AB482: Bill Text

7. Currently, the state annually pays each school district an amount equal to its average enrollment in the current and two preceding school years multiplied by $150 in the 2013-14 school year and $250 in each school year thereafter. This bill eliminates this per pupil aid after the 2015-16 school year.

8. Currently, $75,000,000 in school aid payments is delayed until the following school year. Beginning in the 2017-18 school year, this bill delays $972,400,000 in school aid payments until the following school year.

9. In the school district equalization aid formula, the guaranteed evaluations represent the amount of property tax base support that the state guarantees behind each pupil. There are three guaranteed valuations used; each applies to a different level of expenditures. The first level is for expenditures up to the primary cost ceiling of $1,000 per pupil. The second level is for costs per pupil that exceed $1,000 but are less than the secondary cost ceiling, which is set at 90 percent of the prior school year statewide shared cost per pupil. This bill changes the secondary cost ceiling to 100 percent of the prior school year statewide shared cost per pupil.

10. The bill eliminates the school levy property tax credit and the first dollar property tax credit.

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:

AB482,1 Section 1. 20.255 (2) (ac) of the statutes is amended to read:

AB482,3,7 20.255 (2) (ac) General equalization aids. The amounts in the schedule A sum sufficient for the payment of educational aids under ss. 121.08, 121.09, 121.095, 121.105, 121.137 and subch. VI of ch. 121 equal to the amount determined by the joint committee on finance under s. 121.15 (3m) (c) in the 2016-17 fiscal year and biennially thereafter, and equal to the amount determined by law in the 2017-18 fiscal year and biennially thereafter.

AB482,2 Section 2. 20.255 (2) (aq) of the statutes is repealed.

AB482,3 Section 3. 20.255 (2) (bg) of the statutes is created to read:

AB482,3,11 20.255 (2) (bg) Hold harmless aid. A sum sufficient for hold harmless aid to school districts under s. 121.10.

AB482,4 Section 4. 79.10 (4) of the statutes is amended to read:

AB482,4,4 79.10 (4) School levy tax credit. Except as provided in sub. (5m), the amount appropriated under s. 20.835 (3) (b) shall be distributed to municipalities in proportion to their share of the sum of average school tax levies for all municipalities. No municipality shall receive a payment under this subsection after 2017.

AB482,5 Section 5. 79.10 (5m) of the statutes is amended to read:

AB482,4,11 79.10 (5m) First dollar credit. Each municipality shall receive, from the appropriation under s. 20.835 (3) (b), an amount determined by multiplying the school tax rate by the estimated fair market value, not exceeding the value determined under sub. (11) (d), of every parcel of real property with improvements that is located in the municipality. No municipality shall receive a payment under this subsection after 2017.

AB482,6 Section 6. 79.14 of the statutes, as affected by 2015 Wisconsin Act 55, is amended to read:

AB482,4,19 79.14 School levy tax credit. The appropriation under s. 20.835 (3) (b), for the payments under s. 79.10 (4), is $319,305,000 in 1994, 1995, and 1996; $469,305,000 beginning in 1997 and ending in 2006; $593,050,000 in 2007; $672,400,000 in 2008; $747,400,000 in 2009; $732,550,000 in 2010, 2011, and 2012; $747,400,000 in 2013, 2014, and 2015; and $853,000,000 in 2016 and in each year thereafter 2017.

AB482,7 Section 7. 79.15 of the statutes is amended to read:

AB482,4,25 79.15 Improvements credit. The total amount paid each year to municipalities from the appropriation account under s. 20.835 (3) (b) for the payments under s. 79.10 (5m) is $75,000,000 in 2009, $145,000,000 in 2010, and $150,000,000 in 2011, 2012, 2013, 2014, 2015, 2016, and in each year thereafter 2017.

AB482,8 Section 8. 115.437 of the statutes, as affected by 2015 Wisconsin Act 55, is repealed.

AB482,9 Section 9. 121.004 (7) (a) of the statutes is amended to read:

AB482,5,8 121.004 (7) (a) "Pupils enrolled" is the total number of pupils, as expressed by official enrollments, in all schools of the school district, except as provided in pars. (b) to (f) (g). If such total contains a fraction, it shall be expressed as the nearest whole number. The same method shall be used in computing the number of pupils enrolled for resident pupils, nonresident pupils or both.

AB482,10 Section 10. 121.004 (7) (g) of the statutes is created to read:

AB482,5,12 121.004 (7) (g) A pupil who satisfies the income eligibility criteria for a free or reduced-price lunch under 42 USC 1758 (b) (1) shall be counted as the number specified in this subsection for the pupil plus an additional 30 percent of that number.

AB482,11 Section 11. 121.07 (6) (d) of the statutes is amended to read:

AB482,5,17 121.07 (6) (d) The "secondary ceiling cost per member" in the 2001-02 2016-17 school year and in each school year thereafter is an amount determined by dividing the state total shared cost in the previous school year by the state total membership in the previous school year and multiplying the result by 0.90.

AB482,12 Section 12. 121.10 of the statutes is created to read:

AB482,5,20 121.10 Hold harmless aid. (1) In this section, "state aid" means the sum of the following:

AB482,5,22 (a) The payments made to a school district under ss. 121.08 and 121.105 and subch. VI.

AB482,5,24 (b) The payments that would be made to a school district under s. 121.136 if s. 121.136 were still applicable.

AB482,6,2 (c) The amount that would be received by a school district under s. 79.10 (4) and (5m) if s. 79.10 (4) and (5m) were still applicable.

AB482,6,7 (2) (a) Except as provided in par. (b), in the 2016-17 school year, if a school district would receive less in equalization aid under s. 121.08 in the current school year before any adjustment is made under s. 121.15 (4) (b) than it would have received in state aid in the current school year, the department shall pay to the school district the amount equal to the difference.

AB482,6,13 (b) If a school district from which territory was detached to create a new school district under s. 117.105 would receive in equalization aid under s. 121.08 in the school year beginning on the first July 1 following the effective date of the reorganization less than the amount determined as follows, the department shall pay to the school district the difference between the former amount and the amount determined as follows:

AB482,6,15 1. Divide the school district's membership in the preceding school year by the school district's membership in the 2nd preceding school year.

AB482,6,18 2. Multiply the amount of state aid that would have been received by the school district in the preceding school year, as adjusted under s. 121.15 (4) (b) in the current school year, by the quotient under subd. 1.

AB482,6,24 (3) In the school year in which a school district consolidation takes effect under s. 117.08 or 117.09 and in each of the subsequent 4 school years, if the consolidated school district's equalization aid is less than the aggregate state aid to which the consolidating school districts would have been eligible in the school year prior to the school year in which the consolidation takes effect, the department shall pay the difference to the consolidated school district.

AB482,7,2 (4) Additional aid under this section shall be paid from the appropriation under s. 20.255 (2) (bg). No aid may be paid under this section after the 2016-17 school year.

AB482,13 Section 13. 121.105 (2) (am) 1. of the statutes is amended to read:

AB482,7,10 121.105 (2) (am) 1. Except as provided in subd. 2., if a school district would receive less in state aid in the current school year before any adjustment is made under s. 121.15 (4) (b) than an amount equal to 85% 90 percent of the amount of state aid that it received in the previous school year, as adjusted under s. 121.15 (4) (b) in the current school year, its state aid for the current school year shall be increased to an amount equal to 85% 90 percent of the state aid received in the previous school year.

AB482,14 Section 14. 121.105 (2) (am) 2. (intro.) of the statutes is amended to read:

AB482,7,18 121.105 (2) (am) 2. (intro.) If a school district from which territory was detached to create a new school district under s. 117.105 would receive in state aid in the school year beginning on the first July 1 following the effective date of the reorganization less than 85 90 percent of the amount determined as follows, its state aid in the school year beginning on the first July 1 following the effective date of the reorganization shall be increased to an amount equal to 85 90 percent of the amount determined as follows:

AB482,15 Section 15. 121.105 (5) of the statutes is created to read:

AB482,7,21 121.105 (5) A school district's state aid in any school year may not be less than an amount equal to $3,000 multiplied by the school district's membership.

AB482,16 Section 16. 121.136 (3) of the statutes is created to read:

AB482,7,23 121.136 (3) No aid may be paid under this section after June 30, 2016.

AB482,17 Section 17. 121.15 (1m) (a) (intro.) and 3. of the statutes are consolidated, renumbered 121.15 (1m) (a) and amended to read:

AB482,8,5 121.15 (1m) (a) Notwithstanding subs. (1) and (1g), a portion of state aid to school districts shall be distributed as follows: Beginning beginning in the 1999-2000 2015-16 school year, annually the state shall pay to school districts, from the appropriation under s. 20.255 (2) (ac), $75,000,000 $972,400,000 on the 4th Monday in July of the following school year.

AB482,18 Section 18. 121.15 (3m) of the statutes is created to read:

AB482,8,7 121.15 (3m) (a) In this subsection:

AB482,8,10 1. "Partial school revenues" means the sum of state school aids, property taxes levied for school districts, and aid paid to school districts under s. 79.095 (4), less all of the following:

AB482,8,13 a. The amount of any revenue limit increase under s. 121.91 (4) (a) 2. due to a school board's increasing the services that it provides by adding responsibility for providing a service transferred to it from another school board.

AB482,8,14 b. The amount of any revenue limit increase under s. 121.91 (4) (a) 3.

AB482,8,15 c. The amount of any revenue limit increase under s. 121.91 (4) (h).

AB482,8,16 d. The amount of any property taxes levied for the purpose of s. 120.13 (19).

AB482,8,19 e. An amount equal to the amount estimated to be paid under s. 119.23 (4) and (4m) multiplied by the sum of the applicable percentages specified in s. 121.08 (4) (b) 1. and 2.

AB482,8,21 f. The amount by which the property tax levy for debt service on debt that has been approved by a referendum exceeds $490,000,000.

AB482,9,2 2. "State school aids" means those aids appropriated under s. 20.255 (1) (b) and (2), other than s. 20.255 (2) (az), (fm), (fp), (fr), (fs), (fu), (fv), (k), and (m), and under s. 20.285 (1) (r) and (rc), and those aids appropriated under s. 20.505 (4) (es) and (s) that are used to provide grants or educational telecommunications access to school districts under s. 16.995 or 16.997 (7).

AB482,9,7 (b) By May 15, 2016, and annually by May 15 thereafter, the department, the department of administration, and the legislative fiscal bureau shall jointly certify to the joint committee on finance an estimate of the amount necessary to appropriate under s. 20.255 (2) (ac) in the following school year to ensure that state school aids equal the following portion of partial school revenues:

AB482,9,8 1. For the 2016-17 school year, 64.5 percent.

AB482,9,9 2. For the 2017-18 school year, 65.2 percent.

AB482,9,10 3. For the 2018-19 school year, 65.9 percent.

AB482,9,11 4. For the 2019-20 school year and each school year thereafter, two-thirds.

AB482,9,14 (c) By June 30, 2016, and biennially by June 30 thereafter, the joint committee on finance shall determine the amount appropriated under s. 20.255 (2) (ac) in the following school year.

AB482,19 Section 19. 121.15 (3m) (a) 2. of the statutes, as created by 2015 Wisconsin Act .... (this act), is amended to read:

AB482,9,21 121.15 (3m) (a) 2. "State school aids" means those aids appropriated under s. 20.255 (1) (b) and (2), other than s. 20.255 (2) (az), (fm), (fp), (fr), (fs), (fu), (fv), (k), and (m), and under s. 20.285 (1) (r) and (rc), and those aids appropriated under s. 20.505 (4) (es) and (s) that are used to provide grants or educational telecommunications access to school districts under s. 16.995 or 16.997 (7).

AB482,20 Section 20. 121.90 (2) (am) 1. of the statutes is amended to read:

AB482,9,25 121.90 (2) (am) 1. Aid under ss. 121.08, 121.09, 121.10, 121.105, and 121.136 and subch. VI, as calculated for the current school year on October 15 under s. 121.15 (4) and including adjustments made under s. 121.15 (4).

AB482,21 Section 21. 121.905 (1) of the statutes is amended to read:

AB482,10,5 121.905 (1) In this section, "revenue ceiling" means $9,000 in the 2011-12 school year and in the 2012-13 school year and, $9,100 in the 2013-14, 2014-15, and 2015-16 school year years, $9,300 in the 2016-17 school year, and $9,600 in any subsequent school year.

AB482,22 Section 22. 121.905 (3) (c) 6. of the statutes is amended to read:

AB482,10,8 121.905 (3) (c) 6. For the limit for the 2015-16 school year or any school year thereafter, make no adjustment to the result under par. (b).

AB482,23 Section 23. 121.905 (3) (c) 7. of the statutes is created to read:

AB482,10,11 121.905 (3) (c) 7. For the limit for the 2016-17 school year, add $275 to the result under par. (b)

AB482,24 Section 24. 121.905 (3) (c) 8. of the statutes is created to read:

AB482,10,14 121.905 (3) (c) 8. For the limit for the 2017-18 school year and any school year thereafter, add the result under s. 121.91 (2m) (j) 2. to the result under par. (b).

AB482,25 Section 25. 121.91 (2m) (i) (intro.) of the statutes is amended to read:

AB482,10,18 121.91 (2m) (i) (intro.) Except as provided in subs. (3), (4), and (8), no school district may increase its revenues for the 2015-16 school year or for any school year thereafter to an amount that exceeds the amount calculated as follows:

AB482,26 Section 26. 121.91 (2m) (im) of the statutes is created to read:

AB482,10,22 121.91 (2m) (im) Except as provided in subs. (3), (4), and (8), no school district may increase its revenues for the 2016-17 school year to an amount that exceeds the amount calculated as follows:

AB482,11,2 1. Divide the sum of the amount of state aid received in the previous school year and property taxes levied for the previous school year, excluding property taxes levied for the purpose of s. 120.13 (19) and excluding funds described under sub. (4) (c), by the average of the number of pupils enrolled in the 3 previous school years.

AB482,11,3 2. Add $275 to the result under subd. 1.

AB482,11,5 3. Multiply the result under subd. 2. by the average of the number of pupils enrolled in the current school year and the 2 preceding school years.

AB482,27 Section 27. 121.91 (2m) (j) of the statutes is created to read:

AB482,11,9 121.91 (2m) (j) Except as provided in subs. (3), (4), and (8), no school district may increase its revenues for the 2017-18 school year or for any school year thereafter to an amount that exceeds the amount calculated as follows:

AB482,11,13 1. Divide the sum of the amount of state aid received in the previous school year and property taxes levied for the previous school year, excluding property taxes levied for the purpose of s. 120.13 (19) and excluding funds described under sub. (4) (c), by the average of the number of pupils enrolled in the 3 previous school years.

AB482,11,16 2. Multiply the amount of the revenue increase per pupil allowed under this subsection for the previous school year by the sum of 1.0 plus the allowable rate of increase under s. 73.0305 expressed as a decimal.

AB482,11,17 3. Add the result under subd. 1. to the result under subd. 2.