PRIOR PRINTER'S NOS. 141, 801, 1992, PRINTER'S NO. 2814 2099, 2125
No. 113 Session of 2003
INTRODUCED BY HALUSKA, ARGALL, BARD, BEBKO-JONES, BELARDI, BELFANTI, BROWNE, BUNT, CAUSER, CAWLEY, CORRIGAN, COY, CRAHALLA, CREIGHTON, DALEY, DeLUCA, DeWEESE, EACHUS, D. EVANS, FAIRCHILD, FLEAGLE, FREEMAN, GEIST, GEORGE, GRUCELA, HARHAI, HENNESSEY, HORSEY, HUTCHINSON, KIRKLAND, KOTIK, LAUGHLIN, LEACH, LEDERER, MACKERETH, MANN, MARKOSEK, McGEEHAN, McILHATTAN, MELIO, S. MILLER, NAILOR, PALLONE, PETRONE, PICKETT, PISTELLA, PRESTON, READSHAW, RUFFING, SAINATO, SATHER, SAYLOR, SCRIMENTI, SEMMEL, SOLOBAY, STABACK, STERN, TANGRETTI, E. Z. TAYLOR, THOMAS, TIGUE, WANSACZ, WASHINGTON, WOJNAROSKI, YOUNGBLOOD, SURRA, HARPER, REICHLEY AND HABAY, FEBRUARY 6, 2003
AMENDMENTS TO SENATE AMENDMENTS, HOUSE OF REPRESENTATIVES, OCTOBER 19, 2003
AN ACT 1 Amending the act of March 10, 1949 (P.L.30, No.14), entitled "An <-- 2 act relating to the public school system, including certain 3 provisions applicable as well to private and parochial 4 schools; amending, revising, consolidating and changing the 5 laws relating thereto," requiring school districts to reopen 6 their 2003-2004 budgets; imposing limitations on certain 7 unreserved fund balances; further providing for auxiliary 8 service; deleting provisions relating to professional teacher 9 assessment; further providing for cost of tuition and 10 maintenance of certain exceptional children in approved 11 private schools; providing for firefighter and emergency 12 service training; further providing for Education Support 13 Services Program, for education empowerment districts, for 14 mandate waiver program and for school improvement grants; 15 further defining "educational improvement organization" and 16 "scholarship organization"; further providing for payments on 17 account of pupils enrolled in vocational curriculums and for 18 small district assistance; providing for basic education 19 funding for 2002-2003 school year; further providing for 20 payments to intermediate units, for special education 21 payments to school districts and for Commonwealth 22 reimbursements for charter schools and cyber charter schools;
1 and making appropriations, repeals and an editorial change. 2 AMENDING THE ACT OF MARCH 10, 1949 (P.L.30, NO.14), ENTITLED "AN <-- 3 ACT RELATING TO THE PUBLIC SCHOOL SYSTEM, INCLUDING CERTAIN 4 PROVISIONS APPLICABLE AS WELL TO PRIVATE AND PAROCHIAL 5 SCHOOLS; AMENDING, REVISING, CONSOLIDATING AND CHANGING THE 6 LAWS RELATING THERETO," ADDING DEFINITIONS; REQUIRING SCHOOL 7 DISTRICTS TO REOPEN THEIR 2003-2004 BUDGETS; FURTHER 8 PROVIDING FOR FISCAL YEAR AND DELAY OF ADOPTION OF ANNUAL 9 BUDGET, FOR TAX LEVY AND LIMITATIONS, FOR PER CAPITA TAXES, 10 FOR AUXILIARY SERVICES AND FOR DISTRESS IN SCHOOL DISTRICTS 11 OF THE FIRST CLASS; PROVIDING FOR THE IMPOSITION AND 12 COLLECTION OF AN EARNED INCOME AND NET PROFITS TAX OR 13 PERSONAL INCOME TAX BY SCHOOL DISTRICTS AFTER APPROVAL BY THE 14 ELECTORS, FOR STATE MATCHING FUNDS FORMULA AND FOR WAGE AND 15 NET PROFITS TAX RELIEF IN CITIES OF THE FIRST CLASS; FURTHER 16 PROVIDING FOR LOAN OF TEXTBOOKS, INSTRUCTIONAL MATERIALS AND 17 INSTRUCTIONAL EQUIPMENT FOR NONPUBLIC SCHOOL CHILDREN; 18 DELETING PROVISIONS RELATING TO PROFESSIONAL TEACHER 19 ASSESSMENT; PROVIDING FOR FIREFIGHTER AND EMERGENCY SERVICE 20 TRAINING; AMENDING PROVISIONS RELATING TO THE EDUCATION 21 SUPPORT SERVICES PROGRAM; PROVIDING FOR THE EDUCATIONAL 22 ASSISTANCE PROGRAM, THE HEAD START SUPPLEMENTAL ASSISTANCE 23 PROGRAM AND FOR A CHILD DAY CARE AND EARLY CHILDHOOD 24 DEVELOPMENT STUDY; FURTHER PROVIDING FOR FUNDING FOR CHARTER 25 SCHOOLS, FOR CAUSES FOR NONRENEWAL OR TERMINATION OF CHARTER 26 SCHOOLS, FOR EDUCATION EMPOWERMENT DISTRICTS AND FOR SCHOOL 27 IMPROVEMENT GRANTS; IMPOSING CERTAIN LIMITATIONS ON 28 PROVISIONS RELATING TO EDUCATION EMPOWERMENT; FURTHER 29 PROVIDING FOR FINANCIAL PROGRAM AND REIMBURSEMENT OF PAYMENTS 30 RELATING TO COMMUNITY COLLEGES; AMENDING PROVISIONS RELATING 31 TO EDUCATIONAL IMPROVEMENT TAX CREDIT; FURTHER PROVIDING FOR 32 PAYMENTS ON ACCOUNT OF PUPILS ENROLLED IN VOCATIONAL 33 CURRICULUMS, FOR SMALL DISTRICT ASSISTANCE AND FOR TEMPORARY 34 SPECIAL AID TO SCHOOL DISTRICTS SUFFERING LOSS OF TAX REVENUE 35 UNDER CERTAIN CIRCUMSTANCES; PROVIDING FOR BASIC EDUCATION 36 FUNDING FOR 2002-2003 SCHOOL YEAR; FURTHER PROVIDING FOR 37 PAYMENTS TO INTERMEDIATE UNITS, FOR SPECIAL EDUCATION 38 PAYMENTS TO SCHOOL DISTRICTS, FOR EXTRAORDINARY SPECIAL 39 EDUCATION PROGRAM EXPENSES AND FOR FOR COMMONWEALTH 40 REIMBURSEMENTS FOR CHARTER SCHOOLS AND CYBER CHARTER SCHOOLS; 41 PROVIDING FOR PENNSYLVANIA ACCOUNTABILITY GRANTS; ADDING 42 PROVISIONS RELATING TO CERTAIN EDUCATIONAL ACCOUNTABILITY; 43 PROVIDING FOR TEACHER RECRUITMENT ASSISTANCE; ESTABLISHING 44 THE TEACHER RECRUITMENT ASSISTANCE FUND; FURTHER PROVIDING 45 FOR POWERS AND DUTIES OF THE STATE BOARD OF EDUCATION; MAKING 46 APPROPRIATIONS; PROVIDING FOR APPLICABILITY OF REFERENDUM 47 EXCEPTIONS AND MAKING OF ELECTIONS; MAKING REPEALS; AND 48 MAKING EDITORIAL CHANGES. 49 The General Assembly of the Commonwealth of Pennsylvania 50 hereby enacts as follows: 51 Section 1. Section 687 of the act of March 10, 1949 (P.L.30, <-- 52 No.14), known as the Public School Code of 1949, is amended by 53 adding a subsection to read: 20030H0113B2814 - 2 -
1 Section 687. Annual Budget; Additional or Increased 2 Appropriations; Transfer of Funds.--* * * 3 (j) (1) Notwithstanding any other provisions of this act, 4 the board of school directors of each school district is 5 required to and shall reopen its 2003-2004 budget during the 6 month of July 2003 to reflect any increased State allocations 7 under sections 2502.13 and 2502.41 for fiscal year 2003-2004 8 provided by the General Assembly through this act and to comply 9 with section 688. 10 (2) In those school districts which levy taxes and where the 11 increased State allocations exceed the State revenue figures 12 utilized by the school district at the time of adoption of its 13 original fiscal year 2003-2004 budget, the board of school 14 directors shall first use the increase in State allocations to 15 do any of the following: 16 (i) offset the increase in the employer contribution rate on 17 behalf of active members of the Public School Employees' 18 Retirement System as calculated under 24 Pa.C.S. § 8328 19 (relating to actuarial cost method). Such amount shall supplant 20 any other school district revenues allocated for this purpose; 21 (ii) abate any local taxes which were levied at the time of 22 original budget adoption. Such tax abatements shall occur within 23 sixty (60) days of the reopening of the school district's budget 24 and may take the form of tax reductions, rebates or credits; 25 (iii) reduce or retire any outstanding indebtedness of the 26 school district; or 27 (iv) restore funding to any educational programs which were 28 reduced or eliminated for the 2003-2004 school year. 29 (3) Under no circumstances shall any increased State 30 allocations be used to increase a school district's reserved or 20030H0113B2814 - 3 -
1 unreserved fund balances. 2 Section 2. The act is amended by adding a section to read: 3 Section 688. Limitations on Certain Unreserved Fund 4 Balances.--(a) For the 2003-2004 school year and each school 5 year thereafter, no school district shall approve an increase in 6 real property taxes unless it has adopted a budget or a reopened 7 budget pursuant to section 687 that includes an estimated, 8 ending unreserved undesignated fund balance in accordance with 9 the limitations set forth as follows: 10 School District Estimated, Ending Unreserved Undesignated 11 Total Budgeted Fund Balance as Percentage of 12 Expenditures Total Budgeted Expenditures 13 Less Than or Equal to $11,999,999 12% 14 Between $12,000,000 and $12,999,999 11.5% 15 Between $13,000,000 and $13,999,999 11% 16 Between $14,000,000 and $14,999,999 10.5% 17 Between $15,000,000 and $15,999,999 10% 18 Between $16,000,000 and $16,999,999 9.5% 19 Between $17,000,000 and $17,999,999 9% 20 Between $18,000,000 and $18,999,999 8.5% 21 Greater Than or Equal to $19,000,000 8% 22 (b) By August 15, 2003, and each year thereafter, each 23 school district that approves an increase in real property taxes 24 shall provide the Department of Education with information 25 certifying compliance with this section. Such information shall 26 be provided in a form and manner prescribed by the Department of 27 Education and shall include information on the school district's 28 estimated, ending unreserved undesignated fund balance expressed 29 as a dollar amount and as a percentage of the school district's 30 total budgeted expenditures for that school year. 20030H0113B2814 - 4 -
1 (c) As used in this section, "estimated, ending unreserved 2 undesignated fund balance" shall mean that portion of the fund 3 balance, which is appropriable for expenditure or not legally or 4 otherwise segregated for a specific or tentative future use, 5 projected for the close of the school year for which a school 6 district's budget was adopted and held in the General Fund 7 accounts of the school district. 8 Section 3. Section 922.1-A of the act, amended or added 9 August 1, 1975 (P.L.180, No.89), April 24, 1977 (P.L.199, 10 No.59), October 10, 1980 (P.L.924, No.159) and May 10, 2000 11 (P.L.44, No.16), is reenacted to read: 12 Section 922.1-A. Auxiliary Services.--(a) Legislative 13 Finding; Declaration of Policy. The welfare of the Commonwealth 14 requires that the present and future generation of school age 15 children be assured ample opportunity to develop to the fullest, 16 their intellectual capacities. It is the intent of the General 17 Assembly by this enactment to ensure that the intermediate units 18 in the Commonwealth shall furnish on an equal basis auxiliary 19 services to all pupils in the Commonwealth in both public and 20 nonprofit nonpublic schools. 21 (b) Definitions. The following terms, whenever used or 22 referred to in this section, shall have the following meanings, 23 except in those circumstances where the context clearly 24 indicates otherwise: 25 "Auxiliary services" means guidance, counseling and testing 26 services; psychological services; visual services as defined in 27 section 923.2-A; services for exceptional children; remedial 28 services; speech and hearing services; services for the 29 improvement of the educationally disadvantaged (such as, but not 30 limited to, the teaching of English as a second language), and 20030H0113B2814 - 5 -
1 such other secular, neutral, nonideological services as are of 2 benefit to all school children and are presently or hereafter 3 provided for public school children of the Commonwealth. 4 "Nonpublic school" means nonprofit school, other than a 5 public school within the Commonwealth of Pennsylvania, wherein a 6 resident of the Commonwealth may legally fulfill the compulsory 7 school attendance requirements of this act and which meet the 8 requirements of Title VI of the Civil Rights Act of 1964 9 (Pub.L.88-352; 42 U.S.C. Section 2000 et seq). 10 (c) Program of Auxiliary Services. Students attending 11 nonpublic schools shall be furnished a program of auxiliary 12 services which are provided to public school students in the 13 school district in which their nonpublic school is located. The 14 program of auxiliary services shall be provided by the 15 intermediate unit in which the nonpublic school is located, in 16 accordance with standards of the Secretary of Education. Before 17 an intermediate unit makes any decision that affects the 18 opportunities for children attending nonpublic schools to 19 participate in the auxiliary services provided under this 20 section, the intermediate unit shall consult with such nonpublic 21 schools to determine at a minimum: which general categories of 22 children shall receive services; what services shall be 23 provided; how and where the services shall be provided; and how 24 the services shall be evaluated. Such services shall be provided 25 directly to the nonpublic school students by the intermediate 26 unit in the schools which the students attend, in mobile 27 instructional units located on the grounds of such schools or in 28 any alternative setting mutually agreed upon by the school and 29 the intermediate unit, to the extent permitted by the 30 Constitution of the United States and the Constitution of the 20030H0113B2814 - 6 -
1 Commonwealth of Pennsylvania. 2 Such auxiliary services shall be provided directly by the 3 intermediate units and no auxiliary services presently provided 4 to public school students by the intermediate units and/or 5 school districts by means of State or local revenues, during the 6 school year 1974-1975, shall be eliminated. No school districts 7 shall be required, pursuant to any section of this act, to offer 8 auxiliary services provided by any other school districts within 9 such intermediate units. 10 (d) Allocations. In July of 1977 and annually thereafter in 11 July, the Secretary of Education shall allocate to each 12 intermediate unit an amount equal to the number of nonpublic 13 school students as of October 1 of the preceding school year who 14 are enrolled in nonpublic schools within the intermediate unit 15 times seventy-two dollars ($72). The Secretary of Education 16 shall increase this figure on a proportionate basis whenever 17 there is an increase in the median actual instruction expense 18 per WADM as defined in clause (12.1) of section 2501 of this 19 act. The Commonwealth shall pay to each intermediate unit 20 fifteen per centum (15%) of its allocation on August 1, seventy- 21 five per centum (75%) on October 1, and the remaining ten per 22 centum (10%) on the first day of February. 23 (e) Limitations. The intermediate unit shall not use more 24 than six per centum (6%) of the funds it receives for 25 administration or eighteen per centum (18%) for rental of 26 facilities. The Department of Education shall not use more than 27 one per centum (1%) of the funds it allocates under this section 28 for administrative expenses. If all funds allocated by the 29 intermediate units to administration, or rental facilities are 30 not expended for those purposes, such funds may be used for the 20030H0113B2814 - 7 -
1 program costs. 2 (f) Interest. There shall be no adjustment in the allocation 3 as provided in subsection (d) because of interest earned on the 4 allocations by the intermediate units. Interest so earned shall 5 be used for the purpose of this section but shall not be subject 6 to the limitations of subsection (e). 7 (g) Preliminary Budget. Annually, each intermediate unit 8 shall submit to the secretary a preliminary budget on or before 9 January 31 and a final budget on or before June 15, for the 10 succeeding year; and shall file a final financial report on or 11 before October 31 for the preceding year. 12 Section 3.1. Article XII-A of the act is repealed. 13 Section 4. Section 1376 of the act, amended June 7, 1993 14 (P.L.49, No.16), June 30, 1995 (P.L.220, No.26) and June 22, 15 2001 (P.L.530, No.35), is amended to read: 16 Section 1376. Cost of Tuition and Maintenance of Certain 17 Exceptional Children in Approved Institutions.--(a) When any 18 child between school entry age and twenty-one (21) years of age 19 and resident in this Commonwealth, who is blind or deaf, or has 20 cerebral palsy and/or neurological impairment and/or muscular 21 dystrophy and/or is mentally retarded and/or has a serious 22 emotional disturbance and/or has autism/pervasive developmental 23 disorder and is enrolled, with the approval of the Department of 24 Education, as a pupil in an approved private school approved by 25 the Department of Education, in accordance with standards and 26 regulations promulgated by the State Board of Education, the 27 school district in which such child is resident or, for students 28 placed by a charter school, the charter school in which the 29 student was enrolled shall pay the greater of either twenty per 30 centum (20%) of the actual audited cost of tuition and 20030H0113B2814 - 8 -
1 maintenance of such child in such school, as determined by the 2 Department of Education, or its "tuition charge per elementary 3 pupil" or its "tuition charge per high school pupil," as 4 calculated pursuant to section 2561, and the Commonwealth shall 5 pay, out of funds appropriated to the department for special 6 education, the balance due for the costs of such child's tuition 7 and maintenance, as determined by the department. For the school 8 years 1989-1990, 1990-1991 and 1991-1992, the school district 9 payment shall be no greater than forty percent (40%) of the 10 actual audited costs of tuition and maintenance of such child in 11 such school. For the 1992-1993 school year and each school year 12 thereafter, the school district or charter school payment shall 13 be the greater of forty percent (40%) of the actual audited 14 costs of tuition and maintenance of such child in such school, 15 as determined by the Department of Education, or its "tuition 16 charge per elementary pupil" or its "tuition charge per high 17 school pupil," as calculated pursuant to section 2561, and the 18 Commonwealth shall pay, out of funds appropriated to the 19 department for approved private schools, the balance due for the 20 costs of such child's tuition and maintenance, as determined by 21 the department. The department will credit the district of 22 residence with average daily membership for such child 23 consistent with the rules of procedure developed in accordance 24 with section 2501. If the residence of such child in a 25 particular school district cannot be determined, the 26 Commonwealth shall pay, out of moneys appropriated to the 27 department for special education, the whole cost of tuition and 28 maintenance of such child. [The Department of Education shall be 29 provided with such financial data from approved private schools 30 as may be necessary to determine the reasonableness of costs for 20030H0113B2814 - 9 -
1 tuition and room and board concerning Pennsylvania resident 2 approved reimbursed students. The Department of Education shall 3 evaluate such data and shall disallow any cost deemed 4 unreasonable. Any costs deemed unreasonable by the Department of 5 Education for disallowance shall be considered an adjudication 6 within the meaning of Title 2 of the Pa.C.S. (relating to 7 administrative law and procedure) and regulations promulgated 8 thereunder.] 9 (b) When any person less than school entry age or more than 10 twenty-one (21) years of age and resident in this Commonwealth, 11 who is blind or deaf, or has cerebral palsy and/or has 12 neurological impairment and/or has muscular dystrophy, or has 13 autism/pervasive developmental delay, and is enrolled, with the 14 approval of the Department of Education, as a pupil in an 15 approved private school approved by the Department of Education, 16 the Commonwealth shall pay to such school, out of moneys 17 appropriated to the department for special education, the actual 18 audited cost of tuition and maintenance of such person, as 19 determined by the Department of Education, subject to review and 20 approval in accordance with standards and regulations 21 promulgated by the State Board of Education in accordance with 22 subsection (b.1), and in addition, in the case of any child less 23 than school entry age, who is blind, the cost, as determined by 24 the Department of Education of instructing the parent of such 25 blind child in caring for such child. 26 (b.1) For the 2004-2005 school year and each school year 27 thereafter, an approved private school shall submit to the 28 Department of Education its budgeted costs for the upcoming 29 school year. Based upon this information and the prior year's 30 settled audit, the Department of Education shall develop an 20030H0113B2814 - 10 -
1 interim reimbursement rate for the approved private school. The 2 Department of Education shall provide the approved private 3 school with monthly payments in advance of the final cost 4 settlement as provided for in subsection (c.2). The Department 5 of Education shall adopt final reimbursement rates based on the 6 final cost settlement. The Department of Education may withhold 7 a portion of such payments not exceeding five percent (5%) of 8 such payment, pending final cost settlement. In no event shall 9 either the payments made in advance of the final cost settlement 10 or final reimbursements based on the final cost settlement made 11 by the Department of Education exceed the appropriation 12 available for approved private schools. 13 [(c) Each approved private school, prior to the start of the 14 school year, shall submit to the department such information as 15 the department may require in order to establish an estimate of 16 reimbursable costs. Based upon this information, any other data 17 deemed necessary by the department and in accordance with 18 department standards, the department shall develop for each 19 approved private school an estimate of reimbursable costs. Based 20 upon such estimate, the department shall provide each approved 21 private school with monthly payments in advance of department 22 audit. The department may withhold a portion of such payments 23 not exceeding five percent (5%) of such payment, pending final 24 audit. In no event shall either the advance payments or final 25 reimbursement made by the department following audit exceed the 26 appropriation available for approved private schools.] 27 (c.1) Any funds remaining from the appropriation line items 28 "for special education - approved private schools" or for 29 Pennsylvania Charter Schools for the Deaf and Blind from the 30 general appropriations acts for fiscal years 1978-1979 and each 20030H0113B2814 - 11 -
1 fiscal year thereafter shall be transferred by the State 2 Treasurer into a restricted account (continuing appropriation) 3 for audit resolution which is hereby established. The Department 4 of Education shall also deposit into this restricted account any 5 funds returned to or recovered by the department from approved 6 private schools or chartered schools for overpayments during 7 fiscal years 1978-1979 and each fiscal year thereafter. The 8 funds in the restricted account are hereby appropriated upon 9 approval of the Governor to the Department of Education for 10 payments to approved private schools for audit resolutions for 11 fiscal years 1978-1979 and each fiscal year thereafter. Funds in 12 this restricted account shall not be subject to the limitations 13 in subsection [(c)] (b.1) which prohibit advance payments and 14 final reimbursement from exceeding the appropriation available 15 for approved private schools. During the 1995-1996 fiscal year 16 and during each fiscal year thereafter, the Department of 17 Education shall review the activity in the restricted account 18 and may recommend that the Governor authorize the lapsing into 19 the General Fund of any funds that are estimated not to be 20 needed for audit resolution. 21 (c.2) The Department of Education shall establish procedures 22 and audit standards to govern the scope of reportable costs, the 23 methods used to examine costs and determine allowability and 24 timeliness of cost reporting. For the 2004-2005 school year and 25 each school year thereafter, cost reports shall be prepared by 26 an approved private school and audited by the approved private 27 school's independent public accountant. Such cost reports shall 28 be prepared in accordance with established procedures and audit 29 standards and delivered to the Department of Education within 30 six (6) months after the conclusion of the school year. The 20030H0113B2814 - 12 -
1 Department of Education shall have six (6) months to process 2 these cost reports and settle any outstanding payments due to or 3 from the approved private school. Nothing in this subsection 4 shall be construed to preclude the Department of Education from 5 conducting its own audits on a periodic basis. Where the 6 Department of Education conducts such audits, the audits must be 7 completed within one (1) year of the cost report deadline and 8 may not delay the allowable period for settlement of any 9 payments due to or from the approved private school. Audits of 10 cost reports submitted for school years prior to the 2004-2005 11 school year shall be completed in a manner consistent with prior 12 audit practices. 13 (d) No private institution receiving payment in accordance 14 with this section shall impose any charge on the student and/or 15 parents who are Pennsylvania approved reimbursable residents for 16 a program of individualized instruction and maintenance 17 appropriate to the child's needs; except that charges for 18 services not part of such program may be made if agreed to by 19 the parents. 20 [(e) (1) The Education Committees of the Senate and House 21 of Representatives are directed to jointly examine the issues of 22 the funding of approved private schools and special education 23 students' access to approved private schools as part of the full 24 continuum of special education placements. The committees' 25 examination should address, at a minimum, the following issues: 26 (i) The funding methodology which supports the school 27 district's responsibility for individualized, appropriate 28 educational services to special education students through 29 access to the most comprehensive continuum of educational 30 options and settings. 20030H0113B2814 - 13 -
1 (ii) The role of the approved private school in the mandated 2 continuum of special education services available to students in 3 Pennsylvania. 4 (iii) The relative roles of the Department of Education and 5 school districts to ensure free appropriate public education 6 (FAPE) through adequate funding and appropriate distribution of 7 comprehensive services. 8 (iv) The provisions of the Individuals with Disabilities 9 Education Act (IDEA) (P.L.101-476), the Cordero Court Orders, 10 this act and 22 Pa. Code Chs. 14 and 342 as they relate to the 11 provision of programs and services to special education students 12 should be carefully reviewed as they pertain to approved private 13 schools, continuum of placement options, funding, FAPE and other 14 pertinent issues. 15 (2) The committees shall report back to the General Assembly 16 by November 15, 1993, with legislative and/or administrative 17 recommendations. The committees may hold such meetings and 18 hearings as they deem appropriate to accomplish the provisions 19 of this subsection.] 20 Section 5. The act is amended by adding a section to read: 21 Section 1550. Firefighter and Emergency Service Training.-- 22 (a) Beginning with the 2003-2004 school year and each school 23 year thereafter, a school district may offer firefighter and 24 emergency service training as credit-earning courses to students 25 of the age of sixteen (16) years or older. Such courses may 26 include: 27 (1) Training as a Firefighter I from the National Board on 28 Fire Service Professional Qualifications. 29 (2) Training as an emergency medical technician by the 30 Department of Health under the act of July 3, 1985 (P.L.164, 20030H0113B2814 - 14 -
1 No.45), known as the "Emergency Medical Services Act." 2 (b) A school district that offers firefighter and emergency 3 service training as credit-earning courses shall provide 4 transportation to and supervision during any firefighter and 5 emergency service training program that takes place off school 6 grounds. Supervision of training shall be conducted as a 7 cooperative education program in accordance with the provisions 8 of 22 Pa. Code § 11.28 (relating to out-of-school programs). 9 Section 6. Section 1501-C of the act, amended June 29, 2002 10 (P.L.524, No.88), is reenacted to read: 11 Section 1501-C. Definitions. 12 The following words and phrases when used in this article 13 shall have the meanings given to them in this section unless the 14 context clearly indicates otherwise: 15 "Department." The Department of Education of the 16 Commonwealth. 17 "Eligible student." A resident of this Commonwealth who is 18 enrolled in third, fourth, fifth or sixth grade in a school 19 entity and is deemed eligible pursuant to section 1502-C(b). 20 "Eligibility test." The Pennsylvania System of School 21 Assessment or a commercially prepared, standardized achievement 22 test approved by the Department of Education. A list of approved 23 tests under this article shall be published annually in the 24 Pennsylvania Bulletin. 25 "Grant." A grant awarded to a grant recipient under this 26 article. 27 "Grant recipient." A resident of this Commonwealth who is a 28 parent, guardian or person in parental relation to an eligible 29 student. 30 "Program." The Education Support Services Program 20030H0113B2814 - 15 -
1 established in section 1502-C. 2 "Provider." A school entity, an institution of higher 3 education, a nonprofit or for-profit organization or a certified 4 teacher employed by a school entity, that is approved by the 5 Department of Education to provide education support services. 6 "School entity." Any of the following located in this 7 Commonwealth: a school district, intermediate unit, joint school 8 district, area vocational-technical school, charter school, 9 independent school, licensed private academic school, accredited 10 school, a school registered under section 1327(b), the Scotland 11 School for Veterans' Children or the Scranton School for the 12 Deaf. 13 Section 7. Sections 1502-C, 1503-C and 1504-C, of the act, 14 added May 17, 2001 (P.L.4, No.4), are reenacted to read: 15 Section 1502-C. Establishment of program. 16 (a) Establishment.--The Education Support Services Program 17 is established within the department to provide individual or 18 small group instruction in reading and mathematics to strengthen 19 the skills that an eligible student needs to achieve the 20 standards in 22 Pa. Code Ch. 4 (relating to academic standards 21 and assessment), which shall be provided at a time other than 22 the regularly scheduled school hours. 23 (b) Eligibility.--The department shall utilize the 24 Pennsylvania System of School Assessment test or other test 25 results to identify eligible students under this article. Scores 26 used to determine eligible students in each grade shall be 27 published annually in the Pennsylvania Bulletin. 28 (c) Approval.--A provider must be approved by the department 29 in order to provide education support services under this 30 article. 20030H0113B2814 - 16 -
1 Section 1503-C. Application and approval. 2 (a) Application.--A prospective grant recipient shall apply 3 annually to the department for a grant to purchase education 4 support services for an eligible student from an approved 5 provider in a time and manner prescribed by the department. 6 (b) Required information.--An application submitted under 7 this section shall include verification of the eligibility test 8 results and such other information as the department may 9 require. 10 Section 1504-C. Powers and duties of the department. 11 The department shall: 12 (1) Establish criteria to annually identify eligible 13 students in grades three, four, five and six to participate 14 in the program under section 1502-C. 15 (2) Approve providers of education support services. 16 (3) Adopt standards, procedures and guidelines to be 17 used to approve providers of education support services under 18 this article. 19 (4) Award grants to a grant recipient in an amount not 20 to exceed $500 per fiscal year for each eligible student. 21 (5) Establish minimum qualifications for individuals 22 utilized by providers of education support services. 23 (6) Establish periods during which applications will be 24 reviewed to accommodate the dates when results of approved 25 eligibility tests become available. 26 Section 8. Section 1505-C of the act, amended June 29, 2002 27 (P.L.524, No.88), is reenacted to read: 28 Section 1505-C. Providers. 29 A prospective provider shall submit an application to the 30 department for approval to provide education support services 20030H0113B2814 - 17 -
1 under this article. The application shall include a description 2 of the services to be provided, the cost of the services, the 3 qualification of all individuals providing those services, 4 including evidence of compliance with section 111 and with 23 5 Pa.C.S. § 6355 (relating to requirement), and such other 6 information as may be required by the department. 7 Section 9. Sections 1506-C, 1507-C, 1508-C, 1509-C, 1510-C 8 and 1511-C of the act, added May 17, 2001 (P.L.4, No.4), are 9 reenacted to read: 10 Section 1506-C. Notification of program. 11 A school entity in this Commonwealth with students enrolled 12 in third, fourth, fifth or sixth grade shall notify parents of 13 the availability of education support services at such time as 14 the parents receive the results of any eligibility test. 15 Section 1507-C. Payment of grants. 16 (a) Certificates.--A certificate for education support 17 services under this article shall be issued by the department in 18 an amount authorizing up to $500 for each eligible student 19 identified on the certificate. The certificate shall be issued 20 to the grant recipient and shall be valid only for the fiscal 21 year in which it is issued. After receiving the certificate from 22 a grant recipient, the provider shall include the following 23 information on the certificate: name of eligible student served, 24 type of instruction, date and length of instruction and cost of 25 instruction provided to the eligible student. When the amount of 26 the certificate has been utilized or when the eligible student 27 is no longer receiving education support services from the 28 provider, the provider shall return the completed certificate to 29 the grant recipient for submission to the department for 30 payment. The department shall make payment directly to the grant 20030H0113B2814 - 18 -
1 recipient for the amount due. Grant recipients must send all 2 outstanding certificates to the department for payment no later 3 than 90 days after receiving the completed certificate from the 4 provider. 5 (b) Penalty for grant recipients.--A grant recipient who 6 knowingly defrauds the Commonwealth by receiving reimbursement 7 for education support services not rendered to the eligible 8 student and grant recipient identified on the certificate 9 commits a misdemeanor of the third degree and shall, upon 10 conviction, be sentenced to pay a fine of not more than $1,000 11 per violation and shall be disqualified from eligibility for an 12 additional grant for a period of not less than five years. 13 (c) Penalty for providers.--A provider that knowingly 14 violates section 1509-C or knowingly defrauds the Commonwealth 15 by receiving reimbursement for education support services not 16 rendered to the eligible student and grant recipient identified 17 on the certificate commits a misdemeanor of the third degree and 18 shall, upon conviction, be sentenced to pay a fine of not more 19 than $1,000 per violation and shall be barred from participation 20 in the program for not less than five years. 21 Section 1508-C. Limitations. 22 (a) Amount.--The amount of grants provided under this 23 article in a fiscal year shall be limited to the funds 24 appropriated for that purpose. No more than 10% of the total 25 funds appropriated for this program in any fiscal year shall be 26 awarded to grant recipients within a specific school district 27 except that, if the department determines that all school 28 entities in the Commonwealth have had an opportunity to 29 participate in the program and that funds remain available, it 30 may waive the 10% limitation under this subsection. 20030H0113B2814 - 19 -
1 (b) Availability of funds.--In the event that the funds 2 appropriated in any fiscal year are insufficient to provide 3 grants to all grant recipients, grants shall be awarded on a 4 first-come, first-served basis. The department shall hold a 5 portion of the funds in reserve to ensure that money is 6 available for each application period established under section 7 1504-C(6). 8 Section 1509-C. Confidentiality. 9 Nothing in this article shall authorize the department, a 10 school entity or a provider to release or otherwise utilize 11 student identifiable information or individual student test 12 scores for purposes other than the administration of this 13 article. 14 Section 1510-C. Nontaxable income. 15 A grant received by a grant recipient shall not be considered 16 to be taxable income for the purposes of Article III of the act 17 of March 4, 1971 (P.L.6, No.2), known as the Tax Reform Code of 18 1971. 19 Section 1511-C. Applicability. 20 Services provided under this article do not constitute 21 tutoring or instruction under the act of January 28, 1988 22 (P.L.24, No.11), known as the Private Academic Schools Act. 23 Section 10. Section 1705-B(h)(4) of the act, amended June 24 29, 2002 (P.L.524, No.88) and December 9, 2002 (P.L.1472, 25 No.187), is amended to read: 26 Section 1705-B. Education Empowerment Districts.--* * * 27 (h) * * * 28 (4) The department may utilize up to $2,000,000 of 29 undistributed funds not expended, encumbered or committed from 30 appropriations for grants and subsidies made to the department 20030H0113B2814 - 20 -
1 to assist school districts certified as an education empowerment 2 district under paragraph (3). There is hereby established a 3 restricted account from which payments under this paragraph 4 shall be paid. Funds shall be transferred by the Secretary of 5 the Budget to the restricted account to the extent necessary to 6 make payments under this paragraph. Funds in the restricted 7 account are hereby appropriated to carry out the purposes of 8 this paragraph. The subsidy payment from this account shall be 9 utilized to supplement the operational budget of the eligible 10 school districts. This paragraph shall apply to fiscal years 11 2000-2001, 2001-2002 [and], 2002-2003 and 2003-2004 and shall 12 expire June 30, [2003] 2004. 13 Section 11. Section 1709-B of the act, added May 10, 2000 14 (P.L.44, No.16), is reenacted to read: 15 Section 1709-B. School Improvement Grants.--(a) The 16 department shall establish a program of annual school 17 improvement grants for school districts on the education 18 empowerment list or certified as an education empowerment 19 district to assist in the implementation of their school 20 district improvement plans. 21 (b) Grants shall be limited to the amount appropriated for 22 that purpose. 23 (c) Grants shall be provided annually to the school district 24 for use as directed by the school district empowerment team or 25 the board of control in implementing the school district 26 improvement plan developed pursuant to sections 1703-B and 1706- 27 B as follows: 28 (1) To purchase instructional materials, including 29 textbooks, technology and related educational materials and 30 supplies. 20030H0113B2814 - 21 -
1 (2) To reduce class size in kindergarten through grade 2 three. 3 (3) To establish after-school, summer and weekend programs. 4 (4) To establish or expand full-day kindergarten program. 5 (5) To fund curriculum development. 6 (6) To fund enhanced staff professional development. 7 (7) To fund any other program contained in the school 8 district improvement plan. 9 (d) Subject to the requirements of this section, each 10 qualifying school district shall receive a base annual grant of 11 four hundred fifty thousand dollars ($450,000) and an additional 12 grant of up to seventy-five dollars ($75) per average daily 13 membership for the prior school year of the school district. The 14 school district or the board of control shall give priority in 15 allocating the grant funding received under this section to the 16 individual schools identified pursuant to sections 1703-B(b) and 17 1706-B(b). 18 (e) The department shall set forth the specific allowable 19 uses for grant funds and place conditions, as necessary, on the 20 use of grant funds. The department shall establish 21 accountability procedures and auditing guidelines to ensure that 22 grant funds are utilized in accordance with the allowable uses 23 and conditions. 24 (f) A school district receiving a grant under this section 25 shall be required to maintain separate accounts in that school 26 district's budget to facilitate monitoring the use of these 27 grant funds. In no case shall a school district use more than 28 five per centum of the grant funds for administrative costs. 29 (g) The department shall reduce the amount of a State 30 subsidy payment to a school district by the amount of any grant 20030H0113B2814 - 22 -
1 funds provided under this section if the school district does 2 not use the grant funds in accordance with the allowable uses 3 and conditions set forth by the department. 4 Section 12. Section 1714-B(g) of the act, added May 10, 2000 5 (P.L.44, No.16), is amended to read: 6 Section 1714-B. Mandate Waiver Program.--* * * 7 (g) The following provisions of this act shall not be 8 subject to waiver pursuant to this section: sections 108, 110, 9 111, 321, 322, 323, 324, 325, 326, 327, 431, 436, 437, 440.1, 10 443, 510, 513, 518, 527, 687, 688, 701.1, 708, 736, 737, 738, 11 739, 740, 741, 752, 753, 755, 771, 776, 777, 808, 809, 810, 12 1303(a), 1310, 1317, 1317.1, 1317.2, 1318, 1327, 1327.1, 1330, 13 1332, 1361, 1366, 1501, 1502, 1513, 1517, 1518, 1521, 1523, 1546 14 and 1547; provisions prohibiting discrimination; Articles VI, 15 XI, XI-A, XII, XIII-A, XIV and XVII-A and this article. 16 * * * 17 Section 13. The definition of "educational improvement 18 organization" and "scholarship organization" in section 2002-B 19 of the act, added May 17, 2001 (P.L.4, No.4), are amended to 20 read: 21 Section 2002-B. Definitions. 22 The following words and phrases when used in this article 23 shall have the meanings given to them in this section unless the 24 context clearly indicates otherwise: 25 * * * 26 "Educational improvement organization." A nonprofit entity 27 which: 28 (1) is exempt from Federal taxation under section 29 501(c)(3) of the Internal Revenue Code of 1986 (Public Law 30 99-514, 26 U.S.C. § 1 et seq.); and 20030H0113B2814 - 23 -
1 (2) contributes at least 80% of its annual receipts as 2 grants to a public school for innovative educational 3 programs. 4 For purposes of this definition, a nonprofit entity 5 "contributes" its annual cash receipts when it expends or 6 otherwise irrevocably encumbers those funds for expenditure 7 during the then current fiscal year of the nonprofit entity or 8 during the next succeeding fiscal year of the nonprofit entity. 9 * * * 10 "Scholarship organization." A nonprofit entity which: 11 (1) is exempt from Federal taxation under section 12 501(c)(3) of the Internal Revenue Code of 1986 (Public Law 13 99-514, 26 U.S.C. § 1 et seq.); and 14 (2) contributes at least 80% of its annual cash receipts 15 to a scholarship program. 16 For purposes of this definition, a nonprofit entity 17 "contributes" its annual cash receipts to a scholarship program 18 when it expends or otherwise irrevocably encumbers those funds 19 for distribution during the then current fiscal year of the 20 nonprofit entity or during the next succeeding fiscal year of 21 the nonprofit entity. 22 * * * 23 Section 14. Section 2502.8 of the act, amended June 22, 2001 24 (P.L.530, No. 35), is reenacted to read: 25 Section 2502.8. Payments on Account of Pupils Enrolled in 26 Vocational Curriculums.--(a) For the purpose of reimbursement 27 in accordance with this section, vocational curriculums are 28 agriculture education, distributive education, health 29 occupations education, home economics education (gainful), 30 business education, technical education, trade and industrial 20030H0113B2814 - 24 -
1 education, or any other occupational oriented program approved 2 by the Secretary of Education. 3 (b) For the 1981-1982 school year through the 1984-1985 4 school year, each school district so entitled shall be paid, in 5 addition to any other subsidy to which it is entitled, an amount 6 on account of resident pupils enrolled in vocational 7 curriculums; for the 1985-1986 school year through the 1999-2000 8 school year, each school district and area vocational-technical 9 school shall be paid an amount on account of students enrolled 10 in vocational curriculums; for the 2000-2001 school year and 11 each school year thereafter, each school district, area 12 vocational-technical school and charter school shall be paid an 13 amount on account of students enrolled in vocational 14 curriculums, determined as follows: 15 (1) Determine the increase in the weighted average daily 16 membership by multiplying the number of students in average 17 daily membership in vocational curriculums in area vocational- 18 technical schools by twenty-one hundredths (.21) and the number 19 of students in average daily membership in school district and 20 charter school vocational curriculums by seventeen hundredths 21 (.17). 22 (2) Multiply the lesser of the district's actual instruction 23 expense per weighted average daily membership or the base earned 24 for reimbursement by the market value/income aid ratio or by 25 three hundred seventy-five thousandths (.375), whichever is 26 greater. 27 (3) Multiply the increase in weighted average daily 28 membership determined in clause (1) by the result of clause (2). 29 (4) For the 1985-1986 through 1999-2000 school years, the 30 Commonwealth shall pay the amount required by this section to 20030H0113B2814 - 25 -
1 the school district or area vocational-technical school which 2 provides the program upon which reimbursement is based. 3 (5) For the 2000-2001 school year and each school year 4 thereafter, the Commonwealth shall pay the amount required under 5 this section to the school district, area vocational-technical 6 school or charter school which provides the programs upon which 7 reimbursement is based. 8 (c) For the school year 1998-1999, any additional funding 9 provided by the Commonwealth over the amount provided for the 10 school year 1997-1998 will be distributed to area vocational- 11 technical schools and to school districts with eight (8) or more 12 vocational programs based on subsection (b). 13 (d) For the school year 1999-2000, any additional funding 14 provided by the Commonwealth over the amount provided for the 15 school year 1998-1999 will be distributed to area vocational- 16 technical schools, to school districts with eight (8) or more 17 vocational programs and to school districts offering a 18 vocational agricultural education program, based on subsection 19 (b). 20 (e) For the school year 2000-2001 and each school year 21 thereafter, any additional funding provided by the Commonwealth 22 over the amount provided for the school year 1998-1999 will be 23 distributed to area vocational-technical schools, to school 24 districts and charter schools with eight (8) or more vocational 25 programs and to school districts and charter schools offering a 26 vocational agricultural education program based on subsection 27 (b). 28 Section 15. Section 2502.13 of the act, amended June 29, 29 2002 (P.L.524, No.88), is amended to read: 30 Section 2502.13. Small District Assistance.--For the 1984- 20030H0113B2814 - 26 -
1 1985 and 1985-1986 school years, the Commonwealth shall pay to 2 each school district which has an average daily membership of 3 one thousand five hundred (1,500) or less and has a market 4 value/income aid ratio of five thousand ten-thousandths (0.5000) 5 or greater, an amount equal to fifty dollars ($50) multiplied by 6 that district's average daily membership. For the 1985-1986 7 school year, no school district shall receive less on account of 8 this section than it did for the 1984-1985 school year. For the 9 school year 1986-1987, the Commonwealth shall pay to each school 10 district which has an average daily membership of one thousand 11 five hundred (1,500) or less and has a market value/income aid 12 ratio of five thousand ten-thousandths (0.5000) or greater, or 13 received payments under this section for the 1985-1986 school 14 year, an amount equal to seventy-five dollars ($75) multiplied 15 by that district's average daily membership. For the school year 16 1987-1988, the Commonwealth shall pay to each school district 17 which has an average daily membership of one thousand five 18 hundred (1,500) or less and a market value/income aid ratio of 19 five thousand ten-thousandths (0.5000) or greater, or received 20 payments under this section for the 1986-1987 school year, an 21 amount equal to eighty-five dollars ($85) multiplied by that 22 district's average daily membership. For the school year 1988- 23 1989, the Commonwealth shall pay to each school district which 24 has an average daily membership of one thousand five hundred 25 (1,500) or less and a market value/income aid ratio of five 26 thousand ten thousandths (0.5000) or greater, or received 27 payments under this section for the 1987-1988 or 1988-1989 28 school year, an amount equal to one hundred five dollars ($105). 29 For the school year 1989-1990, the Commonwealth shall pay to 30 each school district which has an average daily membership of 20030H0113B2814 - 27 -
1 one thousand five hundred (1,500) or less and a market 2 value/income aid ratio of five thousand ten-thousandths (0.5000) 3 or greater, or received payments under this section for the 4 1987-1988 school year, an amount equal to one hundred fifteen 5 dollars ($115) multiplied by the district's average daily 6 membership as provided for in section 212 of the act of July 1, 7 1990 (P.L.1591, No.7A), known as the "General Appropriation Act 8 of 1990." For the school year 1990-1991, the Commonwealth shall 9 pay to each school district which has an average daily 10 membership of one thousand five hundred (1,500) or less and a 11 market value/income aid ratio of five thousand ten-thousandths 12 (0.5000) or greater, or received payments under this section for 13 the prior school year, an amount equal to one hundred seventy 14 dollars ($170) multiplied by that district's average daily 15 membership. For the school year 1990-1991, each school district 16 with a population per square mile of less than ninety (90), 17 which otherwise meets the average daily membership and market 18 value/income aid ratio requirements of this section, or received 19 payments under this section for the prior school year, shall 20 instead receive an amount equal to one hundred ninety dollars 21 ($190) multiplied by that district's average daily membership. 22 For the 1987-1988 school year through the 1990-1991 school year, 23 no school district shall receive less on account of this section 24 than it did for the prior school year. For the school year 1994- 25 1995, the Commonwealth shall pay to each school district which 26 has an average daily membership of one thousand five hundred 27 (1,500) or less and a market value/income aid ratio of five 28 thousand ten-thousandths (0.5000) or greater, an amount equal to 29 ninety five dollars ($95) multiplied by that district's average 30 daily membership. For each of the school years 1997-1998 through 20030H0113B2814 - 28 -
1 1999-2000, the Commonwealth shall pay to each school district 2 which has an average daily membership of one thousand five 3 hundred (1,500) or less and a market value/income aid ratio of 4 five thousand ten-thousandths (0.5000) or greater an amount 5 equal to seventy-five dollars ($75) multiplied by that 6 district's average daily membership. For the school years 2000- 7 2001 [and], 2001-2002 and 2002-2003, the Commonwealth shall pay 8 to each school district which has an average daily membership of 9 one thousand five hundred (1,500) or less an amount equal to 10 seventy-five dollars ($75) multiplied by that district's average 11 daily membership. 12 Section 16. The act is amended by adding a section to read: 13 Section 2502.41. Basic Education Funding for 2002-2003 14 School Year.--For the 2002-2003 school year, the Commonwealth 15 shall pay to each school district a basic education funding 16 allocation which shall consist of the following: 17 (1) An amount equal to the basic education funding 18 allocation for the 2001-2002 school year pursuant to sections 19 2502.13 and 2502.40. 20 (2) A base supplement calculated as follows: 21 (i) Multiply the school district's 2003-2004 market 22 value/income aid ratio by its 2002-2003 average daily 23 membership. 24 (ii) Multiply the product from subparagraph (i) by fifty 25 million dollars ($50,000,000). 26 (iii) Divide the product from subparagraph (ii) by the sum 27 of the products of the 2003-2004 market value/income aid ratio 28 multiplied by the 2002-2003 average daily membership for all 29 school districts. 30 (3) A poverty supplement calculated for qualifying school 20030H0113B2814 - 29 -
1 districts as follows: 2 (i) To qualify for the poverty supplement, a school 3 district's 2003-2004 market value/income aid ratio shall be 4 equal to or greater than 0.6500 and its personal income 5 valuation when divided by its 2002-2003 average daily membership 6 shall be equal to or less than one hundred three thousand five 7 hundred seventy-one dollars ($103,571). 8 (ii) The poverty supplement shall be calculated for 9 qualifying school districts as follows: 10 (A) Multiply the school district's 2002-2003 average daily 11 membership by thirty million dollars ($30,000,000). 12 (B) Divide the product from clause (A) by the sum of the 13 2002-2003 average daily membership for all qualifying school 14 districts. 15 (4) A tax effort supplement calculated for qualifying school 16 districts as follows: 17 (i) To qualify for the tax effort supplement, a school 18 district's 2001 equalized millage must be equal to or greater 19 than 20.6 equalized mills. 20 (ii) The tax effort supplement shall be calculated for 21 qualifying school districts as follows: 22 (A) Multiply the school district's 2002-2003 average daily 23 membership by fifteen million dollars ($15,000,000). 24 (B) Divide the product from clause (A) by the sum of the 25 2002-2003 average daily membership for all qualifying school 26 districts. 27 (5) A growth supplement calculated for qualifying school 28 districts as follows: 29 (i) To qualify for the growth supplement, a school 30 district's 2002-2003 average daily membership must be greater 20030H0113B2814 - 30 -
1 than its 2001-2002 average daily membership. 2 (ii) The growth supplement shall be calculated for 3 qualifying school districts as follows: 4 (A) Subtract the school district's 2001-2002 average daily 5 membership from its 2002-2003 average daily membership. 6 (B) Multiply the difference from clause (A) by five million 7 dollars ($5,000,000). 8 (C) Divide the product from clause (B) by the sum of the 9 differences from clause (A) for all qualifying school districts. 10 (6) Each school district shall receive additional funding as 11 necessary so that the sum of the amounts under section 2502.13 12 and under paragraphs (2), (3), (4), (5) and this paragraph will 13 equal at least two percent (2%) of the amount in paragraph (1). 14 Section 17. Sections 2509.1 and 2509.5 of the act are 15 amended by adding subsections to read: 16 Section 2509.1. Payments to Intermediate Units.--* * * 17 (b.11) Up to nine million five hundred thousand dollars 18 ($9,500,000) may be utilized for programs administered and 19 operated by intermediate units during the 2003-2004 school year 20 for institutionalized children as established in subsection 21 (b.1). 22 * * * 23 Section 2509.5. Special Education Payments to School 24 Districts.--* * * 25 (ll) During the 2003-2004 school year, each school district 26 shall be paid the amount it received during the 2002-2003 school 27 year under subsection (kk). 28 (mm) During the 2003-2004 school year, thirty-six million 29 one hundred forty-nine thousand five hundred eighty-seven 30 dollars ($36,149,587) of the funds appropriated to the 20030H0113B2814 - 31 -
1 Department of Education for special education shall be used to 2 provide supplemental funding for special education to all school 3 districts. The supplemental funding shall be calculated as 4 follows: 5 (1) multiply each school district's 2003-2004 market 6 value/income aid ratio by sixteen per centum (16%) of its 2002- 7 2003 average daily membership; 8 (2) multiply the product from paragraph (1) by thirty-six 9 million one hundred forty-nine thousand five hundred eighty- 10 seven dollars ($36,149,587); and 11 (3) divide the resultant product from paragraph (2) by the 12 sum of the products of the 2003-2004 market value/income aid 13 ratio multiplied by sixteen per centum (16%) of the 2002-2003 14 average daily membership for all school districts. 15 Section 18. Section 2591.1 of the act, added June 29, 2002 16 (P.L.524, No.88), is amended to read: 17 Section 2591.1. Commonwealth Reimbursements for Charter 18 Schools and Cyber Charter Schools.--(a) For the 2001-2002 19 school year, the Commonwealth shall pay to each school district 20 with resident students enrolled in a charter school, a charter 21 school approved under section 1717-A or 1718-A which provides 22 instruction through the Internet or other electronic means or a 23 cyber charter school as defined pursuant to Article XVII-A an 24 amount equal to thirty percent (30%) of the total funding 25 required under section 1725-A(a). If insufficient funds are 26 appropriated to make Commonwealth reimbursements under this 27 section, the reimbursements shall be made on a pro rata basis. 28 (b) For the 2002-2003 school year, the Commonwealth shall 29 pay to each school district that received funding under 30 subsection (a) for the 2001-2002 school year and that had 20030H0113B2814 - 32 -
1 resident students enrolled in a charter school, a charter school 2 approved under section 1717-A or 1718-A which provides 3 instruction through the Internet or other electronic means or a 4 cyber charter school as defined under Article XVII-A during the 5 2002-2003 school year an amount equal to the lesser of: 6 (1) the payment received for the 2001-2002 school year 7 pursuant to subsection (a); or 8 (2) thirty percent (30%) of the total funding required under 9 section 1725-A(a). 10 (c) For the 2002-2003 school year, the Commonwealth shall 11 pay to each school district that did not receive funding under 12 subsection (a) for the 2001-2002 school year and that had 13 resident students enrolled in a charter school, a charter school 14 approved under section 1717-A or 1718-A which provides 15 instruction through the Internet or other electronic means or a 16 cyber charter school as defined under Article XVII-A during the 17 2002-2003 school year an amount equal to thirty percent (30%) of 18 the total funding required under section 1725-A(a). 19 Section 19. The following amounts are hereby appropriated 20 from the General Fund to the Department of Education for the 21 fiscal period July 1, 2003, to June 30, 2004, as follows: 22 (1) The sum of $25,000,000 is hereby appropriated for 23 payments to any school district of the first class which has 24 been declared distressed pursuant to section 691(c) of the 25 act of March 10, 1949 (P.L.30, No.14), known as the Public 26 School Code of 1949, provided that such school district 27 submits a quarterly itemization of all Federal, State and 28 local funds distributed to each school in the school 29 district, including schools governed by agreements currently 30 in effect pursuant to section 696(i)(2) of the Public School 20030H0113B2814 - 33 -
1 Code of 1949 and schools designated as partnership schools 2 under the School Reform Commission Resolution Number 10 of 3 April 17, 2002, to the Department of Education and to the 4 chairman and minority chairman of the Education Committee of 5 the Senate and to the chairman and minority chairman of the 6 Education Committee of the House of Representatives. If the 7 Department of Education determines that the report is not 8 being submitted in accordance with the requirements of this 9 paragraph, the Department of Education shall withhold from 10 any and all payments to which that school district of the 11 first class may be entitled under the act an amount equal to 12 the funds received from this appropriation. 13 (2) The sum of $56,762,000 is hereby appropriated for 14 payments on account of vocational education as provided for 15 under section 2502.8 of the Public School Code of 1949, 16 provided that any amounts expended by the Department of 17 Education pursuant to the former State appropriation in the 18 amount of $55,378,000 for vocational education under section 19 212 of the act of March 20, 2003 (P.L. , No.1A), known as 20 the General Appropriation Act of 2003, shall be deducted from 21 the sum appropriated in this paragraph. 22 (3) The sum of $896,177,000 is hereby appropriated for 23 payments on account of special education of exceptional 24 children, provided that this amount includes $563,000 for 25 community support services which is not to be included in the 26 base calculations of the special education program 27 components, and provided further that this amount includes 28 $500,000 for payments to Pennsylvania charter schools for the 29 deaf and blind, and provided further that this amount 30 includes $500,000 for special education-approved private 20030H0113B2814 - 34 -
1 schools, and provided further that any amounts expended by 2 the Department of Education pursuant to the former State 3 appropriation in the amount of $874,319,000 for payments on 4 account of special education of exceptional children under 5 section 212 of the General Appropriation Act of 2003 shall be 6 deducted from the sum appropriated in this paragraph. 7 (4) The sum of $4,204,406,906 is hereby appropriated for 8 basic education funding to school districts, provided that 9 the Secretary of Education, with the approval of the 10 Governor, may make payments from this appropriation in 11 advance of the due date prescribed by law to school districts 12 which are financially handicapped whenever the Secretary of 13 Education shall deem it necessary to make such advance 14 payments to enable the school districts to keep their schools 15 open. 16 (5) The sum of $25,380,000 is hereby appropriated for 17 school improvement grants as provided for under section 1709- 18 B of the Public School Code of 1949. 19 (6) The sum of $15,000,000 is hereby appropriated for 20 education support services as provided for under Article XV-C 21 of the Public School Code of 1949. 22 (7) The sum of $73,991,328 is hereby appropriated for 23 services to nonpublic schools as provided under section 24 922.1-A of the Public School Code of 1949, provided that any 25 amounts expended by the Department of Education pursuant to 26 the former State appropriation in the amount of $71,976,000 27 for services to nonpublic schools under section 212 of the 28 General Appropriation Act of 2003, shall be deducted from the 29 sum appropriated in this paragraph. 30 Section 20. The following acts and parts of acts are 20030H0113B2814 - 35 -
1 repealed to the extent specified: 2 Section 2509.8 of the act of March 10, 1949 (P.L.30, No.14), 3 known as the Public School Code of 1949. 4 As much as relates to the State appropriations in the amount 5 of $55,378,000 for vocational education and in the amount of 6 $874,319,000 for payments on account of special education of 7 exceptional children, and in the amount of $71,976,000 for 8 services to nonpublic schools in section 212 of the act of March 9 20, 2003 (P.L. , No.1A), known as the General Appropriation 10 Act of 2003. 11 Section 21. This act shall take effect July 1, 2003, or 12 immediately, whichever is later. 13 SECTION 1. SECTION 102 OF THE ACT OF MARCH 10, 1949 (P.L.30, <-- 14 NO.14), KNOWN AS THE PUBLIC SCHOOL CODE OF 1949, IS AMENDED TO 15 READ: 16 SECTION 102. DEFINITIONS.--WHEN USED IN THIS ACT THE 17 FOLLOWING WORDS AND PHRASES SHALL HAVE THE FOLLOWING MEANINGS: 18 [(1) "BOARD OF SCHOOL DIRECTORS" SHALL INCLUDE THE BOARD OF 19 PUBLIC EDUCATION IN SCHOOL DISTRICTS OF THE FIRST CLASS, EXCEPT 20 WHERE SPECIFICALLY LIMITED TO SCHOOL DISTRICTS OF OTHER CLASSES. 21 (2) "SCHOOL DISTRICT" SHALL INCLUDE SCHOOL DISTRICTS OF ALL 22 CLASSES, EXCEPT WHERE SPECIFICALLY LIMITED TO DISTRICTS OF A 23 PARTICULAR CLASS OR CLASSES. 24 (3) "SCHOOL TERM" SHALL MEAN THE PERIOD OF TIME ELAPSING 25 BETWEEN THE OPENING OF THE PUBLIC SCHOOLS IN THE FALL OF ONE 26 YEAR AND THE CLOSING OF THE PUBLIC SCHOOLS IN THE SPRING OF THE 27 FOLLOWING YEAR. 28 (4) "SCHOOL YEAR" SHALL MEAN THE PERIOD OF TIME ELAPSING IN 29 SCHOOL DISTRICTS OF THE FIRST CLASS BETWEEN THE FIRST DAY OF 30 JANUARY AND THE THIRTY-FIRST DAY OF DECEMBER OF ANY YEAR, AND IN 20030H0113B2814 - 36 -
1 SCHOOL DISTRICTS OF ALL OTHER CLASSES BETWEEN THE FIRST DAY OF 2 JULY OF ONE YEAR AND THE THIRTIETH DAY OF JUNE OF THE FOLLOWING 3 YEAR. EFFECTIVE JULY 1, 1997, FOR THE 1997-1998 SCHOOL YEAR AND 4 EACH SCHOOL YEAR THEREAFTER, SCHOOL DISTRICTS WITH A YEAR-ROUND 5 EDUCATION PROGRAM MAY SUBMIT A REQUEST TO THE SECRETARY OF 6 EDUCATION FOR APPROVAL OR DISAPPROVAL TO EXTEND THE SCHOOL YEAR 7 UNTIL AUGUST 15 FOR THE PURPOSE OF DETERMINING AVERAGE DAILY 8 MEMBERSHIPS FOR STUDENTS WHOSE ONE HUNDRED EIGHTY (180) DAYS OF 9 INSTRUCTION CONTINUE INTO THE SUMMER MONTHS. 10 (5) "OFFICIAL VISITOR" SHALL INCLUDE THE GOVERNOR, 11 LIEUTENANT GOVERNOR, MEMBERS OF THE SENATE AND THE HOUSE OF 12 REPRESENTATIVES, THE SECRETARY OF EDUCATION AND MEMBERS OF THE 13 STATE BOARD OF EDUCATION. ((5) ADDED MAY 11, 1982, P.L.396, 14 NO.115) 15 (6) "PENNSYLVANIA SYSTEM OF SCHOOL ASSESSMENT TEST" OR "PSSA 16 TEST" SHALL MEAN A TEST DEVELOPED AND IMPLEMENTED BY THE 17 DEPARTMENT OF EDUCATION TO DETERMINE ONLY ACADEMIC ACHIEVEMENT 18 RELATING TO OBJECTIVE ACADEMIC STANDARDS IN THE AREAS OF 19 READING, WRITING, MATHEMATICS AND SCIENCE. THE PSSA TEST SHALL 20 BE DEVELOPED AND IMPLEMENTED AS NECESSARY TO COMPLY WITH FEDERAL 21 LAW.] 22 "ACADEMIC PERFORMANCE TARGET." A PERCENTAGE OF STUDENTS IN A 23 SCHOOL OR SCHOOL DISTRICT REQUIRED TO SCORE AT A LEVEL EQUAL TO 24 OR ABOVE PROFICIENT IN THOSE SUBJECT AREAS ASSESSED THROUGH A 25 PSSA TEST AND REQUIRED UNDER THE NO CHILD LEFT BEHIND ACT OF 26 2001 (PUBLIC LAW 107-110, 115 STAT. 1425) IN ORDER TO ACHIEVE 27 ADEQUATE YEARLY PROGRESS PURSUANT TO 22 PA.CODE § 403.3 28 (RELATING TO SINGLE ACCOUNTABILITY SYSTEM). 29 "ADEQUATE YEARLY PROGRESS" OR "AYP." ADEQUATE YEARLY 30 PROGRESS AS DEFINED BY SECTION 1111(B)(2)(C) OF THE NO CHILD 20030H0113B2814 - 37 -
1 LEFT BEHIND ACT OF 2001 (PUBLIC LAW 107-110, 115 STAT. 1425) AND 2 IN 22 PA. CODE §§ 403.2 (RELATING TO DEFINITIONS) AND 403.3 3 (RELATING TO SINGLE ACCOUNTABILITY SYSTEM). 4 "BOARD OF SCHOOL DIRECTORS." INCLUDES THE BOARD OF PUBLIC 5 EDUCATION IN SCHOOL DISTRICTS OF THE FIRST CLASS, EXCEPT WHERE 6 SPECIFICALLY LIMITED TO SCHOOL DISTRICTS OF OTHER CLASSES. 7 "CORRECTIVE ACTION." CLASSIFICATION AS PROVIDED IN 22 PA. 8 CODE § 403.3 (RELATING TO SINGLE ACCOUNTABILITY SYSTEM) 9 INDICATING THAT A SCHOOL OR SCHOOL DISTRICT FAILED TO MEET AYP 10 FOR FOUR OR MORE CONSECUTIVE YEARS AND REQUIRING DEVELOPMENT OF 11 A CORRECTIVE ACTION PLAN. 12 "NO CHILD LEFT BEHIND ACT OF 2001." THE NO CHILD LEFT BEHIND 13 ACT OF 2001 (PUBLIC LAW 107-110, 115 STAT. 1425). 14 "OFFICIAL VISITOR." INCLUDES THE GOVERNOR, LIEUTENANT 15 GOVERNOR, MEMBERS OF THE SENATE AND THE HOUSE OF 16 REPRESENTATIVES, THE SECRETARY OF EDUCATION AND MEMBERS OF THE 17 STATE BOARD OF EDUCATION. 18 "PENNSYLVANIA SYSTEM OF SCHOOL ASSESSMENT TEST" OR "PSSA 19 TEST." A TEST DEVELOPED AND IMPLEMENTED BY THE DEPARTMENT OF 20 EDUCATION TO DETERMINE ONLY ACADEMIC ACHIEVEMENT RELATING TO 21 OBJECTIVE ACADEMIC STANDARDS IN THE AREAS OF READING, WRITING, 22 MATHEMATICS AND SCIENCE. THE PSSA TEST SHALL BE DEVELOPED AND 23 IMPLEMENTED AS NECESSARY TO COMPLY WITH FEDERAL LAW. 24 "PROFICIENT." THE ATTAINMENT OF PERFORMANCE LEVELS IN THOSE 25 SUBJECT AREAS ASSESSED THROUGH THE PSSA TEST AND REQUIRED UNDER 26 THE NO CHILD LEFT BEHIND ACT OF 2001 (PUBLIC LAW 107-110, 115 27 STAT. 1425) THAT HAVE BEEN APPROVED BY THE STATE BOARD OF 28 EDUCATION TO REFLECT SATISFACTORY ACADEMIC PERFORMANCE. 29 "SCHOOL DISTRICT." INCLUDES SCHOOL DISTRICTS OF ALL CLASSES, 30 EXCEPT WHERE SPECIFICALLY LIMITED TO DISTRICTS OF A PARTICULAR 20030H0113B2814 - 38 -
1 CLASS OR CLASSES. 2 "SCHOOL IMPROVEMENT." CLASSIFICATION AS PROVIDED IN 22 PA. 3 CODE § 403.3 (RELATING TO SINGLE ACCOUNTABILITY SYSTEM) 4 INDICATING A SCHOOL OR SCHOOL DISTRICT HAS FAILED TO MAKE AYP 5 FOR TWO CONSECUTIVE YEARS AND NEEDS IMPROVEMENT. 6 "SCHOOL TERM." THE PERIOD OF TIME ELAPSING BETWEEN THE 7 OPENING OF THE PUBLIC SCHOOLS IN THE FALL OF ONE YEAR AND THE 8 CLOSING OF THE PUBLIC SCHOOLS IN THE SPRING OF THE FOLLOWING 9 YEAR. 10 "SCHOOL YEAR." THE PERIOD OF TIME ELAPSING IN SCHOOL 11 DISTRICTS OF THE FIRST CLASS BETWEEN THE FIRST DAY OF JANUARY 12 AND THE 31ST DAY OF DECEMBER OF ANY YEAR, AND IN SCHOOL 13 DISTRICTS OF ALL OTHER CLASSES BETWEEN THE FIRST DAY OF JULY OF 14 ONE YEAR AND THE 30TH DAY OF JUNE OF THE FOLLOWING YEAR. 15 EFFECTIVE JULY 1, 1997, FOR THE 1997-1998 SCHOOL YEAR AND EACH 16 SCHOOL YEAR THEREAFTER, SCHOOL DISTRICTS WITH A YEAR-ROUND 17 EDUCATION PROGRAM MAY SUBMIT A REQUEST TO THE SECRETARY OF 18 EDUCATION FOR APPROVAL OR DISAPPROVAL TO EXTEND THE SCHOOL YEAR 19 UNTIL AUGUST 15 FOR THE PURPOSE OF DETERMINING AVERAGE DAILY 20 MEMBERSHIPS FOR STUDENTS WHOSE 180 DAYS OF INSTRUCTION CONTINUE 21 INTO THE SUMMER MONTHS. 22 "WARNING." CLASSIFICATION AS PROVIDED IN 22 PA. CODE § 403.3 23 (RELATING TO SINGLE ACCOUNTABILITY SYSTEM) INDICATING THAT A 24 GIVEN SCHOOL OR SCHOOL DISTRICT HAS FAILED TO MAKE ITS ACADEMIC 25 PERFORMANCE TARGETS FOR ONE YEAR AND HAS ANOTHER YEAR TO MAKE 26 THEM. 27 SECTION 2. 220(C) OF THE ACT, ADDED DECEMBER 9, 2002 28 (P.L.1317, NO.153), IS AMENDED TO READ: 29 SECTION 220. STATE REPORT CARD.--* * * 30 (C) DEFINITIONS.--AS USED IN THIS SECTION, THE FOLLOWING 20030H0113B2814 - 39 -
1 WORDS AND PHRASES SHALL HAVE THE MEANINGS GIVEN TO THEM IN THIS 2 SUBSECTION: 3 "DEPARTMENT." THE DEPARTMENT OF EDUCATION OF THE 4 COMMONWEALTH. 5 "LOCAL EDUCATION AGENCY." A SCHOOL DISTRICT, CYBER CHARTER 6 SCHOOL, CHARTER SCHOOL, AREA VOCATIONAL-TECHNICAL SCHOOL OR 7 INTERMEDIATE UNIT. 8 ["NO CHILD LEFT BEHIND ACT OF 2001." THE NO CHILD LEFT 9 BEHIND ACT OF 2001 (PUBLIC LAW 107-110, 115 STAT. 1425).] 10 SECTION 3. SECTION 671 OF THE ACT OF MARCH 10, 1949 (P.L.30, 11 NO.14), AMENDED JULY 31, 1963 (P.L.389, NO.206), IS AMENDED TO 12 READ: 13 SECTION 671. FISCAL YEAR.--(A) IN ALL SCHOOL DISTRICTS OF 14 THE SECOND, THIRD, AND FOURTH CLASS, THE FISCAL YEAR SHALL BEGIN 15 ON THE FIRST DAY OF JULY IN EACH YEAR: PROVIDED, THAT THE BOARD 16 OF SCHOOL DIRECTORS OF ANY DISTRICT OF THE SECOND CLASS MAY, BY 17 RESOLUTION ADOPTED BY TWO-THIRDS VOTE OF THE MEMBERS THEREOF AT 18 A MEETING OF THE BOARD AFTER NOT LESS THAN TEN DAYS' NOTICE OF 19 THE FACT THAT SUCH RESOLUTION WOULD BE PRESENTED FOR ACTION AT 20 SUCH MEETING, FIX THE FISCAL YEAR OF SUCH SCHOOL DISTRICT SO AS 21 TO BEGIN ON THE FIRST DAY OF JANUARY IN EACH YEAR INSTEAD OF ON 22 THE FIRST DAY OF JULY AS HEREINABOVE PROVIDED. 23 (B) (1) FOR FISCAL YEARS BEGINNING AFTER JUNE 30, 2004, A 24 SCHOOL DISTRICT OF THE SECOND, THIRD OR FOURTH CLASS MAY DELAY 25 THE ADOPTION OF ITS ANNUAL BUDGET BEYOND THE LAST DAY IN JUNE 26 WHERE LEGISLATION PROVIDING THE APPROPRIATION FOR BASIC 27 EDUCATION FUNDING TO BE PAID AS A REIMBURSEMENT FOR THE 28 PRECEDING SCHOOL YEAR IS NOT ENACTED BY JUNE 15. 29 (2) A SCHOOL DISTRICT THAT DELAYS THE ADOPTION OF ITS ANNUAL 30 BUDGET UNDER PARAGRAPH (1) SHALL ADOPT AN ANNUAL BUDGET NO LATER 20030H0113B2814 - 40 -
1 THAN FIFTEEN DAYS SUBSEQUENT TO THE ENACTMENT OF LEGISLATION 2 PROVIDING THE APPROPRIATION FOR BASIC EDUCATION FUNDING TO BE 3 PAID AS A REIMBURSEMENT FOR THE PRECEDING YEAR. 4 (3) THE PROVISIONS OF SECTION 687 REQUIRING TEN DAYS' PUBLIC 5 NOTICE PRIOR TO FINAL ACTION SHALL APPLY IN CASES WHEN THE 6 ADOPTION OF A SCHOOL DISTRICT'S BUDGET IS DELAYED UNDER THIS 7 SUBSECTION. 8 SECTION 4. SECTION 672(A) OF THE ACT, AMENDED JUNE 16, 1972 9 (P.L.449, NO.138), IS AMENDED TO READ: 10 SECTION 672. TAX LEVY; LIMITATIONS.--(A) IN ALL SCHOOL 11 DISTRICTS OF THE SECOND, THIRD, AND FOURTH CLASS, ALL SCHOOL 12 TAXES SHALL BE LEVIED AND ASSESSED BY THE BOARD OF SCHOOL 13 DIRECTORS THEREIN, DURING THE MONTH OF FEBRUARY OR MARCH OR 14 APRIL OR MAY OR JUNE EACH YEAR, OR NO LATER THAN TWENTY DAYS 15 FOLLOWING THE ENACTMENT OF LEGISLATION PROVIDING THE 16 APPROPRIATION FOR BASIC EDUCATION FUNDING TO BE PAID AS A 17 REIMBURSEMENT FOR THE PRECEDING SCHOOL YEAR, FOR THE ENSUING 18 FISCAL YEAR, EXCEPT IN DISTRICTS OF THE SECOND CLASS WHERE THE 19 FISCAL YEAR BEGINS ON THE FIRST DAY OF JANUARY, IN WHICH THE 20 SCHOOL TAXES SHALL BE LEVIED AND ASSESSED DURING THE MONTH OF 21 OCTOBER OR NOVEMBER OF EACH YEAR. IN SUCH SCHOOL DISTRICTS THE 22 TAX RATE SHALL NOT EXCEED TWENTY-FIVE MILLS ON THE DOLLAR, ON 23 THE TOTAL AMOUNT OF THE ASSESSED VALUATION OF ALL PROPERTY 24 TAXABLE FOR SCHOOL PURPOSES THEREIN. EACH SCHOOL DISTRICT OF THE 25 SECOND, THIRD OR FOURTH CLASS MAY ALSO COLLECT A PER CAPITA TAX 26 ON EACH RESIDENT OR INHABITANT OF SUCH DISTRICT OVER EIGHTEEN 27 YEARS OF AGE, AS HEREIN PROVIDED. 28 * * * 29 SECTION 5. SECTION 679 OF THE ACT, AMENDED NOVEMBER 26, 1982 30 (P.L.760, NO.215), IS AMENDED TO READ: 20030H0113B2814 - 41 -
1 SECTION 679. PER CAPITA TAXES.--EACH RESIDENT OR INHABITANT, 2 OVER EIGHTEEN YEARS OF AGE, IN EVERY SCHOOL DISTRICT OF THE 3 SECOND, THIRD, AND FOURTH CLASS, WHICH SHALL LEVY SUCH TAX, 4 SHALL ANNUALLY PAY, FOR THE USE OF THE SCHOOL DISTRICT IN WHICH 5 HE OR SHE IS A RESIDENT OR INHABITANT, A PER CAPITA TAX OF NOT 6 LESS THAN ONE DOLLAR NOR MORE THAN FIVE DOLLARS, AS MAY BE 7 ASSESSED BY THE LOCAL SCHOOL DISTRICT. THE TAX COLLECTOR SHALL 8 NOT PROCEED AGAINST A SPOUSE OR HIS EMPLOYER UNTIL HE HAS 9 PURSUED REMEDIES AGAINST THE DELINQUENT TAXPAYER AND THE 10 TAXPAYER'S EMPLOYER UNDER THIS SECTION. 11 EACH SCHOOL DISTRICT MAY EXEMPT ANY PERSON WHOSE TOTAL INCOME 12 FROM ALL SOURCES IS LESS THAN [FIVE THOUSAND DOLLARS] TEN 13 THOUSAND DOLLARS PER ANNUM FROM ITS PER CAPITA TAX OR ANY 14 PORTION THEREOF. THE SCHOOL DISTRICT MAY ADOPT AND EMPLOY 15 REGULATIONS FOR THE PROCESSING OF CLAIMS FOR THE EXEMPTION. 16 SECTION 6. SECTION 687 OF THE ACT IS AMENDED BY ADDING A 17 SUBSECTION TO READ: 18 SECTION 687. ANNUAL BUDGET; ADDITIONAL OR INCREASED 19 APPROPRIATIONS; TRANSFER OF FUNDS.--* * * 20 (J) NOTWITHSTANDING ANY OTHER PROVISIONS OF THIS ACT, THE 21 BOARD OF SCHOOL DIRECTORS OF EACH SCHOOL DISTRICT MAY REOPEN ITS 22 2003-2004 BUDGET TO REFLECT ANY STATE ALLOCATIONS UNDER SECTIONS 23 2502.13 AND 2502.41 FOR FISCAL YEAR 2003-2004 PROVIDED BY THE 24 GENERAL ASSEMBLY THROUGH THIS ACT. 25 SECTION 7. SECTION 696(H)(1) OF THE ACT, AMENDED JUNE 29, 26 2002 (P.L.524, NO.88), IS AMENDED TO READ: 27 SECTION 696. DISTRESS IN SCHOOL DISTRICTS OF THE FIRST 28 CLASS.--* * * 29 (H) THE SCHOOL REFORM COMMISSION SHALL BE RESPONSIBLE FOR 30 FINANCIAL MATTERS RELATED TO THE DISTRESSED SCHOOL DISTRICT OF 20030H0113B2814 - 42 -
1 THE FIRST CLASS AND: 2 (1) [ALL] EXCEPT AS PROVIDED IN ARTICLE VI-C, ALL TAXES 3 AUTHORIZED TO BE LEVIED BY A SCHOOL DISTRICT OF THE FIRST CLASS 4 OR FOR A SCHOOL DISTRICT OF THE FIRST CLASS BY A CITY OR COUNTY 5 OF THE FIRST CLASS ON THE DATE OF THE DECLARATION OF DISTRESS 6 SHALL CONTINUE TO BE AUTHORIZED AND LEVIED IN ACCORDANCE WITH 7 THIS ACT AND SHALL BE TRANSMITTED TO THE SCHOOL DISTRICT. FOR 8 THE FIRST FISCAL YEAR OR PART THEREOF AND EVERY FISCAL YEAR 9 THEREAFTER IN WHICH THE SCHOOL DISTRICT IS DECLARED TO BE 10 DISTRESSED, THE AMOUNT APPROPRIATED OR PAID BY THE CITY OR 11 COUNTY TO THE SCHOOL DISTRICT AND THE TAX AUTHORIZED BY THE CITY 12 OR COUNTY TO BE LEVIED FOR THE SCHOOL DISTRICT OR DEDICATED TO 13 THE SCHOOL DISTRICT SHALL BE AN AMOUNT OR TAX NOT LESS THAN THE 14 HIGHEST AMOUNT PAID BY THE CITY OR COUNTY TO THE SCHOOL DISTRICT 15 OR AUTHORIZED BY THE CITY OR COUNTY TO BE LEVIED FOR THE SCHOOL 16 DISTRICT OR DEDICATED TO THE SCHOOL DISTRICT DURING ANY OF THE 17 THREE FULL PRECEDING FISCAL YEARS. IN ADDITION, THE CITY OF THE 18 FIRST CLASS SHALL PROVIDE TO THE SCHOOL DISTRICT OF THE FIRST 19 CLASS ALL OTHER AVAILABLE LOCAL NON-TAX REVENUE, INCLUDING 20 GRANTS, SUBSIDIES OR PAYMENTS MADE DURING THE PRIOR YEAR. 21 * * * 22 SECTION 8. THE ACT IS AMENDED BY ADDING ARTICLES TO READ: 23 ARTICLE VI-A 24 TAXATION BY SCHOOL DISTRICTS 25 (A) GENERAL PROVISIONS 26 SECTION 601-A. SHORT TITLE OF ARTICLE. 27 THIS ARTICLE SHALL BE KNOWN AND MAY BE CITED AS THE TAXPAYER 28 CHOICE ACT. 29 SECTION 602-A. DEFINITIONS. 30 THE FOLLOWING WORDS AND PHRASES WHEN USED IN THIS ARTICLE 20030H0113B2814 - 43 -
1 SHALL HAVE THE MEANINGS GIVEN TO THEM IN THIS SECTION UNLESS THE 2 CONTEXT CLEARLY INDICATES OTHERWISE: 3 "ASSESSOR." AS DEFINED IN 53 PA.C.S. § 8582 (RELATING TO 4 DEFINITIONS). 5 "AVERAGE INDEX" OR "INDEX." THE AVERAGE OF THE PERCENTAGE 6 INCREASE IN THE STATEWIDE AVERAGE WEEKLY WAGE AND THE EMPLOYMENT 7 COST INDEX CALCULATED BY THE DEPARTMENT OF EDUCATION AND 8 PUBLISHED IN THE PENNSYLVANIA BULLETIN UNDER SECTION 614-A(K). 9 "BOARD OF SCHOOL DIRECTORS." A BOARD OF SCHOOL DIRECTORS OF 10 A SCHOOL DISTRICT OF THE FIRST CLASS A, SECOND CLASS, THIRD 11 CLASS OR FOURTH CLASS. 12 "CURRENT YEAR." THE FISCAL YEAR FOR WHICH A TAX IS LEVIED. 13 "DOMICILE." AS DEFINED IN SECTION 13 OF THE ACT OF DECEMBER 14 31, 1965 (P.L.1257, NO.511), KNOWN AS THE LOCAL TAX ENABLING 15 ACT. 16 "EARNED INCOME." AS DEFINED IN SECTION 13 OF THE ACT OF 17 DECEMBER 31, 1965 (P.L.1257, NO.511), KNOWN AS THE LOCAL TAX 18 ENABLING ACT. 19 "ELECTION OFFICIALS." THE COUNTY BOARD OF ELECTIONS OF A 20 COUNTY. 21 "EMPLOYER." AS DEFINED IN SECTION 301 OF THE ACT OF MARCH 4, 22 1971 (P.L.6, NO.2), KNOWN AS THE TAX REFORM CODE OF 1971. 23 "EMPLOYMENT COST INDEX." THE MOST RECENT OFFICIAL FIGURES, 24 FOR THE PREVIOUS 12-MONTH PERIOD FOR THE EMPLOYMENT COST INDEX 25 SERIES FOR ELEMENTARY AND SECONDARY SCHOOLS, REPORTED BY THE 26 BUREAU OF LABOR STATISTICS OF THE DEPARTMENT OF LABOR. 27 "FARMSTEAD." AS DEFINED IN 53 PA.C.S. § 8582 (RELATING TO 28 DEFINITIONS). 29 "FARMSTEAD PROPERTY." AS DEFINED IN 53 PA.C.S. § 8582 30 (RELATING TO DEFINITIONS). 20030H0113B2814 - 44 -
1 "FUND." THE PROPERTY TAX RELIEF FUND ESTABLISHED IN THE 2 STATE TREASURY WHICH INCLUDES REVENUES FROM GAMING AS PROVIDED 3 BY LAW. 4 "HOMESTEAD." AS DEFINED IN 53 PA.C.S. § 8401 (RELATING TO 5 DEFINITIONS). 6 "HOMESTEAD PROPERTY." AS DEFINED IN 53 PA.C.S § 8401 7 (RELATING TO DEFINITIONS). 8 "INCOME TAX." A TAX ON EARNED INCOME AND NET PROFITS OR A 9 TAX ON PERSONAL INCOME IMPOSED PURSUANT TO THIS ARTICLE. 10 "LOCAL TAX ENABLING ACT." THE ACT OF DECEMBER 31, 1965 11 (P.L.1257, NO.511), KNOWN AS THE LOCAL TAX ENABLING ACT. 12 "LOCAL TAX REVENUE." THE REVENUE FROM TAXES ACTUALLY LEVIED 13 AND ASSESSED BY A SCHOOL DISTRICT. THE TERM DOES NOT INCLUDE 14 INTEREST OR DIVIDEND EARNINGS, FEDERAL OR STATE GRANTS, 15 CONTRACTS OR APPROPRIATIONS, INCOME GENERATED FROM OPERATIONS OR 16 ANY OTHER SOURCE THAT IS NOT DERIVED FROM TAXES LEVIED AND 17 ASSESSED BY A SCHOOL DISTRICT. 18 "MUNICIPALITY." AS DEFINED IN 1 PA.C.S. § 1991 (RELATING TO 19 DEFINITIONS). 20 "NET PROFITS." AS DEFINED IN SECTION 13 OF THE ACT OF 21 DECEMBER 31, 1965 (P.L.1257, NO.511), KNOWN AS THE LOCAL TAX 22 ENABLING ACT. 23 "PERSONAL INCOME." INCOME ENUMERATED IN SECTION 303 OF THE 24 ACT OF MARCH 4, 1971 (P.L.6, NO.2), KNOWN AS THE TAX REFORM CODE 25 OF 1971, AS RETURNED TO AND ASCERTAINED BY THE DEPARTMENT OF 26 REVENUE, SUBJECT, HOWEVER, TO ANY CORRECTION THEREOF FOR FRAUD, 27 EVASION OR ERROR AS FINALLY DETERMINED BY THE COMMONWEALTH. 28 "POLITICAL SUBDIVISION." AS DEFINED IN 1 PA.C.S. § 1991 29 (RELATING TO DEFINITIONS). 30 "PRECEDING YEAR." THE FISCAL YEAR BEFORE THE CURRENT YEAR. 20030H0113B2814 - 45 -
1 "RESIDENT INDIVIDUAL." AN INDIVIDUAL WHO IS DOMICILED IN A 2 SCHOOL DISTRICT. 3 "SCHOOL DISTRICT." A SCHOOL DISTRICT OF THE FIRST CLASS A, 4 SECOND CLASS, THIRD CLASS OR FOURTH CLASS. 5 "STATEWIDE AVERAGE WEEKLY WAGE." THAT AMOUNT DETERMINED 6 ANNUALLY FOR EACH CALENDAR YEAR BY THE DEPARTMENT OF LABOR AND 7 INDUSTRY UNDER SECTION 105.1 OF THE ACT OF JUNE 2, 1915 8 (P.L.736, NO.338), KNOWN AS THE WORKERS' COMPENSATION ACT. 9 "SUCCEEDING YEAR." THE FISCAL YEAR FOLLOWING THE CURRENT 10 YEAR. 11 "TAX REFORM CODE." THE ACT OF MARCH 4, 1971 (P.L.6, NO.2), 12 KNOWN AS THE TAX REFORM CODE OF 1971. 13 "TAXPAYER." AN INDIVIDUAL REQUIRED UNDER THIS ARTICLE TO 14 FILE A TAX RETURN OR TO PAY A TAX. 15 SECTION 603-A. INTENT; SCOPE AND LIMITATIONS. 16 (A) INTENT.-- 17 (1) IT IS THE INTENT OF THIS ARTICLE TO ULTIMATELY 18 PROVIDE QUALIFYING SCHOOL DISTRICTS WITH STATE FUNDS WHICH, 19 WHEN SUPPLEMENTED WITH THE MINIMUM LOCAL CONTRIBUTION, ARE 20 SUFFICIENT SO THAT SCHOOL DISTRICTS IN THE AGGREGATE ARE ABLE 21 TO REDUCE PROPERTY TAXES ON HOMESTEAD PROPERTY AND FARMSTEAD 22 PROPERTY BY $5 FOR EVERY DOLLAR OF LOCAL CONTRIBUTION. 23 (2) IT IS THE INTENT OF THIS ARTICLE TO PERMIT SCHOOL 24 DISTRICTS TO SUPPLEMENT THE MINIMUM LOCAL CONTRIBUTION AND 25 THE STATE FUNDS WITH ADDITIONAL LOCAL FUNDS TO PERMIT FURTHER 26 REDUCTIONS IN PROPERTY TAXES ON HOMESTEAD PROPERTY AND 27 FARMSTEAD PROPERTY. 28 (B) GENERAL RULE.-- 29 (1) EACH SCHOOL DISTRICT IN WHICH THE GOVERNING BODY HAS 30 ADOPTED A RESOLUTION UNDER SECTION 611-A(A)(1) AND EACH 20030H0113B2814 - 46 -
1 SCHOOL DISTRICT IN WHICH THE ELECTORS HAVE APPROVED A 2 REFERENDUM UNDER SECTION 613-A(B)(2)(I) SHALL BE QUALIFIED 3 FOR A DISTRIBUTION OF FUNDS FROM THE FUND PURSUANT TO ARTICLE 4 VI-B FOR THE PURPOSE OF PROVIDING EXCLUSIONS FOR HOMESTEAD 5 PROPERTY AND FARMSTEAD PROPERTY. 6 (2) IF A SCHOOL DISTRICT CHOOSES TO IMPOSE THE TAX 7 AUTHORIZED BY SECTION 611-A(A)(1) OR IF THE ELECTORS HAVE 8 APPROVED A REFERENDUM UNDER SECTION 613-A(B)(2)(I), IT SHALL 9 HAVE THE POWER TO IMPOSE, SUBJECT TO SECTION 613-A, 10 ADDITIONAL EARNED INCOME AND NET PROFITS TAX OR PERSONAL 11 INCOME TAX FOR THE PURPOSE OF HOMESTEAD AND FARMSTEAD 12 EXCLUSIONS. 13 (3) THIS ARTICLE SHALL NOT BE CONSTRUED TO AFFECT THE 14 POWER OF A SCHOOL DISTRICT TO DO ANY OF THE FOLLOWING: 15 (I) TO ELECT TO PLACE A REFERENDUM QUESTION ON THE 16 BALLOT PURSUANT TO THE ACT OF JUNE 22, 2001 (P.L.374, 17 NO.24), KNOWN AS THE OPTIONAL OCCUPATION TAX ELIMINATION 18 ACT. A SCHOOL DISTRICT MAY PLACE SUCH REFERENDUM QUESTION 19 ON THE BALLOT AT THE SAME MUNICIPAL ELECTION AS A 20 REFERENDUM QUESTION PLACED ON THE BALLOT PURSUANT TO 21 SUBDIVISION (B). 22 (II) TO ELIMINATE ITS OCCUPATION TAX PURSUANT TO THE 23 OPTIONAL OCCUPATION TAX ELIMINATION ACT. 24 (III) EXCEPT AS PROVIDED IN SECTIONS 614-A(B)(2) AND 25 621-A(C)(3), TO LEVY, ASSESS OR COLLECT A TAX ON EARNED 26 INCOME AND NET PROFITS UNDER SECTION 13 OF THE LOCAL TAX 27 ENABLING ACT. 28 SECTION 604-A. (RESERVED). 29 SECTION 605-A. CERTAIN RATES OF TAXATION LIMITED. 30 IF A MUNICIPALITY AND SCHOOL DISTRICT BOTH IMPOSE AN EARNED 20030H0113B2814 - 47 -
1 INCOME AND NET PROFITS TAX ON THE SAME INDIVIDUAL UNDER THE 2 LOCAL TAX ENABLING ACT AND THE MUNICIPALITY AND SCHOOL DISTRICT 3 ARE LIMITED TO OR HAVE AGREED UPON A DIVISION OF THE TAX RATE IN 4 ACCORDANCE WITH SECTION 8 OF THE LOCAL TAX ENABLING ACT, THEN 5 THE MUNICIPALITY THAT CONTINUES TO LEVY THE EARNED INCOME AND 6 NET PROFITS TAX UNDER THE LOCAL TAX ENABLING ACT SHALL REMAIN 7 SUBJECT TO THAT LIMITATION OR AGREEMENT IN THE EVENT THAT THE 8 SCHOOL DISTRICT OPTS TO IMPOSE AN INCOME TAX UNDER SECTION 621- 9 A. 10 (B) TAX AUTHORIZATION 11 SECTION 611-A. GENERAL TAX AUTHORIZATION. 12 (A) MINIMUM LOCAL CONTRIBUTION.-- 13 (1) NOTWITHSTANDING THE PROVISIONS OF SECTION 613-A, 14 EACH SCHOOL DISTRICT MAY, BY RESOLUTION, LEVY, ASSESS AND 15 COLLECT AN EARNED INCOME AND NET PROFITS TAX IN THE AMOUNT OF 16 ONE TENTH OF ONE PERCENT (.1%) UNDER SUBDIVISION (C) IN ORDER 17 TO QUALIFY FOR DISTRIBUTION OF MONEY FROM THE FUND UNDER 18 ARTICLE VI-B. 19 (2) NO LATER THAN 30 DAYS AFTER THE EFFECTIVE DATE OF 20 THIS ARTICLE, THE BOARD OF SCHOOL DIRECTORS SHALL ADOPT A 21 RESOLUTION IMPOSING THE TAX AUTHORIZED BY PARAGRAPH (1) AND 22 SHALL IMMEDIATELY NOTIFY THE DEPARTMENT OF EDUCATION IN ORDER 23 TO ESTABLISH THE SCHOOL DISTRICT'S ELIGIBILITY TO RECEIVE A 24 PROPERTY TAX REDUCTION ALLOCATION PURSUANT TO ARTICLE VI-B. 25 THE TAX IMPOSED UNDER THE AUTHORITY OF THIS SUBSECTION SHALL 26 BE EFFECTIVE BEGINNING ON THE FIRST DAY OF JULY AFTER THE 27 CERTIFICATION UNDER SECTION 603-B IS MADE IN AN AMOUNT 28 GREATER THAN ZERO. 29 (I) SIXTY DAYS AFTER THE EFFECTIVE DATE OF THIS 30 ARTICLE, THE DEPARTMENT OF EDUCATION SHALL NOTIFY THE 20030H0113B2814 - 48 -
1 COUNTY BOARD OF ELECTIONS OF EACH COUNTY OF THE SCHOOL 2 DISTRICTS IN THAT COUNTY WHICH HAVE FAILED TO TAKE THE 3 ACTION REQUIRED UNDER THIS PARAGRAPH. 4 (II) THE COUNTY BOARD OF ELECTIONS SHALL PROCEED TO 5 HAVE THE REFERENDUM QUESTION SET FORTH IN SECTION 613- 6 A(B)(2)(I) PLACED ON THE BALLOT AT THE PRIMARY ELECTION 7 OF 2004. 8 (III) THE COUNTY BOARD OF ELECTIONS SHALL CERTIFY TO 9 THE DEPARTMENT OF EDUCATION THE RESULTS OF THE REFERENDUM 10 REFERRED TO IN SUBPARAGRAPH (II) AS SOON AS PRACTICABLE. 11 (IV) IF, SUBSEQUENT TO INITIAL NOTIFICATION THAT A 12 SCHOOL DISTRICT HAD NOT COMPLIED WITH THE REQUIREMENTS OF 13 THIS PARAGRAPH, THE DEPARTMENT OF EDUCATION NOTIFIES THE 14 BOARD THAT THE SCHOOL DISTRICT HAS SUBSEQUENTLY COMPLIED, 15 THE COUNTY BOARD OF ELECTIONS MAY TAKE WHATEVER ACTION IT 16 DEEMS APPROPRIATE TO EITHER REMOVE THE QUESTION FROM THE 17 BALLOT IN THAT SCHOOL DISTRICT OR DECLARE THE VOTE OR 18 POTENTIAL VOTE NULL AND VOID. 19 (B) SUPPLEMENTAL TAX RELIEF.-- 20 (1) SUBJECT TO SECTION 613-A, EACH SCHOOL DISTRICT MAY 21 UNDER SUBDIVISION (C), BY RESOLUTION, LEVY, ASSESS AND 22 COLLECT: 23 (I) AN ADDITIONAL TAX ON EARNED INCOME AND NET 24 PROFITS UP TO THE MAXIMUM RATE AUTHORIZED UNDER SECTION 25 621-A(B); OR 26 (II) A TAX ON PERSONAL INCOME UP TO THE MAXIMUM RATE 27 AUTHORIZED UNDER SECTION 621-A(C). IF A SCHOOL DISTRICT 28 IMPOSES A PERSONAL INCOME TAX, IT SHALL RELINQUISH THE 29 RIGHT TO IMPOSE AN EARNED INCOME AND NET PROFITS TAX 30 UNDER THIS ARTICLE OR ANY OTHER ACT AND SHALL CONVERT ANY 20030H0113B2814 - 49 -
1 EXISTING INCOME TAX TO A PERSONAL INCOME TAX PURSUANT TO 2 THE REQUIREMENTS OF SECTION 621-A(C)(2). 3 (2) IMPOSITION OF THE TAX AUTHORIZED BY 611-A(A)(1) OR 4 APPROVED BY THE ELECTORS UNDER SECTION 613-A(B)(2)(I) SHALL 5 AUTHORIZE THE SCHOOL DISTRICT TO SUBMIT A REFERENDUM QUESTION 6 TO THE VOTERS REQUESTING THEIR APPROVAL FOR EITHER THE 7 IMPOSITION OF AN ADDITIONAL RATE OF EARNED INCOME AND NET 8 PROFITS TAX OR A NEWLY IMPOSED PERSONAL INCOME TAX TO BE USED 9 FOR AN ADDITIONAL DEGREE OF HOMESTEAD EXCLUSIONS, CONSISTENT 10 WITH THE REQUIREMENTS OF SECTION 613-A. 11 SECTION 612-A. CONTINUITY OF TAX. 12 AN EARNED INCOME AND NET PROFITS TAX OR PERSONAL INCOME TAX 13 LEVIED UNDER THE PROVISIONS OF SUBDIVISION (C) SHALL CONTINUE IN 14 FORCE ON A FISCAL YEAR BASIS WITHOUT ANNUAL REENACTMENT EXCEPT 15 IN A YEAR IN WHICH THE RATE OF TAX IS INCREASED OR THE TAX IS 16 SUBSEQUENTLY REPEALED. 17 SECTION 613-A. ADOPTION OF REFERENDUM. 18 (A) GENERAL RULE.-- 19 (1) THE FOLLOWING APPLY: 20 (I) ALL SCHOOL DISTRICTS ARE AUTHORIZED TO IMPOSE A 21 ONE TENTH OF ONE PERCENT (.1%) EARNED INCOME AND NET 22 PROFITS TAX PURSUANT TO SECTION 611-A(A)(1) WITHOUT 23 SUBMITTING THE ISSUE TO THE ELECTORS OF THE SCHOOL 24 DISTRICT IN A REFERENDUM. ACTION UNDER THIS PARAGRAPH 25 WILL TRIGGER THE SCHOOL DISTRICT'S ELIGIBILITY TO OBTAIN 26 A STATE MATCH FROM THE FUND FOR THE SOLE PURPOSE OF 27 PROVIDING FOR HOMESTEAD OR FARMSTEAD PROPERTY TAX 28 EXCLUSIONS. THE BOARD OF SCHOOL DIRECTORS MAY CHOOSE TO 29 REQUEST THE APPROVAL OF THE VOTERS TO INCREASE INCOME 30 TAXES TO BE ABLE TO PROVIDE UP TO THE FULL HOMESTEAD 20030H0113B2814 - 50 -
1 EXCLUSION PERMITTED BY THE CONSTITUTION OF PENNSYLVANIA. 2 IF THE BOARD CHOOSES TO REQUEST THE APPROVAL OF THE 3 VOTERS TO ENACT A PERSONAL INCOME TAX AND THE VOTERS 4 APPROVE THE REFERENDUM, THEN ANY EARNED INCOME AND NET 5 PROFITS TAX IMPOSED BY THE SCHOOL DISTRICT WHICH WAS IN 6 EXISTENCE PRIOR TO THE EFFECTIVE DATE OF THIS ARTICLE AND 7 THE EARNED INCOME AND NET PROFITS TAX NEWLY IMPOSED 8 PURSUANT TO SECTION 611-A(A)(1) WILL BE CONVERTED INTO A 9 PERSONAL INCOME TAX AT THE RATE DETERMINED UNDER SECTION 10 621-A(C)(2). 11 (II) IF A SCHOOL DISTRICT FAILS TO IMPOSE THE TAX 12 AUTHORIZED PURSUANT TO SECTION 611-A(A)(1), THE COUNTY 13 BOARD OF ELECTIONS SHALL PLACE A QUESTION ON THE BALLOT 14 IN THE SCHOOL DISTRICT. THE QUESTION SHALL SEEK APPROVAL 15 OF THE ELECTORS FOR A ONE TENTH OF ONE PERCENT (.1%) 16 INCREASE IN THE EARNED INCOME TAX IN ORDER TO OBTAIN THE 17 STATE MATCHING FUNDS FOR HOMESTEAD AND FARMSTEAD PROPERTY 18 TAX EXCLUSIONS. 19 (2) IN ORDER TO LEVY, IN ADDITION TO THE TAX AUTHORIZED 20 UNDER SECTION 611-A(A)(1), AN EARNED INCOME AND NET PROFITS 21 TAX OR PERSONAL INCOME TAX UNDER SUBDIVISION (C), A BOARD OF 22 SCHOOL DIRECTORS SHALL USE THE PROCEDURES SET FORTH IN 23 SUBSECTION (B). 24 (3) IF A SCHOOL DISTRICT DOES NOT TAKE ACTION TO IMPOSE 25 THE TAX AUTHORIZED UNDER SECTION 611-A(A)(1), THE PROCEDURE 26 SET FORTH IN SUBSECTION (B)(2)(I) SHALL APPLY. 27 (B) PUBLIC REFERENDUM REQUIREMENTS.--EXCEPT AS SET FORTH IN 28 SUBSECTION (C) THE FOLLOWING APPLY: 29 (1) A BOARD OF SCHOOL DIRECTORS MAY, IN ADDITION TO THE 30 TAX IMPOSED UNDER SECTION 611-A(A)(1), LEVY THE EARNED INCOME 20030H0113B2814 - 51 -
1 AND NET PROFITS TAX OR PERSONAL INCOME TAX UNDER SUBDIVISION 2 (C) ONLY BY OBTAINING THE APPROVAL OF THE ELECTORATE OF THE 3 AFFECTED SCHOOL DISTRICT IN A PUBLIC REFERENDUM AT ONLY THE 4 MUNICIPAL ELECTION PRECEDING THE FISCAL YEAR WHEN THE EARNED 5 INCOME AND NET PROFITS TAX OR PERSONAL INCOME TAX WILL BE 6 INITIALLY IMPOSED. THE COUNTY BOARD OF ELECTIONS SHALL CAUSE 7 THE REFERENDUM QUESTION REQUIRED BY THIS SECTION TO BE 8 SUBMITTED TO THE ELECTORS OF THE SCHOOL DISTRICT. 9 (2) EXCEPT IN THE CASE OF A REFERENDUM REQUIRED IF A 10 SCHOOL DISTRICT FAILS TO ADOPT THE TAX AUTHORIZED BY SECTION 11 611-A(A)(1), THE REFERENDUM QUESTION SHALL STATE THE INITIAL 12 RATE OF THE PROPOSED EARNED INCOME AND NET PROFITS TAX OR 13 PERSONAL INCOME TAX TO BE LEVIED UNDER SUBDIVISION (C) AND 14 THE REASON FOR THE TAX. THE REFERENDUM QUESTION SHALL BE 15 FRAMED IN ONE OF THE FOLLOWING FORMS WITH THE SCHOOL DISTRICT 16 RESOLUTION DETERMINING THE VARIABLE PERCENTAGES REPRESENTED 17 BY THE TERMS "X" AND "Y" IN THE FORM OF THE QUESTION CHOSEN 18 BY THE SCHOOL DISTRICT: 19 (I) IF A SCHOOL DISTRICT FAILS TO TAKE ANY ACTION 20 UNDER SECTION 611-A(A), THE REFERENDUM QUESTION SUBMITTED 21 TO THE VOTERS SHALL BE IN ONE OF THE FOLLOWING FORMS: 22 (A) DO YOU FAVOR IMPOSITION AND COLLECTION OF AN 23 INCREASE IN THE EARNED INCOME AND NET PROFITS TAX OF 24 ONE TENTH OF ONE PERCENT (.1%) IN ORDER TO OBTAIN 25 STATE MATCHING FUNDS IN A MULTIPLE DETERMINED BY THE 26 LEVEL OF PROCEEDS IN THE PROPERTY TAX RELIEF FUND TO 27 PROVIDE FOR RESIDENTIAL PROPERTY TAX RELIEF? 28 (B) DO YOU FAVOR IMPOSITION AND COLLECTION OF AN 29 EARNED INCOME AND NET PROFITS TAX OF ONE TENTH OF ONE 30 PERCENT (.1%) IN ORDER TO OBTAIN STATE MATCHING FUNDS 20030H0113B2814 - 52 -
1 IN A MULTIPLE DETERMINED BY THE LEVEL OF PROCEEDS IN 2 THE PROPERTY TAX RELIEF FUND TO PROVIDE FOR 3 RESIDENTIAL PROPERTY TAX RELIEF? 4 (II) IF A SCHOOL DISTRICT HAS IMPOSED THE TAX 5 AUTHORIZED UNDER SECTION 611-A(A)(1) OR IF THE ELECTORS 6 HAVE APPROVED THE IMPOSITION OF THE TAX UNDER SUBSECTION 7 (B)(2)(I), A REFERENDUM QUESTION MAY BE SUBMITTED TO THE 8 VOTERS IN ONE OF THE FOLLOWING FORMS: 9 (A) DO YOU FAVOR THE IMPOSITION OF AN X% EARNED 10 INCOME AND NET PROFITS TAXES IN ORDER TO PROVIDE 11 FURTHER RESIDENTIAL PROPERTY TAX REDUCTIONS OF UP TO 12 Y%? 13 (B) DO YOU FAVOR CONVERTING THE SCHOOL 14 DISTRICT'S CURRENT EARNED INCOME AND NET PROFITS TAX 15 INTO A PERSONAL INCOME TAX AT X% IN ORDER TO GENERATE 16 FUNDS TO PROVIDE FOR RESIDENTIAL PROPERTY TAX 17 REDUCTIONS OF Y% IN ADDITION TO REPLACING THE REVENUE 18 FROM THE CURRENT EARNED INCOME AND NET PROFITS TAX? 19 (3) A NONLEGAL INTERPRETATIVE STATEMENT SHALL ACCOMPANY 20 THE REFERENDUM QUESTION IN ACCORDANCE WITH SECTION 201.1 OF 21 THE ACT OF JUNE 3, 1937 (P.L.1333, NO.320), KNOWN AS THE 22 PENNSYLVANIA ELECTION CODE. 23 (C) SEGREGATED AMOUNTS.--WHEN THE REFERENDUM UNDER 24 SUBSECTION (B)(2)(I) HAS BEEN APPROVED, THE NEW TAX RATE SHALL 25 BE SELF-EXECUTING AND SHALL BE EFFECTIVE THE FIRST DAY OF JULY 26 AFTER THE CERTIFICATION UNDER SECTION 603-B IS MADE IN AN AMOUNT 27 GREATER THAN ZERO, AND EACH SCHOOL YEAR THEREAFTER. COLLECTIONS 28 OF THE NEW TAX SHALL BE HELD IN A SEGREGATED ACCOUNT OF THE 29 SCHOOL DISTRICT AND USED IN CONJUNCTION WITH ITS PROPERTY TAX 30 REDUCTION ALLOCATION FROM THE COMMONWEALTH ONLY FOR HOMESTEAD 20030H0113B2814 - 53 -
1 AND FARMSTEAD PROPERTY TAX RELIEF. NO PROPERTY TAX REDUCTION 2 ALLOCATION SHALL BE PAID TO THE SCHOOL DISTRICT UNTIL IT 3 RATIFIES THE REFERENDUM BY RESOLUTION AND PASSES THE RESOLUTION 4 REQUIRED UNDER SUBSECTION (D). 5 (D) RESOLUTION IMPLEMENTING TAX PROVISIONS REQUIRED.--THE 6 BOARD OF SCHOOL DIRECTORS SHALL, WITHIN 30 DAYS OF THE 7 CERTIFICATION OF THE PASSAGE OF THE REFERENDUM REQUIRED BY 8 SUBSECTION (B)(2), ADOPT A RESOLUTION IMPLEMENTING THE TAX. 9 FAILURE TO ADOPT A RESOLUTION SHALL SUSPEND THE SCHOOL 10 DISTRICT'S RIGHT TO RECEIVE THE DISTRIBUTION OF ITS PROPERTY TAX 11 REDUCTION ALLOCATION UNDER ARTICLE VI-B UNTIL A RESOLUTION IS 12 ADOPTED. THE SCHOOL DISTRICT'S ALLOCATION SHALL BE RESERVED BY 13 THE DEPARTMENT OF EDUCATION IN A SEPARATE ACCOUNT FOR PAYMENT 14 WHEN THE SCHOOL DISTRICT SATISFIES THE REQUIREMENTS OF THIS 15 SUBSECTION. 16 (E) PUBLIC REFERENDUM REQUIREMENTS TO END PARTICIPATION 17 UNDER THIS SUBDIVISION.--AFTER A PERIOD OF AT LEAST FOUR FULL 18 FISCAL YEARS OF THE TAX BEING LEVIED AND SUBJECT TO THE NOTICE 19 AND PUBLIC HEARING REQUIREMENTS IN SECTION 4 OF THE LOCAL TAX 20 ENABLING ACT, A BOARD OF SCHOOL DIRECTORS MAY ELECT TO END 21 PARTICIPATION UNDER THIS SUBDIVISION BY OBTAINING THE APPROVAL 22 OF THE ELECTORATE OF THE AFFECTED SCHOOL DISTRICT IN A PUBLIC 23 REFERENDUM AT A MUNICIPAL ELECTION. 24 (F) EFFECT ON CERTAIN SCHOOL DISTRICTS.-- 25 (1) THIS SECTION SHALL NOT APPLY TO A SCHOOL DISTRICT OF 26 THE FIRST CLASS. 27 (2) EXCEPT FOR SUBSECTIONS (B)(2)(I), (G) AND (H), THIS 28 SECTION SHALL NOT APPLY TO A SCHOOL DISTRICT IN WHICH A 29 REFERENDUM QUESTION UNDER 53 PA.C.S. § 8703 (RELATING TO 30 ADOPTION OF REFERENDUM) HAS BEEN APPROVED AND IMPLEMENTED. 20030H0113B2814 - 54 -
1 (G) ELECTION.--A SCHOOL DISTRICT IN WHICH A REFERENDUM 2 QUESTION UNDER 53 PA.C.S. § 8703 HAS BEEN APPROVED AND 3 IMPLEMENTED MAY, BY RESOLUTION, MAKE AN ELECTION TO ADOPT THE 4 PROVISIONS OF SECTION 611-A. THE ADOPTION OF A RESOLUTION 5 AUTHORIZING ELECTION UNDER THIS ARTICLE SHALL HAVE THE SAME 6 EFFECT AS A PUBLIC REFERENDUM QUESTION UNDER THIS SECTION 7 RECEIVING A MAJORITY VOTE, AND THE PROVISIONS OF THIS ARTICLE 8 SHALL APPLY IN A MANNER DESIGNED TO ATTAIN THAT OUTCOME. IF A 9 SCHOOL BOARD OF DIRECTORS MAKES AN ELECTION UNDER THIS 10 SUBSECTION, THE SCHOOL DISTRICT SHALL NO LONGER BE REQUIRED TO 11 IMPLEMENT THE PROVISIONS OF 53 PA.C.S. CH. 87. 12 (H) EFFECT OF ELECTION ON EXISTING TAX RATES AND 13 EXCLUSIONS.--EXCEPT AS AUTHORIZED UNDER THIS ARTICLE, AN 14 ELECTION UNDER SUBSECTION (G) SHALL AFFECT NEITHER THE RATE OF 15 THE EARNED INCOME AND NET PROFITS TAX IMPOSED PRIOR TO SUCH 16 ELECTION NOR SHALL IT AFFECT THE AMOUNT OF THE HOMESTEAD 17 EXCLUSION OR FARMSTEAD EXCLUSION ENACTED PRIOR TO SUCH ELECTION. 18 (I) ELECTION CODE PROVISIONS.--PROCEEDINGS UNDER THIS 19 SECTION SHALL BE IN ACCORDANCE WITH THE PROVISIONS OF THE ACT OF 20 JUNE 3, 1937 (P.L.1333, NO.320), KNOWN AS THE PENNSYLVANIA 21 ELECTION CODE. 22 SECTION 614-A. PUBLIC REFERENDUM REQUIREMENTS FOR INCREASING 23 CERTAIN TAXES. 24 (A) APPLICABILITY.--THIS SECTION SHALL APPLY TO THE BOARD OF 25 SCHOOL DIRECTORS OF A SCHOOL DISTRICT THAT HAS BEEN NOTIFIED BY 26 THE DEPARTMENT THAT IT WILL RECEIVE A PROPERTY TAX REDUCTION 27 ALLOCATION UNDER SECTION 604-B(B) AND: 28 (1) THE TAX UNDER SECTION 611-A(A)(1) IS ENACTED; OR 29 (2) A REFERENDUM UNDER SECTION 613-A IS APPROVED. 30 (B) PROHIBITIONS.--EXCEPT AS SET FORTH IN SUBSECTION (E) OR 20030H0113B2814 - 55 -
1 (F), UNLESS THERE IS COMPLIANCE WITH SUBSECTION (C), A BOARD OF 2 SCHOOL DIRECTORS MAY NOT DO ANY OF THE FOLLOWING: 3 (1) INCREASE THE RATE OF A TAX LEVIED FOR THE SUPPORT OF 4 THE PUBLIC SCHOOLS BY MORE THAN THE PERCENTAGE INCREASE IN 5 THE INDEX IN THE PRECEDING YEAR. 6 (2) LEVY A TAX FOR THE SUPPORT OF THE PUBLIC SCHOOLS 7 WHICH WAS NOT LEVIED IN THE FISCAL YEAR IN WHICH A REFERENDUM 8 UNDER SECTION 613-A WAS APPROVED OR A TAX UNDER SECTION 611- 9 A(A)(1) WAS IMPOSED. 10 (3) RAISE THE RATE OF THE EARNED INCOME AND NET PROFITS 11 TAX, IF ALREADY IMPOSED UNDER THE AUTHORITY OF SECTION 13 OF 12 THE LOCAL TAX ENABLING ACT, EXCEPT AS OTHERWISE PROVIDED FOR 13 UNDER SECTION 621-A. 14 (4) NOTWITHSTANDING ANY OTHER PROVISION OF THIS ARTICLE 15 TO THE CONTRARY, THE ADOPTION OF A REFERENDUM UNDER SECTION 16 613-A CONFERS ON THE BOARD OF SCHOOL DIRECTORS THE AUTHORITY 17 TO RAISE INCOME TAXES ONLY TO THE EXTENT CONTAINED IN THE 18 LANGUAGE OF THE REFERENDUM AND ANY FUTURE, ADDITIONAL 19 INCREASE OF THE INCOME TAX TO BE USED FOR THE SOLE PURPOSE OF 20 PROPERTY TAX REDUCTION SHALL BE REQUIRED TO BE SUBMITTED TO 21 THE VOTERS AT A SUBSEQUENT REFERENDUM PURSUANT TO THE 22 PROVISIONS OF SECTION 613-A. 23 (C) REFERENDUM.-- 24 (1) IN ORDER TO TAKE AN ACTION UNDER SUBSECTION (B)(1), 25 AT THE ELECTION IMMEDIATELY PRECEDING THE START OF THE SCHOOL 26 DISTRICT FISCAL YEAR IN WHICH THE PROPOSED TAX INCREASE WOULD 27 TAKE EFFECT, A REFERENDUM STATING THE SPECIFIC RATE OR RATES 28 OF THE TAX INCREASE MUST BE SUBMITTED TO THE ELECTORS 29 RESIDING IN THE SCHOOL DISTRICT. 30 (2) IN ORDER TO TAKE AN ACTION UNDER SUBSECTION (B)(2), 20030H0113B2814 - 56 -
1 AT THE ELECTION IMMEDIATELY PRECEDING THE START OF THE SCHOOL 2 DISTRICT FISCAL YEAR IN WHICH THE PROPOSED TAX WOULD TAKE 3 EFFECT, A REFERENDUM STATING THE SPECIFIC TAX AND RATE TO BE 4 LEVIED MUST BE SUBMITTED TO THE ELECTORS RESIDING IN THE 5 SCHOOL DISTRICT. 6 (3) PROCEEDINGS UNDER THIS SECTION SHALL BE IN 7 ACCORDANCE WITH THE PROVISIONS OF THE ACT OF JUNE 3, 1937 8 (P.L.1333, NO.320), KNOWN AS THE PENNSYLVANIA ELECTION CODE. 9 (D) FAILURE TO APPROVE REFERENDUM.-- 10 (1) IF THERE IS NO APPROVAL UNDER SUBSECTION (C)(1), THE 11 BOARD OF SCHOOL DIRECTORS MAY APPROVE AN INCREASE IN THE TAX 12 RATE OF NOT MORE THAN THE PERCENTAGE INCREASE IN THE INDEX IN 13 THE PRECEDING YEAR. 14 (2) IF THERE IS NO APPROVAL UNDER SUBSECTION (C)(2), THE 15 BOARD OF SCHOOL DIRECTORS MAY NOT LEVY THE TAX. 16 (E) EXCEPTION TO GENERAL RULE.--THE PROVISIONS OF SUBSECTION 17 (B)(1) SHALL NOT APPLY TO AN INCREASE IN THE RATE OF ANY TAX 18 LEVIED FOR THE SUPPORT OF THE PUBLIC SCHOOLS WHICH IS LESS THAN 19 OR EQUAL TO THE PERCENTAGE INCREASE IN THE INDEX IN THE 20 PRECEDING YEAR. PRIOR TO ANY INCREASE UNDER THIS SUBSECTION, THE 21 BOARD OF SCHOOL DIRECTORS SHALL CERTIFY TO THE DEPARTMENT OF 22 EDUCATION THE ESTIMATES OF LOCAL TAX RATES UNDER THIS 23 SUBSECTION. THE DEPARTMENT OF EDUCATION MAY, ON ITS OWN MOTION 24 OR ON PETITION OF A PERSON HAVING STANDING UNDER SUBSECTION (J), 25 REVISE THE ESTIMATES CERTIFIED BY THE BOARD OF SCHOOL DIRECTORS 26 AND REDUCE THE ALLOWABLE INCREASE IN THE RATE OF ANY TAX UNDER 27 THIS SUBSECTION. 28 (F) REFERENDUM EXCEPTIONS.--THE PROVISIONS OF SUBSECTION 29 (B)(1) SHALL NOT APPLY TO AN INCREASE IN THE RATE OF ANY TAX 30 LEVIED FOR THE SUPPORT OF THE PUBLIC SCHOOLS WHERE THE INCREASE 20030H0113B2814 - 57 -
1 AUTHORIZED UNDER SUBSECTION (E) IS INSUFFICIENT TO RESPOND TO 2 ONE OR MORE OF THE FOLLOWING CONDITIONS: 3 (1) TO RESPOND TO OR RECOVER FROM AN EMERGENCY OR 4 DISASTER DECLARED PURSUANT TO 35 PA.C.S. § 7301 (RELATING TO 5 GENERAL AUTHORITY OF GOVERNOR) OR 75 PA.C.S. § 6108 (RELATING 6 TO POWER OF GOVERNOR DURING EMERGENCY), ONLY FOR THE DURATION 7 OF THE EMERGENCY OR DISASTER. 8 (2) TO IMPLEMENT A COURT ORDER OR AN ADMINISTRATIVE 9 ORDER FROM A FEDERAL OR STATE AGENCY THAT REQUIRES THE 10 EXPENDITURE OF FUNDS THAT EXCEED CURRENT AVAILABLE REVENUES, 11 PROVIDED THAT THE RATE INCREASE IS RESCINDED FOLLOWING 12 FULFILLMENT OF THE COURT ORDER OR ADMINISTRATIVE ORDER. 13 (3) AS FOLLOWS: 14 (I) TO PAY INTEREST AND PRINCIPAL ON ANY 15 INDEBTEDNESS INCURRED UNDER 53 PA.C.S. PT. VII SUBPT. B 16 (RELATING TO INDEBTEDNESS AND BORROWING) PRIOR TO THE 17 EFFECTIVE DATE OF THIS SECTION, PROVIDED THAT IN NO CASE 18 MAY THE SCHOOL DISTRICT INCUR ADDITIONAL DEBT UNDER THIS 19 PARAGRAPH, EXCEPT FOR THE REFINANCING OF EXISTING DEBT, 20 INCLUDING THE PAYMENT OF COSTS AND EXPENSES RELATED TO 21 SUCH REFINANCING AND THE ESTABLISHMENT OR FUNDING OF 22 APPROPRIATE DEBT SERVICE RESERVES AND PROVIDED FURTHER 23 THAT THE INCREASE IS RESCINDED FOLLOWING THE FINAL 24 PAYMENT OF INTEREST AND PRINCIPAL. 25 (II) TO PAY INTEREST AND PRINCIPAL ON ANY ELECTORAL 26 DEBT INCURRED UNDER 53 PA.C.S. PT VII SUBPT. B. 27 (III) TO PAY INTEREST AND PRINCIPAL ON ANY 28 INDEBTEDNESS INCURRED FOR SCHOOL CONSTRUCTION PROJECTS 29 UNDER 22 PA. CODE CH. 21 (RELATING TO SCHOOL BUILDINGS), 30 WHETHER SUCH INDEBTEDNESS IS INCURRED BEFORE OR AFTER THE 20030H0113B2814 - 58 -
1 ENACTMENT OF THIS ARTICLE, WHEN THE PROJECT HAS RECEIVED 2 PLAN CON A APPROVAL BY THE DEPARTMENT OF EDUCATION PRIOR 3 TO THE EFFECTIVE DATE OF THIS SECTION AND TO ESTABLISH 4 AND FUND APPROPRIATE DEBT SERVICE RESERVED, PROVIDED THAT 5 THE INCREASE IS RESCINDED FOLLOWING FINAL PAYMENT OF 6 INTEREST AND PRINCIPAL. 7 (IV) THE EXCEPTION PROVIDED UNDER THIS PARAGRAPH MAY 8 NOT BE USED IN LIEU OF THE REFERENDUM UNDER SUBSECTION 9 (C)(2) TO PAY FOR COSTS WHICH COULD NOT BE FINANCED BY 10 THE ISSUANCE OF DEBT UNDER 53 PA.C.S. (RELATING TO 11 MUNICIPALITIES GENERALLY). 12 (4) TO RESPOND TO CONDITIONS THAT POSE AN IMMEDIATE 13 THREAT OF SERIOUS PHYSICAL HARM OR INJURY TO THE STUDENTS, 14 STAFF OR RESIDENTS OF THE SCHOOL DISTRICT, BUT ONLY UNTIL THE 15 CONDITIONS CAUSING THE THREAT HAVE BEEN FULLY RESOLVED. 16 (5) SPECIAL PURPOSE TAX LEVIES APPROVED BY THE 17 ELECTORATE. 18 (6) TO PAY COSTS ATTRIBUTABLE TO AN INCREASE IN THE SUM 19 OF SELECTED SCHOOL EXPENDITURES WHERE SUCH EXPENDITURES 20 EXCEED THE SUM OF SELECTED STATE ALLOCATIONS AS DEFINED IN 21 THIS PARAGRAPH. 22 (I) FOR THE PURPOSES OF THIS PARAGRAPH, SUCH 23 "SELECTED SCHOOL EXPENDITURES" SHALL INCLUDE ANY INCREASE 24 OR DECREASE IN COSTS ASSOCIATED WITH: 25 (A) NEW, UNFUNDED FEDERAL MANDATED EDUCATIONAL 26 PROGRAMS; 27 (B) PAYMENTS MADE TO CHARTER SCHOOLS OR CYBER 28 CHARTER SCHOOLS AS DEFINED UNDER ARTICLE XVII-A; 29 (C) PAYMENTS MADE TO INTERMEDIATE UNITS OR 30 COMMUNITY COLLEGES FOR VOCATIONAL EDUCATION EXPENSES; 20030H0113B2814 - 59 -
1 (D) CHANGES IN THE PAYMENTS ON BEHALF OF ACTIVE 2 MEMBERS OF THE PUBLIC SCHOOL EMPLOYEES' RETIREMENT 3 SYSTEM AS REQUIRED PURSUANT TO 24 PA.C.S. § 8327 4 (RELATING TO PAYMENTS BY EMPLOYERS); 5 (E) COSTS DIRECTLY RELATED TO THE PROVISION OF 6 MANDATED SPECIAL EDUCATION PROGRAMS AND SERVICES TO 7 STUDENTS WITH DISABILITIES, EXCLUDING COSTS UNDER 8 CLAUSE (F); AND 9 (F) COSTS DIRECTLY ATTRIBUTABLE TO A COLLECTIVE 10 BARGAINING AGREEMENT IN EFFECT ON THE EFFECTIVE DATE 11 OF THIS ARTICLE, BETWEEN A SCHOOL DISTRICT AND ITS 12 EMPLOYEE ORGANIZATION. THIS CLAUSE SHALL NOT APPLY TO 13 A COLLECTIVE BARGAINING AGREEMENT RENEWED, EXTENDED 14 OR ENTERED INTO AFTER THE EFFECTIVE DATE OF THIS 15 ARTICLE. 16 (II) FOR THE PURPOSES OF THIS PARAGRAPH, "SELECTED 17 STATE ALLOCATIONS" SHALL INCLUDE ANY INCREASE OR DECREASE 18 IN PAYMENTS PROVIDED THROUGH THE BASIC EDUCATION FUNDING 19 ALLOCATION, SPECIAL EDUCATION FUNDING ALLOCATION AND 20 PROVIDED UNDER SECTIONS 2502.16, 2502.30, 2541, 2542, 21 2543, 2572 AND 2591.1 BETWEEN THE SCHOOL YEAR PRIOR TO 22 THE SCHOOL YEAR IN WHICH AN EXCEPTION UNDER THIS 23 PARAGRAPH IS SOUGHT AND THE SCHOOL YEAR IN WHICH AN 24 EXCEPTION UNDER THIS PARAGRAPH IS SOUGHT. 25 (7) (I) TO MAINTAIN PER-STUDENT LOCAL TAX REVENUE IN 26 THE SCHOOL DISTRICT AT AN AMOUNT NOT EXCEEDING THE AMOUNT 27 OF PER-STUDENT LOCAL TAX REVENUE AT THE LEVEL OF THE 28 PRECEDING YEAR, ADJUSTED FOR THE PERCENTAGE INCREASE IN 29 THE INDEX IN THE PRECEDING YEAR. 30 (II) THIS PARAGRAPH SHALL APPLY ONLY IF THE 20030H0113B2814 - 60 -
1 PERCENTAGE GROWTH IN AVERAGE DAILY MEMBERSHIP IN THE 2 SCHOOL DISTRICT BETWEEN THE CURRENT FISCAL YEAR AND THE 3 THIRD FISCAL YEAR IMMEDIATELY PRECEDING THE CURRENT 4 FISCAL YEAR EXCEEDS 5%. FOR THE PURPOSES OF THIS 5 PARAGRAPH, PER-STUDENT LOCAL TAX REVENUE SHALL BE 6 DETERMINED BY DIVIDING LOCAL TAX REVENUE BY AVERAGE DAILY 7 MEMBERSHIP. 8 (8) TO COMPENSATE FOR A ONE-YEAR DECREASE OF 10% OR MORE 9 IN THE SCHOOL DISTRICT'S REAL PROPERTY TAX BASE. FOR THE 10 PURPOSES OF THIS PARAGRAPH, THE DECREASE SHALL BE MEASURED BY 11 THE PERCENT CHANGE IN THE ASSESSED VALUE OF ALL TAXABLE 12 PROPERTY WITHIN THE SCHOOL DISTRICT BETWEEN THE FISCAL YEAR 13 IN WHICH AN EXCEPTION UNDER THIS PARAGRAPH IS SOUGHT AND THE 14 FISCAL YEAR IMMEDIATELY PRECEDING THE FISCAL YEAR IN WHICH AN 15 EXCEPTION UNDER THIS PARAGRAPH IS SOUGHT. 16 (G) REVENUE DERIVED FROM INCREASE.--ANY REVENUE DERIVED FROM 17 AN INCREASE IN THE RATE OF ANY TAX ALLOWED PURSUANT TO AN 18 EXCEPTION UNDER SUBSECTION (F)(3) OR (5) SHALL NOT EXCEED THE 19 ANTICIPATED DOLLAR VALUE OF THE EXPENDITURE FOR WHICH THE 20 EXCEPTION UNDER SUBSECTION (F) WAS SOUGHT. 21 (H) LIMITATION ON RATE.--THE INCREASE IN THE RATE OF ANY TAX 22 ALLOWED PURSUANT TO AN EXCEPTION UNDER SUBSECTION (F)(1), (2), 23 (4), (6), (7) OR (8) SHALL NOT EXCEED THE RATE INCREASE REQUIRED 24 AS DETERMINED BY A COURT OF COMMON PLEAS PURSUANT TO SUBSECTION 25 (I). 26 (I) COURT ACTION.--PRIOR TO THE IMPOSITION OF THE TAX 27 INCREASE UNDER SUBSECTION (F)(1), (2), (4), (6), (7) OR (8), 28 APPROVAL BY THE COURT OF COMMON PLEAS IN THE JUDICIAL DISTRICT 29 IN WHICH THE ADMINISTRATIVE OFFICE OF THE SCHOOL DISTRICT IS 30 LOCATED MUST BE OBTAINED. THE BOARD OF SCHOOL DIRECTORS SHALL 20030H0113B2814 - 61 -
1 PUBLISH IN A NEWSPAPER OF GENERAL CIRCULATION A NOTICE OF ITS 2 INTENT TO FILE AN ACTION UNDER THIS SUBSECTION AT LEAST ONE WEEK 3 PRIOR TO THE FILING OF THE PETITION. THE BOARD OF SCHOOL 4 DIRECTORS SHALL ALSO PUBLISH IN A NEWSPAPER OF GENERAL 5 CIRCULATION NOTICE, AS SOON AS POSSIBLE FOLLOWING NOTIFICATION 6 FROM THE COURT THAT A HEARING HAS BEEN SCHEDULED, STATING THE 7 DATE, TIME AND PLACE OF THE HEARING ON THE PETITION. THE 8 FOLLOWING SHALL APPLY TO ANY PROCEEDINGS INSTITUTED UNDER THIS 9 SUBSECTION: 10 (1) THE BOARD OF SCHOOL DIRECTORS MUST PROVE BY CLEAR 11 AND CONVINCING EVIDENCE THE NECESSITY FOR THE TAX INCREASE. 12 (2) THE BOARD OF SCHOOL DIRECTORS MUST PROVE BY CLEAR 13 AND CONVINCING EVIDENCE THE ANTICIPATED DOLLAR VALUE OF THE 14 EXPENDITURE FOR WHICH AN EXCEPTION UNDER SUBSECTION (F) IS 15 SOUGHT. 16 (3) THE BOARD OF SCHOOL DIRECTORS MUST PROVE BY CLEAR 17 AND CONVINCING EVIDENCE THAT THERE ARE NO ASSETS OR OTHER 18 FEASIBLE ALTERNATIVES AVAILABLE TO THE SCHOOL DISTRICT. 19 (4) THE COURT SHALL DETERMINE THE DOLLAR VALUE OF THE 20 EXPENDITURE FOR WHICH AN EXCEPTION UNDER SUBSECTION (F) IS 21 SOUGHT, THE RATE INCREASE REQUIRED AND THE APPROPRIATE 22 DURATION OF THE INCREASE. THE COURT MAY RETAIN CONTINUING 23 JURISDICTION AND MAY, ON ITS OWN MOTION OR ON PETITION OF AN 24 INTERESTED PARTY, REVOKE APPROVAL FOR OR ORDER RESCISSION OF 25 A TAX INCREASE. 26 (J) STANDING.--A PERSON SHALL HAVE STANDING AS A PARTY TO A 27 PROCEEDING UNDER THIS SECTION AS LONG AS THE PERSON RESIDES 28 WITHIN OR PAYS REAL PROPERTY TAXES TO THE TAXING JURISDICTION OF 29 THE BOARD OF SCHOOL DIRECTORS INSTITUTING THE ACTION. 30 (K) AVERAGED INDEX CALCULATION.--ON OR ABOUT JANUARY 15 OF 20030H0113B2814 - 62 -
1 EACH YEAR, THE DEPARTMENT OF EDUCATION SHALL CALCULATE THE 2 AVERAGE OF THE PERCENTAGE INCREASES IN THE STATEWIDE AVERAGE 3 WEEKLY WAGE AND THE PERCENTAGE INCREASE IN THE EMPLOYMENT COST 4 INDEX FOR THE PREVIOUS 12-MONTH PERIOD. THE DEPARTMENT OF 5 EDUCATION SHALL PUBLISH NOTICE OF THIS CALCULATED AVERAGE BY 6 FEBRUARY 1 OF EACH YEAR IN THE PENNSYLVANIA BULLETIN. 7 SECTION 615-A. PROPERTY TAX LIMITS ON REASSESSMENT. 8 AFTER ANY COUNTY MAKES A COUNTYWIDE REVISION OF ASSESSMENT OF 9 REAL PROPERTY AT VALUES BASED UPON AN ESTABLISHED PREDETERMINED 10 RATIO AS REQUIRED BY LAW OR AFTER ANY COUNTY CHANGES ITS 11 ESTABLISHED PREDETERMINED RATIO, A BOARD OF SCHOOL DIRECTORS IN 12 A SCHOOL DISTRICT WHICH HAS ADOPTED A RESOLUTION IMPOSING THE 13 TAX UNDER SECTION 611-A(A)(1) OR IN WHICH A REFERENDUM UNDER 14 SECTION 613-A HAS BEEN APPROVED, WHICH AFTER THE EFFECTIVE DATE 15 OF THIS SECTION FOR THE FIRST TIME LEVIES ITS REAL ESTATE TAXES 16 ON THAT REVISED ASSESSMENT OR VALUATION, SHALL FOR THE FIRST 17 YEAR REDUCE ITS TAX RATE, IF NECESSARY, FOR THE PURPOSE OF 18 HAVING THE PERCENTAGE INCREASE IN TAXES LEVIED FOR THAT YEAR 19 AGAINST THE REAL PROPERTIES CONTAINED IN THE DUPLICATE FOR THE 20 PRECEDING YEAR BE LESS THAN OR EQUAL TO THE PERCENTAGE INCREASE 21 IN THE AVERAGE INDEX FOR THE PRECEDING YEAR NOTWITHSTANDING THE 22 INCREASED VALUATIONS OF SUCH PROPERTIES UNDER THE REVISED 23 ASSESSMENT. FOR THE PURPOSE OF DETERMINING THE TOTAL AMOUNT OF 24 TAXES TO BE LEVIED FOR THE FIRST YEAR, THE AMOUNT TO BE LEVIED 25 ON NEWLY CONSTRUCTED BUILDINGS OR STRUCTURES OR ON INCREASED 26 VALUATIONS BASED ON NEW IMPROVEMENTS MADE TO EXISTING HOUSES 27 NEED NOT BE CONSIDERED. THE TAX RATE SHALL BE FIXED FOR THAT 28 YEAR AT A FIGURE WHICH WILL ACCOMPLISH THIS PURPOSE. THE 29 PROVISIONS OF SECTION 614-A SHALL APPLY TO INCREASES IN THE TAX 30 RATE ABOVE THE LIMITS PROVIDED IN THIS SECTION. 20030H0113B2814 - 63 -
1 (C) EARNED INCOME AND NET PROFITS TAX 2 OR PERSONAL INCOME TAX 3 SECTION 621-A. AUTHORIZATION. 4 (A) GENERAL RULE.--A BOARD OF SCHOOL DIRECTORS MAY CHOOSE TO 5 LEVY, ASSESS AND COLLECT A TAX ON EARNED INCOME AND NET PROFITS 6 OR A PERSONAL INCOME TAX UNDER THIS SECTION. 7 (B) EARNED INCOME AND NET PROFITS TAX.-- 8 (1) A BOARD OF SCHOOL DIRECTORS MAY LEVY, ASSESS AND 9 COLLECT A TAX ON EARNED INCOME AND NET PROFITS OF RESIDENT 10 INDIVIDUALS OF THE SCHOOL DISTRICT AT THE RATE AND PURSUANT 11 TO THE AUTHORITY PROVIDED IN SECTION 611-A(A)(1) WITHOUT 12 SUBMITTING THE QUESTION TO THE VOTERS IN A REFERENDUM UNDER 13 SECTION 613-A. 14 (2) A BOARD OF SCHOOL DIRECTORS MAY LEVY, ASSESS AND 15 COLLECT AN ADDITIONAL TAX ON THE EARNED INCOME AND NET 16 PROFITS OF RESIDENT INDIVIDUALS OF THE SCHOOL DISTRICT. 17 (3) THE COMBINED RATE OF THE EARNED INCOME AND NET 18 PROFITS TAX AUTHORIZED UNDER PARAGRAPHS (1) AND (2) SHALL NOT 19 EXCEED THE RATE REQUIRED TO PROVIDE AN EXCLUSION FOR 20 FARMSTEAD PROPERTY AND AN EXCLUSION FOR HOMESTEAD PROPERTY 21 EQUAL TO THE MAXIMUM EXCLUSION UNDER 53 PA.C.S. § 8586. THE 22 BOARD OF SCHOOL DIRECTORS SHALL ROUND THE RATE OF THE EARNED 23 INCOME AND NET PROFITS TAX LEVIED PURSUANT TO THIS SECTION TO 24 THE NEAREST TENTH OF A PERCENT. THE EXCLUSION FOR FARMSTEAD 25 PROPERTY GRANTED UNDER THIS SECTION SHALL NOT EXCEED THE 26 AMOUNT GRANTED FOR THE EXCLUSION FOR HOMESTEAD PROPERTY. 27 (C) PERSONAL INCOME TAX.-- 28 (1) A BOARD OF SCHOOL DIRECTORS MAY LEVY, ASSESS AND 29 COLLECT A TAX ON THE PERSONAL INCOME OF RESIDENT INDIVIDUALS 30 OF THE SCHOOL DISTRICT AT A RATE DETERMINED BY THE BOARD OF 20030H0113B2814 - 64 -
1 SCHOOL DIRECTORS. 2 (2) THE PERSONAL INCOME TAX AUTHORIZED UNDER PARAGRAPH 3 (1) SHALL EQUAL THE SUM OF THE RATE REQUIRED TO GENERATE THE 4 SAME AMOUNT OF EARNED INCOME AND NET PROFITS TAX REVENUE 5 RECEIVED BY THE SCHOOL DISTRICT PRIOR TO THE ADOPTION OF THIS 6 SUBSECTION AND PURSUANT TO SECTION 611-A(A)(1) OR 613- 7 A(B)(2)(I) AND TO PROVIDE AN EXCLUSION FOR FARMSTEAD PROPERTY 8 AND AN EXCLUSION FOR HOMESTEAD PROPERTY THAT SHALL NOT EXCEED 9 THE RATE REQUIRED TO PROVIDE AN EXCLUSION FOR FARMSTEAD 10 PROPERTY AND AN EXCLUSION FOR HOMESTEAD PROPERTY EQUAL TO THE 11 MAXIMUM EXCLUSION UNDER 53 PA.C.S. § 8586. THE BOARD OF 12 SCHOOL DIRECTORS SHALL ROUND THE RATE OF THE PERSONAL INCOME 13 TAX PURSUANT TO THIS SECTION TO THE NEAREST TENTH OF A 14 PERCENT. THE EXCLUSION FOR FARMSTEAD PROPERTY GRANTED UNDER 15 THIS SECTION SHALL NOT EXCEED THE AMOUNT GRANTED FOR THE 16 EXCLUSION FOR HOMESTEAD PROPERTY. 17 (3) IF A BOARD OF SCHOOL DIRECTORS ELECTS TO IMPOSE A 18 PERSONAL INCOME TAX UNDER THIS SUBSECTION, THE BOARD OF 19 SCHOOL DIRECTORS SHALL NOT BE PERMITTED TO IMPOSE THE EARNED 20 INCOME AND NET PROFITS TAX UNDER SUBSECTION (B) OR UNDER THE 21 LOCAL TAX ENABLING ACT. 22 (4) A PERSONAL INCOME TAX IMPOSED UNDER THE AUTHORITY OF 23 THIS ARTICLE SHALL BE LEVIED AND ASSESSED ON THE SAME BASIS 24 AND ADMINISTERED IN THE SAME FASHION AS THE TAX IMPOSED BY 25 ARTICLE III OF THE TAX REFORM CODE, THE PROVISIONS OF WHICH 26 ARE INCORPORATED BY REFERENCE INTO THIS ARTICLE. 27 (I) NOTWITHSTANDING THE PROVISIONS OF SECTION 353(F) 28 OF THE TAX REFORM CODE, THE DEPARTMENT OF REVENUE MAY 29 PERMIT THE PROPER OFFICER OF A SCHOOL DISTRICT IMPOSING A 30 TAX PURSUANT TO THIS ARTICLE TO INSPECT THE TAX RETURNS 20030H0113B2814 - 65 -
1 OF ANY TAXPAYER OR MAY FURNISH TO THE OFFICER OR AN 2 AUTHORIZED REPRESENTATIVE AN ABSTRACT OF THE RETURN OF 3 INCOME OF ANY CURRENT OR FORMER RESIDENT OF THE SCHOOL 4 DISTRICT, OR SUPPLY INFORMATION CONCERNING ANY ITEM OF 5 INCOME CONTAINED IN ANY TAX RETURN. THE OFFICER OR 6 AUTHORIZED AGENT OF THE SCHOOL DISTRICT IMPOSING A TAX 7 UNDER THIS ARTICLE SHALL BE FURNISHED THE REQUESTED 8 INFORMATION UPON PAYMENT TO THE DEPARTMENT OF THE COST OF 9 COLLECTING AND REPRODUCING THE REQUESTED INFORMATION. 10 (II) (A) EXCEPT FOR OFFICIAL PURPOSES OR AS 11 PROVIDED BY LAW, IT SHALL BE UNLAWFUL FOR ANY 12 OFFICER, AGENT OR EMPLOYEE OF A SCHOOL DISTRICT TO DO 13 ANY OF THE FOLLOWING: 14 (I) DISCLOSE THE AMOUNT OR SOURCE OF INCOME, 15 PROFITS, LOSSES, EXPENDITURES OR ANY PARTICULAR 16 INFORMATION CONCERNING INCOME, PROFITS, LOSSES OR 17 EXPENDITURES CONTAINED IN ANY RETURN. 18 (II) PERMIT ANY RETURN OR COPY OF A RETURN 19 OR ANY BOOK CONTAINING ANY ABSTRACT OR 20 PARTICULARS TO BE SEEN OR EXAMINED. 21 (III) PRINT OR PUBLISH IN ANY MANNER ANY 22 RETURN OR ANY PARTICULAR INFORMATION CONCERNING 23 THE RETURN. 24 (IV) PRINT OR PUBLISH IN ANY MANNER ANY 25 AMOUNT OR SOURCE OF INCOME, PROFITS, LOSSES, 26 EXPENDITURES OR ANY PARTICULAR INFORMATION 27 CONCERNING INCOME, PROFITS, LOSSES OR 28 EXPENDITURES CONTAINED IN ANY RETURN. 29 (B) ANY OFFICER, AGENT OR EMPLOYEE OF A SCHOOL 30 DISTRICT THAT VIOLATES CLAUSE (A): 20030H0113B2814 - 66 -
1 (I) MAY BE FINED NOT MORE THAN $1,000 OR 2 IMPRISONED FOR NOT MORE THAN ONE YEAR, OR BOTH. 3 (II) SHALL BE DISMISSED FROM OFFICE OR 4 DISCHARGED FROM EMPLOYMENT. 5 (D) PROHIBITIONS.-- 6 (1) A SCHOOL DISTRICT THAT LEVIES A LOCAL PERSONAL 7 INCOME TAX UNDER THIS SECTION SHALL HAVE NO POWER TO LEVY, 8 ASSESS OR COLLECT THE EARNED INCOME AND NET PROFITS TAX UNDER 9 THIS SECTION. 10 (2) PAYMENT OF ANY TAX ON INCOME TO ANY STATE OTHER THAN 11 PENNSYLVANIA OR TO ANY POLITICAL SUBDIVISION LOCATED OUTSIDE 12 THE BOUNDARIES OF THIS COMMONWEALTH, BY RESIDENTS OF A SCHOOL 13 DISTRICT LOCATED IN PENNSYLVANIA SHALL NOT BE CREDITED TO AND 14 ALLOWED AS A DEDUCTION FROM THE LIABILITY OF SUCH PERSON FOR 15 ANY INCOME TAX IMPOSED BY THE SCHOOL DISTRICT OF RESIDENCE. 16 SECTION 622-A. COLLECTIONS. 17 A BOARD OF SCHOOL DIRECTORS IMPOSING A TAX UNDER THIS ARTICLE 18 SHALL DESIGNATE A TAX OFFICER UNDER SECTION 10 OF THE LOCAL TAX 19 ENABLING ACT, OR OTHERWISE BY LAW, AS THE COLLECTOR OF THE 20 EARNED INCOME AND NET PROFITS TAX OR PERSONAL INCOME TAX. IN THE 21 PERFORMANCE OF THE TAX COLLECTION DUTIES UNDER THIS SUBDIVISION, 22 THE DESIGNATED TAX OFFICER SHALL HAVE ALL THE SAME POWERS, 23 RIGHTS, RESPONSIBILITIES AND DUTIES FOR THE COLLECTION OF THE 24 TAXES WHICH MAY BE IMPOSED UNDER THE LOCAL TAX ENABLING ACT, 53 25 PA.C.S. CH. 84 SUBCH. C (RELATING TO LOCAL TAXPAYERS BILL OF 26 RIGHTS) OR AS OTHERWISE PROVIDED BY LAW. 27 SECTION 623-A. CREDITS AND REIMBURSEMENT. 28 (A) CREDIT.--THE PROVISIONS OF SECTION 14 OF THE LOCAL TAX 29 ENABLING ACT SHALL BE APPLIED BY A BOARD OF SCHOOL DIRECTORS TO 30 DETERMINE ANY CREDITS UNDER THE PROVISIONS OF THIS SUBDIVISION 20030H0113B2814 - 67 -
1 FOR A TAX IMPOSED UNDER SECTION 621-A. 2 (B) REIMBURSEMENT.--NOTWITHSTANDING ANY OTHER PROVISIONS OF 3 LAW TO THE CONTRARY, THE FOLLOWING APPLY: 4 (1) THIS SUBSECTION ONLY APPLIES TO A TAXPAYER WHO IS A 5 RESIDENT OF THIS COMMONWEALTH AND NOT A RESIDENT OF A CITY OF 6 THE FIRST CLASS BUT WHO IS SUBJECT TO THE TAX ON SALARIES, 7 WAGES, COMMISSIONS OR OTHER COMPENSATION IMPOSED BY A CITY OF 8 THE FIRST CLASS UNDER THE AUTHORITY OF THE ACT OF AUGUST 5, 9 1932 (SP.SESS., P.L.45, NO.45), REFERRED TO AS THE STERLING 10 ACT. 11 (2) FOR TAXABLE YEARS BEGINNING IN THE FIRST CALENDAR 12 YEAR IN WHICH A CERTIFICATION UNDER SECTION 603-B IS MADE IN 13 AN AMOUNT GREATER THAN ZERO AND EACH TAXABLE YEAR THEREAFTER, 14 PAYMENT OF A TAX ON SALARIES, WAGES, COMMISSION OR OTHER 15 COMPENSATION AS SET FORTH IN PARAGRAPH (1) SHALL BE CREDITED 16 TO THE SCHOOL DISTRICT OF THE TAXPAYER'S RESIDENCE AT AN 17 AMOUNT NO GREATER THAN THE RATE OF TAX IMPOSED ON THE EARNED 18 INCOME AND NET PROFITS OF THE TAXPAYER BY THE SCHOOL DISTRICT 19 IN WHICH THE TAXPAYER RESIDES. 20 (3) AN AMOUNT EQUAL TO THE AGGREGATE AMOUNT OF THE TAX 21 CREDITED UNDER PARAGRAPH (2) SHALL BE PAID FROM THE FUND TO 22 THE SCHOOL DISTRICT OF RESIDENCE OF EACH TAXPAYER UNDER 23 PARAGRAPH (1) FOR THE SOLE PURPOSE OF FUNDING HOMESTEAD AND 24 FARMSTEAD EXCLUSIONS IN ACCORDANCE WITH THIS ARTICLE. THE 25 DEPARTMENT OF EDUCATION SHALL PRESCRIBE PROCEDURES TO 26 CALCULATE THE AMOUNT DUE TO EACH SCHOOL DISTRICT QUALIFYING 27 UNDER THIS PARAGRAPH. 28 SECTION 624-A. EXEMPTION AND SPECIAL PROVISIONS. 29 (A) GENERAL RULE.--A SCHOOL DISTRICT THAT IMPOSES AN EARNED 30 INCOME AND NET PROFITS TAX UNDER SECTION 621-A MAY EXEMPT FROM 20030H0113B2814 - 68 -
1 THE PAYMENT OF THAT TAX ANY PERSON WHOSE TOTAL INCOME FROM ALL 2 SOURCES IS LESS THAN $10,000. 3 (B) APPLICABILITY.--THE PROVISIONS OF SECTION 304 OF THE TAX 4 REFORM CODE SHALL APPLY TO THE LOCAL PERSONAL INCOME TAX BY ANY 5 SCHOOL DISTRICT THAT LEVIES A TAX ON PERSONAL INCOME OF 6 RESIDENTS UNDER SECTION 621-A(C). 7 SECTION 625-A. RULES AND REGULATIONS. 8 A SCHOOL DISTRICT THAT IMPOSES: 9 (1) AN EARNED INCOME AND NET PROFITS TAX UNDER SECTION 10 621-A SHALL BE SUBJECT TO ALL REGULATIONS ADOPTED UNDER 11 SECTION 13 OF THE LOCAL TAX ENABLING ACT AND MAY ADOPT 12 REGULATIONS FOR THE PROCESSING OF CLAIMS FOR CREDITS OR 13 EXEMPTIONS UNDER SECTIONS 623-A AND 624-A; OR 14 (2) A PERSONAL INCOME TAX UNDER SECTION 621-A SHALL BE 15 SUBJECT TO ALL REGULATIONS ADOPTED BY THE DEPARTMENT OF 16 REVENUE IN ADMINISTERING THE TAX DUE TO THE COMMONWEALTH 17 UNDER SECTION 302 OF THE TAX REFORM CODE. 18 SECTION 626-A. PROCEDURE AND ADMINISTRATION. 19 (A) LEVY.--IN ORDER TO LEVY OR INCREASE A TAX UNDER SECTION 20 621-A, THE BOARD OF SCHOOL DIRECTORS MUST ADOPT A RESOLUTION 21 REFERRING TO THIS SUBDIVISION PRIOR TO PLACING A REFERENDUM 22 QUESTION ON THE BALLOT UNDER SECTION 613-A. PRIOR TO ADOPTING A 23 RESOLUTION IMPOSING A TAX UNDER SECTION 621-A(B)(2) OR (C), THE 24 BOARD OF SCHOOL DIRECTORS MUST GIVE PUBLIC NOTICE OF ITS INTENT 25 TO ADOPT THE RESOLUTION IN THE MANNER PROVIDED BY SECTION 4 OF 26 THE LOCAL TAX ENABLING ACT AND MUST CONDUCT AT LEAST ONE PUBLIC 27 HEARING REGARDING THE PROPOSED ADOPTION OF THE RESOLUTION. 28 (B) CALCULATION.--FOR THE PURPOSES OF PROPOSING A REFERENDUM 29 UNDER SECTION 613-A, THE BOARD OF SCHOOL DIRECTORS SHALL 30 ESTIMATE THE MAXIMUM HOMESTEAD EXCLUSION PERMITTED UNDER 53 20030H0113B2814 - 69 -
1 PA.C.S. § 8586 (RELATING TO LIMITATIONS), THE PROPOSED HOMESTEAD 2 EXCLUSION FOR THE SCHOOL DISTRICT AND THE PERCENTAGE REDUCTION 3 IN RESIDENTIAL REAL PROPERTY TAXES. 4 (C) CONFLICT.--IN ANY SITUATION WHERE THERE IS A CONFLICT 5 INVOLVING THE AUTHORITY CONFERRED ON A LOCAL TAX COLLECTOR, BY 6 THE PROVISIONS OF THE LOCAL TAX ENABLING ACT AND THE TAX REFORM 7 CODE, THE PROVISIONS OF THE LOCAL TAX ENABLING ACT SHALL 8 CONTROL. 9 SECTION 627-A. DISPOSITION OF INCOME TAX REVENUE. 10 (A) FISCAL YEAR OF IMPLEMENTATION.-- 11 (1) FOR THE FIRST FISCAL YEAR THAT A TAX IMPOSED 12 PURSUANT TO SECTION 611-A(A)(1) OR A TAX AUTHORIZED PURSUANT 13 TO SECTION 613-A IS IMPLEMENTED, AN INCREASE IN REVENUE 14 RECEIVED BY A SCHOOL DISTRICT THAT IS DIRECTLY ATTRIBUTABLE 15 TO ANY OF THE FOLLOWING SHALL BE USED BY THE SCHOOL DISTRICT 16 TO PROVIDE FOR A REDUCTION IN THE SCHOOL DISTRICT PROPERTY 17 TAX BY MEANS OF AN EXCLUSION FOR FARMSTEAD PROPERTY AND 18 HOMESTEAD PROPERTY: 19 (I) IMPLEMENTATION OF A NEW TAX ON EARNED INCOME AND 20 NET PROFITS. 21 (II) IMPLEMENTATION OF A NEW TAX ON PERSONAL INCOME. 22 (III) AN INCREASE IN THE RATE OF A TAX ON EARNED 23 INCOME AND NET PROFITS. 24 (IV) A CONVERSION OF A TAX ON PERSONAL INCOME FROM A 25 TAX ON EARNED INCOME AND NET PROFITS. 26 (2) IN THE SECOND FISCAL YEAR AND EACH FISCAL YEAR 27 THEREAFTER, THE FUNDS DERIVED FROM THE SOURCES DELINEATED IN 28 PARAGRAPH (1) SHALL BE USED TO THE EXTENT NECESSARY TO 29 CONTINUE TO PROVIDE FOR A REDUCTION IN SCHOOL DISTRICT 30 PROPERTY TAXES AT THE LEVEL ESTABLISHED IN THE IMMEDIATELY 20030H0113B2814 - 70 -
1 PRIOR FISCAL YEAR. 2 (B) SUBSEQUENT RATE INCREASES OR BASE CHANGES.-- 3 (1) FOR THE FISCAL YEAR OF IMPLEMENTATION OF AN INCREASE 4 IN THE RATE OF AN EXISTING TAX IMPOSED UNDER SECTION 621-A OR 5 THE CONVERSION OF A TAX ON PERSONAL INCOME FROM A TAX ON 6 EARNED INCOME AND NET PROFITS UNDER THIS ARTICLE, ALL REVENUE 7 RECEIVED BY A SCHOOL DISTRICT DIRECTLY ATTRIBUTABLE TO THE 8 INCREASED RATE OR CONVERSION SHALL BE USED TO REDUCE THE 9 SCHOOL DISTRICT REAL PROPERTY TAX BY MEANS OF AN EXCLUSION 10 FOR FARMSTEAD PROPERTY AND HOMESTEAD PROPERTY PURSUANT TO 11 SECTION 621-A. 12 (2) IN THE SECOND FISCAL YEAR AFTER THE IMPLEMENTATION 13 OF AN INCREASE REFERRED TO IN PARAGRAPH (1) AND EACH FISCAL 14 YEAR THEREAFTER, THE FUNDS DERIVED FROM THE SOURCES 15 DELINEATED IN PARAGRAPH (1) SHALL BE USED TO THE EXTENT 16 NECESSARY TO CONTINUE TO PROVIDE FOR A REDUCTION IN SCHOOL 17 DISTRICT PROPERTY TAXES AT THE LEVEL ESTABLISHED IN THE 18 IMMEDIATELY PRIOR FISCAL YEAR. 19 (C) SCHOOL DISTRICT COSTS.--NOT MORE THAN 2% OF THE INCREASE 20 IN REVENUE CALCULATED UNDER SUBSECTION (A)(1) MAY BE RETAINED BY 21 THE SCHOOL DISTRICT TO OFFSET COSTS TO IMPLEMENT THIS ARTICLE. 22 (D) EXCLUSIVE USE.--ALL FUNDS RECEIVED BY A SCHOOL DISTRICT 23 FROM THE FUND IN ANY FISCAL YEAR PURSUANT TO ITS PROPERTY TAX 24 REDUCTION ALLOCATION SHALL BE USED EXCLUSIVELY TO PROVIDE FOR A 25 REDUCTION IN THE SCHOOL DISTRICT REAL PROPERTY TAX BY MEANS OF 26 AN EXCLUSION FROM FARMSTEAD PROPERTY AND HOMESTEAD PROPERTY 27 PURSUANT TO THE PROVISIONS OF SUBDIVISION (D). 28 (E) EXCEPTION.--ANY SCHOOL DISTRICT WHOSE FISCAL YEAR BEGINS 29 ON JANUARY 1, SHALL, IN LIEU OF REDUCING REAL PROPERTY TAXES BY 30 MEANS OF AN EXCLUSION FROM FARMSTEAD PROPERTY AND HOMESTEAD 20030H0113B2814 - 71 -
1 PROPERTY, AS REQUIRED BY THIS SECTION, FOR ITS FIRST FISCAL YEAR 2 IN WHICH THE SECRETARY OF THE BUDGET HAS CERTIFIED AN AMOUNT 3 AVAILABLE FOR DISTRIBUTION UNDER SECTION 603-B(A)(1) PROVIDE FOR 4 REBATES TO OWNERS OF FARMSTEAD PROPERTY AND HOMESTEAD PROPERTY. 5 THE REBATES SHALL BE MAILED NO LATER THAN 180 DAYS FOLLOWING THE 6 CERTIFICATION BY THE SECRETARY OF THE BUDGET. 7 (D) HOMESTEAD EXCLUSION 8 SECTION 691-A. CHANGES TO THE AMOUNT OF THE HOMESTEAD 9 EXCLUSION. 10 (A) INCREASES IN THE HOMESTEAD EXCLUSION.--A SCHOOL DISTRICT 11 MAY INCREASE THE AMOUNT OF THE EXCLUSION FOR HOMESTEAD PROPERTY 12 REQUIRED PURSUANT TO SECTION 627-A CONSISTENT WITH THE 13 PROHIBITIONS IN 53 PA.C.S. § 8586 (RELATING TO LIMITATIONS). 14 (B) DECREASES IN THE HOMESTEAD EXCLUSION.--A SCHOOL DISTRICT 15 MAY ONLY REDUCE THE EXCLUSION FOR HOMESTEAD PROPERTY BELOW THE 16 LEVEL AUTHORIZED PURSUANT TO SUBSECTION (C), SECTION 692-A(B) 17 AND THE REFERENDUM AUTHORIZED UNDER SECTION 613-A, WHEN THE 18 MEDIAN ASSESSED VALUE USED IN CALCULATING THE HOMESTEAD 19 EXCLUSION DECREASES. 20 (C) REASSESSMENT.--AFTER A REVISION OF ASSESSMENTS BY MEANS 21 OF REVALUING ALL PROPERTIES, THE GOVERNING BODY PROVIDING AN 22 EXCLUSION FOR HOMESTEAD PROPERTY UNDER SECTION 613-A SHALL 23 ADJUST THE AMOUNT OF THE EXCLUSION PURSUANT TO 53 PA.C.S. § 24 8583(E) (RELATING TO EXCLUSION FOR HOMESTEAD PROPERTY). 25 (D) EXCESS FUNDING.--A SCHOOL DISTRICT WHICH COLLECTS OR 26 ANTICIPATES COLLECTING REVENUE FROM TAXES AUTHORIZED UNDER THIS 27 ARTICLE, TOGETHER WITH STATE FUNDS RECEIVED PURSUANT TO ARTICLE 28 VI-B, IN AN AMOUNT GREATER THAN THAT NECESSARY TO PROVIDE FOR 29 HOMESTEAD EXCLUSIONS EQUAL TO 100% OF THE AMOUNT AUTHORIZED 30 PURSUANT TO THE CONSTITUTION OF PENNSYLVANIA SHALL USE SUCH 20030H0113B2814 - 72 -
1 EXCESS TO EITHER: 2 (1) REDUCE THE RATE OF ITS EARNED INCOME AND NET PROFITS 3 TAX OR ITS PERSONAL INCOME TAX TO A LEVEL THAT RETURNS TO 4 THOSE TAXPAYERS ALL EXCESS FUNDS; OR 5 (2) REDUCE THE MILLAGE RATE ON ALL TAXABLE REAL PROPERTY 6 WITHIN THE SCHOOL DISTRICT TO THE EXTENT NECESSARY TO USE ALL 7 THE EXCESS REVENUE FOR PROPERTY TAX RELIEF. 8 (E) REDUCTION IN FUNDING.--IN ANY YEAR SUBSEQUENT TO A YEAR 9 IN WHICH AN INCOME TAX RATE WAS REDUCED PURSUANT TO SUBSECTION 10 (D), IF THE REVENUE COLLECTED OR ANTICIPATED TO BE COLLECTED 11 UNDER THIS ARTICLE AND ARTICLE VI-B FALLS BELOW THE AMOUNT 12 NECESSARY TO MAINTAIN HOMESTEAD PROPERTY TAX EXCLUSIONS AT 100% 13 OF THE MAXIMUM, THE SCHOOL DISTRICT MAY RERAISE THE RATE OF THE 14 INCOME TAX SO REDUCED UP TO THE AMOUNT PREVIOUSLY REDUCED 15 WITHOUT COMPLYING WITH THE REFERENDUM PROVISIONS OF SECTION 613- 16 A OR 614-A. 17 SECTION 692-A. HOMESTEAD EXCLUSION PROCESS. 18 (A) NOTIFICATION TO PROPERTY OWNERS.--A BOARD OF SCHOOL 19 DIRECTORS SHALL, BY FIRST CLASS MAIL, NOTIFY THE OWNERS OF EACH 20 PARCEL OF PROPERTY WITHIN THE DISTRICT OF THE FOLLOWING 21 INFORMATION AT A MINIMUM: 22 (1) THE RATE OF ADDITIONAL EARNED INCOME AND NET PROFITS 23 TAX OR PERSONAL INCOME TAX AUTHORIZED PURSUANT TO SECTION 24 611-A. 25 (2) THE ESTIMATED DOLLAR AMOUNT OF PROPERTY TAX RELIEF 26 FOR EACH QUALIFYING HOMESTEAD AND FARMSTEAD PROPERTY. THIS 27 INFORMATION SHALL BE ACCOMPANIED BY A STATEMENT THAT THE 28 ACTUAL DOLLAR PROPERTY TAX RELIEF MAY BE AFFECTED BY THE 29 TOTAL NUMBER OF APPLICATIONS RECEIVED AND APPROVED. 30 (3) THE REQUIREMENT TO SUBMIT A COMPLETED APPLICATION AS 20030H0113B2814 - 73 -
1 REQUIRED UNDER 53 PA.C.S. CH. 85 SUBCH. F (RELATING TO 2 HOMESTEAD PROPERTY EXCLUSION) IN ORDER TO QUALIFY FOR THE 3 PROPERTY TAX REDUCTIONS ESTIMATED IN PARAGRAPH (2). 4 THE NOTICE REQUIRED BY THIS SECTION SHALL INCLUDE A COPY OF THE 5 APPLICATION REQUIRED BY THE ASSESSOR OF THE COUNTY WHERE THE 6 PROPERTY IS LOCATED AND THE INSTRUCTIONS FOR COMPLETING AND 7 RETURNING THE APPLICATION. THE NOTICE REQUIRED BY THIS 8 SUBSECTION SHALL BE MADE BY DECEMBER 15, 2003, AND AGAIN BY 9 JANUARY 31, 2004. 10 (B) REVISIONS TO THE INITIAL CALCULATION OF HOMESTEAD AND 11 FARMSTEAD EXCLUSION FOR SCHOOL DISTRICTS.--IF THE BOARD OF 12 SCHOOL DIRECTORS IMPOSES A TAX UNDER SECTION 611-A(A)(1) OR IF 13 THE ELECTORS OF A SCHOOL DISTRICT APPROVE A REFERENDUM QUESTION 14 PURSUANT TO SECTION 613-A, THE BOARD OF SCHOOL DIRECTORS SHALL 15 REVISE THE CALCULATION UTILIZED UNDER SECTION 626-A(B) WITH 16 INFORMATION DERIVED FROM THE SUPPLEMENTAL REPORT FROM THE 17 ASSESSOR UNDER THIS SECTION. SUCH REVISED CALCULATION SHALL BE 18 USED TO PROVIDE HOMESTEAD AND FARMSTEAD EXCLUSIONS. WHERE THE 19 TAX IMPOSED UNDER SECTION 621-A AND THE FUNDS DISTRIBUTED 20 PURSUANT TO ARTICLE VI-B ARE INSUFFICIENT TO PROVIDE THE 21 HOMESTEAD AND FARMSTEAD EXCLUSIONS AUTHORIZED THROUGH APPROVAL 22 OF A REFERENDUM QUESTION, THE EXCLUSIONS MAY BE REDUCED 23 ACCORDINGLY. 24 (C) APPEALS.--REAL PROPERTY FOR WHICH AN APPLICATION UNDER 25 53 PA.C.S. § 8584 (RELATING TO ADMINISTRATION AND PROCEDURE) HAS 26 BEEN FILED BY MARCH 1, 2004, SHALL BE DEEMED TO BE A HOMESTEAD 27 PROPERTY OR FARMSTEAD PROPERTY, AS THE CASE MAY BE, FOR THE 28 PURPOSES OF IMPLEMENTING A HOMESTEAD OR FARMSTEAD EXCLUSION 29 UNDER 53 PA.C.S. § 8717 (RELATING TO DISPOSITION OF EARNED 30 INCOME AND NET PROFITS TAX REVENUE) IN THE SCHOOL DISTRICT 20030H0113B2814 - 74 -
1 FISCAL YEAR BEGINNING JULY 1, 2004, UNLESS THE ASSESSOR DENIES 2 THE APPLICATION WITHIN THE TIME PROVIDED BY LAW AND THE DENIAL 3 IS UNAPPEALED OR UNAPPEALABLE. THE SCHOOL DISTRICT IS AUTHORIZED 4 TO COLLECT TAXES, INTEREST AND PENALTIES RELATING TO A HOMESTEAD 5 OR FARMSTEAD EXCLUSION THAT IS DENIED AFTER THE DENIAL IS 6 UNAPPEALED OR UNAPPEALABLE. 7 (D) REPORTS.--IN ADDITION TO THE REPORT REQUIRED UNDER 53 8 PA.C.S. § 8584(I), THE ASSESSOR SHALL BE REQUIRED TO PROVIDE A 9 SUPPLEMENTAL REPORT CONTAINING THE INFORMATION REQUIRED UNDER 53 10 PA.C.S. § 8584(I) FOR APPLICATIONS FILED BY MARCH 1, 2004. THE 11 DATE OF THE SUPPLEMENTAL REPORT SHALL BE SET BY THE SCHOOL 12 DISTRICT, BUT SHALL NOT BE EARLIER THAN JUNE 1, 2004. 13 (E) DUTIES OF ASSESSORS--THE ASSESSOR SHALL MAIL TO THE 14 OWNER OF EACH HOMESTEAD PROPERTY AND FARMSTEAD PROPERTY FOR 15 WHICH AN APPLICATION HAS BEEN SUBMITTED AND APPROVED PRIOR TO 16 THE EFFECTIVE DATE OF THIS SECTION A NOTICE STATING THE DATE BY 17 WHICH THE OWNER WOULD BE REQUIRED TO RESUBMIT AN APPLICATION TO 18 MAINTAIN THE PROPERTY'S STATUS AS HOMESTEAD PROPERTY OR 19 FARMSTEAD PROPERTY UNDER THE COUNTY'S SCHEDULE FOR REVIEW OR 20 REAPPLICATION FOR HOMESTEAD AND FARMSTEAD EXCLUSIONS. THE NOTICE 21 UNDER THIS SECTION SHALL BE MADE BY FIRST CLASS MAIL NO LATER 22 THAN DECEMBER 15, 2003. 23 (F) PROHIBITION.--A COUNTY SHALL NOT REQUIRE AN APPLICATION 24 FEE FOR THE SUBMISSION OR REVIEW OF APPLICATIONS SUBMITTED TO 25 QUALIFY FOR A HOMESTEAD EXCLUSION OR FARMSTEAD EXCLUSION UNDER 26 THIS ARTICLE OR UNDER 53 PA.C.S. CH. 85 SUBCH. F. 27 (G) APPLICABILITY.--WITH THE EXCEPTION OF SUBSECTIONS (A), 28 (E) AND (F), THIS SECTION SHALL APPLY ONLY TO SCHOOL DISTRICTS 29 IN WHICH THE BOARD OF SCHOOL DIRECTORS IMPOSES A TAX UNDER 30 SECTION 611-A(A)(1). 20030H0113B2814 - 75 -
1 (E) REGISTER 2 SECTION 693-A. REGISTER FOR TAXES. 3 (A) GENERAL RULE.--THE DEPARTMENT OF COMMUNITY AND ECONOMIC 4 DEVELOPMENT SHALL MAINTAIN AN OFFICIAL CONTINUING REGISTER 5 SUPPLEMENTED ANNUALLY OF ALL EARNED INCOME AND NET PROFITS TAXES 6 OR PERSONAL INCOME TAXES LEVIED UNDER SUBDIVISION (C). 7 (B) CONTENTS OF REGISTER.--THE REGISTER SHALL LIST: 8 (1) THE SCHOOL DISTRICTS LEVYING THE TAX. 9 (2) THE RATE OF TAX AS STATED IN THE RESOLUTION LEVYING 10 THE TAX. 11 (3) THE RATE ON TAXPAYERS. 12 (4) THE NAME AND ADDRESS OF THE OFFICIAL RESPONSIBLE FOR 13 ADMINISTERING THE COLLECTION OF THE TAX AND FROM WHOM 14 INFORMATION, FORMS AND COPIES OF REGULATIONS ARE AVAILABLE. 15 SECTION 694-A. INFORMATION FOR REGISTER. 16 INFORMATION FOR THE REGISTER SHALL BE FURNISHED BY THE SCHOOL 17 DISTRICT TO THE DEPARTMENT OF COMMUNITY AND ECONOMIC DEVELOPMENT 18 AS PRESCRIBED BY THE DEPARTMENT. THE INFORMATION MUST BE 19 RECEIVED BY THE DEPARTMENT NO LATER THAN JULY 15 OF EACH YEAR TO 20 SHOW NEW TAX ENACTMENTS, REPEALS AND CHANGES. FAILURE TO COMPLY 21 WITH THE FILING DATE MAY RESULT IN THE OMISSION OF THE TAX LEVY 22 FROM THE REGISTER FOR THAT YEAR. FAILURE OF THE DEPARTMENT TO 23 RECEIVE INFORMATION OF TAXES CONTINUED WITHOUT CHANGE MAY BE 24 CONSTRUED BY THE DEPARTMENT TO MEAN THAT THE INFORMATION 25 CONTAINED IN THE PREVIOUS REGISTER REMAINS IN FORCE. 26 SECTION 695-A. AVAILABILITY AND EFFECTIVE PERIOD OF REGISTER. 27 THE REGISTER, WITH SUCH ANNUAL SUPPLEMENTS AS MAY BE REQUIRED 28 BY NEW TAX ENACTMENTS, REPEALS OR CHANGES, SHALL BE AVAILABLE 29 UPON REQUEST NO LATER THAN AUGUST 15 OF EACH YEAR. THE EFFECTIVE 30 PERIOD FOR EACH REGISTER SHALL BE FROM JULY 1 OF THE YEAR IN 20030H0113B2814 - 76 -
1 WHICH IT IS ISSUED TO JUNE 30 OF THE FOLLOWING YEAR. 2 SECTION 696-A. EFFECT OF NONFILING. 3 EMPLOYERS SHALL NOT BE REQUIRED BY ANY ORDINANCE TO WITHHOLD 4 FROM THE COMPENSATION OF THEIR EMPLOYEES ANY LOCAL EARNED INCOME 5 AND NET PROFITS TAX OR PERSONAL INCOME TAX IMPOSED UNDER 6 SUBDIVISION (C) WHICH IS NOT LISTED IN THE REGISTER OR TO MAKE 7 REPORTS OF COMPENSATION IN CONNECTION WITH TAXES NOT SO LISTED. 8 IF THE REGISTER IS NOT AVAILABLE BY AUGUST 15, THE REGISTER OF 9 THE PREVIOUS YEAR SHALL CONTINUE TO BE EFFECTIVE FOR AN 10 ADDITIONAL PERIOD OF NOT MORE THAN ONE YEAR. 11 SECTION 697-A. EFFECT OF SUBDIVISION ON LIABILITY OF TAXPAYER. 12 THE PROVISIONS OF THIS SUBDIVISION SHALL NOT BE CONSTRUED TO 13 AFFECT THE LIABILITY OF ANY TAXPAYER FOR TAXES LAWFULLY IMPOSED 14 UNDER SUBDIVISIONS (B) AND (C). 15 ARTICLE VI-B 16 STATE MATCHING FUNDS FORMULA 17 SECTION 601-B. SCOPE. 18 THIS ARTICLE RELATES TO THE STATE MATCHING FUNDS FORMULA. 19 SECTION 602-B. DEFINITIONS. 20 THE FOLLOWING WORDS AND PHRASES WHEN USED IN THIS ARTICLE 21 SHALL HAVE THE MEANINGS GIVEN TO THEM IN THIS SECTION UNLESS THE 22 CONTEXT CLEARLY INDICATES OTHERWISE: 23 "ALLOCATION MAXIMUM." A NUMERICAL VALUE OF 0.4 PLUS THE 24 MODIFIER CALCULATED UNDER SECTION 603-B(C)(2). THE VALUE, 25 INCLUDING THE MAXIMUM MODIFIER, SHALL NOT EXCEED 0.6. 26 "ALLOCATION MINIMUM." A NUMERICAL VALUE OF 0.1 PLUS THE 27 MODIFIER CALCULATED UNDER SECTION 603-B(C)(1). THE VALUE, 28 INCLUDING THE MINIMUM MODIFIER, SHALL NOT EXCEED 0.15. 29 "FUND." THE PROPERTY TAX RELIEF FUND ESTABLISHED IN THE 30 STATE TREASURY WHICH INCLUDES REVENUES FROM GAMING AS PROVIDED 20030H0113B2814 - 77 -
1 BY LAW. 2 "INCOME TAX." AS DEFINED IN SECTION 602-A. 3 "MINIMUM LOCAL CONTRIBUTION." THE REVENUES COLLECTED IN A 4 FISCAL YEAR FROM THE IMPOSITION OF THE TAX AUTHORIZED UNDER 5 SECTION 611-A(A)(1), REGARDLESS OF WHETHER SUCH TAX IS IMPOSED 6 PURSUANT TO SECTION 611-A OR 613-A(B)(2)(I). 7 "PROPERTY TAX REDUCTION INDEX." A QUOTIENT EQUAL TO THE SUM 8 OF THE NUMERICAL RANK OF A SCHOOL DISTRICT'S PERSONAL INCOME 9 VALUATION PER AVERAGE DAILY MEMBERSHIP, THE NUMERICAL RANK OF 10 ITS MARKET-VALUE/INCOME-AID RATIO, THE NUMERICAL RANK OF ITS 11 EQUALIZED MILLAGE AND THE NUMERICAL RANK OF ITS SCHOOL TAX 12 RATIO, DIVIDED BY 1,000. 13 "RESIDENTIAL PROPERTY TAX." THE DOLLAR VALUE OF REAL 14 PROPERTY TAXES PAID BY RESIDENTIAL PROPERTY OWNERS IN A SCHOOL 15 DISTRICT, DETERMINED BY MULTIPLYING THE REAL PROPERTY TAXES 16 COLLECTED BY THE SCHOOL DISTRICT TIMES THE PERCENTAGE OF THE 17 TOTAL PROPERTY VALUE IN THE SCHOOL DISTRICT CLASSIFIED AS 18 RESIDENTIAL BY THE STATE TAX EQUALIZATION BOARD. 19 "SCHOOL TAX RATIO." THE DOLLAR VALUE OF LOCAL TAXES 20 COLLECTED BY THE SCHOOL DISTRICT OR BY A CITY OF THE FIRST CLASS 21 FOR A SCHOOL DISTRICT OF THE FIRST CLASS DIVIDED BY THE PERSONAL 22 INCOME VALUATION OF THE SCHOOL DISTRICT. 23 SECTION 603-B. CERTIFICATION; CALCULATION OF MINIMUM AND MAXIMUM 24 MODIFIERS. 25 (A) SECRETARY OF THE BUDGET CERTIFICATION.--THE FOLLOWING 26 SHALL APPLY: 27 (1) NO LATER THAN MARCH 1, 2004, AND EACH MARCH 1 28 THEREAFTER, THE SECRETARY OF THE BUDGET SHALL CERTIFY THE 29 AMOUNT OF MONEY THAT WILL BE AVAILABLE FOR DISTRIBUTION TO 30 SCHOOL DISTRICTS UNDER THIS ARTICLE DURING THE FISCAL YEAR 20030H0113B2814 - 78 -
1 BEGINNING THE FOLLOWING JULY 1. THE SECRETARY OF THE BUDGET, 2 IN MAKING HIS CERTIFICATION, MAY TAKE INTO ACCOUNT MONEYS 3 THAT ARE THEN IN THE FUND AND MONEYS THAT HE DETERMINES ON A 4 SUSTAINABLE BASIS ARE REASONABLY EXPECTED TO BE DEPOSITED 5 INTO THE FUND IN THE NEXT FOLLOWING FISCAL YEAR. 6 (2) THE MINIMUM THE SECRETARY OF THE BUDGET MAY CERTIFY 7 UNDER THIS SUBSECTION IS $600,000,000. IF THE SECRETARY OF 8 THE BUDGET DETERMINES THAT LESS THAN $600,000,000 IS 9 AVAILABLE FOR DISTRIBUTION TO SCHOOL DISTRICTS UNDER THIS 10 ARTICLE, HIS CERTIFICATION SHALL STATE THAT NO FUNDS ARE 11 AVAILABLE FOR DISTRIBUTION. 12 (3) IF THE SECRETARY OF THE BUDGET CERTIFIES AN AMOUNT 13 EQUAL TO OR EXCEEDING $750,000,000, HE SHALL ESTABLISH A 14 MODIFIER VALUE FOR THE ALLOCATION MAXIMUM AND THE ALLOCATION 15 MINIMUM UNDER SUBSECTION (C). 16 (B) SCHOOL DISTRICT CERTIFICATION.--THE FOLLOWING SHALL 17 APPLY: 18 (1) SCHOOL DISTRICTS SHALL CERTIFY TO THE DEPARTMENT THE 19 AMOUNT OF THE MINIMUM LOCAL CONTRIBUTION BY DECEMBER 15 OF 20 EACH YEAR. THE CERTIFICATION SHALL BE BASED UPON THE PREVIOUS 21 FISCAL YEAR'S INCOME TAX REVENUES AND CASH FLOW EXPERIENCE. 22 THE DEPARTMENT SHALL FORWARD THE CERTIFICATION TO THE 23 SECRETARY OF THE BUDGET BY THE FOLLOWING JANUARY 15. 24 (2) FOR SCHOOL DISTRICTS THAT DO NOT IMPOSE AN INCOME 25 TAX PRIOR TO THE IMPLEMENTATION OF THIS ARTICLE, THE 26 DEPARTMENT SHALL CERTIFY TO THE SECRETARY OF THE BUDGET BY 27 JANUARY 15 AN ESTIMATE OF THE AMOUNT OF THE MINIMUM LOCAL 28 CONTRIBUTION BASED UPON THE MOST RECENT FINANCIAL INFORMATION 29 FORWARDED TO THE DEPARTMENT BY THE DEPARTMENT OF REVENUE AND 30 THE EXPECTED CASH FLOW. THE DEPARTMENT SHALL RECONCILE 20030H0113B2814 - 79 -
1 ESTIMATES MADE PURSUANT TO THIS SUBSECTION WITH ACTUAL 2 COLLECTIONS IN THE SUBSEQUENT YEAR. 3 (3) IF A SCHOOL DISTRICT FAILS TO MAKE A CERTIFICATION 4 TO THE DEPARTMENT UNDER PARAGRAPH (1), THE DEPARTMENT MAY 5 CERTIFY TO THE SECRETARY OF THE BUDGET AN AMOUNT BASED UPON 6 THE MOST RECENT FINANCIAL INFORMATION FORWARDED TO THE 7 DEPARTMENT BY THE DEPARTMENT OF REVENUE. 8 (C) ALLOCATION MODIFIERS.--THE SECRETARY OF THE BUDGET SHALL 9 CALCULATE MODIFIERS FOR THE ALLOCATION MAXIMUM AND THE 10 ALLOCATION MINIMUM BASED ON THE AMOUNT CERTIFIED UNDER 11 SUBSECTION (A). 12 (1) IF THE AMOUNT CERTIFIED BY THE SECRETARY OF THE 13 BUDGET FOR A FISCAL YEAR EXCEEDS $750,000,000, THE MINIMUM 14 MODIFIER FOR THE ALLOCATION MINIMUM SHALL BE A VALUE OF .005 15 PER $50,000,000 IN EXCESS OF $750,000,000. THE MODIFIER FOR 16 THE ALLOCATION MINIMUM SHALL NOT EXCEED 0.05. 17 (2) IF THE AMOUNT CERTIFIED BY THE SECRETARY OF THE 18 BUDGET FOR A FISCAL YEAR EXCEEDS $750,000,000, THE MINIMUM 19 MODIFIER FOR THE ALLOCATION MAXIMUM SHALL BE A VALUE OF .02 20 PER $50,000,000 IN EXCESS OF $750,000,000. THE MODIFIER FOR 21 THE ALLOCATION MAXIMUM SHALL NOT EXCEED 0.2. 22 SECTION 604-B. STATE PROPERTY TAX REDUCTION ALLOCATION. 23 (A) ADMINISTRATION.--THE DEPARTMENT OF EDUCATION SHALL DO 24 ALL OF THE FOLLOWING: 25 (1) ARRAY THE 2001 PERSONAL INCOME VALUATION DIVIDED BY 26 THE 2001-2002 AVERAGE DAILY MEMBERSHIP, THE 2003-2004 MARKET- 27 VALUE/INCOME-AID RATIO, THE 2001-2002 EQUALIZED MILLAGE AND 28 THE 2001-2002 SCHOOL TAX RATIO OF EACH SCHOOL DISTRICT IN 29 RANK ORDER AND ASSIGN EACH SCHOOL DISTRICT A DISCREET 30 NUMERICAL RANK FOR ITS PERSONAL INCOME VALUATION PER AVERAGE 20030H0113B2814 - 80 -
1 DAILY MEMBERSHIP, ITS MARKET-VALUE/INCOME-AID RATIO, ITS 2 EQUALIZED MILLAGE AND ITS SCHOOL TAX RATIO. FOR THE NUMERICAL 3 RANK OF A SCHOOL DISTRICT'S PERSONAL INCOME VALUATION PER 4 AVERAGE DAILY MEMBERSHIP, THE SCHOOL DISTRICT WITH THE LOWEST 5 PERSONAL INCOME VALUATION PER AVERAGE DAILY MEMBERSHIP SHALL 6 HAVE THE HIGHEST NUMERICAL RANK. FOR THE NUMERICAL RANK OF A 7 SCHOOL DISTRICT'S MARKET-VALUE/INCOME-AID RATIO, THE SCHOOL 8 DISTRICT WITH THE HIGHEST MARKET-VALUE/INCOME-AID RATIO SHALL 9 HAVE THE HIGHEST NUMERICAL RANK; PROVIDED THAT ALL SCHOOL 10 DISTRICTS WITH A MARKET-VALUE/INCOME-AID RATIO EQUAL TO 0.15 11 SHALL RECEIVE A RANKING OF 1. FOR THE NUMERICAL RANK OF A 12 SCHOOL DISTRICT'S EQUALIZED MILLAGE, THE SCHOOL DISTRICT WITH 13 THE HIGHEST EQUALIZED MILLAGE SHALL HAVE THE HIGHEST 14 NUMERICAL RANK. FOR THE NUMERICAL RANK OF A SCHOOL DISTRICT'S 15 SCHOOL TAX RATIO, THE SCHOOL DISTRICT WITH THE HIGHEST SCHOOL 16 TAX RATIO SHALL HAVE THE HIGHEST NUMERICAL RANK. 17 (2) ASSIGN EACH SCHOOL DISTRICT A PROPERTY TAX REDUCTION 18 INDEX. 19 (3) CALCULATE THE PROPERTY TAX REDUCTION ALLOCATION FOR 20 EACH SCHOOL DISTRICT BY MULTIPLYING THE SCHOOL DISTRICT'S 21 ESTIMATED 2002-2003 AVERAGE DAILY MEMBERSHIP BY THE PROPERTY 22 TAX REDUCTION INDEX OF THE SCHOOL DISTRICT AND MULTIPLYING 23 THAT PRODUCT BY THE NECESSARY FACTOR IN ORDER TO ALLOCATE ALL 24 OF THE FUNDS IN THE FUND AS CERTIFIED UNDER SECTION 603-B(A), 25 EXCEPT AS FOLLOWS: 26 (I) A SCHOOL DISTRICT FOR WHICH THE ALLOCATION UNDER 27 THIS PARAGRAPH IS LESS THAN THE PRODUCT OF THE 2001-2002 28 RESIDENTIAL PROPERTY TAX OF THE SCHOOL DISTRICT AND THE 29 ALLOCATION MINIMUM SHALL RECEIVE AN ADDITIONAL AMOUNT SO 30 THAT THE SUM OF THE TOTAL ALLOCATION UNDER THIS PARAGRAPH 20030H0113B2814 - 81 -
1 AND THE MINIMUM LOCAL CONTRIBUTION IS EQUAL TO THE 2 PRODUCT OF THE RESIDENTIAL PROPERTY TAX OF THE SCHOOL 3 DISTRICT AND THE ALLOCATION MINIMUM. 4 (II) A SCHOOL DISTRICT FOR WHICH THE SUM OF THE 5 TOTAL ALLOCATION UNDER THIS PARAGRAPH AND THE MINIMUM 6 LOCAL CONTRIBUTION IS GREATER THAN THE PRODUCT OF THE 7 2001-2002 RESIDENTIAL PROPERTY TAX OF THE SCHOOL DISTRICT 8 AND THE ALLOCATION MAXIMUM SHALL RECEIVE A TOTAL 9 ALLOCATION SUCH THAT THE SUM OF THE TOTAL ALLOCATION AND 10 THE MINIMUM LOCAL CONTRIBUTION IS EQUAL TO THE PRODUCT OF 11 THE RESIDENTIAL PROPERTY TAX OF THE SCHOOL DISTRICT AND 12 THE ALLOCATION MAXIMUM, EXCEPT AS PROVIDED IN SUBSECTION 13 (D). 14 (4) NOTIFY EACH SCHOOL DISTRICT OF THE AMOUNT OF ITS 15 PROPERTY TAX REDUCTION ALLOCATION NO LATER THAN MARCH 15 OF 16 EACH YEAR. 17 (B) PAYMENT.--FOR THE FISCAL YEAR COMMENCING JULY 1, 2004, 18 AND JULY 1 OF EACH FISCAL YEAR THEREAFTER, THE COMMONWEALTH 19 SHALL PAY TO EACH ELIGIBLE SCHOOL DISTRICT A PROPERTY TAX 20 REDUCTION ALLOCATION UNDER THE PROVISIONS OF ARTICLE VI-A EQUAL 21 TO THE AMOUNT CALCULATED UNDER SUBSECTION (A)(3). PAYMENTS 22 REQUIRED UNDER THIS SUBSECTION SHALL BE MADE PURSUANT TO SECTION 23 2517(C). 24 (C) DATA.--THE DATA ELEMENTS USED TO DETERMINE THE 25 CALCULATIONS WITHIN THIS SECTION SHALL BE BASED ON THE MOST 26 RECENT DATA, CERTIFIED BY THE DEPARTMENT. 27 (D) FIRST CLASS SCHOOL DISTRICTS.--THE LIMITATION IN 28 SUBSECTION (A)(3)(II) SHALL NOT APPLY TO THE CALCULATION OF THE 29 PROPERTY TAX REDUCTION ALLOCATION FOR A SCHOOL DISTRICT OF THE 30 FIRST CLASS. 20030H0113B2814 - 82 -
1 (E) REDUCTION OF WAGE TAXES IN A CITY OF THE FIRST CLASS.--A 2 CITY COUNCIL OF A CITY OF THE FIRST CLASS SHALL REDUCE ANY TAX 3 IMPOSED ON THE WAGES OF RESIDENTS AND NONRESIDENTS UNDER THE 4 AUTHORITY OF THE ACT OF AUGUST 5, 1932 (SP.SESS., P.L.45, 5 NO.45), REFERRED TO AS THE STERLING ACT, IN A MANNER CONSISTENT 6 WITH ARTICLE VI-C AND IN ACCORDANCE WITH THE FOLLOWING: 7 (1) FOR RESIDENTS, BY AN AMOUNT EQUAL TO THE AMOUNT OF 8 THE PROPERTY TAX REDUCTION ALLOCATION RECEIVED FROM THE 9 COMMONWEALTH PURSUANT TO SUBSECTION (B) IN AN AMOUNT NOT TO 10 EXCEED THE LIMITATIONS SET FORTH IN SUBSECTION (A)(3)(II) HAD 11 SUCH LIMITATIONS APPLIED. 12 (2) FOR NONRESIDENTS, BY ANY AMOUNT EQUAL TO THE AMOUNT 13 OF THE PROPERTY TAX REDUCTION ALLOCATION RECEIVED FROM THE 14 COMMONWEALTH PURSUANT TO SUBSECTION (B) IN EXCESS OF THE 15 LIMITATIONS SET FORTH IN SUBSECTION (A)(3)(II) HAD SUCH 16 LIMITATIONS APPLIED. 17 ARTICLE VI-C 18 WAGE AND NET PROFITS TAX RELIEF IN CITIES 19 OF THE FIRST CLASS 20 SECTION 601-C. SCOPE. 21 THIS ARTICLE RELATES TO WAGE AND NET PROFITS TAX RELIEF IN 22 CITIES OF THE FIRST CLASS. 23 SECTION 602-C. DEFINITIONS. 24 (RESERVED) 25 SECTION 603-C. TAX RELIEF. 26 (A) TAX REDUCTION.--A CITY OF THE FIRST CLASS MAY REDUCE THE 27 RATE OF WAGE AND NET PROFITS TAX TO OBTAIN THE COMMONWEALTH 28 FUNDING UNDER THIS ARTICLE. IF THE CITY ELECTS TO REDUCE TAXES 29 PURSUANT TO THIS ARTICLE, FUNDS RECEIVED BY A CITY OF THE FIRST 30 CLASS UNDER THIS ARTICLE FROM THE FUND SHALL BE USED TO OFFSET A 20030H0113B2814 - 83 -
1 REDUCTION BY THE CITY IN FISCAL YEAR 2004-2005 AND EACH FISCAL 2 YEAR THEREAFTER IN THE RATE OF TAX ON WAGES AND NET PROFITS FOR 3 BOTH RESIDENTS AND NONRESIDENTS AS PROVIDED FOR IN SUBSECTION 4 (B) WHICH REDUCTIONS SHALL REMAIN IN EFFECT FOR SO LONG AS SUCH 5 FUNDS ARE PAID TO THE CITY IN AN AMOUNT EQUAL TO THE COST OF 6 SUCH REDUCTIONS. 7 (B) CALCULATION OF REDUCTION.-- 8 (1) THE CITY SHALL CALCULATE THE AMOUNT OF THE RATE 9 REDUCTIONS SO THAT THEY EQUAL, BASED ON ESTIMATES CERTIFIED 10 BY THE CITY'S DIRECTOR OF FINANCE AND APPROVED BY THE 11 PENNSYLVANIA INTERGOVERNMENTAL COOPERATION AUTHORITY PRIOR TO 12 THE IMPLEMENTATION OF THE REDUCTIONS, IN COMBINATION WITH ANY 13 REDUCTION IN THE RATE OF UNEARNED INCOME TAX IMPOSED BY A 14 SCHOOL DISTRICT IN THE CITY OF THE FIRST CLASS REQUIRED BY 15 THE ACT OF AUGUST 9, 1963 (P.L.640, NO.338), ENTITLED "AN ACT 16 EMPOWERING CITIES OF THE FIRST CLASS, COTERMINOUS WITH SCHOOL 17 DISTRICTS OF THE FIRST CLASS, TO AUTHORIZE THE BOARDS OF 18 PUBLIC EDUCATION OF SUCH SCHOOL DISTRICTS TO IMPOSE CERTAIN 19 ADDITIONAL TAXES FOR SCHOOL DISTRICT PURPOSES, AND PROVIDING 20 FOR THE LEVY, ASSESSMENT AND COLLECTION OF SUCH TAXES," AS A 21 RESULT OF THE REDUCTION IN THE RATE OF WAGE AND NET PROFITS 22 TAX, THE AMOUNT PAID TO THE CITY FROM THE FUND FOR TAX 23 REDUCTIONS. THE CITY SHALL, EACH YEAR, TRANSFER TO SUCH 24 SCHOOL DISTRICT AN AMOUNT EQUAL TO THE COST OF ANY REDUCTION 25 IN THE RATE OF UNEARNED INCOME TAX CAUSED BY THE RATE; AND 26 SUCH TRANSFER SHALL NOT BE SUBJECT TO THE PROVISIONS OF 27 SECTION 696(H). 28 (2) THE TAX RATE REDUCTIONS IMPLEMENTED BY A CITY OF THE 29 FIRST CLASS PURSUANT TO THIS PARAGRAPH SHALL BE IN ADDITION 30 TO THE FOLLOWING SCHEDULE OF PERCENTAGES OF WAGE AND NET 20030H0113B2814 - 84 -
1 PROFITS TAX RATE REDUCTIONS ALREADY SCHEDULED TO OCCUR: 2 (I) IN 2005, 2.0728% FOR RESIDENTS AND 0.8402% FOR 3 NONRESIDENTS. 4 (II) IN 2006, 0.8581% FOR RESIDENTS AND 0.8473% FOR 5 NONRESIDENTS. 6 (III) IN 2007, 0.8656% FOR RESIDENTS AND 0.8545% FOR 7 NONRESIDENTS. 8 (IV) IN 2008, 0.8731% FOR RESIDENTS AND 0.8619% FOR 9 NONRESIDENTS. 10 (C) EXCEPTIONS.--THE WAGE AND NET PROFITS TAX RATES CAN ONLY 11 BE RAISED ABOVE THE RATES SPECIFIED IN SUBSECTION (B)(2) BY SUCH 12 AMOUNT THAT IS NECESSARY TO RESPOND TO ANY OF THE FOLLOWING: 13 (1) A FISCAL THREAT OR CONDITION, AS CERTIFIED BY THE 14 CITY'S DIRECTOR OF FINANCE AND APPROVED BY THE PENNSYLVANIA 15 INTERGOVERNMENTAL COOPERATION AUTHORITY, THAT OCCURS TO THE 16 CITY AS SET FORTH IN SECTION 614-A(F) OR AN EQUIVALENT FISCAL 17 THREAT THAT AFFECTS THE CITIZENS OF THE CITY. IT SHALL BE THE 18 RESPONSIBILITY OF THE CITY'S DIRECTOR OF FINANCE WITH THE 19 APPROVAL OF THE PENNSYLVANIA INTERGOVERNMENTAL COOPERATION 20 AUTHORITY TO INSURE THAT THE ADDITIONAL TAX REVENUE RAISED IS 21 EQUAL TO THE AMOUNT EXPENDED TO RESPOND TO THE FISCAL THREAT 22 OR CONDITION. IF THE AMOUNT OF REVENUE RAISED THROUGH RATE 23 ADJUSTMENT EXCEEDS THE AMOUNT NECESSARY TO RESPOND, OVER THE 24 COURSE OF THE CITY'S APPROVED FINANCIAL PLAN, TO THE FISCAL 25 THREAT, ALL OF THE EXCESS AMOUNT SHALL BE USED FOR WAGE TAX 26 AND NET PROFITS TAX REDUCTION IN THE IMMEDIATELY SUCCEEDING 27 APPROVED FINANCIAL PLAN, BUT ONLY IF THE RATE REDUCTION 28 (EXPRESSED AS THE DIFFERENCE BETWEEN THE TWO RATES) WOULD 29 EXCEED .0002. 30 (2) A DECREASE OF MORE THAN 2% IN THE AMOUNT OF TOTAL 20030H0113B2814 - 85 -
1 TAX COLLECTIONS PLUS ANY FUNDS PROVIDED UNDER THIS ARTICLE 2 FROM THE PRECEDING YEAR'S COLLECTIONS. SUCH A DETERMINATION 3 OF A DECREASE MUST BE ATTESTED TO BY THE CITY'S DIRECTOR OF 4 FINANCE AND AGREED TO BY THE PENNSYLVANIA INTERGOVERNMENTAL 5 COOPERATION AUTHORITY. 6 (3) A DECLARATION BY THE PENNSYLVANIA INTERGOVERNMENTAL 7 COOPERATION AUTHORITY THAT THE CITY'S FIVE-YEAR PLAN IS 8 DISAPPROVED PURSUANT TO SECTION 209 OF THE ACT OF JUNE 5, 9 1991 (P.L.9, NO.6), KNOWN AS THE PENNSYLVANIA 10 INTERGOVERNMENTAL COOPERATION AUTHORITY ACT FOR CITIES OF THE 11 FIRST CLASS. 12 (4) FEDERAL OR STATE LAW IMPOSES A NEW UNFUNDED MANDATE 13 ON THE CITY THAT COSTS THE CITY MORE THAN 1.5% OF THE CITY'S 14 TOTAL GENERAL FUND EXPENDITURES IN ANY FISCAL YEAR. 15 (5) THE COST TO THE CITY OF AN EXISTING MANDATE IMPOSED 16 BY FEDERAL OR STATE LAW INCREASES BY MORE THAN 1.5% OF THE 17 CITY'S TOTAL GENERAL FUND EXPENDITURES IN ANY FISCAL YEAR AND 18 FUNDS TO PAY FOR THE INCREASE ARE NOT APPROPRIATED TO THE 19 CITY BY THE FEDERAL OR STATE GOVERNMENT. 20 (6) EXISTING FEDERAL OR STATE FUNDING IS DECREASED BY 21 1.5% OF THE CITY'S TOTAL GENERAL FUND EXPENDITURES IN ANY 22 FISCAL YEAR. 23 (D) EXCESS FUNDS.--IF IN ANY FISCAL YEAR THE SUMS RECEIVED 24 BY A CITY OF THE FIRST CLASS FROM THE FUND ARE IN EXCESS OF THE 25 VALUE OF THE TAX RATE REDUCTIONS ACTUALLY MADE BY THE CITY 26 PURSUANT TO SUBSECTION (A), THE CITY SHALL, WITHIN 60 DAYS 27 FOLLOWING THE CERTIFICATION BY THE DIRECTOR OF FINANCE, IN 28 CONSULTATION WITH THE SECRETARY OF THE BUDGET AND WITH THE 29 APPROVAL OF THE PENNSYLVANIA INTERGOVERNMENTAL COOPERATION 30 AUTHORITY OF THE AMOUNT OF THE EXCESS, DO ANY OF THE FOLLOWING: 20030H0113B2814 - 86 -
1 (1) REPAY TO THE FUND THE EXCESS SUMS; OR 2 (2) FURTHER REDUCE WAGE AND NET PROFITS TAX RATES AND 3 UNEARNED INCOME TAX RATES, IF REQUIRED, IN THE FISCAL YEAR 4 NEXT FOLLOWING THE DETERMINATION OF THE EXCESS, BY AN AMOUNT 5 THAT WILL RESULT IN TOTAL TAX RATE REDUCTIONS REQUIRED FOR 6 THE AMOUNT RECEIVED FROM THE FUND. TO THE EXTENT THE RATE 7 REDUCTION PROVIDED FOR IN PARAGRAPH (2), EXPRESSED AS THE 8 DIFFERENCE BETWEEN THE TWO RATES, WOULD NOT EXCEED .0002, 9 THIS SUBSECTION SHALL NOT APPLY. 10 (E) INSUFFICIENT FUNDS.--IF IN ANY FISCAL YEAR THE DIRECTOR 11 OF FINANCE CERTIFIES, IN CONSULTATION WITH THE SECRETARY OF THE 12 BUDGET AND WITH THE APPROVAL OF THE PENNSYLVANIA 13 INTERGOVERNMENTAL COOPERATION AUTHORITY, THAT THE AMOUNT OF SUMS 14 RECEIVED BY THE CITY FROM THE FUND ARE LESS THAN THE VALUE OF 15 THE TAX RATE REDUCTIONS ACTUALLY MADE BY THE CITY PURSUANT TO 16 SUBSECTION (A), THE CITY MAY, IN THE FISCAL YEAR NEXT FOLLOWING 17 THE DETERMINATION OF THE AMOUNT, INCREASE THE CITY'S WAGE AND 18 NET PROFITS TAX RATE ABOVE THE RATES SPECIFIED IN SUBSECTION 19 (B)(2) BY AN AMOUNT THAT WILL RESULT IN AN OVERALL TAX RATE 20 REDUCTION EQUAL TO THAT REQUIRED FOR THE AMOUNT RECEIVED BY THE 21 CITY FROM THE FUND. TO THE EXTENT THE RATE INCREASE PROVIDED FOR 22 IN THIS SUBSECTION, EXPRESSED AS THE DIFFERENCE BETWEEN THE TWO 23 RATES, WOULD NOT EXCEED .0002, THIS SUBSECTION SHALL NOT APPLY. 24 SECTION 9. SECTION 922.1-A OF THE ACT, AMENDED OR ADDED 25 AUGUST 1, 1975 (P.L.180, NO.89), AUGUST 24, 1977 (P.L.199, 26 NO.59), OCTOBER 10, 1980 (P.L.924, NO.159) AND MAY 10, 2000 27 (P.L.44, NO.16), IS REENACTED TO READ: 28 SECTION 922.1-A. AUXILIARY SERVICES.--(A) LEGISLATIVE 29 FINDING; DECLARATION OF POLICY. THE WELFARE OF THE COMMONWEALTH 30 REQUIRES THAT THE PRESENT AND FUTURE GENERATION OF SCHOOL AGE 20030H0113B2814 - 87 -
1 CHILDREN BE ASSURED AMPLE OPPORTUNITY TO DEVELOP TO THE FULLEST, 2 THEIR INTELLECTUAL CAPACITIES. IT IS THE INTENT OF THE GENERAL 3 ASSEMBLY BY THIS ENACTMENT TO ENSURE THAT THE INTERMEDIATE UNITS 4 IN THE COMMONWEALTH SHALL FURNISH ON AN EQUAL BASIS AUXILIARY 5 SERVICES TO ALL PUPILS IN THE COMMONWEALTH IN BOTH PUBLIC AND 6 NONPROFIT NONPUBLIC SCHOOLS. 7 (B) DEFINITIONS. THE FOLLOWING TERMS, WHENEVER USED OR 8 REFERRED TO IN THIS SECTION, SHALL HAVE THE FOLLOWING MEANINGS, 9 EXCEPT IN THOSE CIRCUMSTANCES WHERE THE CONTEXT CLEARLY 10 INDICATES OTHERWISE: 11 "AUXILIARY SERVICES" MEANS GUIDANCE, COUNSELING AND TESTING 12 SERVICES; PSYCHOLOGICAL SERVICES; VISUAL SERVICES AS DEFINED IN 13 SECTION 923.2-A; SERVICES FOR EXCEPTIONAL CHILDREN; REMEDIAL 14 SERVICES; SPEECH AND HEARING SERVICES; SERVICES FOR THE 15 IMPROVEMENT OF THE EDUCATIONALLY DISADVANTAGED (SUCH AS, BUT NOT 16 LIMITED TO, THE TEACHING OF ENGLISH AS A SECOND LANGUAGE), AND 17 SUCH OTHER SECULAR, NEUTRAL, NONIDEOLOGICAL SERVICES AS ARE OF 18 BENEFIT TO ALL SCHOOL CHILDREN AND ARE PRESENTLY OR HEREAFTER 19 PROVIDED FOR PUBLIC SCHOOL CHILDREN OF THE COMMONWEALTH. 20 "NONPUBLIC SCHOOL" MEANS NONPROFIT SCHOOL, OTHER THAN A 21 PUBLIC SCHOOL WITHIN THE COMMONWEALTH OF PENNSYLVANIA, WHEREIN A 22 RESIDENT OF THE COMMONWEALTH MAY LEGALLY FULFILL THE COMPULSORY 23 SCHOOL ATTENDANCE REQUIREMENTS OF THIS ACT AND WHICH MEET THE 24 REQUIREMENTS OF TITLE VI OF THE CIVIL RIGHTS ACT OF 1964 25 (PUB.L.88-352; 42 U.S.C. SECTION 2000 ET SEQ). 26 (C) PROGRAM OF AUXILIARY SERVICES. STUDENTS ATTENDING 27 NONPUBLIC SCHOOLS SHALL BE FURNISHED A PROGRAM OF AUXILIARY 28 SERVICES WHICH ARE PROVIDED TO PUBLIC SCHOOL STUDENTS IN THE 29 SCHOOL DISTRICT IN WHICH THEIR NONPUBLIC SCHOOL IS LOCATED. THE 30 PROGRAM OF AUXILIARY SERVICES SHALL BE PROVIDED BY THE 20030H0113B2814 - 88 -
1 INTERMEDIATE UNIT IN WHICH THE NONPUBLIC SCHOOL IS LOCATED, IN 2 ACCORDANCE WITH STANDARDS OF THE SECRETARY OF EDUCATION. BEFORE 3 AN INTERMEDIATE UNIT MAKES ANY DECISION THAT AFFECTS THE 4 OPPORTUNITIES FOR CHILDREN ATTENDING NONPUBLIC SCHOOLS TO 5 PARTICIPATE IN THE AUXILIARY SERVICES PROVIDED UNDER THIS 6 SECTION, THE INTERMEDIATE UNIT SHALL CONSULT WITH SUCH NONPUBLIC 7 SCHOOLS TO DETERMINE AT A MINIMUM: WHICH GENERAL CATEGORIES OF 8 CHILDREN SHALL RECEIVE SERVICES; WHAT SERVICES SHALL BE 9 PROVIDED; HOW AND WHERE THE SERVICES SHALL BE PROVIDED; AND HOW 10 THE SERVICES SHALL BE EVALUATED. SUCH SERVICES SHALL BE PROVIDED 11 DIRECTLY TO THE NONPUBLIC SCHOOL STUDENTS BY THE INTERMEDIATE 12 UNIT IN THE SCHOOLS WHICH THE STUDENTS ATTEND, IN MOBILE 13 INSTRUCTIONAL UNITS LOCATED ON THE GROUNDS OF SUCH SCHOOLS OR IN 14 ANY ALTERNATIVE SETTING MUTUALLY AGREED UPON BY THE SCHOOL AND 15 THE INTERMEDIATE UNIT, TO THE EXTENT PERMITTED BY THE 16 CONSTITUTION OF THE UNITED STATES AND THE CONSTITUTION OF THE 17 COMMONWEALTH OF PENNSYLVANIA. 18 SUCH AUXILIARY SERVICES SHALL BE PROVIDED DIRECTLY BY THE 19 INTERMEDIATE UNITS AND NO AUXILIARY SERVICES PRESENTLY PROVIDED 20 TO PUBLIC SCHOOL STUDENTS BY THE INTERMEDIATE UNITS AND/OR 21 SCHOOL DISTRICTS BY MEANS OF STATE OR LOCAL REVENUES, DURING THE 22 SCHOOL YEAR 1974-1975, SHALL BE ELIMINATED. NO SCHOOL DISTRICTS 23 SHALL BE REQUIRED, PURSUANT TO ANY SECTION OF THIS ACT, TO OFFER 24 AUXILIARY SERVICES PROVIDED BY ANY OTHER SCHOOL DISTRICTS WITHIN 25 SUCH INTERMEDIATE UNITS. 26 (D) ALLOCATIONS. IN JULY OF 1977 AND ANNUALLY THEREAFTER IN 27 JULY, THE SECRETARY OF EDUCATION SHALL ALLOCATE TO EACH 28 INTERMEDIATE UNIT AN AMOUNT EQUAL TO THE NUMBER OF NONPUBLIC 29 SCHOOL STUDENTS AS OF OCTOBER 1 OF THE PRECEDING SCHOOL YEAR WHO 30 ARE ENROLLED IN NONPUBLIC SCHOOLS WITHIN THE INTERMEDIATE UNIT 20030H0113B2814 - 89 -
1 TIMES SEVENTY-TWO DOLLARS ($72). THE SECRETARY OF EDUCATION 2 SHALL INCREASE THIS FIGURE ON A PROPORTIONATE BASIS WHENEVER 3 THERE IS AN INCREASE IN THE MEDIAN ACTUAL INSTRUCTION EXPENSE 4 PER WADM AS DEFINED IN CLAUSE (12.1) OF SECTION 2501 OF THIS 5 ACT. THE COMMONWEALTH SHALL PAY TO EACH INTERMEDIATE UNIT 6 FIFTEEN PER CENTUM (15%) OF ITS ALLOCATION ON AUGUST 1, SEVENTY- 7 FIVE PER CENTUM (75%) ON OCTOBER 1, AND THE REMAINING TEN PER 8 CENTUM (10%) ON THE FIRST DAY OF FEBRUARY. 9 (E) LIMITATIONS. THE INTERMEDIATE UNIT SHALL NOT USE MORE 10 THAN SIX PER CENTUM (6%) OF THE FUNDS IT RECEIVES FOR 11 ADMINISTRATION OR EIGHTEEN PER CENTUM (18%) FOR RENTAL OF 12 FACILITIES. THE DEPARTMENT OF EDUCATION SHALL NOT USE MORE THAN 13 ONE PER CENTUM (1%) OF THE FUNDS IT ALLOCATES UNDER THIS SECTION 14 FOR ADMINISTRATIVE EXPENSES. IF ALL FUNDS ALLOCATED BY THE 15 INTERMEDIATE UNITS TO ADMINISTRATION, OR RENTAL FACILITIES ARE 16 NOT EXPENDED FOR THOSE PURPOSES, SUCH FUNDS MAY BE USED FOR THE 17 PROGRAM COSTS. 18 (F) INTEREST. THERE SHALL BE NO ADJUSTMENT IN THE ALLOCATION 19 AS PROVIDED IN SUBSECTION (D) BECAUSE OF INTEREST EARNED ON THE 20 ALLOCATIONS BY THE INTERMEDIATE UNITS. INTEREST SO EARNED SHALL 21 BE USED FOR THE PURPOSE OF THIS SECTION BUT SHALL NOT BE SUBJECT 22 TO THE LIMITATIONS OF SUBSECTION (E). 23 (G) PRELIMINARY BUDGET. ANNUALLY, EACH INTERMEDIATE UNIT 24 SHALL SUBMIT TO THE SECRETARY A PRELIMINARY BUDGET ON OR BEFORE 25 JANUARY 31 AND A FINAL BUDGET ON OR BEFORE JUNE 15, FOR THE 26 SUCCEEDING YEAR; AND SHALL FILE A FINAL FINANCIAL REPORT ON OR 27 BEFORE OCTOBER 31 FOR THE PRECEDING YEAR. 28 SECTION 10. SECTION 923-A OF THE ACT, AMENDED OR ADDED JULY 29 12, 1972 (P.L.863, NO.195), JULY 18, 1974 (P.L.475, NO.169), 30 AUGUST 1, 1975 (P.L.183, NO.90) AND JUNE 22, 2001 (P.L.530, 20030H0113B2814 - 90 -
1 NO.35), IS REENACTED TO READ: 2 SECTION 923-A. LOAN OF TEXTBOOKS, INSTRUCTIONAL MATERIALS 3 AND INSTRUCTIONAL EQUIPMENT, NONPUBLIC SCHOOL CHILDREN.--(A) 4 LEGISLATIVE FINDINGS; DECLARATION OF POLICY. THE WELFARE OF THE 5 COMMONWEALTH REQUIRES THAT THE PRESENT AND FUTURE GENERATIONS OF 6 SCHOOL AGE CHILDREN BE ASSURED AMPLE OPPORTUNITY TO DEVELOP TO 7 THE FULLEST THEIR INTELLECTUAL CAPACITIES. TO FURTHER THIS 8 OBJECTIVE, THE COMMONWEALTH PROVIDES, THROUGH TAX FUNDS OF THE 9 COMMONWEALTH, TEXTBOOKS AND INSTRUCTIONAL MATERIALS FREE OF 10 CHARGE TO CHILDREN ATTENDING PUBLIC SCHOOLS WITHIN THE 11 COMMONWEALTH. APPROXIMATELY ONE QUARTER OF ALL CHILDREN IN THE 12 COMMONWEALTH, IN COMPLIANCE WITH THE COMPULSORY ATTENDANCE 13 PROVISIONS OF THIS ACT, ATTEND NONPUBLIC SCHOOLS. ALTHOUGH THEIR 14 PARENTS ARE TAXPAYERS OF THE COMMONWEALTH, THESE CHILDREN DO NOT 15 RECEIVE TEXTBOOKS OR INSTRUCTIONAL MATERIALS FROM THE 16 COMMONWEALTH. IT IS THE INTENT OF THE GENERAL ASSEMBLY BY THIS 17 ENACTMENT TO ASSURE SUCH A DISTRIBUTION OF SUCH EDUCATIONAL AIDS 18 THAT EVERY SCHOOL CHILD IN THE COMMONWEALTH WILL EQUITABLY SHARE 19 IN THE BENEFITS THEREOF. 20 (B) DEFINITIONS. THE FOLLOWING TERMS, WHENEVER USED OR 21 REFERRED TO IN THIS SECTION, SHALL HAVE THE FOLLOWING MEANINGS, 22 EXCEPT IN THOSE CIRCUMSTANCES WHERE THE CONTEXT CLEARLY 23 INDICATES OTHERWISE: 24 "INSTRUCTIONAL EQUIPMENT" MEANS INSTRUCTIONAL EQUIPMENT, 25 OTHER THAN FIXTURES ANNEXED TO AND FORMING PART OF THE REAL 26 ESTATE, WHICH IS SUITABLE FOR AND TO BE USED BY CHILDREN AND/OR 27 TEACHERS. THE TERM INCLUDES BUT IS NOT LIMITED TO PROJECTION 28 EQUIPMENT, RECORDING EQUIPMENT, LABORATORY EQUIPMENT, AND ANY 29 OTHER EDUCATIONAL SECULAR, NEUTRAL, NON-IDEOLOGICAL EQUIPMENT AS 30 MAY BE OF BENEFIT TO THE INSTRUCTION OF NONPUBLIC SCHOOL 20030H0113B2814 - 91 -
1 CHILDREN AND ARE PRESENTLY OR HEREAFTER PROVIDED FOR PUBLIC 2 SCHOOL CHILDREN OF THE COMMONWEALTH. 3 "INSTRUCTIONAL MATERIALS" MEANS BOOKS, PERIODICALS, 4 DOCUMENTS, PAMPHLETS, PHOTOGRAPHS, REPRODUCTIONS, PICTORIAL OR 5 GRAPHIC WORKS, MUSICAL SCORES, MAPS, CHARTS, GLOBES, SOUND 6 RECORDINGS, INCLUDING BUT NOT LIMITED TO THOSE ON DISCS AND 7 TAPES, PROCESSED SLIDES, TRANSPARENCIES, FILMS, FILMSTRIPS, 8 KINESCOPES, AND VIDEO TAPES, OR ANY OTHER PRINTED AND PUBLISHED 9 MATERIALS OF A SIMILAR NATURE MADE BY ANY METHOD NOW DEVELOPED 10 OR HEREAFTER TO BE DEVELOPED. THE TERM INCLUDES SUCH OTHER 11 SECULAR, NEUTRAL, NON-IDEOLOGICAL MATERIALS AS ARE OF BENEFIT TO 12 THE INSTRUCTION OF NONPUBLIC SCHOOL CHILDREN AND ARE PRESENTLY 13 OR HEREAFTER PROVIDED FOR PUBLIC SCHOOL CHILDREN OF THE 14 COMMONWEALTH. 15 "INSTRUCTIONAL MATERIALS" MEANS PRE-PREPARED LEARNING 16 MATERIALS WHICH ARE SECULAR, NEUTRAL AND NONIDEOLOGICAL IN 17 CHARACTER AND ARE OF BENEFIT TO THE INSTRUCTION OF SCHOOL 18 CHILDREN ON AN INDIVIDUAL BASIS AND ARE PRESENTLY OR HEREAFTER 19 PROVIDED FOR PUBLIC SCHOOL CHILDREN OF THE COMMONWEALTH. 20 "NONPUBLIC SCHOOL" MEANS ANY SCHOOL, OTHER THAN A PUBLIC 21 SCHOOL WITHIN THE COMMONWEALTH OF PENNSYLVANIA, WHEREIN A 22 RESIDENT OF THE COMMONWEALTH MAY LEGALLY FULFILL THE COMPULSORY 23 SCHOOL ATTENDANCE REQUIREMENTS OF THIS ACT AND WHICH MEET THE 24 REQUIREMENTS OF TITLE VI OF THE CIVIL RIGHTS ACT OF 1964 (PUBLIC 25 LAW 88-352). 26 "TEXTBOOKS" MEANS BOOKS, WORKBOOKS, INCLUDING REUSABLE AND 27 NON-REUSABLE WORKBOOKS, AND MANUALS, WHETHER BOUND OR IN 28 LOOSELEAF FORM, INTENDED FOR USE AS A PRINCIPAL SOURCE OF STUDY 29 MATERIAL FOR A GIVEN CLASS OR GROUP OF STUDENTS, A COPY OF WHICH 30 IS EXPECTED TO BE AVAILABLE FOR THE INDIVIDUAL USE OF EACH PUPIL 20030H0113B2814 - 92 -
1 IN SUCH CLASS OR GROUP. SUCH TEXTBOOKS SHALL BE TEXTBOOKS WHICH 2 ARE ACCEPTABLE FOR USE IN ANY PUBLIC, ELEMENTARY, OR SECONDARY 3 SCHOOL OF THE COMMONWEALTH. 4 (C) LOAN OF TEXTBOOKS, INSTRUCTIONAL MATERIALS AND 5 INSTRUCTIONAL EQUIPMENT. THE SECRETARY OF EDUCATION DIRECTLY, OR 6 THROUGH THE INTERMEDIATE UNITS, SHALL HAVE THE POWER AND DUTY TO 7 PURCHASE TEXTBOOKS, INSTRUCTIONAL MATERIALS AND INSTRUCTIONAL 8 EQUIPMENT AND, UPON INDIVIDUAL REQUEST, TO LOAN THEM TO ALL 9 CHILDREN RESIDING IN THE COMMONWEALTH WHO ARE ENROLLED IN GRADES 10 KINDERGARTEN THROUGH TWELVE OF A NONPUBLIC SCHOOL. SUCH 11 TEXTBOOKS, INSTRUCTIONAL MATERIALS AND INSTRUCTIONAL EQUIPMENT 12 SHALL BE LOANED FREE TO SUCH CHILDREN SUBJECT TO SUCH RULES AND 13 REGULATIONS AS MAY BE PRESCRIBED BY THE SECRETARY OF EDUCATION, 14 DUE REGARD BEING HAD TO THE FEASIBILITY OF MAKING LOANS OF 15 PARTICULAR INSTRUCTIONAL MATERIALS AND INSTRUCTIONAL EQUIPMENT 16 ON AN INDIVIDUAL BASIS. 17 (D) PURCHASE OF TEXTBOOKS, INSTRUCTIONAL MATERIALS AND 18 INSTRUCTIONAL EQUIPMENT. THE SECRETARY SHALL NOT BE REQUIRED TO 19 PURCHASE OR OTHERWISE ACQUIRE TEXTBOOKS, PURSUANT TO THIS 20 SECTION, THE TOTAL COST OF WHICH, IN ANY SCHOOL YEAR, SHALL 21 EXCEED AN AMOUNT EQUAL TO TWELVE DOLLARS ($12) FOR THE SCHOOL 22 YEAR 1973-1974, FIFTEEN DOLLARS ($15) FOR THE SCHOOL YEAR 23 BEGINNING JULY 1, 1974 AND TWENTY DOLLARS ($20) FOR EACH SCHOOL 24 YEAR THEREAFTER OR INSTRUCTIONAL MATERIALS AND INSTRUCTIONAL 25 EQUIPMENT, THE TOTAL COST OF WHICH, IN ANY SCHOOL YEAR, SHALL 26 EXCEED AN AMOUNT EQUAL TO TEN DOLLARS ($10), MULTIPLIED BY THE 27 NUMBER OF CHILDREN RESIDING IN THE COMMONWEALTH WHO ON THE FIRST 28 DAY OF OCTOBER OF THE SCHOOL YEAR IMMEDIATELY PRECEDING ARE 29 ENROLLED IN GRADES KINDERGARTEN THROUGH TWELVE OF A NONPUBLIC 30 SCHOOL. 20030H0113B2814 - 93 -
1 SECTION 11. ARTICLE XII-A OF THE ACT IS REPEALED. 2 SECTION 12. THE ACT IS AMENDED BY ADDING A SECTION TO READ: 3 SECTION 1550. FIREFIGHTER AND EMERGENCY SERVICE TRAINING.-- 4 (A) BEGINNING WITH THE 2003-2004 SCHOOL YEAR AND EACH SCHOOL 5 YEAR THEREAFTER, A SCHOOL DISTRICT MAY OFFER FIREFIGHTER AND 6 EMERGENCY SERVICE TRAINING AS CREDIT-EARNING COURSES TO STUDENTS 7 OF THE AGE OF SIXTEEN (16) YEARS OR OLDER. SUCH COURSES MAY 8 INCLUDE: 9 (1) TRAINING AS A FIREFIGHTER I FROM THE NATIONAL BOARD ON 10 FIRE SERVICE PROFESSIONAL QUALIFICATIONS. 11 (2) TRAINING AS AN EMERGENCY MEDICAL TECHNICIAN BY THE 12 DEPARTMENT OF HEALTH UNDER THE ACT OF JULY 3, 1985 (P.L.164, 13 NO.45), KNOWN AS THE "EMERGENCY MEDICAL SERVICES ACT." 14 (B) A SCHOOL DISTRICT THAT OFFERS FIREFIGHTER AND EMERGENCY 15 SERVICE TRAINING AS CREDIT-EARNING COURSES SHALL PROVIDE 16 TRANSPORTATION TO AND SUPERVISION DURING ANY FIREFIGHTER AND 17 EMERGENCY SERVICE TRAINING PROGRAM THAT TAKES PLACE OFF SCHOOL 18 GROUNDS. SUPERVISION OF TRAINING SHALL BE CONDUCTED AS A 19 COOPERATIVE EDUCATION PROGRAM IN ACCORDANCE WITH THE PROVISIONS 20 OF 22 PA. CODE § 11.28 (RELATING TO OUT-OF-SCHOOL PROGRAMS). 21 SECTION 13. THE HEADING OF ARTICLE XV-C OF THE ACT, ADDED 22 MAY 17, 2001 (P.L.4, NO.4), IS AMENDED TO READ: 23 ARTICLE XV-C. 24 EDUCATION SUPPORT SERVICES [PROGRAM.] AND EDUCATIONAL 25 ASSISTANCE PROGRAMS. 26 SECTION 14. SECTION 1501-C OF THE ACT, AMENDED JUNE 29, 2002 27 (P.L.524, NO.88), IS AMENDED TO READ: 28 SECTION 1501-C. DEFINITIONS. 29 THE FOLLOWING WORDS AND PHRASES WHEN USED IN THIS ARTICLE 30 SHALL HAVE THE MEANINGS GIVEN TO THEM IN THIS SECTION UNLESS THE 20030H0113B2814 - 94 -
1 CONTEXT CLEARLY INDICATES OTHERWISE: 2 "DEPARTMENT." THE DEPARTMENT OF EDUCATION OF THE 3 COMMONWEALTH. 4 "ELIGIBLE SCHOOL ENTITY." FOR THE PURPOSES OF THE 5 EDUCATIONAL ASSISTANCE PROGRAM OPERATED PURSUANT TO SECTIONS 6 1502-C AND 1512-C, A SCHOOL ENTITY WITH ONE OR MORE SCHOOLS 7 IDENTIFIED BY THE DEPARTMENT OF EDUCATION AS HAVING FAILED TO 8 MEET ACADEMIC PERFORMANCE TARGETS. 9 "ELIGIBLE STUDENT." A RESIDENT OF THIS COMMONWEALTH WHO IS 10 ENROLLED FULL TIME IN [THIRD, FOURTH, FIFTH OR SIXTH GRADE IN] A 11 SCHOOL ENTITY AND IS DEEMED ELIGIBLE PURSUANT TO EITHER SECTION 12 1502-C(B) OR SECTION 1512-C(B). 13 "ELIGIBILITY TEST." THE PENNSYLVANIA SYSTEM OF SCHOOL 14 ASSESSMENT OR A COMMERCIALLY PREPARED, STANDARDIZED ACHIEVEMENT 15 TEST APPROVED BY THE DEPARTMENT OF EDUCATION. A LIST OF APPROVED 16 TESTS UNDER THIS ARTICLE SHALL BE PUBLISHED ANNUALLY IN THE 17 PENNSYLVANIA BULLETIN. 18 "GRANT." A GRANT AWARDED TO A GRANT RECIPIENT UNDER THIS 19 ARTICLE. 20 "GRANT RECIPIENT." A RESIDENT OF THIS COMMONWEALTH WHO IS A 21 PARENT, GUARDIAN OR PERSON IN PARENTAL RELATION TO AN ELIGIBLE 22 STUDENT. 23 ["PROGRAM." THE EDUCATION SUPPORT SERVICES PROGRAM 24 ESTABLISHED IN SECTION 1502-C.] 25 "PROVIDER." A SCHOOL ENTITY, AN INSTITUTION OF HIGHER 26 EDUCATION, A NONPROFIT OR FOR-PROFIT ORGANIZATION OR A CERTIFIED 27 TEACHER EMPLOYED BY A SCHOOL ENTITY, THAT IS APPROVED BY THE 28 DEPARTMENT OF EDUCATION TO PROVIDE EDUCATION SUPPORT SERVICES OR 29 TUTORING UNDER THE EDUCATIONAL ASSISTANCE PROGRAM. 30 ["SCHOOL ENTITY." ANY OF THE FOLLOWING LOCATED IN THIS 20030H0113B2814 - 95 -
1 COMMONWEALTH: A SCHOOL DISTRICT, INTERMEDIATE UNIT, JOINT SCHOOL 2 DISTRICT, AREA VOCATIONAL-TECHNICAL SCHOOL, CHARTER SCHOOL, 3 INDEPENDENT SCHOOL, LICENSED PRIVATE ACADEMIC SCHOOL, ACCREDITED 4 SCHOOL, A SCHOOL REGISTERED UNDER SECTION 1327(B), THE SCOTLAND 5 SCHOOL FOR VETERANS' CHILDREN OR THE SCRANTON SCHOOL FOR THE 6 DEAF.] 7 "SCHOOL ENTITY." SHALL MEAN: 8 (1) FOR PURPOSES OF THE EDUCATIONAL SUPPORT SERVICES 9 PROGRAM, ANY OF THE FOLLOWING LOCATED IN THIS COMMONWEALTH; A 10 SCHOOL DISTRICT, INTERMEDIATE UNIT, JOINT SCHOOL DISTRICT, 11 AREA VOCATIONAL-TECHNICAL SCHOOL, CHARTER SCHOOL, INDEPENDENT 12 SCHOOL, LICENSED PRIVATE ACADEMIC SCHOOL, ACCREDITED SCHOOL, 13 A SCHOOL REGISTERED UNDER SECTION 1327(B), THE SCOTLAND 14 SCHOOL FOR VETERANS' CHILDREN OR THE SCRANTON SCHOOL FOR THE 15 DEAF. 16 (2) FOR PURPOSES OF THE EDUCATIONAL ASSISTANCE PROGRAM 17 ESTABLISHED IN SECTION 1502-C, ANY OF THE FOLLOWING LOCATED 18 IN THIS COMMONWEALTH; A SCHOOL DISTRICT, JOINT SCHOOL 19 DISTRICT, AREA VOCATIONAL-TECHNICAL SCHOOL OR INDEPENDENT 20 SCHOOL. 21 SECTION 15. SECTIONS 1502-C, 1503-C AND 1504-C OF THE ACT, 22 ADDED MAY 17, 2001 (P.L.4, NO.4), ARE AMENDED TO READ: 23 SECTION 1502-C. ESTABLISHMENT OF [PROGRAM] PROGRAMS. 24 (A) ESTABLISHMENT.--THE EDUCATION SUPPORT SERVICES PROGRAM 25 [IS] AND EDUCATIONAL ASSISTANCE PROGRAM ARE ESTABLISHED WITHIN 26 THE DEPARTMENT TO PROVIDE INDIVIDUAL OR SMALL GROUP INSTRUCTION 27 IN [READING AND MATHEMATICS] SUBJECT AREAS ASSESSED THROUGH THE 28 PENNSYLVANIA SYSTEM OF SCHOOL ASSESSMENT TESTS REQUIRED UNDER 29 THE NO CHILD LEFT BEHIND ACT OF 2001 TO STRENGTHEN THE SKILLS 30 THAT AN ELIGIBLE STUDENT NEEDS TO ACHIEVE THE STANDARDS IN 22 20030H0113B2814 - 96 -
1 PA. CODE CH. 4 (RELATING TO ACADEMIC STANDARDS AND ASSESSMENT), 2 WHICH SHALL BE PROVIDED AT A TIME OTHER THAN THE REGULARLY 3 SCHEDULED SCHOOL HOURS. 4 (B) ELIGIBILITY.--THE DEPARTMENT SHALL UTILIZE THE 5 PENNSYLVANIA SYSTEM OF SCHOOL ASSESSMENT TEST OR OTHER TEST 6 RESULTS TO IDENTIFY ELIGIBLE STUDENTS UNDER THIS ARTICLE. SCORES 7 USED TO DETERMINE ELIGIBLE STUDENTS IN EACH GRADE SHALL BE 8 PUBLISHED ANNUALLY IN THE PENNSYLVANIA BULLETIN. 9 (C) APPROVAL.--A PROVIDER MUST BE APPROVED BY THE DEPARTMENT 10 IN ORDER TO PROVIDE EDUCATION SUPPORT SERVICES OR TUTORING UNDER 11 THE EDUCATIONAL ASSISTANCE PROGRAM UNDER THIS ARTICLE. 12 SECTION 1503-C. [APPLICATION] EDUCATION SUPPORT SERVICES GRANT 13 APPLICATION AND APPROVAL. 14 (A) APPLICATION.--A PROSPECTIVE GRANT RECIPIENT SHALL APPLY 15 ANNUALLY TO THE DEPARTMENT FOR A GRANT TO PURCHASE EDUCATION 16 SUPPORT SERVICES FOR AN ELIGIBLE STUDENT FROM AN APPROVED 17 PROVIDER IN A TIME AND MANNER PRESCRIBED BY THE DEPARTMENT. 18 (B) REQUIRED INFORMATION.--AN APPLICATION SUBMITTED UNDER 19 THIS SECTION SHALL INCLUDE VERIFICATION OF THE ELIGIBILITY TEST 20 RESULTS AND SUCH OTHER INFORMATION AS THE DEPARTMENT MAY 21 REQUIRE. 22 SECTION 1504-C. POWERS AND DUTIES OF THE DEPARTMENT. 23 THE DEPARTMENT SHALL: 24 (1) ESTABLISH CRITERIA TO ANNUALLY IDENTIFY ELIGIBLE 25 STUDENTS [IN GRADES THREE, FOUR, FIVE AND SIX TO PARTICIPATE 26 IN THE PROGRAM UNDER SECTION 1502-C]. 27 (2) APPROVE PROVIDERS [OF EDUCATION SUPPORT SERVICES]. 28 (3) ADOPT STANDARDS, PROCEDURES AND GUIDELINES TO BE 29 USED TO APPROVE PROVIDERS [OF EDUCATION SUPPORT SERVICES 30 UNDER THIS ARTICLE]. 20030H0113B2814 - 97 -
1 (4) AWARD GRANTS TO A GRANT RECIPIENT IN AN AMOUNT NOT 2 TO EXCEED $500 PER FISCAL YEAR FOR EACH ELIGIBLE STUDENT. 3 (5) ESTABLISH MINIMUM QUALIFICATIONS FOR INDIVIDUALS 4 UTILIZED BY PROVIDERS OF EDUCATION SUPPORT SERVICES. 5 (6) ESTABLISH PERIODS DURING WHICH APPLICATIONS WILL BE 6 REVIEWED TO ACCOMMODATE THE DATES WHEN RESULTS OF APPROVED 7 ELIGIBILITY TESTS BECOME AVAILABLE. 8 (7) ASSESS PROVIDERS ON AN ANNUAL BASIS TO DETERMINE THE 9 ACADEMIC PROGRESS OF STUDENTS WHO RECEIVE INSTRUCTION UNDER 10 THIS ARTICLE. 11 (8) PROVIDE EDUCATIONAL ASSISTANCE FUNDING TO SCHOOL 12 ENTITIES PURSUANT TO SECTION 1512-C. 13 SECTION 16. SECTION 1505-C OF THE ACT, AMENDED JUNE 29, 2002 14 (P.L.524, NO.88), IS AMENDED TO READ: 15 SECTION 1505-C. PROVIDERS. 16 (A) APPLICATION.--A PROSPECTIVE PROVIDER SHALL SUBMIT AN 17 APPLICATION TO THE DEPARTMENT FOR APPROVAL TO PROVIDE EDUCATION 18 SUPPORT SERVICES OR TUTORING UNDER THE EDUCATIONAL ASSISTANCE 19 PROGRAM UNDER THIS ARTICLE. THE APPLICATION SHALL INCLUDE A 20 DESCRIPTION OF THE SERVICES TO BE PROVIDED, A DESCRIPTION OF THE 21 CURRICULUM TO BE USED, THE COST OF THE SERVICES, THE 22 QUALIFICATION OF ALL INDIVIDUALS PROVIDING THOSE SERVICES, 23 INCLUDING EVIDENCE OF COMPLIANCE WITH SECTION 111 AND WITH 23 24 PA.C.S. § 6355 (RELATING TO REQUIREMENT), A DESCRIPTION OF AN 25 ASSESSMENT MECHANISM TO BE USED TO DETERMINE THE ACADEMIC 26 PROGRESS OF STUDENTS WHO RECEIVE TUTORING SERVICES, AND SUCH 27 OTHER INFORMATION AS MAY BE REQUIRED BY THE DEPARTMENT. 28 (B) REVOCATION OF APPROVAL.--THE DEPARTMENT SHALL REVOKE THE 29 APPROVAL OF ANY PROVIDER FOR WHICH THE ANNUAL ASSESSMENTS 30 REQUIRED UNDER SECTION 1504-C(7) DEMONSTRATE THAT 20% OR MORE OF 20030H0113B2814 - 98 -
1 THE STUDENTS FOR WHOM THE PROVIDER HAS PROVIDED EDUCATION 2 SUPPORT SERVICES UNDER SECTION 1507-C OR TUTORING SERVICES UNDER 3 SECTION 1512-C FAILED TO MAKE ACADEMIC PROGRESS FOR TWO 4 CONSECUTIVE YEARS. 5 SECTION 17. SECTIONS 1506-C, 1507-C HEADING AND 1508-C(A) OF 6 THE ACT, ADDED MAY 17, 2001 (P.L.4, NO.4), ARE AMENDED TO READ: 7 SECTION 1506-C. NOTIFICATION OF PROGRAM. 8 A SCHOOL ENTITY IN THIS COMMONWEALTH [WITH STUDENTS ENROLLED 9 IN THIRD, FOURTH, FIFTH OR SIXTH GRADE] SHALL NOTIFY PARENTS OF 10 THE AVAILABILITY OF EDUCATION SUPPORT SERVICES AND TUTORING 11 UNDER THE EDUCATIONAL ASSISTANCE PROGRAM AT SUCH TIME AS THE 12 PARENTS RECEIVE THE RESULTS OF ANY ELIGIBILITY TEST. 13 SECTION 1507-C. PAYMENT OF EDUCATIONAL SUPPORT SERVICES GRANTS. 14 * * * 15 SECTION 1508-C. LIMITATIONS. 16 (A) AMOUNT.--THE AMOUNT OF EDUCATIONAL SUPPORT SERVICES 17 GRANTS PROVIDED UNDER THIS ARTICLE IN A FISCAL YEAR SHALL BE 18 LIMITED TO THE FUNDS APPROPRIATED FOR THAT PURPOSE. NO MORE THAN 19 10% OF THE TOTAL FUNDS APPROPRIATED FOR THIS PROGRAM IN ANY 20 FISCAL YEAR SHALL BE AWARDED TO GRANT RECIPIENTS WITHIN A 21 SPECIFIC SCHOOL DISTRICT EXCEPT THAT, IF THE DEPARTMENT 22 DETERMINES THAT ALL SCHOOL ENTITIES IN THE COMMONWEALTH HAVE HAD 23 AN OPPORTUNITY TO PARTICIPATE IN THE PROGRAM AND THAT FUNDS 24 REMAIN AVAILABLE, IT MAY WAIVE THE 10% LIMITATION UNDER THIS 25 SUBSECTION. 26 * * * 27 SECTION 18. THE ACT IS AMENDED BY ADDING A SECTION TO READ: 28 SECTION 1512-C. EDUCATIONAL ASSISTANCE PROGRAM. 29 (A) PURPOSE.--THE EDUCATIONAL ASSISTANCE PROGRAM SHALL 30 PROVIDE TARGETED SUPPORT TO ELIGIBLE SCHOOL ENTITIES. FUNDS 20030H0113B2814 - 99 -
1 PROVIDED TO ELIGIBLE SCHOOL ENTITIES THROUGH THE EDUCATIONAL 2 ASSISTANCE PROGRAM SHALL BE USED TO SUPPORT TUTORING SERVICES TO 3 ELIGIBLE STUDENTS. 4 (B) ELIGIBILITY.--A STUDENT SHALL BE ELIGIBLE FOR TUTORING 5 SERVICES UNDER THIS SECTION WHERE SUCH STUDENT IS ENROLLED FULL 6 TIME IN AN ELIGIBLE SCHOOL ENTITY AND: 7 (1) SCORED BELOW PROFICIENT ON THE PENNSYLVANIA SYSTEM 8 OF SCHOOL ASSESSMENT TEST IN THE IMMEDIATE PRECEDING SCHOOL 9 YEAR; OR 10 (2) IS ENROLLED IN KINDERGARTEN THROUGH THIRD GRADE AND 11 SCORED BELOW THE SCORE APPROVED BY THE DEPARTMENT UNDER 12 SECTION 1502-C(B) ON ANY OTHER ELIGIBILITY TEST. 13 (C) APPROVAL OF PROVIDERS.--IN ORDER TO PROVIDE TUTORING 14 SERVICES THROUGH THE EDUCATIONAL ASSISTANCE PROGRAM, A PROVIDER 15 MUST BE APPROVED BY THE DEPARTMENT. SUCH PROVIDERS MAY INCLUDE: 16 (1) A PROVIDER APPROVED UNDER SECTION 1505-C; OR 17 (2) A SCHOOL ENTITY. 18 (D) DUTIES OF ELIGIBLE SCHOOL ENTITIES.--AN ELIGIBLE SCHOOL 19 ENTITY SHALL HAVE THE FOLLOWING DUTIES: 20 (1) TO ANNUALLY NOTIFY THE PARENTS OR GUARDIAN OF ANY 21 STUDENT ELIGIBLE FOR TUTORING SERVICES UNDER SUBSECTION (B) 22 ABOUT THE AVAILABILITY OF TUTORING SERVICES UNDER THIS 23 SECTION. 24 (2) TO ANNUALLY PROVIDE THE PARENTS OR GUARDIAN OF ANY 25 STUDENT ELIGIBLE FOR TUTORING SERVICES UNDER SUBSECTION (B) 26 WITH A LIST OF ALL APPROVED PROVIDERS OPERATING WITHIN THE 27 BOUNDARIES OF OR AROUND THE ELIGIBLE SCHOOL ENTITY. 28 (3) UPON REQUEST, TO ASSIST THE PARENTS OR GUARDIAN OF 29 ANY STUDENT ELIGIBLE FOR TUTORING SERVICES UNDER SUBSECTION 30 (B) IN SELECTING AN APPROVED PROVIDER. 20030H0113B2814 - 100 -
1 (4) TO ENTER INTO A CONTRACT OR CONTRACTS WITH A 2 PROVIDER APPROVED UNDER SECTION 1505-C AND OPERATING WITHIN 3 THE BOUNDARIES OF OR AROUND THE ELIGIBLE SCHOOL ENTITY OR TO 4 OFFER TUTORING SERVICES DIRECTLY TO ANY STUDENT ELIGIBLE FOR 5 TUTORING SERVICES UNDER SUBSECTION (B). 6 (E) TUTORING SERVICES.--TUTORING SERVICES PROVIDED UNDER 7 THIS SECTION SHALL INCLUDE INTENSIVE INSTRUCTION IN THOSE 8 SUBJECT AREAS ASSESSED THROUGH THE PSSA TEST AND REQUIRED UNDER 9 THE NO CHILD LEFT BEHIND ACT OF 2001. SUCH TUTORING SERVICES 10 MAY: 11 (1) NOTWITHSTANDING THE PROVISIONS OF SECTION 1502, BE 12 PROVIDED OUTSIDE OF THE NORMAL SCHOOL DAY AND HOURS OF THE 13 SCHOOL ENTITY, INCLUDING MORNINGS, EVENINGS, WEEKENDS AND 14 DURING THE SUMMER MONTHS. 15 (2) TAKE PLACE ON AN INDIVIDUAL OR SMALL GROUP BASIS; 16 PROVIDED, THAT TUTORING SERVICES MAY BE PROVIDED TO NO MORE 17 THAN TEN STUDENTS IN A GIVEN CLASS AT A GIVEN TIME DURING THE 18 SCHOOL TERM AND NO MORE THAN 15 STUDENTS DURING THE SUMMER 19 MONTHS. 20 (F) DUTIES OF DEPARTMENT.--THE DEPARTMENT SHALL HAVE THE 21 FOLLOWING DUTIES: 22 (1) TO PROVIDE ELIGIBLE SCHOOL ENTITIES THAT PROVIDE 23 TUTORING SERVICES UNDER THIS SECTION WITH TECHNICAL 24 ASSISTANCE UPON REQUEST. 25 (2) TO ANNUALLY ASSESS ANY PROVIDER OR SCHOOL ENTITY 26 THAT PROVIDES TUTORING SERVICES UNDER THIS SECTION IN ORDER 27 TO DETERMINE THE ACADEMIC PROGRESS OF STUDENTS WHO RECEIVE 28 TUTORING SERVICES. 29 (G) EDUCATIONAL ASSISTANCE FUNDING.-- 30 (1) DURING THE 2003-2004 SCHOOL YEAR, THE DEPARTMENT 20030H0113B2814 - 101 -
1 SHALL PROVIDE EACH ELIGIBLE SCHOOL ENTITY WITH EDUCATIONAL 2 ASSISTANCE FUNDING. THE AMOUNT OF THE FUNDING SHALL BE 3 CALCULATED BY: 4 (I) DIVIDING THE NUMBER OF PENNSYLVANIA SYSTEM OF 5 SCHOOL ASSESSMENT TESTS ADMINISTERED IN THE ELIGIBLE 6 SCHOOL ENTITY ON WHICH STUDENTS SCORED BELOW PROFICIENT 7 IN READING OR MATHEMATICS BY THE TOTAL NUMBER OF 8 PENNSYLVANIA SYSTEM OF SCHOOL ASSESSMENT TESTS 9 ADMINISTERED IN THE ELIGIBLE SCHOOL ENTITY IN READING AND 10 MATHEMATICS DURING THE IMMEDIATE PRECEDING SCHOOL YEAR. 11 (II) MULTIPLYING THE QUOTIENT FROM SUBPARAGRAPH (I) 12 BY THE AVERAGE DAILY MEMBERSHIP OF THE ELIGIBLE SCHOOL 13 ENTITY DURING THE IMMEDIATE PRECEDING SCHOOL YEAR. 14 (III) MULTIPLYING THE PRODUCT FROM SUBPARAGRAPH (II) 15 BY THE DOLLAR VALUE OF FUNDS APPROPRIATED TO THE 16 DEPARTMENT OF EDUCATION FOR THE EDUCATIONAL ASSISTANCE 17 PROGRAM FOR THE FISCAL PERIOD JULY 1, 2003, TO JUNE 30, 18 2004. 19 (IV) DIVIDING THE PRODUCT FROM SUBPARAGRAPH (III) BY 20 THE SUM OF THE PRODUCTS OF SUBPARAGRAPH (III) FOR ALL 21 ELIGIBLE SCHOOL ENTITIES THAT QUALIFY FOR GRANT FUNDS 22 UNDER THIS SUBSECTION. 23 (2) THE AMOUNT OF EDUCATIONAL ASSISTANCE FUNDING 24 PROVIDED UNDER THIS ARTICLE IN A FISCAL YEAR SHALL BE LIMITED 25 TO FUNDS APPROPRIATED FOR THIS PURPOSE. 26 (H) USE OF EDUCATIONAL ASSISTANCE FUNDS.--AN ELIGIBLE SCHOOL 27 ENTITY THAT RECEIVES EDUCATIONAL ASSISTANCE FUNDING UNDER THIS 28 SECTION MAY USE THE FUNDS TO: 29 (1) ENTER INTO CONTRACTS WITH APPROVED PROVIDERS. 30 (2) OFFER TUTORING SERVICES AS SUBMITTED PURSUANT TO 20030H0113B2814 - 102 -
1 SECTION 1505-C. 2 (I) CONSTRUCTION.--NOTHING IN THIS SECTION SHALL BE 3 CONSTRUED TO LIMIT THE ELIGIBILITY OF A GRANT RECIPIENT TO 4 RECEIVE A GRANT UNDER SECTION 1507-C. 5 SECTION 19. THE ACT IS AMENDED BY ADDING ARTICLES TO READ: 6 ARTICLE XV-D 7 HEAD START SUPPLEMENTAL ASSISTANCE PROGRAM 8 SECTION 1501-D. DEFINITIONS. 9 THE FOLLOWING WORDS AND PHRASES WHEN USED IN THIS ARTICLE 10 SHALL HAVE THE MEANINGS GIVEN TO THEM IN THIS SECTION UNLESS THE 11 CONTEXT CLEARLY INDICATES OTHERWISE: 12 "DEPARTMENT." THE DEPARTMENT OF EDUCATION OF THE 13 COMMONWEALTH. 14 "EXTENDED DAY SERVICES." HEAD START AND CHILD-CARE SERVICES 15 PROVIDED TO CHILDREN ELIGIBLE FOR HEAD START BY A HEAD START 16 PROVIDER OR THROUGH A COLLABORATIVE AGREEMENT BETWEEN A HEAD 17 START PROVIDER AND A LICENSED CHILD-CARE CENTER, OR A REGISTERED 18 FAMILY OR GROUP DAY-CARE HOME FOR THOSE HOURS AND DAYS BEYOND 19 THE HOURS FUNDED THROUGH THE FEDERAL HEAD START PROGRAM. 20 "HEAD START." A PROGRAM FUNDED UNDER THE FEDERAL HEAD START 21 ACT ESTABLISHED BY THE OMNIBUS BUDGET RECONCILIATION ACT OF 1981 22 (PUBLIC LAW 97-35, 95 STAT. 357) AND CARRIED OUT BY A HEAD START 23 AGENCY OR DELEGATE AGENCY THAT PROVIDES ONGOING COMPREHENSIVE 24 CHILD DEVELOPMENT SERVICES. 25 "PROGRAM." THE HEAD START SUPPLEMENTAL ASSISTANCE PROGRAM 26 ESTABLISHED IN SECTION 1502-D. 27 SECTION 1502-D. HEAD START SUPPLEMENTAL ASSISTANCE PROGRAM. 28 (A) ESTABLISHMENT.--THE HEAD START SUPPLEMENTAL ASSISTANCE 29 PROGRAM IS HEREBY ESTABLISHED TO PROVIDE HEAD START SERVICES TO 30 ADDITIONAL ELIGIBLE CHILDREN AND TO PROVIDE EXTENDED DAY 20030H0113B2814 - 103 -
1 SERVICES THROUGH EXISTING HEAD START PROVIDERS. 2 (B) ADMINISTRATION.--THE DEPARTMENT SHALL ADMINISTER THE 3 PROGRAM. SUCH ADMINISTRATION SHALL BE CONSISTENT WITH FEDERAL 4 HEAD START GUIDELINES AND SHALL PROVIDE SUPPLEMENTAL FINANCIAL 5 ASSISTANCE TO EXISTING PROVIDERS OF FEDERAL HEAD START SERVICES. 6 (C) COORDINATION.--THE DEPARTMENT, TO EVERY EXTENT POSSIBLE, 7 SHALL COORDINATE THE ADMINISTRATION OF THE PROGRAM WITH THE 8 DEPARTMENT OF PUBLIC WELFARE AND THE DEPARTMENT OF HEALTH. THE 9 PURPOSE OF THIS COORDINATION SHALL BE TO: 10 (1) IDENTIFY EDUCATIONAL, CHILD-CARE OR OTHER SERVICES 11 UNDER THE JURISDICTION OF THE DEPARTMENT OF PUBLIC WELFARE 12 AND THE DEPARTMENT OF HEALTH THAT CAN AUGMENT OR IMPROVE THE 13 SERVICES AVAILABLE THROUGH HEAD START PROVIDERS. 14 (2) PROVIDE TECHNICAL ASSISTANCE TO HEAD START PROVIDERS 15 ESTABLISHING CHILD-CARE SERVICES IN ORDER TO OFFER EXTENDED 16 DAY SERVICES. 17 (3) PROVIDE TECHNICAL ASSISTANCE TO HEAD START 18 PROVIDERS, LICENSED CHILD-CARE CENTERS OR REGISTERED FAMILY 19 OR GROUP DAY-CARE HOMES ENTERING INTO COLLABORATIVE 20 AGREEMENTS IN ORDER TO OFFER EXTENDED DAY SERVICES. 21 (D) CRITERIA FOR FUNDING.--TO IMPLEMENT THE PROGRAM, THE 22 DEPARTMENT SHALL REQUEST PROPOSALS FROM EXISTING HEAD START 23 PROVIDERS AND MAY AWARD GRANTS OR ENTER INTO SERVICE CONTRACTS 24 WITH EXISTING HEAD START PROVIDERS THAT MEET ALL OF THE 25 FOLLOWING CRITERIA: 26 (1) DEMONSTRATE THE NEED FOR ADDITIONAL HEAD START 27 SERVICES IN THE PROVIDER'S SERVICE AREA, WHETHER THE NEED IS 28 DETERMINED BY THE PERCENTAGE OF ELIGIBLE CHILDREN WHO ARE NOT 29 SERVED IN THE PROVIDER'S SERVICE AREA OR BY THE DEMAND FOR 30 EXTENDED DAY SERVICES. 20030H0113B2814 - 104 -
1 (2) DEMONSTRATE THE ABILITY TO EXPAND STAFF, SPACE OR 2 SERVICES EITHER: 3 (I) WITHIN THE HEAD START PROGRAM; OR 4 (II) IN COOPERATION WITH LICENSED CHILD-CARE CENTERS 5 OR REGISTERED FAMILY OR GROUP DAY-CARE HOMES 6 TO SERVE ADDITIONAL CHILDREN OR TO PROVIDE EXTENDED DAY 7 SERVICES. 8 (3) DEMONSTRATE THE ABILITY TO COMPLY WITH FEDERAL AND 9 STATE REQUIREMENTS FOR CHILD-CARE SERVICE PROVIDERS IF THE 10 HEAD START PROVIDER INTENDS TO PROVIDE EXTENDED DAY SERVICES. 11 (4) DEMONSTRATE THE ABILITY TO ENTER INTO A 12 COLLABORATIVE AGREEMENT WITH A CHILD-CARE SERVICE PROVIDER IF 13 THE HEAD START PROVIDER INTENDS TO ENTER INTO A COLLABORATIVE 14 AGREEMENT WITH A LICENSED CHILD-CARE CENTER OR A REGISTERED 15 FAMILY OR GROUP DAY-CARE HOME TO OFFER EXTENDED DAY SERVICES. 16 SECTION 1503-D. PRIORITY IN FUNDING. 17 THE DEPARTMENT SHALL GIVE PRIORITY IN FUNDING TO HEAD START 18 PROVIDERS APPLYING FOR GRANTS TO SERVE ADDITIONAL ELIGIBLE 19 CHILDREN. 20 SECTION 1504-D. ANNUAL REPORT. 21 THE DEPARTMENT SHALL COMPILE AN ANNUAL REPORT ON THE PROGRAM 22 FOR SUBMISSION TO THE GOVERNOR, THE CHAIRMEN OF THE 23 APPROPRIATIONS COMMITTEE AND THE EDUCATION COMMITTEE OF THE 24 SENATE AND THE CHAIRMEN OF THE APPROPRIATIONS COMMITTEE AND 25 EDUCATION COMMITTEE OF THE HOUSE OF REPRESENTATIVES. THE REPORT 26 SHALL INCLUDE: 27 (1) THE NUMBER OF ELIGIBLE CHILDREN SERVED BY HEAD START 28 AS OF THE EFFECTIVE DATE OF THIS ARTICLE. 29 (2) THE NUMBER OF ELIGIBLE CHILDREN SERVED BY THE 30 PROGRAM DURING THE SCHOOL YEAR THAT BEGINS ONE YEAR AFTER THE 20030H0113B2814 - 105 -
1 EFFECTIVE DATE OF THIS ARTICLE AND EACH YEAR THEREAFTER. 2 (3) THE NUMBER OF EXTENDED DAY PROGRAMS AND THE NUMBER 3 OF ELIGIBLE CHILDREN ENROLLED IN EXTENDED DAY PROGRAMS AS OF 4 THE EFFECTIVE DATE OF THIS ARTICLE. 5 (4) THE NUMBER OF EXTENDED DAY PROGRAMS AND THE NUMBER 6 OF ELIGIBLE CHILDREN ENROLLED IN EXTENDED DAY PROGRAMS DURING 7 THE SCHOOL YEAR THAT BEGINS ONE YEAR AFTER THE EFFECTIVE DATE 8 OF THIS ARTICLE AND EACH YEAR THEREAFTER. 9 (5) A SUMMARY OF THE TYPES OF ACTIVITIES FUNDED UNDER 10 THE PROGRAM. 11 SECTION 1505-D. HEAD START EXPANSION. 12 (A) GENERAL RULE.--THE DEPARTMENT OF PUBLIC WELFARE SHALL, 13 WITHIN 90 DAYS OF THE EFFECTIVE DATE OF THIS ARTICLE, PROMULGATE 14 THOSE REGULATIONS NECESSARY TO DEFINE HEAD START PARTICIPATION 15 AS AN ADDITIONAL CATEGORY OF ELIGIBILITY FOR SUBSIDIZED CHILD 16 CARE IN ORDER TO PERMIT THE USE OF CHILD CARE SUBSIDY FUNDS TO 17 CREATE FULL-DAY FULL-YEAR OPPORTUNITIES FOR HEAD START 18 PARTICIPANTS. 19 (B) FINAL-OMITTED REGULATIONS.--THE DEPARTMENT OF PUBLIC 20 WELFARE, IN ADOPTING SUCH REVISED REGULATIONS, SHALL FOLLOW THE 21 PROCEDURES SET FORTH IN THE ACT OF JULY 31, 1968 (P.L.769, 22 NO.240), REFERRED TO AS THE COMMONWEALTH DOCUMENTS LAW, AND THE 23 ACT OF JUNE 25, 1982 (P.L.633, NO.181), KNOWN AS THE REGULATORY 24 REVIEW ACT, FOR THE PROMULGATION AND REVIEW OF FINAL-OMITTED 25 REGULATIONS. 26 SECTION 1506-D. STANDARDS. 27 THE DEPARTMENT MAY PROMULGATE ANY STANDARDS NECESSARY TO 28 ADMINISTER AND ENFORCE THIS ARTICLE. 29 ARTICLE XV-E 30 CHILD DAY CARE AND EARLY CHILDHOOD 20030H0113B2814 - 106 -
1 DEVELOPMENT STUDY 2 SECTION 1501-E. DEFINITIONS. 3 THE FOLLOWING WORDS AND PHRASES WHEN USED IN THIS ARTICLE 4 SHALL HAVE THE MEANINGS GIVEN TO THEM IN THIS SECTION UNLESS THE 5 CONTEXT CLEARLY INDICATES OTHERWISE: 6 "CHILD DAY CARE." CARE IN LIEU OF PARENTAL CARE GIVEN FOR 7 PART OF THE 24-HOUR DAY TO CHILDREN UNDER 16 YEARS OF AGE, AWAY 8 FROM THEIR OWN HOMES. THE TERM DOES NOT INCLUDE CHILD DAY CARE 9 FURNISHED IN PLACES OF WORSHIP DURING RELIGIOUS SERVICES. 10 "DEPARTMENT." THE DEPARTMENT OF PUBLIC WELFARE OF THE 11 COMMONWEALTH. 12 "EARLY CHILDHOOD DEVELOPMENT SERVICES." SERVICES WHICH ARE 13 INTENDED TO PROVIDE AN ENVIRONMENT WHICH ENHANCES THE 14 EDUCATIONAL, SOCIAL, CULTURAL, EMOTIONAL AND RECREATIONAL 15 DEVELOPMENT OF CHILDREN FROM BIRTH THROUGH EIGHT YEARS OF AGE 16 BUT WHICH ARE NOT INTENDED TO SERVE AS A SUBSTITUTE FOR 17 COMPULSORY ACADEMIC PROGRAMS. 18 SECTION 1502-E. COMPREHENSIVE STUDY. 19 (A) ESTABLISHMENT.--THROUGH THE DEVELOPMENT OF A 20 COMPREHENSIVE STUDY OF CHILD DAY-CARE AND EARLY CHILDHOOD 21 DEVELOPMENT SERVICES, THE DEPARTMENT, IN COLLABORATION WITH THE 22 DEPARTMENT OF HEALTH AND THE DEPARTMENT OF EDUCATION, SHALL 23 ESTABLISH GOALS AND OBJECTIVES AND REVIEW AND ASSESS THE 24 EXISTING CHILD DAY-CARE AND EARLY CHILDHOOD DEVELOPMENT SERVICE 25 DELIVERY SYSTEM, INCLUDING STATE EFFORTS TO ASSURE THE PROVISION 26 OF ACCESSIBLE, AVAILABLE AND AFFORDABLE QUALITY CHILD DAY-CARE 27 AND EARLY CHILDHOOD DEVELOPMENT SERVICES TO THE GENERAL PUBLIC. 28 THE STUDY SHALL BE DEVELOPED IN RELATION TO STATEWIDE AND LOCAL 29 NEEDS, TAKE INTO CONSIDERATION AVAILABLE DEMOGRAPHIC STUDIES AND 30 REFLECT THE NEEDS OF FAMILIES IN DIFFERENT SOCIAL, ECONOMIC AND 20030H0113B2814 - 107 -
1 CULTURAL CIRCUMSTANCES AND THE NEEDS OF CHILDREN OF DIFFERENT 2 AGES AND STAGES OF DEVELOPMENT AND OF CHILDREN WITH SPECIAL 3 NEEDS. 4 (B) SUBMISSION OF STUDY.--NO LATER THAN MAY 1, 2004, THE 5 DEPARTMENT SHALL SUBMIT TO THE GOVERNOR, THE AGING AND YOUTH 6 COMMITTEE, THE APPROPRIATIONS COMMITTEE, THE EDUCATION COMMITTEE 7 AND THE PUBLIC HEALTH AND WELFARE COMMITTEE OF THE SENATE AND 8 THE CHILDREN AND YOUTH COMMITTEE, THE APPROPRIATIONS COMMITTEE, 9 THE EDUCATION COMMITTEE AND THE HEALTH AND HUMAN SERVICES 10 COMMITTEE OF THE HOUSE OF REPRESENTATIVES A STUDY OF CHILD DAY- 11 CARE AND EARLY CHILDHOOD DEVELOPMENT SERVICES. 12 (C) COMMON POLICIES AND PRACTICES.--IN THE DEVELOPMENT OF 13 THE STUDY, THE DEPARTMENT SHALL PROMOTE COMMON POLICIES AND 14 PRACTICES IN PROGRAMS TO THE FULLEST EXTENT POSSIBLE AND DEVELOP 15 MECHANISMS FOR INTERAGENCY COLLABORATION TO CREATE A COORDINATED 16 STATE CHILD DAY-CARE AND EARLY CHILDHOOD DEVELOPMENT DELIVERY 17 SYSTEM. THE STUDY SHALL INCLUDE RECOMMENDATIONS FOR THE 18 SIMPLIFICATION AND IMPROVED COORDINATION OF THE APPLICATION 19 PROCESS FOR FAMILIES NEEDING SERVICES. 20 (D) PUBLIC HEARINGS.--TO PREPARE THE STUDY, THE DEPARTMENT 21 SHALL HOLD AT LEAST FOUR PUBLIC HEARINGS IN DIFFERENT GEOGRAPHIC 22 LOCATIONS IN THIS COMMONWEALTH TO SEEK INPUT AND RECOMMENDATIONS 23 FROM PARENTS, EARLY CHILDHOOD DEVELOPMENT PROFESSIONALS, CHILD 24 DAY-CARE PROVIDERS, CHILD ADVOCATES, EDUCATORS, REPRESENTATIVES 25 OF LOCAL GOVERNMENT, HEALTH AND HUMAN SERVICE ORGANIZATIONS, 26 HEALTH CARE PROFESSIONALS, LABOR ORGANIZATIONS, BUSINESSES, 27 SCHOOL OFFICIALS AND OTHER INDIVIDUALS OR AGENCIES INTERESTED IN 28 ISSUES AFFECTING CHILDREN AND FAMILIES. 29 (E) CONTENTS OF STUDY.--THE STUDY SHALL INCLUDE THE 30 FOLLOWING INFORMATION: 20030H0113B2814 - 108 -
1 (1) A SUMMARY OF RECOMMENDATIONS SUBMITTED TO THE 2 DEPARTMENT PURSUANT TO STATEWIDE PUBLIC HEARINGS HELD IN 3 PREPARATION OF THE STUDY AND THE DEPARTMENT'S RESPONSE TO THE 4 RECOMMENDATIONS. 5 (2) THE AMOUNT OF FEDERAL, STATE AND LOCAL FUNDS 6 EXPENDED FOR CHILD DAY-CARE AND EARLY CHILDHOOD DEVELOPMENT 7 SERVICES AND THE ALLOCATION OF THESE FUNDS, BY THE TYPE OF 8 CARE AND BY ADMINISTRATIVE COSTS. FUNDING INCLUDES THE SOCIAL 9 SERVICES BLOCK GRANT ACT (PUBLIC LAW 97-35, 42 U.S.C. § 1397 10 ET SEQ.); TITLES I AND VI OF THE PERSONAL RESPONSIBILITY AND 11 WORK OPPORTUNITY RECONCILIATION ACT OF 1996 (PUBLIC LAW 104- 12 193, 110 STAT. 2105); THE HEAD START ACT (PUBLIC LAW 97-35, 13 42 U.S.C. § 9831 ET SEQ.); THE ACT OF DECEMBER 19, 1990 14 (P.L.1372, NO.212), KNOWN AS THE EARLY INTERVENTION SERVICES 15 SYSTEM ACT; AND OTHER PERTINENT STATE APPROPRIATIONS. 16 (3) A DESCRIPTION OF CHILD DAY-CARE AND EARLY CHILDHOOD 17 DEVELOPMENT PROGRAMS IN THIS COMMONWEALTH, INCLUDING CHILD 18 DAY-CARE CENTERS, GROUP CHILD DAY-CARE HOMES, FAMILY CHILD 19 DAY-CARE HOMES, SCHOOL-AGE CHILD DAY-CARE PROGRAMS, CHILD DAY 20 CARE FOR TEEN PARENTS, EARLY INTERVENTION PROGRAMS AND HEAD 21 START PROGRAMS. 22 (4) THE UNDUPLICATED NUMBER OF CHILDREN SERVED AND 23 ASSISTED WITH FEDERAL, STATE AND LOCAL FUNDS, BY TYPE OF CARE 24 AND AGE; FUNDING SOURCE FOR THE SERVICES; THE AVERAGE 25 DURATION OF THE CHILD-CARE SERVICE; AND THE CHILD CAPACITY OF 26 REGULATED PROVIDERS. 27 (5) INCOME ELIGIBILITY GUIDELINES FOR FEDERALLY FUNDED 28 AND STATE-FUNDED CHILD DAY-CARE AND EARLY CHILDHOOD 29 DEVELOPMENT SERVICES, SLIDING FEE SCALES AND THE EXTENT TO 30 WHICH THE INCOME GUIDELINES AND FEE SCALES ARE ADJUSTED TO 20030H0113B2814 - 109 -
1 REFLECT THE MOST RECENT AVAILABLE STATE INCOME DATA. 2 (6) THE STATE'S PRACTICES REGARDING THE MONITORING OF 3 CHILD DAY-CARE AND EARLY CHILDHOOD DEVELOPMENT PROGRAMS TO 4 ENSURE THE HEALTH, SAFETY AND WELFARE OF CHILDREN. IN 5 DESCRIBING THE MONITORING SYSTEM, THE DEPARTMENT SHALL 6 IDENTIFY THE EXTENT OF ANNOUNCED AND UNANNOUNCED INSPECTIONS 7 OF REGULATED PROVIDERS, THE LEVEL OF COMPLIANCE WITH STATE 8 STANDARDS AND THE STAFF-TO-PROVIDER RATIO TO ACCOMPLISH THIS 9 TASK. THE DEPARTMENT SHALL SUBMIT RECOMMENDATIONS ON WAYS TO 10 IMPROVE BOTH THE ENFORCEMENT AND MONITORING OF STANDARDS AND 11 COMPLIANCE WITH STANDARDS. 12 (7) THE DEPARTMENT'S COORDINATION, IDENTIFICATION OR 13 ARRANGEMENT OF TRAINING FOR PROVIDERS IN SPECIFIC PROGRAM 14 AREAS THAT ARE DESIGNED TO IMPROVE THE QUALITY OF CHILD DAY- 15 CARE AND EARLY CHILDHOOD DEVELOPMENT SERVICES. THE DEPARTMENT 16 SHALL IDENTIFY ANY FEDERAL, STATE, LOCAL OR PRIVATE FUNDING 17 ALLOCATED FOR TRAINING; THE OBJECTIVES OF THE TRAINING; THE 18 WAY IN WHICH TRAINING WILL BE ACCOMPLISHED; AND AN EVALUATION 19 OF THE PREVIOUS YEAR'S TRAINING PROGRAMS. 20 (8) AN ANALYSIS OF ANY RECENT DEMONSTRATION PROJECTS 21 RELATED TO CHILD DAY CARE OR EARLY CHILDHOOD DEVELOPMENT 22 ESTABLISHED BY THE DEPARTMENT OR THE DEPARTMENT OF HEALTH OR 23 THE DEPARTMENT OF EDUCATION, USING FEDERAL OR STATE FUNDS, 24 ALONG WITH A SUMMARY OF THE COST OF THE PROJECTS AND THE 25 FINDINGS AND RECOMMENDATIONS OF THE DEPARTMENT. 26 (9) A SUMMARY OF ANY RECENT REPORTS, DATA OR SURVEYS 27 CONCERNING THE COMPENSATION OF CHILD DAY-CARE AND EARLY 28 CHILDHOOD DEVELOPMENT PROFESSIONALS, LOAN FORGIVENESS 29 PROGRAMS, THE STATE'S REIMBURSEMENT RATES AND ANY CHANGES IN 30 RATES RECOMMENDED BY THE DEPARTMENT. 20030H0113B2814 - 110 -
1 (10) A SUMMARY OF THE MOST RECENT AVAILABLE DEMOGRAPHIC 2 INFORMATION RELATED TO THE NEED FOR CHILD DAY-CARE AND EARLY 3 CHILDHOOD DEVELOPMENT PROGRAMS IN THIS STATE. 4 (11) EFFORTS BY THE PRIVATE SECTOR AND STATE AND LOCAL 5 GOVERNMENT TO ENCOURAGE EMPLOYER-SPONSORED CHILD DAY-CARE 6 SERVICES AND POLICIES AIMED AT ADDRESSING THE CHILD DAY-CARE 7 NEEDS OF WORKING PARENTS. 8 (12) A DESCRIPTION OF THE RESPONSIBILITIES AND PROGRAMS 9 OF VARIOUS STATE DEPARTMENTS WITH RESPECT TO CHILD DAY-CARE 10 AND EARLY CHILDHOOD DEVELOPMENT SERVICES AND HOW COORDINATION 11 BETWEEN AGENCIES IS ADDRESSED. THE DEPARTMENT SHALL DESCRIBE 12 ITS RESPONSIBILITIES AND PROGRAMS UNDER VARIOUS PROGRAM 13 OFFICES AND RELATED PROGRAMS OR SERVICES AVAILABLE THROUGH 14 THE DEPARTMENT OF AGING, THE DEPARTMENT OF COMMUNITY AND 15 ECONOMIC DEVELOPMENT, THE DEPARTMENT OF EDUCATION, THE 16 DEPARTMENT OF HEALTH OR THE DEPARTMENT OF LABOR AND INDUSTRY. 17 THE DESCRIPTION SHALL INCLUDE SPECIFIC FINDINGS AND 18 RECOMMENDATIONS REGARDING DUPLICATION OR OVERLAP OF SERVICES. 19 (13) EXISTING STANDARDS AND TRAINING FOR CHILD DAY-CARE 20 PROVIDERS WHO RECEIVE PAYMENT THROUGH FEDERAL OR STATE CHILD 21 DAY-CARE OR EARLY CHILDHOOD DEVELOPMENT PROGRAMS. THE 22 EXISTING STANDARDS AND TRAINING SHALL PROMOTE THE HEALTH, 23 SAFETY AND DEVELOPMENTAL NEEDS OF CHILDREN. 24 (14) IDENTIFICATION OF GAPS IN CHILD DAY-CARE AND EARLY 25 CHILDHOOD DEVELOPMENT SERVICES, UNMET NEEDS, ADMINISTRATIVE 26 BARRIERS THAT SERVE AS OBSTACLES TO OBTAINING SERVICES AND 27 RECOMMENDATIONS ON HOW THE STATE CAN ADDRESS THESE ISSUES. 28 (15) STATUTORY AND REGULATORY CHANGES RECOMMENDED BY THE 29 DEPARTMENT TO ADDRESS THE QUALITY, AFFORDABILITY AND 30 AVAILABILITY OF CHILD DAY-CARE AND EARLY CHILDHOOD 20030H0113B2814 - 111 -
1 DEVELOPMENT SERVICES. 2 SECTION 20. SECTION 1725-A(A)(2) OF THE ACT, AMENDED JUNE 3 29, 2002 (P.L.524, NO.88), IS AMENDED TO READ: 4 SECTION 1725-A. FUNDING FOR CHARTER SCHOOLS.--(A) FUNDING 5 FOR A CHARTER SCHOOL SHALL BE PROVIDED IN THE FOLLOWING MANNER: 6 * * * 7 (2) FOR NON-SPECIAL EDUCATION STUDENTS, THE CHARTER SCHOOL 8 SHALL RECEIVE FOR EACH STUDENT ENROLLED NO LESS THAN THE 9 BUDGETED TOTAL EXPENDITURE PER AVERAGE DAILY MEMBERSHIP OF THE 10 PRIOR SCHOOL YEAR, AS DEFINED IN SECTION 2501(20), MINUS THE 11 BUDGETED EXPENDITURES OF THE DISTRICT OF RESIDENCE FOR NONPUBLIC 12 SCHOOL PROGRAMS; ADULT EDUCATION PROGRAMS; COMMUNITY/JUNIOR 13 COLLEGE PROGRAMS; STUDENT TRANSPORTATION SERVICES; FOR SPECIAL 14 EDUCATION PROGRAMS; FACILITIES ACQUISITION, CONSTRUCTION AND 15 IMPROVEMENT SERVICES; AND OTHER FINANCING USES, INCLUDING DEBT 16 SERVICE AND FUND TRANSFERS, AND MINUS ALL REVENUE RECEIVED FROM 17 CONTRIBUTIONS AND DONATIONS FROM PRIVATE SOURCES AS PROVIDED IN 18 THE MANUAL OF ACCOUNTING AND RELATED FINANCIAL PROCEDURES FOR 19 PENNSYLVANIA SCHOOL SYSTEMS ESTABLISHED BY THE DEPARTMENT. THIS 20 AMOUNT SHALL BE PAID BY THE DISTRICT OF RESIDENCE OF EACH 21 STUDENT. 22 * * * 23 SECTION 21. SECTION 1729-A(A) OF THE ACT, ADDED JUNE 19, 24 1997 (P.L.225, NO.22), IS AMENDED TO READ: 25 SECTION 1729-A. CAUSES FOR NONRENEWAL OR TERMINATION.--(A) 26 DURING THE TERM OF THE CHARTER OR AT THE END OF THE TERM OF THE 27 CHARTER, THE LOCAL BOARD OF SCHOOL DIRECTORS MAY CHOOSE TO 28 REVOKE OR NOT TO RENEW THE CHARTER BASED ON ANY OF THE 29 FOLLOWING: 30 (1) ONE OR MORE MATERIAL VIOLATIONS OF ANY OF THE 20030H0113B2814 - 112 -
1 CONDITIONS, STANDARDS OR PROCEDURES CONTAINED IN THE WRITTEN 2 CHARTER SIGNED PURSUANT TO SECTION 1720-A. 3 (2) FAILURE TO MEET THE REQUIREMENTS FOR STUDENT PERFORMANCE 4 SET FORTH IN 22 PA. CODE CH. 5 (RELATING TO CURRICULUM) OR 5 SUBSEQUENT REGULATIONS PROMULGATED TO REPLACE 22 PA. CODE CH. 5 6 OR FAILURE TO MEET ANY PERFORMANCE STANDARD SET FORTH IN THE 7 WRITTEN CHARTER SIGNED PURSUANT TO SECTION 1716-A. 8 (3) FAILURE TO MEET GENERALLY ACCEPTED STANDARDS OF FISCAL 9 MANAGEMENT OR AUDIT REQUIREMENTS. 10 (4) VIOLATION OF PROVISIONS OF THIS ARTICLE. 11 (5) VIOLATION OF ANY PROVISION OF LAW FROM WHICH THE CHARTER 12 SCHOOL HAS NOT BEEN EXEMPTED, INCLUDING FEDERAL LAWS AND 13 REGULATIONS GOVERNING CHILDREN WITH DISABILITIES. 14 (6) THE CHARTER SCHOOL HAS BEEN CONVICTED OF FRAUD. 15 (7) THE CHARTER SCHOOL HAS BEEN IDENTIFIED FOR CORRECTIVE 16 ACTION BY THE DEPARTMENT PURSUANT TO THE NO CHILD LEFT BEHIND 17 ACT OF 2001 FOR TWO CONSECUTIVE SCHOOL YEARS AND THE CHARTER 18 SCHOOL HAS FAILED TO MEET ITS ACADEMIC PERFORMANCE TARGET FOR 19 BOTH OF THOSE SCHOOL YEARS. 20 * * * 21 SECTION 22. SECTION 1705-B(H)(4) OF THE ACT, AMENDED 22 DECEMBER 9, 2002 (P.L.1472, NO.187), IS AMENDED TO READ: 23 SECTION 1705-B. EDUCATION EMPOWERMENT DISTRICTS.--* * * 24 (H) * * * 25 (4) THE DEPARTMENT MAY UTILIZE UP TO $2,000,000 OF 26 UNDISTRIBUTED FUNDS NOT EXPENDED, ENCUMBERED OR COMMITTED FROM 27 APPROPRIATIONS FOR GRANTS AND SUBSIDIES MADE TO THE DEPARTMENT 28 TO ASSIST SCHOOL DISTRICTS CERTIFIED AS AN EDUCATION EMPOWERMENT 29 DISTRICT UNDER PARAGRAPH (3). THERE IS HEREBY ESTABLISHED A 30 RESTRICTED ACCOUNT FROM WHICH PAYMENTS UNDER THIS PARAGRAPH 20030H0113B2814 - 113 -
1 SHALL BE PAID. FUNDS SHALL BE TRANSFERRED BY THE SECRETARY OF 2 THE BUDGET TO THE RESTRICTED ACCOUNT TO THE EXTENT NECESSARY TO 3 MAKE PAYMENTS UNDER THIS PARAGRAPH. FUNDS IN THE RESTRICTED 4 ACCOUNT ARE HEREBY APPROPRIATED TO CARRY OUT THE PURPOSES OF 5 THIS PARAGRAPH. THE SUBSIDY PAYMENT FROM THIS ACCOUNT SHALL BE 6 UTILIZED TO SUPPLEMENT THE OPERATIONAL BUDGET OF THE ELIGIBLE 7 SCHOOL DISTRICTS. THIS PARAGRAPH SHALL APPLY TO FISCAL YEARS 8 2000-2001, 2001-2002 [AND], 2002-2003 AND 2003-2004 AND SHALL 9 EXPIRE JUNE 30, [2003] 2004. 10 SECTION 23. SECTION 1709-B OF THE ACT, ADDED MAY 10, 2000 11 (P.L.44, NO.16), IS REENACTED TO READ: 12 SECTION 1709-B. SCHOOL IMPROVEMENT GRANTS.--(A) THE 13 DEPARTMENT SHALL ESTABLISH A PROGRAM OF ANNUAL SCHOOL 14 IMPROVEMENT GRANTS FOR SCHOOL DISTRICTS ON THE EDUCATION 15 EMPOWERMENT LIST OR CERTIFIED AS AN EDUCATION EMPOWERMENT 16 DISTRICT TO ASSIST IN THE IMPLEMENTATION OF THEIR SCHOOL 17 DISTRICT IMPROVEMENT PLANS. 18 (B) GRANTS SHALL BE LIMITED TO THE AMOUNT APPROPRIATED FOR 19 THAT PURPOSE. 20 (C) GRANTS SHALL BE PROVIDED ANNUALLY TO THE SCHOOL DISTRICT 21 FOR USE AS DIRECTED BY THE SCHOOL DISTRICT EMPOWERMENT TEAM OR 22 THE BOARD OF CONTROL IN IMPLEMENTING THE SCHOOL DISTRICT 23 IMPROVEMENT PLAN DEVELOPED PURSUANT TO SECTIONS 1703-B AND 1706- 24 B AS FOLLOWS: 25 (1) TO PURCHASE INSTRUCTIONAL MATERIALS, INCLUDING 26 TEXTBOOKS, TECHNOLOGY AND RELATED EDUCATIONAL MATERIALS AND 27 SUPPLIES. 28 (2) TO REDUCE CLASS SIZE IN KINDERGARTEN THROUGH GRADE 29 THREE. 30 (3) TO ESTABLISH AFTER-SCHOOL, SUMMER AND WEEKEND PROGRAMS. 20030H0113B2814 - 114 -
1 (4) TO ESTABLISH OR EXPAND FULL-DAY KINDERGARTEN PROGRAM. 2 (5) TO FUND CURRICULUM DEVELOPMENT. 3 (6) TO FUND ENHANCED STAFF PROFESSIONAL DEVELOPMENT. 4 (7) TO FUND ANY OTHER PROGRAM CONTAINED IN THE SCHOOL 5 DISTRICT IMPROVEMENT PLAN. 6 (D) SUBJECT TO THE REQUIREMENTS OF THIS SECTION, EACH 7 QUALIFYING SCHOOL DISTRICT SHALL RECEIVE A BASE ANNUAL GRANT OF 8 FOUR HUNDRED FIFTY THOUSAND DOLLARS ($450,000) AND AN ADDITIONAL 9 GRANT OF UP TO SEVENTY-FIVE DOLLARS ($75) PER AVERAGE DAILY 10 MEMBERSHIP FOR THE PRIOR SCHOOL YEAR OF THE SCHOOL DISTRICT. THE 11 SCHOOL DISTRICT OR THE BOARD OF CONTROL SHALL GIVE PRIORITY IN 12 ALLOCATING THE GRANT FUNDING RECEIVED UNDER THIS SECTION TO THE 13 INDIVIDUAL SCHOOLS IDENTIFIED PURSUANT TO SECTIONS 1703-B(B) AND 14 1706-B(B). 15 (E) THE DEPARTMENT SHALL SET FORTH THE SPECIFIC ALLOWABLE 16 USES FOR GRANT FUNDS AND PLACE CONDITIONS, AS NECESSARY, ON THE 17 USE OF GRANT FUNDS. THE DEPARTMENT SHALL ESTABLISH 18 ACCOUNTABILITY PROCEDURES AND AUDITING GUIDELINES TO ENSURE THAT 19 GRANT FUNDS ARE UTILIZED IN ACCORDANCE WITH THE ALLOWABLE USES 20 AND CONDITIONS. 21 (F) A SCHOOL DISTRICT RECEIVING A GRANT UNDER THIS SECTION 22 SHALL BE REQUIRED TO MAINTAIN SEPARATE ACCOUNTS IN THAT SCHOOL 23 DISTRICT'S BUDGET TO FACILITATE MONITORING THE USE OF THESE 24 GRANT FUNDS. IN NO CASE SHALL A SCHOOL DISTRICT USE MORE THAN 25 FIVE PER CENTUM OF THE GRANT FUNDS FOR ADMINISTRATIVE COSTS. 26 (G) THE DEPARTMENT SHALL REDUCE THE AMOUNT OF A STATE 27 SUBSIDY PAYMENT TO A SCHOOL DISTRICT BY THE AMOUNT OF ANY GRANT 28 FUNDS PROVIDED UNDER THIS SECTION IF THE SCHOOL DISTRICT DOES 29 NOT USE THE GRANT FUNDS IN ACCORDANCE WITH THE ALLOWABLE USES 30 AND CONDITIONS SET FORTH BY THE DEPARTMENT. 20030H0113B2814 - 115 -
1 SECTION 24. SECTION 1714-B(G) OF THE ACT, ADDED MAY 10, 2000 2 (P.L.44, NO.16), IS AMENDED TO READ: 3 SECTION 1714-B. MANDATE WAIVER PROGRAM.--* * * 4 (G) THE FOLLOWING PROVISIONS OF THIS ACT SHALL NOT BE 5 SUBJECT TO WAIVER PURSUANT TO THIS SECTION: SECTIONS 108, 110, 6 111, 321, 322, 323, 324, 325, 326, 327, 431, 436, 437, 440.1, 7 443, 510, 513, 518, 527, 701.1, 708, 736, 737, 738, 739, 740, 8 741, 752, 753, 755, 771, 776, 777, 808, 809, 810, 1303(A), 1310, 9 1317, 1317.1, 1317.2, 1318, 1327, 1327.1, 1330, 1332, 1361, 10 1366, 1501, 1502, 1513, 1517, 1518, 1521, 1523, 1546 AND 1547; 11 PROVISIONS PROHIBITING DISCRIMINATION; ARTICLES VI, VI-A, VI-B, 12 VI-C, XI, XI-A, XII, XIII-A, XIV AND XVII-A AND THIS ARTICLE. 13 * * * 14 SECTION 25. THE ACT IS AMENDED BY ADDING A SECTION TO READ: 15 SECTION 1714.1-B. LIMITATION.--NOTWITHSTANDING ANY OTHER 16 PROVISION OF THIS ARTICLE, NO SCHOOL DISTRICT SHALL BE PLACED ON 17 THE EDUCATION EMPOWERMENT LIST UNDER SECTION 1703-B OR CERTIFIED 18 AS AN EDUCATION EMPOWERMENT DISTRICT UNDER SECTION 1705-B OR 19 1707-B ON OR AFTER THE EFFECTIVE DATE OF THIS SECTION. 20 SECTION 26. SECTION 1913-A OF THE ACT IS AMENDED BY ADDING A 21 SUBSECTION TO READ: 22 SECTION 1913-A. FINANCIAL PROGRAM; REIMBURSEMENT OF 23 PAYMENTS.--* * * 24 (M) FOR THE FISCAL YEAR 2003-2004, IF INSUFFICIENT FUNDS ARE 25 APPROPRIATED TO MAKE COMMONWEALTH PAYMENTS PURSUANT TO THIS 26 SECTION, SUCH PAYMENTS SHALL BE MADE ON A PRO RATA BASIS. 27 SECTION 27. THE DEFINITIONS OF "EDUCATIONAL IMPROVEMENT 28 ORGANIZATION" AND "SCHOLARSHIP ORGANIZATION" IN SECTION 2002-B 29 OF THE ACT, ADDED MAY 17, 2001 (P.L.4, NO.4), ARE AMENDED TO 30 READ: 20030H0113B2814 - 116 -
1 SECTION 2002-B. DEFINITIONS. 2 THE FOLLOWING WORDS AND PHRASES WHEN USED IN THIS ARTICLE 3 SHALL HAVE THE MEANINGS GIVEN TO THEM IN THIS SECTION UNLESS THE 4 CONTEXT CLEARLY INDICATES OTHERWISE: 5 * * * 6 "EDUCATIONAL IMPROVEMENT ORGANIZATION." A NONPROFIT ENTITY 7 WHICH: 8 (1) IS EXEMPT FROM FEDERAL TAXATION UNDER SECTION 9 501(C)(3) OF THE INTERNAL REVENUE CODE OF 1986 (PUBLIC LAW 10 99-514, 26 U.S.C. § 1 ET SEQ.); AND 11 (2) CONTRIBUTES AT LEAST 80% OF ITS ANNUAL RECEIPTS AS 12 GRANTS TO A PUBLIC SCHOOL FOR INNOVATIVE EDUCATIONAL 13 PROGRAMS. 14 FOR PURPOSES OF THIS DEFINITION, A NONPROFIT ENTITY 15 "CONTRIBUTES" ITS ANNUAL CASH RECEIPTS WHEN IT EXPENDS OR 16 OTHERWISE IRREVOCABLY ENCUMBERS THOSE FUNDS FOR EXPENDITURE 17 DURING THE THEN CURRENT FISCAL YEAR OF THE NONPROFIT ENTITY OR 18 DURING THE NEXT SUCCEEDING FISCAL YEAR OF THE NONPROFIT ENTITY. 19 * * * 20 "SCHOLARSHIP ORGANIZATION." A NONPROFIT ENTITY WHICH: 21 (1) IS EXEMPT FROM FEDERAL TAXATION UNDER SECTION 22 501(C)(3) OF THE INTERNAL REVENUE CODE OF 1986 (PUBLIC LAW 23 99-514, 26 U.S.C. § 1 ET SEQ.); AND 24 (2) CONTRIBUTES AT LEAST 80% OF ITS ANNUAL CASH RECEIPTS 25 TO A SCHOLARSHIP PROGRAM. 26 FOR PURPOSES OF THIS DEFINITION, A NONPROFIT ENTITY 27 "CONTRIBUTES" ITS ANNUAL CASH RECEIPTS TO A SCHOLARSHIP PROGRAM 28 WHEN IT EXPENDS OR OTHERWISE IRREVOCABLY ENCUMBERS THOSE FUNDS 29 FOR DISTRIBUTION DURING THE THEN CURRENT FISCAL YEAR OF THE 30 NONPROFIT ENTITY OR DURING THE NEXT SUCCEEDING FISCAL YEAR OF 20030H0113B2814 - 117 -
1 THE NONPROFIT ENTITY. 2 * * * 3 SECTION 28. SECTIONS 2005-B(A) AND 2006-B(A) OF THE ACT, 4 ADDED MAY 17, 2001 (P.L.4, NO.4), ARE AMENDED TO READ: 5 SECTION 2005-B. TAX CREDIT. 6 (A) GENERAL RULE.--IN ACCORDANCE WITH SECTION 2006-B(A), THE 7 DEPARTMENT OF REVENUE SHALL GRANT A TAX CREDIT AGAINST ANY TAX 8 DUE UNDER ARTICLE IV, VI, VII, VII-A, VIII, VIII-A, IX OR XV OF 9 THE ACT OF MARCH 4, 1971 (P.L.6, NO.2), KNOWN AS THE TAX REFORM 10 CODE OF 1971, TO A BUSINESS FIRM PROVIDING PROOF OF A 11 CONTRIBUTION TO A SCHOLARSHIP ORGANIZATION OR EDUCATIONAL 12 IMPROVEMENT ORGANIZATION IN THE TAXABLE YEAR IN WHICH THE 13 CONTRIBUTION IS MADE WHICH SHALL NOT EXCEED 75% OF THE TOTAL 14 AMOUNT CONTRIBUTED DURING THE TAXABLE YEAR BY THE BUSINESS FIRM. 15 SUCH CREDIT SHALL NOT EXCEED [$100,000] $200,000 ANNUALLY PER 16 BUSINESS FIRM. 17 * * * 18 SECTION 2006-B. LIMITATIONS. 19 (A) AMOUNT.--THE TOTAL AGGREGATE AMOUNT OF ALL TAX CREDITS 20 APPROVED SHALL NOT EXCEED [$30,000,000] $50,000,000 IN A FISCAL 21 YEAR. NO LESS THAN [$20,000,000] $33,333,335 OF THE TOTAL 22 AGGREGATE AMOUNT SHALL BE USED TO PROVIDE TAX CREDITS FOR 23 CONTRIBUTIONS FROM BUSINESS FIRMS TO SCHOLARSHIP ORGANIZATIONS. 24 NO LESS THAN [$10,000,000] $16,666,665 OF THE TOTAL AGGREGATE 25 AMOUNT SHALL BE USED TO PROVIDE TAX CREDITS FOR CONTRIBUTIONS 26 FROM BUSINESS FIRMS TO EDUCATIONAL IMPROVEMENT ORGANIZATIONS. 27 * * * 28 SECTION 29. SECTION 2502.8 OF THE ACT, AMENDED JUNE 22, 2001 29 (P.L.530, NO.35), IS REENACTED TO READ: 30 SECTION 2502.8. PAYMENTS ON ACCOUNT OF PUPILS ENROLLED IN 20030H0113B2814 - 118 -
1 VOCATIONAL CURRICULUMS.--(A) FOR THE PURPOSE OF REIMBURSEMENT 2 IN ACCORDANCE WITH THIS SECTION, VOCATIONAL CURRICULUMS ARE 3 AGRICULTURE EDUCATION, DISTRIBUTIVE EDUCATION, HEALTH 4 OCCUPATIONS EDUCATION, HOME ECONOMICS EDUCATION (GAINFUL), 5 BUSINESS EDUCATION, TECHNICAL EDUCATION, TRADE AND INDUSTRIAL 6 EDUCATION, OR ANY OTHER OCCUPATIONAL ORIENTED PROGRAM APPROVED 7 BY THE SECRETARY OF EDUCATION. 8 (B) FOR THE 1981-1982 SCHOOL YEAR THROUGH THE 1984-1985 9 SCHOOL YEAR, EACH SCHOOL DISTRICT SO ENTITLED SHALL BE PAID, IN 10 ADDITION TO ANY OTHER SUBSIDY TO WHICH IT IS ENTITLED, AN AMOUNT 11 ON ACCOUNT OF RESIDENT PUPILS ENROLLED IN VOCATIONAL 12 CURRICULUMS; FOR THE 1985-1986 SCHOOL YEAR THROUGH THE 1999-2000 13 SCHOOL YEAR, EACH SCHOOL DISTRICT AND AREA VOCATIONAL-TECHNICAL 14 SCHOOL SHALL BE PAID AN AMOUNT ON ACCOUNT OF STUDENTS ENROLLED 15 IN VOCATIONAL CURRICULUMS; FOR THE 2000-2001 SCHOOL YEAR AND 16 EACH SCHOOL YEAR THEREAFTER, EACH SCHOOL DISTRICT, AREA 17 VOCATIONAL-TECHNICAL SCHOOL AND CHARTER SCHOOL SHALL BE PAID AN 18 AMOUNT ON ACCOUNT OF STUDENTS ENROLLED IN VOCATIONAL 19 CURRICULUMS, DETERMINED AS FOLLOWS: 20 (1) DETERMINE THE INCREASE IN THE WEIGHTED AVERAGE DAILY 21 MEMBERSHIP BY MULTIPLYING THE NUMBER OF STUDENTS IN AVERAGE 22 DAILY MEMBERSHIP IN VOCATIONAL CURRICULUMS IN AREA VOCATIONAL- 23 TECHNICAL SCHOOLS BY TWENTY-ONE HUNDREDTHS (.21) AND THE NUMBER 24 OF STUDENTS IN AVERAGE DAILY MEMBERSHIP IN SCHOOL DISTRICT AND 25 CHARTER SCHOOL VOCATIONAL CURRICULUMS BY SEVENTEEN HUNDREDTHS 26 (.17). 27 (2) MULTIPLY THE LESSER OF THE DISTRICT'S ACTUAL INSTRUCTION 28 EXPENSE PER WEIGHTED AVERAGE DAILY MEMBERSHIP OR THE BASE EARNED 29 FOR REIMBURSEMENT BY THE MARKET VALUE/INCOME AID RATIO OR BY 30 THREE HUNDRED SEVENTY-FIVE THOUSANDTHS (.375), WHICHEVER IS 20030H0113B2814 - 119 -
1 GREATER. 2 (3) MULTIPLY THE INCREASE IN WEIGHTED AVERAGE DAILY 3 MEMBERSHIP DETERMINED IN CLAUSE (1) BY THE RESULT OF CLAUSE (2). 4 (4) FOR THE 1985-1986 THROUGH 1999-2000 SCHOOL YEARS, THE 5 COMMONWEALTH SHALL PAY THE AMOUNT REQUIRED BY THIS SECTION TO 6 THE SCHOOL DISTRICT OR AREA VOCATIONAL-TECHNICAL SCHOOL WHICH 7 PROVIDES THE PROGRAM UPON WHICH REIMBURSEMENT IS BASED. 8 (5) FOR THE 2000-2001 SCHOOL YEAR AND EACH SCHOOL YEAR 9 THEREAFTER, THE COMMONWEALTH SHALL PAY THE AMOUNT REQUIRED UNDER 10 THIS SECTION TO THE SCHOOL DISTRICT, AREA VOCATIONAL-TECHNICAL 11 SCHOOL OR CHARTER SCHOOL WHICH PROVIDES THE PROGRAMS UPON WHICH 12 REIMBURSEMENT IS BASED. 13 (C) FOR THE SCHOOL YEAR 1998-1999, ANY ADDITIONAL FUNDING 14 PROVIDED BY THE COMMONWEALTH OVER THE AMOUNT PROVIDED FOR THE 15 SCHOOL YEAR 1997-1998 WILL BE DISTRIBUTED TO AREA VOCATIONAL- 16 TECHNICAL SCHOOLS AND TO SCHOOL DISTRICTS WITH EIGHT (8) OR MORE 17 VOCATIONAL PROGRAMS BASED ON SUBSECTION (B). 18 (D) FOR THE SCHOOL YEAR 1999-2000, ANY ADDITIONAL FUNDING 19 PROVIDED BY THE COMMONWEALTH OVER THE AMOUNT PROVIDED FOR THE 20 SCHOOL YEAR 1998-1999 WILL BE DISTRIBUTED TO AREA VOCATIONAL- 21 TECHNICAL SCHOOLS, TO SCHOOL DISTRICTS WITH EIGHT (8) OR MORE 22 VOCATIONAL PROGRAMS AND TO SCHOOL DISTRICTS OFFERING A 23 VOCATIONAL AGRICULTURAL EDUCATION PROGRAM, BASED ON SUBSECTION 24 (B). 25 (E) FOR THE SCHOOL YEAR 2000-2001 AND EACH SCHOOL YEAR 26 THEREAFTER, ANY ADDITIONAL FUNDING PROVIDED BY THE COMMONWEALTH 27 OVER THE AMOUNT PROVIDED FOR THE SCHOOL YEAR 1998-1999 WILL BE 28 DISTRIBUTED TO AREA VOCATIONAL-TECHNICAL SCHOOLS, TO SCHOOL 29 DISTRICTS AND CHARTER SCHOOLS WITH EIGHT (8) OR MORE VOCATIONAL 30 PROGRAMS AND TO SCHOOL DISTRICTS AND CHARTER SCHOOLS OFFERING A 20030H0113B2814 - 120 -
1 VOCATIONAL AGRICULTURAL EDUCATION PROGRAM BASED ON SUBSECTION 2 (B). 3 SECTION 30. SECTIONS 2502.13 AND 2502.30 OF THE ACT, AMENDED 4 JUNE 29, 2002 (P.L.524, NO.88), ARE AMENDED TO READ: 5 SECTION 2502.13. SMALL DISTRICT ASSISTANCE.--FOR THE 1984- 6 1985 AND 1985-1986 SCHOOL YEARS, THE COMMONWEALTH SHALL PAY TO 7 EACH SCHOOL DISTRICT WHICH HAS AN AVERAGE DAILY MEMBERSHIP OF 8 ONE THOUSAND FIVE HUNDRED (1,500) OR LESS AND HAS A MARKET 9 VALUE/INCOME AID RATIO OF FIVE THOUSAND TEN-THOUSANDTHS (0.5000) 10 OR GREATER, AN AMOUNT EQUAL TO FIFTY DOLLARS ($50) MULTIPLIED BY 11 THAT DISTRICT'S AVERAGE DAILY MEMBERSHIP. FOR THE 1985-1986 12 SCHOOL YEAR, NO SCHOOL DISTRICT SHALL RECEIVE LESS ON ACCOUNT OF 13 THIS SECTION THAN IT DID FOR THE 1984-1985 SCHOOL YEAR. FOR THE 14 SCHOOL YEAR 1986-1987, THE COMMONWEALTH SHALL PAY TO EACH SCHOOL 15 DISTRICT WHICH HAS AN AVERAGE DAILY MEMBERSHIP OF ONE THOUSAND 16 FIVE HUNDRED (1,500) OR LESS AND HAS A MARKET VALUE/INCOME AID 17 RATIO OF FIVE THOUSAND TEN-THOUSANDTHS (0.5000) OR GREATER, OR 18 RECEIVED PAYMENTS UNDER THIS SECTION FOR THE 1985-1986 SCHOOL 19 YEAR, AN AMOUNT EQUAL TO SEVENTY-FIVE DOLLARS ($75) MULTIPLIED 20 BY THAT DISTRICT'S AVERAGE DAILY MEMBERSHIP. FOR THE SCHOOL YEAR 21 1987-1988, THE COMMONWEALTH SHALL PAY TO EACH SCHOOL DISTRICT 22 WHICH HAS AN AVERAGE DAILY MEMBERSHIP OF ONE THOUSAND FIVE 23 HUNDRED (1,500) OR LESS AND A MARKET VALUE/INCOME AID RATIO OF 24 FIVE THOUSAND TEN-THOUSANDTHS (0.5000) OR GREATER, OR RECEIVED 25 PAYMENTS UNDER THIS SECTION FOR THE 1986-1987 SCHOOL YEAR, AN 26 AMOUNT EQUAL TO EIGHTY-FIVE DOLLARS ($85) MULTIPLIED BY THAT 27 DISTRICT'S AVERAGE DAILY MEMBERSHIP. FOR THE SCHOOL YEAR 1988- 28 1989, THE COMMONWEALTH SHALL PAY TO EACH SCHOOL DISTRICT WHICH 29 HAS AN AVERAGE DAILY MEMBERSHIP OF ONE THOUSAND FIVE HUNDRED 30 (1,500) OR LESS AND A MARKET VALUE/INCOME AID RATIO OF FIVE 20030H0113B2814 - 121 -
1 THOUSAND TEN THOUSANDTHS (0.5000) OR GREATER, OR RECEIVED 2 PAYMENTS UNDER THIS SECTION FOR THE 1987-1988 OR 1988-1989 3 SCHOOL YEAR, AN AMOUNT EQUAL TO ONE HUNDRED FIVE DOLLARS ($105). 4 FOR THE SCHOOL YEAR 1989-1990, THE COMMONWEALTH SHALL PAY TO 5 EACH SCHOOL DISTRICT WHICH HAS AN AVERAGE DAILY MEMBERSHIP OF 6 ONE THOUSAND FIVE HUNDRED (1,500) OR LESS AND A MARKET 7 VALUE/INCOME AID RATIO OF FIVE THOUSAND TEN-THOUSANDTHS (0.5000) 8 OR GREATER, OR RECEIVED PAYMENTS UNDER THIS SECTION FOR THE 9 1987-1988 SCHOOL YEAR, AN AMOUNT EQUAL TO ONE HUNDRED FIFTEEN 10 DOLLARS ($115) MULTIPLIED BY THE DISTRICT'S AVERAGE DAILY 11 MEMBERSHIP AS PROVIDED FOR IN SECTION 212 OF THE ACT OF JULY 1, 12 1990 (P.L.1591, NO.7A), KNOWN AS THE "GENERAL APPROPRIATION ACT 13 OF 1990." FOR THE SCHOOL YEAR 1990-1991, THE COMMONWEALTH SHALL 14 PAY TO EACH SCHOOL DISTRICT WHICH HAS AN AVERAGE DAILY 15 MEMBERSHIP OF ONE THOUSAND FIVE HUNDRED (1,500) OR LESS AND A 16 MARKET VALUE/INCOME AID RATIO OF FIVE THOUSAND TEN-THOUSANDTHS 17 (0.5000) OR GREATER, OR RECEIVED PAYMENTS UNDER THIS SECTION FOR 18 THE PRIOR SCHOOL YEAR, AN AMOUNT EQUAL TO ONE HUNDRED SEVENTY 19 DOLLARS ($170) MULTIPLIED BY THAT DISTRICT'S AVERAGE DAILY 20 MEMBERSHIP. FOR THE SCHOOL YEAR 1990-1991, EACH SCHOOL DISTRICT 21 WITH A POPULATION PER SQUARE MILE OF LESS THAN NINETY (90), 22 WHICH OTHERWISE MEETS THE AVERAGE DAILY MEMBERSHIP AND MARKET 23 VALUE/INCOME AID RATIO REQUIREMENTS OF THIS SECTION, OR RECEIVED 24 PAYMENTS UNDER THIS SECTION FOR THE PRIOR SCHOOL YEAR, SHALL 25 INSTEAD RECEIVE AN AMOUNT EQUAL TO ONE HUNDRED NINETY DOLLARS 26 ($190) MULTIPLIED BY THAT DISTRICT'S AVERAGE DAILY MEMBERSHIP. 27 FOR THE 1987-1988 SCHOOL YEAR THROUGH THE 1990-1991 SCHOOL YEAR, 28 NO SCHOOL DISTRICT SHALL RECEIVE LESS ON ACCOUNT OF THIS SECTION 29 THAN IT DID FOR THE PRIOR SCHOOL YEAR. FOR THE SCHOOL YEAR 1994- 30 1995, THE COMMONWEALTH SHALL PAY TO EACH SCHOOL DISTRICT WHICH 20030H0113B2814 - 122 -
1 HAS AN AVERAGE DAILY MEMBERSHIP OF ONE THOUSAND FIVE HUNDRED 2 (1,500) OR LESS AND A MARKET VALUE/INCOME AID RATIO OF FIVE 3 THOUSAND TEN-THOUSANDTHS (0.5000) OR GREATER, AN AMOUNT EQUAL TO 4 NINETY FIVE DOLLARS ($95) MULTIPLIED BY THAT DISTRICT'S AVERAGE 5 DAILY MEMBERSHIP. FOR EACH OF THE SCHOOL YEARS 1997-1998 THROUGH 6 1999-2000, THE COMMONWEALTH SHALL PAY TO EACH SCHOOL DISTRICT 7 WHICH HAS AN AVERAGE DAILY MEMBERSHIP OF ONE THOUSAND FIVE 8 HUNDRED (1,500) OR LESS AND A MARKET VALUE/INCOME AID RATIO OF 9 FIVE THOUSAND TEN-THOUSANDTHS (0.5000) OR GREATER AN AMOUNT 10 EQUAL TO SEVENTY-FIVE DOLLARS ($75) MULTIPLIED BY THAT 11 DISTRICT'S AVERAGE DAILY MEMBERSHIP. FOR THE SCHOOL YEARS 2000- 12 2001 [AND], 2001-2002 AND 2002-2003, THE COMMONWEALTH SHALL PAY 13 TO EACH SCHOOL DISTRICT WHICH HAS AN AVERAGE DAILY MEMBERSHIP OF 14 ONE THOUSAND FIVE HUNDRED (1,500) OR LESS AN AMOUNT EQUAL TO 15 SEVENTY-FIVE DOLLARS ($75) MULTIPLIED BY THAT DISTRICT'S AVERAGE 16 DAILY MEMBERSHIP. 17 SECTION 2502.30. TEMPORARY SPECIAL AID TO SCHOOL DISTRICTS 18 SUFFERING LOSS OF TAX REVENUE DUE TO REDUCTION IN ASSESSED 19 VALUATION OF TAXABLE PROPERTY.--(A) TEMPORARY SPECIAL AID SHALL 20 BE PAID IN FISCAL YEARS 1994-1995, 1995-1996, 1996-1997, 1997- 21 1998, 1998-1999, 1999-2000, 2001-2002 [AND], 2002-2003 AND 2003- 22 2004 TO SCHOOL DISTRICTS EXPERIENCING A SEVERE REDUCTION IN 23 LOCAL REVENUE DUE TO A DECLINE IN THE ASSESSED VALUE OF TAXABLE 24 PROPERTIES. THE ALLOCATION TO THESE DISTRICTS SHALL BE 25 DETERMINED BY MULTIPLYING THE REDUCTION IN ASSESSED VALUE 26 BETWEEN 1985-1986 AND 1992-1993 BY THE 1992-1993 REAL ESTATE 27 MILLAGE RATE. THIS AID SHALL BE PAID FROM UNDISTRIBUTED FUNDS 28 NOT EXPENDED, ENCUMBERED OR COMMITTED FROM APPROPRIATIONS FOR 29 GRANTS AND SUBSIDIES MADE TO THE DEPARTMENT OF EDUCATION. NO 30 OTHER FUNDS SHALL BE USED FOR ASSISTANCE UNDER THIS SECTION. 20030H0113B2814 - 123 -
1 THESE FUNDS SHALL BE SUFFICIENT TO PROVIDE TEMPORARY RELIEF TO 2 SEVEN SCHOOL DISTRICTS IN FISCAL YEAR 1995-1996 AT SEVENTY-FIVE 3 PER CENTUM (75%) OF THE FUNDS RECEIVED IN FISCAL YEAR 1994-1995, 4 IN FISCAL YEAR 1996-1997 AT FIFTY PER CENTUM (50%) OF THE FUNDS 5 RECEIVED IN FISCAL YEAR 1994-1995, IN FISCAL YEAR 1997-1998, 6 1998-1999 AND IN FISCAL YEAR 1999-2000 AT TWENTY-FIVE PER CENTUM 7 (25%) OF THE FUNDS RECEIVED IN FISCAL YEAR 1994-1995. FOR FISCAL 8 YEARS 2001-2002 [AND], 2002-2003[,] AND 2003-2004 TO THE EXTENT 9 FUNDS ARE AVAILABLE AS DETERMINED BY THE SECRETARY OF THE 10 BUDGET, QUALIFYING SCHOOL DISTRICTS SHALL RECEIVE TWENTY-FIVE 11 PER CENTUM (25%) OF THE FUNDS RECEIVED IN FISCAL YEAR 1994-1995. 12 (B) PAYMENTS MADE PURSUANT TO SUBSECTION (A) SHALL BE PAID 13 FROM A RESTRICTED RECEIPT ACCOUNT, WHICH IS HEREBY ESTABLISHED, 14 FOR SUCH PAYMENTS. FUNDS SHALL BE TRANSFERRED BY THE SECRETARY 15 OF THE BUDGET TO THE RESTRICTED ACCOUNT ONLY TO THE EXTENT 16 NECESSARY TO MAKE THE PAYMENTS AUTHORIZED BY THIS SECTION. THE 17 MONEY IN THE RESTRICTED ACCOUNT IS HEREBY APPROPRIATED FROM THE 18 ACCOUNT FOR PURPOSES OF THIS SECTION. 19 (C) THIS SECTION SHALL EXPIRE [OCTOBER 1, 2003] OCTOBER 1, 20 2004. 21 SECTION 31. THE ACT IS AMENDED BY ADDING A SECTION TO READ: 22 SECTION 2502.41. BASIC EDUCATION FUNDING FOR 2002-2003 23 SCHOOL YEAR.--FOR THE 2002-2003 SCHOOL YEAR, THE COMMONWEALTH 24 SHALL PAY TO EACH SCHOOL DISTRICT A BASIC EDUCATION FUNDING 25 ALLOCATION WHICH SHALL CONSIST OF THE FOLLOWING: 26 (1) AN AMOUNT EQUAL TO THE BASIC EDUCATION FUNDING 27 ALLOCATION FOR THE 2001-2002 SCHOOL YEAR PURSUANT TO SECTIONS 28 2502.13 AND 2502.40. 29 (2) A BASE SUPPLEMENT CALCULATED AS FOLLOWS: 30 (I) MULTIPLY THE SCHOOL DISTRICT'S 2003-2004 MARKET 20030H0113B2814 - 124 -
1 VALUE/INCOME AID RATIO BY ITS 2002-2003 AVERAGE DAILY 2 MEMBERSHIP. 3 (II) MULTIPLY THE PRODUCT FROM SUBPARAGRAPH (I) BY FIFTY 4 MILLION DOLLARS ($50,000,000). 5 (III) DIVIDE THE PRODUCT FROM SUBPARAGRAPH (II) BY THE SUM 6 OF THE PRODUCTS OF THE 2003-2004 MARKET VALUE/INCOME AID RATIO 7 MULTIPLIED BY THE 2002-2003 AVERAGE DAILY MEMBERSHIP FOR ALL 8 SCHOOL DISTRICTS. 9 (3) A POVERTY SUPPLEMENT CALCULATED FOR QUALIFYING SCHOOL 10 DISTRICTS AS FOLLOWS: 11 (I) TO QUALIFY FOR THE POVERTY SUPPLEMENT, A SCHOOL 12 DISTRICT'S 2003-2004 MARKET VALUE/INCOME AID RATIO SHALL BE 13 EQUAL TO OR GREATER THAN 0.6500 AND ITS PERSONAL INCOME 14 VALUATION WHEN DIVIDED BY ITS 2002-2003 AVERAGE DAILY MEMBERSHIP 15 SHALL BE EQUAL TO OR LESS THAN ONE HUNDRED THREE THOUSAND FIVE 16 HUNDRED SEVENTY-ONE DOLLARS ($103,571). 17 (II) THE POVERTY SUPPLEMENT SHALL BE CALCULATED FOR 18 QUALIFYING SCHOOL DISTRICTS AS FOLLOWS: 19 (A) MULTIPLY THE SCHOOL DISTRICT'S 2002-2003 AVERAGE DAILY 20 MEMBERSHIP FROM ITS 2002-2003 AVERAGE DAILY MEMBERSHIP BY THIRTY 21 MILLION DOLLARS ($30,000,000). 22 (B) DIVIDE THE PRODUCT FROM CLAUSE (A) BY THE SUM OF THE 23 2002-2003 AVERAGE DAILY MEMBERSHIP FOR ALL QUALIFYING SCHOOL 24 DISTRICTS. 25 (4) A TAX EFFORT SUPPLEMENT CALCULATED FOR QUALIFYING SCHOOL 26 DISTRICTS AS FOLLOWS: 27 (I) TO QUALIFY FOR THE TAX EFFORT SUPPLEMENT, A SCHOOL 28 DISTRICT'S 2001 EQUALIZED MILLAGE MUST BE EQUAL TO OR GREATER 29 THAN 20.6 EQUALIZED MILLS. 30 (II) THE TAX EFFORT SUPPLEMENT SHALL BE CALCULATED FOR 20030H0113B2814 - 125 -
1 QUALIFYING SCHOOL DISTRICTS AS FOLLOWS: 2 (A) MULTIPLY THE SCHOOL DISTRICT'S 2002-2003 AVERAGE DAILY 3 MEMBERSHIP BY FIFTEEN MILLION DOLLARS ($15,000,000). 4 (B) DIVIDE THE PRODUCT FROM CLAUSE (A) BY THE SUM OF THE 5 2002-2003 AVERAGE DAILY MEMBERSHIP FOR ALL QUALIFYING SCHOOL 6 DISTRICTS. 7 (5) A GROWTH SUPPLEMENT CALCULATED FOR QUALIFYING SCHOOL 8 DISTRICTS AS FOLLOWS: 9 (I) TO QUALIFY FOR THE GROWTH SUPPLEMENT, A SCHOOL 10 DISTRICT'S 2002-2003 AVERAGE DAILY MEMBERSHIP MUST BE GREATER 11 THAN ITS 2001-2002 AVERAGE DAILY MEMBERSHIP. 12 (II) THE GROWTH SUPPLEMENT SHALL BE CALCULATED FOR 13 QUALIFYING SCHOOL DISTRICTS AS FOLLOWS: 14 (A) SUBTRACT THE SCHOOL DISTRICT'S 2001-2002 AVERAGE DAILY 15 MEMBERSHIP FROM ITS 2002-2003 AVERAGE DAILY MEMBERSHIP AND 16 MULTIPLY THE DIFFERENCE BY ITS 2003-2004 MARKET VALUE/INCOME AID 17 RATIO. 18 (B) MULTIPLY THE DIFFERENCE FROM CLAUSE (A) BY TEN MILLION 19 DOLLARS ($10,000,000). 20 (C) DIVIDE THE PRODUCT FROM CLAUSE (B) BY THE SUM OF THE 21 DIFFERENCES FROM CLAUSE (A) FOR ALL QUALIFYING SCHOOL DISTRICTS. 22 (6) EACH SCHOOL DISTRICT SHALL RECEIVE ADDITIONAL FUNDING AS 23 NECESSARY SO THAT THE SUM OF THE AMOUNTS UNDER SECTION 2502.13 24 AND UNDER PARAGRAPHS (2), (3), (4), (5) AND THIS PARAGRAPH WILL 25 EQUAL AT LEAST TWO PER CENTUM (2%) OF THE AMOUNT IN PARAGRAPH 26 (1). 27 SECTION 32. SECTIONS 2509.1 AND 2509.5 OF THE ACT ARE 28 AMENDED BY ADDING SUBSECTIONS TO READ: 29 SECTION 2509.1. PAYMENTS TO INTERMEDIATE UNITS.--* * * 30 (B.11) UP TO NINE MILLION FIVE HUNDRED THOUSAND DOLLARS 20030H0113B2814 - 126 -
1 ($9,500,000) MAY BE UTILIZED FOR PROGRAMS ADMINISTERED AND 2 OPERATED BY INTERMEDIATE UNITS DURING THE 2003-2004 SCHOOL YEAR 3 FOR INSTITUTIONALIZED CHILDREN AS ESTABLISHED IN SUBSECTION 4 (B.1). 5 * * * 6 SECTION 2509.5. SPECIAL EDUCATION PAYMENTS TO SCHOOL 7 DISTRICTS.--* * * 8 (LL) DURING THE 2003-2004 SCHOOL YEAR, EACH SCHOOL DISTRICT 9 SHALL BE PAID THE AMOUNT IT RECEIVED DURING THE 2002-2003 SCHOOL 10 YEAR UNDER SUBSECTION (KK). 11 (MM) DURING THE 2003-2004 SCHOOL YEAR, THIRTY-SIX MILLION 12 ONE HUNDRED FORTY-NINE THOUSAND FIVE HUNDRED EIGHTY-SEVEN 13 DOLLARS ($36,149,587) OF THE FUNDS APPROPRIATED TO THE 14 DEPARTMENT OF EDUCATION FOR SPECIAL EDUCATION SHALL BE USED TO 15 PROVIDE SUPPLEMENTAL FUNDING FOR SPECIAL EDUCATION TO ALL SCHOOL 16 DISTRICTS. THE SUPPLEMENTAL FUNDING SHALL BE CALCULATED AS 17 FOLLOWS: 18 (1) MULTIPLY EACH SCHOOL DISTRICT'S 2003-2004 MARKET 19 VALUE/INCOME AID RATIO BY SIXTEEN PER CENTUM (16%) OF ITS 2002- 20 2003 AVERAGE DAILY MEMBERSHIP; 21 (2) MULTIPLY THE PRODUCT FROM PARAGRAPH (1) BY THIRTY-SIX 22 MILLION ONE HUNDRED FORTY-NINE THOUSAND FIVE HUNDRED EIGHTY- 23 SEVEN DOLLARS ($36,149,587); AND 24 (3) DIVIDE THE RESULTANT PRODUCT FROM PARAGRAPH (2) BY THE 25 SUM OF THE PRODUCTS OF THE 2003-2004 MARKET VALUE/INCOME AID 26 RATIO MULTIPLIED BY SIXTEEN PER CENTUM (16%) OF THE 2002-2003 27 AVERAGE DAILY MEMBERSHIP FOR ALL SCHOOL DISTRICTS. 28 SECTION 33. SECTION 2509.8(D) OF THE ACT, ADDED MAY 10, 2000 29 (P.L.44, NO.16), IS AMENDED AND THE SECTION IS AMENDED BY ADDING 30 A SUBSECTION TO READ: 20030H0113B2814 - 127 -
1 SECTION 2509.8. EXTRAORDINARY SPECIAL EDUCATION PROGRAM 2 EXPENSES.--* * * 3 (D) FOR THE 2000-2001 SCHOOL YEAR [AND EACH SCHOOL YEAR 4 THEREAFTER,] THROUGH THE 2002-2003 SCHOOL YEAR, THE DEPARTMENT 5 OF EDUCATION SHALL SET ASIDE TWO PERCENT (2%) OF THE SPECIAL 6 EDUCATION APPROPRIATION FOR EXTRAORDINARY EXPENSES INCURRED IN 7 PROVIDING A SPECIAL EDUCATION PROGRAM OR SERVICE TO ONE OR MORE 8 STUDENTS WITH DISABILITIES AS APPROVED BY THE SECRETARY OF 9 EDUCATION. 10 (E) FOR THE 2003-2004 SCHOOL YEAR AND EACH SCHOOL YEAR 11 THEREAFTER, THE DEPARTMENT OF EDUCATION SHALL SET ASIDE ONE PER 12 CENTUM (1%) OF THE SPECIAL EDUCATION APPROPRIATION FOR 13 EXTRAORDINARY EXPENSES INCURRED IN PROVIDING A SPECIAL EDUCATION 14 PROGRAM OR SERVICE TO ONE OR MORE STUDENTS WITH DISABILITIES AS 15 APPROVED BY THE SECRETARY OF EDUCATION. 16 SECTION 34. SECTION 2591.1 OF THE ACT, ADDED JUNE 29, 2002 17 (P.L.524, NO.88), IS AMENDED TO READ: 18 SECTION 2591.1. COMMONWEALTH REIMBURSEMENTS FOR CHARTER 19 SCHOOLS AND CYBER CHARTER SCHOOLS.--(A) FOR THE 2001-2002 20 SCHOOL YEAR, THE COMMONWEALTH SHALL PAY TO EACH SCHOOL DISTRICT 21 WITH RESIDENT STUDENTS ENROLLED IN A CHARTER SCHOOL, A CHARTER 22 SCHOOL APPROVED UNDER SECTION 1717-A OR 1718-A WHICH PROVIDES 23 INSTRUCTION THROUGH THE INTERNET OR OTHER ELECTRONIC MEANS OR A 24 CYBER CHARTER SCHOOL AS DEFINED PURSUANT TO ARTICLE XVII-A AN 25 AMOUNT EQUAL TO THIRTY PERCENT (30%) OF THE TOTAL FUNDING 26 REQUIRED UNDER SECTION 1725-A(A). IF INSUFFICIENT FUNDS ARE 27 APPROPRIATED TO MAKE COMMONWEALTH REIMBURSEMENTS UNDER THIS 28 SECTION, THE REIMBURSEMENTS SHALL BE MADE ON A PRO RATA BASIS. 29 (B) FOR THE 2002-2003 SCHOOL YEAR, THE COMMONWEALTH SHALL 30 PAY TO EACH SCHOOL DISTRICT THAT RECEIVED FUNDING UNDER 20030H0113B2814 - 128 -
1 SUBSECTION (A) FOR THE 2001-2002 SCHOOL YEAR AND THAT HAD 2 RESIDENT STUDENTS ENROLLED IN A CHARTER SCHOOL, A CHARTER SCHOOL 3 APPROVED UNDER SECTION 1717-A OR 1718-A WHICH PROVIDES 4 INSTRUCTION THROUGH THE INTERNET OR OTHER ELECTRONIC MEANS OR A 5 CYBER CHARTER SCHOOL AS DEFINED UNDER ARTICLE XVII-A DURING THE 6 2002-2003 SCHOOL YEAR AN AMOUNT EQUAL TO THE LESSER OF: 7 (1) THE PAYMENT RECEIVED FOR THE 2001-2002 SCHOOL YEAR 8 PURSUANT TO SUBSECTION (A); OR 9 (2) THIRTY PERCENT (30%) OF THE TOTAL FUNDING REQUIRED UNDER 10 SECTION 1725-A(A). 11 (C) FOR THE 2002-2003 SCHOOL YEAR, THE COMMONWEALTH SHALL 12 PAY TO EACH SCHOOL DISTRICT THAT DID NOT RECEIVE FUNDING UNDER 13 SUBSECTION (A) FOR THE 2001-2002 SCHOOL YEAR AND THAT HAD 14 RESIDENT STUDENTS ENROLLED IN A CHARTER SCHOOL, A CHARTER SCHOOL 15 APPROVED UNDER SECTION 1717-A OR 1718-A WHICH PROVIDES 16 INSTRUCTION THROUGH THE INTERNET OR OTHER ELECTRONIC MEANS OR A 17 CYBER CHARTER SCHOOL AS DEFINED UNDER ARTICLE XVII-A DURING THE 18 2002-2003 SCHOOL YEAR AN AMOUNT EQUAL TO THIRTY PERCENT (30%) OF 19 THE TOTAL FUNDING REQUIRED UNDER SECTION 1725-A(A). 20 (D) FOR THE FISCAL YEAR 2003-2004, IF INSUFFICIENT FUNDS ARE 21 APPROPRIATED TO MAKE COMMONWEALTH PAYMENTS PURSUANT TO THIS 22 SECTION, SUCH PAYMENTS SHALL BE MADE ON A PRO RATA BASIS. 23 SECTION 35. THE ACT IS AMENDED BY ADDING A SECTION TO READ: 24 SECTION 2599.2. PENNSYLVANIA ACCOUNTABILITY GRANTS.--(A) 25 DURING THE 2003-2004 FISCAL YEAR, THE COMMONWEALTH SHALL PAY TO 26 EACH SCHOOL DISTRICT A GRANT EQUAL TO THE AMOUNT DETERMINED 27 UNDER SUBSECTION (C). 28 (B) THE GRANT SHALL BE USED BY A SCHOOL DISTRICT TO ATTAIN 29 OR MAINTAIN ACADEMIC PERFORMANCE TARGETS. FUNDS OBTAINED UNDER 30 THIS SECTION MAY BE USED FOR THE FOLLOWING: 20030H0113B2814 - 129 -
1 (1) ESTABLISHING, MAINTAINING OR EXPANDING A QUALITY 2 PREKINDERGARTEN PROGRAM ALIGNED WITH THE CURRENT ACADEMIC 3 STANDARDS CONTAINED IN 22 PA. CODE CH. 4 (RELATING TO ACADEMIC 4 STANDARDS AND ASSESSMENT). 5 (2) ESTABLISHING, MAINTAINING OR EXPANDING A QUALITY FULL- 6 DAY KINDERGARTEN PROGRAM ALIGNED WITH THE CURRENT ACADEMIC 7 STANDARDS CONTAINED IN 22 PA. CODE CH. 4. SUCH PROGRAMS SHALL BE 8 KEPT OPEN FOR FIVE HOURS EACH DAY FOR THE FULL SCHOOL TERM AS 9 PROVIDED IN SECTION 1501. THE BOARD OF SCHOOL DIRECTORS OF A 10 SCHOOL DISTRICT MAY OFFER A FULL-DAY KINDERGARTEN PROGRAM TO 11 CHILDREN WHO ARE BETWEEN FOUR AND SIX YEARS OLD. 12 (3) ESTABLISHING, MAINTAINING OR EXPANDING A CLASS SIZE 13 REDUCTION PROGRAM. SUCH CLASS SIZE REDUCTION PROGRAM SHALL 14 APPOINT AND ASSIGN A MINIMUM OF ONE TEACHER FOR EVERY 17 15 STUDENTS OR TWO TEACHERS FOR EVERY 35 STUDENTS ENROLLED IN A 16 KINDERGARTEN, FIRST, SECOND OR THIRD GRADE CLASSROOM. ALL 17 TEACHERS APPOINTED AND ASSIGNED TO TEACH KINDERGARTEN AND FIRST, 18 SECOND AND THIRD GRADES SHALL BE CERTIFIED IN ACCORDANCE WITH 22 19 PA. CODE CH. 49 (RELATING TO CERTIFICATION OF PROFESSIONAL 20 PERSONNEL) OR ITS SUCCESSORS. THE DEPARTMENT SHALL ESTABLISH 21 GUIDELINES TO ASSURE THAT NO SCHOOL DISTRICT SATISFIES THIS 22 LEVEL BY MAKING A REDUCTION IN, AND SUBSEQUENT INCREASE TO, 23 CURRENT TEACHER COMPLEMENT. FOR PURPOSES OF THIS PARAGRAPH, THE 24 PHRASE "ONE TEACHER FOR EVERY 17 STUDENTS OR TWO TEACHERS FOR 25 EVERY 35 STUDENTS IN A KINDERGARTEN, FIRST, SECOND AND THIRD 26 GRADE CLASSROOM" SHALL REFER TO THE NUMBER OF TEACHERS 27 CONDUCTING A CLASS AT ANY ONE TIME IN A CLASSROOM CONTAINING THE 28 APPLICABLE NUMBER OF STUDENTS. 29 (4) ESTABLISHING, EXPANDING OR MAINTAINING PROGRAMS THAT 30 PROMOTE THE AVAILABILITY, COORDINATION, INTEGRATION AND 20030H0113B2814 - 130 -
1 UTILIZATION OF SOCIAL AND HEALTH SERVICES, ASSOCIATED RESOURCES 2 AND ANCILLARY RESOURCES TO MEET THE NEEDS OF CHILDREN AND 3 FAMILIES IN ADDRESSING ISSUES THAT MAY SERVE TO LIMIT STUDENT 4 ACADEMIC ACHIEVEMENT. 5 (5) NOTWITHSTANDING THE PROVISIONS OF ARTICLE XV-C, 6 PROVIDING TUTORING ASSISTANCE. 7 (6) IMPROVING THE ACADEMIC PERFORMANCE OF SUBGROUPS 8 IDENTIFIED UNDER THE NO CHILD LEFT BEHIND ACT OF 2001. 9 (7) ESTABLISHING, EXPANDING OR MAINTAINING PROGRAMS TO 10 ASSIST IN THE BUILDING OF STRONG SCIENCE AND APPLIED-KNOWLEDGE 11 SKILLS IN STUDENTS OF THIS COMMONWEALTH. 12 (8) PROVIDING ADDITIONAL PROGRAMS FOR PROFESSIONAL 13 DEVELOPMENT TRAINING, WHICH INCLUDE TRAINING IN MATHEMATICS, 14 SCIENCE AND LITERACY-SPECIFIC CURRICULUM AND INSTRUCTIONAL 15 STRATEGIES; TRAINING IN SCHOOL-WIDE IMPROVEMENT PLANNING; 16 ANALYSIS OF STUDENT ACHIEVEMENT DATA, INCLUDING STUDENT WORK AND 17 THE IMPLICATIONS FOR CLASSROOM PRACTICE; OBSERVING AND STUDYING 18 EXEMPLARY SCHOOL AND CLASSROOM PRACTICES; IMPLEMENTING SCHOOL- 19 WIDE PROGRAMS AND CLASSROOM MANAGEMENT STRATEGIES DESIGNED TO 20 IMPROVE STUDENT CONDUCT; USING TECHNOLOGY TO BOOST STUDENT 21 ACHIEVEMENT; CONDUCTING TRANSITION PLANNING AND CURRICULUM 22 ALIGNMENT ACROSS SCHOOLS AND GRADE LEVELS, AND IMPLEMENTING 23 SECONDARY STRATEGIES TO INCREASE STUDENT ENGAGEMENT AND 24 PERSONALIZE LEARNING. 25 (9) ESTABLISHING, EXPANDING OR MAINTAINING MATH AND LITERACY 26 COACHING PROGRAMS WITHIN SCHOOLS TO IMPROVE MATH AND READING 27 INSTRUCTION. 28 (10) PROVIDING FINANCIAL INCENTIVES TO HIGHLY QUALIFIED, 29 TENURED TEACHERS TO WORK IN THE MOST ACADEMICALLY CHALLENGED 30 SCHOOLS IN A DISTRICT OR FOR FINANCIAL INCENTIVES TO AID IN THE 20030H0113B2814 - 131 -
1 RECRUITMENT OF CERTIFICATED TEACHERS IN MATHEMATICS, SCIENCE, 2 LANGUAGE ARTS OR ENGLISH AS A SECOND LANGUAGE IN THE MOST 3 ACADEMICALLY CHALLENGED SCHOOLS IN A DISTRICT. 4 (11) PROVIDING SUCH OTHER PROGRAMS OR ACTIVITIES THAT THE 5 DISTRICT BELIEVES ARE ESSENTIAL TO ACHIEVING OR MAINTAINING ITS 6 ACADEMIC PERFORMANCE TARGETS THROUGH THE YEAR 2014, SUBJECT TO 7 THE FOLLOWING PROVISIONS: 8 (I) A DISTRICT DESIRING TO IMPLEMENT A PROGRAM OR ACTIVITY 9 PURSUANT TO THIS PARAGRAPH SHALL NOTIFY THE SECRETARY IN WRITING 10 OF ITS INTENT AND THOSE PROGRAMS OR ACTIVITIES TO BE SO 11 IMPLEMENTED. 12 (II) A DISTRICT THAT FAILS TO RECEIVE NOTIFICATION FROM THE 13 SECRETARY, WITHIN FIFTEEN (15) DAYS OF RECEIPT, THAT ITS NOTICE 14 UNDER SUBPARAGRAPH (I) HAS BEEN DISAPPROVED MAY PROCEED TO 15 IMPLEMENT THE PROPOSED PROGRAMS OR ACTIVITIES. 16 (III) THE DEPARTMENT SHALL FURNISH A MONTHLY REPORT TO THE 17 MAJORITY AND MINORITY CHAIRPERSONS OF THE APPROPRIATIONS 18 COMMITTEE AND EDUCATION COMMITTEE OF THE SENATE AND THE 19 APPROPRIATIONS COMMITTEE AND EDUCATION COMMITTEE OF THE HOUSE OF 20 REPRESENTATIVES TO INCLUDE THE FOLLOWING INFORMATION FOR EACH 21 DISTRICT MAKING A SUBMISSION UNDER SUBPARAGRAPH (I): THE 22 DISTRICT'S NAME; A BRIEF DESCRIPTION OF THE PROGRAMS OR 23 ACTIVITIES THE DISTRICT REQUESTED TO IMPLEMENT; AND ANY ACTION 24 TAKEN BY THE SECRETARY. 25 (C) THE DEPARTMENT SHALL ESTABLISH A PROGRAM OF ANNUAL 26 ACCOUNTABILITY GRANTS AND FUNDS SHALL BE ALLOCATED TO SCHOOL 27 DISTRICTS AS FOLLOWS: 28 (1) THE DEPARTMENT SHALL AWARD A GRANT SUPPLEMENT FOR SCHOOL 29 DISTRICTS TO HELP STUDENTS SCORING BELOW PROFICIENT TO ATTAIN 30 PROFICIENCY. THE GRANT SUPPLEMENT UNDER THIS PARAGRAPH SHALL BE 20030H0113B2814 - 132 -
1 DETERMINED BY: 2 (I) DIVIDING THE SCHOOL DISTRICT'S NUMBER OF PSSA TESTS 3 SCORED BELOW BASIC AND BASIC IN MATHEMATICS AND READING BY THE 4 SCHOOL DISTRICT'S NUMBER OF PSSA TESTS SCORED IN MATHEMATICS AND 5 READING TO DETERMINE THE SCHOOL DISTRICT'S AVERAGE PERCENTAGE OF 6 STUDENTS WHO SCORE BELOW PROFICIENT. 7 (II) MULTIPLYING THE SCHOOL DISTRICT'S 2002-2003 AVERAGE 8 DAILY MEMBERSHIP BY ITS AVERAGE PERCENTAGE OF STUDENTS WHO 9 SCORED BELOW PROFICIENT TO DETERMINE THE SCHOOL DISTRICT'S 10 AVERAGE DAILY MEMBERSHIP BELOW PROFICIENT. 11 (III) MULTIPLYING THE SCHOOL DISTRICT'S 2003-2004 MARKET 12 VALUE/INCOME AID RATIO BY ITS AVERAGE DAILY MEMBERSHIP BELOW 13 PROFICIENT. 14 (IV) MULTIPLYING THE PRODUCT FROM SUBPARAGRAPH (III) BY ONE 15 HUNDRED FIFTY MILLION DOLLARS ($150,000,000). 16 (V) DIVIDING THE PRODUCT FROM SUBPARAGRAPH (IV) BY THE SUM 17 OF THE PRODUCTS OF THE 2003-2004 MARKET VALUE/INCOME AID RATIO 18 MULTIPLIED BY THE AVERAGE DAILY MEMBERSHIP BELOW PROFICIENT FOR 19 ALL SCHOOL DISTRICTS. 20 (2) THE DEPARTMENT SHALL AWARD A GRANT SUPPLEMENT FOR SCHOOL 21 DISTRICTS TO HELP MAINTAIN AND REWARD PROFICIENCY. THE GRANT 22 SUPPLEMENT UNDER THIS PARAGRAPH SHALL BE DETERMINED BY: 23 (I) DIVIDING THE SCHOOL DISTRICT'S NUMBER OF PSSA TESTS 24 SCORED PROFICIENT AND ADVANCED IN MATHEMATICS AND READING BY THE 25 SCHOOL DISTRICT'S NUMBER OF PSSA TESTS SCORED IN MATHEMATICS AND 26 READING TO DETERMINE THE SCHOOL DISTRICT'S AVERAGE PERCENTAGE OF 27 STUDENTS WHO SCORE PROFICIENT. 28 (II) MULTIPLYING THE SCHOOL DISTRICT'S 2002-2003 AVERAGE 29 DAILY MEMBERSHIP BY ITS AVERAGE PERCENTAGE OF STUDENTS WHO 30 SCORED PROFICIENT TO DETERMINE THE SCHOOL DISTRICT'S AVERAGE 20030H0113B2814 - 133 -
1 DAILY MEMBERSHIP PROFICIENT. 2 (III) MULTIPLYING THE SCHOOL DISTRICT'S 2003-2004 MARKET 3 VALUE/INCOME AID RATIO BY ITS AVERAGE DAILY MEMBERSHIP 4 PROFICIENT. 5 (IV) MULTIPLYING THE PRODUCT FROM SUBPARAGRAPH (III) BY 6 FIFTY MILLION DOLLARS ($50,000,000). 7 (V) DIVIDING THE PRODUCT FROM SUBPARAGRAPH (IV) BY THE SUM 8 OF THE PRODUCTS OF THE 2003-2004 MARKET VALUE/INCOME AID RATIO 9 MULTIPLIED BY THE AVERAGE DAILY MEMBERSHIP PROFICIENT FOR ALL 10 SCHOOL DISTRICTS. 11 (3) THE TOTAL AMOUNT OF A SCHOOL DISTRICT'S ACCOUNTABILITY 12 GRANT SHALL EQUAL THE SUM OF THE AMOUNTS CALCULATED UNDER 13 PARAGRAPHS (1) AND (2). 14 (4) THE DEPARTMENT SHALL ESTABLISH REPORTING PROCEDURES AND 15 AUDITING GUIDELINES TO ENSURE THAT GRANT FUNDS ARE UTILIZED IN 16 ACCORDANCE WITH SUBSECTION (B). 17 (5) SCHOOL DISTRICTS SHALL BE REQUIRED TO MAINTAIN SEPARATE 18 ACCOUNTS IN THEIR OWN BUDGETS TO FACILITATE MONITORING THE USE 19 OF THE GRANT FUNDS. 20 (6) IN NO CASE SHALL A SCHOOL DISTRICT USE GRANT FUNDS FOR 21 ADMINISTRATIVE COSTS AS DEFINED BY THE DEPARTMENT. 22 (7) THE DEPARTMENT SHALL REDUCE THE AMOUNT OF A STATE 23 SUBSIDY PAYMENT TO A SCHOOL DISTRICT BY THE AMOUNT OF ANY GRANT 24 FUNDS PROVIDED UNDER THIS SECTION IF THE SCHOOL DISTRICT DOES 25 NOT USE THE GRANT FUNDS IN ACCORDANCE WITH THE ALLOWABLE USES 26 ESTABLISHED IN SUBSECTION (B) AND THE ACCOUNTABILITY GRANT PLAN 27 SUBMITTED PURSUANT TO SUBSECTION (D). 28 (8) NO GRANT FUNDS MAY BE USED DIRECTLY TO INCREASE SALARIES 29 EXCEPT AS PROVIDED FOR IN SUBSECTION (B)(10). 30 (9) NO SCHOOL DISTRICT MAY PLACE GRANT FUNDS RECEIVED UNDER 20030H0113B2814 - 134 -
1 THIS SECTION IN A RESERVE ACCOUNT. 2 (D) (1) EACH SCHOOL DISTRICT THAT RECEIVES A GRANT PURSUANT 3 TO THIS SECTION SHALL WITHIN SIXTY (60) DAYS OF RECEIPT OF THE 4 GRANT, SUBMIT TO THE DEPARTMENT AN ACCOUNTABILITY GRANT PLAN. 5 (2) THE PLAN SHALL IDENTIFY THE PROGRAMS AND SERVICES THE 6 SCHOOL DISTRICT WILL UNDERTAKE UTILIZING THE GRANT FUNDS TO 7 ATTAIN OR MAINTAIN ACADEMIC PERFORMANCE TARGETS FOR SPECIFIC 8 BUILDINGS AND THE SCHOOL DISTRICT. 9 (3) THE PLAN SHALL CONTAIN A DESCRIPTION OF THE ANTICIPATED 10 IMPACT THESE PROGRAMS AND SERVICES WILL HAVE ON ATTAINING OR 11 MAINTAINING ACADEMIC PERFORMANCE TARGETS. 12 (4) THE SECRETARY OF EDUCATION, UPON REVIEW OF A SCHOOL 13 DISTRICT PLAN, MAY MAKE RECOMMENDATIONS FOR ALTERNATIVE 14 UTILIZATION OF GRANT FUNDS THAT MAY INCREASE THE ABILITY OF THE 15 SCHOOL DISTRICT TO ATTAIN OR MAINTAIN ADEQUATE YEARLY PROGRESS. 16 (E) AS USED IN THIS SECTION, THE FOLLOWING WORDS AND PHRASES 17 SHALL HAVE THE MEANINGS GIVEN TO THEM IN THIS SUBSECTION: 18 "APPLIED KNOWLEDGE." INFORMATION TECHNOLOGY, COMPUTER 19 EQUIPMENT, EDUCATION SOFTWARE AND RELATED ADVANCED TECHNOLOGIES 20 NECESSARY TO INCREASE STUDENTS' ACCESS TO WORLDWIDE INFORMATION 21 AND THEIR EXPERTISE IN THIS REGARD. 22 "GRANT." A PENNSYLVANIA ACCOUNTABILITY GRANT AWARDED UNDER 23 THIS SECTION. 24 "HIGHLY QUALIFIED." A HIGHLY QUALIFIED ELEMENTARY TEACHER OR 25 A HIGHLY QUALIFIED MIDDLE OR SECONDARY TEACHER AS DEFINED IN 22 26 PA. CODE, § 403.2 (RELATING TO DEFINITIONS). 27 "SCIENCE." A CURRICULAR OFFERING IN SUPPORT OF THE SCIENCE 28 AND TECHNOLOGY CONTENT AREA AS DEFINED IN 22 PA. CODE § 4.12 29 (RELATING TO ACADEMIC STANDARDS). 30 SECTION 36. THE ACT IS AMENDED BY ADDING AN ARTICLE TO READ: 20030H0113B2814 - 135 -
1 ARTICLE XXV-A 2 KEYSTONE EDUCATIONAL ACCOUNTABILITY 3 SECTION 2501-A. SCOPE. 4 THIS ARTICLE DEALS WITH EDUCATIONAL ACCOUNTABILITY. 5 SECTION 2502-A. PURPOSE. 6 THE PURPOSE OF THIS ARTICLE IS TO PUT IN PLACE AN ASSESSMENT 7 SYSTEM AIMED AT IMPROVING SCHOOL DISTRICT MANAGEMENT PRACTICES 8 AND USE OF RESOURCES, AS WELL AS TO IDENTIFY POTENTIAL COST 9 SAVINGS, BY PROVIDING FOR THE ESTABLISHMENT OF A SERIES OF BEST 10 PRACTICES COVERING A BROAD RANGE OF SCHOOL DISTRICT EDUCATIONAL 11 AND OPERATIONAL PROGRAMS AND SERVICES AS STANDARDS FOR A 12 PERIODIC FINANCIAL MANAGEMENT PRACTICES REVIEW OF SCHOOL 13 DISTRICTS IN THIS COMMONWEALTH. THE REVIEWS ARE INTENDED TO: 14 (1) INCREASE PUBLIC CONFIDENCE IN AND SUPPORT FOR SCHOOL 15 DISTRICTS THAT DEMONSTRATE EFFICIENT USE OF TAXPAYER 16 RESOURCES. 17 (2) ENCOURAGE COST SAVINGS. 18 (3) LINK FINANCIAL PLANNING AND BUDGETING TO DISTRICT 19 PRIORITIES, INCLUDING STUDENT PERFORMANCE. 20 (4) IMPROVE SCHOOL DISTRICT MANAGEMENT AND USE OF 21 RESOURCES. 22 SECTION 2503-A. DEFINITIONS. 23 THE FOLLOWING WORDS AND PHRASES WHEN USED IN THIS ARTICLE 24 SHALL HAVE THE MEANINGS GIVEN TO THEM IN THIS SECTION UNLESS THE 25 CONTEXT CLEARLY INDICATES OTHERWISE: 26 "DEPARTMENT." THE DEPARTMENT OF EDUCATION OF THE 27 COMMONWEALTH. 28 "REVIEW." THE BEST FINANCIAL MANAGEMENT PRACTICES REVIEW 29 ESTABLISHED BY THIS ARTICLE. 30 "SCHOOL BOARD." A BOARD OF SCHOOL DIRECTORS OF A SCHOOL 20030H0113B2814 - 136 -
1 DISTRICT. 2 "SECRETARY." THE SECRETARY OF EDUCATION OF THE COMMONWEALTH. 3 "STANDARDS." THE BEST FINANCIAL MANAGEMENT PRACTICES 4 STANDARDS ESTABLISHED BY THE SECRETARY OF EDUCATION AND 5 PROMULGATED BY THE STATE BOARD OF EDUCATION PURSUANT TO THIS 6 ARTICLE. 7 "STATE BOARD." THE STATE BOARD OF EDUCATION. 8 "TEAM." THE LOCAL FINANCIAL MANAGEMENT ADVISORY TEAM 9 ESTABLISHED PURSUANT TO SECTION 2508-A. 10 SECTION 2504-A. ESTABLISHMENT. 11 (A) REVIEW SYSTEM.--THE DEPARTMENT, IN CONSULTATION WITH 12 STAKEHOLDERS AS SET FORTH IN SUBSECTION (D), SHALL DEVELOP A 13 SYSTEM FOR REVIEWING THE FINANCIAL MANAGEMENT PRACTICES OF 14 SCHOOL DISTRICTS IN THIS COMMONWEALTH BASED ON A SERIES OF BEST 15 FINANCIAL MANAGEMENT PRACTICES STANDARDS ADOPTED FOR SPECIFIC 16 AREAS OF DISTRICT PROGRAMS AND OPERATIONS. 17 (B) RESOURCES.--IN DEVELOPING THIS SYSTEM, THE DEPARTMENT 18 SHALL DRAW ON INFORMATION GARNERED THROUGH THE EXISTING SCHOOL 19 EVALUATION SERVICES REPORTS. 20 (C) ADVISORY COMMITTEE.-- 21 (1) THERE IS HEREBY ESTABLISHED IN THE DEPARTMENT OF 22 EDUCATION AN ADVISORY COMMITTEE CONSISTING OF NINE MEMBERS TO 23 ASSIST THE SECRETARY IN CARRYING OUT THE SECRETARY'S DUTIES 24 UNDER THIS ARTICLE. 25 (2) MEMBERSHIP ON THE COMMITTEE SHALL INCLUDE: 26 (I) A REPRESENTATIVE NAMED BY AN ESTABLISHED 27 RECOGNIZED ASSOCIATION REPRESENTING SCHOOL 28 ADMINISTRATORS. 29 (II) A REPRESENTATIVE NAMED BY AN ESTABLISHED 30 RECOGNIZED ASSOCIATION REPRESENTING SCHOOL BUSINESS 20030H0113B2814 - 137 -
1 OFFICIALS. 2 (III) ONE REPRESENTATIVE NAMED BY EACH OF THE 3 ESTABLISHED RECOGNIZED ORGANIZATIONS REPRESENTING THE 4 STATE'S PUBLIC SCHOOL EMPLOYEES. 5 (IV) A REPRESENTATIVE NAMED BY AN ESTABLISHED 6 RECOGNIZED ORGANIZATION REPRESENTING THE STATE'S BOARDS 7 OF SCHOOL DIRECTORS. 8 (V) A REPRESENTATIVE NAMED BY AN ESTABLISHED 9 RECOGNIZED ORGANIZATION REPRESENTING THE STATE'S COLLEGES 10 AND UNIVERSITIES. 11 (VI) THREE MEMBERS NAMED BY THE SECRETARY TO 12 INCLUDE: ONE REPRESENTATIVE FROM AN ESTABLISHED 13 RECOGNIZED ORGANIZATION REPRESENTING THE STATE'S BUSINESS 14 COMMUNITY; ONE REPRESENTATIVE OF AN ESTABLISHED 15 RECOGNIZED TAXPAYER ORGANIZATION AND ONE MEMBER FROM THE 16 GENERAL PUBLIC. 17 (3) THE COMMITTEE SHALL: 18 (I) CONSULT WITH THE SECRETARY CONCERNING ANY MATTER 19 ARISING UNDER THE ADMINISTRATION OF THIS ARTICLE. 20 (II) ASSIST THE SECRETARY IN COMPLYING WITH THE 21 PROVISIONS OF SECTION 2504-A(D) TO INCLUDE PROVIDING 22 LISTS OF EXPERTS IN VARIOUS AREAS ON WHICH STANDARDS AND 23 INDICATORS ARE BEING DEVELOPED PURSUANT TO SECTION 2505- 24 A. 25 (D) CONSULTATION.--IN ARRIVING AT ITS BEST PRACTICES AND 26 THEIR INDICATORS, THE DEPARTMENT SHALL CONSULT WITH A WIDE 27 VARIETY OF EDUCATIONAL STAKEHOLDERS, INCLUDING SCHOOL DISTRICT 28 ADMINISTRATORS, SCHOOL BUSINESS OFFICIALS, SCHOOL BOARD MEMBERS, 29 PROFESSIONAL EDUCATION ORGANIZATIONS, TAXPAYER ORGANIZATIONS, 30 LEGISLATORS AND LEGISLATIVE STAFF AND THE OFFICE OF THE BUDGET. 20030H0113B2814 - 138 -
1 ADDITIONALLY, THE DEPARTMENT IS TO SEEK ADVICE FROM CORPORATE 2 AND GOVERNMENTAL EXPERTS IN FINANCIAL BEST MANAGEMENT PRACTICES 3 AND OTHER STATES WITH SIMILAR PROGRAMS. 4 (E) REGULATIONS.--NO LATER THAN ONE YEAR FROM THE EFFECTIVE 5 DATE OF THIS ARTICLE, THE SECRETARY SHALL PROMULGATE THE BEST 6 MANAGEMENT PRACTICES STANDARDS AS REGULATIONS. DUE TO THE URGENT 7 NEED FOR AN EXPEDITED BUT PUBLIC REGULATORY PROCESS, THE STATE 8 BOARD, IN ADOPTING THESE REGULATIONS, SHALL FOLLOW THE 9 PROCEDURES SET FORTH IN THE ACT OF JULY 31, 1968 (P.L.769, 10 NO.240), REFERRED TO AS THE COMMONWEALTH DOCUMENTS LAW, AND THE 11 ACT OF JUNE 25, 1982 (P.L.633, NO.181), KNOWN AS THE REGULATORY 12 REVIEW ACT, FOR THE PROMULGATION AND REVIEW OF FINAL-OMITTED 13 REGULATIONS. 14 SECTION 2505-A. BEST FINANCIAL MANAGEMENT PRACTICES STANDARDS. 15 (A) GENERAL.--THE BEST FINANCIAL MANAGEMENT PRACTICES 16 STANDARDS MUST, AT A MINIMUM, INSTILL PUBLIC CONFIDENCE BY 17 ADDRESSING SCHOOL DISTRICTS' USE OF RESOURCES, IDENTIFYING WAYS 18 THAT THE DISTRICT MAY SAVE FUNDS AND IMPROVING THE DISTRICTS' 19 PERFORMANCE AND ACCOUNTABILITY SYSTEMS, INCLUDING PUBLIC 20 ACCOUNTABILITY. 21 (B) INITIAL DEVELOPMENT.--TO ASSURE THESE GOALS ARE MET, 22 BEST FINANCIAL MANAGEMENT PRACTICES STANDARDS SHALL INITIALLY BE 23 DEVELOPED FOR THE FOLLOWING AREAS: 24 (1) MANAGEMENT STRUCTURES. 25 (2) PERFORMANCE ACCOUNTABILITY. 26 (3) EDUCATIONAL SERVICE DELIVERY. 27 (4) ADMINISTRATIVE AND INSTRUCTIONAL TECHNOLOGY. 28 (5) PERSONNEL SYSTEMS AND BENEFITS. 29 (6) FACILITIES CONSTRUCTION. 30 (7) FACILITIES MAINTENANCE. 20030H0113B2814 - 139 -
1 (8) TRANSPORTATION. 2 (9) FOOD SERVICE OPERATIONS. 3 (10) COST CONTROL SYSTEMS. 4 (C) INDICATORS.--TO HELP ASSESS WHETHER A DISTRICT IS 5 MEETING THESE STANDARDS, THE DEPARTMENT SHALL ALSO DEVELOP 6 SPECIFIC INDICATORS FOR EACH BEST PRACTICE. INDICATORS WILL 7 REPRESENT THE KINDS OF ACTIVITIES A DISTRICT WOULD UNDERTAKE IF 8 THE DISTRICT WERE USING A PARTICULAR BEST PRACTICE. 9 SECTION 2506-A. REVIEW PROCESS. 10 (A) REVIEW CYCLE.--EVERY SCHOOL DISTRICT SHALL BE SUBJECT TO 11 A BEST FINANCIAL MANAGEMENT PRACTICES REVIEW ON A CONTINUING 12 SIX-YEAR CYCLE. ONCE THE SIX-YEAR CYCLE HAS BEEN COMPLETED, 13 REVIEWS SHALL CONTINUE, BEGINNING AGAIN WITH THOSE DISTRICTS 14 INCLUDED IN THE FIRST YEAR OF THE CYCLE UNLESS THE DISTRICT HAS 15 BEEN DEEMED ENTITLED TO A WAIVER PURSUANT TO SECTION 2507-A(D). 16 (B) STRATEGIC PLAN.--EACH DISTRICT'S REVIEW SHALL BE 17 SCHEDULED ONE YEAR PRIOR TO THE DATE REQUIRED FOR FILING OF THE 18 DISTRICT'S STRATEGIC PLAN UNDER 22 PA. CODE § 4.13 (RELATING TO 19 STRATEGIC PLANS) OR ITS SUCCESSOR REGULATIONS, EXCEPT THAT ALL 20 DISTRICTS PLACED ON THE EDUCATION EMPOWERMENT LIST PURSUANT TO 21 SECTION 1703-B OR DETERMINED TO BE DISTRESSED PURSUANT TO 22 SECTION 691 AS OF THE EFFECTIVE DATE OF THIS ARTICLE SHALL BE 23 INCLUDED IN THE INITIAL CYCLE OF SCHOOL DISTRICTS SUBJECT TO A 24 REVIEW. 25 (C) PRIVATE FIRMS.--THE DEPARTMENT IS AUTHORIZED TO CONTRACT 26 WITH A PRIVATE FIRM OR FIRMS, SELECTED THROUGH A FORMAL REQUEST 27 FOR PROPOSAL PROCESS TO PERFORM EACH REVIEW, TO THE EXTENT THAT 28 FUNDS ARE PROVIDED FOR THIS PURPOSE IN THE GENERAL APPROPRIATION 29 ACT EACH YEAR. ANY PRIVATE FIRM AWARDED A CONTRACT PURSUANT TO 30 THIS SUBSECTION SHALL HAVE EXPERTISE IN SCHOOL DISTRICT FINANCE. 20030H0113B2814 - 140 -
1 (D) SELF-ASSESSMENT.--DISTRICTS SCHEDULED FOR REVIEW SHALL 2 INITIALLY COMPLETE A SELF-ASSESSMENT INSTRUMENT DEVELOPED BY THE 3 DEPARTMENT WHICH INDICATES THE SCHOOL DISTRICT'S OWN EVALUATION 4 OF ITS PERFORMANCE ON EACH BEST PRACTICE. THE SELF-ASSESSMENT 5 SHALL BEGIN NO LATER THAN 60 DAYS PRIOR TO THE COMMENCEMENT OF 6 THE REVIEW, WITH THE COMPLETED ASSESSMENT INSTRUMENT AND 7 SUPPORTING DOCUMENTATION SUBMITTED TO THE DEPARTMENT NO LATER 8 THAN THE DATE SCHEDULED FOR COMMENCEMENT OF THE REVIEW OF THE 9 DISTRICT. 10 (E) PUBLIC MEETINGS DURING REVIEW.--DURING THE REVIEW THE 11 DEPARTMENT AND THE FIRM CONDUCTING THE REVIEW SHALL HOLD AT 12 LEAST ONE ADVERTISED PUBLIC MEETING IN ORDER TO EXPLAIN THE BEST 13 FINANCIAL MANAGEMENT PRACTICES REVIEW PROCESS AND OBTAIN INPUT 14 FROM STUDENTS, PARENTS, THE BUSINESS COMMUNITY AND OTHER 15 DISTRICT RESIDENTS REGARDING THEIR OBSERVATIONS AND 16 RECOMMENDATIONS ABOUT THE OPERATIONS AND MANAGEMENT OF THE 17 DISTRICT. 18 (F) INFORMATION USED IN REVIEW PROCESS.--IN COMPLETING ITS 19 REVIEW AND DEVELOPING THE FINAL REPORT, THE REVIEW TEAM SHALL 20 USE INFORMATION AVAILABLE THROUGH THE EXISTING SCHOOL EVALUATION 21 SERVICES REPORTS. 22 (G) COMPLETION OF REVIEW.--REVIEWS ARE TO BE COMPLETED 23 WITHIN SIX MONTHS AFTER COMMENCEMENT. A FINAL REPORT OF THE 24 REVIEW TEAM IS TO BE ISSUED TO THE SECRETARY, THE GOVERNOR, THE 25 DISTRICT AND ITS SCHOOL BOARD, AND THE CHAIRMAN AND MINORITY 26 CHAIRMAN OF THE APPROPRIATIONS COMMITTEE OF THE SENATE AND THE 27 CHAIRMAN AND MINORITY CHAIRMAN OF THE APPROPRIATIONS COMMITTEE 28 OF THE HOUSE OF REPRESENTATIVES, THE CHAIRMAN AND MINORITY 29 CHAIRMAN OF THE EDUCATION COMMITTEE OF THE SENATE AND THE 30 CHAIRMAN AND MINORITY CHAIRMAN OF THE EDUCATION COMMITTEE OF THE 20030H0113B2814 - 141 -
1 HOUSE OF REPRESENTATIVES WITHIN 60 DAYS OF COMPLETION OF THE 2 REVIEW. 3 (H) PUBLIC MEETING AFTER REVIEW.--WITHIN 30 DAYS OF RECEIPT 4 OF THE FINAL REPORT OF THE REVIEW, THE SCHOOL BOARD SHALL HOLD A 5 PUBLIC MEETING TO SHARE THE RESULTS WITH RESIDENTS OF THE 6 DISTRICT. SUCH MEETING SHALL COMPLY WITH THE PROVISIONS OF 65 7 PA.C.S. CH. 7 (RELATING TO OPEN MEETINGS). 8 (I) PUBLICATION ON WORLD WIDE WEB.--NO LATER THAN 15 DAYS 9 AFTER THE ISSUANCE OF THE FINAL REPORT BY THE REVIEW TEAM, THE 10 DEPARTMENT SHALL PUBLISH THE DISTRICTS' REVIEW ON ITS WORLD WIDE 11 WEB SITE. PRIOR TO PUBLICATION, THE DEPARTMENT SHALL ISSUE A 12 PRESS RELEASE INFORMING THE PUBLIC OF THE AVAILABILITY OF THIS 13 INFORMATION. 14 (J) FINDINGS IN FINAL REPORT.--THE FINAL REPORT SHALL 15 INCLUDE FINDINGS RELATED TO COMPLIANCE WITH THE STANDARDS BASED 16 ON THEIR ESTABLISHED INDICATORS; POTENTIAL COST SAVINGS; 17 SUGGESTED RECOMMENDATIONS FOR IMPROVEMENT; AND, FOR THOSE 18 DISTRICTS FOUND NOT TO BE IN COMPLIANCE WITH THE STANDARDS, A 19 THREE-YEAR ACTION PLAN FOR ACHIEVING COMPLIANCE. THIS ACTION 20 PLAN IS TO BE DEVELOPED IN CONJUNCTION WITH OFFICIALS FROM THE 21 SCHOOL DISTRICT. 22 SECTION 2507-A. STATE CERTIFICATION AS A KEYSTONE DISTRICT. 23 (A) GENERAL RULE.--A DISTRICT THAT HAS BEEN DETERMINED BY 24 THE REVIEW TO BE USING THE BEST PRACTICES SHALL BE CERTIFIED BY 25 THE SECRETARY AS A KEYSTONE DISTRICT. SUCH DESIGNATION IS 26 EFFECTIVE FOR SIX YEARS FROM THE CERTIFICATION DATE OR UNTIL THE 27 NEXT REVIEW IS COMPLETED, WHICHEVER IS LATER. 28 (B) PUBLICATION OF STATUS.--A DISTRICT SO DESIGNATED IS 29 AUTHORIZED TO PUBLICIZE ITS STATUS AS A KEYSTONE DISTRICT ON ITS 30 BUILDINGS AND IN ANY PUBLICATIONS OR CORRESPONDENCE IT DEEMS 20030H0113B2814 - 142 -
1 APPROPRIATE. 2 (C) ANNUAL VERIFICATION.--EXCEPT AS PROVIDED IN SECTION 3 2510-A, A DISTRICT THAT HAS BEEN CERTIFIED PURSUANT TO THIS 4 SECTION SHALL ANNUALLY VERIFY TO THE SECRETARY THAT IT HAS MADE 5 NO CHANGES IN ANY OF ITS PRACTICES AND CONTINUES TO CONFORM TO 6 THE BEST FINANCIAL MANAGEMENT PRACTICES STANDARDS. 7 (D) WAIVER.--A SCHOOL DISTRICT THAT HAS BEEN AWARDED A 8 CERTIFICATION AS A KEYSTONE DISTRICT AND WHICH HAS MADE ANNUAL 9 REPORTS PURSUANT TO SUBSECTION (C) SHALL BE GRANTED A WAIVER 10 FROM THE REQUIREMENT OF UNDERGOING ITS NEXT SCHEDULED REVIEW. 11 DISTRICTS GRANTED A WAIVER UNDER THIS SUBSECTION ARE NOT 12 ELIGIBLE FOR WAIVER OF THE REVIEW TO BE CONDUCTED AFTER THE ONE 13 WHICH WAS WAIVED. 14 SECTION 2508-A. FAILURE TO MEET BEST FINANCIAL MANAGEMENT 15 PRACTICES STANDARDS. 16 (A) ACTION PLAN.--IF THE REPORT PROVIDED FOR IN SECTION 17 2506-A FINDS THAT THE DISTRICT DOES NOT CONFORM TO THE 18 STANDARDS, THE REPORT MUST CONTAIN AN ACTION PLAN DETAILING HOW 19 THE DISTRICT MAY MEET THE STANDARDS WITHIN THREE YEARS. 20 (B) FINANCIAL MANAGEMENT ADVISORY TEAM.--NO LESS THAN 60 21 DAYS FOLLOWING RECEIPT OF THE REPORT, THE SCHOOL BOARD SHALL 22 ESTABLISH A LOCAL FINANCIAL MANAGEMENT ADVISORY TEAM. THE TEAM 23 SHALL CONSIST OF 11 MEMBERS AS FOLLOWS: 24 (1) ONE MEMBER OF THE SCHOOL BOARD WHO MAY BE THE 25 PRESIDENT OR A DESIGNATED BOARD MEMBER. 26 (2) THE SUPERINTENDENT OF THE DISTRICT. 27 (3) THE SCHOOL BUSINESS MANAGER OR THE INDIVIDUAL 28 RESPONSIBLE FOR THE FISCAL MANAGEMENT OF THE DISTRICT. 29 (4) A PRINCIPAL SELECTED BY ALL THE PRINCIPALS IN THE 30 DISTRICT. 20030H0113B2814 - 143 -
1 (5) A TEACHER SELECTED BY ALL THE TEACHERS IN THE 2 DISTRICT. 3 (6) TWO MEMBERS OF THE GENERAL PUBLIC, ONE OF WHOM SHALL 4 BE A REPRESENTATIVE OF A LOCAL TAXPAYER ORGANIZATION IF ONE 5 EXISTS IN THE DISTRICT. 6 (7) ONE PARENT OF A STUDENT FROM THE DISTRICT. 7 (8) TWO LOCAL REPRESENTATIVES OF BUSINESS, AT LEAST ONE 8 OF WHOM MUST HAVE EXPERIENCE IN BANKING OR FINANCE. 9 (9) A LOCAL COMMUNITY LEADER. 10 (C) PROCEDURE.--THE SCHOOL BOARD SHALL ESTABLISH PROCEDURES 11 FOR SELECTING THE PARENT, THE BUSINESS AND COMMUNITY LEADERS AND 12 MEMBERS OF THE GENERAL PUBLIC IN ORDER TO ENSURE PUBLIC 13 AWARENESS OF THESE OPENINGS AND SOLICIT INPUT FROM THE 14 COMMUNITY. 15 (D) CHAIRPERSON.--THE TEAM SHALL ELECT A CHAIRPERSON FROM 16 AMONG ITS MEMBERSHIP AT ITS FIRST MEETING. 17 (E) TIME PERIOD.--THE TEAM SHALL BE RESPONSIBLE FOR 18 IMPLEMENTATION OF THE ACTION PLAN CONTAINED IN THE DISTRICT'S 19 REPORT WITHIN A THREE-YEAR TIME PERIOD. 20 (F) TECHNICAL ADVISORS.--UPON REQUEST, THE DEPARTMENT SHALL 21 PROVIDE, FROM A LIST ESTABLISHED PURSUANT TO SECTION 2509-A, 22 SUCH TECHNICAL ADVISORS AS MAY BE NECESSARY TO ASSIST THE TEAM 23 IN IMPLEMENTING THE ACTION PLAN. 24 (G) SECOND REVIEW.--NO LATER THAN THREE YEARS AFTER RECEIPT 25 OF A REPORT INDICATING THE DISTRICT IS NOT IN COMPLIANCE WITH 26 THE BEST FINANCIAL MANAGEMENT PRACTICES STANDARDS, OR EARLIER 27 UPON REQUEST OF THE SCHOOL BOARD, THE DEPARTMENT SHALL CONDUCT A 28 SECOND REVIEW TO DETERMINE IF THE DISTRICT IS NOW IN COMPLIANCE. 29 IF THIS SECOND REPORT INDICATES THAT THE DISTRICT IS NOW IN 30 COMPLIANCE, IT SHALL BE CERTIFIED AS A KEYSTONE DISTRICT 20030H0113B2814 - 144 -
1 PURSUANT TO SECTION 2507-A AND SHALL FALL UNDER ALL PROVISIONS 2 OF THAT SECTION WITH THE NEXT REVIEW OF THE DISTRICT TO TAKE 3 PLACE SIX YEARS FROM THE DATE OF CERTIFICATION. 4 SECTION 2509-A. DUTIES OF DEPARTMENT. 5 (A) LIST OF EXPERTS.--IN ORDER TO ASSIST THOSE DISTRICTS 6 THAT DO NOT INITIALLY MEET THE BEST FINANCIAL MANAGEMENT 7 PRACTICES STANDARDS, THE DEPARTMENT SHALL ESTABLISH A LIST OF 8 EXPERTS WHO POSSESS KNOWLEDGE AND EXPERIENCE IN SUCH AREAS AS 9 SCHOOL OR BUSINESS ADMINISTRATION, PUPIL TRANSPORTATION, FOOD 10 SERVICES MANAGEMENT, BUDGET DEVELOPMENT, FISCAL MANAGEMENT, 11 HUMAN RESOURCES MANAGEMENT, EDUCATIONAL TECHNOLOGY AND LABOR 12 RELATIONS. 13 (B) TECHNICAL ADVISORS.--UPON REQUEST FROM A SCHOOL BOARD, 14 THE DEPARTMENT SHALL SEND INTO THE DISTRICT TECHNICAL ADVISORS, 15 CHOSEN FROM THE LIST ESTABLISHED IN SUBSECTION (A) WITH 16 EXPERTISE IN THOSE AREAS IDENTIFIED IN THE REPORT AS NOT MEETING 17 BEST FINANCIAL MANAGEMENT PRACTICES STANDARDS, TO WORK WITH THE 18 TEAM IN IMPLEMENTING THE DISTRICT'S ACTION PLAN. 19 SECTION 2510-A. REVOCATION OF CERTIFICATION. 20 (A) GENERAL RULE.--THE SECRETARY MAY REVOKE THE KEYSTONE 21 DISTRICT CERTIFICATION IF AT ANY TIME IT DETERMINES THAT A 22 DISTRICT IS NO LONGER COMPLYING WITH THE COMMONWEALTH'S BEST 23 FINANCIAL MANAGEMENT PRACTICES STANDARDS. 24 (B) IMMEDIATE REVOCATION.--ANY DISTRICT CERTIFIED AS A 25 KEYSTONE DISTRICT WHICH, BEFORE ITS NEXT SCHEDULED REVIEW, IS 26 DEEMED TO BE DISTRESSED BY THE SECRETARY UNDER SECTION 691 OR IS 27 PLACED ON THE EDUCATION EMPOWERMENT LIST PROVIDED PURSUANT TO 28 SECTION 1703-B SHALL IMMEDIATELY HAVE ITS CERTIFICATION REVOKED. 29 SECTION 2511-A. COST SAVINGS. 30 COST SAVINGS RESULTING FROM IMPLEMENTATION OF THE BEST 20030H0113B2814 - 145 -
1 FINANCIAL PRACTICES MUST BE SPENT AT THE SCHOOL AND CLASSROOM 2 LEVELS FOR TEACHER PROFESSIONAL DEVELOPMENT, IMPROVING CLASSROOM 3 FACILITIES, STUDENT SUPPLIES, TEXTBOOKS, CLASSROOM TECHNOLOGY, 4 SCHOOL SAFETY OR ANY OTHER INSTRUCTIONAL ACTIVITY DIRECTLY 5 AFFECTING STUDENT PERFORMANCE AND THE LEARNING ENVIRONMENT. 6 SECTION 37. SECTION 2603-B(D) OF THE ACT, AMENDED OR ADDED 7 MARCH 30, 1988 (P.L.321, NO.43) AND JUNE 29, 2002 (P.L.524, 8 NO.88), IS AMENDED TO READ: 9 SECTION 2603-B. POWERS AND DUTIES OF THE BOARD.--* * * 10 (D) THE BOARD SHALL ALSO HAVE THE AUTHORITY AND DUTY TO: 11 (1) APPROVE OR DISAPPROVE AN APPLICATION FOR THE CREATION OF 12 A NEW SCHOOL DISTRICT, OR CHANGE IN THE BOUNDARIES OF AN 13 EXISTING SCHOOL DISTRICT; 14 (2) ESTABLISH, WHENEVER DEEMED ADVISABLE, COMMITTEES OF 15 PROFESSIONAL AND TECHNICAL ADVISORS TO ASSIST THE COUNCILS IN 16 PERFORMING RESEARCH STUDIES UNDERTAKEN BY THEM; 17 (3) MANAGE AND HAVE CUSTODY OF THE STATE SCHOOL FUND; 18 (4) (I) APPLY FOR, RECEIVE AND ADMINISTER, SUBJECT TO ANY 19 APPLICABLE REGULATIONS OR LAWS OF THE FEDERAL GOVERNMENT OR ANY 20 AGENCY THEREOF, ANY FEDERAL GRANTS, APPROPRIATIONS, ALLOCATIONS 21 AND PROGRAMS FOR THE DEVELOPMENT OF ACADEMIC FACILITIES ON 22 BEHALF OF THE COMMONWEALTH, ANY OF ITS SCHOOL DISTRICTS OR ANY 23 INSTITUTION OF HIGHER EDUCATION, PUBLIC OR PRIVATE, WITHIN THIS 24 COMMONWEALTH; 25 (II) SUBJECT TO CRITERIA DEVELOPED BY THE SECRETARY OF 26 EDUCATION AND SUBJECT TO ANY APPLICABLE REGULATIONS OR LAWS OF 27 THE FEDERAL GOVERNMENT OR ANY AGENCY THEREOF, TO DEVELOP, ALTER, 28 AMEND AND SUBMIT TO THE FEDERAL GOVERNMENT STATE PLANS FOR 29 PARTICIPATION IN FEDERAL GRANTS, APPROPRIATIONS, ALLOCATIONS AND 30 PROGRAMS FOR THE DEVELOPMENT OF ACADEMIC FACILITIES AND TO MAKE 20030H0113B2814 - 146 -
1 REGULATIONS, CRITERIA, METHODS, FORMS, PROCEDURES AND TO DO ALL 2 OTHER THINGS WHICH MAY BE NECESSARY TO MAKE POSSIBLE THE 3 PARTICIPATION OF THE COMMONWEALTH IN SUCH FEDERAL GRANTS, 4 APPROPRIATIONS, ALLOCATIONS AND PROGRAMS FOR THE DEVELOPMENT OF 5 ACADEMIC FACILITIES; 6 (III) HOLD HEARINGS, ISSUE SUBPOENAS AND RENDER DECISIONS AS 7 TO THE PRIORITY ASSIGNED TO ANY PROJECT, OR AS TO ANY OTHER 8 MATTER OR DETERMINATION AFFECTING ANY APPLICANT FOR FEDERAL 9 GRANTS, APPROPRIATIONS, ALLOCATIONS AND PROGRAMS FOR THE 10 DEVELOPMENT OF ACADEMIC FACILITIES; 11 (IV) ADOPT RULES OR PROCEDURES AND PRESCRIBE REGULATIONS FOR 12 THE SUBMISSION TO IT OF ALL MATTERS WITHIN ITS JURISDICTION; AND 13 (V) SUBMIT, ANNUALLY, TO THE GOVERNOR, ON OR BEFORE THE 14 FIRST MONDAY OF DECEMBER, A REPORT OF ITS PROCEEDINGS DURING 15 THAT YEAR, TOGETHER WITH SUCH RECOMMENDATIONS AS THE BOARD SHALL 16 DEEM NECESSARY; 17 (5) ADOPT POLICIES UNDER WHICH THE SECRETARY OF EDUCATION 18 SHALL APPROVE OR DISAPPROVE ANY ACTION OF A STATE-OWNED 19 UNIVERSITY, COMMUNITY COLLEGE OR STATE-RELATED OR STATE-AIDED 20 COLLEGE OR UNIVERSITY IN ESTABLISHING ADDITIONAL BRANCHES OR 21 CAMPUSES, OR IN DISCONTINUING BRANCHES OR CAMPUSES; 22 (6) ADOPT POLICIES UNDER WHICH THE SECRETARY OF EDUCATION 23 SHALL APPROVE OR DISAPPROVE ANY ACTION OF A STATE-OWNED 24 UNIVERSITY, COMMUNITY COLLEGE OR STATE-RELATED OR STATE-AIDED 25 COLLEGE OR UNIVERSITY IN ESTABLISHING NEW PROFESSIONAL SCHOOLS 26 OR UPPER DIVISION PROGRAMS BY TWO (2) YEAR INSTITUTIONS; 27 (7) ADOPT POLICIES UNDER WHICH THE SECRETARY OF EDUCATION 28 SHALL APPROVE OR DISAPPROVE APPLICATIONS BY TWO (2) YEAR 29 INSTITUTIONS TO BECOME FOUR (4) YEAR INSTITUTIONS; 30 (8) ADOPT POLICIES UNDER WHICH THE SECRETARY OF EDUCATION 20030H0113B2814 - 147 -
1 SHALL APPROVE OR DISAPPROVE THE REQUEST OF ANY PRIVATE 2 INSTITUTION OF HIGHER EDUCATION FOR ADMISSION TO STATE-RELATED 3 OR STATE-AIDED STATUS, OR FOR ELIGIBILITY FOR OTHER STATE 4 FINANCIAL SUPPORT; AND 5 (9) REQUIRE THE SUBMISSION OF LONG-RANGE PLANS FROM ALL 6 PUBLIC AND PRIVATE INSTITUTIONS OF HIGHER EDUCATION AT THE TIMES 7 AND IN THE FORM REQUESTED BY THE BOARD. SUCH DOCUMENTS SHALL BE 8 REVIEWED BY THE COUNCIL OF HIGHER EDUCATION AND THE BOARD IN THE 9 DEVELOPMENT OF A MASTER PLAN FOR HIGHER EDUCATION AS PROVIDED IN 10 SUBSECTION (H) AND SECTION 2604-B(C)(1). 11 (10) (I) APPROVE OR DISAPPROVE STANDARDS PROPOSED BY THE 12 DEPARTMENT IN ORDER TO COMPLY WITH THE PROVISIONS OF THE NO 13 CHILD LEFT BEHIND ACT OF 2001 [(PUBLIC LAW 107-110, 115 STAT. 14 1425)] TO MAINTAIN THE ELIGIBILITY OF THIS COMMONWEALTH TO 15 RECEIVE FEDERAL FUNDING FOR EDUCATION PROGRAMS. THE BOARD SHALL 16 APPROVE OR DISAPPROVE THE STANDARDS WITHIN 30 DAYS OF SUBMISSION 17 TO THE BOARD'S OFFICE OR AT ITS NEXT SCHEDULED MEETING, 18 WHICHEVER IS SOONER. FAILURE OF THE BOARD TO APPROVE OR 19 DISAPPROVE THE STANDARDS WITHIN THE TIME ESTABLISHED UNDER THIS 20 SECTION SHALL BE DEEMED AN APPROVAL OF THE STANDARDS. 21 (II) STANDARDS PROMULGATED UNDER THIS SECTION SHALL BE 22 DEPOSITED WITH THE PENNSYLVANIA BULLETIN FOR PUBLICATION. 23 (III) THESE STANDARDS SHALL BE EXEMPT FROM: 24 (A) SECTIONS 201 THROUGH 205 OF THE ACT OF JULY 31, 1968 25 (P.L.769, NO.240), REFERRED TO AS THE COMMONWEALTH DOCUMENTS 26 LAW. 27 (B) SECTION 204(B) OF THE ACT OF OCTOBER 15, 1980 (P.L.950, 28 NO.164), KNOWN AS THE "COMMONWEALTH ATTORNEYS ACT." 29 (C) THE ACT OF JUNE 25, 1982 (P.L.633, NO.181), KNOWN AS THE 30 "REGULATORY REVIEW ACT." 20030H0113B2814 - 148 -
1 (D) THIS SUBCLAUSE SHALL EXPIRE [JUNE 30, 2003.] JUNE 30, 2 2004. 3 * * * 4 SECTION 38. THE ACT IS AMENDED BY ADDING AN ARTICLE TO READ: 5 ARTICLE XXVI-I 6 TEACHER RECRUITMENT ASSISTANCE 7 SECTION 2601-I. DEFINITIONS. 8 THE FOLLOWING WORDS AND PHRASES WHEN USED IN THIS ARTICLE 9 SHALL HAVE THE MEANINGS GIVEN TO THEM IN THIS SECTION UNLESS THE 10 CONTEXT CLEARLY INDICATES OTHERWISE: 11 "AGENCY." THE PENNSYLVANIA HIGHER EDUCATION ASSISTANCE 12 AGENCY. 13 "DEPARTMENT." THE DEPARTMENT OF EDUCATION OF THE 14 COMMONWEALTH. 15 "DESIGNATED COMMONWEALTH RURAL OR ACADEMIC IMPROVEMENT SCHOOL 16 DISTRICT." AN ELIGIBLE RURAL OR ACADEMIC IMPROVEMENT PUBLIC 17 SCHOOL DISTRICT THAT THE SECRETARY OF EDUCATION HAS CERTIFIED AS 18 HAVING A NEED FOR TEACHER LOAN FORGIVENESS ASSISTANCE BECAUSE OF 19 DIFFICULTY IN ATTRACTING QUALIFIED TEACHERS. 20 "ELIGIBLE ACADEMIC SCHOOL IMPROVEMENT PUBLIC SCHOOL 21 DISTRICT." A PUBLIC SCHOOL DISTRICT THAT: 22 (1) HAS TWO OR MORE SCHOOLS IDENTIFIED FOR IMPROVEMENT 23 OR CORRECTIVE ACTION UNDER SECTION 1116(C)(3) OR (10) OF THE 24 NO CHILD LEFT BEHIND ACT OF 2001 (PUBLIC LAW 107-110, 20 25 U.S.C. § 6316); 26 (2) HAS BEEN CERTIFIED AS DISTRESSED UNDER SECTION 691; 27 (3) HAS BEEN CERTIFIED AS AN EDUCATION EMPOWERMENT 28 DISTRICT UNDER SECTION 1705-B OR 1707-B; OR 29 (4) HAS BEEN PLACED ON AN EDUCATION EMPOWERMENT LIST 30 UNDER SECTION 1703-B. 20030H0113B2814 - 149 -
1 "ELIGIBLE RURAL PUBLIC SCHOOL DISTRICT." A PUBLIC SCHOOL 2 DISTRICT THAT HAS A POPULATION OF LESS THAN 300 PER SQUARE MILE 3 AND EITHER: 4 (1) MORE THAN 8% OF THE PUPILS IN AVERAGE DAILY 5 MEMBERSHIP ARE LOW-INCOME PUPILS AS DEFINED IN SECTION 6 2502.11; OR 7 (2) THE MARKET VALUE/INCOME AID RATIO AS DEFINED IN 8 SECTION 2501 IS GREATER THAN SEVEN-TENTHS. 9 "FUND." THE TEACHER RECRUITMENT ASSISTANCE FUND ESTABLISHED 10 UNDER SECTION 2602-I. 11 "QUALIFIED APPLICANT." A PERSON WHO MEETS ALL OF THE 12 FOLLOWING CRITERIA: 13 (1) IS CERTIFIED BY THE DEPARTMENT OF EDUCATION TO 14 TEACH. 15 (2) IS IN THE FIRST YEAR OF FULL-TIME TEACHING. 16 (3) IS TEACHING IN A DESIGNATED COMMONWEALTH RURAL OR 17 ACADEMIC IMPROVEMENT PUBLIC SCHOOL DISTRICT. 18 (4) HAS BORROWED THROUGH THE AGENCY-ADMINISTERED 19 GUARANTEED STUDENT LOAN PROGRAMS. 20 "SECRETARY." THE SECRETARY OF EDUCATION OF THE COMMONWEALTH. 21 SECTION 2602-I. TEACHER RECRUITMENT ASSISTANCE FUND. 22 (A) ESTABLISHMENT.--IN ADDITION TO ANY OTHER POWERS AND 23 DUTIES UNDER THE ACT OF AUGUST 7, 1963 (P.L.549, NO.290), 24 REFERRED TO AS THE PENNSYLVANIA HIGHER EDUCATION ASSISTANCE 25 AGENCY ACT, THE TEACHER RECRUITMENT ASSISTANCE FUND IS 26 ESTABLISHED IN THE STATE TREASURY. 27 (B) PURPOSE.--THE FUND SHALL PROVIDE ASSISTANCE TO 28 DESIGNATED COMMONWEALTH RURAL OR ACADEMIC IMPROVEMENT PUBLIC 29 SCHOOL DISTRICTS IN RECRUITING TEACHERS THROUGH A PROGRAM OF 30 TEACHER LOAN FORGIVENESS AS PROVIDED FOR IN THIS ARTICLE. 20030H0113B2814 - 150 -
1 (C) ADMINISTRATION.--THE AGENCY SHALL ADMINISTER THE FUND 2 AND ADOPT SUCH REGULATIONS, POLICIES, PROCEDURES AND FORMS AS 3 ARE NECESSARY AND NOT INCONSISTENT WITH THE PROVISIONS OF THIS 4 ARTICLE. 5 SECTION 2603-I. TEACHER RECRUITMENT ASSISTANCE. 6 (A) GENERAL RULE.--A QUALIFIED APPLICANT WHO IS SELECTED IN 7 ACCORDANCE WITH THIS ARTICLE SHALL BE ELIGIBLE FOR AN AWARD BY 8 THE AGENCY FROM THE FUND OF A PORTION OF THE DEBT INCURRED BY 9 THE APPLICANT THROUGH THE AGENCY-ADMINISTERED GUARANTEED STUDENT 10 LOAN PROGRAMS FOR THE EDUCATION NECESSARY TO BE CERTIFIED TO 11 TEACH IN THIS COMMONWEALTH. 12 (B) FORGIVENESS OF LOAN.--FOR EACH ACADEMIC YEAR THAT THE 13 ELIGIBLE APPLICANT IS A FULL-TIME TEACHER IN A DESIGNATED 14 COMMONWEALTH RURAL OR ACADEMIC IMPROVEMENT PUBLIC SCHOOL 15 DISTRICT, THE AGENCY MAY FORGIVE A PROPORTIONAL PART OF THE 16 APPLICANT'S LOAN OVER FOUR YEARS OF FULL-TIME TEACHING. NO MORE 17 THAN $2,500 SHALL BE FORGIVEN IN ANY YEAR AND NO MORE THAN 18 $10,000 SHALL BE FORGIVEN FOR ANY ELIGIBLE APPLICANT. 19 (C) PAYMENTS.--SHALL BE MADE IN ACCORDANCE WITH PROCEDURES 20 ESTABLISHED BY THE AGENCY. 21 SECTION 2604-I. LOAN FORGIVENESS AWARDS. 22 RECIPIENTS OF TEACHER RECRUITMENT ASSISTANCE AWARDS SHALL BE 23 THOSE TEACHERS WHO ARE CERTIFIED BY THE DEPARTMENT AND WHO HAVE 24 RECEIVED A SATISFACTORY RATING BY THE DISTRICT FOR THE ACADEMIC 25 YEAR. EACH TEACHER SHALL BE REQUIRED TO SUBMIT SUCH 26 DOCUMENTATION OF CONTINUED ELIGIBILITY AS THE AGENCY MAY 27 REQUIRE. 28 SECTION 2605-I. FUNDING. 29 (A) GENERAL RULE.--LOAN FORGIVENESS AWARDS MAY BE MADE TO 30 THE EXTENT THAT FUNDS ARE APPROPRIATED BY THE GENERAL ASSEMBLY 20030H0113B2814 - 151 -
1 TO THE FUND. 2 (B) OTHER SOURCES.--IN ADDITION TO APPROPRIATIONS FROM THE 3 GENERAL ASSEMBLY, THE FUND MAY ACCEPT DONATIONS AND 4 CONTRIBUTIONS FROM ALL PUBLIC AND PRIVATE SOURCES, INCLUDING THE 5 FEDERAL GOVERNMENT. 6 (C) INSUFFICIENT FUNDING.--IF IN ANY FISCAL YEAR, THE SUM OF 7 THE AMOUNT OF FUNDS APPROPRIATED TO THE FUND BY THE GENERAL 8 ASSEMBLY, AMOUNTS CONTRIBUTED TO THE FUND FROM OTHER SOURCES AND 9 THE AVAILABLE FUND BALANCE ARE INSUFFICIENT TO PAY THE TOTAL 10 AMOUNT OF LOAN FORGIVENESS AWARDS DUE TO BE PAID IN THAT FISCAL 11 YEAR, THEN SUCH PAYMENTS SHALL BE MADE ON A PRO RATA BASIS. 12 (D) EXHAUSTION OF FUNDING.--IF IN ANY FISCAL YEAR THE FUND 13 BALANCE IS EXHAUSTED BECAUSE PRO RATA PAYMENTS HAVE BEEN MADE 14 UNDER SUBSECTION (C), AND IN THE NEXT SUCCEEDING FISCAL YEAR THE 15 GENERAL ASSEMBLY DOES NOT APPROPRIATE FUNDS FOR TEACHER 16 RECRUITMENT ASSISTANCE, THEN THE ELIGIBILITY OF QUALIFIED 17 APPLICANTS FOR LOAN FORGIVENESS AWARDS UNDER THIS ARTICLE SHALL 18 BE EXTINGUISHED. 19 SECTION 39. SECTION 614-A(F)(6) AND (8) OF THE ACT SHALL 20 APPLY TO SCHOOL DISTRICTS IN WHICH A REFERENDUM QUESTION UNDER 21 53 PA.C.S. § 8703 IS APPROVED AND IMPLEMENTED. 22 SECTION 40. NO SCHOOL DISTRICT WHICH HAS NOT ALREADY MADE AN 23 ELECTION TO ADOPT THE PROVISIONS OF 53 PA.C.S. CH. 87 MAY MAKE 24 AN ELECTION TO DO SO AFTER THE EFFECTIVE DATE OF THIS SECTION. 25 SECTION 41. THE FOLLOWING SHALL APPLY: 26 (1) NO LATER THAN JANUARY 1, 2004, THE DEPARTMENT OF 27 EDUCATION SHALL DO ALL OF THE FOLLOWING: 28 (I) IDENTIFY THOSE SCHOOL DISTRICTS WHICH BORROWED 29 MONEY DIRECTLY AS A RESULT OF ANY DELAYED PAYMENTS FOR 30 ALLOCATION DURING THE 2003-2004 SCHOOL YEAR FOR BASIC 20030H0113B2814 - 152 -
1 EDUCATION FUNDING, AS REQUIRED BY SECTION 2517 OF THE ACT 2 OF MARCH 10, 1949 (P.L.30, NO.14), KNOWN AS THE PUBLIC 3 SCHOOL CODE OF 1949. 4 (II) ASCERTAIN FOR EACH AFFECTED DISTRICT THE DATE 5 OF INCEPTION OF EACH LOAN TAKEN AND THE DATE ON WHICH 6 EACH LOAN WAS REPAID. 7 (III) DETERMINE THE DOLLAR AMOUNT OF INTEREST PAID 8 BY EACH AFFECTED DISTRICT ON EACH LOAN FROM THE PERIOD OF 9 INCEPTION OF THE LOAN THROUGH THE DATE OF REPAYMENT. 10 (IV) UTILIZING THE DATA COLLECTED PURSUANT TO 11 SUBPARAGRAPHS (I), (II) AND (III), DETERMINE THE TOTAL 12 STATEWIDE COST OF THE INTEREST PAYMENTS. 13 (2) THE SECRETARY OF THE BUDGET SHALL, NO LATER THAN 14 JANUARY 1, 2004, VERIFY THE AMOUNT OF INTEREST ACCRUED BY THE 15 COMMONWEALTH ON FUNDS NOT ALLOCATED TO SCHOOL DISTRICTS AS A 16 RESULT OF THE DELAYED PAYMENT OF BASIC EDUCATION FUNDING FOR 17 THE 2003-2004 SCHOOL YEAR AS PROVIDED FOR IN SECTION 2517 OF 18 THE PUBLIC SCHOOL CODE OF 1949. 19 (3) THE INFORMATION COLLECTED PURSUANT TO PARAGRAPHS (1) 20 AND (2) SHALL BE USED BY THE GOVERNOR TO SUBMIT A PROPOSAL TO 21 THE GENERAL ASSEMBLY NO LATER THAN FEBRUARY 1, 2004, TO 22 PROVIDE FOR REIMBURSEMENT TO SCHOOL DISTRICTS FOR PAYMENT OF 23 INTEREST ON BORROWING NECESSITATED DIRECTLY AS A RESULT OF 24 ANY DELAYED PAYMENTS FOR ALLOCATION OF BASIC EDUCATION 25 FUNDING DURING THE 2003-2004 SCHOOL YEAR. 26 SECTION 42. THE FOLLOWING AMOUNTS ARE HEREBY APPROPRIATED 27 FROM THE GENERAL FUND TO THE DEPARTMENT OF EDUCATION FOR THE 28 FISCAL PERIOD JULY 1, 2003, TO JUNE 30, 2004, AS FOLLOWS: 29 (1) THE SUM OF $74,135,000 IS HEREBY APPROPRIATED FOR 30 SERVICES TO NONPUBLIC SCHOOLS AS PROVIDED UNDER SECTION 20030H0113B2814 - 153 -
1 922.1-A OF THE ACT OF MARCH 10, 1949 (P.L.30, NO.14), KNOWN 2 AS THE PUBLIC SCHOOL CODE OF 1949, PROVIDED THAT ANY AMOUNTS 3 EXPENDED BY THE DEPARTMENT OF EDUCATION PURSUANT TO THE 4 FORMER STATE APPROPRIATION IN THE AMOUNT OF $71,976,000 FOR 5 SERVICES TO NONPUBLIC SCHOOLS UNDER SECTION 212 OF THE 6 GENERAL APPROPRIATION ACT OF 2003, SHALL BE DEDUCTED FROM THE 7 SUM APPROPRIATED IN THIS PARAGRAPH. 8 (2) THE SUM OF $22,691,000 IS HEREBY APPROPRIATED FOR 9 TEXTBOOKS, INSTRUCTIONAL MATERIAL AND INSTRUCTIONAL EQUIPMENT 10 FOR NONPUBLIC SCHOOLS AS PROVIDED FOR UNDER SECTION 923-A OF 11 THE PUBLIC SCHOOL CODE OF 1949, PROVIDED THAT ANY AMOUNTS 12 EXPENDED BY THE DEPARTMENT OF EDUCATION PURSUANT TO THE 13 FORMER STATE APPROPRIATION IN THE AMOUNT OF $22,030,000 FOR 14 TEXTBOOKS, INSTRUCTIONAL MATERIAL AND INSTRUCTIONAL EQUIPMENT 15 FOR NONPUBLIC SCHOOLS UNDER SECTION 212 OF THE GENERAL 16 APPROPRIATION ACT OF 2003 SHALL BE DEDUCTED FROM THE SUM 17 APPROPRIATED IN THIS PARAGRAPH. 18 (3) THE SUM OF $34,000,000 IS HEREBY APPROPRIATED FOR 19 THE EDUCATION SUPPORT SERVICES PROGRAM AND EDUCATIONAL 20 ASSISTANCE PROGRAM ESTABLISHED UNDER ARTICLE XV-C OF THE 21 PUBLIC SCHOOL CODE OF 1949. OF THIS AMOUNT $9,000,000 SHALL 22 BE USED TO PROVIDE GRANTS UNDER THE EDUCATION SUPPORT 23 SERVICES PROGRAM AND $25,000,000 SHALL BE USED FOR THE 24 EDUCATIONAL ASSISTANCE PROGRAM. 25 (4) THE SUM OF $15,000,000 IS HEREBY APPROPRIATED FOR 26 THE HEAD START SUPPLEMENTAL ASSISTANCE PROGRAM ESTABLISHED 27 UNDER ARTICLE XV-D OF THE PUBLIC SCHOOL CODE OF 1949. 28 (5) THE SUM OF $25,380,000 IS HEREBY APPROPRIATED FOR 29 SCHOOL IMPROVEMENT GRANTS AS PROVIDED FOR UNDER SECTION 1709- 30 B OF THE PUBLIC SCHOOL CODE OF 1949. FUNDS APPROPRIATED UNDER 20030H0113B2814 - 154 -
1 THIS PARAGRAPH THAT ARE NOT ALLOCATED DURING THE 2003-2004 2 FISCAL YEAR SHALL BE CONSIDERED UNDISTRIBUTED FUNDS NOT 3 EXPENDED, ENCUMBERED OR COMMITTED FOR DISTRIBUTION UNDER 4 SECTIONS 1705-B AND 2502.30 OF THE PUBLIC SCHOOL CODE OF 5 1949. 6 (6) THE SUM OF $56,762,000 IS HEREBY APPROPRIATED FOR 7 PAYMENTS ON ACCOUNT OF VOCATIONAL EDUCATION AS PROVIDED FOR 8 UNDER SECTION 2502.8 OF THE PUBLIC SCHOOL CODE OF 1949, 9 PROVIDED THAT ANY AMOUNTS EXPENDED BY THE DEPARTMENT OF 10 EDUCATION PURSUANT TO THE FORMER STATE APPROPRIATION IN THE 11 AMOUNT OF $55,378,000 FOR VOCATIONAL EDUCATION UNDER SECTION 12 212 OF THE ACT OF MARCH 20, 2003 (P.L. , NO.1A), KNOWN AS 13 THE GENERAL APPROPRIATION ACT OF 2003, SHALL BE DEDUCTED FROM 14 THE SUM APPROPRIATED IN THIS PARAGRAPH. 15 (7) THE SUM OF $4,209,152,000 IS HEREBY APPROPRIATED FOR 16 BASIC EDUCATION FUNDING TO SCHOOL DISTRICTS, PROVIDED THAT 17 THE SECRETARY OF EDUCATION, WITH THE APPROVAL OF THE 18 GOVERNOR, MAY MAKE PAYMENTS FROM THIS APPROPRIATION IN 19 ADVANCE OF THE DUE DATE PRESCRIBED BY LAW TO SCHOOL DISTRICTS 20 WHICH ARE FINANCIALLY HANDICAPPED WHENEVER THE SECRETARY OF 21 EDUCATION SHALL DEEM IT NECESSARY TO MAKE SUCH ADVANCE 22 PAYMENTS TO ENABLE THE SCHOOL DISTRICTS TO KEEP THEIR SCHOOLS 23 OPEN. 24 (8) THE SUM OF $904,606,000 IS HEREBY APPROPRIATED FOR 25 PAYMENTS ON ACCOUNT OF SPECIAL EDUCATION OF EXCEPTIONAL 26 CHILDREN, PROVIDED THAT THIS AMOUNT INCLUDES $563,000 FOR 27 COMMUNITY SUPPORT SERVICES WHICH IS NOT TO BE INCLUDED IN THE 28 BASE CALCULATIONS OF THE SPECIAL EDUCATION PROGRAM 29 COMPONENTS, AND PROVIDED FURTHER THAT ANY AMOUNTS EXPENDED BY 30 THE DEPARTMENT OF EDUCATION PURSUANT TO THE FORMER STATE 20030H0113B2814 - 155 -
1 APPROPRIATION IN THE AMOUNT OF $874,319,000 FOR PAYMENTS ON 2 ACCOUNT OF SPECIAL EDUCATION OF EXCEPTIONAL CHILDREN UNDER 3 SECTION 212 OF THE GENERAL APPROPRIATION ACT OF 2003 SHALL BE 4 DEDUCTED FROM THE SUM APPROPRIATED IN THIS PARAGRAPH. 5 (9) THE SUM OF $26,749,000 IS HEREBY APPROPRIATED FOR 6 PAYMENTS TO PENNSYLVANIA CHARTER SCHOOLS FOR THE DEAF AND 7 BLIND, PROVIDED THAT ANY AMOUNTS EXPENDED BY THE DEPARTMENT 8 OF EDUCATION PURSUANT TO THE FORMER STATE APPROPRIATION IN 9 THE AMOUNT OF $25,749,000 FOR PAYMENTS TO PENNSYLVANIA 10 CHARTER SCHOOLS FOR THE DEAF AND BLIND UNDER SECTION 212 OF 11 THE GENERAL APPROPRIATION ACT OF 2003, SHALL BE DEDUCTED FROM 12 THE SUM APPROPRIATED IN THIS PARAGRAPH. 13 (10) THE SUM OF $67,450,000 IS HEREBY APPROPRIATED FOR 14 SPECIAL EDUCATION - APPROVED PRIVATE SCHOOLS, PROVIDED THAT 15 ANY AMOUNTS EXPENDED BY THE DEPARTMENT OF EDUCATION PURSUANT 16 TO THE FORMER STATE APPROPRIATION IN THE AMOUNT OF 17 $63,450,000 FOR SPECIAL EDUCATION - APPROVED PRIVATE SCHOOLS 18 UNDER SECTION 212 OF THE GENERAL APPROPRIATION ACT OF 2003, 19 SHALL BE DEDUCTED FROM THE SUM APPROPRIATED IN THIS 20 PARAGRAPH. 21 (11) THE SUM OF $200,000,000 IS HEREBY APPROPRIATED FOR 22 PENNSYLVANIA ACCOUNTABILITY GRANTS UNDER SECTION 2599.2 OF 23 THE PUBLIC SCHOOL CODE OF 1949. 24 (12) THE SUM OF $2,000,000 IS HEREBY APPROPRIATED FOR 25 TRANSFER TO THE PENNSYLVANIA HIGHER EDUCATION ASSISTANCE 26 AGENCY FOR THE TEACHER RECRUITMENT ASSISTANCE FUND AS 27 PROVIDED FOR UNDER ARTICLE XXVI-I OF THE PUBLIC SCHOOL CODE 28 OF 1949. 29 (13) THE SUM OF $25,000,000 IS HEREBY APPROPRIATED FOR 30 PAYMENTS TO ANY SCHOOL DISTRICT OF THE FIRST CLASS WHICH HAS 20030H0113B2814 - 156 -
1 BEEN DECLARED DISTRESSED UNDER SECTION 691(C) OF THE PUBLIC 2 SCHOOL CODE OF 1949, PROVIDED THAT SUCH SCHOOL DISTRICT 3 SUBMITS A QUARTERLY ITEMIZATION OF ALL FEDERAL, STATE AND 4 LOCAL FUNDS DISTRIBUTED TO EACH SCHOOL IN THE SCHOOL 5 DISTRICT, INCLUDING SCHOOLS GOVERNED BY AGREEMENTS CURRENTLY 6 IN EFFECT UNDER SECTION 696(I)(2) OF THE PUBLIC SCHOOL CODE 7 OF 1949 AND SCHOOLS DESIGNATED AS PARTNERSHIP SCHOOLS UNDER 8 THE SCHOOL REFORM COMMISSION RESOLUTION NUMBER 10 OF APRIL 9 17, 2002, TO THE DEPARTMENT OF EDUCATION AND TO THE CHAIRMAN 10 AND MINORITY CHAIRMAN OF THE EDUCATION COMMITTEE OF THE 11 SENATE AND TO THE CHAIRMAN AND MINORITY CHAIRMAN OF THE 12 EDUCATION COMMITTEE OF THE HOUSE OF REPRESENTATIVES. IF THE 13 DEPARTMENT OF EDUCATION DETERMINES THAT THE REPORT IS NOT 14 BEING SUBMITTED IN ACCORDANCE WITH THE REQUIREMENTS OF THIS 15 PARAGRAPH, THE DEPARTMENT OF EDUCATION SHALL WITHHOLD FROM 16 ANY AND ALL PAYMENTS TO WHICH THAT SCHOOL DISTRICT OF THE 17 FIRST CLASS MAY BE ENTITLED UNDER THE ACT AN AMOUNT EQUAL TO 18 THE FUNDS RECEIVED FROM THIS APPROPRIATION. 19 (14) THE SUM OF $2,000,000 IS HEREBY APPROPRIATED FOR A 20 SCIENCE EDUCATION PROGRAM DELIVERING SCIENCE CURRICULUM AND 21 INSTRUCTION, EQUIPMENT AND SUPPLIES TO PARTICIPATING 22 CLASSROOMS IN THIS COMMONWEALTH THROUGH THE BASIC ED/HIGHER 23 ED SCIENCE AND TECHNOLOGY PARTNERSHIP. 24 SECTION 43. THE FOLLOWING ACTS AND PARTS OF ACTS ARE 25 REPEALED TO THE EXTENT SPECIFIED: 26 SECTION 2509.8 OF THE ACT OF MARCH 10, 1949 (P.L.30, NO.14), 27 KNOWN AS THE PUBLIC SCHOOL CODE OF 1949. 28 AS MUCH AS RELATES TO THE STATE APPROPRIATIONS IN THE AMOUNT 29 OF $55,378,000 FOR VOCATIONAL EDUCATION AND IN THE AMOUNT OF 30 $874,319,000 FOR PAYMENTS ON ACCOUNT OF SPECIAL EDUCATION OF 20030H0113B2814 - 157 -
1 EXCEPTIONAL CHILDREN, IN THE AMOUNT OF $71,976,000 FOR SERVICES 2 TO NONPUBLIC SCHOOLS AND IN THE AMOUNT OF $22,030,000 FOR 3 TEXTBOOKS, INSTRUCTIONAL MATERIAL AND INSTRUCTIONAL EQUIPMENT 4 FOR NONPUBLIC SCHOOLS IN SECTION 212 OF THE ACT OF MARCH 20, 5 2003 (P.L. , NO.1A), KNOWN AS THE GENERAL APPROPRIATION ACT OF 6 2003. 7 SECTION 44. THIS ACT SHALL TAKE EFFECT AS FOLLOWS: 8 (1) THE AMENDMENT OF SECTION 672(A) OF THE ACT SHALL 9 TAKE EFFECT JULY 1, 2004. 10 (2) THE REMAINDER OF THIS ACT SHALL TAKE EFFECT 11 IMMEDIATELY. A16L24DMS/20030H0113B2814 - 158 -