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 for other purposes.

 

The most recent FIR version (in HTML & Adobe PDF formats) is available on the Legislative Website.  The Adobe PDF version includes all attachments, whereas the HTML version does not.  Previously issued FIRs and attachments may be obtained from the LFC in Suite 101 of the State Capitol Building North.

 

 

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

 

 

 

SPONSOR:

Taylor, J.P.

 

DATE TYPED:

2/6/03

 

HB

121

 

SHORT TITLE:

Alternative Schools Program Units.

 

SB

 

 

 

ANALYST:

L. Baca

 

APPROPRIATION

 

Appropriation Contained

Estimated Additional Impact

Recurring

or Non-Rec

Fund

Affected

FY03

FY04

FY03

FY04

 

 

 

$8,100.0

 

 

Recurring

GF

(Parenthesis ( ) Indicate Expenditure Decreases)

 

Relates to HB 10, HB 169, SB 17, SB 216 and SB 231

 

Relates to Appropriation in the General Appropriation Act

 

SOURCES OF INFORMATION

 

Responses Received From

State Department of Education (SDE)

 

SUMMARY

 

     Synopsis of Bill

House Bill 121 amends the Public School Finance Act, appropriates $8,100.0 from the general fund to the SDE and allows alternative schools approved by the SDE to be eligible for size adjustment units.

 

The bill is submitted for the Legislative Education Study Committee.

    

     Significant Issues

 

HB 121 would allow SDE-approved alternative schools with a MEM (membership) of less than 400 to generate Elementary-Junior High Size Units and Senior High Size Units.  Alternative schools within a school would not be eligible for size adjustment units.

 

The SDE defined MEM as “the school membership including early childhood education full-time-equivalent membership, but excluding membership in class C and D programs and excluding full-time-equivalent membership in three-year and four-year-old developmentally disabled programs.”

FISCAL IMPLICATIONS

 

The appropriation of $8,100.0 contained in this bill is a recurring expense to the general fund. Any unexpended or unencumbered balance remaining at the end of fiscal year 2004 shall revert to the general fund.  The SDE reports this amount is sufficient to cover the anticipated costs and is slightly higher the SDE- projected cost of $7,854.5.

 

RELATIONSHIP

 

HB 121 relates to:

HB 10, Program Cost Calculation, T & E Index, which changes a factor in the funding formula currently used as a multiplier and to be used as an add-on factor.

HB 169 Enrollment Growth Program Units, SB 17, Enrollment Growth Program Units, SB 231, Enrollment Growth Program Units Calculation, which propose a change in how enrollment growth is recognized in the public schools funding formula.

 

OTHER SUBSTANTIVE ISSUES

 

An SDE study prepared for this bill shows that 25 alternative schools will benefit from the provisions of the bill.

 

POSSIBLE QUESTIONS

 

1.                  Why aren’t alternative schools not now receiving size adjustment funds?

2.                  Will enacting bill encourage more school districts to create more alternative schools?

3.                  What is the dropout rate for alternative schools?

4.                  Will passing this bill help reduce the dropout rate?

 

LRB/njw

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

THE TABLE SHOWN BELOW WAS PREAPRED BY DR. K.F. FORRER OF THE SDE.