2022 -- H 8253

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LC005930

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     STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2022

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A N   A C T

RELATING TO EDUCATION -- THE EDUCATION EQUITY AND PROPERTY TAX

RELIEF ACT

     

     Introduced By: Representatives O'Brien, Noret, Corvese, Williams, Kazarian, Amore,
Caldwell, Hawkins, Serpa, and Costantino

     Date Introduced: May 13, 2022

     Referred To: House Finance

     It is enacted by the General Assembly as follows:

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     SECTION 1. Section 16-7.2-6 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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     16-7.2-6. Categorical programs, state funded expenses.

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     In addition to the foundation education aid provided pursuant to § 16-7.2-3 the permanent

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foundation education aid program shall provide direct state funding for:

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      (a) Excess costs associated with special education students. - Excess costs are defined

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when an individual special education student's cost shall be deemed to be "extraordinary."

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Extraordinary costs are those educational costs that exceed the state approved threshold based on

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an amount above five times the core foundation amount (total of core instruction amount plus

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student success amount) The department of elementary and secondary education shall prorate the

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funds available for distribution among those eligible school districts if the total approved costs for

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which school districts are seeking reimbursement exceed the amount of funding appropriated in

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any fiscal year; are over three (3) times the average statewide special education cost;

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      (b) Career and technical education costs to help meet initial investment requirements

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needed to transform existing or create new comprehensive career and technical education programs

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and career pathways in critical and emerging industries and to help offset the higher than average

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costs associated with facilities, equipment maintenance and repair, and supplies necessary for

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maintaining the quality of highly specialized programs that are a priority for the state. The

 

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department shall recommend criteria for the purpose of allocating any and all career and technical

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education funds as may be determined by the general assembly on an annual basis. The department

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of elementary and secondary education shall prorate the funds available for distribution among

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those eligible school districts if the total approved costs for which school districts are seeking

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reimbursement exceed the amount of funding available in any fiscal year;

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      (c) Programs to increase access to voluntary, free, high-quality pre-kindergarten programs.

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The department shall recommend criteria for the purpose of allocating any and all early childhood

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program funds as may be determined by the general assembly;

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      (d) Central Falls Stabilization Fund is established to assure that appropriate funding is

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available to support the community, including students from the community that attend the charter

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schools, Davies, and the Met Center pursuant to § 16-7.2-5, due to concerns regarding the city's

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capacity to meet the local share of education costs. This fund requires that education aid calculated

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pursuant to § 16-7.2-3 and funding for costs outside the permanent foundation education aid

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formula, including but not limited to transportation, facility maintenance, and retiree health benefits

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shall be shared between the state and the city of Central Falls. The fund shall be annually reviewed

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to determine the amount of the state and city appropriation. The state's share of this fund may be

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supported through a reallocation of current state appropriations to the Central Falls school district.

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At the end of the transition period defined in § 16-7.2-7, the municipality will continue its

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contribution pursuant to § 16-7-24; and

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      (e) Excess costs associated with transporting students to out of district non-public schools

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and within regional school districts. (1) This fund will provide state funding for the costs associated

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with transporting students to out of district non-public schools, pursuant to title 16, Chapter 21.1.

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The state will assume the costs of non-public out-of-district transportation for those districts

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participating in the statewide system; and (2) This fund will provide direct state funding for the

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excess costs associated with transporting students within regional school districts, established

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pursuant to title 16, chapter 3. This fund requires that the state and regional school district share

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equally the student transportation costs net any federal sources of revenue for these expenditures.

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The department of elementary and secondary education shall prorate the funds available for

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distribution among those eligible school districts if the total approved costs for which school

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districts are seeking reimbursement exceed the amount of funding available in any fiscal year.

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      (f) Public school districts that are regionalized shall be eligible for a regionalization bonus

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as set forth below.

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      (1) As used herein, the term "regionalized" shall be deemed to refer to a regional school

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district established under the provisions of chapter 16-3 including the Chariho Regional School

 

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district.

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      (2) For those districts that are regionalized as of July 1, 2010, the regionalization bonus

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shall commence in FY 2012. For those districts that regionalize after July 1, 2010, the

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regionalization bonus shall commence in the first fiscal year following the establishment of a

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regionalized school district as set forth section 16-3, including the Chariho Regional School

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District.

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      (3) The regionalization bonus in the first fiscal year shall be two percent (2.0%) of the

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state's share of the foundation education aid for the regionalized district as calculated pursuant to

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§§ 16-7.2-3 and 16-7.2-4 in that fiscal year.

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      (4) The regionalization bonus in the second fiscal year shall be one percent (1.0%) of the

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state's share of the foundation education aid for the regionalized district as calculated pursuant to

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§§ 16-7.2-3 and 16-7.2-4 in that fiscal year.

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      (5) The regionalization bonus shall cease in the third fiscal year.

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      (6) The regionalization bonus for the Chariho regional school district shall be applied to

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the state share of the permanent foundation education aid for the member towns.

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      (7) The department of elementary and secondary education shall prorate the funds

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available for distribution among those eligible regionalized school districts if the total approve costs

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for which regionalized school districts are seeking a regionalization bonus exceed the amount of

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funding appropriated in any fiscal year.

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      (g) Categorical programs defined in (a) through (f) shall be funded pursuant to the

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transition plan in § 16-7.2-7.

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     SECTION 2. This act shall take effect upon passage.

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EXPLANATION

BY THE LEGISLATIVE COUNCIL

OF

A N   A C T

RELATING TO EDUCATION -- THE EDUCATION EQUITY AND PROPERTY TAX

RELIEF ACT

***

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     This act would amend the definition of the term "extraordinary costs" for the purposes of

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excess costs associated with special education students. The new definition of extraordinary costs

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would be educational costs that are over three (3) times the average statewide special education

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cost.

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     This act would take effect upon passage.

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