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7 LONG TITLE
8 General Description:
9 This bill requires the Public Education Appropriations Subcommittee to complete an
10 evaluation and make recommendations for future legislation regarding public education
11 funding and addresses funding for students who are at risk.
12 Highlighted Provisions:
13 This bill:
14 ▸ requires the Public Education Appropriations Subcommittee to:
15 • complete an evaluation of public education funding;
16 • make recommendations for future legislation; and
17 • report to the Executive Appropriations Committee;
18 ▸ amends dates regarding certain reviews or evaluations required of the Public
19 Education Appropriations Subcommittee;
20 ▸ enacts a weighted pupil unit add-on for students who are at risk using weighting
21 based on:
22 • students who receive free or reduced price lunch; and
23 • students who are English language learners;
24 ▸ requires the Utah State Board of Education to monitor learning outcomes related to
25 the WPU add-on;
26 ▸ establishes certain repeal dates, including for the Enhancement for At-Risk Students
27 Program; and
28 ▸ makes technical and conforming changes.
29 Money Appropriated in this Bill:
30 None
31 Other Special Clauses:
32 None
33 Utah Code Sections Affected:
34 AMENDS:
35 53E-1-202, as last amended by Laws of Utah 2020, Chapters 330 and 354
36 53F-2-301, as last amended by Laws of Utah 2020, Chapter 167
37 53F-2-410, as last amended by Laws of Utah 2019, Chapters 181, 186, and 408
38 53F-2-601, as last amended by Laws of Utah 2020, Fifth Special Session, Chapter 14
39 63I-2-253, as last amended by Laws of Utah 2020, Sixth Special Session, Chapter 13
40 ENACTS:
41 53E-1-202.2, Utah Code Annotated 1953
42 53F-2-314, Utah Code Annotated 1953
43
44 Be it enacted by the Legislature of the state of Utah:
45 Section 1. Section 53E-1-202 is amended to read:
46 53E-1-202. Reports to and action required of the Public Education
47 Appropriations Subcommittee.
48 (1) In accordance with applicable provisions and Section 68-3-14, the following
49 recurring reports are due to the Public Education Appropriations Subcommittee:
50 (a) the State Superintendent's Annual Report by the state board described in Section
51 53E-1-203;
52 (b) the report described in Section 53E-10-703 by the Utah Leading through Effective,
53 Actionable, and Dynamic Education director on research and other activities; and
54 (c) the report by the STEM Action Center Board described in Section 9-22-109,
55 including the information described in Section 9-22-113 on the status of the computer science
56 initiative.
57 (2) (a) The one-time report by the state board regarding cost centers and implementing
58 activity based costing is due to the Public Education Appropriations Subcommittee in
59 accordance with Section 53E-3-520.
60 (b) The occasional report, described in Section 53F-2-502 by the state board on the
61 program evaluation of the dual language immersion program, is due to the Public Education
62 Appropriations Subcommittee and in accordance with Section 68-3-14.
63 (3) In accordance with applicable provisions, the Public Education Appropriations
64 Subcommittee shall complete the following:
65 [
66 (a) the review described in Section 53E-2-301 of the WPU value rate; and
67 (b) if required, the study described in Section 53F-4-304 of scholarship payments.
68 Section 2. Section 53E-1-202.2 is enacted to read:
69 53E-1-202.2. Public education funding evaluation -- Recommendations.
70 (1) As used in this section:
71 (a) "Basic Program" means the same as that term is defined in Section 53F-2-102.
72 (b) "WPU" means the same as that term is defined in Section 53F-2-102.
73 (2) In lieu of the accountable budget reviews required in legislative rule, the Public
74 Education Appropriations Subcommittee shall, in order to continue and build upon the public
75 education funding study that the state board completed during the 2021 fiscal year, complete an
76 evaluation of the funding structure for public education, including by developing
77 recommendations for future legislation to:
78 (a) during the first phase:
79 (i) evaluate and recommend the rate at which the weightings described in Subsection
80 53F-2-314(2)(a) should grow for the WPU add-ons for students who are at risk; and
81 (ii) address distribution of revenues to school districts of differing sizes and property
82 values to ensure adequate long-term equalization of public education funds through tested or
83 new approaches to equalization;
84 (b) during the second phase:
85 (i) consider additional issues raised under the evaluation and recommendations
86 described in Subsection (2)(a);
87 (ii) address the related to basic programs described in Title 53 F, Chapter 2, State
88 Funding -- Minimum School Program, to optimize coherence, stability, continuous
89 improvement, and balance with Basic Program funds; and
90 (iii) address methods to support schools in developing and implementing effective
91 practices, possibly through a competitive grant program.
92 (3) The Public Education Appropriations Subcommittee shall report the following to
93 the Executive Appropriations Committee:
94 (a) no later than December 1, 2021, the evaluation and recommendations described in
95 Subsection (2)(a); and
96 (b) no later than December 1, 2022, the evaluation and recommendations described in
97 Subsection (2)(b).
98 Section 3. Section 53F-2-301 is amended to read:
99 53F-2-301. Minimum basic tax rate for a fiscal year that begins after July 1, 2022.
100 (1) The provisions of this section are not in effect for a fiscal year that begins on July 1,
101 2018, 2019, 2020, 2021, or 2022.
102 (2) As used in this section:
103 (a) "Basic levy increment rate" means a tax rate that will generate an amount of
104 revenue equal to $75,000,000.
105 (b) "Combined basic rate" means a rate that is the sum of:
106 (i) the minimum basic tax rate; and
107 (ii) the WPU value rate.
108 (c) "Commission" means the State Tax Commission.
109 (d) "Equity pupil tax rate" means the tax rate that will generate an amount of revenue
110 equal to the amount generated by the equity pupil tax rate as defined in Section 53F-2-301.5 in
111 the fiscal year that begins July 1, 2022.
112 (e) "Minimum basic local amount" means an amount that is:
113 (i) equal to the sum of:
114 (A) the school districts' contribution to the basic school program the previous fiscal
115 year;
116 (B) the amount generated by the basic levy increment rate;
117 (C) the amount generated by the equity pupil tax rate; and
118 (D) the eligible new growth, as defined in Section 59-2-924 and rules of the State Tax
119 Commission multiplied by the minimum basic rate; and
120 (ii) set annually by the Legislature in Subsection (3)(a).
121 (f) "Minimum basic tax rate" means a tax rate certified by the commission that will
122 generate an amount of revenue equal to the minimum basic local amount described in
123 Subsection (3)(a).
124 (g) "Weighted pupil unit value" or "WPU value" means the amount established each
125 year in the enacted public education budget that is multiplied by the number of weighted pupil
126 units to yield the funding level for the basic school program.
127 (h) "WPU value amount" means an amount:
128 (i) that is equal to the product of:
129 (A) the WPU value increase limit; and
130 (B) the percentage share of local revenue to the cost of the basic school program in the
131 immediately preceding fiscal year; and
132 (ii) set annually by the Legislature in Subsection (4)(a).
133 (i) "WPU value increase limit" means the lesser of:
134 (i) the total cost to the basic school program to increase the WPU value over the WPU
135 value in the prior fiscal year; or
136 (ii) the total cost to the basic school program to increase the WPU value by 4% over
137 the WPU value in the prior fiscal year.
138 (j) "WPU value rate" means a tax rate certified by the commission that will generate an
139 amount of revenue equal to the WPU value amount described in Subsection (4)(a).
140 (3) (a) The minimum basic local amount for the fiscal year that begins on July 1, 2018,
141 is $408,073,800 in revenue statewide.
142 (b) The preliminary estimate of the minimum basic tax rate for a fiscal year that begins
143 on July 1, 2018, is .001498.
144 (4) (a) The WPU value amount for the fiscal year that begins on July 1, 2018, is
145 $18,650,000 in revenue statewide.
146 (b) The preliminary estimate of the WPU value rate for the fiscal year that begins on
147 July 1, 2018, is .000069.
148 (5) (a) On or before June 22, the commission shall certify for the year:
149 (i) the minimum basic tax rate; and
150 (ii) the WPU value rate.
151 (b) The estimate of the minimum basic tax rate provided in Subsection (3)(b) and the
152 estimate of the WPU value rate provided in Subsection (4)(b) are based on a forecast for
153 property values for the next calendar year.
154 (c) The certified minimum basic tax rate described in Subsection (5)(a)(i) and the
155 certified WPU value rate described in Subsection (5)(a)(ii) are based on property values as of
156 January 1 of the current calendar year, except personal property, which is based on values from
157 the previous calendar year.
158 (6) (a) To qualify for receipt of the state contribution toward the basic school program
159 and as a school district's contribution toward the cost of the basic school program for the school
160 district, each local school board shall impose the combined basic rate.
161 (b) (i) The state is not subject to the notice requirements of Section 59-2-926 before
162 imposing the tax rates described in this Subsection (6).
163 (ii) (A) Except as provided in Subsection (6)(b)(ii)(B), the state is subject to the notice
164 requirements of Section 59-2-926 if the state authorizes a tax rate that exceeds the tax rates
165 described in this Subsection (6).
166 (B) For a calendar year that begins on January 1, 2018, the state is not subject to the
167 notice and public hearing requirements of Section 59-2-926 if the state authorizes a combined
168 basic rate that exceeds the tax rates authorized in this section.
169 (7) (a) The state shall contribute to each school district toward the cost of the basic
170 school program in the school district an amount of money that is the difference between the
171 cost of the school district's basic school program and the sum of revenue generated by the
172 school district by the following:
173 (i) the combined basic rate;
174 (ii) the basic levy increment rate; and
175 (iii) the equity pupil tax rate.
176 (b) (i) If the difference described in Subsection (7)(a) equals or exceeds the cost of the
177 basic school program in a school district, no state contribution shall be made to the basic
178 school program for the school district.
179 (ii) The proceeds of the difference described in Subsection (7)(a) that exceed the cost
180 of the basic school program shall be paid into the Uniform School Fund as provided by law and
181 by the close of the fiscal year in which the proceeds were calculated.
182 (8) Upon appropriation by the Legislature, the Division of Finance shall deposit an
183 amount equal to the proceeds generated statewide:
184 (a) by the basic levy increment rate into the Minimum Basic Growth Account created
185 in Section 53F-9-302;
186 (b) by the equity pupil tax rate into the Local Levy Growth Account created in Section
187 53F-9-305; and
188 (c) by the WPU value rate into the Teacher and Student Success Account created in
189 Section 53F-9-306.
190 (9) After July 1, [
191 Appropriations Subcommittee:
192 (a) shall review the WPU value rate, the impact of revenues generated by the WPU
193 value rate on public education funding, and whether local school boards should continue to
194 levy the WPU value rate; and
195 (b) may recommend an increase, repeal, or continuance of the WPU value rate.
196 Section 4. Section 53F-2-314 is enacted to read:
197 53F-2-314. Weighted pupil units for students who are at-risk.
198 (1) As used in this section:
199 (a) "At risk" means that a public education student:
200 (i) scores below proficient on a state board or LEA approved assessment; or
201 (ii) meets an LEA governing board's approved definition of an at-risk student.
202 (b) "Limited English proficiency" means that an English learner student received a
203 score of 1-4 on an English language proficiency assessment.
204 (2) (a) Additional weighted pupil units for students who are at-risk are computed based
205 on the number of students within each LEA on October 1 of the previous school year as
206 follows, added to a base of five WPUs for each LEA:
207 (i) for the fiscal year beginning on July 1, 2021:
208 (A) for each student who is eligible to receive free or reduced price lunch, .05
209 additional weighted pupil units; and
210 (B) for each student with limited English proficiency, .025 additional weighted pupil
211 units; and
212 (ii) for each fiscal year after the fiscal year described in Subsection (2)(a)(i), the
213 additional weighed pupil units shall increase, subject to the approval of the Executive
214 Appropriations Committee, by amounts that the Public Education Appropriations
215 Subcommittee recommends in the subcommittee's evaluation and recommendations described
216 in Section 53E-1-202.2, up to:
217 (A) for each student who is eligible to receive free or reduced price lunch, .3 total
218 weighted pupil units; and
219 (B) for each student with limited English proficiency, up to .1 total weighted pupil
220 units.
221 (b) Funding for a student who falls within both Subsections (2)(a)(i)(A) and (B) shall
222 be computed under both weighting factors.
223 (3) An LEA governing board shall use money distributed under this section to improve
224 the academic achievement of students who are at-risk.
225 (4) For a year in which an allocation to an LEA under this section is less than the
226 allocation to the LEA under the Enhancement for At-Risk Students Program in the 2021 fiscal
227 year, the Executive Appropriations Committee shall include a one-time appropriation in the
228 public education budget to supplement the difference between the two amounts.
229 (5) (a) Annually, an LEA shall provide the following information to the state board:
230 (i) a report of the LEA's use of funds allocated under this section through the annual
231 financial reporting process; and
232 (ii) the LEA's outcome data or a report of intervention effectiveness related to the use
233 of the LEA's use of funds allocated under this section.
234 (b) The state board shall monitor the learning outcomes resulting from the LEA's use of
235 funds under this section.
236 Section 5. Section 53F-2-410 is amended to read:
237 53F-2-410. Enhancement for At-Risk Students Program.
238 (1) This section does not apply to a fiscal year beginning on or after July 1, 2021.
239 (2) (a) Subject to Subsection [
240 appropriated for the Enhancement for At-Risk Students Program to school districts and charter
241 schools according to a formula adopted by the state board, after consultation with LEA
242 governing boards.
243 (b) (i) The state board shall allocate 4% of the appropriation for Enhancement for
244 At-Risk Students Program for a gang prevention and intervention program designed to help
245 students at risk for gang involvement stay in school.
246 (ii) Money for the gang prevention and intervention program shall be distributed to
247 school districts and charter schools through a request for proposals process.
248 [
249 board shall:
250 (a) use the following criteria:
251 (i) low performance on statewide assessments described in Section 53E-4-301;
252 (ii) poverty;
253 (iii) mobility;
254 (iv) limited English proficiency;
255 (v) chronic absenteeism; and
256 (vi) homelessness;
257 (b) ensure that the distribution formula distributes money on a per student and per
258 criterion basis; and
259 (c) ensure that the distribution formula provides funding for each criterion that a
260 student meets such that a student who meets:
261 (i) one criterion is counted once; and
262 (ii) more than one criterion is counted for each criterion the student meets up to three
263 criteria.
264 [
265 Enhancement for At-Risk Students Program shall increase annually based on:
266 (a) a student growth adjustment that is the higher of:
267 (i) the percentage of enrollment growth of students in kindergarten through grade 12;
268 or
269 (ii) the percentage of enrollment growth of students in the combined three highest
270 at-risk student criteria categories described in Subsection [
271 (b) changes to the value of the weighted pupil unit as defined in Section 53F-4-301.
272 [
273 improve the academic achievement of students who are at risk of academic failure including
274 addressing truancy.
275 [
276 (a) develop performance criteria to measure the effectiveness of the Enhancement for
277 At-Risk Students Program; and
278 (b) annually determine the three highest at-risk student criteria categories described in
279 Subsection [
280 [
281 under this section, the school district or charter school may use the allocation as described in
282 Section 53F-2-206.
283 [
284
285 [
286
287 [
288
289 Section 6. Section 53F-2-601 is amended to read:
290 53F-2-601. State guaranteed local levy increments -- Appropriation to increase
291 number of guaranteed local levy increments -- No effect of change of minimum basic tax
292 rate -- Voted and board local levy funding balance -- Use of guaranteed local levy
293 increment funds.
294 (1) As used in this section:
295 (a) "Board local levy" means a local levy described in Section 53F-8-302.
296 (b) "Guaranteed local levy increment" means a local levy increment guaranteed by the
297 state:
298 (i) for the board local levy, described in Subsections (2)(a)(ii)(A) and (2)(b)(ii)(B); or
299 (ii) for the voted local levy, described in Subsections (2)(a)(ii)(B) and (2)(b)(ii)(A).
300 (c) "Local levy increment" means .0001 per dollar of taxable value.
301 (d) (i) "Voted and board local levy funding balance" means the difference between:
302 (A) the amount appropriated for the guaranteed local levy increments in a fiscal year;
303 and
304 (B) the amount necessary to fund in the same fiscal year the guaranteed local levy
305 increments as determined under this section.
306 (ii) "Voted and board local levy funding balance" does not include appropriations
307 described in Subsection (2)(b)(i).
308 (e) "Voted local levy" means a local levy described in Section 53F-8-301.
309 (2) (a) (i) In addition to the revenue collected from the imposition of a voted local levy
310 or a board local levy, the state shall guarantee that a school district receives, subject to
311 Subsections (2)(b)(ii)(C) and (3)(a), for each guaranteed local levy increment, an amount
312 sufficient to guarantee for a fiscal year that begins on July 1, 2018, $43.10 per weighted pupil
313 unit.
314 (ii) Except as provided in Subsection (2)(b)(ii), the number of local levy increments
315 that are subject to the guarantee amount described in Subsection (2)(a)(i) are:
316 (A) for a board local levy, the first four local levy increments a local school board
317 imposes under the board local levy; and
318 (B) for a voted local levy, the first 16 local levy increments a local school board
319 imposes under the voted local levy.
320 (b) (i) Subject to future budget constraints and Subsection (2)(c), the Legislature shall
321 annually appropriate money from the Local Levy Growth Account established in Section
322 53F-9-305 for purposes described in Subsection (2)(b)(ii).
323 (ii) The state board shall, for a fiscal year beginning on or after July 1, 2018, and
324 subject to Subsection (2)(c), allocate funds appropriated under Subsection (2)(b)(i) and the
325 amount described in Subsection (3)(c) in the following order of priority by increasing:
326 (A) by up to four increments the number of voted local levy guaranteed local levy
327 increments above 16;
328 (B) by up to 16 increments the number of board local levy guaranteed local levy
329 increments above four; and
330 (C) the guaranteed amount described in Subsection (2)(a)(i).
331 (c) The number of guaranteed local levy increments under this Subsection (2) for a
332 school district may not exceed 20 guaranteed local levy increments, regardless of whether the
333 guaranteed local levy increments are from the imposition of a voted local levy, a board local
334 levy, or a combination of the two.
335 (3) (a) The guarantee described in Subsection (2)(a)(i) is indexed each year to the value
336 of the weighted pupil unit by making the value of the guarantee equal to .011962 times the
337 value of the prior year's weighted pupil unit.
338 (b) The guarantee shall increase by .0005 times the value of the prior year's weighted
339 pupil unit for each year subject to the Legislature appropriating funds for an increase in the
340 guarantee.
341 (c) If the indexing and growth described in Subsections (3)(a) and (b) result in a cost to
342 the state in a given fiscal year that is less than the amount the Legislature appropriated, the state
343 board shall dedicate the difference to the allocation described in Subsection (2)(b)(ii).
344 (4) (a) The amount of state guarantee money that a school district would otherwise be
345 entitled to receive under this section may not be reduced for the sole reason that the school
346 district's board local levy or voted local levy is reduced as a consequence of changes in the
347 certified tax rate under Section 59-2-924 pursuant to changes in property valuation.
348 (b) Subsection (4)(a) applies for a period of five years following a change in the
349 certified tax rate as described in Subsection (4)(a).
350 (5) The guarantee provided under this section does not apply to the portion of a voted
351 local levy rate that exceeds the voted local levy rate that was in effect for the previous fiscal
352 year, unless an increase in the voted local levy rate was authorized in an election conducted on
353 or after July 1 of the previous fiscal year and before December 2 of the previous fiscal year.
354 (6) (a) If a voted and board local levy funding balance exists for the prior fiscal year,
355 the state board shall:
356 (i) use the voted and board local levy funding balance to increase the value of the state
357 guarantee per weighted pupil unit described in Subsection (3)(a) in the current fiscal year; and
358 (ii) distribute guaranteed local levy increment funds to school districts based on the
359 increased value of the state guarantee per weighted pupil unit described in Subsection (6)(a)(i).
360 (b) The state board shall report action taken under Subsection (6)(a) to the Office of the
361 Legislative Fiscal Analyst and the Governor's Office of Management and Budget.
362 (7) A local school board of a school district that receives funds described in this section
363 shall budget and expend the funds for public education purposes.
364 Section 7. Section 63I-2-253 is amended to read:
365 63I-2-253. Repeal dates -- Titles 53 through 53G.
366 (1) (a) Section 53-2a-217, regarding procurement during an epidemic or pandemic
367 emergency, is repealed on December 31, 2021.
368 (b) When repealing Section 53-2a-217, the Office of Legislative Research and General
369 Counsel shall, in addition to the office's authority under Subsection 36-12-12(3), make
370 necessary changes to subsection numbering and cross references.
371 (2) Section 53B-2a-103 is repealed July 1, 2021.
372 (3) Section 53B-2a-104 is repealed July 1, 2021.
373 (4) (a) Subsection 53B-2a-108(5), regarding exceptions to the composition of a
374 technical college board of trustees, is repealed July 1, 2022.
375 (b) When repealing Subsection 53B-2a-108(5), the Office of Legislative Research and
376 General Counsel shall, in addition to its authority under Subsection 36-12-12(3), make
377 necessary changes to subsection numbering and cross references.
378 (5) Section 53B-6-105.7 is repealed July 1, 2024.
379 (6) (a) Subsection 53B-7-705(6)(b)(ii)(A), the language that states "Except as provided
380 in Subsection (6)(b)(ii)(B)," is repealed July 1, 2021.
381 (b) Subsection 53B-7-705(6)(b)(ii)(B), regarding comparing a technical college's
382 change in performance with the technical college's average performance, is repealed July 1,
383 2021.
384 (7) (a) Subsection 53B-7-707(3)(a)(ii), the language that states "Except as provided in
385 Subsection (3)(b)," is repealed July 1, 2021.
386 (b) Subsection 53B-7-707(3)(b), regarding performance data of a technical college
387 during a fiscal year before fiscal year 2020, is repealed July 1, 2021.
388 (8) Section 53B-8-114 is repealed July 1, 2024.
389 (9) (a) The following sections, regarding the Regents' scholarship program, are
390 repealed on July 1, 2023:
391 (i) Section 53B-8-202;
392 (ii) Section 53B-8-203;
393 (iii) Section 53B-8-204; and
394 (iv) Section 53B-8-205.
395 (b) (i) Subsection 53B-8-201(2), regarding the Regents' scholarship program for
396 students who graduate from high school before fiscal year 2019, is repealed on July 1, 2023.
397 (ii) When repealing Subsection 53B-8-201(2), the Office of Legislative Research and
398 General Counsel shall, in addition to its authority under Subsection 36-12-12(3), make
399 necessary changes to subsection numbering and cross references.
400 (10) Section 53B-10-101 is repealed on July 1, 2027.
401 (11) Title 53B, Chapter 18, Part 14, Uintah Basin Air Quality Research Project, is
402 repealed July 1, 2023.
403 (12) Section 53E-1-202.2, regarding a Public Education Appropriations Subcommittee
404 evaluation and recommendations, is repealed January 1, 2024.
405 [
406 2020.
407 [
408 [
409 performance and continued funding relating to the School Recognition and Reward Program, is
410 repealed July 1, 2020.
411 [
412 [
413 July 1, 2024.
414 [
415 Education's duties if contributions from the minimum basic tax rate are overestimated or
416 underestimated, the language that states "or 53F-2-301.5, as applicable" is repealed July 1,
417 2023.
418 [
419 repealed July 1, 2023.
420 (20) Subsection 53F-2-314(4), relating to a one-time expenditure between the at-risk
421 WPU add-on funding and previous at-risk funding, is repealed January 1, 2024.
422 (21) Section 53F-2-410, relating to the Enhancement for At-Risk Students Program, is
423 repealed January 1, 2022.
424 [
425 applicable" is repealed July 1, 2023.
426 [
427 [
428 applicable" is repealed July 1, 2023.
429 [
430 applicable" is repealed July 1, 2023.
431 [
432 applicable" is repealed July 1, 2023.
433 [
434 as applicable" is repealed July 1, 2023.
435 [
436 related to the civics engagement pilot program, are repealed on July 1, 2023.
437 [
438 Legislative Research and General Counsel shall, in addition to the office's authority under
439 Subsection 36-12-12(3), make corrections necessary to ensure that sections and subsections
440 identified in this section are complete sentences and accurately reflect the office's perception of
441 the Legislature's intent.