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S.B. 4

This document includes Senate 2nd Reading Floor Amendments incorporated into the bill on Mon, Feb 2, 2009 at 12:13 PM by rday. -->              1     

CURRENT SCHOOL YEAR SUPPLEMENTAL

             2     
MINIMUM SCHOOL PROGRAM BUDGET

             3     
ADJUSTMENTS

             4     
2009 GENERAL SESSION

             5     
STATE OF UTAH

             6     
Chief Sponsor: Howard A. Stephenson

             7     
House Sponsor: Merlynn T. Newbold

             8     

             9      LONG TITLE
             10      General Description:
             11          This bill modifies funding for the Minimum School Program.
             12      Highlighted Provisions:
             13          This bill:
             14          .    reduces revenues appropriated for the Minimum School Program and school
             15      building programs;
             16          .    establishes a ceiling for the state contribution to the Minimum School Program for
             17      fiscal year 2008-09 of $2,427,279,686;
             18          .    specifies how certain reductions to the Minimum School Program shall be allocated
             19      among school districts and charter schools; and
             20          .    provides for certain salary adjustments for school administrators.
             21      Monies Appropriated in this Bill:
             22          This bill appropriates:
             23          .    as an ongoing appropriation, ($188,850,100) from the Uniform School Fund for
             24      fiscal year 2008-09; and
             25          .    $115,946,000 from the Uniform School Fund for fiscal year 2008-09 only.
             26      Other Special Clauses:
             27          This bill provides an immediate effective date.



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             28
     Utah Code Sections Affected:
             29      AMENDS:
             30          53A-17a-104, as last amended by Laws of Utah 2008, Chapters 1 and 397
             31          53A-17a-146, as last amended by Laws of Utah 2002, Chapter 279
             32          53A-17a-148, as last amended by Laws of Utah 2008, Chapter 289
             33          53A-17a-153, as last amended by Laws of Utah 2008, Chapters 382 and 397
             34     

             35      Be it enacted by the Legislature of the state of Utah:
             36          Section 1. Section 53A-17a-104 is amended to read:
             37           53A-17a-104. Amount of state's contribution toward minimum school program.
             38          (1) The total contribution of the state toward the cost of the minimum school program
             39      may not exceed the sum of [$2,497,012,086] $2,427,279,686 for the fiscal year beginning July
             40      1, 2008, except as otherwise provided by the Legislature through supplemental appropriations.
             41          (2) There is appropriated from state and local funds for fiscal year 2008-09 for
             42      distribution to school districts and charter schools, in accordance with this chapter, monies for
             43      the following purposes and in the following amounts:
             44          (a) basic program - kindergarten, $65,182,638 (25,294 WPUs);
             45          (b) basic program - grades 1-12, $1,258,253,751 (488,263 WPUs);
             46          (c) basic program - professional staff, $116,307,741 (45,133 WPUs);
             47          (d) basic program - administrative costs, $4,174,740 (1,620 WPUs);
             48          (e) basic program - necessarily existent small schools and units for consolidated
             49      schools, $19,711,473 (7,649 WPUs);
             50          (f) special education - regular program - add-on WPUs for students with disabilities,
             51      $155,789,958 (60,454 WPUs);
             52          (g) preschool special education program, $22,082,313 (8,569 WPUs);
             53          (h) self-contained regular WPUs, $34,573,032 (13,416 WPUs);
             54          (i) extended year program for severely disabled, $968,952 (376 WPUs);
             55          (j) special education programs in state institutions and district impact aid, $4,293,282
             56      (1,666 WPUs);
             57          (k) career and technical education district programs, $67,530,285 (26,205 WPUs),
             58      including $1,154,458 for summer career and technical education agriculture programs;



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             59          (l) career and technical education district set-aside, $2,878,509 (1,117 WPUs);

             60          (m) class size reduction, $88,373,061 (34,293 WPUs);
             61          (n) Social Security and retirement programs, $349,906,049;
             62          (o) pupil transportation to and from school, $74,446,865, of which not less than
             63      $2,584,435 shall be allocated to the Utah Schools for the Deaf and Blind to pay for
             64      transportation costs of the schools' students;
             65          (p) guarantee transportation levy, $500,000;
             66          (q) Local Discretionary Block Grant Program, [$21,820,748] $12,728,748;
             67          (r) Interventions for Student Success Block Grant Program, $18,844,111;
             68          (s) Quality Teaching Block Grant Program, $77,615,641;
             69          (t) highly impacted schools, $5,123,207;
             70          (u) at-risk programs, $31,411,241;
             71          (v) adult education, $10,266,146;
             72          (w) accelerated learning programs, $4,295,581;
             73          (x) concurrent enrollment, $9,672,586;
             74          (y) High-ability Student Initiative Program, $500,000;
             75          (z) English Language Learner Family Literacy Centers, $2,000,000;
             76          (aa) electronic high school, $2,000,000;
             77          (bb) School LAND Trust Program, $26,499,500;
             78          (cc) charter schools, pursuant to Section 53A-1a-513 , $36,957,646;
             79          (dd) charter school administrative costs, $2,898,600;
             80          (ee) K-3 Reading Improvement Program, $15,000,000;
             81          (ff) Public Education Job Enhancement Program, $2,430,000;
             82          (gg) educator salary adjustments, [$148,260,200] $152,243,800;
             83          (hh) Teacher Salary Supplement Restricted Account, $4,300,000;
             84          (ii) library books and electronic resources, $1,500,000;
             85          (jj) school nurses, $1,000,000;
             86          (kk) critical languages, $230,000;
             87          (ll) extended year for special educators, $2,900,000;
             88          (mm) USTAR Centers, $6,900,000;
             89          (nn) state-supported voted leeway, $273,337,346;



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             90          (oo) state-supported board leeway, $71,575,858; [and]

             91          (pp) state-supported board leeway for K-3 Reading Improvement Program,
             92      $15,000,000; and
             93          (qq) ongoing locally determined reduction made in accordance with Section
             94      53A-17a-146 , $(179,758,100).
             95          Section 2. Section 53A-17a-146 is amended to read:
             96           53A-17a-146. Reduction of district allocation based on insufficient revenues.
             97          [(1) (a) If it is necessary because of insufficient revenues in the Uniform School Fund
             98      for the Legislature to reduce appropriations made to support schools under Title 53A, Chapter
             99      17a, Minimum School Program Act, the State Board of Education, after consultation with each
             100      school district and charter school, shall reduce each school district's and charter school's
             101      allocation of monies appropriated to support school districts and charter schools.]
             102          (1) (a) As used in this section, "Minimum School Program funds" means the total of
             103      state and local funds appropriated under Section 53A-17a-104 , excluding:
             104          (i) the state-supported voter leeway;
             105          (ii) the state-supported board leeway; and
             106          (iii) the appropriation to charter schools to replace local property tax revenues.
             107          [(b) Each school district's or charter school's share of the total reduction of
             108      appropriations to support school districts and charter schools shall be in the same proportion of
             109      the school district's or charter school's allocation of appropriated monies is to the total
             110      appropriations to support school districts and charter schools.]
             111          (b) The State Board of Education, after consultation with each school district and
             112      charter school, shall allocate the ongoing locally determined reduction provided in Section
             113      53A-17a-104 for fiscal year 2008-09 among school districts and charter schools in proportion
             114      to each school district's or charter school's percentage share of Minimum School Program
             115      funds.
             116          (2) Each district and charter school shall determine which programs are affected by,
             117      and the amount of, the reductions, except as provided in Subsection (4).
             118          (3) The requirement to spend a specified amount in any particular program is waived if
             119      reductions are required under this section, except as provided in Subsection (4).
             120          (4) A school district or charter school may not reduce or reallocate spending of funds



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             121      distributed to the school district or charter school for the following programs:

             122          (a) educator salary adjustments provided in Section 53A-17a-153 ;
             123          (b) the Teacher Salary Supplement Program provided in Section 53A-17a-156 ;
             124          (c) the extended year for special educators provided in Section 53A-17a-158 ; and
             125          (d) USTAR centers provided in Section 53A-17a-159 .
             126          Section 3. Section 53A-17a-148 is amended to read:
             127           53A-17a-148. Use of nonlapsing balances.
             128          (1) As used in this section:
             129          (a) "Education entity" means a school district, charter school, or the Utah Schools for
             130      the Deaf and the Blind.
             131          (b) (i) "New educator" means a person who:
             132          (A) is an educator as defined in Section 53A-17a-153 ;
             133          (B) is hired by an education entity to begin teaching during the 2008-09 school year;
             134          (C) did not work in this state as an educator for an education entity during the 2007-08
             135      school year; and
             136          (D) has never received a signing bonus in this state.
             137          (ii) A new educator may include a person who is returning to education after one or
             138      more years of interrupted service.
             139          (2) The State Board of Education may use Minimum School Program nonlapsing
             140      balances to restore special education funding as follows:
             141          (a) up to $902,538 is authorized in fiscal year 2005-06; and
             142          (b) up to $902,538 is authorized in fiscal year 2006-07.
             143          (3) The State Board of Education shall use Minimum School Program nonlapsing
             144      balances in fiscal year 2008-09 as follows:
             145          (a) $5,000,000 shall be allocated to education entities to provide one-time signing
             146      bonuses for new educators as provided under Subsection (4), including money for the
             147      following employer-paid benefits:
             148          (i) retirement;
             149          (ii) workers' compensation;
             150          (iii) Social Security; and
             151          (iv) Medicare; and



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Senate 2nd Reading Amendments 2-2-2009 rd/dsl
             152          (b) [$20,000,000] $5,000,000 shall be allocated to education entities to provide

             153      one-time performance-based compensation as provided under Subsection (5).
             154          (4) (a) Subject to the availability of funding, education entities shall provide a one-time
             155      signing bonus of $1,000 to a new educator.
             156          (b) If the total cost of bonuses and employer-paid benefits under Subsection (4)(a) for
             157      all education entities exceeds $5,000,000, all bonuses shall be reduced pro rata so that the total
             158      cost does not exceed $5,000,000.
             159          (c) To qualify for a bonus, a new educator shall:
             160          (i) be hired prior to October 1, 2008; and
             161          (ii) work for at least 90 days for the education entity.
             162          (5) (a) The [$20,000,000] $5,000,000 for performance-based compensation shall be
             163      allocated to qualifying education entities on a per pupil basis.
             164          (b) (i) To receive an allocation under Subsection (5)(a), an education entity shall:
             165          (A) submit, prior to July 1, 2008, a written performance-based compensation plan to
             166      the State Board of Education that conforms to guidelines established by the State Board of
             167      Education in rule; and
             168          (B) receive approval of the plan by the State Board of Education.
             169          (ii) The performance-based compensation plan shall provide specific information about
             170      how the education entity intends to spend its allocation, including:
             171          (A) who is eligible for the performance-based compensation;
             172          (B) criteria for awarding performance-based compensation;
             173          (C) the instruments or assessments that may be used to measure or evaluate
             174      performance;
             175          (D) the amount of performance-based compensation that may be awarded; and
             176          (E) whether the performance-based compensation will be based on individual, team, or
             177      school-based performance, or a combination of those.
             178          (iii) The State Board of Education shall send the approved plans to the Executive
             179      Appropriations Committee and the Education Interim Committee by August 1, 2008 for review
             180      and comment.
             180a      S.     (iv)(A)    Due to the reduction in funds available for performance-based
             180b      compensation, the State Board of Education shall limit the number of school districts or
             180c      charter schools that may receive funds under this section so that the enrollment of the school
             180d      districts or charter schools that receive funds is approximately 25% of the total public school
             180e      enrollment of the state.


            
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Senate 2nd Reading Amendments 2-2-2009 rd/dsl
180f          (B) The State Board of Education shall award funds for performance-based

             180g      compensation to school districts and charter schools that meet the requirements of Subsections
             180h      (5)(b)(i) and (ii) and other criteria established by the board. .S
             181          (c) (i) An education entity shall award performance-based compensation from monies
             182      distributed under this section for employee performance during the 2008-09 school year.



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             183          (ii) Performance-based compensation monies may only be used in accordance with an

             184      education entity's performance-based compensation plan.
             185          (iii) If an education entity uses performance-based compensation monies for purposes
             186      other than those stated in this Subsection (5) and its performance-based compensation plan, the
             187      education entity shall reimburse the monies that were improperly used.
             188          (d) An education entity that awards performance-based compensation from monies
             189      distributed under this section shall report the following information to the Executive
             190      Appropriations Committee by June 30, 2009:
             191          (i) the number of employees who received performance-based compensation;
             192          (ii) the total number of employees;
             193          (iii) the average performance-based compensation awarded to employees; and
             194          (iv) the maximum performance-based compensation awarded to an employee.
             195          (6) The State Board of Education may make rules as necessary to administer this
             196      section, in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act.
             197          Section 4. Section 53A-17a-153 is amended to read:
             198           53A-17a-153. Educator salary adjustments.
             199          (1) As used in this section, "educator" means a person employed by a school district,
             200      charter school, or the Utah Schools for the Deaf and the Blind who holds:
             201          (a) a license issued under Title 53A, Chapter 6, Educator Licensing and Professional
             202      Practices Act; and
             203          (b) a position as a:
             204          (i) classroom teacher;
             205          (ii) speech pathologist;
             206          (iii) librarian or media specialist;
             207          (iv) preschool teacher;
             208          (v) mentor teacher;
             209          (vi) teacher specialist or teacher leader;
             210          (vii) guidance counselor;
             211          (viii) audiologist;
             212          (ix) psychologist; or
             213          (x) social worker.



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             214          (2) In recognition of the need to attract and retain highly skilled and dedicated

             215      educators, the Legislature shall annually appropriate money for educator salary adjustments,
             216      subject to future budget constraints.
             217          (3) Money appropriated to the State Board of Education for educator salary
             218      adjustments shall be distributed to school districts, charter schools, and the Utah Schools for
             219      the Deaf and the Blind in proportion to the number of full-time-equivalent educator positions
             220      in a school district, a charter school, or the Utah Schools for the Deaf and the Blind as
             221      compared to the total number of full-time-equivalent educator positions in school districts,
             222      charter schools, and the Utah Schools for the Deaf and the Blind.
             223          (4) School districts, charter schools, and the Utah Schools for the Deaf and the Blind
             224      shall award bonuses to educators as follows:
             225          (a) the amount of the salary adjustment shall be the same for each full-time-equivalent
             226      educator position in the school district, charter school, or the Utah Schools for the Deaf and the
             227      Blind;
             228          (b) a person who is not a full-time educator shall receive a partial salary adjustment
             229      based on the number of hours the person works as an educator; and
             230          (c) salary adjustments may be awarded only to educators who have received a
             231      satisfactory rating or above on their most recent evaluation.
             232          (5) (a) Each school district and charter school and the Utah Schools for the Deaf and
             233      the Blind shall submit a report to the State Board of Education on how the money for salary
             234      adjustments was spent, including the amount of the salary adjustment and the number of full
             235      and partial salary adjustments awarded.
             236          (b) The State Board of Education shall compile the information reported under
             237      Subsection (5) and submit it to the Public Education Appropriations Subcommittee by
             238      November 30 each year.
             239          (6) The State Board of Education may make rules as necessary to administer this
             240      section, in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act.
             241          (7) (a) Subject to future budget constraints, the Legislature shall appropriate sufficient
             242      monies each year to:
             243          (i) maintain educator salary adjustments provided in prior years; and
             244          (ii) provide educator salary adjustments to new employees.



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             245          (b) Money appropriated for educator salary adjustments shall include money for the

             246      following employer-paid benefits:
             247          (i) retirement;
             248          (ii) worker's compensation;
             249          (iii) Social Security; and
             250          (iv) Medicare.
             251          (8) (a) Subject to future budget constraints, the Legislature shall:
             252          (i) maintain the salary adjustments provided to school administrators in the 2007-08
             253      school year; and
             254          (ii) provide salary adjustments for new school administrators in the same amount as
             255      provided for existing school administrators.
             256          (b) The appropriation provided for educator salary adjustments in Section 53A-17a-104
             257      shall include salary adjustments for school administrators as specified in Subsection (8)(a).
             258          (c) In distributing and awarding salary adjustments for school administrators, the State
             259      Board of Education, school districts, charter schools, and the Utah Schools for the Deaf and the
             260      Blind shall comply with the requirements for the distribution and award of educator salary
             261      adjustments as provided in Subsections (3) and (4).
             262          Section 5. Appropriation.
             263          (1) There is appropriated from the Uniform School Fund for fiscal year 2008-09 only,
             264      $135,999,100 to the State Board of Education to off-set the ongoing locally determined
             265      reduction made in Section 53A-17a-104 (qq).
             266          (2) (a) There is appropriated from the Uniform School Fund for fiscal year 2008-09
             267      only, ($5,865,000) to the State Board of Education for the Beverly Taylor Sorenson Elementary
             268      Arts Learning Program established in Section 53A-17a-162 .
             269          (b) The appropriation specified in Subsection (2)(a) is in addition to the amount
             270      appropriated in Uncodified Section 28, Chapter 397, Laws of Utah 2008.
             271          (3) (a) There is appropriated from the Uniform School Fund for fiscal year 2008-09
             272      only, ($1,585,900) to the State Board of Education for the Capital Outlay Foundation Program
             273      for allocation pursuant to Section 53A-21-202 .
             274          (b) The appropriation specified in Subsection (3)(a) is in addition to the amount
             275      appropriated in Section 53A-21-501 and Uncodified Section 34, Chapter 236, Laws of Utah



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             276      2008.

             277          (4) (a) There is appropriated from the Uniform School Fund for fiscal year 2008-09
             278      only, ($1,585,800) to the State Board of Education for the Capital Outlay Enrollment Growth
             279      Program for allocation pursuant to Section 53A-21-302 .
             280          (b) The appropriation specified in Subsection (4)(a) is in addition to the amount
             281      appropriated in Section 53A-21-501 and Uncodified Section 34, Chapter 236, Laws of Utah
             282      2008.
             283          Section 6. Effective date.
             284          If approved by two-thirds of all the members elected to each house, this bill takes effect
             285      upon approval by the governor, or the day following the constitutional time limit of Utah
             286      Constitution Article VII, Section 8, without the governor's signature, or in the case of a veto,
             287      the date of veto override.





Legislative Review Note
    as of 2-2-09 9:54 AM


Office of Legislative Research and General Counsel


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