Source: http://www.leg.state.vt.us/docs/legdoc.cfm?URL=/docs/2004/bills/senate/H-480.HTM
Timestamp: 2018-01-21 00:34:57
Document Index: 652633568

Matched Legal Cases: ['§ 5401', '§ 4001', '§ 6061', '§ 6061', '§ 6066', '§ 4001', '§ 1523', '§ 4031', '§1552', '§ 4030', '§ 5861', '§9771', '§ 9241', '§ 9241', '§ 9242', '§ 5870', '§5870', '§ 7811', '§ 7814', '§ 5822', '§ 5822', '§ 5884', '§ 2967', '§ 1', '§ 4011', '§ 711', '§ 711', '§ 5404', '§ 5402', '§ 5402', '§ 5401', '§ 5822', '§ 305', '§ 5822']

Sec. 3a. 32 V.S.A. § 5401(12) and (13) are added to read:
(12) “District spending adjustment” means a fraction in which the numerator is the district’s education spending plus excess spending, per equalized pupil, for the school year; and the denominator is the base education payment for the school year, as defined in 16 V.S.A. § 4001.
(13) “Excess spending” means the equalized per pupil amount of the district’s education spending minus the portion of education spending which is approved school capital construction spending; in excess of 125 percent of the statewide average district education spending per equalized pupil in the prior fiscal year, as determined by the commissioner.
(1) the tax rate for nonresidential property shall be $1.60 per $100.00, and
(2) the tax rate for homestead property shall be $1.17 multiplied by the district spending adjustment for the municipality, but in no event less than $1.10, per $100.00,
(d) Annually, by December 1, the commissioner of taxes, after consultation with the secretary of administration, the department of education and the joint fiscal office, shall determine if there is a projected surplus in the education fund budget stabilization reserve in excess of the five percent level authorized under section 4026 of this title. If there is a projected surplus in excess of that level, the commissioner of taxes shall recommend, for the following fiscal year only, a reduction in the rates of the statewide education tax rates which will retain the education fund stabilization reserve at the five per cent level and determine a proportional adjustment to the applicable percentage base for homestead income-based adjustments under section 6066 of this title. The proportional adjustment shall reflect the ratio for rate increases in statewide education tax rates under subsection (e) of this section. The commissioner shall report the recommended reduction in rates to the secretary of administration and to the general assembly, and shall include the data and the calculation used to determine the proposed reduction under this subsection.
(e) Annually, by December 1, the commissioner of education shall determine the growth in the average statewide homestead property tax rate under subsection (a)(2) of this section from the prior school year. The rate of the statewide education tax on nonresidential property under subsection (a)(1) of this section shall be increased in the following school year by one half of the amount of the growth in the average rate of the statewide homestead property tax, rounded to the nearest cent, as determined by the commissioner under this section.
(f) An owner of a building containing qualified rental units shall be entitled to a percentage reduction in the education property tax due under this section. The reduction percentage shall be 10 percent, multiplied by the ratio of qualified rental units to total rental units in the building.
(i) “Qualified rental units” under this subsection means units which are at the time of the claim under this subsection, and were for the entire preceding calendar year, subject to rent restriction under provisions of state or federal law.
(ii) A municipality shall allow a percentage reduction under this subsection upon presentation by the taxpayer to the municipality of a certificate of education tax reduction, obtained from the commissioner of taxes. The commissioner of taxes shall issue a certificate of education tax reduction upon presentation by the taxpayer of information which the commissioner shall require.
(iii) A percentage reduction granted by a municipality under this subsection shall not affect the amount of statewide education property tax to be collected by the municipality, and the municipality shall be deemed to have paid to the state treasurer the amount of tax reduced in accord with this subsection.
Sec. 4a. Subsection (2) of Sec. 50a of No. 60 of the Acts of 1997, as amended, is amended to read:
(2) A municipality which has upon its grand list an operating electric generating plant subject to the tax under section 5402a of Title 32, shall be subject to the education property tax under chapter 135 of Title 32 at one‑half the rate provided in section subsection 5402(a)(1) and one-half the base rate provided in subsection 5402(a)(2) of Title 32; and
(f)(g) If the property identified in a declaration under subsection (b) of this section is not the taxpayer’s homestead, or if the owner of a homestead fails to declare a homestead as required under this section, the commissioner shall assess the taxpayer a penalty in an amount equal to eight percent three percent if the municipality’s nonresidential tax rate is higher than the municipality’s homestead tax rate for the tax year to which the declaration pertains, or in any other case shall assess the taxpayer a penalty in an amount equal to eight percent, of the education tax assessed on the property, ; or if the declaration was filed or failure to declare was with fraudulent intent, then the commissioner shall assess the taxpayer a penalty in an amount equal to 100 percent of the education tax assessed on the property plus interest from the original due date of the property tax on the property, at the applicable rate established in section 3108 of this title. Any penalty imposed under this subsection may be recovered by assessment and enforcement and with appeal rights in the same manner as an income tax under chapter 151 of this title. Amounts collected under this subsection shall be credited to the education fund. The commissioner may waive or reduce the eight percent penalty under this subsection for good cause. Education taxes assessed in the fiscal year upon property identified in a declaration of homestead, but which was not the taxpayer’s homestead, shall remain payable to the commissioner. Upon the filing of a new or corrected declaration by an owner subject to this subsection, any additional tax shall be assessed by the municipality and remitted to the state treasurer upon collection; any reduction in tax shall be refunded from the education fund; and any change in property tax shall have no retroactive effect upon the education tax rates for the municipality.
* * * PART II. HOUSESITE TAX ADJUSTMENT* * *
Sec. 6. 32 V.S.A. § 6061(3) and (7) are amended and (11) is added to read:
(3) “Household” means, for any individual and for any taxable year, the individual and such other persons as resided with the individual in the homestead at any time during the taxable year. A person who is not related to any member of the household and who is residing in the household under a written home-sharing agreement pursuant to a nonprofit home-sharing program or a person residing in a household who is hired as a bona fide employee to provide personal care to a member of the household and who is not related to the person for whom the care is provided shall not be considered to be a member of the household.
(7) “Rent constituting property taxes” means for any homestead and for any taxable year, at the claimant’s option, (A) 21 percent of the gross rent or (B) that portion of the gross rent which equals the property tax assessed for payment in the calendar year allocable to the claimant’s rental unit for the period rented by the claimant. “Gross rent” means the rent actually paid during the taxable year by the individual or other members of the household solely for the right of occupancy of the homestead during the taxable year. If a claimant’s rent is government-subsidized, the property tax allocable to the claimant’s rental unit shall be reduced in the same proportion as the rent is reduced by the subsidy. “Rent constituting property taxes” shall not include payments made under a written home-sharing agreement pursuant to a nonprofit home-sharing program, or payments for a room in a nursing home in any month for which Medicaid payments have been made on behalf of the claimant to the nursing home for room charges.
(11) “Housesite” means that portion of a homestead, as defined under section 5401(7) of this title, which includes the principal dwelling and as much of the land surrounding the dwelling as is reasonably necessary for use of the dwelling as a home, but in no event more than two acres per dwelling unit, up to a maximum of 10 acres per parcel.
Sec. 8. 32 V.S.A. § 6061(6) is amended and (12) is added to read:
(12) “Claim year” means the year in which a claim is filed under this chapter.
Sec. 9. 32 V.S.A. § 6066(a) and (b) are amended to read:
(i) the statewide property education tax rate as adjusted under subdivision (a)(2) of section 5402 this title, multiplied by the equalized value of the homestead in the taxable year; housesite
(C) For a claimant whose household income does not exceed $47,000.00 the statewide education tax rate as adjusted under subdivision (a)(2) of section 5402 of this title, multiplied by the equalized value of the housesite minus the lesser of:
(II) the statewide education tax rate under subdivision (a)(2) of section 5402 of this title, multiplied by the equalized value of the housesite in the taxable year reduced by $15,000.00.
(2) Local share property tax adjustment. The adjustment amount determined under subdivision (1) of this subsection shall be increased by: the local share percentage rate established under Title 16 for the claim year for the municipality in which the homestead is located, multiplied by the adjustment amount determined under subdivision (1). “Applicable percentage” in this section means two and one-tenth percent, multiplied by the district spending adjustment under subdivision 5401(12) of this title for the property tax year which begins in the claim year for the municipality in which the homestead residence is located; but in no event shall the applicable percentage be less than two percent.
Sec. 9a. AMENDMENT OF RELATED INCOME SENSITIVITY PROVISIONS
Sec. 10. AMENDMENT OF RELATED INCOME SENSITIVITY PROVISIONS
(a) The base line amount for determining an education tax rate under subdivision (3) of Sec. 50a of No. 60 of the Acts of 1997, as amended, shall be for fiscal year 2005 and thereafter the greater of $7,602.00 per equalized pupil or the base education payment as defined in 16 V.S.A. § 4001(14) for the fiscal year.
(6) “Local education Education spending” means the amount of the school district budget, any assessment for a union school or joint contract school, technical center payments, and any amount added to pay a deficit pursuant to 24 V.S.A. § 1523(b) which is paid for by the school district from the general state support grant and from local share property tax revenues. Local education spending does not include, but excluding any portion of the school budget paid for by from any other sources such as endowments, parental fund raising, federal funds, nongovernmental grants or other state funds such as special education funds paid under chapter 101 of this title.
(b)(c) Annually, each school district shall receive a general state support grant an adjusted education payment for support of basic education costs. Funds distributed under this section shall be allocated on the basis of the equalized pupils in each school district, except for unorganized towns and gores. An unorganized town or gore shall receive an amount equal to its adjusted education payment for that year for each student based on the weighted average daily membership count which shall not be equalized. However, no school district shall receive more than its local education spending amount. In fiscal years 2005 and 2006, if the district’s adjusted education payment is less than the base education payment, the district shall receive its education spending per equalized pupil plus 40 percent of the excess of the base education payment over the district’s adjusted education payment, but only for deposit in a district’s education reserve fund, authorized in accord with section 2804 of Title 24, for expenditure on legitimate items of education expense. In fiscal years 2007 and thereafter, no school district shall receive more than its education spending amount.
(h) Annually, by September 1 the commissioner shall calculate the statewide average district spending per equalized pupil for the current fiscal year, and 125 percent of that average spending, and shall publish those amounts on the department website and notify school districts of the amounts.
Sec. 12a. 16 V.S.A. § 4031 is added to read:
(a) For an unorganized town or gore, if education spending per pupil is in excess of the base education payment there shall be imposed on its education property tax grand list the tax rate necessary to raise the excess amount.
(c) Annually, the general assembly shall appropriate funds to pay for a supplemental assistance grant per full-time equivalent student. The amount of the grant shall be equal to 40 percent of the per equalized pupil general state support grant 33 percent of the base education payment for that year.
Sec. 13a. 16 V.S.A. §1552(c) is amended to read:
(c) For students from a school district within Vermont, funds received under subsections 1561(b) and subsection 1561 (c) of this title shall be subtracted when calculating the tuition charge. For students who are not Vermont residents, funds received under subsections 1561(b) and subsection 1561 (c) of this title shall not be subtracted when calculating the tuition charge.
TO OR FROM THE EDUCATION FUND EDUCATION FUND
Sec. 16. [Deleted]
Chapter 133. State and Local Funding of
Sec. 23. 16 V.S.A. § 4030 is amended to read:
Sec. 25. 32 V.S.A. § 5861(f) is added to read:
(f) The commissioner shall require information on a Vermont personal income tax return which discloses the amount of real property taxes assessed by a municipality on the taxpayer’s homestead as defined under section 5401(7) of this title, and the uniform parcel identification number of the homestead property. The commissioner may consider a return incomplete if the information required under this subsection is not provided, and shall cause such return to be completed.
Sec. 25a. TEACHER NEGOTIATIONS; SUPERVISORY UNION LEVEL; APPROPRIATION
Sec. 26. 32 V.S.A. §9771 (5) is amended to read:
Sec. 27. [Deleted]
Sec. 28. [Deleted]
Sec. 29. [Deleted]
Sec. 31. [Deleted]
Sec. 32. [Deleted]
Sec. 34. [Deleted]
Sec. 35a. [Deleted ]
(1) with respect to the transfer of property to be used for the principal residence of the transferee the tax shall be imposed at the rate of five-tenths of one percent of the first $100,000.00 $125,000.00 in value of the property transferred and at the rate of one and one quarter three‑quarters percent of the value of the property transferred in excess of $100,000.00 $125,000.00, provided that no tax shall be imposed on the first $100,000.00 $125,000.00 in value of the property if the purchaser obtains a purchase money mortgage that the Vermont housing finance agency has committed to make or purchase;
(2) with respect to the transfer of property which is enrolled at the time of the transfer in a program under chapter 124 of this title, or is otherwise a working farm at the time of the transfer if not so enrolled, the tax shall be imposed in the amount of five-tenths of one percent on the entire value of the property transferred; provided, however that no part of the property is converted to a use which would subject it to the land use change tax or an obligation to repay property tax benefits under chapter 124 of this title for a period of three years following the date of the transfer, or if it is a working farm which is not enrolled under chapter 124, that the property is not taken out of agricultural production for a period of six years following the date of the transfer. For the purposes of this subdivision, a working farm shall mean a parcel of land actively used by a farmer, as that term is defined under section 3752(7) of this title. If the conditions of this subdivision are breached by the buyer, the buyer shall be obligated to pay the full transfer tax in the amount of one and one-quarter three-quarters percent and this obligation shall run with the land.
(3) with respect to the transfer to a housing cooperative organized under chapter 7 and whose sole purpose is to provide principal residences for all of its members or shareholders, or to an affordable housing cooperative under chapter 14 of Title 11, of property to be used as the principal residence of a member or shareholder, the tax shall be imposed in the amount of five-tenths of one percent of the first $100,000.00 $125,000.00 in value of the residence transferred and at the rate of one and one-quarter three-quarters percent of the value of the residence transferred in excess of $100,000.00 $125,000.00; provided that the homesite leased by the cooperative is used exclusively as the principal residence of a member or shareholder. If the transferee ceases to be an eligible cooperative at any time during the six years following the date of transfer, the transferee shall then become obligated to pay any reduction in property transfer tax provided under this subdivision, and the obligation to pay the additional tax shall also run with the land.
* * * Meals and Rooms Tax ***
Sec. 36a. 32 V.S.A. § 9241(a) and (b) are amended to read:
§ 9241. IMPOSITION OF TAX
(a) An operator shall collect a tax of nine ten percent of the rent of each occupancy.
(b) An operator shall collect a tax on the sale of each taxable meal at the rate of nine ten percent of each full dollar of the total charge and on each sale for less than one dollar and on each part of a dollar in excess of a full dollar in accordance with the following formula:
$0.01-0.11 $0.01 $0.01 - 0.10 $0.01
0.12-0.22 0.02 0.11 - 0.20 0.02
0.23-0.33 0.03 0.21 - 0.30 0.03
0.34-0.44 0.04 0.31 - 0.40 0.04
0.45-0.55 0.05 0.41 - 0.50 0.05
0.56-0.66 0.06 0.51 - 0.60 0.06
0.67-0.77 0.07 0.61 - 0.70 0.07
0.78-0.88 0.08 0.71 - 0.80 0.08
0.89-1.0 0.09 0.81 - 0.90 0.09
0.91 - 1.00 0.10
Sec. 36b. 32 V.S.A. § 9242(c) is amended to read:
(c) A tax of nine percent of on the gross receipts from meals and occupancies and ten percent of on the gross receipts from alcoholic beverages, at the rates imposed under section 9241 of this title, exclusive of taxes collected pursuant to section 9241 of this title, received from occupancy rentals, taxable meals and alcoholic beverages by an operator, is hereby levied and imposed and shall be paid to the state by the operator as herein provided. Every person required to file a return under this chapter shall, at the time of filing the return, pay the commissioner the taxes imposed by this chapter as well as all other monies collected by him or her under this chapter; provided, however, that every person who collects the taxes on taxable meals and alcoholic beverages according to the tax bracket schedules of section 9241 of this title shall be allowed to retain any amount lawfully collected by the person in excess of the tax imposed by this chapter as compensation for the keeping of prescribed records and the proper account and remitting of taxes.
Sec. 36c. 32 V.S.A. § 5870 is added to read:
§5870. REPORTING USE TAX ON INDIVIDUAL INCOME TAX
The commissioner of taxes shall provide that individuals report use tax on their state individual income tax returns. Taxpayers are required to attest to the amount of their use tax liability under Chapter 233 of this title for the period of the tax return. Alternatively, they may elect to report an amount that is .04% of their Vermont adjusted gross income, as shown on a table published by the commissioner of taxes; and use tax liability arising from the purchase of each item with a purchase price in excess of $1,000.00 shall be added to the table amount.
* * * Tobacco products tax * * *
Sec. 36d. 32 V.S.A. § 7811 is amended to read:
There is hereby imposed and shall be paid a tax on all tobacco products possessed in the state of Vermont by any person for sale on and after July 1, 1959 which were imported into the state or manufactured in the state after said date, except that no tax shall be imposed on tobacco products sold under such circumstances that this state is without power to impose such tax, or sold to the United States, or sold to or by a voluntary unincorporated organization of the armed forces of the United States operating a place for the sale of goods pursuant to regulations promulgated by the appropriate executive agency of the United States. Such tax on tobacco products shall be at the rate of 41 82 percent of the wholesale price and is intended to be imposed only once upon any tobacco product. Provided, however, that upon payment of the tax within ten days, the distributor or dealer may deduct from the tax two percent of the tax due. It shall be presumed that all tobacco products within the state are subject to tax until the contrary is established and the burden of proof that any tobacco products are not taxable hereunder shall be upon the person in possession thereof.
Sec. 36e. 32 V.S.A. § 7814(a) is amended to read:
(a) Tobacco products. A floor stock tax is hereby imposed upon every retailer of tobacco products in this state at the rate of 21 41 percent of the wholesale price of each tobacco product. The tax shall apply to tobacco products in the possession or control of the retailer at 12:01 a.m. o'clock on July 1, 1995 2003, but shall not apply to retailers who hold less than $500.00 in wholesale value of such tobacco products. Each retailer subject to the tax shall, on or before July 25, 1995 2003, file a report to the commissioner in such form as the commissioner may prescribe showing the tobacco products on hand at 12:01 a.m. o'clock on July 1, 1995 2003, and the amount of tax due thereon. The tax imposed by this section shall be due and payable on or before July 25, 1995 2003, and thereafter shall bear interest at the rate established under section 3108 of this title. In case of timely payment of the tax, the retailer may deduct from the tax due two percent of the tax. Any tobacco product with respect to which a floor stock tax has been imposed and paid under this section shall not again be subject to tax under section 7811 of this title.
* * * Income Tax Surcharge * * *
Sec. 36f. 32 V.S.A. § 5822a is added to read:
§ 5822a. INCOME TAX SURCHARGE
In addition to the amount of tax determined under section 5822 of this title, there is imposed upon the taxable income earned or received in that year by every individual, estate and trust, subject to income taxation under the laws of the United States, a surcharge in the amount of one and one half percent of the taxpayer’s Vermont income tax liability for the taxable year.
Sec. 36g. 32 V.S.A. § 5884 is amended to read:
(b) If the commissioner determines, on a petition for refund with respect to a timely filed return or otherwise, that a taxpayer has paid an amount of tax under this chapter which, as of the date of the determination, exceeds the amount of tax liability owing from the taxpayer to the state, with respect to the current and all preceding taxable years, under any provision of this title, the commissioner shall forthwith refund the excess amount to the taxpayer together with interest at the rate per annum established from time to time by the commissioner pursuant to section 3108 of this title. That interest shall be computed from forty-five days after the date the return was filed or from forty-five days after the date the return was due, including any extensions of time thereto, with respect to which the excess payment was made, whichever is the later date.
(c) Notwithstanding subsection (b) of this section, in the case of a refund claimed on a return which is filed after the last date prescribed for filing such return, including any extensions of time thereto, or claimed on an amended return, the interest on the excess amount to be refunded by the commissioner to the taxpayer shall be computed from forty-five days after the date the late or amended return is filed.
(3)(2) Funds appropriated or transferred by the general assembly, and for fiscal year 2006 and thereafter there is appropriated and transferred the amount determined as follows: Annually on September 15, the amount to be appropriated and transferred under this subdivision for the following fiscal year shall be determined by multiplying the appropriation under this subdivision for the current fiscal year, by the percentage change in general fund base spending as of September 15 for the current fiscal year over the general fund base spending in the prior fiscal year. For each fiscal year the governor shall present a budget to the legislature providing for a general fund appropriation and transfer to the education fund in this amount, and the legislature shall appropriate and transfer this amount adjusted as necessary to reflect the actual amount of general fund base spending enacted by the legislature for that fiscal year.
(12)(6) Forty percent of the revenues raised from the sales and use tax imposed by chapter 233 of Title 32.
(11) Sales Sixty percent of the revenue from sales and use taxes levied pursuant to chapter 233 of this title;
(10) 33 48 percent of the revenue from the property transfer taxes levied pursuant to chapter 231 of this title; and the revenue from the gains taxes levied each year pursuant to chapter 236 of this title;
(a) A municipal and regional planning fund for the purpose of assisting municipal and regional planning commissions to carry out the intent of this chapter is hereby created in the state treasury. The fund shall be comprised of 17 13 percent of the revenue from the property transfer tax under chapter 231 of Title 32 and any moneys from time to time appropriated to the fund by the general assembly or received from any other source, private or public. All balances at the end of any fiscal year shall be carried forward and remain in the fund. Interest earned by the fund shall be deposited in the fund. Of the revenues in the fund, each year 10 percent shall be disbursed to the Vermont center for geographic information; 70 percent shall be disbursed to regional planning commissions; and 20 percent shall be disbursed to municipalities.
There is created a special fund in the state treasury to be known as the “Vermont housing and conservation trust fund.” The fund shall be administered by the board and expenditures there from shall only be made to implement and effectuate the policies and purposes of this chapter. The fund shall be comprised of 50 39 percent of the revenue from the property transfer tax under chapter 231 of Title 32, and any moneys from time to time appropriated to the fund by the general assembly or received from any other source, private or public, approved by the board. Unexpended balances and any earnings shall remain in the fund for use in accord with the purposes of this chapter.
Sec. 43. [Deleted]
* * * Education Cost Containment * * *
(a) The general assembly hereby establishes the following targets for
limiting increases in statewide total education expenditures as that term is used in 16 V.S.A. § 2967(b):
If a rule affects or provides for the regulation of public education and public schools, the agency proposing the rule shall evaluate the cost implications to local school districts and school taxpayers, clearly state the associated costs, and report them in a local school cost impact statement to be filed with the economic impact statement on the rule required by subsection 838(c) of this title. An agency proposing a rule affecting school districts shall also consider and include in the local school cost impact statement an evaluation of alternatives to the rule, including no rule on the subject, which would reduce or ameliorate costs to local school districts while achieving the objectives or purposes of the proposed rule. The legislative committee on administrative rules may object to any proposed rule if a local school cost impact statement is not filed with the proposed rule, or if the impact statement fails to recognize a substantial economic impact of the proposed rule that the committee describes in its notice of objection. The committee may object one time under this section and return the proposed rule to the agency as unacceptable for filing. The agency may then cure the defect and adopt the rule, or it may adopt the rule without change.
Sec. 45d. [Deleted]
Sec. 45e. SPECIAL EDUCATION; COST CONTAINMENT IMPLEMENTATION PLAN
(a) The commissioner of education and secretary of human services shall prepare a plan to establish a cost effective system for delivery of special education services to children served by both agencies, including those in transition from school to adult services. The plan shall describe appropriate roles for each agency and how the two agencies will coordinate service delivery in a way that will ensure high quality, seamless, efficient and cost effective services to special education students.
(4) The proposed special education formula requested in Act No. 117 of 2000 which will be presented to the general assembly by January, 2004.
(c) The plan shall include provisions to contain growth in special education costs, and be written with enough detail to enable the senate and house appropriations and education committees to prepare legislation to implement the plan for introduction in January, 2004. The secretary and commissioner shall present the plan to the senate and house committees on appropriations and education no later than November 15, 2003
Sec. 45f. [Deleted]
Sec. 45g. [Deleted]
Sec. 45h. [Deleted]
(D) in the case of a school district other than a union school district, the definition of “education spending”, the number of pupils and number of equalized pupils in the school district, and the district’s education spending per equalized pupil in the proposed budget and in each of the prior three years; or
Sec. 46. [Deleted]
Sec. 46a. Sec. 43 of No. 144 of the Acts of 2001, Adj., as amended, is amended to read:
(d) The Department of Education shall study school construction needs, funding equity and methodologies, and propose a school construction aid formula and budget for the fiscal year 2004 capital construction act that restores substantial equity to all Vermont’s children according to 16
V.S.A. § 1.
Sec. 47. [Deleted]
Sec. 48. [Deleted]
Sec. 49. [Deleted]
Sec. 50. [Deleted]
Sec. 51. [Deleted]
Sec. 52. [Deleted]
Sec. 53. [Deleted]
Sec. 54. [Deleted]
Sec. 54a. [Deleted]
Sec. 55. [Deleted]
Sec. 57. [Deleted]
Sec. 59. [Deleted]
Sec. 60. [Deleted]
Sec. 61. [Deleted]
* * * Local Option Tax * * *
(a) Local option taxes are authorized under this section for the purpose of affording municipalities an alternative method of raising municipal revenues. to facilitate the transition and reduce the dislocations in those municipalities that may be caused by reforms to the method of financing public education under the Equal Educational Opportunity Act of 1997. Accordingly,
(1) the local option taxes authorized under this section may be imposed by a municipality only during calendar years 1999 through 2004;
(2) a municipality opting to impose a local option tax may do so prior to July 1, 1998 to be effective beginning January 1, 1999, and anytime after December 1, 1998 a local option tax shall be effective beginning on the next tax quarter following 30 days' notice to the department of taxes of the imposition; and all authority to opt to impose a local option tax under this section shall terminate September 1, 2003, and all authority to impose a local option tax shall terminate on December 31, 2004; and
(C) the combined education tax rate of the municipality will increase by 20 percent or more in fiscal year 1999 or in fiscal year 2000 over the rate of the combined education property tax in the previous fiscal year For any municipality which imposes a local option tax under this section, the tax shall be effective beginning with the next tax quarter following 30 days’ notice to the department of taxes of the imposition.
Sec. 63. [Deleted]
Sec. 64 JOINT LEGISLATIVE EDUCATION COST CONTAINMENT
(7) review of health insurance and workers compensation as to budget impacts, including levels of premiums, co-payments and plan quality as compared to that provided to other public sector employees including the state employees;
(8) potential for technology related savings including use of remote communication and video technology to increase class offerings and other initiatives;
(9) opportunities for improved facilities utilization strategies including program co-location or other initiatives;
(11) various costs, incentives and disincentives through the interplay of current state funding provided to special education, technical education and local schools; and
Sec. 64a. COUNCIL ON EDUCATION GOVERNANCE
Sec. 65. [Deleted]
Sec. 67a. [Deleted]
Sec. 67b. GRAND LIST ISSUES STUDY
The Legislative Council and Joint Fiscal Office, in consultation with the department of taxes, Vermont League of Cities and Towns and Vermont Assessors and Listers Association, shall study the issues affecting grand list valuation and their impact on property tax equity, including the following:
(a) factors contributing to fluctuations in common levels of appraisal and variations in coefficients of dispersion;
(b) local capacity for appraisal of utility, commercial and industrial property; and shall report to the general assembly by January 15, 2004, on legislative options to address these issues.
(c) the fiscal impact of the homestead property tax income sensitivity adjustment, as it may be affected by adjusting the allowable acreage surrounding an eligible homestead from two acres to 25 or 27 acres, or other appropriate acreage.
Sec. 68. Transition Rules for Determining Statewide Education Tax Municipal Liabilities for Fiscal Year 2005
Sec. 69. [Deleted]
* * * FY 04 Block Grant * * *
Sec. 70. FISCAL YEAR 2004 GENERAL STATE SUPPORT GRANT
Notwithstanding the provisions of 16 V.S.A. § 4011(a), the general state support grant for each equalized pupil in fiscal year 2004 shall be $5,810.00.
(a) In fiscal year 2004, the amount of $260,500,000.00 is appropriated and transferred from the general fund to the education fund. Of this appropriation, $14,022.00 shall be used by the commissioner to issue as payment to the town of Middlebury for a change in valuation in the education tax liability resulting from the change of status of the Addison county community action group property.
(b) In fiscal year 2005, $226,600,000.00 shall be appropriated and transferred from the general fund to the education fund.
(d) It is furthermore the intention of the general assembly in fiscal year 2008, upon the termination of the education income tax surcharge on December 31, 2007, and the reversion of the meals and rooms tax rate to 9 percent on June 30, 2007, to adjust the general fund transfer to the education fund to maintain equitable distribution of revenues between the funds.
Notwithstanding any other provision of law, there is appropriated from the education fund to the commissioner of taxes in fiscal year 2004, for implementation of the provisions of this act, the sum of $734,472.
Sec. 72a. [Deleted]
Sec. 72c. [Deleted]
Sec. 72d. 16 V.S.A. § 711a(c) is added to read:
(c) Beginning in fiscal year 2006, for purposes of this subdivision, equalized pupils shall be calculated for a union school district and its member districts by counting the full-time equivalent enrollment in the union school during the census period pursuant to subdivision 4001(1) of this title, weighting that count for elementary and secondary pupils pursuant to subsection 4010(b) of this title, and dividing the weighted count by the ratio of statewide long-term average daily membership to the statewide long-term weighted average daily membership as calculated pursuant to subdivision 4001(3) of this title. A budget proposed under subsection (a) of this section shall show:
(1) the spending per equalized pupil for the union school district, and
Sec. 72e. 16 V.S.A. § 711(a) is amended to read:
(a) Unless the member districts shall have made a different agreement among themselves as to the division of the The expense of building, maintaining and operating schools within the union school district, the expense shall be divided among them in the proportion which the student enrollment in each member district for the previous school year bears to the total number of the students for that year enrolled in all the districts together. "Student enrollment" as to any given school year, as used herein includes any student, other than a state-placed student, residing in a member district and enrolled in a public school in the union district during the course of the year in the grades which the union district votes to construct, maintain or operate. A student enrolled for less than the full school year shall be counted fractionally in the proportion which the number of days for which he or she was enrolled bears to the total number of days on which school was in session the member districts in the proportion in which the average of equalized pupils for the last two years in each member district bears to the total number of equalized pupils enrolled in all the districts together. In this section, “equalized pupils” means the
full-time equivalent enrollment in the union school during the census period pursuant to subdivision 4001(1) of this title, weighting that count for elementary and secondary pupils pursuant to subsection 4010(b) of this title, and dividing the weighted count by the ratio of statewide long-term average daily membership to the statewide long-term weighted average daily membership as calculated pursuant to subdivision 4001(3) of this title.
Sec. 72f. [Deleted]
Sec. 72g. 32 V.S.A. § 5404(g) is amended to read:
Sec. 72h. STUDENT-TEACHER RATIO RECOMMENDATION
The Vermont Department of Education, in cooperation with the Associations representing teachers, principals, special education directors and superintendent of schools, are directed to submit recommendations to the Senate appropriations, education and finance committees no later than Jan 15, 2004 that addresses appropriate student to educator ratios for the primary grades (1 to 4), the middle school grades (5 to 8) and secondary school courses according to content area. These recommendations should consider current research regarding class size, “best practices” for staffing school buildings and supervisory union offices with administrators, support personnel and other professional positions. The School Quality Standards and their predecessors, the Vermont Public School Approval Standards, should provide some guidance as to the rationale for current staffing levels. Recommendations as to how to most effectively train schoolboard members and administrators on budget development processes and strategies for meaningful public engagement on budget issues should also be included.
Sec. 72i. TRANSITION TAX RATES
Beginning in fiscal year 2005, a manufacturing business with at least 1000 full-time-equivalent employees at two or fewer business locations in this state in fiscal year 2003, shall, in any municipality in which the combined statewide and local share education property tax rate in fiscal year 2003 was $1.45 or less, be subject to education property tax under 32 V.S.A. § 5402(a)(1) at a rate equal to its 2003 education tax rate plus $0.04 for each year after 2004; until fiscal year 2008, at which time it shall be subject to education property tax in that municipality under section 5402(a)(1) at the rate provided in that subsection.
(1) Secs. 1 through 4a, relating to education property tax, shall apply to fiscal years 2005 and after; except that all after the first sentence of 32 V.S.A. § 5402(b)(3) shall apply to tax bills issued after April 1, 2005; and except that in Sec.3a, in § 5401 (13), the percentage of statewide average spending used to calculate the district spending adjustment in fiscal year 2005 shall be 135 percent, and in fiscal year 2006 shall be 130 percent, and in fiscal years 2007 and thereafter shall be 125 percent.
(5) Secs. 26 and 33-35, relating to sales taxes on telecommunication services and beer, shall apply to sales and uses on and after July 1, 2003.
(6) Sec. 36, relating to the property transfer tax increase, shall apply to transfers on and after July 1, 2003; and Secs. 39 and 40, relating to the allocation of property transfer tax revenues shall take effect July 1, 2003.
(7) Sec. 36a, relating to the increase in the meals and rooms tax, shall take effect July 1, 2003, and shall terminate July 1, 2007 at which time the rate shall revert to nine percent; and Sec. 36b, relating to reference to meals and rooms tax rates, shall take effect upon passage. The ten percent rate effective July 1, 2003, shall apply to sales of meals and rentals of rooms on or after July 1, 2003, provided, however, that receipts from meals and occupancies reserved pursuant to a written contract entered into prior to May 15, 2003, and occurring prior to January 1, 2004, shall be taxed at the rate of nine percent.
(8) Sec. 36c, relating to use tax collections on the individual income tax, shall take effect July 1, 2003.
(9) Sec. 36d, relating to the tobacco products tax, shall take effect July 1, 2003.
(10) Secs. 37, 38, 39, 40, 41, and 42, relating to the dedication of revenues, shall take effect July 1, 2003.
(11) Secs. 43-45, relating to other school funding provisions, shall take effect upon passage.
(12) Secs. 45a, 45b, 45c, 45e, and 45h relating to education cost containment, shall take effect July 1, 2003.
(13) Sec. 45i shall take effect upon passage, except it shall apply to union school districts and their member districts beginning July 1, 2005. It is the intent of the general assembly to ensure that the information requested in this section will be provided to voters. Therefore, during the next legislative session general assembly shall consider how to assign an equalized pupil count to union school districts, and provide union school districts with direct state aid so that voters will be able to determine exactly how much of their tax revenues are allocated to the union school. In addition, the general assembly will be closely monitoring the governance study required under this act to ensure that if school districts are reorganized, that voters will be provided with information that will enable them to make informed thoughtful education budgetary decisions.
(14) Secs. 62 , relating to local option taxes, shall take effect upon passage.
(15) Secs. 64 and 64a, relating to studies, shall take effect upon passage.
(16) Secs. 70, 71 and 72 relating to fiscal year 2004 provisions, shall take effect upon passage.
(17) Secs. 72d and 72e, relating to the calculation of equalized pupils, shall take effect July 1, 2005.
(19) Secs. 72g relating to grand list reductions, shall take effect July 1, 2003.
(20) Sec. 72h, relating to student-teacher ratio recommendations, shall take effect from passage.
(21) Sec. 36f of this act, adding 32 V.S.A. § 5822a imposing an income tax surcharge of one and one half percent of income tax liability, shall take effect for taxable years beginning after December 31, 2003 and shall terminate for taxable years beginning after December 31, 2007. If the emergency board, pursuant to 32 VSA § 305a, adopts an official state revenue forecast at its July 2003 meeting of $887,500,000.00 or greater for the general fund, without the revenue from the income tax surcharge imposed in 32 VSA § 5822a by Section 36b of this act, that income tax surcharge shall not take effect.
(22) Sec. 36g of this act, relating to interest payments on income tax refunds, shall take effect July 1, 2003.