1     
PUBLIC EDUCATION BUDGET AMENDMENTS

2     
2021 GENERAL SESSION

3     
STATE OF UTAH

4     
Chief Sponsor: Steve Eliason

5     
Senate Sponsor: Lincoln Fillmore

6     

7     LONG TITLE
8     General Description:
9          This bill supplements or reduces appropriations otherwise provided for the support and
10     operation of public education for the fiscal year beginning July 1, 2020, and ending
11     June 30, 2021, and for the fiscal year beginning July 1, 2021, and ending June 30, 2022.
12     Highlighted Provisions:
13          This bill:
14          ▸     provides appropriations for the use and support of school districts, charter schools,
15     and state education agencies;
16          ▸     directs the State Board of Education on how to execute certain funding programs;
17          ▸     provides appropriations for other purposes as described;
18          ▸     amends and enacts provisions related to certain appropriations for public education,
19     including:
20               •     allowing the State Board of Education (state board) to use data from fiscal year
21     2020 for certain funding formulas in certain circumstances;
22               •     allowing the state board to distribute funds to mitigate funding losses associated
23     with the elimination of the Administrative Cost Program;
24               •     requiring the state board to allocate funds for English language learner software;
25     and
26               •     providing the State Charter School Board with increased budgetary autonomy;
27          ▸     makes technical and conforming changes; and
28          ▸     provides intent language.
29     Money Appropriated in this Bill:

30          This bill appropriates $50,561,400 in operating and capital budgets for fiscal year 2021,
31     including:
32          ▸     $3,851,200 from the Education Fund; and
33          ▸     $46,710,200 from various sources as detailed in this bill.
34          This bill appropriates $2,270,000 in transfers to unrestricted funds for fiscal year 2021.
35          This bill appropriates $100,384,400 in operating and capital budgets for fiscal year
36     2022, including:
37          ▸     $100 from the General Fund;
38          ▸     $28,288,700 from the Uniform School Fund;
39          ▸     $29,786,500 from the Education Fund; and
40          ▸     $42,309,100 from various sources as detailed in this bill.
41     Other Special Clauses:
42          This bill provides a special effective date.
43     Utah Code Sections Affected:
44     AMENDS:
45          53E-5-302, as last amended by Laws of Utah 2019, Chapter 186
46          53F-2-304, as last amended by Laws of Utah 2020, Sixth Special Session, Chapter 9
47          53F-2-706, as enacted by Laws of Utah 2020, Fifth Special Session, Chapter 14
48          53G-5-202, as last amended by Laws of Utah 2018, Chapter 383 and renumbered and
49     amended by Laws of Utah 2018, Chapter 3
50     ENACTS:
51          53F-2-209, Utah Code Annotated 1953
52          53F-2-418, Utah Code Annotated 1953
53     REPEALS:
54          53F-5-212, as last amended by Laws of Utah 2020, Chapters 354 and 408
55     

56     Be it enacted by the Legislature of the state of Utah:
57          Section 1. Section 53E-5-302 is amended to read:

58          53E-5-302. State board to designate low performing schools -- Needs assessment.
59          (1) Except as provided in Subsection (4), the state board shall:
60          (a) annually designate a school as a low performing school; and
61          (b) conduct a needs assessment for a low performing school by thoroughly analyzing
62     the root causes of the low performing school's low performance.
63          (2) The state board may use up to 5% of the appropriation provided under this part to
64     hire or contract with one or more individuals to conduct a needs assessment described in
65     Subsection (1)(b).
66          (3) A school that was designated as a low performing school based on 2015-2016
67     school year performance that is not in the lowest performing 3% of schools statewide following
68     the 2016-2017 school year is exempt from the provisions of this part.
69          (4) (a) The state board is not required to designate as a low performing school a school
70     for which the state board is not required to assign an overall rating in accordance with Section
71     53E-5-204.
72          (b) The requirement to designate a school as a low-performing school described in
73     Subsection (1) does not apply in the school year immediately following the 2020-2021 or
74     2021-2022 school year.
75          Section 2. Section 53F-2-209 is enacted to read:
76          53F-2-209. Use of data to determine funding in fiscal years 2021 and 2022.
77          (1) For fiscal years 2021 and 2022, if data necessary for programmatic funding
78     distributions to LEAs is inconsistent due to adjustments related to effects of the COVID-19
79     emergency, the state board may use the analogous data from fiscal year 2020 or the 2019-2020
80     school year, at the state board's discretion to execute programmatic funding distributions to
81     LEAs.
82          (2) The state board shall report to the Public Education Appropriations Subcommittee
83     before September 30, 2021, on instances in which the board used fiscal year 2020 data under
84     Subsection (1).
85          Section 3. Section 53F-2-304 is amended to read:

86          53F-2-304. Necessarily existent small schools -- Computing additional weighted
87     pupil units -- Consolidation of small schools.
88          (1) As used in this section, "necessarily existent small schools funding balance" means
89     the difference between:
90          (a) the amount appropriated for the necessarily existent small schools program in a
91     fiscal year; and
92          (b) the amount distributed to school districts for the necessarily existent small schools
93     program in the same fiscal year.
94          (2) (a) Upon application by a local school board, the state board shall, in consultation
95     with the local school board, classify schools in the school district as necessarily existent small
96     schools, in accordance with this section and state board rules adopted under Subsection (3).
97          (b) An application must be submitted to the state board before April 2, and the state
98     board must report a decision to a local school board before June 2.
99          (3) The state board shall adopt standards and make rules, in accordance with Title 63G,
100     Chapter 3, Utah Administrative Rulemaking Act, to:
101          (a) govern the approval of necessarily existent small schools consistent with principles
102     of efficiency and economy that serve the purpose of eliminating schools where consolidation is
103     feasible by participation in special school units; and
104          (b) ensure that school districts are not building secondary schools in close proximity to
105     one another where economy and efficiency would be better served by one school meeting the
106     needs of secondary students in a designated geographical area.
107          (4) The state board shall prepare and publish objective standards and guidelines for
108     determining which small schools are necessarily existent after consultation with local school
109     boards.
110          (5) (a) Additional weighted pupil units for schools classified as necessarily existent
111     small schools shall be computed using distribution formulas adopted by the state board.
112          (b) The distribution formulas establish the following maximum sizes for funding under
113     the necessarily existent small school program:

114          (i) an elementary school                    160
115          (ii) a one or two-year secondary school          300
116          (iii) a three-year secondary school               450
117          (iv) a four-year secondary school               500
118          (v) a six-year secondary school               600
119          (c) An elementary school with fewer than 10 students shall receive the same add-on
120     weighted pupil units as an elementary school with 10 students.
121          (d) A secondary school with fewer than 15 students shall receive the same add-on
122     weighted pupil units as a secondary school with 15 students.
123          (e) If a necessarily existent small school generates ADM in both elementary and
124     secondary grades, the state board may divide the school's ADM between an elementary and
125     secondary distribution formula.
126          (f) The state board shall prepare and distribute an allocation table based on the
127     distribution formula to each school district.
128          (6) (a) To avoid penalizing a school district financially for consolidating the school
129     district's small schools, additional weighted pupil units may be allowed a school district each
130     year, not to exceed two years.
131          (b) The additional weighted pupil units may not exceed the difference between what
132     the school district receives for a consolidated school and what the school district would have
133     received for the small schools had the small schools not been consolidated.
134          (7) (a) The state board may allocate up to 208 weighted pupil units to support schools
135     that:
136          (i) have isolating conditions, as defined by the state board, including geographic
137     isolation; and
138          (ii) do not qualify for necessarily existent small schools funding due to formula
139     limitations.
140          (b) The state board shall review funding allocations under this Subsection (7) at least
141     once every five calendar years.

142          (8) If the state board classifies a school as a necessarily existent small school in
143     accordance with this section, the state board shall, subject to legislative appropriation,
144     distribute small district base funding to the relevant school district in the following amounts:
145          (a) for a district with 500 students or less, 83 additional weighted pupil units;
146          (b) for a district with 501 to 1,000 students, 28 additional weighted pupil units; and
147          (c) for a district with 1,001 to 2,000 students, 14 additional weighted pupil units.
148          (9) Subject to legislative appropriation, the state board shall give first priority from an
149     appropriation made under this section to funding an expense approved by the state board as
150     described in Subsection 53G-6-305(3)(a).
151          (10) (a) Subject to Subsection (10)(b) and after a distribution made under Subsection
152     (9), the state board may distribute a portion of necessarily existent small schools funding:
153          (i) in accordance with a formula adopted by the state board that considers the tax effort
154     of a local school board; or
155          (ii) to isolated small schools, as identified by the state board.
156          (b) The amount distributed in accordance with Subsection (10)(a) may not exceed the
157     necessarily existent small schools fund in balance of the prior fiscal year.
158          (11) A local school board may use the money allocated under this section for
159     maintenance and operation of school programs or for other school purposes as approved by the
160     state board.
161          (12) (a) Notwithstanding this section and subject to legislative appropriations, the state
162     board may, in accordance with Subsection (12)(b), distribute one-time funding that the
163     Legislature appropriates to mitigate funding losses as described in legislative appropriations.
164          (b) The state board may make the distribution described in Subsection (12)(a) to school
165     districts that:
166          (i) enroll fewer than 5,000 students; and
167          (ii) do not pay local property tax proceeds into the Uniform School Fund as described
168     in Section 53F-2-301.5.
169          Section 4. Section 53F-2-418 is enacted to read:

170          53F-2-418. English language learner software.
171          (1) Subject to legislative appropriations, the state board shall:
172          (a) allocate funds to LEAs for English language learner software; and
173          (b) make the allocation described in Subsection (1)(a) using a formula that provides:
174          (i) a base amount for each LEA that has English language learner students; and
175          (ii) a distribution of remaining funding in proportion to the LEA's share of statewide
176     English language learner students.
177          (2) An LEA shall use an allocation the LEA receives under Subsection (1) to select a
178     vendor and pay for software licenses for English language learner instruction.
179          Section 5. Section 53F-2-706 is amended to read:
180          53F-2-706. Small charter school base funding.
181          (1) Subject to legislative appropriation, the state board shall distribute small charter
182     school base funding in the following amounts to charter schools with 2,000 or less students:
183          (a) for a charter school with 300 students or less, $40,000;
184          (b) for a charter school with 301 to 400 students, $35,000;
185          (c) for a charter school with 401 to 500 students, $30,000;
186          (d) for a charter school with 501 to 600 students, $25,000;
187          (e) for a charter school with 601 to 1,000 students, $20,000; and
188          (f) for a charter school with 1,001 to 2,000 students, $15,000.
189          (2) A charter school's eligibility for small charter school base funding is determined by
190     the charter school's student enrollment on October 1 of a given year.
191          (3) Notwithstanding this section and subject to legislative appropriations, the state
192     board may distribute to charter schools, regardless of size, one-time funding that the
193     Legislature appropriates to mitigate funding losses as described in legislative appropriations.
194          Section 6. Section 53G-5-202 is amended to read:
195          53G-5-202. Status and powers of State Charter School Board.
196          (1) The State Charter School Board may:
197          [(1)] (a) enter into contracts;

198          [(2)] (b) sue and be sued; and
199          [(3) (a)] (c) (i) at the discretion of the charter school, provide administrative services
200     to, or perform other school functions for, charter schools authorized by the State Charter
201     School Board; and
202          [(b)] (ii) charge fees for the provision of services or functions.
203          (2) The state board shall:
204          (a) approve the annual budget and expenditures of the State Charter School Board; and
205          (b) otherwise grant autonomy to the State Charter School Board to manage the State
206     Charter School Board's budget.
207          Section 7. Repealer.
208          This bill repeals:
209          Section 53F-5-212, Grants for additional educators for high-need schools.
210          Section 8. Fiscal Year 2021 Appropriation.
211          The following sums of money are appropriated for the fiscal year beginning July 1,
212     2020, and ending June 30, 2021. These are additions to amounts otherwise appropriated for
213     fiscal year 2021.
214          Subsection 8(a). Operating and Capital Budgets.
215          Under the terms and conditions of Title 63J, Chapter 1, Budgetary Procedures Act, the
216     Legislature appropriates the following sums of money from the funds or accounts indicated for
217     the use and support of the government of the state of Utah.
218     
Public Education

219     
State Board of Education - Minimum School Program

220     
Item
1 To State Board of Education - Minimum School Program - Basic School Program
221          From Education Fund, One-time
15,000,000

222          Schedule of Programs:
223               Grades 1 - 12                              15,000,000
224     
Item
2 To State Board of Education - Minimum School Program - Voted and Board Local

225     Levy Programs

226          From Education Fund, One-time
(15,000,000)

227          Schedule of Programs:
228               Voted Local Levy Program                    (7,500,000)
229               Board Local Levy Program                    (7,500,000)
230     
State Board of Education

231     
Item
3 To State Board of Education - Child Nutrition
232          From Federal Funds, One-time
48,927,100

233          Schedule of Programs:
234               Child Nutrition                         48,927,100
235     
Item
4 To State Board of Education - Initiative Programs

236          From Beginning Nonlapsing Balances
(2,170,000)

237          Schedule of Programs:
238               Contracts and Grants                         (670,000)
239               ELL Software Licenses                    (1,500,000)
240     
Item
5 To State Board of Education - MSP Categorical Program Administration

241          From Beginning Nonlapsing Balances
(100,000)

242          Schedule of Programs:
243               Dual Immersion                         (100,000)
244     
Item
6 To State Board of Education - State Administrative Office

245          From Education Fund, One-time
4,000,000

246          Schedule of Programs:
247               Statewide Financial Management System Grants     4,000,000
248          The Legislature intends that the State Board of Education use one-time funds
249     appropriated to support Statewide Financial Management System Grants to provide grants to
250     local education agencies in fiscal year 2021, fiscal year 2022, or fiscal year 2023 to make
251     changes to local data systems to facilitate data transfers between the LEA and the state.
252     
Item
7 To State Board of Education - General System Support

253          From Education Fund, One-time
(95,700)


254          Schedule of Programs:
255               Student Achievement                         (95,700)
256     
Item
8 To State Board of Education - State Charter School Board

257          From Education Fund, One-time
(53,100)

258          Schedule of Programs:
259               From Closing Nonlapsing Balances               53,100
260          Subsection 8(b). Transfers to Unrestricted Funds.
261          The Legislature authorizes the State Division of Finance to transfer the following
262     amounts to the unrestricted General Fund, Education Fund, or Uniform School Fund, as
263     indicated, from the restricted funds or accounts indicated. Expenditures and outlays from the
264     General Fund, Education Fund, or Uniform School Fund must be authorized by an
265     appropriation.
266     
Public Education

267     
Item
9 To Education Fund
268          From Nonlapsing Balances - Transfer from Dual Language Program
100,000

269          From Nonlapsing Balances - Transfer from ELL Software Licenses
1,500,000

270          From Nonlapsing Balances - Transfer from Initiative Programs
670,000

271          Schedule of Programs:
272               Education Fund, One-time                    2,270,000
273          Section 9. Fiscal Year 2022 Appropriation.
274          The following sums of money are appropriated for the fiscal year beginning July 1,
275     2021, and ending June 30, 2022. These are additions to amounts otherwise appropriated for
276     fiscal year 2022.
277          Subsection 9(a). Operating and Capital Budgets.
278          Under the terms and conditions of Title 63J, Chapter 1, Budgetary Procedures Act, the
279     Legislature appropriates the following sums of money from the funds or accounts indicated for
280     the use and support of the government of the state of Utah.
281     
Public Education


282     
State Board of Education - Minimum School Program

283     
Item
10 To State Board of Education - Minimum School Program - Basic School Program
284          From Uniform School Fund
500,000

285          From Uniform School Fund, One-time
3,600,000

286          Schedule of Programs:
287               Necessarily Existent Small Schools (131 WPUs)          4,100,000
288          The Legislature intends that the State Board of Education distribute funds in accordance
289     with Subsection 53F-2-304(12) to mitigate funding losses associated with the elimination of
290     the Administrative Cost Program.
291     
Item
11 To State Board of Education - Minimum School Program - Related to Basic School

292     Programs
293          From Uniform School Fund
16,688,700

294          From Uniform School Fund, One-time
7,500,000

295          From Beginning Nonlapsing Balances
(11,400)

296          From Closing Nonlapsing Balances
11,400

297          Schedule of Programs:
298               Pupil Transportation To and From School               2,500,000
299               Beverley Taylor Sorenson Elementary Arts
300               Learning Program                              2,000,000
301               Early Intervention                              7,000,000
302               Grants for Educators in High-need Schools               (500,000)
303               National Board Certified Teacher Program               (246,300)
304               Grants for Professional Learning                    3,935,000
305               Charter School Funding Base Program               5,000,000
306               English Language Learner Software                    4,500,000
307          (1) The Legislature intends that the expenditures upon which state funding is
308     contingent under Items 2, 9, 22, and 33 in S.B. 1, Public Education Base Budget Amendments,
309     be modified to include all of the federally allowed activities for the Federal Coronavirus Relief

310     for Public Education funds except:
311          (a) school facility repairs and improvements to enable operation of schools to reduce
312     risk of virus transmission and exposure to environmental health hazards, and to support student
313     health needs; and
314          (b) inspection, testing, maintenance, repair, replacement, and upgrade projects to
315     improve the indoor air quality in school facilities, including mechanical and non-mechanical
316     heating, ventilation, and air conditioning systems, filtering, purification and other air cleaning,
317     fans, control systems, and window and door repair and replacement.
318          (2) The Legislature further intends that the State Board of Education distribute funds in
319     accordance with Subsection 53F-2-706(3) to mitigate funding losses associated with the
320     elimination of the Administrative Cost Program.
321     
State Board of Education

322     
Item
12 To State Board of Education - Educator Licensing
323          From Education Fund
246,300

324          From Beginning Nonlapsing Balances
11,400

325          From Closing Nonlapsing Balances
(11,400)

326          Schedule of Programs:
327               National Board-Certified Teachers                    246,300
328     
Item
13 To State Board of Education - Fine Arts Outreach

329          From Education Fund
250,000

330          Schedule of Programs:
331               Provisional Program                              250,000
332     
Item
14 To State Board of Education - Initiative Programs

333          From Education Fund
6,800,000

334          From Education Fund, One-time
5,408,100

335          From Beginning Nonlapsing Balances
2,988,400

336          Schedule of Programs:
337               Computer Science Initiatives                         5,000,000

338               Contracts and Grants                              3,300,000
339               Early Warning Pilot Program                         125,000
340               Electronic Elementary Reading Tool                    1,500,000
341               ProStart Culinary Arts Program                    300,000
342               School Turnaround and Leadership Development Act     (4,028,500)
343               UPSTART                                   9,000,000
344     
Item
15 To State Board of Education - MSP Categorical Program Administration

345          From Education Fund
1,065,000

346          Schedule of Programs:
347               Early Learning Training and Assessment               1,065,000
348     
Item
16 To State Board of Education - Science Outreach

349          From Education Fund
475,000

350          Schedule of Programs:
351               Informal Science Education Enhancement               475,000
352     
Item
17 To State Board of Education - State Administrative Office

353          From General Fund
100

354          From Education Fund
(3,448,300)

355          From Education Fund, One-time
29,100

356          From Federal Funds, One-time
37,178,400

357          From General Fund Restricted - Mineral Lease
1,900

358          From Revenue Transfers
28,900

359          From Uniform School Fund Restricted - Trust Distribution Account
170,000

360          From Uniform School Fund Restricted - Trust Distribution Account,
361           One-time
105,000

362          From Beginning Nonlapsing Balances
(1,625,500)

363          From Closing Nonlapsing Balances
1,376,900

364          Schedule of Programs:
365               Board and Administration                         37,193,900

366               Financial Operations                              112,300
367               Indirect Cost Pool                              196,000
368               School Trust                                   275,000
369               Special Education                              (50,000)
370               Statewide Online Education Program               (4,610,700)
371               Student Support Services                         700,000
372          The Legislature intends that the State Board of Education:
373          (1) report to the Public Education Appropriations Subcommittee, on or before
374     September 30, 2021, regarding how school-level data included in the Annual Financial Reports
375     (AFRs) and Annual Program Reports (APRs) will be reported in a public-facing format; and
376          (b) (i) develop a fee for service schedule for certifying the special education programs
377     of residential treatment centers; and
378          (ii) report the schedule to the Public Education Appropriations Subcommittee on or
379     before October 1, 2021.
380     
Item
18 To State Board of Education - General System Support

381          From Education Fund
78,500

382          From Education Fund, One-time
7,864,900

383          Schedule of Programs:
384               Teaching and Learning                         926,500
385               Assessment and Accountability                    7,016,900
386          (1) The Legislature intends that the Utah State Board of Education use any revenue or
387     nonlapsing balances generated from the licensing of Readiness Improvement Success
388     Empowerment (RISE) questions to develop additional assessment questions for all state
389     assessments, provide professional learning for Utah educators, and for risk mitigation
390     expenditures.
391          (2) The Legislature intends that, of the appropriations provided to State Board of
392     Education - Teaching and Learning, $225,000 be used to implement the provisions of
393     American Indian and Alaskan Native Education, S.B. 124, Chapter 269, Laws of Utah 2020,

394     General Session.
395          (3) The Legislature intends that, of the appropriations provided by this item, $800,000
396     one-time be used to implement the provisions of Concurrent Enrollment Certificate Pilot
397     Program, H.B. 336, Chapter 321, Laws of Utah 2020, General Session.
398          (4) The Legislature intends that, of the appropriations provided by this item,
399     $7,016,900 be used:
400          (a) in fiscal years 2022, 2023, and 2024; and
401          (b) to contract for professional learning related to improving student achievement.
402     
Item
19 To State Board of Education - State Charter School Board

403          From Education Fund
1,600

404          Schedule of Programs:
405               State Charter School Board                         1,600
406     
Item
20 To State Board of Education - Utah Schools for the Deaf and the Blind

407          From Education Fund
300

408          From Education Fund, One-time
1,825,000

409          From Revenue Transfers
100

410          Schedule of Programs:
411               Support Services                              400
412               Administration                              1,325,000
413               Utah State Instructional Materials Access Center          500,000
414          The Legislature intends that the Utah Schools for the Deaf and the Blind charge a fee to
415     out-of-state schools for instructional materials produced by the Utah State Instructional
416     Materials Access Center (USIMAC) to cover actual costs of reprinting and shipping per
417     volume. The estimated fee amount is $150 per braille volume and $15 shipping.
418     
Item
21 To State Board of Education - Statewide Online Education

419          From Education Fund
4,390,100

420          From Education Fund, One-time
4,800,900

421          From Revenue Transfers
(28,900)


422          From Beginning Nonlapsing Balances
1,625,500

423          From Closing Nonlapsing Balances
(1,376,900)

424          Schedule of Programs:
425               Statewide Online Education                         9,410,700
426          The Legislature intends that the State Board of Education use one-time funding
427     appropriated to the Statewide Online Education Program to meet the following priorities:
428          (1) fully fund requests for enrollment from homeschool students; and
429          (2) use remaining funding to support enrollment requests from students accessing the
430     program through a private school.
431     
State Board of Education

432     
Item
22 To School and Institutional Trust Fund Office
433          From School and Institutional Trust Fund Management Account
1,865,300

434          Schedule of Programs:
435               School and Institutional Trust Fund Office               1,865,300
436          Section 10. Effective date.
437          (1) Except as provided in Subsection (2), if approved by two-thirds of all the members
438     elected to each house, this bill takes effect upon approval by the governor, or the day following
439     the constitutional time limit of Utah Constitution, Article VII, Section 8, without the governor's
440     signature, or in the case of a veto, the date of veto override.
441          (2) The following sections of this bill take effect on July 1, 2021:
442          (a) Section 53E-5-302;
443          (b) Section 53F-2-209;
444          (c) Section 53F-2-304;
445          (d) Section 53F-2-418;
446          (e) Section 53F-2-706;
447          (f) Section 53G-5-202;
448          (g) Section 7, Repealer;
449          (h) Section 9, Fiscal Year 2022 Appropriation; and

450          (i) Subsection 9(a), Operating and Capital Budgets.