SB291: Bill Text

LRB-4073/1

PG:jrd:ks

1995 - 1996 LEGISLATURE

1995 Senate BILL 291

August 9, 1995 - Introduced by Senators Darling, Rude and Farrow, cosponsored by Representatives Schneiders, Duff, Goetsch, Hahn, Skindrud, Urban, Seratti, Grothman and Lazich. Referred to Committee on Education and Financial Institutions.

SB291,1,9 An Act to renumber 117.22 (1) (a); to amend 117.05 (1m), 117.05 (2) (a), 117.05 (4) (a) (intro.), 117.05 (5) (a), 117.05 (8), 117.05 (9) (a) (intro.), 117.05 (9) (b), 117.05 (10), 117.14 (1) (intro.), 117.14 (1) (b), 117.17 (1) (a), 117.20 (1), 117.22 (1) (b) 1. and 2m., 117.22 (2) (a) 1. and 117.22 (2) (b); and to create 117.03 (4m), 117.05 (4) (d), 117.05 (9) (a) 2., 117.105, 117.17 (1) (bm), 117.22 (1) (a) 2. and 117.25 (4) of the statutes; relating to: procedures to create a school district out of the territory of one or more existing school districts and information provided to persons filing a petition for a referendum on the detachment of large territory from one school district and its attachment to another school district.

Analysis by the Legislative Reference Bureau

This bill creates procedures under which a new school district may be created out of a portion or portions of the territory of one or more existing school districts. The procedures created by the bill are as follows:

1. Initiation of reorganization

The reorganization may be initiated by either of the following:

a. The filing of a petition to create the new school district by owners of more than 25% of the territory proposed to be included in the new school district, as measured by its assessed valuation divided by the assessment ratio of the taxation district, or more than 25% of the electors residing in that territory; or

b. The adoption of resolutions to create the new school district by the school boards of all of the school districts containing territory within the proposed district.

2. Information

Following the filing of the petition or the adoption of the resolutions to initiate the reorganization process, the department of public instruction (DPI) must provide the person petitioning for the reorganization, if applicable, and each affected school board, with information relating to each affected school district's enrollment, school locations, valuation, operating costs, debt, shared costs, state aid, federal aid, tax levy, recent construction and recent referenda on the issuance of bonds or promissory notes that failed to win approval. Some of this information must be provided separately for the territory from each affected school district that is proposed to be transferred to the school district created by the reorganization. The department must update this information prior to the referendum on the reorganization if a referendum is required.

3. Opportunity for referendum if reorganization initiated by school boards

If the reorganization is initiated by the adoption of resolutions by the affected school boards, owners of more than 10% of the territory proposed to be included in the new school district, as measured by its assessed valuation divided by the assessment ratio of the taxation district, or more than 10% of the electors residing in that territory, may petition for a referendum on the creation of the proposed new school district. Alternatively, the school board of any school district that will lose 7% or more of its equalized valuation or enrollment may direct that a referendum be held. If no petition for a referendum is filed and no school board directs that a referendum be held, the new school district is created as proposed by the school boards.

4. Referendum if reorganization is initiated by petition

If the reorganization is initiated by the filing of a petition by property owners or electors, a referendum must be held on the creation of the proposed new school district.

5. Referendum vote counting

If a referendum is held, the new school district must be approved by a majority of the persons voting who reside in each affected school district.

6. Allocation of assets and liabilities

If the reorganization is approved, the school district boundary appeal board must issue an order assigning the existing school districts' assets and liabilities among the existing school districts and the school district created by the reorganization. The affected school boards may establish an alternative method to govern the apportionment of assets and liabilities, but the resulting apportionment is subject to approval by the school district boundary appeal board.

7. Treatment of employes

Any employe of a school district from which territory is detached to create the new school district who is laid off as a result of the reorganization has priority over other persons, for 3 years after the effective date of the reorganization, for new positions and vacant positions for which the employe is qualified in the new school district. Any employe who wishes to exercise this priority must notify the new school district in writing.

8. Timetable

The following timetable applies to these reorganizations:

a. Before June 1: A petition to initiate the process must be filed or the school boards must vote to initiate the process.

b. Before July 15: DPI must provide information.

c. Before August 1: School boards must act if they initiated the process.

d. Before the 2nd Tuesday in September: If the school boards initiated the process, an elector petition for a referendum may be filed.

e. Before October 15: DPI must update the previously provided information.

f. Tuesday following first Monday in November: A referendum must be held, if required.

g. Generally, before or at the spring election: The election for school board members for the new school district must be held (assuming there is no court appeal).

h. July 1 or the following July 1: Effective date of reorganization.

No specific date is established for the order of the school district boundary appeal board apportioning assets and liabilities.

9. Other

The bill provides that a person filing a petition for a referendum on the transfer of large territory must be given a written description of reorganization procedures prepared by DPI. Currently, this information must be given to a person filing a petition to initiate a reorganization procedure that may be initiated by petition (i.e., transfers of large or small territory) or a person filing a petition for a referendum on any other reorganization that may be decided by referendum (i.e., consolidations).

For further information see the state and local 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:

SB291, s. 1 Section 1. 117.03 (4m) of the statutes is created to read:

SB291,3,2 117.03 (4m) "Membership" has the meaning given in s. 121.004 (5).

SB291, s. 2 Section 2. 117.05 (1m) of the statutes is amended to read:

SB291,3,6 117.05 (1m) Board and appeal panel meetings. The state superintendent shall set the time and place for meetings of the board under ss. 117.10, 117.105 (6), 17.12 (5) and 117.132 and for meetings of appeal panels under ss. 117.12 (4) and 117.13.

SB291, s. 3 Section 3. 117.05 (2) (a) of the statutes is amended to read:

SB291,4,8 117.05 (2) (a) Board. The state superintendent shall appoint 7 members of the board to perform any review under ss. 117.10, 117.105 (6), 117.12 (5) and 117.132. The 7 members shall include the state superintendent or his or her designee on the board, 2 board members from school districts with small enrollments, 2 board members from school districts with medium enrollments and 2 board members from school districts with large enrollments. Any action of the board under this chapter requires the affirmative vote of at least 4 of the 7 members appointed under this paragraph.

SB291, s. 4 Section 4. 117.05 (4) (a) (intro.) of the statutes is amended to read:

SB291,4,14 117.05 (4) (a) Pending proceedings. (intro.) A reorganization proceeding is pending from the date that a petition is filed under s. 117.105 (1) (a), 117.11 (2) or 117.12 (2) or a resolution is adopted under s. 117.08 (1), 117.09 (1), 117.10 (1), 117.105 (1) (b), 117.13 (2) or 117.132 (2) until the date on which the latest of any of the following occurs: