LRB-3018/2
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2005 - 2006 LEGISLATURE
August 30, 2005 - Introduced by Joint Legislative Council. Referred to
Committee on Education.
AB638,1,3 1An Act to amend 20.505 (8) (hm) (intro.); and to create 20.255 (2) (kt), 20.505
2(8) (hm) 23. and 115.455 of the statutes; relating to: providing state aid to
3tribal schools for certain pupils and making an appropriation.
Analysis by the Legislative Reference Bureau
This bill is explained in the Notes provided by the Joint Legislative Council in
the bill.
For further information see the state fiscal estimate, which will be printed as
an appendix to this bill.
The people of the state of Wisconsin, represented in senate and assembly, do
enact as follows:
Joint Legislative Council prefatory note: This bill was prepared for the Joint
Legislative Council's Special Committee on State-Tribal Relations.
GENERAL BACKGROUND
This bill defines a "tribal school" as an institution with an educational program
that has as its primary purpose providing education in any grade or grades from
kindergarten to 12 and that is controlled by the elected governing body of a federally
recognized American Indian tribe or band in Wisconsin or by a tribal educational
authority established under the laws of a federally recognized American Indian tribe or
band in Wisconsin.
Currently, four schools in Wisconsin would come under that definition. They are
the: Menominee Tribal School; Oneida Nation of Wisconsin Schools; Lac Courte Oreilles

Tribal School; and Mashkiisiibii (Bad River) Tribal School. The first three have contracts
with and are funded, in full or in part, by the Bureau of Indian Affairs (BIA). A tribe also
may provide funding to its tribal school. The last school is funded by the Bad River Tribal
Council and does not have a contract with or receive a grant from the BIA.
BIA FUNDING OF TRIBAL SCHOOLS
The BIA provides funding to those tribal schools with which the BIA has a contract
or to which the BIA provides a grant. In general, the funds provided by the BIA to a BIA
contract or grant school include:
1. An amount determined under the BIA's Indian Student Equalization Program
(ISEP) by multiplying a base unit value for the basic instructional program (for the
2004-05 school year, $3,996) by the weighted student unit count of ISEP-eligible pupils
(which factors in average daily membership determined during the tribal school's pupil
count week and assigns weights to certain pupils under certain circumstances). An
ISEP-eligible pupil is a pupil who is a member of a federally recognized American Indian
tribe or has at least 1/4 degree of Indian blood, is enrolled in a BIA contract or grant school
during the tribal school's pupil count week, is not enrolled in any other school during the
count week, and actually attends the tribal school at least one full day during the count
week.
2. Additional amounts under ISEP based on additional weighting; adjustments for
small schools; and funding for contingencies, school board training, pupil transportation,
interim maintenance and minor repairs, administrative costs, prekindergarten
programs, and operation and maintenance.
3. Additional amounts under specific federal education programs, such as: special
education funding under Part B of the Individuals with Disabilities Education Act (IDEA)
or funding under various titles of the Elementary and Secondary Education Act (ESEA).
All of the tribal schools in Wisconsin currently permit non-ISEP eligible
(non-ISEP) pupils to attend the tribal school, although some limit the number of such
pupils. Non-ISEP pupils are not counted in determining federal aid to the tribal school
and do not generate federal funding for the tribal school under the portion of ISEP
formula that multiplies the base unit value (currently $3,996) times the weighted pupil
unit count. Estimates of the non-ISEP pupils enrolled in Wisconsin tribal schools
currently are: Menominee Tribal School--8; Oneida Nation of Wisconsin Schools--20;
Lac Courte Oreilles Tribal School--40; and Mashkiisiibii (Bad River) Tribal School--26.
(All the pupils at the Mashkiisiibii Tribal School are non-ISEP pupils because that school
does not have a contract with or receive a grant from the BIA.)
THE BILL
This bill does the following:
1. Provides state aid to a tribal school in an amount that is calculated by
multiplying the ISEP base unit value determined by the BIA for the prior school year
times the number of non-ISEP eligible pupils at the tribal school during the tribal
school's pupil count week in a school year. The general purpose is, for each non-ISEP
eligible pupil, to pay each tribal school (including a tribal school that does not have a
contract with or receive a grant from the BIA) approximately the amount that would have
been allotted to the tribal school by the BIA under ISEP for the basic educational program
if the the pupil were ISEP eligible. The bill provides that a pupil who is enrolled at a
public school on the public school's count date of the third Friday in September (and, thus,
is counted in determining aid for that school district) is not considered to be a non-ISEP
pupil, and no aid is provided to the tribal school for that pupil.
2. Creates an appropriation to the Department of Public Instruction (DPI) to fund
this payment. The appropriation uses tribal gaming revenues paid to the state. The bill
provides an appropriation of $375,700, which is based on the current estimate of the
number of non-ISEP pupils enrolled in tribal schools (94) multiplied by the ISEP base
unit value for the 2004-05 school year of $3,996, rounded to the next $100. The bill
provides for prorating the amount if the funds are not sufficient in a school year.

3. Includes a payment schedule and requires submission to DPI of information
about the non-ISEP pupils. The bill also creates a mechanism to verify the information
about the non-ISEP pupils.
AB638, s. 1 1Section 1. 20.005 (3) (schedule) of the statutes: at the appropriate place, insert
2the following amounts for the purposes indicated: - See PDF for table PDF
Note: Appropriates to DPI the amount in the schedule for payment of aid to tribal
schools from tribal gaming revenues paid to the state as described in s. 115.455, below.
AB638, s. 2 3Section 2 . 20.255 (2) (kt) of the statutes is created to read:
AB638,3,94 20.255 (2) (kt) Aid to tribal schools. The amounts in the schedule for the
5payment of aid to tribal schools under s. 115.455. All moneys transferred from the
6appropriation account under s. 20.505 (8) (hm) 23. shall be credited to this
7appropriation. Notwithstanding s. 20.001 (3) (a), the unencumbered balance on
8June 30 of each year shall revert to the appropriation account under s. 20.505 (8)
9(hm).
AB638, s. 3 10Section 3. 20.505 (8) (hm) (intro.) of the statutes is amended to read:
AB638,4,211 20.505 (8) (hm) Indian gaming receipts. (intro.) All moneys required to be
12credited to this appropriation under s. 569.06, all moneys transferred under 2001
13Wisconsin Act 16
, sections 9201 (5mk), 9205 (1mk), 9210 (3mk), 9223 (5mk), 9224
14(1mk), 9225 (1mk), 9231 (1mk), 9237 (4mk), 9240 (1mk), 9251 (1mk), 9256 (1mk),
159257 (2mk), and 9258 (2mk), and all moneys that revert to this appropriation account
16from the appropriation accounts specified in subds. 1c. to 19. 23., less the amounts

1appropriated under par. (h) and s. 20.455 (2) (gc), for the purpose of annually
2transferring the following amounts:
AB638, s. 4 3Section 4 . 20.505 (8) (hm) 23. of the statutes is created to read:
AB638,4,54 20.505 (8) (hm) 23. The amount transferred to s. 20.255 (2) (kt) shall be the
5amount in the schedule under s. 20.255 (2) (kt).
Note: Sections 2 to 4 provide that the appropriation is funded by tribal gaming
revenues paid to the state.
AB638, s. 5 6Section 5. 115.455 of the statutes is created to read:
AB638,4,7 7115.455 Aid to tribal schools. (1) In this section:
AB638,4,158 (a) "Non-ISEP pupil" means a pupil who was enrolled in and present at a tribal
9school during its pupil count week in a school year, was not enrolled in any other
10school during that pupil count week or at a public school on the 3rd Friday of
11September of that school year, attended the tribal school at least one full day during
12the pupil count week, and was not eligible to be counted in determining the weighted
13student unit count for the purpose of determining the amount of federal aid under
14the basic program of the federal Indian school equalization program under 25 CFR
15Part 39
in that school year.
AB638,4,1916 (b) "Pupil count week" means the week in which a tribal school counts its pupils
17under 25 CFR 39.30 (b) or 39.34 or would count its pupils under 25 CFR 39.30 (b) if
18the tribal school were eligible for funding under the federal Indian school
19equalization program.
Note: The pupil count week under the ISEP regulations is the last full week in
September. However, 25 CFR 39.34 also permits a tribal school to petition the BIA's
director of the Office of Indian Education Programs to substitute another week in
September under certain circumstances.
AB638,5,420 (c) "Tribal school" means an institution with an educational program that has
21as its primary purpose providing education in any grade or grades from kindergarten

1to 12 and that is controlled by the elected governing body of a federally recognized
2American Indian tribe or band in Wisconsin or by a tribal educational authority
3established under the laws of a federally recognized American Indian tribe or band
4in Wisconsin.
AB638,5,115 (2) Subject to subs. (3) and (4), from the appropriation under s. 20.255 (2) (kt)
6in each school year the state superintendent shall pay each tribal school that applies
7for aid under this section an amount equal to the number of non-ISEP pupils
8identified during the tribal school's pupil count week in that school year multiplied
9by the base unit value computed for the previous school year under 25 CFR 39.16.
10The state superintendent shall pay 50 percent of the total amount under this
11subsection in November and 50 percent in May.
AB638,5,1712 (3) If the appropriation under s. 20.255 (2) (kt) in any school year is insufficient
13to pay the full amount of aid under this section, state aid payments shall be prorated
14among the tribal schools entitled to such aid based on the number of non-ISEP pupils
15identified during the tribal school's pupil count week in that school year in proportion
16to the number of non-ISEP pupils identified during the pupil count week of all tribal
17schools applying for aid under this section for that school year.
AB638,5,1918 (4) No tribal school may receive aid under this section in a school year unless
19all of the following apply:
AB638,5,2320 (a) A tribal school official certifies to the state superintendent by October 31
21of that school year, on a form specified by the state superintendent, the names and
22grade levels of all non-ISEP pupils identified during the tribal school's pupil count
23week.
AB638,6,324 (b) The tribal school agrees that the state superintendent may either conduct
25an audit of pupil enrollment and attendance records of the non-ISEP pupils or

1require the tribal school to submit a statement by an independent auditor, approved
2by the state superintendent, that the pupil enrollment and attendance records of the
3non-ISEP pupils are accurate.
AB638,6,54 (5) The state superintendent shall deduct the amount of any overpayment that
5is not refunded to the department from a future payment under this section.
AB638, s. 6 6Section 6. Initial applicability.
AB638,6,77 (1) This act first applies in the 2006-07 school year.
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