H.B. 187

This document includes House Committee Amendments incorporated into the bill on Thu, Feb 24, 2005 at 2:30 PM by chopkin. --> 1

CAPITAL OUTLAY FOUNDATION PROGRAM -
2 PARTICIPATION REQUIREMENTS
3 2005 GENERAL SESSION
4 STATE OF UTAH
5 Sponsor: James A. Ferrin
6
7 LONG TITLE
8 General Description:
9 This bill modifies the school district requirements to participate in the Capital Outlay
10 Foundation Program.
11 Highlighted Provisions:
12 This bill:
13 . provides definitions; and
14 . limits school building construction costs and campus size per student capacity for
15 school districts that participate in the Capital Outlay Foundation Program.
16 Monies Appropriated in this Bill:
17 None
18 Other Special Clauses:
19 None
20 Utah Code Sections Affected:
21 AMENDS:
22 53A-21-103, as last amended by Chapter 320, Laws of Utah 2003
23
24 Be it enacted by the Legislature of the state of Utah:
25 Section 1. Section 53A-21-103 is amended to read:
26 53A-21-103. Qualifications for participation in the foundation program --
27 Distribution of monies -- Distribution formulas.

28 (1) As used in this section, "school building construction costs" includes all costs
29 except real property costs and site improvements.
30 [(1)] (2) (a) In order for a school district to qualify for monies under the Capital Outlay
31 Foundation Program established in Subsection 53A-21-102 (1), a local school board [must]
32 shall:
33 (i) levy a tax rate of up to .0024 per dollar of taxable value for capital outlay and debt
34 service[.]; and
35 (ii) provide for the construction of new school buildings in accordance with the
36 standards specified in Subsection (2)(b).
37 (b) Beginning July 1, 2005, a school district receiving monies under the capital outlay
38 foundation program shall construct each school as follows:
39 (i) for students in grades kindergarten through 6:
40 (A) school building construction costs may not exceed $5,000 per student capacity; and
41 (B) the school campus may not exceed .01 acres per student capacity H. in counties
41a of the first, second, and third class .H ;
42 (ii) for students in grades 7 through 9:
43 (A) school building construction costs may not exceed $7,000 per student capacity; and
44 (B) the school campus may not exceed .015 acres per student capacity H. in counties
44a of the first, second, and third class .H ; and
45 (iii) for students in grades 10 through 12:
46 (A) school building construction costs may not exceed $9,000 per student capacity; and
47 (B) the school campus may not exceed .015 acres per student capacity H. in counties
47a of the first, second, and third class .H .
47a H. (c) The requirements under Subsection (2)(b) do not apply to a school designed
47b for a capacity of 400 or fewer students. .H
48 [(2)] (3) The State Board of Education shall adopt rules in accordance with Title 63,
49 Chapter 46a, Utah Administrative Rulemaking Act, that:
50 (a) allow a school district levying less than the full .0024 tax rate to receive
51 proportional funding under the foundation program based upon the percentage of the .0024 tax
52 rate levied by the district; and
53 (b) maintain a school district's funding under the Capital Outlay Foundation Program
54 for up to two years if the school district's funding would otherwise be reduced as a consequence
55 of changes in the certified tax rate under Section 59-2-924 due to changes in property
56 valuation.
57 [(3)] (4) The State Board of Education shall distribute monies in the Capital Outlay
58 Foundation Program in accordance with a formula developed by the state superintendent of

59 public instruction which guarantees that a tax rate of up to .0024 per dollar of taxable value for
60 capital outlay and debt service yields a minimum amount per pupil in average daily
61 membership.




Legislative Review Note
as of 1-6-05 3:52 PM

Based on a limited legal review, this legislation has not been determined to have a high
probability of being held unconstitutional.

Office of Legislative Research and General Counsel