LRB-2439/5
PG/TKK/JK:kjf&jld:jf
2011 - 2012 LEGISLATURE
March 8, 2012 - Introduced by Representatives Pope-Roberts and Clark,
cosponsored by Senator Holperin. Referred to Committee on Education.
AB677,2,7
1An Act to repeal 20.255 (2) (ap), 118.30 (1s) (b), 121.137 and 121.90 (2) (am) 4.;
2to renumber 121.58 (6);
to amend 20.255 (2) (ac), 20.255 (2) (bs), 79.10 (4),
379.10 (5m), 79.14, 79.15, 118.30 (1s) (a) (intro.), 118.60 (4) (b) 2., 118.60 (4r) (a),
4119.23 (4) (b) 2., 119.23 (4r) (a) 2., 119.46 (1), 121.004 (7) (a), 121.07 (6) (d),
5121.08 (4) (br), 121.105 (2) (am) 1., 121.105 (2) (am) 2. (intro.), 121.15 (1m) (a)
63., 121.54 (2) (b) 4., 121.55 (3) (b), 121.58 (6) (title), 121.90 (1) (intro.), 121.905
7(3) (c) 4., 121.905 (3) (c) 5., 121.91 (2m) (h) 3., 121.91 (2m) (i) 2., 121.91 (2m) (r)
81. b. and 121.91 (2m) (s) 1. b.;
to repeal and recreate 121.08 (4) (b);
to create
920.255 (2) (bf), 117.40 (5), 119.23 (4r) (a) 3., 121.004 (7) (g), 121.10, 121.105 (4),
10121.136 (3), 121.15 (3m), 121.58 (6) (b) and 121.91 (2m) (i) 1g. and 1r. of the
11statutes; and
to affect 2007 Wisconsin Act 20, section
9137 (3k) and
2011
12Wisconsin Act 32, section
9137 (3r);
relating to: counting low-income pupils
13for state school aid purposes; calculating the amount to be appropriated for
14state general school aid; aid to school districts in which parental choice
1programs have been established; school aid factors; special adjustment aids;
2hold harmless aid; school district revenue limits; payments to independent
3charter schools and to private schools participating in a parental choice
4program; grants to school districts for efficiency and consolidation feasibility
5studies; transportation aid to school districts; transportation of private school
6pupils; the first dollar and school levy property tax credits; granting
7rule-making authority; and making an appropriation.
Analysis by the Legislative Reference Bureau
Under current law, the state supports the costs of kindergarten to 12th grade
education through three different methods: unrestricted general school aid, also
known as equalization aid; grants and categorical aids, which partially fund specific
program costs; and the state school levy tax credit and the first dollar credit. The
amount of equalization aid available to be distributed statewide each year is
established in a sum certain appropriation, and equalization aid is distributed
amongst school districts on the basis of the relative fiscal capacity of each school
district as measured by the district's per pupil value of taxable property.
Beginning in May 2013, and annually thereafter, this bill directs the
Department of Public Instruction (DPI), the Department of Administration, and the
Legislative Fiscal Bureau jointly to certify to the Joint Committee on Finance the
amount necessary to appropriate as general school aids in the following fiscal year
to pay for the following portion of public school costs:
1. For the 2013-14 school year, 65.28 percent.
2. For the 2014-15 school year, 65.56 percent.
3. For the 2015-16 school year, 65.84 percent.
4. For the 2016-17 school year, 66.12 percent.
5. For the 2017-18 school year, 66.40 percent.
6. For the 2018-19 school year and each school year thereafter, two-thirds.
The bill directs the Joint Committee on Finance to determine the amount
appropriated as general school aids for the 2014-15 fiscal year and biennially
thereafter.
This bill also eliminates the first dollar and school levy property tax credits.
This bill specifies that a pupil who is eligible for a free or reduced-price lunch
under the federal School Lunch Act is counted an additional 20 percent of what he
or she would otherwise be counted for state aid purposes.
This bill modifies the secondary ceiling cost factor in the school aid formula.
Currently, it is the amount determined by dividing the state total shared cost by the
state total enrollment and multiplying the result by .90. This bill removes the 10
percent reduction.
Current law guarantees a school district at least 85 percent of the state aid it
received in the previous school year. This bill increases the guarantee to 90 percent.
This bill also provides that no school district may receive less in general state aid
than $3,000 per pupil.
Current law reduces the state aid of the school districts in which parental choice
programs have been established (currently only Milwaukee Public Schools (MPS)
and Racine Unified School District) by 38.4 percent of the amount paid to the private
schools participating in the parental choice programs. This bill reduces the
reduction to 30 percent.
This bill eliminates categorical state aid for high-poverty school districts.
Current law annually delays the payment of $75,000,000 in school aid until
July of the following fiscal year. This bill increases that amount to $972,400,000.
Under current law, the per pupil revenue limit increase is $50 in the 2012-13
school year. This bill raises that amount to $200. Under current law, in succeeding
years, the increase is zero. This bill provides an increase in succeeding years equal
to the five-year rolling average increase in average total personal income in this
state multiplied by the secondary cost ceiling per pupil used to distribute state school
aid.
Under current law, a school district that levies the maximum amount allowed
under revenue limits in the district's November 2012 certification of the district's
levy is eligible to receive a per pupil adjustment of up to $50 in the 2012-13 school
year. This bill eliminates this per pupil adjustment and transfers the $42,500,000
appropriated for the per pupil adjustment to the general state school aids
appropriation for the 2012-13 fiscal year.
Beginning in the 2012-13 school year, this bill provides additional state aid to
school districts to ensure that they receive at least the amount of general
equalization aid that they received in the previous school year.
Under current law, beginning in the 2013-14 school year, the state pays to each
private school participating in a parental choice program, for each pupil attending
the private school under the program, the lessor of the school's educational cost per
pupil or the amount paid in the previous school year increased by the percentage
change in the total amount appropriated as general school aid.
Beginning in the 2013-14 school year, this bill provides for the payment to be
the lessor of the school's educational cost per pupil or the amount paid in the previous
school year plus the amount determined by multiplying the percentage increase in
a five-year rolling average of this state's average total personal income by the
secondary cost ceiling per pupil used to distribute state school aid.
This bill requires DPI to reduce payments to independent charter schools and
to private schools participating in the parental choice programs in the 2012-13 fiscal
year by 3.5 percent.
This bill authorizes DPI to award grants of up to $10,000 to consortia of two or
more school districts to study ways of improving efficiency and reducing costs by
working cooperatively or to study the feasibility of consolidating the school districts.
A consortium awarded a grant to study ways of improving efficiency must provide
an amount equal to 20 percent of the amount of the grant. The bill prohibits DPI from
awarding more than one grant to the same consortium in the same school year.
Current law requires DPI to prorate state aid payments to school districts for
transportation costs if the amount appropriated is insufficient to cover all eligible
costs. Under this bill, beginning in the 2011-12 fiscal year, if there is a balance in
the appropriation after DPI pays all approved claims, DPI must distribute the
balance to school districts on a prorated basis.
Current law, with some exceptions, requires a school district to provide
transportation to and from school for a pupil attending a private school that is located
at least two miles from the pupil's residence. If the estimated cost of transporting
a pupil to a private school is more than 1.5 times the school district's average cost per
pupil for bus transportation, the school board may fulfill its obligation to transport
the pupil by contracting with the pupil's parent or guardian. Except as provided
below, the contract must provide for an annual payment for each pupil of at least $5
times the number of miles between the pupil's residence and the private school, or
the school district's average cost per pupil for bus transportation, whichever is
greater.
In a first class city school district (currently, only MPS), if two or more pupils
reside in the same household and attend the same private school, the contract may,
at the discretion of the school board, provide for a total annual payment of the
amount described above for all of the pupils instead of for each of the pupils. This
bill extends this provision to all school districts.
Currently, annually by May 15 each private school must notify each school
board of the names, grade levels, and locations of all pupils eligible to be transported
by the school board during the succeeding school term. This bill changes the
notification date to July 1.
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:
AB677, 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](https://docs.legis.wisconsin.gov/assets/image/file_acrobat.gif)
AB677, s. 2
1Section
2. 20.255 (2) (ac) of the statutes is amended to read:
AB677,5,82
20.255
(2) (ac)
General equalization aids. The amounts in the schedule A sum
3sufficient for the payment of educational aids under ss. 121.08, 121.09, 121.095,
4121.105,
121.137 and subch. VI of ch. 121
equal to $4,261,954,000 in the 2011-12
5fiscal year, equal to $4,685,888,000 in the 2012-13 fiscal year, equal to the amount
6determined by the joint committee on finance under s. 121.15 (3m) (c) in the 2014-15
7fiscal year and biennially thereafter, and equal to the amount determined by law in
8the 2013-14 fiscal year and biennially thereafter.
AB677, s. 4
11Section
4. 20.255 (2) (bf) of the statutes is created to read:
AB677,5,1312
20.255
(2) (bf)
Hold harmless aid. The amounts in the schedule for hold
13harmless aid to school districts under s. 121.10.
AB677, s. 5
14Section
5. 20.255 (2) (bs) of the statutes is amended to read:
AB677,5,1815
20.255
(2) (bs)
School district efficiency and consolidation grants. The amounts
16in the schedule for grants for school district
efficiency and consolidation feasibility
17studies under
2007 Wisconsin Act 20, section 9137 (3k). No funds may be
18encumbered from this appropriation after June 30, 2009 s. 117.40.
AB677, s. 6
19Section
6. 79.10 (4) of the statutes is amended to read:
AB677,5,2420
79.10
(4) School levy tax credit. Except as provided in sub. (5m), the amounts
21appropriated under s. 20.835 (3) (b) and (qb) shall be distributed to municipalities
22in proportion to their share of the sum of average school tax levies for all
23municipalities.
No municipality shall receive a payment under this subsection after
242012.
AB677, s. 7
25Section
7. 79.10 (5m) of the statutes is amended to read:
AB677,6,6
179.10
(5m) First dollar credit. Each municipality shall receive, from the
2appropriation under s. 20.835 (3) (b), an amount determined by multiplying the
3school tax rate by the estimated fair market value, not exceeding the value
4determined under sub. (11) (d), of every parcel of real property with improvements
5that is located in the municipality.
No municipality shall receive a payment under
6this subsection after 2012.
AB677, s. 8
7Section
8. 79.14 of the statutes is amended to read:
AB677,6,12
879.14 School levy tax credit. The appropriation under s. 20.835 (3) (b), for
9the payments under s. 79.10 (4), is $319,305,000 in 1994, 1995, and 1996;
10$469,305,000 beginning in 1997 and ending in 2006; $593,050,000 in 2007;
11$672,400,000 in 2008; $747,400,000 in 2009; and $732,550,000 in 2010
and in each
12year thereafter, 2011, and 2012.
AB677, s. 9
13Section
9. 79.15 of the statutes is amended to read:
AB677,6,17
1479.15 Improvements credit. The total amount paid each year to
15municipalities from the appropriation account under s. 20.835 (3) (b) for the
16payments under s. 79.10 (5m) is $75,000,000 in 2009, $145,000,000 in 2010, and
17$150,000,000 in 2011 and
in each year thereafter
2012.
AB677, s. 10
18Section
10. 117.40 (5) of the statutes is created to read:
AB677,6,2019
117.40
(5) The department shall promulgate rules to implement and
20administer this section.
AB677, s. 11
21Section
11. 118.30 (1s) (a) (intro.) of the statutes is amended to read:
AB677,6,2422
118.30
(1s) (a) (intro.)
Except as provided in par. (b), annually Annually, the
23governing body of each private school participating in the program under s. 119.23
24shall do all of the following:
AB677, s. 12
25Section
12. 118.30 (1s) (b) of the statutes is repealed.
AB677,7,123
118.60
(4) (b) 2. The amount paid per pupil under this subsection in the
4previous school year
multiplied by the sum of 1.0 plus
an amount determined by
5multiplying the percentage
change from the previous school year to the current
6school year in the total amount appropriated under s. 20.255 (2) (ac) expressed as a
7decimal, but not less than zero increase in the average total personal income in this
8state between the 5 years beginning with the 7th previous calendar year and the 5
9years beginning with the 6th previous calendar year by the secondary cost ceiling per
10member used to distribute state aid in the current school year. In this subdivision,
11"average total personal income" means the average total personal income as reported
12by the U.S. Bureau of Economic Analysis.