2025 -- H 5398

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LC001063

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     STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2025

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A N   A C T

RELATING TO EDUCATION -- THE EDUCATION EQUITY AND PROPERTY TAX

RELIEF ACT

     Introduced By: Representatives Felix, Cruz, Morales, Batista, Hull, Tanzi, J. Lombardi,
Kislak, Potter, and Furtado

     Date Introduced: February 07, 2025

     Referred To: House Finance

     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 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. Provided, effective July 1, 2025, the amount to support high-need students

beyond the core instruction amount shall include multiplying a student success factor of twenty-

five percent (25%) by the core instruction per-pupil amount described in subsection (a)(1) of this

section, applying that amount for each resident child identified as a multilingual learner, as defined

by regulations of the council on elementary and secondary education, and applying that amount for

each resident child whose family income is at or below one hundred eight-five percent (185%) of

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federal poverty guidelines. 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,

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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.

     SECTION 2. This act shall take effect upon passage.

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LC001063

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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 revise the calculation for the student success factor in the education-aid

formula by adding an additional multiplier of twenty-five percent (25%) for each resident child

who is identified as a multilingual learner as well as for each resident child whose family income

is below one hundred eighty-five percent (185%) of the federal poverty guidelines.

     This act would take effect upon passage.

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