PRINTER'S NO. 330
No. 303 Session of 1993
INTRODUCED BY LESCOVITZ, BELFANTI, TIGUE, FAJT, TRELLO, PRESTON, COWELL, CORRIGAN, COLAIZZO AND COY, FEBRUARY 8, 1993
REFERRED TO COMMITTEE ON EDUCATION, FEBRUARY 8, 1993
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," further providing for payments to 6 school districts; and providing for the merger of school 7 districts. 8 The General Assembly of the Commonwealth of Pennsylvania 9 hereby enacts as follows: 10 Section 1. Section 2517(d) of the act of March 10, 1949 11 (P.L.30, No.14), known as the Public School Code of 1949, 12 amended July 1, 1985 (P.L.103, No.31), is amended to read: 13 Section 2517. Payments.--* * * 14 (d) Subsection (c) of this section shall apply to: 15 (1) All payments to which a school district is entitled 16 under any provision of sections 2502, 2502.3, 2502.4, 2502.8, 17 2502.9 and 2592 for the school year 1981-1982. 18 (2) Payments to which a school district is entitled under 19 any provision of sections 2502, 2502.8 and 2502.11 for the 20 school year 1982-1983 and the school year 1983-1984.
1 (3) Payments to which a school district is entitled under 2 any provision of sections 2502, 2502.8, 2502.11 and 2502.13 for 3 the school [year 1984-1985 and each school year thereafter.] 4 years 1984-1985, 1985-1986, 1986-1987, 1987-1988, 1988-1989, 5 1989-1990, 1990-1991 and 1991-1992. 6 (4) Payments to which a school district is entitled under 7 any provision of sections 2502, 2502.8, 2502.11, 2502.13 and 8 2597 for the school year 1992-1993 and each school year 9 thereafter. 10 Section 2. The act is amended by adding a section to read: 11 Section 2597. Subsidy Incentive Payable to Certain Merged 12 School Districts.--(a) The provisions of this section shall be 13 applicable to any school district created by the voluntary 14 merger of two or more former school districts on or after July 15 1, 1993, in accordance with the provisions of section 224 of 16 this act: Provided, however, That at least one of the former 17 school districts had fewer than one thousand five hundred 18 (1,500) students in average daily membership during the last 19 year of its existence and was less than twenty-five (25) square 20 miles in size. 21 (b) The subsidy incentive provided for in this section shall 22 be paid to all qualified school districts in addition to any 23 other subsidies to which the districts shall be entitled: 24 Provided, however, That the subsidy incentive shall not be 25 considered to be part of any school district's equalized subsidy 26 for basic education and shall not be considered in the 27 computation of any school district's subsidy entitlements in 28 future years. 29 (c) A subsidy incentive shall be computed as follows: 30 (1) During the first four years of existence of a qualifying 19930H0303B0330 - 2 -
1 district, the Department of Education shall compute and pay the 2 district the equalized subsidy for basic education to which it 3 is entitled, according to the provisions of sections 2501, 2502, 4 2502.5 and 2502.11 of this act, in addition to which the 5 department shall compute and pay the subsidy incentive provided 6 for in clause (2) during the first such year, in clause (3) 7 during the second such year, in clause (4) during the third such 8 year and in clause (5) during the fourth such year. 9 (2) During the first year of existence of a qualifying 10 district, the department shall pay a subsidy incentive that is 11 twenty per centum (20%) of the equalized subsidy for basic 12 education amount provided for in clause (1). 13 (3) During the second year of existence of a qualifying 14 district, the department shall pay a subsidy incentive that is 15 fifteen per centum (15%) of the equalized subsidy for basic 16 education amount provided for in clause (1). 17 (4) During the third year of existence of a qualifying 18 district, the department shall pay a subsidy incentive that is 19 ten per centum (10%) of the equalized subsidy for basic 20 education amount provided for in clause (1). 21 (5) During the fourth year of existence of a qualifying 22 district, the department shall pay a subsidy incentive that is 23 five per centum (5%) of the equalized subsidy for basic 24 education amount provided for in clause (1). 25 (6) During the fifth year of existence of a qualifying 26 district, the department shall compute and pay the district only 27 the amount of equalized subsidy for basic education to which it 28 is entitled, in accordance with the provisions cited in clause 29 (1). 30 (d) Annually, the Secretary of Education, in the secretary's 19930H0303B0330 - 3 -
1 initial budget request, shall report to the Governor on mergers 2 anticipated the following year which would qualify districts for 3 the subsidy incentive provided for in this section, along with 4 an estimate of the appropriation needed to meet the requirements 5 of this section. Annually, the Governor shall include the 6 information in the Governor's budget message to the General 7 Assembly. 8 (e) Any funds appropriated by the General Assembly for the 9 purposes of this section which, at the end of any year, remain 10 unexpended shall be lapsed in accordance with the provisions of 11 section 621 of the act of April 9, 1929 (P.L.177, No.175), known 12 as "The Administrative Code of 1929." 13 (f) In the event of a merger pursuant to this section, all 14 employes of the two or more former districts shall become 15 employes of the qualified school district: Provided, however, 16 That the employes shall serve under the terms and conditions of 17 the collective bargaining agreement, applicable to the positions 18 they are filling, negotiated by the former district with the 19 lowest aid ratio. Where employes of the district with the lowest 20 aid ratio were not covered by a collective bargaining agreement, 21 the collective bargaining agreement of the other district shall 22 apply. In cases of more than two merging districts, the 23 collective bargaining agreement of the district with the lowest 24 aid ratio shall apply. The collective bargaining agreement shall 25 be binding upon the qualified school district and shall remain 26 in force until its expiration date, or if it has already expired 27 and has been extended by agreement of the former district, until 28 the deadline for extension is reached, provided that nothing in 29 this section shall preclude the qualified school district from 30 agreeing to further extensions of the expired collective 19930H0303B0330 - 4 -
1 bargaining agreement until such time as the qualified school 2 district negotiates and ratifies a new collective bargaining 3 agreement. 4 (g) In the event of a merger pursuant to this section, all 5 employes shall retain the seniority rights they had prior to the 6 merger. Employes of the qualified school district shall be 7 credited with their sick leave and also for their years of 8 service in their former school districts, the latter for 9 purposes of sabbatical leave eligibility and placement on the 10 salary schedule. 11 (h) In the event of a merger pursuant to this section, no 12 professional employe shall be suspended from a qualified school 13 district during the duration of the collective bargaining 14 agreement in force pursuant to subsection (f), if the result of 15 the suspension would be to increase class size in any class or 16 course above the composite average size of the same class or 17 course in the former districts in the year immediately preceding 18 the effective date of the merger. 19 (i) If the provisions of this section conflict with any 20 other statute, ordinance, regulation or rule, the provisions of 21 this section shall control. 22 Section 3. This act shall take effect July 1, 1993. A6L24WMB/19930H0303B0330 - 5 -