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art.007/4/007/3/007/2/007/1

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     ARTICLE 7 AS AMENDED

RELATING TO EDUCATION

     SECTION 1. Section 16-7-22 of the General Laws in Chapter 16-7 entitled "Foundation

Level School Support [See Title 16 Chapter 97 — The Rhode Island Board of Education Act]" is

hereby amended to read as follows:

     16-7-22. Determination of average daily membership.

     Each community shall be paid pursuant to the provisions of § 16-7-17 an amount based

upon the following provisions:

     (1) On or before September 1 of each year the average daily membership of each city and

town for the reference year shall be determined by the commissioner of elementary and secondary

education from data supplied by the school committee in each community in the following manner:

The aggregate number of days of membership of all pupils enrolled full time in grade twelve (12)

and below, except that pupils below grade one who are not full time shall be counted on a full-time

equivalent basis: (i) Increased by the aggregate number of days of membership of pupils residing

in the particular city or town whose tuition in schools approved by the department of elementary

and secondary education in other cities and towns is paid by the particular city or town; and (ii)

Decreased by the aggregate number of days of membership of nonresident pupils enrolled in the

public schools of the particular city or town and further decreased by the aggregate number of days

of membership equal to the number of group home beds calculated for the purposes of

reimbursement pursuant to § 16-64-1.1; and (iii) Decreased further, in the case of a city or town

that is a member of a regional school district during the first year of operation of the regional school

district by the aggregate number of days of membership of pupils residing in the city or town who

would have attended the public schools in the regional school district if the regional school district

had been operating during the previous year, divided by the number of days during which the

schools were officially in session during the reference year. The resulting figures shall be the

average daily membership for the city or town for the reference year. For purposes of calculating

the permanent foundation education aid as described in § 16-7.2-3(1) and (2), the average daily

membership for school districts shall exclude charter school and state school students, and

beginning in school year 2014-2015, include an estimate to ensure that districts converting from a

half-day to a full-day kindergarten program pursuant to § 16-99-4 are credited on a full-time basis

beginning in the first year of enrollment and are funded notwithstanding the transition plan pursuant

to § 16-7.2-7.

     (2) The average daily membership of pupils attending public schools shall apply for the

purposes of determining the percentage of the state’s share under the provisions of §§ 16-7-16(3),

16-7-16(10), 16-7-18, 16-7-19, 16-7-20, 16-7-21, and 16-7.2-4.

     (3) In the case of regional school districts, the aggregate number of days of membership by

which each city or town is decreased in subsection (1)(iii) of this section, divided by the number of

days during which the schools attended by the pupils were officially in session, shall determine the

average daily membership for the regional school district during the first year of operation. After

the first year of operation, the average daily membership of each regional school district, except

the Chariho regional high school district, shall be determined by the commissioner of elementary

and secondary education from data supplied by the school committee of each regional school

district for the reference year in the manner provided in subsection (1) of this section.

     (4) For all fiscal years beginning after June 30, 2024, notwithstanding subsection (1)(ii)

above, the decrease for group home beds shall not apply to residential facility “beds” located or

associated with the CRAFT program pursuant to § 16-64-1.1.

     SECTION 2. Sections 16-7.2-3 and 16-7.2-5 of the General Laws in Chapter 16-7.2 entitled

"The Education Equity and Property Tax Relief Act" are 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 subsection (a)(1) of this section and the amount to support high-need students in

subsection (a)(2) of this section, 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:

     (i) Multiplying a student success factor of forty percent (40%) by the core instruction per-

pupil amount described in subsection (a)(1) of this section 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.” By October 1, 2022, as part

of its budget submission pursuant to § 35-3-4 relative to state fiscal year 2024 and thereafter, the

department of elementary and secondary education shall develop and utilize a poverty measure that

in the department’s assessment most accurately serves as a proxy for the poverty status referenced

in this subsection and does not rely on the administration of school nutrition programs. The

department shall utilize this measure in calculations pursuant to this subsection related to the

application of the student success factor, in calculations pursuant to § 16-7.2-4 related to the

calculation of the state share ratio, and in the formulation of estimates pursuant to subsection (b)

below. The department may also include any recommendations which seek to mitigate any

disruptions associated with the implementation of this new poverty measure or improve the

accuracy of its calculation. Beginning with the FY 2024 calculation, students whose family income

is at or below one hundred eighty-five percent (185%) of federal poverty guidelines will be

determined by participation in the supplemental nutrition assistance program (SNAP). The number

of students directly certified through the department of human services shall be multiplied by a

factor of 1.6; and

     (ii) Multiplying a multilingual learner (MLL) factor of twenty percent (20%) by the core

instruction per-pupil amount described in subsection (a)(1) of this section, applying that amount

for each resident child identified in the three lowest proficiency categories using widely adopted,

independent standards and assessments in accordance with subsection (f)(1) of this section and as

identified by the commissioner and defined by regulations of the council on elementary and

secondary education. Local education agencies shall report annually to the department of

elementary and secondary education by September 1, outlining the planned and prior year use of

all funding pursuant to this subsection to provide services to MLL students in accordance with

requirements set forth by the commissioner of elementary and secondary education. The

department shall review the use of funds to ensure consistency with established best practices.

     (b) The department of elementary and secondary education shall provide 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.

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

membership as of October 1 by December 1.

     (d) 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.

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

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

     (f)(1) By October 1, 2023, as part of its budget submission pursuant to § 35-3-4 relative to

state fiscal year 2025, the department of elementary and secondary education shall evaluate the

number of students by district who qualify as multilingual learner (MLL) students and MLL

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

poverty guidelines. The submission shall also include segmentation of these populations by levels

as dictated by the WIDA multilingual learner assessment tool used as an objective benchmark for

English proficiency. The department shall also prepare and produce expense data sourced from the

uniform chart of accounts to recommend funding levels required to support students at the various

levels of proficiency as determined by the WIDA assessment tool. Utilizing this information, the

department shall recommend a funding solution to meet the needs of multilingual learners; this may

include but not be limited to inclusion of MLL needs within the core foundation formula amount

through one or multiple weights to distinguish different students of need or through categorical

means.

     (2) By October 1, 2024, as part of its budget submission pursuant to § 35-3-4 relative to

state fiscal year 2026, the department of elementary and secondary education shall develop

alternatives to identify students whose family income is at or below one hundred eighty-five percent

(185%) of federal poverty guidelines through participation in state-administered programs,

including, but not limited to, the supplemental nutrition assistance program (SNAP), and RIteCare

and other programs that include the collection of required supporting documentation. The

department may also include any recommendations that seek to mitigate any disruptions associated

with implementation of this new poverty measure or improve the accuracy of its calculation.

     (3) The department shall also report with its annual budget request information regarding

local contributions to education aid and compliance with §§ 16-7-23 and 16-7-24. The report shall

also compare these local contributions to state foundation education aid by community. The

department shall also report compliance to each city or town school committee and city or town

council.

     (4) By October 1, 2025, as part of its budget submission pursuant to § 35-3-4 relative to

state fiscal year 2027, the department of elementary and secondary education shall submit a report

developed in coordination with the department of administration and the Rhode Island longitudinal

data system within the office of the postsecondary commissioner. The report shall provide an

overview of the process for matching the department of human services program participation data

to the department of elementary and secondary education student enrollment records for use in the

education funding formula and recommend methods to ensure consistency and accuracy in future

matching processes.

     (5) As part of its FY 2027 budget submission, the department shall also submit an estimate

of foundation education aid that uses expanded direct certification with Medicaid matching in

consultation with the Rhode Island longitudinal data system and the executive office of health and

human services to identify students whose family income is at or below one hundred eighty-five

percent (185%) of federal poverty guidelines, in addition to an estimate under the current law

poverty determination.

     (6) By December 31, 2025, the department of elementary and secondary education shall

also develop and submit a report to the governor, speaker of the house, and senate president on

current and recommended processes to ensure the consistency and validity of submitted high-cost

special education data from local education agencies.

     16-7.2-5. Charter public schools, the William M. Davies, Jr. Career and Technical

High School, and the Metropolitan Regional Career and Technical Center.

     (a) Charter public schools, as defined in chapter 77 of this title, the William M. Davies, Jr.

Career and Technical High School (Davies), and the Metropolitan Regional Career and Technical

Center (the Met Center) shall be funded pursuant to § 16-7.2-3. If the October 1 actual enrollment

data for any charter public school shows a ten percent (10%) or greater change from the prior year

enrollment that is used as the reference year average daily membership, the last six (6) monthly

payments to the charter public school will be adjusted to reflect actual enrollment. The state share

of the permanent foundation education aid shall be paid by the state directly to the charter public

schools, Davies, and the Met Center pursuant to § 16-7.2-9 and shall be calculated using the state-

share ratio of the district of residence of the student as set forth in § 16-7.2-4. The department of

elementary and secondary education shall provide the general assembly with the calculation of the

state share of permanent foundation education aid for charter public schools delineated by school

district.

     (b) The local share of education funding shall be paid to the charter public school, Davies,

and the Met Center by the district of residence of the student and shall be the local, per-pupil cost

calculated by dividing the local appropriation to education from property taxes, net of debt service,

and capital projects, as defined in the uniform chart of accounts by the average daily membership

for each city and town, pursuant to § 16-7-22, for the reference year.

     (c) Beginning in FY 2017, there shall be a reduction to the local per-pupil funding paid by

the district of residence to charter public schools, Davies, and the Met Center. This reduction shall

be equal to the greater (i) Of seven percent (7%) of the local, per-pupil funding of the district of

residence pursuant to subsection (b) or (ii) The per-pupil value of the district’s costs for non-public

textbooks, transportation for non-public students, retiree health benefits, out-of-district special-

education tuition and transportation, services for students age eighteen (18) to twenty-one (21)

years old, pre-school screening and intervention, and career and technical education, tuition and

transportation costs, debt service and rental costs minus the average expenses incurred by charter

schools for those same categories of expenses as reported in the uniform chart of accounts for the

prior preceding fiscal year pursuant to § 16-7-16(11) and verified by the department of elementary

and secondary education. In the case where audited financials result in a change in the calculation

after the first tuition payment is made, the remaining payments shall be based on the most recent

audited data. For those districts whose greater reduction occurs under the calculation of (ii), there

shall be an additional reduction to payments to mayoral academies with teachers who do not

participate in the state teacher’s retirement system under chapter 8 of title 36 equal to the per-pupil

value of teacher retirement costs attributable to unfunded liability as calculated by the state’s

actuary for the prior preceding fiscal year. Notwithstanding the foregoing, beginning with FY 2026,

the reduction to the local per-pupil funding shall not exceed fourteen percent (14%).

     (d) Local district payments to charter public schools, Davies, and the Met Center for each

district’s students enrolled in these schools shall be made on a quarterly basis in July, October,

January, and April; however, the first local-district payment shall be made by August 15, instead

of July. Failure of the community to make the local-district payment for its student(s) enrolled in a

charter public school, Davies, and/or the Met Center may result in the withholding of state

education aid pursuant to § 16-7-31.

     (e) Beginning in FY 2017, school districts with charter public school, Davies, and the Met

Center enrollment, that, combined, comprise five percent (5%) or more of the average daily

membership as defined in § 16-7-22, shall receive additional aid for a period of three (3) years. Aid

in FY 2017 shall be equal to the number of charter public school, open-enrollment schools, Davies,

or the Met Center students as of the reference year as defined in § 16-7-16 times a per-pupil amount

of one hundred seventy-five dollars ($175). Aid in FY 2018 shall be equal to the number of charter

public school, open-enrollment schools, Davies, or the Met Center students as of the reference year

as defined in § 16-7-16 times a per-pupil amount of one hundred dollars ($100). Aid in FY 2019

shall be equal to the number of charter public school, open-enrollment schools, Davies, or the Met

Center students as of the reference year as defined in § 16-7-16 times a per-pupil amount of fifty

dollars ($50.00). The additional aid shall be used to offset the adjusted fixed costs retained by the

districts of residence.

     (f) [Deleted by P.L. 2023, ch. 79, art. 8, § 2.]

     SECTION 3. Section 16-64-1.1 of the General Laws in Chapter 16-64 entitled "Residence

of Children for School Purposes" is hereby amended to read as follows:

     16-64-1.1. Payment and reimbursement for educational costs of children placed in

foster care, group homes, or other residential facility by a Rhode Island state agency.

     (a) Children placed in foster care by a Rhode Island-licensed child-placing agency or a

Rhode Island governmental agency shall be entitled to the same free, appropriate public education

provided to all other residents of the city or town where the child is placed. The city or town shall

pay the cost of the education of the child during the time the child is in foster care in the city or

town.

     (b) Children placed by the department of children, youth and families (DCYF) in a group

home or other residential facility that does not include the delivery of educational services are to

be educated by the community in which the group home or other residential facility is located, and

those children shall be entitled to the same free, appropriate public education provided to all other

residents of the city or town where the child is placed. For purposes of payment and reimbursement

for educational costs under this chapter, the term “group home or other residential facility” shall

not include independent-living programs or the Children's Residential and Family Treatment

(CRAFT) program located on the East Providence campus of Bradley Hospital. Each city and town

that contains one or more group homes or other residential facilities that do not include delivery of

educational services will receive funds as part of state aid to education in accordance with the

following provisions:

     (1) On December 31 of each year, the DCYF shall provide the department of elementary

and secondary education with a precise count of how many group home or other residential facility

“beds” exist in each Rhode Island city or town, counting only those “beds” in facilities that do not

include the delivery of educational services. The number of “beds” in each group home or other

residential facility shall be equal to the maximum number of children who may be placed in that

group home or other residential facility on any given night according to the applicable licensure

standards of the DCYF.

     (2) For the fiscal year beginning July 1, 2007, if the number of beds certified by DCYF for

a school district by December 31, 2007, is greater than the number certified March 14, 2007, upon

which the education aid for FY 2008 was appropriated, the education aid for that district will be

increased by the number of increased beds multiplied by fifteen thousand dollars ($15,000).

Notwithstanding the provisions of this section or any law to the contrary, the education aid for all

group home or other residential facility “beds” located or associated with the Children’s Residential

and Family Treatment (CRAFT) program located on the East Providence campus of Bradley

Hospital shall be twenty-two thousand dollars ($22,000) per bed. The Department of Elementary

and Secondary Education shall include the additional aid in equal payments in March, April, May,

and June, and the Governor’s budget recommendations pursuant to § 35-3-8 shall include the

amounts required to provide the increased aid.

     For all fiscal years beginning after June 30, 2016, education aid for each school district

shall include seventeen thousand dollars ($17,000) for each bed certified by DCYF by the preceding

December 31. Notwithstanding the provisions of this section or any law to the contrary, the

education aid for all group home or other residential facility “beds” located or associated with the

Children’s Residential and Family Treatment (CRAFT) program located on the East Providence

campus of Bradley Hospital shall be twenty-six thousand dollars ($26,000) per bed. For all fiscal

years beginning after June 30, 2008, whenever the number of beds certified by DCYF for a school

district by December 31 is greater than the number certified the prior December 31 upon which the

education aid for that fiscal year was appropriated, the education aid for that district as enacted by

the assembly during the prior legislative session for that fiscal year will be increased by the number

of increased beds multiplied by the amount per bed authorized for that fiscal year. The Department

of Elementary and Secondary Education shall include the additional aid in equal payments in

March, April, May, and June, and the Governor’s budget recommendations pursuant to § 35-3-8

shall include the amounts required to provide the increased aid.

     (c) Children placed by DCYF in a residential-treatment program, group home, or other

residential facility, whether or not located in the state of Rhode Island, which includes the delivery

of educational services provided by that facility (excluding facilities where students are taught on

grounds for periods of time by teaching staff provided by the school district in which the facility is

located), shall have the cost of their education paid for as provided for in subsection (d) and § 16-

64-1.2. The city or town determined to be responsible to DCYF for a per-pupil special-education

cost pursuant to § 16-64-1.2 shall pay its share of the cost of educational services to DCYF or to

the facility providing educational services.

     (d) Children placed by DCYF in group homes, child-caring facilities, community

residences, or other residential facilities shall have the entire cost of their education paid for by

DCYF if:

     (1) The facility is operated by the state of Rhode Island or the facility has a contract with

DCYF to fund a pre-determined number of placements or part of the facility’s program;

     (2) The facility is state licensed; and

     (3) The facility operates an approved, on-grounds educational program, whether or not the

child attends the on-grounds program.

     (e) Notwithstanding the foregoing or any other law, effective June 30, 2025, neither the

East Providence public schools nor the city of East Providence shall be responsible to provide any

educational or related services or instruction or have any financial responsibility for any student

attending the CRAFT program unless East Providence is that student's district of origin. The school

district of origin shall be responsible to provide any pay for such services and instruction consistent

with applicable state law and regulation. For purposes of this section, "school district of origin"

means the school district in which the student was last registered to attend prior to admission to the

CRAFT program. The East Providence school district shall not be paid reimbursement as provided

in this statute for such students.

     SECTION 4. This article shall take effect upon passage.