AB937, s. 10 15Section 10. 121.07 (10) (e) to (g) of the statutes are created to read:
AB937,4,1716 121.07 (10) (e) The "primary required income rate" is the primary shared cost
17divided by the primary net taxable income.
AB937,4,1918 (f) The "secondary required income rate" is the secondary shared cost divided
19by the secondary net taxable income.
AB937,4,2120 (g) The "tertiary required income rate" is the tertiary shared cost divided by the
21tertiary net taxable income.
AB937, s. 11 22Section 11. 121.08 (2) of the statutes is amended to read:
AB937,5,423 121.08 (2) The aid computed under sub. (1) shall be reduced by the sum of the
24amount by which the school district equalized valuation exceeds the secondary
25guaranteed valuation, multiplied by the secondary required levy rate, and the

1amount by which the school district equalized valuation exceeds the tertiary
2guaranteed valuation, multiplied by the tertiary required levy rate. In no case may
3the aid distributed under sub. (1) and this section subsection be less than the amount
4under sub. (1) (a).
AB937, s. 12 5Section 12. 121.08 (2g) of the statutes is created to read:
AB937,5,76 121.08 (2g) The state shall pay to the school district the sum of the following
7amounts:
AB937,5,98 (a) The amount by which the primary net taxable income exceeds the school
9district net taxable income, multiplied by the primary required income rate.
AB937,5,1110 (b) The amount by which the secondary net taxable income exceeds the school
11district net taxable income, multiplied by the secondary required income rate.
AB937,5,1312 (c) The amount by which the tertiary net taxable income exceeds the school
13district net taxable income, multiplied by the tertiary required income rate.
AB937, s. 13 14Section 13. 121.08 (2r) of the statutes is created to read:
AB937,5,2115 121.08 (2r) The aid computed under sub. (2g) shall be reduced by the sum of
16the amount by which the school district net taxable income exceeds the secondary net
17taxable income, multiplied by the secondary required income rate, and the amount
18by which the school district net taxable income exceeds the tertiary net taxable
19income, multiplied by the tertiary required income rate. In no case may the aid
20distributed under sub. (2g) and this subsection be less than the amount under sub.
21(2g) (a).
AB937, s. 14 22Section 14. 121.08 (3) of the statutes is amended to read:
AB937,6,223 121.08 (3) The aid computed under sub. (1) and the aid computed under sub.
24(2g)
shall each be reduced by 50 percent of the amount by which the aid that the
25school district is receiving under sub. (1) as a result of the number of pupils reported

1as enrolled in the school district under s. 121.05 (1) (a) 7. exceeds the amount paid
2by the school district for tuition for those pupils.
AB937, s. 15 3Section 15. 121.08 (4) (c) of the statutes is amended to read:
AB937,6,104 121.08 (4) (c) The amount of state aid that a school district is eligible to be paid
5from the appropriation under s. 20.255 (2) (ac) shall also be reduced by an amount
6equal to the amount paid to the Second Chance Partnership under s. 115.28 (54) for
7pupils enrolled in the school district. The department shall ensure that the amount
8of the aid reduction lapses to the general fund and that it does not affect the amount
9determined to be received by a school district as state aid under this section for any
10other purpose.
AB937, s. 16 11Section 16. 121.08 (4) (d) of the statutes is amended to read:
AB937,6,1612 121.08 (4) (d) The state superintendent shall ensure that the total amount of
13aid reduction reductions under pars. (a) and (b) this subsection lapses to the general
14fund and that 50 percent of the aid reductions are made to the computations under
15subs. (1) and (2) and 50 percent of the aid reductions are made to the computations
16under subs. (2g) and (2r)
.
AB937, s. 17 17Section 17. 121.105 (1) of the statutes is renumbered 121.105 (1) (a) and
18amended to read:
AB937,6,2119 121.105 (1) (a) In this section subsection, "state aid" means the sum of the
20payments provided to a school district under this section subsection and ss. 121.08
21(1) and (2), 121.85 (6) (a) 1., and 121.86 (2) (a) 1.
AB937, s. 18 22Section 18. 121.105 (2) (am) of the statutes is renumbered 121.105 (1) (b).
AB937, s. 19 23Section 19. 121.105 (2) (b) of the statutes is renumbered 121.105 (2r) and
24amended to read:
AB937,7,5
1121.105 (2r) A school district is eligible to receive additional aid under par. (am)
2subs. (1) and (2g) only if the aggregate additional aid does not result in a state aid
3payment greater than the school district's shared cost. In this subsection, "state aid"
4means the sum of payments provided to a school district under this section and ss.
5121.08, 121.85, and 121.86.
AB937, s. 20 6Section 20. 121.105 (2g) of the statutes is created to read:
AB937,7,97 121.105 (2g) (a) In this subsection, "state aid" means the sum of the payments
8provided to a school district under this subsection and ss. 121.08 (2g) and (2r), 121.85
9(6) (a) 2., and 121.86 (2) (a) 2m.
AB937,7,1510 (b) 1. Except as provided in subd. 2., if a school district would receive less in
11state aid in the current school year before any adjustment is made under s. 121.15
12(4) (b) than an amount equal to 85% of the amount of state aid that it received in the
13previous school year, as adjusted under s. 121.15 (4) (b) in the current school year,
14its state aid for the current school year shall be increased to an amount equal to 85%
15of the state aid received in the previous school year.
AB937,7,2116 2. If a school district from which territory was detached to create a new school
17district under s. 117.105 would receive in state aid in the school year beginning on
18the first July 1 following the effective date of the reorganization less than 85 percent
19of the amount determined as follows, its state aid in the school year beginning on the
20first July 1 following the effective date of the reorganization shall be increased to an
21amount equal to 85 percent of the amount determined as follows:
AB937,7,2322 a. Divide the school district's membership in the preceding school year by the
23school district's membership in the 2nd preceding school year.
AB937,8,3
1b. Multiply the amount of state aid received by the school district in the
2preceding school year, as adjusted under s. 121.15 (4) (b) in the current school year,
3by the quotient under subd. 2. a.
AB937, s. 21 4Section 21. 121.105 (3) of the statutes is amended to read:
AB937,8,115 121.105 (3) In the school year in which a school district consolidation takes
6effect under s. 117.08 or 117.09 and in each of the subsequent 4 school years, the
7consolidated school district's state aid shall be an amount that is not less than the
8aggregate state aid to which the consolidating school districts were eligible in the
9school year prior to the school year in which the consolidation takes effect. The
10additional state aid shall be paid from the appropriation under s. 20.255 (2) (ac). In
11this subsection, "state aid" has the meaning given in sub. (2r).
AB937, s. 22 12Section 22. 121.85 (6) (a) of the statutes is renumbered 121.85 (6) (a) 1., and
13121.85 (6) (a) 1. a. and c., as renumbered, are amended to read:
AB937,8,1614 121.85 (6) (a) 1. a. Divide the state aid received in the current school year under
15s. 121.08 (1) and (2) by the membership used to compute state aid to the school
16district for the current school year.
AB937,8,1717 c. Multiply the quotient under subd. 1. a. by the product under subd. 2 1. b.
AB937, s. 23 18Section 23. 121.85 (6) (a) 2. of the statutes is created to read:
AB937,8,2119 121.85 (6) (a) 2. Except as provided under pars. (am) and (ar), the school district
20of attendance of pupils transferring from one attendance area to another under subs.
21(3) (b) and (4) shall be entitled to an amount determined as follows:
AB937,8,2422 a. Divide the state aid received in the current school year under s. 121.08 (2g)
23and (2r) by the membership used to compute state aid to the school district for the
24current school year.
AB937,9,2
1b. Multiply the number of transfer pupils, as counted for membership purposes
2under s. 121.004 (7), by 0.25.
AB937,9,33 c. Multiply the quotient under subd. 2. a. by the product under subd. 2. b.
AB937, s. 24 4Section 24. 121.86 (2) (a) of the statutes is renumbered 121.86 (2) (a) 1., and
5121.86 (2) (a) 1. a. and c., as renumbered, are amended to read:
AB937,9,86 121.86 (2) (a) 1. a. Divide the state aid received in the current school year under
7s. 121.08 (1) and (2) by the membership used to compute state aid to the school
8district for the current school year.
AB937,9,99 c. Multiply the quotient under subd. 1. a. by the product under subd. 2 1. b.
AB937, s. 25 10Section 25. 121.86 (2) (a) 2m. of the statutes is created to read:
AB937,9,1411 121.86 (2) (a) 2m. Except as provided under sub. (3), if a school board
12establishes a merged attendance area after January 1, 1984, for the purpose of
13reducing racial imbalance in the school district, the school district shall be entitled
14to an amount determined as follows:
AB937,9,1715 a. Divide the state aid received in the current school year under s. 121.08 (2g)
16and (2r) by the membership used to compute state aid to the school district for the
17current school year.
AB937,9,1818 b. Multiply the number of pupils enumerated under pars. (b) and (c) by 0.25.
AB937,9,1919 c. Multiply the quotient under subd. 2m. a. by the product under subd. 2m. b.
AB937, s. 26 20Section 26. 121.86 (3) of the statutes is amended to read:
AB937,9,2521 121.86 (3) State aid exception. Pupils under sub. (2) (b) and (c) who are
22enrolled in a kindergarten program or in a preschool program under subch. V of ch.
23115 shall be multiplied under sub. (2) (a) 2. 1. b. and 2m. b. by a number equal to the
24result obtained by multiplying 0.25 by the appropriate fraction under s. 121.004 (7)
25(c), (cm) or (d).
AB937, s. 27
1Section 27. 121.90 (2) (bm) 1. of the statutes, as affected by 2009 Wisconsin
2Act 28
, is amended to read:
AB937,10,63 121.90 (2) (bm) 1. Any additional aid that a school district receives as a result
4of ss. 121.07 (6) (e) 1. and, (7) (e) 1., and (7m) (e) 1. and 121.105 (3) for school district
5consolidations that are effective on or after July 1, 1995, as determined by the
6department.
AB937, s. 28 7Section 28. 121.90 (2) (bm) 2. of the statutes, as affected by 2009 Wisconsin
8Act 28
, is amended to read:
AB937,10,119 121.90 (2) (bm) 2. Any additional aid that a school district receives as a result
10of s. 121.07 (6) (e) 2. and, (7) (e) 2., and (7m) (e) 2. for school district reorganizations
11under s. 117.105, as determined by the department.
AB937, s. 29 12Section 29. Nonstatutory provisions.
AB937,10,1513 (1) Special adjustment aid. Notwithstanding section 121.105 of the statutes,
14as affected by this act, no aid may be distributed under that section in the 2011-12
15school year.
AB937, s. 30 16Section 30. Initial applicability.
AB937,10,1717 (1) This act first applies to school aid distributed in the 2011-12 school year.
AB937,10,1818 (End)
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