PRINTER'S NO. 1601
No. 1292 Session of 2003
INTRODUCED BY ROEBUCK, MAY 5, 2003
REFERRED TO COMMITTEE ON EDUCATION, MAY 5, 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," further providing for small district 6 assistance, for payments to intermediate units, for special 7 education payments to school districts; providing for basic 8 education funding; and making appropriations. 9 The General Assembly of the Commonwealth of Pennsylvania 10 hereby enacts as follows: 11 Section 1. Section 2502.13 of the act of March 10, 1949 12 (P.L.30, No.14), known as the Public School Code of 1949, 13 amended June 29, 2002 (P.L.524, No.88), is amended to read: 14 Section 2502.13. Small District Assistance.--For the 1984- 15 1985 and 1985-1986 school years, the Commonwealth shall pay to 16 each school district which has an average daily membership of 17 one thousand five hundred (1,500) or less and has a market 18 value/income aid ratio of five thousand ten-thousandths (0.5000) 19 or greater, an amount equal to fifty dollars ($50) multiplied by 20 that district's average daily membership. For the 1985-1986
1 school year, no school district shall receive less on account of 2 this section than it did for the 1984-1985 school year. For the 3 school year 1986-1987, the Commonwealth shall pay to each school 4 district which has an average daily membership of one thousand 5 five hundred (1,500) or less and has a market value/income aid 6 ratio of five thousand ten-thousandths (0.5000) or greater, or 7 received payments under this section for the 1985-1986 school 8 year, an amount equal to seventy-five dollars ($75) multiplied 9 by that district's average daily membership. For the school year 10 1987-1988, the Commonwealth shall pay to each school district 11 which has an average daily membership of one thousand five 12 hundred (1,500) or less and a market value/income aid ratio of 13 five thousand ten-thousandths (0.5000) or greater, or received 14 payments under this section for the 1986-1987 school year, an 15 amount equal to eighty-five dollars ($85) multiplied by that 16 district's average daily membership. For the school year 1988- 17 1989, the Commonwealth shall pay to each school district which 18 has an average daily membership of one thousand five hundred 19 (1,500) or less and a market value/income aid ratio of five 20 thousand ten thousandths (0.5000) or greater, or received 21 payments under this section for the 1987-1988 or 1988-1989 22 school year, an amount equal to one hundred five dollars ($105). 23 For the school year 1989-1990, the Commonwealth shall pay to 24 each school district which has an average daily membership of 25 one thousand five hundred (1,500) or less and a market 26 value/income aid ratio of five thousand ten-thousandths (0.5000) 27 or greater, or received payments under this section for the 28 1987-1988 school year, an amount equal to one hundred fifteen 29 dollars ($115) multiplied by the district's average daily 30 membership as provided for in section 212 of the act of July 1, 20030H1292B1601 - 2 -
1 1990 (P.L.1591, No.7A), known as the "General Appropriation Act 2 of 1990." For the school year 1990-1991, the Commonwealth shall 3 pay to each school district which has an average daily 4 membership of one thousand five hundred (1,500) or less and a 5 market value/income aid ratio of five thousand ten-thousandths 6 (0.5000) or greater, or received payments under this section for 7 the prior school year, an amount equal to one hundred seventy 8 dollars ($170) multiplied by that district's average daily 9 membership. For the school year 1990-1991, each school district 10 with a population per square mile of less than ninety (90), 11 which otherwise meets the average daily membership and market 12 value/income aid ratio requirements of this section, or received 13 payments under this section for the prior school year, shall 14 instead receive an amount equal to one hundred ninety dollars 15 ($190) multiplied by that district's average daily membership. 16 For the 1987-1988 school year through the 1990-1991 school year, 17 no school district shall receive less on account of this section 18 than it did for the prior school year. For the school year 1994- 19 1995, the Commonwealth shall pay to each school district which 20 has an average daily membership of one thousand five hundred 21 (1,500) or less and a market value/income aid ratio of five 22 thousand ten-thousandths (0.5000) or greater, an amount equal to 23 ninety five dollars ($95) multiplied by that district's average 24 daily membership. For each of the school years 1997-1998 through 25 1999-2000, the Commonwealth shall pay to each school district 26 which has an average daily membership of one thousand five 27 hundred (1,500) or less and a market value/income aid ratio of 28 five thousand ten-thousandths (0.5000) or greater an amount 29 equal to seventy-five dollars ($75) multiplied by that 30 district's average daily membership. For the school years 2000- 20030H1292B1601 - 3 -
1 2001 and 2001-2002, the Commonwealth shall pay to each school 2 district which has an average daily membership of one thousand 3 five hundred (1,500) or less an amount equal to seventy-five 4 dollars ($75) multiplied by that district's average daily 5 membership. For school year 2002-2003, the Commonwealth shall 6 pay to each school district which has a modified average daily 7 membership of one thousand (1,000) or less an amount equal to 8 five thousand four hundred ninety dollars ($5,490) times twenty 9 percent (20%) of the school district's modified average daily 10 membership times its market value/income aid ratio. For the 11 purposes of this section, modified average daily membership is 12 calculated by subtracting the product of one-half (0.5) times 13 the sum of the half-time and full-time kindergarten average 14 daily membership from the school district's average daily 15 membership. 16 Section 2. The act is amended by adding a section to read: 17 Section 2502.42. Basic Education Funding for 2002-2003 18 School Year.--(a) For the 2002-2003 school year, the 19 Commonwealth shall calculate an amount for each school district 20 which will be used for property tax reduction in 2003-2004 21 pursuant to Article VI-A, except that in school districts of the 22 first class the amount will be used for resident and nonresident 23 wage tax reduction in 2003-2004. The amount available for tax 24 reduction in each school district will equal the foundation 25 funding, adjusted for minimum and maximum property tax reduction 26 percentages, minus the basic education funding allocation for 27 the 2001-2002 school year pursuant to sections 2502.13 and 28 2502.40. The amount of funds identified for property tax and 29 wage tax reduction shall be placed in the Property Tax Relief 30 Trust Fund. The foundation funding shall consist of: 20030H1292B1601 - 4 -
1 (1) A base supplement calculated by multiplying the 2 foundation grant amount of five thousand four hundred ninety 3 dollars ($5,490) times the school district's 2002-2003 modified 4 average daily membership times its 2003-2004 market value/income 5 aid ratio. The modified average daily membership is calculated 6 by subtracting one-half (0.5) times the sum of the half-time and 7 full-time kindergarten average daily membership from the school 8 district's average daily membership. 9 (2) A limited English proficiency supplement calculated by 10 multiplying the foundation grant amount of five thousand four 11 hundred ninety dollars ($5,490) times twenty-five percent (25%) 12 of the school district's 2002-2003 modified average daily 13 membership times its 2003-2004 market value/income aid ratio. 14 (3) A poverty supplement calculated for qualifying school 15 districts as follows: 16 (i) If its 2001 personal income per modified average daily 17 membership is equal to or less than eighty-five thousand dollars 18 ($85,000), multiply six hundred fifteen dollars ($615) times its 19 modified average daily membership. 20 (ii) If its 2001 personal income per modified average daily 21 membership is greater than eighty-five thousand dollars 22 ($85,000) and equal to or less than one hundred thousand dollars 23 ($100,000), multiply one hundred fifty dollars ($150) times its 24 modified average daily membership. 25 (iii) If its 2001 personal income per modified average daily 26 membership is greater than one hundred thousand dollars 27 ($100,000) and equal to or less than one hundred fifteen 28 thousand dollars ($115,000), multiply seventy-five dollars ($75) 29 times its modified average daily membership. 30 (4) An amount as necessary so that the sum of the amounts 20030H1292B1601 - 5 -
1 under section 2502.13 and clauses (1), (2) and (3) and this 2 clause will equal the amount received in its 2001-2002 basic 3 education funding allocation pursuant to sections 2502.13 and 4 2502.40. 5 (b) Adjustments for minimum and maximum property tax 6 reductions pursuant to Article VI-A shall be calculated as 7 follows: 8 (1) If the school district's 2003-2004 market value/income 9 aid ratio is equal to or greater than four thousand five hundred 10 ten thousandths (0.4500) an amount will be provided as necessary 11 such that the amount available for property tax reduction is not 12 less than thirty percent (30%) of the property taxes. For the 13 purpose of this section, the property taxes will be calculated 14 by reducing the total property tax amount as reported by the 15 school district on its 2001-2002 annual financial report by an 16 amount equal to the percent of assessed valuations attributable 17 to industrial and commercial properties as certified by the 18 State Tax Equalization Board. 19 (2) If the school district's 2003-2004 market value/income 20 aid ratio is less than four thousand five hundred ten 21 thousandths (0.4500) an amount will be provided as necessary 22 such that the amount available for property tax reduction is not 23 less than fifteen percent (15%) of the property taxes. 24 (3) If the amount available for property tax reduction is 25 greater than sixty percent (60%) of the property taxes, the 26 amount available will be adjusted so that the property tax 27 reduction equals sixty percent (60%). 28 (c) For the 2002-2003 school year, the Commonwealth shall 29 pay to each school district a basic education funding allocation 30 which consists of the following: 20030H1292B1601 - 6 -
1 (1) An amount determined by adding subsection (a)(1) and (2) 2 and subtracting the amount designated for the Property Tax 3 Relief Trust Fund. 4 (2) A pro rata share of one hundred two million dollars 5 ($102,000,000) calculated as follows: 6 (i) Multiply the school district's 2003-2004 market 7 value/income aid ratio by its 2002-2003 average daily 8 membership. 9 (ii) Multiply the product of subclause (i) by one hundred 10 two million dollars ($102,000,000). 11 (iii) Divide the product from subclause (ii) by the sum of 12 the products for the market value/aid ratio multiplied by the 13 2002-2003 average daily membership for all school districts. 14 Section 3. Sections 2509.1 and 2509.5 of the act are amended 15 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, nineteen million two 29 hundred and seventy-one thousand dollars ($19,271,000) of the 30 funds appropriated to the Department of Education for special 20030H1292B1601 - 7 -
1 education shall be used to provide supplemental funding for 2 special education to all school districts. The supplemental 3 funding shall be calculated as follows: multiply each school 4 district's 2003-2004 market value/income aid ratio by sixteen 5 percent (16%) of its 2002-2003 average daily membership and 6 multiply this product by nineteen million two hundred and 7 seventy-one thousand dollars ($19,271,000) and divide the 8 resultant product by the sum of the products of the 2003-2004 9 market value/income aid ratio multiplied by sixteen percent 10 (16%) of the 2002-2003 average daily membership for all school 11 districts. 12 Section 4. The sum of $25,625,000 is hereby appropriated 13 from the General Fund to school districts of the first class for 14 the fiscal period July 1, 2003, through June 30, 2004. 15 Section 5. The sum of $56,762,000 is hereby appropriated 16 from the General Fund for vocational-technical education for the 17 fiscal period July 1, 2003, through June 30, 2004. This amount 18 shall replace the appropriation contained in the act of March 19 20, 2003 (P.L. , No.1A), known as the General Appropriation 20 Act of 2003. Any money which has been appropriated and expended 21 under that act shall be deducted from this appropriation. 22 Section 6. The sum of $4,188,326,000 is hereby appropriated 23 from the General Fund for basic education funding for the fiscal 24 period July 1, 2003, through June 30, 2004. 25 Section 7. The sum of $896,177,000 is hereby appropriated 26 from the General Fund for special education for the fiscal 27 period July 1, 2003, through June 30, 2004. This amount shall 28 replace the similar appropriation contained in the act of March 29 20, 2003 (P.L. , No.1A), known as the General Appropriation Act 30 of 2003. Any money which has been appropriated and expended 20030H1292B1601 - 8 -
1 under that act shall be deducted from this appropriation. 2 Section 8. This act shall take effect immediately. D28L24JLW/20030H1292B1601 - 9 -