2021 -- S 0351

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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 - THE EDUCATION EQUITY AND PROPERTY TAX RELIEF

ACT

     Introduced By: Senators Pearson, DiPalma, Seveney, and Rogers

     Date Introduced: February 25, 2021

     Referred To: Senate Education

     It is enacted by the General Assembly as follows:

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

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

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

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

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

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

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

determine the foundation aid.

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

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

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

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

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

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

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

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

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

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

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

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

school and state-operated school students.

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

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

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

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

guidelines, hereinafter referred to as "poverty status."

     (b) The department of elementary and secondary education shall provide the following as

part of its budget submission pursuant to § 35-3-4:

     (1) an An estimate of the foundation education aid cost as part of its budget submission

pursuant to § 35-3-4. The estimate shall include the most recent data available as well as an

adjustment for average daily membership growth or decline based on the prior year experience.;

and

     (2) The amount of the state and local share of education funding calculated for each local

education agency ("LEA") receiving state education aid in the budget. This information shall also

be provided to each LEA and published on the department's website.

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

membership as of October 1 by December 1.

     (d) Cities and towns shall be required to appropriate sufficient funds to meet their local

share of education funding, calculated pursuant to subsection (b)(2) of this section, by FY 2023, or

by the timeline contained in the education funding plan that is approved by the director of revenue

(the "director"), whichever is later. If a municipality will not be able to appropriate such funds, the

chief executive of the city or town shall notify the department and the director by November of the

preceding fiscal year. The chief executive, in consultation with the department and the director,

shall develop an education funding plan for the municipality to meet its local share within five (5)

years. The plan shall be approved by the director. In extraordinary circumstances, the director may

approve a period greater than five (5) years; provided that, the director notifies the governor,

president of the senate, and the speaker of the house of the extraordinary circumstances that prevent

the municipality from meeting its local share within a five (5) year period.

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

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

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

other approved programs required in law are funded.

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

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

     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

***

     This act would require the department of elementary and secondary education to include

the amount of state and local share of education funding calculated for each local education agency

receiving state aid and require cities and towns to appropriate sufficient funds to meet their local

share of education funding.

     This act would take effect upon passage.

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