2021 -- S 0265

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LC001408

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     STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2021

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A N   A C T

RELATING TO EDUCATION - LOW- AND MODERATE-INCOME HOUSING

     

     Introduced By: Senators Kallman, Lawson, Acosta, Murray, Euer, Quezada, Cano,
Seveney, DiPalma, and Lombardo

     Date Introduced: February 10, 2021

     Referred To: Senate Judiciary

     It is enacted by the General Assembly as follows:

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     SECTION 1. Section 16-7.2-3 of the General Laws in Chapter 16-7.2 entitled "The

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Education Equity and Property Tax Relief Act" is hereby amended to read as follows:

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     16-7.2-3. Permanent foundation education aid established.

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     (a) Beginning in the 2012 fiscal year, the following foundation education-aid formula shall

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take effect. The foundation education aid for each district shall be the sum of the core instruction

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amount in subdivision (a)(1) and the amount to support high-need students in subdivision (a)(2),

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which shall be multiplied by the district state-share ratio calculated pursuant to § 16-7.2-4 to

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determine the foundation aid.

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     (1) The core-instruction amount shall be an amount equal to a statewide, per-pupil core-

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instruction amount as established by the department of elementary and secondary education,

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derived from the average of northeast regional expenditure data for the states of Rhode Island,

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Massachusetts, Connecticut, and New Hampshire from the National Center for Education Statistics

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(NCES) that will adequately fund the student instructional needs as described in the basic education

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program and multiplied by the district average daily membership as defined in § 16-7-22.

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Expenditure data in the following categories: instruction and support services for students,

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instruction, general administration, school administration, and other support services from the

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National Public Education Financial Survey, as published by NCES, and enrollment data from the

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Common Core of Data, also published by NCES, will be used when determining the core-

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instruction amount. The core-instruction amount will be updated annually. For the purpose of

 

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calculating this formula, school districts' resident average daily membership shall exclude charter

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school and state-operated school students.

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     (2) The amount to support high-need students beyond the core-instruction amount shall be

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determined by multiplying a student success factor of forty percent (40%) by the core instruction

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per-pupil amount described in subdivision (a)(1) and applying that amount for each resident child

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whose family income is at or below one hundred eighty-five percent (185%) of federal poverty

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guidelines, hereinafter referred to as "poverty status."

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     (b) The department of elementary and secondary education shall provide an estimate of the

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foundation education aid cost as part of its budget submission pursuant to § 35-3-4. The estimate

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shall include the most recent data available as well as an adjustment for average daily membership

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growth or decline based on the prior year experience.

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     (c) In addition, the department shall report updated figures based on the average daily

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membership as of October 1 by December 1.

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     (d) Local education agencies may set aside a portion of funds received under subsection

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(a) to expand learning opportunities such as after school and summer programs, full-day

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kindergarten and/or multiple pathway programs, provided that the basic education program and all

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other approved programs required in law are funded.

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     (e) The department of elementary and secondary education shall promulgate such

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regulations as are necessary to implement fully the purposes of this chapter.

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     (f) The provisions of § 45-53-10 shall be applied after the yearly amount of education aid

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provided for under subsection (a) of this section is calculated.

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     SECTION 2. Chapter 45-53 of the General Laws entitled "Low and Moderate Income

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Housing" is hereby amended by adding thereto the following section:

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     45-53-10. Education aid to be indexed to achieving low- and moderate-income housing

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levels.

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     (a) Effective January 1, 2022, a community's receipt of permanent foundation education

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aid pursuant to chapter 7.2 of title 16 shall be indexed to a municipality's ability to successfully

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meet its low- and moderate-income housing goals as provided for in this chapter, in the following

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manner:

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     (1) For purposes of this section, commencing on January 1, 2022, and for each successive

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year thereafter, every community shall have a five (5) year period to meet the goal of ten percent

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(10%) of the year-round units or, in the case of certain urban towns or cities, fifteen percent (15%)

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of the occupied rental housing units as being low- and moderate-income housing, as provided for

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in § 45-53-3. If a community's minimum percentage requirements of low- or moderate-income

 

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housing are adjusted by statute, then the provisions of this section shall be indexed and tied to those

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adjustments such that whether a community's education aid is increased or decreased will be

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dependent upon the adjusted minimum amount of low- and moderate-income housing that is

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required;

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     (2) After the five (5) year period provided for in subsection (a)(1) of this section, and for

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each year thereafter, any community that exceeds the required minimum goals identified in

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subsection (a)(1) of this section for low- and moderate-income housing shall have its education aid

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increased by two percent (2%) for every one percent (1%) by which the community exceeds its

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required minimum goals of ten percent (10%) or fifteen percent (15%) whichever is applicable.

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Any community which receives an increase in education aid pursuant to the provisions of this

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section shall be eligible to receive increases so long as the community maintains an amount of low-

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and moderate-income housing in excess of the community’s statutory minimum requirements.

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     (3) The division of planning of the department of administration shall certify to the general

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assembly on or before April 1 of each year as to the percentage and amount of low- and moderate-

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income housing in a municipality as of the previous year, for purposes of implementing this section.

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     (b) As used herein:

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     (1) "Community" means the municipality or municipalities serviced by, a part of, or in a

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given school district.

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     (2) "Education aid" means the permanent foundation education aid received by each school

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district established pursuant to the provisions of chapter 7.2 of title 16, the ("education equity and

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property tax relief act").

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     SECTION 3. This act shall take effect on January 1, 2022.

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EXPLANATION

BY THE LEGISLATIVE COUNCIL

OF

A N   A C T

RELATING TO EDUCATION - LOW- AND MODERATE-INCOME HOUSING

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     This act would provide for increases in the amount of foundation level school support that

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a community would receive, based upon a community's ability to meet and surpass its minimum

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low- and moderate-income housing requirements.

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     This act would take effect on January 1, 2022.

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