the state's public
                  schools.
                      (b) The office shall make a final report, including recommendations for modifying the
                  Minimum School Program Act, to the committee and subcommittee no later than November 15,
                  1999.
                      Section 35. Effective date.
                      This act takes effect on July 1, 1999, except that Subsections (1)(a), (b), and (c) of Section
                  33 takes effect on May 3, 1999.

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