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H.B. 77 Enrolled

             1     

SCHOOL DISTRICT BOUNDARIES

             2     
2006 GENERAL SESSION

             3     
STATE OF UTAH

             4     
Chief Sponsor: David N. Cox

             5     
Senate Sponsor: Curtis S. Bramble

             6      Cosponsors:
             7      Bradley M. Daw
             8      Glenn A. Donnelson
             9      James A. Ferrin
             10      Craig A. FrankGregory H. Hughes
Bradley T. Johnson
Rebecca D. Lockhart
Carol Spackman MossMichael E. Noel
Aaron Tilton
David Ure
Peggy Wallace              11     
             12      LONG TITLE
             13      General Description:
             14          This bill modifies procedures related to the creation of a new school district.
             15      Highlighted Provisions:
             16          This bill:
             17          .    allows the governing body of certain cities and counties to submit for voter approval
             18      a proposal to establish a new school district;
             19          .    imposes requirements for the filing and processing of a petition or request to create
             20      a new school district;
             21          .    requires the county legislative body to make district boundary changes when voters
             22      approve a new school district;
             23          .    provides for transfer of property and indebtedness of affected districts consistent
             24      with procedures for other types of school district boundary changes;
             25          .    provides for certain treatment of transferred employees of affected districts; and
             26          .    makes technical changes.
             27      Monies Appropriated in this Bill:
             28          None
             29      Other Special Clauses:
             30          None


             31      Utah Code Sections Affected:
             32      AMENDS:
             33          53A-2-104, as last amended by Chapter 294, Laws of Utah 1998
             34          53A-2-105, as last amended by Chapter 105, Laws of Utah 2005
             35          53A-2-118, as last amended by Chapter 233, Laws of Utah 2005
             36          53A-2-122, as enacted by Chapter 234, Laws of Utah 2003
             37      ENACTS:
             38          53A-2-118.1, Utah Code Annotated 1953
             39     
             40      Be it enacted by the Legislature of the state of Utah:
             41          Section 1. Section 53A-2-104 is amended to read:
             42           53A-2-104. Transfer of a portion of a school district -- Board resolution -- Board
             43      petition -- Elector petition -- Transfer election.
             44          (1) Part of a school district may be transferred to another district in one of the
             45      following ways:
             46          (a) presentation to the county legislative body of each of the affected counties of a
             47      resolution requesting the transfer, approved by at least four-fifths of the members of the local
             48      board of education of each affected school district;
             49          (b) presentation to the county legislative body of each affected county of a petition
             50      requesting that the electors vote on the transfer, signed by a majority of the members of the
             51      local school board of each affected school district; [or]
             52          (c) presentation to the county legislative body of each affected county of a petition
             53      requesting that the electors vote on the transfer, signed by 15% of the qualified electors in each
             54      of the affected school districts within that county[.]; or
             55          (d) voter approval of a proposal pursuant to Section 53A-2-118.1 .
             56          (2) (a) If an annexation of property by a city would result in its residents being served
             57      by more than one school district, then the presidents of the affected local school boards shall
             58      meet within 60 days prior to the effective date of the annexation to determine whether it would


             59      be advisable to adjust school district boundaries to permit all residents of the expanded city to
             60      be served by a single school district.
             61          (b) Upon conclusion of the meeting, the local school board presidents shall prepare a
             62      recommendation for presentation to their respective boards as soon as reasonably possible.
             63          (c) The boards may then initiate realignment proceedings under Subsection (1)(a) or
             64      (b).
             65          (d) If a local board rejects realignment under Subsection (1)(a) or (b), the other board
             66      may initiate the following procedures by majority vote within 60 days of the vote rejecting
             67      realignment:
             68          (i) (A) within 30 days after a vote to initiate these procedures, each local board shall
             69      appoint one member to a boundary review committee; or
             70          (B) if the local board becomes deadlocked in selecting the appointee under Subsection
             71      (2)(d)(i)(A), the board's chair shall make the appointment or serve as the appointee to the
             72      review committee.
             73          (ii) The two local board-appointed members of the committee shall meet and appoint a
             74      third member of the committee.
             75          (iii) If the two local board-appointed members are unable to agree on the appointment
             76      of a third member within 30 days after both are appointed, the State Superintendent of Public
             77      Instruction shall appoint the third member.
             78          (iv) The committee shall meet as necessary to prepare recommendations concerning
             79      resolution of the realignment issue, and shall submit the recommendations to the affected local
             80      boards within six months after the appointment of the third member of the committee.
             81          (v) If a majority of the members of each local board accepts the recommendation of the
             82      committee, or accepts the recommendation after amendment by the boards, then the accepted
             83      recommendation shall be implemented.
             84          (vi) If the committee fails to submit its recommendation within the time allotted, or if
             85      one local board rejects the recommendation, the affected boards may agree to extend the time
             86      for the committee to prepare an acceptable recommendation or either board may request the


             87      State Board of Education to resolve the question.
             88          (vii) If the committee has submitted a recommendation which the state board finds to
             89      be reasonably supported by the evidence, the state board shall adopt the committee's
             90      recommendation.
             91          (viii) The decision of the state board is final.
             92          (3) (a) The electors of each affected district shall vote on the transfer requested under
             93      Subsection (1)(b) or (c) at an election called for that purpose, which may be the next general
             94      election.
             95          (b) The election shall be conducted and the returns canvassed as provided by election
             96      law.
             97          (c) A transfer is effected only if a majority of votes cast by the electors in both the
             98      proposed transferor district and in the proposed transferee district are in favor of the transfer.
             99          Section 2. Section 53A-2-105 is amended to read:
             100           53A-2-105. Transfer of school property -- Indebtedness on transferred property.
             101          (1) If a transfer of a portion of one school district to another school district is approved
             102      under Section 53A-2-104 or 53A-2-118.1 , the state superintendent and the superintendents and
             103      presidents of the boards of education of each of the affected school districts shall determine the
             104      basis for a transfer of all school property reasonably and fairly allocable to that portion being
             105      transferred.
             106          (2) (a) Title to property transferred vests in the transferee board of education.
             107          (b) The transfer of a school building that is in operation at the time of determination
             108      shall be made at the close of a fiscal year.
             109          (c) The transfer of all other school property shall be made five days after approval of
             110      the transfer of territory under Section 53A-2-104 .
             111          (3) (a) The individuals referred to in Subsection (1) shall determine the portion of
             112      bonded indebtedness and other indebtedness of the transferor board for which the transferred
             113      property remains subject to the levy of taxes to pay a proportionate share of the outstanding
             114      indebtedness of the transferor board.


             115          (b) This is done by:
             116          (i) determining the amount of the outstanding bonded indebtedness and other
             117      indebtedness of the transferor board of education;
             118          (ii) determining the total taxable value of the property of the transferor district and the
             119      taxable value of the property to be transferred; and
             120          (iii) calculating the portion of the indebtedness of the transferor board for which the
             121      transferred portion retains liability.
             122          (4) (a) The agreement reflecting these determinations takes effect upon being filed with
             123      the State Board of Education.
             124          (b) The transferred property remains subject to the levy of taxes to pay a proportionate
             125      share of the outstanding indebtedness of the transferor school board.
             126          (c) The transferee school board may assume the obligation to pay the proportionate
             127      share of the transferor school board's indebtedness that has been determined under Subsection
             128      (3) to be the obligation of the transferred portion by the approval of a resolution by a majority
             129      of the qualified electors of the transferee school district at an election called and held for that
             130      purpose under Title 11, Chapter 14, Local Government Bonding Act.
             131          (5) If the transferee school district assumes the obligation to pay this proportionate
             132      share of the transferor school board's indebtedness, the transferee school board shall levy a tax
             133      in the whole of the transferee district, including the transferred portion, sufficient to pay the
             134      assumed indebtedness, and shall turn over the proceeds of the tax to the business administrator
             135      of the transferor board.
             136          (6) If the transferee school board does not assume this obligation, the transferee school
             137      board shall levy a tax on the transferred territory sufficient to pay the proportionate share of the
             138      indebtedness determined under this section, and shall turn over the proceeds of the tax to the
             139      business administrator of the transferor board.
             140          (7) For the purposes of school districts affected by repealed laws governing the
             141      annexation of an unincorporated area of a school district by a city which included what was
             142      formerly known as a city school district, transitions of unincorporated areas and property from


             143      the transferor district to the transferee district in progress on the effective date of this act shall
             144      revert to the boundaries and ownership prior to the initiation of annexation and may then
             145      proceed under this section and Section 53A-2-104 .
             146          Section 3. Section 53A-2-118 is amended to read:
             147           53A-2-118. Creation of new school district by county legislative body -- Initiation
             148      of process -- Procedures to be followed.
             149          (1) A county legislative body may create a new school district from an existing school
             150      district within the geographical boundaries of the county.
             151          (2) (a) The process may be initiated:
             152          (i) through a citizens' initiative petition; [or]
             153          (ii) at the request of the board of the existing district or districts to be affected by the
             154      creation of the new district[.]; or
             155          (iii) at the request of a city within the boundaries of the school district or at the request
             156      of interlocal agreement participants, pursuant to Section 53A-2-118.1 .
             157          (b) (i) A petition submitted under Subsection (2)(a)(i) must be signed by qualified
             158      electors residing within the geographical boundaries of the proposed new school district equal
             159      in number to at least 15% of the number of electors in the area who voted for the office of
             160      governor at the last regular general election.
             161          (ii) A request or petition submitted under Subsection (2)(a) shall:
             162          (A) be filed with the county clerk;
             163          (B) indicate the typed or printed name and current residence address of each governing
             164      board member making a request, or registered voter signing a petition, as the case may be;
             165          (C) describe the proposed new school district boundaries; and
             166          (D) designate up to five signers of the petition or request as sponsors, one of whom
             167      shall be designated as the contact sponsor, with the mailing address and telephone number of
             168      each.
             169          (c) A signer of a petition under Subsection (2)(a)(i) may withdraw or, once withdrawn,
             170      reinstate the signer's signature at any time before the filing of the petition by filing a written


             171      withdrawal or reinstatement with the county clerk.
             172          [(c)] (d) The process under Subsection (2)(a)(i) may only be initiated once during any
             173      four-year period.
             174          [(d)] (e) A new district may not be formed pursuant to Subsection (2)(a) if the student
             175      population of the proposed new district is less than [5,000] 3,000 or the existing district's
             176      student population would be less than [5,000] 3,000 because of the creation of the new school
             177      district.
             178          (f) Within 45 days after the filing of a request or petition under Subsection (2)(a), the
             179      county clerk shall:
             180          (i) determine whether the request or petition complies with Subsections (2)(a), (b), (d),
             181      and (e), as applicable; and
             182          (ii) (A) if the county clerk determines that the request or petition complies with the
             183      applicable requirements:
             184          (I) certify the request or petition and deliver the certified request or petition to the
             185      county legislative body; and
             186          (II) mail or deliver written notification of the certification to the contact sponsor; or
             187          (B) if the county clerk determines that the request or petition fails to comply with any
             188      of the applicable requirements, reject the request or petition and notify the contact sponsor in
             189      writing of the rejection and reasons for the rejection.
             190          (g) If the county clerk fails to certify or reject a request or petition within 45 days after
             191      its filing, the petition shall be considered to be certified.
             192          (h) (i) If the county clerk rejects a request or petition, the request or petition may be
             193      amended to correct the deficiencies for which it was rejected and then refiled.
             194          (ii) Subsection (2)(d) does not apply to a request or petition that is amended and refiled
             195      after having been rejected by a county clerk.
             196          [(e)] (i) If a county legislative body receives a request from a school board under
             197      Subsection (2)(a)(ii) or a petition [to create a new district] under Subsection (2)(a)(i) which is
             198      certified by the county clerk on or before December 1:


             199          (i) the county legislative body shall appoint an ad hoc advisory committee, as provided
             200      by Subsection (3), on or before January 1;
             201          (ii) the ad hoc advisory committee shall submit its report and recommendations to the
             202      county legislative body, as provided by Subsection (3), on or before July 1; and
             203          (iii) if the county legislative body approves a proposal to create a new district, the
             204      proposal shall be submitted to the county clerk to be voted on by the electors of the existing
             205      district at the regular general or municipal general election held in November.
             206          (3) (a) The county legislative body shall appoint an ad hoc advisory committee to
             207      review and make recommendations on a request for the creation of a new school district
             208      submitted under Subsection (2)(a)(i) or (ii).
             209          (b) The advisory committee shall:
             210          (i) seek input from:
             211          (A) those requesting the creation of the new school district;
             212          (B) the school board and school personnel of the existing school district;
             213          (C) those citizens residing within the geographical boundaries of the existing school
             214      district;
             215          (D) the State Board of Education; and
             216          (E) other interested parties;
             217          (ii) review data and gather information on at least:
             218          (A) the financial viability of the proposed new school district;
             219          (B) the proposal's financial impact on the existing school district;
             220          (C) the exact placement of school district boundaries; and
             221          (D) the positive and negative effects of creating a new school district and whether the
             222      positive effects outweigh the negative if a new school district were to be created; and
             223          (iii) make a report to the county legislative body in a public meeting on the committee's
             224      activities, together with a recommendation on whether to create a new school district.
             225          (4) For a request or petition submitted under Subsection (2)(a)(i) or (2)(a)(ii):
             226          [(4)] (a) [The] the county legislative body shall provide for a 45-day public comment


             227      period on the report and recommendation to begin on the day the report is given under
             228      Subsection (3)(b)(iii).
             229          (b) Within 14 days after the end of the comment period, the county legislative body
             230      shall vote on the creation of the proposed new school district.
             231          (c) The proposal is approved if a majority of the members of the county legislative
             232      body votes in favor of the proposal.
             233          (d) If the proposal is approved, the county legislative body shall submit the proposal to
             234      the county clerk to be voted on:
             235          (i) by the [electors] legal voters of the existing school district;
             236          (ii) in accordance with Title 20A, Election Code; and
             237          (iii) at the next regular general election or municipal general election, whichever is
             238      first.
             239          (e) Creation of the new school district shall occur if a majority of the electors within
             240      both the proposed school district and the remaining school district voting on the proposal vote
             241      in favor of the creation of the new district.
             242          (f) The county legislative body shall provide notice of the action as required in Section
             243      53A-2-101.5 .
             244          [(5)] (g) If a proposal submitted under Subsection (2)(a)(i) or (ii) to create a new
             245      district is approved by the electors, the existing district's documented costs to study and
             246      implement the proposal shall be reimbursed by the new district.
             247          (5) (a) If a proposal submitted under Subsection (2)(a)(iii) is certified under Subsection
             248      (2)(f) or (g), the county legislative body shall submit the proposal to the county clerk to be
             249      voted on:
             250          (i) by the legal voters residing within the proposed new school district boundaries;
             251          (ii) in accordance with Title 20A, Election Code; and
             252          (iii) at the next regular general election or municipal general election, whichever is
             253      first.
             254          (b) Creation of the new school district shall occur if a majority of the legal voters


             255      within the proposed new school district boundaries voting on the proposal vote in favor of the
             256      creation of the new district.
             257          Section 4. Section 53A-2-118.1 is enacted to read:
             258          53A-2-118.1. Option for school district creation.
             259          (1) After conducting a feasibility study, a city of the first or second class, as defined
             260      under Section 10-2-301 , may by majority vote of the legislative body, submit for voter approval
             261      a measure to create a new school district with boundaries contiguous with that city's
             262      boundaries, in accordance with Section 53A-2-118 .
             263          (2) (a) By majority vote of the legislative body, a city of any class, a town, or a county,
             264      may, together with one or more other cities, towns, or the county enter into an interlocal
             265      agreement, in accordance with Title 11, Chapter 13, Interlocal Cooperation Act, for the purpose
             266      of submitting for voter approval a measure to create a new school district.
             267          (b) In accordance with Section 53A-2-118 , interlocal agreement participants under
             268      Subsection (2)(a) may submit a proposal for voter approval if:
             269          (i) the interlocal agreement participants conduct a feasibility study prior to submitting
             270      the proposal to the county;
             271          (ii) the combined population within the proposed new school district boundaries meets
             272      the minimum population threshold for a city of the second class; and
             273          (iii) the new school district boundaries:
             274          (A) are contiguous;
             275          (B) do not completely surround or otherwise completely geographically isolate a
             276      portion of an existing school district that is not part of the proposed new school district from
             277      the remaining part of the existing school district;
             278          (C) include the entire boundaries of any participant city or town; and
             279          (D) do not cross county lines.
             280          (c) (i) A county may only participate in an interlocal agreement under this Subsection
             281      (2) for the unincorporated areas of the county.
             282          (ii) Boundaries of a new school district created under this section may include a portion


             283      of the unincorporated area of the county, including a portion of a township.
             284          (3) If a proposal under this section is approved by voters:
             285          (a) transfer of school district property and indebtedness to a newly created school
             286      district shall be handled in accordance with Sections 53A-2-120 and 53A-2-121 ;
             287          (b) transferred employees shall be treated in accordance with Sections 53A-2-116 and
             288      53A-2-122 ; and
             289          (c) within one year after creation of the new district, the superintendent of the
             290      previously existing district or districts affected and the superintendent of the new district shall
             291      meet, together with the Superintendent of Public Instruction, to determine if further boundary
             292      changes should be proposed in accordance with Section 53A-2-104 or Subsection
             293      53A-2-118 (2).
             294          Section 5. Section 53A-2-122 is amended to read:
             295           53A-2-122. Employees of a new district.
             296          [An] (1) Upon the creation of a new district:
             297          (a) an employee of an existing district who is employed at a school that is transferred to
             298      the new district shall become an employee of the new district; and
             299          (b) the school board of the new district shall:
             300          (i) have discretion in the hiring of all other staff;
             301          (ii) adopt the personnel policies and practices of the existing district, including salary
             302      schedules and benefits; and
             303          (iii) enter into agreements with employees of the new district, or their representatives,
             304      that have the same terms as those in the negotiated agreements between the existing district and
             305      its employees.
             306          (2) (a) Subject to Subsection (2)(b), an employee of a school district from which a new
             307      district is created who becomes an employee of the new district shall [receive the same
             308      considerations as are provided to transferred employees by Section 53A-2-116 and shall] retain
             309      the same status as a career or provisional employee with accrued seniority and accrued benefits.
             310          (b) Subsection (2)(a) applies to:


             311          (i) employees of an existing district who are transferred to a new district pursuant to
             312      Subsection (1)(a); and
             313          (ii) employees of a school district from which a new district is created who are hired by
             314      the new district within one year of the date of the creation of the new district.
             315          (3) An employee who is transferred to a new district pursuant to Subsection (1)(a) and
             316      is rehired by the existing district within one year of the date of the creation of the new district
             317      shall, when rehired by the existing district, retain the same status as a career or provisional
             318      employee with accrued seniority and accrued benefits.


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