Source: https://leg.mt.gov/bills/billhtml/sb0422.htm
Timestamp: 2018-06-17 21:42:10
Document Index: 765948472

Matched Legal Cases: ['art 2', 'ART 4', 'ART 2', 'ART 4', 'art 3', 'art 3']

Montana SB 422
INTRODUCED BY D. TOEWS, R. PECK
A BILL FOR AN ACT ENTITLED: "AN ACT REVISING LAWS RELATED TO TUITION AND SPECIAL EDUCATION; ELIMINATING ALL TUITION AGREEMENTS EXCEPT THOSE NEGOTIATED WITH OTHER STATES OR PROVINCES; PROVIDING THAT A DISTRICT THAT SERVES AN OUT-OF-DISTRICT CHILD WITH DISABILITIES RECEIVE FUNDS TO PAY FOR ALLOWABLE COSTS OF SERVING THE CHILD; PROVIDING FOR A TRANSFER OF FUNDS; AUTHORIZING DISTRICTS TO ENTER INTO INTERLOCAL AGREEMENTS FOR TUITION CONTRACTS TO PAY FOR EDUCATIONAL SERVICES FOR OUT-OF-DISTRICT STUDENTS; ESTABLISHING THE FORMULA TO DETERMINE THE AMOUNT THAT A RECEIVING DISTRICT MAY CHARGE A SENDING DISTRICT FOR PROVIDING EDUCATIONAL SERVICES FOR CERTAIN OUT-OF-DISTRICT STUDENTS; AMENDING SECTIONS 20-3-205, 20-3-324, 20-5-101, 20-5-102, 20-5-320, 20-5-321, 20-5-323, 20-5-324, 20-6-702, 20-7-419, 20-7-420, 20-7-421, 20-7-424, 20-9-141, 20-9-212, 20-9-321, 20-9-335, 20-9-334, AND 20-9-406, AND 20-9-505, MCA; REPEALING SECTION 20-9-334, MCA; AND PROVIDING AN EFFECTIVE DATE AND AN APPLICABILITY DATE."
NEW SECTION. Section 1. Payments to districts serving nonresident students with disabilities. (1) The superintendent of public instruction shall provide to each district serving an out-of-district student with disabilities an amount that is equal to the allowable costs of serving each child with disabilities described in 20-9-321.
(2) Each payment must be based on the annual December 1 child count of children with disabilities and must be made within the same fiscal year that the nonresident student count is reported.
(3) The district shall deposit the funds received under this section in an account in the district's miscellaneous programs fund established in 20-9-507 and shall use the funds to pay the allowable costs of students with disabilities under 20-7-431.
(4) The superintendent of public instruction shall adopt rules necessary to implement procedures for distribution of funds and accounting under this section.
Section 1. Section 20-3-205, MCA, is amended to read:
(1) determine, establish, and reestablish trustee nominating districts in accordance with the provisions of 20-3-352, 20-3-353, and through 20-3-354;
(4) act on each tuition agreement with an adjoining state or province CONTRACT and transportation obligation submitted in accordance with the provisions of 20-5-323 and 20-5-324;
(12) complete the budgets, compute the budgeted revenues revenue and tax levies, file final budgets and budget amendments, and fulfill other responsibilities assigned under the provisions of this title regulating school budgeting systems;
(14) monthly, unless otherwise provided by law, order the county treasurer to apportion state money, county school money, and any other school money subject to apportionment in accordance with the provisions of 20-9-212, 20-9-335, 20-9-347, 20-10-145, or 20-10-146;
(17) compute the revenues revenue and the district and county levy requirements for each fund included in each district's final budget and report the computations to the board of county commissioners in accordance with the provisions of the general fund, transportation, bonds, and other school funds parts of this title;
Section 3. Section 20-3-324, MCA, is amended to read:
(3) administer the attendance provisions and tuition provisions with an adjoining state or province and govern the pupils of the district in accordance with the provisions of the pupils chapter of this title;
(13) when applicable, establish, financially administer, and budget for the tuition fund, retirement fund, building reserve fund, adult education fund, nonoperating fund, school food services fund, miscellaneous programs fund, building fund, lease or rental agreement fund, traffic education fund, impact aid fund, interlocal cooperative agreement fund, and other funds as authorized by the state superintendent of public instruction in accordance with the provisions of the other school funds parts of this title;
(24) adopt and administer a district policy on assessment for placement of any child who enrolls in a school of the district from a nonpublic school that is not accredited, as required in 20-5-110;
(26) perform any other duty and enforce any other requirements for the government of the schools prescribed by this title, the policies of the board of public education, or the rules of the superintendent of public instruction."
(b) a resident of or resides in the district; and
(2) The trustees of a district may assign and admit any nonresident child from an adjoining state or province FOR PAYMENT UNDER A NEGOTIATED TUITION CONTRACT to a school in the district under the tuition provisions of this title.
(3) The trustees may at their discretion assign and admit a child to a school in the district who is under 6 years of age or an adult who is 19 years of age or older if there are exceptional circumstances that merit waiving the age provision of this section.
(5) Except for the provisions of subsection (4), tuition for a nonresident child must be paid in accordance with the tuition provisions of this title."
Section 3. Section 20-5-102, MCA, is amended to read:
"20-5-102. Compulsory enrollment and excuses. (1) Except as provided in subsection (2), any parent, guardian, or other person who is responsible for the care of any child who is 7 years of age or older prior to the first day of school in any school fiscal year shall cause the child to be instructed in the program prescribed by the board of public education pursuant to 20-7-111 until the later of the following dates:
(2) A parent, guardian, or other person shall enroll the child in the school assigned by the trustees of the district within the first week of the school term or when he the child establishes residence in the district unless the child is:
(a) enrolled in a school of another district or DISTRICT OR state under any of the tuition provisions of this title;
(e) enrolled in a nonpublic or home school that complies with the provisions of 20-5-109. For the purposes of this subsection (2)(e), a home school is the instruction by a parent of his the parent's child, stepchild, or ward in his the parent's residence and a nonpublic school includes a parochial, church, religious, or private school."
Section 2. Section 20-5-320, MCA, is amended to read:
"20-5-320. Attendance with discretionary approval. (1) A child may be enrolled in and attend a school in a Montana school district that is outside of the child's district of residence or a public school in a district of another state or province that is adjacent to the county of the child's residence, subject to discretionary approval by the trustees of the resident district and the district of choice. If the trustees grant discretionary approval of the child's attendance in a school of the district, the parent or guardian of the child from another state or province may be charged tuition and all children from out of the district or from an adjoining state or province may be charged for transportation.
(b) The attendance agreement must set forth the financial obligations, if any, for tuition for a child from another state or province and for costs incurred for transporting the a child from out of the district or from another state or province under Title 20, chapter 10.
(3) An out-of-district attendance agreement approved under this section requires that the parent or guardian initiate the request for an out-of-district attendance agreement and that the trustees of both the district of residence and the district of choice approve the TRANSPORTATION PROVISIONS OF THE agreement.
(5)(4) The trustees of a school district may approve or disapprove the out-of-district attendance agreement consistent with this part and the policy adopted by the local board of trustees for out-of-district attendance agreements.
(6)(5) The approval of an out-of-district attendance agreement by the applicable approval agents or as the result of an appeal must authorize the child named in the agreement to enroll in and attend the school named in the agreement for the designated school year.
(7)(6) The trustees of the district where the child wishes to attend have the discretion to approve any attendance agreement and may deny an attendance agreement PERMISSION FOR A NONRESIDENT STUDENT TO ATTEND if they determine that the transferee poses a disciplinary problem or, that the transfer will result in insufficient room and overcrowding to a degree that the accreditation of the school would be adversely affected by acceptance of the child, OR THAT THE TRANSFER WILL RESULT IN ADDITIONAL COSTS TO THE RECEIVING DISTRICT THAT WILL NOT BE COMPENSATED UNDER 20-5-323.
(8)(7) This section does not preclude the trustees of a district from approving an attendance agreement for educational program offerings not provided by the resident district, such as the kindergarten or grades 7 and 8 programs, if the trustees of both districts agree to the terms and conditions for attendance and any tuition and TUITION AND transportation requirement. For purposes of this subsection, the trustees of the resident district shall initiate the out-of-district agreement.
(9)(8) (a) A provision of this title may not be construed to deny a parent the right to send a child, at personal expense, to any school of a district other than the resident district when the trustees of the district of choice have approved an out-of-district attendance agreement and the parent has agreed to pay the tuition as prescribed by 20-5-323. However, under this subsection (9), the tuition rate must be reduced by the amount the parent or guardian of the child paid in district and county property taxes during the immediately preceding school fiscal year for the benefit and support of the district in which the child will attend school.
(b) For the purposes of this section, "parent or guardian" includes an individual shareholder of a domestic corporation, as defined in 35-1-113, whose shares are 95% held by related family members to the sixth degree of consanguinity or by marriage to the sixth degree of affinity.
(10)(9) As used in 20-5-320 through 20-5-324, the term "guardian" means the guardian of a minor as provided in Title 72, chapter 5, part 2."
Section 3. Section 20-5-321, MCA, is amended to read:
"20-5-321. Attendance with mandatory approval -- tuition and TUITION AND transportation. (1) An out-of-district attendance agreement that allows a child to enroll in and attend a school in a Montana school district that is outside of the child's district of residence or in a public school district of a state or province that is adjacent to the county of the child's residence is mandatory whenever:
(a) the child resides closer to the school that the child wishes to attend and more than 3 miles from the school that the child would attend in the resident district and:
(d)(A) the child is under the protective care of a state agency or has been adjudicated to be a youth in need of intervention or a delinquent youth, as defined in 41-5-103; or
(e)(B) the child is required to attend school outside of the district of residence as the result of a placement in foster care or a group home licensed by the state.
(2) (a) Whenever a parent or guardian of a child, an agency of the state, or a court wishes to have a child attend a school under the provisions of this section, the parent or guardian, agency, or court shall complete an out-of-district attendance agreement in consultation with an appropriate official of the district the child will attend AND PROVIDE A COPY OF THE ATTENDANCE AGREEMENT TO THE OFFICE OF PUBLIC INSTRUCTION.
(b) The attendance agreement must set forth the financial obligations, if any, for costs incurred for tuition and A TUITION CONTRACT AND transportation as provided in 20-5-323 and Title 20, chapter 10. A TUITION CONTRACT ENTERED INTO UNDER THIS SECTION MAY NOT EXCEED THE ACTUAL COSTS OF THE SERVICES PROVIDED BY THE ATTENDED DISTRICT LESS THE STATE PORTION OF THE TOTAL PER-ANB PAYMENT ENTITLEMENT PROVIDED IN 20-9-306.
(3) Except as provided in subsection (4), the The trustees of the resident district STATE AGENCY, THE COURT, and the trustees of the district of choice shall approve the out-of-district attendance agreement and notify the county superintendent of schools of the county of the child's residence of the approval of the agreement within 10 days. The county superintendent shall approve the agreement for payment under 20-5-324(5). THE COUNTY SUPERINTENDENT SHALL APPROVE THE AGREEMENT FOR PAYMENT UNDER 20-5-324.
Section 4. Section 20-5-323, MCA, is amended to read:
"20-5-323. Tuition and transportation rates. (1) Except as provided in subsections (3) (2) through (5) (4) (3) AND (4), whenever a child from an adjacent state or province has approval to attend a school outside of the child's district of residence under the provisions of 20-5-320 or 20-5-321 OR 20-5-321, the basis of the rate of tuition is a flat rate for each of the 15 district-size groupings determined by rule by the superintendent of public instruction by March 15 of each year, using statewide district expenditure and revenue data for the general fund, debt service fund, and retirement fund to determine the average district contribution FOR A TUITION CONTRACT MUST MAY BE NEGOTIATED MAY BE CHARGED BY THE DISTRICT AND MUST APPLY UNIFORMLY EXCEPT OF RESIDENCE AND THE DISTRICT OF ATTENDANCE FOR:
(A) THE PLACEMENT OF A CHILD WITH A DISABILITY OR SPECIAL NEEDS PURSUANT TO TITLE 20, CHAPTER 7, PART 4;
(B) AN ORDER UNDER TITLE 40, CHAPTER 4, PART 2;
(C) AN OUT-OF-STATE PLACEMENT BY A STATE AGENCY IN FOSTER CARE OR A GROUP HOME LICENSED BY THE STATE;
(D) AN OUT-OF-DISTRICT PLACEMENT BY A RESIDENT DISTRICT OF A CHILD WHO RESIDES IN A LOCATION WHERE, DUE TO ROAD OR GEOGRAPHIC CONDITIONS, IT IS IMPRACTICAL FOR THE CHILD TO ATTEND A SCHOOL IN THE RESIDENT DISTRICT;
(E) AN OUT-OF-DISTRICT PLACEMENT BY A NONOPERATING DISTRICT OR BY A RESIDENT DISTRICT THAT DOES NOT OFFER AN EDUCATIONAL PROGRAM SUCH AS KINDERGARTEN OR GRADES 7 AND 8;
(F) WHEN THE CHILD IS A RESIDENT OF ANOTHER STATE OR PROVINCE; OR
(G) WHENEVER THE TRUSTEES OF THE DISTRICT OF ATTENDANCE DETERMINE THAT THE NUMBER OF STUDENTS ATTENDING THE DISTRICT FROM AN ADJACENT DISTRICT IS SO SIGNIFICANT AS TO UNFAIRLY IMPACT TAXES PAID BY RESIDENTS OF THE ATTENDED DISTRICT.
(2) UNDER THE CIRCUMSTANCES DESCRIBED IN SUBSECTION (1)(A) AND (1)(D) THROUGH (1)(G), THE RECEIVING DISTRICT MAY ENTER INTO NEGOTIATIONS WITH CHARGE THE SENDING DISTRICT TUITION TO REQUIRE THAT THE SENDING DISTRICT PAY FOR THE COSTS OF EDUCATIONAL SERVICES BASED ON THE RATE DETERMINED BY THE RECEIVING DISTRICT. THE RATE THAT A RECEIVING DISTRICT MAY CHARGE FOR TUITION UNDER SUBSECTIONS (1)(D) THROUGH (1)(G) UNDER A TUITION AGREEMENT FOR EDUCATIONAL SERVICES IS THE ADOPTED OVER-BASE BUDGET OF THE RECEIVING DISTRICT DIVIDED BY THE DISTRICT'S TOTAL ANB FOR THE ELEMENTARY OR HIGH SCHOOL PROGRAM.
(4)(2) When a child attends a public school of another state or province, the amount of daily tuition may not be greater than the average annual cost per student in the child's district of residence. This calculation for tuition purposes is determined by totaling all of the expenditures for all of the district budgeted funds for the preceding school fiscal year and dividing that amount by the October 1 enrollment in the preceding school fiscal year. For the purposes of this subsection, the following do not apply:
(b) placement made in a state or province with a reciprocal tuition agreement pursuant to 20-5-314;
(5)(3) When a child is placed by a state agency in an out-of-state residential facility OR WHEN A CHILD WITH A DISABILITY OR SPECIAL NEEDS IS PLACED PURSUANT TO TITLE 20, CHAPTER 7, PART 4, the state agency OR THE DISTRICT making the placement is responsible for the education costs resulting from the placement PURSUANT TO THE RATE PROVIDED IN 20-5-321(2)(B).
(6)(4) The amount, if any, charged for transportation may not exceed the lesser of the average transportation cost per student, LESS THE ON-SCHEDULE AMOUNT, in the child's district of residence or 21.25 cents per a mile. The average expenditures for the district transportation fund for the preceding school fiscal year must be calculated by dividing the transportation fund expenditures by the October 1 enrollment for the preceding fiscal year ATTENDANCE."
Section 5. Section 20-5-324, MCA, is amended to read:
(2) The county superintendent shall send, as soon as practicable, the reported information to the county superintendent of the county state or province in which a reported child resides.
(3)(2) Before July 30, the county superintendent shall report the information in subsection (1)(d) this section SUBSECTION (1) to the superintendent of public instruction, who shall determine the STATE'S SHARE OF THE total per-ANB entitlement for which the district would be eligible if the student were enrolled in the resident district. The reimbursement amount is the difference between the actual amount paid and the amount calculated in this subsection. THE SUPERINTENDENT OF PUBLIC INSTRUCTION SHALL REIMBURSE THE DISTRICT OF RESIDENCE FOR THE TOTAL PER-ANB ENTITLEMENT DETERMINED IN SUBSECTION (2).
(3) EXCEPT AS PROVIDED IN SUBSECTION (4), WHEN A CHILD HAS APPROVAL TO ATTEND A SCHOOL OUTSIDE THE CHILD'S DISTRICT OF RESIDENCE UNDER THE PROVISIONS OF 20-5-320 OR 20-5-321, THE DISTRICT OF RESIDENCE SHALL FINANCE THE TUITION AMOUNT FROM THE DISTRICT TUITION FUND AND ANY TRANSPORTATION AMOUNT FROM THE TRANSPORTATION FUND.
(6)(4)(3)(4) When a child has mandatory approval under the provisions of 20-5-321, the tuition and TUITION AND transportation obligation for an elementary school child attending a school outside of the child's county of residence must be financed by the basic county tax for elementary equalization, as provided in 20-9-331, for the child's county of residence or for a high school child attending a school outside the county of residence by the basic county tax for high school equalization, as provided in 20-9-333, for the child's county of residence.
(7)(5) By December 31 of the school fiscal year, the county superintendent or the trustees shall pay at least one-half of any tuition and transportation obligation established under this section out of the money realized to date from the appropriate elementary or high school county equalization fund provided for in 20-9-335 or from the district tuition or transportation fund. The remaining tuition and transportation obligation must be paid by June 15 of the school fiscal year. The payments must be made to the county treasurer in each county with a school district that is entitled to tuition and transportation. Except as provided in subsection (9), the The county treasurer shall credit tuition receipts to the general fund of a school district entitled to a tuition payment. The tuition receipts must be used in accordance with the provisions of 20-9-141. The county treasurer shall credit transportation receipts to the transportation fund of a school district entitled to a transportation payment.
(5) BY DECEMBER 31 OF THE SCHOOL FISCAL YEAR, THE COUNTY SUPERINTENDENT OR THE TRUSTEES SHALL PAY AT LEAST ONE-HALF OF ANY TUITION AND TRANSPORTATION OBLIGATION ESTABLISHED UNDER THIS SECTION OUT OF THE MONEY REALIZED TO DATE FROM THE APPROPRIATE ELEMENTARY OR HIGH SCHOOL EQUALIZATION FUND PROVIDED FOR IN 20-5-335 OR FROM THE DISTRICT TUITION OR TRANSPORTATION FUND. THE REMAINING TUITION AND TRANSPORTATION OBLIGATION MUST BE PAID BY JUNE 15 OF THE SCHOOL FISCAL YEAR. THE PAYMENTS MUST BE MADE TO THE COUNTY TREASURER IN EACH COUNTY WITH A SCHOOL DISTRICT THAT IS ENTITLED TO TUITION AND TRANSPORTATION. EXCEPT AS PROVIDED IN SUBSECTION (6)(B), THE COUNTY TREASURER SHALL CREDIT TUITION RECEIPTS TO THE GENERAL FUND OF A SCHOOL DISTRICT ENTITLED TO A TUITION PAYMENT. THE TUITION RECEIPTS MUST BE USED IN ACCORDANCE WITH THE PROVISIONS OF 20-9-141. THE COUNTY TREASURER SHALL CREDIT TRANSPORTATION RECEIPTS TO THE TRANSPORTATION FUND OF A SCHOOL DISTRICT ENTITLED TO A TRANSPORTATION PAYMENT.
(8)(6)(4)(6) The superintendent of public instruction shall reimburse the district of residence for the per-ANB entitlement determined in subsection (3) (2). (A) THE RECEIVING DISTRICT SHALL DEPOSIT THE TUITION CONTRACT PAYMENTS IN THE DISTRICT'S GENERAL FUND AND USE THE AMOUNT RECEIVED TO REDUCE THE DISTRICT'S OVER-BASE MILLS. ANY INCREASE IN THE LOCAL LEVY IS SUBJECT TO APPROVAL BY THE ELECTORS OF THE DISTRICT AT THE TAX ELECTION.
(9) (a) Any tuition receipts received under the provisions of 20-5-323(3) for the current school fiscal year that exceed the tuition receipts of the prior year may be deposited in the district miscellaneous programs fund and must be used for that year in the manner provided for in 20-9-507 to support the costs of the program for which the tuition was received.
(c) Any other tuition receipts received for the current school fiscal year that exceed the tuition receipts of the prior year may be deposited in the district miscellaneous programs fund and may be used for that year in the manner provided for in that fund. For the ensuing school fiscal year, the receipts must be credited to the district general fund budget.
(10)(7)(5)(7) The provisions of this section do not apply to out-of-state placements made by a state agency pursuant to 20-7-422."
Section 6. Section 20-6-702, MCA, is amended to read:
(b) the basic county tax for elementary equalization and revenue for the elementary BASE funding program for the district must be determined in accordance with the provisions of 20-9-331, and the basic county tax for high school equalization and revenue for the high school BASE funding program for the district must be determined in accordance with 20-9-333; and
(6) Tuition for attendance by a child from an adjoining state or province in the K-12 school district must be determined separately for high school pupils and for elementary pupils under the provisions of 20-5-320 through 20-5-324, except that the actual expenditures used for calculations in 20-5-323 must be based on an amount prorated between the elementary and high school programs in the appropriate funds of each district in the year prior to the attachment of the districts."
Section 9. Section 20-7-419, MCA, is amended to read:
"20-7-419. Rules. The superintendent of public instruction shall adopt rules for the implementation of 20-7-420, 20-7-421, through 20-7-422, 20-7-435, and 20-7-436, including but not limited to:
(1) the calculation of tuition under 20-7-420;
(2)(1) the calculation and distribution of funds under 20-7-435; and
(3)(2) the determination of responsibilities of children's psychiatric hospitals, residential treatment facilities, and public schools."
Section 7. Section 20-7-420, MCA, is amended to read:
(2) The county DISTRICT of residence is financially responsible for tuition and TUITION AND transportation, as established under 20-5-323 20-7-421, for a child with disabilities, as defined in 20-7-401, including. THE COUNTY OF RESIDENCE IS RESPONSIBLE FOR TUITION AND TRANSPORTATION FOR a child who has been placed by a state agency in a foster care or group home licensed by the state. The county of residence is not financially responsible for tuition and transportation for a child WITH DISABILITIES who is placed by a state agency in an out-of-state public school or an out-of-state private residential facility.
Section 11. Section 20-7-421, MCA, is amended to read:
"20-7-421. Arranging attendance in another district in lieu of a special education program -- tuition. (1) In accordance with a placement decision made by persons determining an individualized education program for a child with disabilities, the trustees may arrange for the attendance of a child in need of special education and related services in another district within the state of Montana.
(2) Tuition and transportation Transportation as required under 20-5-323 may be charged as provided in 20-7-420."
Section 8. Section 20-7-424, MCA, is amended to read:
"20-7-424. No tuition when attending state institution. Whenever a child is attending a state-funded institution in Montana, the resident district or county is not required to pay tuition to the state institution for the child, but whenever at the recommendation of institution officials the child attends classes conducted by a school within a local district, the district or county where the parents or guardian of the child maintains legal residence shall pay tuition to the district operating the school in accordance with the provisions of 20-5-321 or 20-7-421, whichever section applies to the circumstances of the child, BUT WHENEVER AT THE RECOMMENDATION OF INSTITUTION OFFICIALS THE CHILD ATTENDS CLASSES CONDUCTED BY A SCHOOL WITHIN A LOCAL DISTRICT, THE DISTRICT OR COUNTY WHERE THE PARENTS OR GUARDIAN OF THE CHILD MAINTAINS LEGAL RESIDENCE MAY BE REQUIRED TO PAY TUITION TO THE DISTRICT OPERATING THE SCHOOL IN ACCORDANCE WITH THE PROVISIONS OF 20-5-321 OR 20-7-421, WHICHEVER SECTION APPLIES TO THE CIRCUMSTANCES OF THE CHILD. Transportation payments must be made for students enrolled in any school district classes or receiving training, including summer sessions, at the state institution. The schedule of transportation payments must be approved in accordance with existing transportation payment schedules and must be approved by the county transportation committee and the superintendent of public instruction."
(A) tuition payments for out-of-district pupils from an adjoining state or province under the provisions of 20-5-321 through 20-5-323, except the amount of tuition received for a pupil who is a child with disabilities in excess of the amount received for a pupil without disabilities, as calculated under 20-5-323(2);
(B)(A) revenue from taxes and fees imposed under 23-2-517, 23-2-803, 61-3-504, 61-3-521, 61-3-527, 61-3-529, 61-3-537, and 67-3-204;
(C)(B) oil and natural gas production taxes;
(D)(C) interest earned by the investment of general fund cash in accordance with the provisions of 20-9-213(4);
(E)(D) revenue from corporation license taxes collected from financial institutions under the provisions of 15-31-702; and
(F)(E) any other revenue received during the school fiscal year that may be used to finance the general fund, excluding any guaranteed tax base aid; and
(d) Subtract any amount remaining after the determination in subsection (1)(c) from any additional funding requirement to be met by an over-BASE budget amount, a district levy as provided in 20-9-303, and any additional financing, as provided in 20-9-353, to determine any additional general fund levy requirements.
Section 14. Section 20-9-212, MCA, is amended to read:
(8) shall register district warrants drawn on a budgeted fund in accordance with 7-6-2604 when there is insufficient money available in all funds of the district to make payment of the warrant. Redemption of registered warrants must be made in accordance with 7-6-2116, 7-6-2605, and 7-6-2606.
(9) shall invest the money of any district as directed by the trustees of the district within 3 working days of the direction;
(11) shall remit promptly to the state treasurer receipts for the county tax for a vocational-technical program within a unit of the university system when levied by the board of county commissioners under the provisions of 20-25-439;
(12) shall invest the money received from the basic county taxes for elementary and high school equalization, the county levy in support of the elementary and high school district retirement obligations, and the county levy in support of the transportation schedules within 3 working days of receipt. The money must be invested until the working day before it is required to be distributed to school districts within the county or remitted to the state. Permissible investments are specified in 20-9-213(4). All investment income must be deposited, and credited proportionately, in the funds established to account for the taxes received for the purposes specified in subsections (1)(a) through (1)(d).
(13) shall remit on a monthly basis to the state treasurer, in accordance with the provisions of 15-1-504, all county equalization revenue received under the provisions of 20-9-331 and 20-9-333, including all interest earned and excluding any amount required for high school out-of-county tuition under the provisions of 20-9-334, in repayment of the state advance for county equalization prescribed in 20-9-347. Any funds in excess of a state advance must be used as required in 20-9-331(1)(b) and 20-9-333(1)(b)."
Section 17. Section 20-9-321, MCA, is amended to read:
"20-9-321. Allowable cost payment for special education. (1) For the purpose of establishing the allowable cost payment for a current year special education program for a school district, the superintendent of public instruction shall determine the total special education payment to a school district, cooperative, or joint board for special education services formed under 20-3-361 prior to July 1, 1992, using the following factors:
(c) a per-ANB amount for the special education related services block grant;
(d) weighted cost factors for cooperatives or joint boards meeting the requirements of 20-7-457, to compensate for the additional costs of operations and maintenance, travel, supportive services, recruitment, and administration;
(e) district and cooperative expenditure reports; and
(f) any other data required by the superintendent of public instruction to administer the provisions of this section.
(2) Special education allowable cost payments must be granted to each school district and cooperative with a special education program as follows:
(a) An instructional block grant must be awarded to each school district, based on the district ANB and the per-ANB special education instructional amount.
(b) A special education related services block grant must be awarded to each school district that is not a cooperative member, based on the district ANB and the per-ANB special education related services amount. The special education related services block grant amount for districts that are members of approved cooperatives or a joint board must be awarded to the cooperatives or joint board. If a cooperative or joint board meets the requirements of 20-7-457, the special education related services block grant must be weighted for the factors in subsection (1)(d).
(3) The superintendent of public instruction shall annually determine the per-ANB special education instructional and special education related services block grant amounts based on the prior years' trustees' expenditure data for special education instruction and related services.
(4) The superintendent of public instruction shall adopt rules necessary to implement this section.
(5) A district shall provide a 25% local contribution for special education, matching every $3 of state special education instructional and special education related services block grants with at least one local dollar. A district that is a cooperative member is required to provide the 25% match of the special education related services grant amount to the special education cooperative, but the district is not required to match the weighted funding factors.
(6) The superintendent of public instruction shall determine the actual district match based on the trustees' reports. Any unmatched portion reverts to the state and must be subtracted from the district's ensuing year's special education allowable cost payment.
(7) If a district's allowable costs of special education, as verified by the trustees' reports, exceed by at least 10% the total of the special education instructional and special education related services block grant plus the required district match, the district is eligible for a 65% reimbursement of the costs that exceed the additional 10%. A district that demonstrates severe economic hardship because of exceptional special education costs may apply to the superintendent of public instruction for an advance on the reimbursement for the year in which the actual costs will be incurred.
(8) A district serving an out-of-district child with disabilities must receive:
(a) $2,500 for each child with speech, language impairment, or learning disabilities to pay the allowable cost pursuant to 20-7-431; and
(b) $5,000 for each child with a disability, as defined in 20-7-401, to pay the allowable costs pursuant to 20-7-431."
Section 15. Section 20-9-335, MCA, is amended to read:
"20-9-335. Formula for apportionment of county equalization money. (1) The superintendent of public instruction shall calculate the apportionment of revenue available in the elementary and high school county equalization funds in accordance with the following procedure:
(2) THE FORMULA IN SUBSECTION (1) MUST ALSO BE APPLIED FOR THE HIGH SCHOOL DIRECT STATE AID.
(3)(2)(3) Territory situated within a county may not be excluded from the calculations of the county equalization money under this section solely because the territory lies within the boundaries of a joint district. Cash balances to the credit of any district at the end of a school fiscal year may not be considered in the apportionment procedure prescribed in this section.
(4)(3)(4) The county equalization money reported under these procedures is the first source of revenue for financing the elementary and high school direct state aid payments."
SECTION 10. SECTION 20-9-334, MCA, IS AMENDED TO READ:
"20-9-334. Out-of-county tuition obligations. The county superintendent shall direct the county treasurer to deduct from the revenue available in the elementary and high school county equalization funds, prior to remittance of the funds to the state treasurer under the provisions of 15-1-504 and 20-9-212, the amount required for the month to pay the county's obligation for elementary and high school out-of-county tuition under 20-5-324 20-5-321."
Section 11. Section 20-9-406, MCA, is amended to read:
"20-9-406. Limitations on amount of bond issue. (1) (a) Except as provided in subsection (1)(c), the maximum amount for which an elementary district or a high school district may become indebted by the issuance of bonds, including all indebtedness represented by outstanding bonds of previous issues and registered warrants, is 45% of the taxable value of the property subject to taxation to be ascertained by the last-completed assessment for state, county, and school taxes previous to the incurring of the indebtedness, plus, for bonds to be issued during fiscal year 1997, an additional 11% of the taxable value of class eight property within the district for tax year 1995, for bonds to be issued during fiscal year 1998, an additional 22% of the taxable value of class eight property within the district for tax year 1995, and for bonds to be issued during fiscal years 1999 through 2008, an additional 33% of the taxable value of class eight property within the district for tax year 1995, in each case of class eight property, multiplied by 45%.
(b) Except as provided in subsection (1)(c), the maximum amount for which a K-12 school district, as formed pursuant to 20-6-701, may become indebted by the issuance of bonds, including all indebtedness represented by outstanding bonds of previous issues and registered warrants, is up to 90% of the taxable value of the property subject to taxation to be ascertained by the last-completed assessment for state, county, and school taxes previous to the incurring of the indebtedness, plus, for bonds to be issued during fiscal year 1997, an additional 11% of the taxable value of class eight property within the district for tax year 1995, for bonds to be issued during fiscal year 1998, an additional 22% of the taxable value of class eight property within the district for tax year 1995, and for bonds to be issued during fiscal years 1999 through 2008, an additional 33% of the taxable value of class eight property within the district for tax year 1995, in each case of class eight property, multiplied by 90%. The total indebtedness of the high school district with an attached elementary district must be limited to the sum of 45% of the taxable value of the property for elementary school program purposes and 45% of the taxable value of the property for high school program purposes, adjusted as provided in this section.
(ii) If mutually agreed upon by the affected districts, for the purpose of calculating its maximum bonded indebtedness under this subsection (1)(c), a district may include the ANB of the district plus the number of students residing within the district for which the district or county pays tuition for attendance at a school in an adjacent district PLUS THE NUMBER OF STUDENTS RESIDING WITHIN THE DISTRICT WHO ATTEND A SCHOOL IN AN ADJACENT DISTRICT. The receiving district may not use out-of-district ANB for the purpose of calculating its maximum indebtedness if the out-of-district ANB has been included in the ANB of the sending district pursuant to the mutual agreement.
Section 17. Section 20-9-505, MCA, is amended to read:
"20-9-505. Purpose and establishment of nonoperating fund. (1) The trustees of a district that will not operate a school during the ensuing school fiscal year shall establish a nonoperating fund on the first day of the school fiscal year. In establishing the nonoperating fund, the trustees shall cause the transfer of the end-of-the-year fund balance of each fund maintained by the district during the immediately preceding school fiscal year to the nonoperating fund. However, fund balances of the debt service fund and the miscellaneous programs fund, if any, must be maintained in their individual funds.
(2) The trustees of a district establishing a nonoperating fund for the first year of nonoperation may earmark a portion of the nonoperating fund balance as a nonoperating fund operating reserve when they anticipate the reopening of a school in the following school fiscal year. The operating reserve may not be more than the general fund operating reserve designated for the immediately preceding school fiscal year. If a school is not operated in the following school fiscal year, the authority of the trustees to earmark a nonoperating fund operating reserve terminates and the money earmarked as an operating reserve must be used to reduce the levy requirement of the nonoperating fund. If the trustees acquire approval to reopen a school in the following school fiscal year under the provisions of 20-6-502 or 20-6-503 and operate the school, the nonoperating fund operating reserve must be restored as the general fund operating reserve.
(3) The purpose of the nonoperating fund is to centralize the financing and budgeting for the limited functions of a district not operating a school. The functions include:
(a) elementary tuition obligations to other districts;
(b)(a) transportation of the resident pupils;
(c)(b) maintenance of district-owned property; and
(d)(c) any other nonoperating school function of the district considered necessary by the trustees or required by law.
(4) Any expenditure of nonoperating fund money must be made in accordance with the financial administration provisions of this title for a budgeted fund."
NEW SECTION. Section 18. Repealer. Section 20-9-334, MCA, is repealed.
NEW SECTION. Section 22. Transfer of funds. On [the effective date of this act], there is transferred from the general fund to a state special revenue account $1.2 million for each of the fiscal years 2000 and 2001 to be used by the superintendent of public instruction to pay the allowable costs incurred by districts serving children with disabilities as provided in [this act].
NEW SECTION. Section 23. Codification instruction. [Section 1] is intended to be codified as an integral part of Title 20, chapter 9, part 3, and the provisions of Title 20, chapter 9, part 3, apply to [section 1].
NEW SECTION. Section 12. Effective date -- applicability. [This act] is effective July 1, 1999, and applies to OUT-OF-DISTRICT AGREEMENTS FOR school fiscal years beginning on or after July 1, 1999.
Latest Version of SB 422 (SB0422.03)
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