H.B. 124 Enrolled

ENROLLMENT GROWTH PROGRAM
AMENDMENTS
2005 GENERAL SESSION
STATE OF UTAH
Chief Sponsor: Bradley G. Last
Senate Sponsor: Howard A. Stephenson

LONG TITLE
General Description:
This bill modifies the funding formula for a program that provides money to school
districts for school building construction.
Highlighted Provisions:
This bill:
. defines terms, including "yield per ADM";
. removes the requirement that a school district be a recipient of monies distributed
under the Capital Outlay Foundation Program to qualify for monies under the
Enrollment Growth Program; and
. requires school districts to have a tax yield below a certain amount to qualify for
monies under the Enrollment Growth Program.
Monies Appropriated in this Bill:
None
Other Special Clauses:
This bill takes effect on July 1, 2005.
Utah Code Sections Affected:
AMENDS:
53A-21-103.5, as enacted by Chapter 320, Laws of Utah 2003

Be it enacted by the Legislature of the state of Utah:
Section 1. Section 53A-21-103.5 is amended to read:

53A-21-103.5. Qualifications for participation in the Enrollment Growth Program
-- State Board of Education rules -- Distribution formula.
[(1) (a) In order to qualify for monies under the Enrollment Growth Program established
in Section 53A-21-102 , a school district must be a recipient of monies distributed under the
Capital Outlay Foundation Program, except as provided in Subsection (1)(b).]
[(b) A school district that is not a recipient of Capital Outlay Foundation Program
monies in fiscal year 2003-04, fiscal year 2004-05, or both, may qualify for monies under the
Enrollment Growth Program if the school district received Capital Outlay Foundation Program
monies in fiscal year 2002-03.]
(1) As used in this section:
(a) "ADM" means average daily membership.
(b) "Derived valuation" means total school district property tax current collections from
April 1 through the following March 31, divided by the tax rates for the same year.
(c) "Yield per ADM" means the product of the derived valuation multiplied by .0024,
divided by average daily membership.
(2) (a) The State Board of Education shall distribute monies in the Enrollment Growth
Program to qualifying school districts whose:
(i) average net enrollment for the prior three years is a net increase in enrollment[.]; and
(ii) yield per ADM is less than two times the prior year's average yield per ADM for Utah
school districts.
(b) A school district that meets the criteria of Subsection (2)(a) shall receive Enrollment
Growth Program monies in the same proportion that the district's three-year average net
enrollment bears to the total three-year net enrollment of all the districts that meet the criteria of
Subsection (2)(a).
(c) The State Board of Education shall make rules in accordance with Title 63, Chapter
46a, Utah Administrative Rulemaking Act, to administer this section.
Section 2. Effective date.
This bill takes effect on July 1, 2005.