LRB-5382/1
TKK:amn
2017 - 2018 LEGISLATURE
February 21, 2018 - Introduced by Senator Vinehout, cosponsored by
Representatives Vruwink, Berceau, Pope, Sargent and Anderson. Referred
to Committee on Education.
SB839,1,3
1An Act to create 20.255 (2) (ag) and 115.4365 of the statutes;
relating to:
2supplemental sparsity aid for school districts with high property valuation and
3making an appropriation.
Analysis by the Legislative Reference Bureau
This bill creates a categorical aid for a school district that qualifies for sparsity
aid under current law but that does not receive sparsity aid payments from the
Department of Public Instruction because of high property valuation in the school
district. A school district qualifies for sparsity aid under current law if the number
of pupils, or membership, in the district is no more than 725 and if the membership
divided by the school district's area in square miles is less than ten. A school district
that qualifies for the categorical aid under the bill receives the lesser of the following:
1) an amount determined by multiplying the equalized valuation of the school
district by the difference between the mill rate of the school district and the statewide
average mill rate; or 2) the amount by which the tertiary guaranteed valuation per
member of the school district exceeds the school district equalized valuation
multiplied by the tertiary required levy rate.
Current law defines the equalized valuation of a school district as the full value
of the taxable property in each part of each city, village, and town in each school
district; this value is determined, annually, by the Department of Revenue, which
certifies the amount to DPI. Current law defines “tertiary guaranteed valuation per
member" as the amount, rounded to the next lower dollar, determined by dividing the
equalized valuation of the state by the state total membership. Current law defines
“tertiary required levy rate" as the tertiary shared cost divided by the tertiary
guaranteed valuation. Current law defines “tertiary shared cost" as that portion of
a school district's shared cost which is greater than the secondary ceiling cost per
member multiplied by its membership. Finally, current law defines the “secondary
ceiling cost per member" as 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.
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:
SB839,1
1Section
1. 20.255 (2) (ag) of the statutes is created to read:
SB839,2,42
20.255
(2) (ag)
Supplemental sparsity aid for school districts with high property
3valuation. A sum sufficient for supplemental sparsity aid for school districts with
4high property valuation under s. 115.4365.
SB839,2
5Section
2. 115.4365 of the statutes is created to read:
SB839,2,8
6115.4365 Supplemental sparsity aid for school districts with high
7property valuation. (1) In this section, “membership" has the meaning given in
8s. 121.004 (5).
SB839,2,11
9(2) Beginning in the 2018-19 school year and annually thereafter, the
10department shall determine all of the following for each school district that was
11eligible to receive aid under s. 115.436 in the previous school year:
SB839,2,1612
(a) The equalized valuation of the school district in the previous school year,
13as determined under s. 121.06 for the purpose of computing state aid to the school
14district under s. 121.08 in the previous school year. The department shall make the
15following adjustments to the equalized valuation determined under this paragraph,
16if applicable:
SB839,3,2
11. Multiply the equalized valuation determined for a school district that
2operates only the elementary grades by 0.66.
SB839,3,43
2. Multiply the equalized valuation determined for a school district that
4operates only high school grades by 0.33.
SB839,3,75
(b) The membership of the school district in the previous school year as used
6for purposes of computing state aid to the school district under s. 121.08 in the
7previous school year.
SB839,3,108
(c) The mill rate of the school district in the previous school year. The
9department shall make the following adjustments to the mill rate determined under
10this paragraph, if applicable:
SB839,3,1211
1. Multiply the mill rate determined for a school district that operates only
12elementary grades by 0.66.
SB839,3,1413
2. Multiply the mill rate determined for a school district that operates only high
14school grades by 0.33.
SB839,3,16
15(3) A school district is eligible for sparsity aid under this section if all the
16following apply:
SB839,3,1817
(a) The school district was eligible for sparsity aid under s. 115.436 in the
18previous school year.
SB839,3,2219
(b) The amount determined under sub. (2) (a) for the school district divided by
20the amount determined under sub. (2) (b) for the school district is greater than the
21tertiary guaranteed valuation per member, as determined for the previous school
22year under s. 121.07 (7) (bm).
SB839,3,2423
(c) The amount determined under sub. (2) (c) for the school district is greater
24than the statewide average mill rate in the previous school year.
SB839,4,3
1(4) Beginning in the 2018-19 school year, from the appropriation under s.
220.255 (2) (ag), the department shall pay to a school district eligible under sub. (3)
3to receive aid under this section the lesser of the following:
SB839,4,74
(a) An amount determined by multiplying the amount determined under sub.
5(2) (a) for the school district by the difference between the amount determined under
6sub. (2) (c) for the school district and the statewide average mill rate in the previous
7school year.
SB839,4,98
(b) The absolute value of the amount calculated under s. 121.08 (1) (c) for the
9school district in the previous school year.
