2023 - 2024 LEGISLATURE
December 26, 2023 - Introduced by Senators Jagler, Hutton, Feyen,
Cabral-Guevara, Kapenga, Knodl, Nass, Quinn, Stafsholt, Stroebel,
Tomczyk, Wanggaard and Testin, cosponsored by Representatives Schutt,
Maxey, Allen, Behnke, Bodden, Brandtjen, Dittrich, Donovan, Edming,
Goeben, Hurd, Magnafici, Melotik, Michalski, Moses, Penterman,
Rettinger, Rodriguez, Rozar, Schmidt, Tusler, Wichgers, Wittke and
Nedweski. Referred to Committee on Education.
SB838,1,6 1An Act to repeal 121.08 (4) (b) 1. and 3.; to consolidate, renumber and amend
2121.08 (4) (b) (intro.) and 2.; to amend 115.7915 (4m) (f) 1. a., c., d., df. and dh.,
3118.60 (4d) (a), 118.60 (4d) (b) 1. a., b., c. and d., 121.07 (2) (b), 121.07 (2) (c) and
4121.137 (2); and to create 115.7915 (1) (am) of the statutes; relating to:
5reductions to state aid paid to school districts for payments made under
6parental choice programs and the Special Needs Scholarship Program.
Analysis by the Legislative Reference Bureau
This bill ends reductions to state aid paid to school districts for per pupil
payments made under the Racine Parental Choice Program, the Wisconsin Parental
Choice Program, and the Special Needs Scholarship Program beginning with
payments made for pupils who begin in these programs in the 2024-25 school year.
Under the bill, current law applies to payments made under the RPCP, WPCP, and
SNSP for pupils who began participating in these programs before July 1, 2024
(legacy pupils).
The Racine and Wisconsin Parental Choice Programs and the Special Needs
Scholarship Program
Under current law, per pupil payments to private schools participating in the
RPCP, WPCP, and SNSP are paid from sum sufficient appropriations, ensuring that
full payments are made to private schools for pupils participating in each of the

programs. Current law also requires the Department of Public Instruction to reduce
each school district's equalization aid by an amount equal to the total per pupil
payments paid to private schools participating in the RPCP, WPCP, and SNSP that
are attributable to pupils residing in that school district. If a school district does not
receive equalization aid sufficient to cover the aid reduction, the balance is reduced
from other state aid received by the school district. These aid reductions are
deposited in the general fund. In general, these reductions reimburse the general
fund for per pupil payments made under the RPCP, WPCP, and SNSP. Under current
law, pupils who participated in the RPCP or WPCP before the 2015-16 school year
are not included for purposes of the equalization aid reduction.
The bill eliminates reductions to equalization aid for per pupil payments made
under the RPCP, WPCP, and SNSP for pupils who begin participating in the RPCP,
WPCP, or SNSP in the 2024-25 school year.
Under current law, a pupil participating in the RPCP, WPCP, or SNSP for whom
a per pupil payment was made in the previous year is included in the pupil's resident
school district's membership for purposes of calculating general state aids. A school
district's membership in the previous school year is a factor used to calculate
equalization aid. Current law also allows a school district to increase its revenue
limit for a school year by the amount of the aid reduction described above for that
school year. Under the bill, only legacy pupils for whom a per pupil payment is made
in the previous year are counted for purposes of calculating state aid.
The Milwaukee Parental Choice Program
Under current law, payments to private schools participating in the MPCP are
paid from a sum sufficient appropriation, ensuring that full payments are made to
private schools for all pupils participating in the MPCP. Current law also requires
DPI to reduce the general state aid for Milwaukee Public Schools by a percentage of
the amount paid to private schools participating in the MPCP and deposit the
reduction in the general fund. Under revenue limits, MPS may levy property taxes
to make up for the amount of general aid lost due to this reduction.
Current law describes the amount of the reduction to MPS in two parts. In the
2023-24 school year, the first part of the reduction to the general state aid for MPS
is 3.2 percent of the total per pupil payments made to private schools participating
in the MPCP. Under current law, this part of the reduction is reduced by 3.2
percentage points each school year until the 2024-25 school year, at which time there
is no reduction. The bill repeals this provision on July 1, 2024, when the provision
becomes obsolete.
The second part of the MPS general state aid reduction under current law is
equal to 6.6 percent of the total per pupil payments made to private schools
participating in the MPCP. However, current law requires DPI to provide additional
state aid, known as first class city school levy aid, to the City of Milwaukee and
requires the City of Milwaukee to pay the amount received to the school board. In
other words, the school board receives the amount of the reduction through first class
city school levy aid. The bill does not eliminate this reduction or the first class city
school levy aid.

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:
SB838,1 1Section 1. 115.7915 (1) (am) of the statutes is created to read:
SB838,3,42 115.7915 (1) (am) “Legacy pupil" means a child who attended a private school
3participating in the program under this section under a scholarship under this
4section before July 1, 2024.
SB838,2 5Section 2. 115.7915 (4m) (f) 1. a., c., d., df. and dh. of the statutes are amended
6to read:
SB838,3,97 115.7915 (4m) (f) 1. a. Determine the sum of the amount paid for each child
8legacy pupil residing in the school district for whom a payment is made under par.
9(a) in that school year.
SB838,3,1110 c. Determine the number of legacy pupils residing in the school district for
11whom a payment is made under par. (e) in that school year.
SB838,3,1312 d. Multiply the number of legacy pupils under subd. 1. c. by the per pupil
13amount paid under par. (e) for that school year.
SB838,3,1514 df. Identify the children legacy pupils residing in the school district for whom
15a payment is made under sub. (4p) in that school year.
SB838,3,1716 dh. Sum the payments made under sub. (4p) (a) for all of the children legacy
17pupils
identified under subd. 1. df. for that school year.
SB838,3 18Section 3. 118.60 (4d) (a) of the statutes is amended to read:
SB838,4,219 118.60 (4d) (a) In this subsection, “incoming “legacy choice pupil" means a
20pupil who resides in a school district, other than a 1st class city school district, who
21begins participating in the program under this section in after the 2015-16 2014-15

1school year or any and before the 2024-25 school year thereafter, and who is enrolled
2in a private school under this section.
SB838,4 3Section 4. 118.60 (4d) (b) 1. a., b., c. and d. of the statutes are amended to read:
SB838,4,54 118.60 (4d) (b) 1. a. Identify the incoming legacy choice pupils residing in the
5school district for whom a payment is made under sub. (4) (bg) in that school year.
SB838,4,76 b. Sum the payments made under sub. (4) (bg) for all of the legacy choice pupils
7identified under subd. 1. a. for that school year.
SB838,4,98 c. Identify the incoming legacy choice pupils residing in the school district for
9whom a payment is made under sub. (4m) in that school year.
SB838,4,1110 d. Sum the payments made under sub. (4m) (a) for all of the legacy choice pupils
11identified under subd. 1. c. for that school year.
SB838,5 12Section 5 . 121.07 (2) (b) of the statutes is amended to read:
SB838,4,1613 121.07 (2) (b) The number of pupils residing in the school district in the
14previous school year who were incoming legacy choice pupils, as defined in s. 118.60
15(4d) (a), and for whom a payment was made under s. 118.60 (4) (bg) in the previous
16school year.
SB838,6 17Section 6. 121.07 (2) (c) of the statutes is amended to read:
SB838,4,2018 121.07 (2) (c) The number of legacy pupils, as defined in s. 115.7915 (1) (am),
19residing in the school district in the previous school year for whom a payment was
20made under s. 115.7915 (4m) (a) or (e) in the previous school year.
SB838,7 21Section 7. 121.08 (4) (b) (intro.) and 2. of the statutes are consolidated,
22renumbered 121.08 (4) (b) and amended to read:
SB838,5,323 121.08 (4) (b) The amount of state aid that the school district operating under
24ch. 119 is eligible to be paid from the appropriation under s. 20.255 (2) (ac) shall be
25reduced by the amount calculated as follows: 2. Multiply by multiplying the amounts

1paid under s. 119.23 (4) and (4m) in the 2009-10 school year by 3.4 percent, and
2multiply by multiplying the amounts paid under s. 119.23 (4) and (4m) in the 2010-11
3school year and in each school year thereafter by 6.6 percent.
SB838,8 4Section 8. 121.08 (4) (b) 1. and 3. of the statutes are repealed.
SB838,9 5Section 9. 121.137 (2) of the statutes is amended to read:
SB838,5,86 121.137 (2) Annually, the department shall calculate the amount of the state
7aid reduction under s. 121.08 (4) (b) 2. in the current school year and shall notify the
8board, in writing, of the result.
SB838,10 9Section 10. Initial applicability.
SB838,5,1010 (1) This act first applies to aid paid in the 2024-25 school year.
SB838,11 11Section 11. Effective dates. This act takes effect on the day after publication,
12except as follows:
SB838,5,1413 (1) The treatment of s. 121.08 (4) (b) (intro.), 1., 2. and 3. takes effect on July
141, 2024.
SB838,5,1515 (End)
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