[1] NOTE: As provided in LFC policy, this report is intended only for use by the standing finance committees of the legislature. The Legislative Finance Committee does not assume responsibility for the accuracy of the information in this report when used in any other situation.

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F I S C A L I M P A C T R E P O R T

SPONSOR:	Altamirano		DATE TYPED:	02/08/02		HB
SHORT TITLE:		Change At-Risk Index Calculation				SB	61/aSEC/aSFC
					ANALYST:		Segura

APPROPRIATION

Appropriation Contained

Estimated Additional Impact

Recurring

or Non-Rec

Fund

Affected

FY02

FY03

FY02

FY03

$3,000.0

Recurring

General Fund

(Parenthesis ( ) Indicate Expenditure Decreases)

SOURCES OF INFORMATION

State Department of Education (SDE)

SUMMARY

Synopsis of SFC Amendment

The Senate Finance Committee amendment changes the years the save harmless provision would be in effect :

-For 2002-2003, 2003-2004, and 2004-2005 school years, a school district shall

not receive less than 90% of the at-risk funding generated in fiscal year 2001.

Synopsis of SEC Amendment

Senate Education Committee amended SB61 to strike the appropriation and amends the years that the save harmless provision would be in effect to match the fiscal years delineated in HB 133.

- For the 2003-2004, 2004-2005 and 2005-2006 school years, a school district shall not receive less than 90% of the at-risk funding generated in fiscal year 2001.

Synopsis of Original Bill

Senate Bill 61 amends Section 22-8-23.3 of the Public School Finance Act to change the method of calculating the at-risk index for determining additional at-risk program units.

Significant Issues

According to SDE, the lack of stability in the current method of calculating the at-risk index has had an adverse effect on some school districts, which has resulted in the curtailment or termination of some at-risk programs. Under the current methodology this instability is likely to continue until all districts are in compliance with federal procedures for identifying limited English proficiency students. The methodology retains the advantages of the current methodology in that it does not require the identification of students to receive funds ( avoiding the charge of "formula chasing") and it provides school districts with maximum flexibility in the design and delivery of programs for at-risk youth.

For the 2002, 2003, and 2004 school years, a school district shall not receive less than 90 percent of the at-risk funding generated in fiscal year 2001.

FISCAL IMPLICATIONS

Senate Bill 61 appropriates $3,000.0 from the general fund and is recurring.

ADMINISTRATIVE IMPLICATIONS

None

F I S C A L I M P A C T R E P O R T

SOURCES OF INFORMATION

The Senate Finance Committee amendment changes the years the save harmless provision would be in effect :

RS/ar/njw