HB558INTRODUCED
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HB558
843TIH2-1
By Representative Garrett
RFD: Ways and Means Education
First Read: 10-Apr-25
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5 843TIH2-1 04/10/2025 evp (L)evp 2025-1631
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First Read: 10-Apr-25
SYNOPSIS:
This bill would enact the Renewing Alabama's
Investment in Student Excellence (RAISE) Act to
establish a process to provide additional funding for
public K-12 schools for the purpose of addressing the
educational needs of the student population and
improving educational outcomes.
This bill would also require the State
Department of Education to develop a unified system
that streamlines applications and reporting for all
state and federal funding programs away from multiple
plans and reports into a single application.
A BILL
TO BE ENTITLED
AN ACT
Relating to the funding of public K-12 education; to
add Article 16 to Chapter 13 of Title 16, commencing with
Section 16-13-360, to the Code of Alabama 1975; to create the
Renewing Alabama's Investment in Student Excellence (RAISE)
Act; to establish a process to provide additional funding for
public K-12 schools for the purpose of addressing the
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public K-12 schools for the purpose of addressing the
educational needs of the student population and improving
outcomes; to establish the Renewing Alabama's Investment in
Student Excellence (RAISE) Fund and provide for its funding
and appropriation; to require reporting of student data by
local education agencies; to establish priorities for use of
the additional funding; to establish goals for student
achievement; to require accountability reports on the
expenditure and use of the additional funding through the
Renewing Alabama's Investment in Student Excellence (RAISE)
Fund; to establish a review committee on the Renewing
Alabama's Investment in Student Excellence (RAISE) Act to
identify needed revisions for continued improvement; to
establish an accountability review board to review
accountability reports and progress in achieving student
achievement goals; and to require the State Department of
Education to develop a unified system that streamlines
applications and reporting for all state and federal funding
programs.
BE IT ENACTED BY THE LEGISLATURE OF ALABAMA:
Section 1. Article 16 is added to Chapter 13 of Title
16, Code of Alabama 1975, commencing with Section 16-13-360,
to read as follows:
§16-13-360
This act shall be known and may be cited as the
Renewing Alabama's Investment in Student Excellence (RAISE)
Act.
§16-13-361
For purposes of this act, the following terms have the
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For purposes of this act, the following terms have the
following meanings:
(1) AVERAGE DAILY MEMBERSHIP (ADM). Average enrollment
from the first 20 days of school after Labor Day of the
preceding year.
(2) BASE FUNDING FACTOR. The sum certified by the
Legislative Fiscal Officer prior to October 1 of each fiscal
year beginning with the 2025-2026 fiscal year and calculated
by dividing the total state and local cost of the Foundation
Program by the average daily membership for the immediately
preceding fiscal year, using the Foundation Program State
Allocation report for the enacted Education Trust Fund
appropriations act.
(3) CHARTER SCHOOL. A public charter school as defined
in Section 16-6F-4.
(4) COMMISSION. The Alabama Commission for Evaluation
of Services (ACES).
(5) CONCENTRATED ENGLISH LANGUAGE LEARNERS. A large
percentage of students in a local education agency having been
identified as English Language Learners.
(6) DEPARTMENT. The State Department of Education.
(7) DIRECT CERTIFICATION. A student that is homeless,
foster, runaway, or eligible for free or reduced-price school
meals or milk through the direct certification eligibility
guidelines established pursuant to 42 U.S.C. §§ 1751-1769. If
changes in the direct certification program occur, the
department may recommend alternative measures that could be
utilized in its place.
(8) ENGLISH LANGUAGE LEARNER (ELL). A student
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(8) ENGLISH LANGUAGE LEARNER (ELL). A student
identified in accordance with federal or state law as entitled
to receive English as a second language or bilingual services
on the basis of the student's English language proficiency.
(9) FOUNDATION PROGRAM. The program established in
Article 11 of Chapter 13 to provide the basic funding support
for public K-12 schools.
(10) GIFTED STUDENT. A student who gives evidence of
high achievement capability in areas such as intellectual,
creative, artistic, or leadership capacity, or in specific
academic fields, and who needs services or activities not
ordinarily provided by the school in order to fully develop
those capabilities.
(11) LOCAL EDUCATION AGENCY (LEA). A county board of
education, city board of education, or charter school.
(12) PUBLIC SCHOOL. A school within an LEA providing
instruction in grades K-12 that is supported by public funds.
(13) RENEWING ALABAMA'S INVESTMENT IN STUDENT
EXCELLENCE FUND (RAISE FUND). The fund established by this act
to provide additional funding to local education agencies to
address the educational needs of students in public K-12
schools.
(14) RAISE ACT REVIEW COMMITTEE. The committee
established in Section 16-13-366 to determine the
effectiveness of the RAISE Act program and any needed
revisions for continuous improvement.
(15) RAISE ACT ACCOUNTABILITY AND IMPLEMENTATION BOARD.
The board established in Section 16-13-367 to monitor the
progress of LEAs and schools in reaching their goals of
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progress of LEAs and schools in reaching their goals of
achievement and to ensure that RAISE Act funds are spent
effectively.
(16) SPECIAL EDUCATION STUDENT. A child who has been
identified with at least one of the specifically defined
physical, emotional, learning, or cognitive disabilities and
is identified for special education services under the
Individuals with Disabilities Education Act 20 U.S.C. § 1400
et seq, or as otherwise defined in state law.
(17) STATE BOARD. The State Board of Education.
(18) STATE SUPERINTENDENT. The State Superintendent of
Education.
(19) UNIFIED APPLICATION. A system that aligns policy
priorities, planning, and budgeting for LEAs in one
application and streamlines applications and reporting for all
state and federal funding programs.
(20) WEIGHTED ALLOCATION. Additional funding from the
RAISE Fund for each qualifying student using the most recent
available data, and which shall be calculated by multiplying
the percentage for each weighted allocation by the base
funding factor.
§16-13-362
(a) There is established a fund in the State Treasury
for the public schools of this state which shall be known as
the Renewing Alabama's Investment in Student Excellence
(RAISE) Fund. The fund shall be used to provide additional
funding for public schools for the purpose of addressing the
educational needs of the student population and improving
student outcomes as provided in this article. The fund shall
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student outcomes as provided in this article. The fund shall
be comprised of all funds appropriated from the Education
Trust Fund or allocated by the Legislature from other funds
for the purposes of this act. The Legislature shall
appropriate or allocate to this fund amounts sufficient to
sustain the operation of the RAISE Act program. All funds
received by the RAISE Fund shall remain in the fund and not
revert or be expended for any other purpose other than those
set out in this act.
(b) The fund shall be administered and distributed in
accordance with this act and the provisions of the annual
Education Trust Fund appropriations act. The additional
funding appropriated pursuant to this act is subject to and
shall be allocated only in accordance with funding as provided
by the Legislature in the annual Education Trust Fund
appropriations act or other legislative act and shall be
budgeted and allotted in accordance with Sections 41-4-80
through 41-4-96 and Sections 41-19-1 through 41-19-12. Any
monetary interest that accrues to the RAISE Fund shall be
retained in the fund from year to year and shall be subject
only to this act.
(c) Any LEA as defined in this act shall be eligible to
receive an allocation from the RAISE Fund, subject to the
following conditions:
(1) The LEA provides the data required in Section
16-13-363.
(2) The LEA provides the accountability reports
required by Section 16-13-365.
(3) The LEA ensures that all funds received from the
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(3) The LEA ensures that all funds received from the
RAISE Fund are used to serve the student groups that generated
the funds under Section 16-13-364.
(4) The LEA submits the unified application, including
data and accountability reports through the unified
application for the 2028-2029 school year, as required in
Section 16-13-368.
§16-13-363
(a) The department shall implement this act commencing
with the 2025-2026 school year contingent upon additional
funding being appropriated by the Legislature for such
purpose.
(b) The funding described in this act shall be
allocated in accordance with this act and rules adopted by the
state board.
(c) On or before July 1, 2025, and each June 1
thereafter until the unified application created pursuant to
Section 16-13-368 is implemented, the department shall create
and publish a RAISE guide outlining the department's
procedures for administering this act. At a minimum, the RAISE
guide shall do the following:
(1) Identify the data the department must receive from
each LEA for purposes of administering this act.
(2) Explain how and when the data identified in
subdivision (1) shall be submitted to the department.
(d) The department shall create or procure, and make
available no later than January 1, 2027, and at no cost to
participants, a professional learning series on the RAISE Act
and RAISE guide. The series must include, at a minimum, an
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and RAISE guide. The series must include, at a minimum, an
overview of RAISE, RAISE logistics and data, the investments
that will increase student achievement of the student group
generating weighted allocations through the RAISE Fund, and
how to budget the additional funding provided by the RAISE
Fund for the specific purposes outlined in the annual
Education Trust Fund appropriations act. LEA employees that
are involved in budgeting at the school and system level, such
as superintendents, assistant superintendents, chief school
finance officers, other school business officers, and
principals of schools, including leaders from public charter
schools, shall be required to participate in the RAISE
professional learning series. The department shall also make
the professional learning series on the RAISE Act available to
other education leaders and LEA employees upon their request.
(e) A professional learning series created or procured
pursuant to this section may be provided to participants
virtually or in person at the discretion of the department.
The department shall make all instructional materials used as
part of the series publicly available on the department's
website.
(f) For the 2028-2029 school year, the professional
learning series on the RAISE Act and the RAISE guide shall be
incorporated into the professional learning series on the
unified application created pursuant to Section 16-13-368.
§16-13-364
(a)(1) DETERMINING THE ANNUAL COST OF THE RAISE
PROGRAM. Subject to available funding for the RAISE Fund for
any fiscal year of the state, the RAISE Fund weighted
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any fiscal year of the state, the RAISE Fund weighted
allocations for each qualifying student group shall be
established in the annual Education Trust Fund appropriations
act for that fiscal year and shall include weights for:
a. Poverty;
b. Special Education;
c. English Language Learners;
d. Charter school students;
e. Gifted students; and
f. Other student groups as deemed necessary.
(2) The amount of funds determined necessary and
available to provide the weighted allocations shall be
appropriated from the RAISE Fund by the Legislature in the
annual Education Trust Fund appropriations act.
(3) The weighted percentages established in this
subsection may grow over time, as funding allows and
determined necessary, but not to exceed the maximum weighted
percentages established in this section.
(4) The weighted allocation for each qualifying student
shall be calculated by multiplying the percentage for each
weighted allocation by the base funding factor. LEAs will
receive weighted allocations for each qualifying student in
each student group.
(5) It is the intent of the Legislature that LEAs are
given flexibility in spending decisions when serving the needs
of the student groups that generated the funds.
(b) The weighted allocations for each qualifying
student shall be established as follows:
(1) A student who is identified through direct
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(1) A student who is identified through direct
certification shall generate weighted allocations for poverty
up to 20 percent.
(2) A student who is identified for special education
services under the Individuals with Disabilities Education Act
20 U.S.C. § 1400 et seq. shall generate a weight based on any
exceptionality identified in their Individual Education Plan
(IEP). Three tiers shall be established in the annual
Education Trust Fund appropriations act, with input from the
department, based on the additional resources required to
support students in each special education tier. A student
shall generate a weighted allocation for each tier as follows:
a. The weighted allocation for a Tier I is within a
range of up to 25 percent.
b. The weighted allocation for a Tier II is within a
range of up to 50 percent.
c. The weighted allocation for a Tier III is within a
range of up to 150 percent.
(3) A student who is identified as an English Language
Learner (ELL) shall generate weighted allocations of up to 15
percent. An LEA shall generate an additional weighted
allocation for concentrated ELL within a range of up to five
percent for school districts where the percentage of ELL
students enrolled is over a level specified in the Education
Trust Fund appropriations act.
(4) An LEA shall generate a gifted student weighted
allocation within a range of up to five percent, with an
assumption that five percent of its ADM is made up of gifted
students. The LEA may use these funds for any gifted or
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students. The LEA may use these funds for any gifted or
enrichment program for students who give evidence of high
achievement capability.
(5) A student at a public charter school shall generate
a weighted allocation within a range of up to 10 percent. This
weighted allocation shall only be allocated to charter schools
that are physically located in a county or city school system
that receives local funding from all revenue sources exceeding
the value of 10 mills of ad valorem taxes for that county or
city school system.
(c) A student shall generate funding for each weight
for which that student qualifies.
(d) Funding allocations made pursuant to this section
are based on data collected for an LEA during the immediately
preceding school year and reported to the department pursuant
to Section 16-13-363.
(e) When making future funding decisions, priority
shall be given to the special education weight in order to
meet the federal maintenance of effort requirements under the
Individuals with Disabilities Education Act 20 U.S.C. § 1400
et seq.
§16-13-365
(a) Each local education agency shall produce an
accountability application and report that:
(1) Establishes goals for the achievement of qualifying
students in weighted categories. These goals shall be in
alignment with the student achievement goals established in
Alabama's plan under the Every Student Succeeds Act (ESSA) or
its successors, and guidance provided by the department.
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its successors, and guidance provided by the department.
(2) Describes the LEA's planned expenditures at the
district and school level for student groups receiving
weighted allocations through the RAISE Fund.
(3) Provides a reflection on the previous year’s
progress on student groups receiving weighted allocations
through the RAISE Fund and any needed revisions to spending.
This will begin for the Fiscal Year 2027 budget.
(b) The report required by this section must be
submitted to the department by November 1, 2026, and each
November 1 thereafter until the unified application created
pursuant to Section 16-13-368 is implemented. Beginning no
later than the 2028-2029 school year, the report shall be
submitted using the unified application created pursuant to
Section 16-13-368. Prior to the unified system and application
becoming available, the State Department of Education shall
provide an accountability application and report format for
LEAs to submit information outlined in this section.
(c) The State Department of Education shall add a
section to the Education Report Card website established
pursuant to Chapter 6C where additional funding for each
student group that receives a weighted allocation through the
RAISE Fund is reported alongside the academic outcomes of
students from those groups on state summative assessments.
This section shall be added to the Education Report Cards for
the state, every LEA, and every school. The following should
be reported:
(1) Academic outcomes shall be disaggregated and
include both academic achievement and growth on state
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include both academic achievement and growth on state
summative assessments.
(2) Total and per-pupil funding disaggregated by each
student group that receives a weighted allocation through the
RAISE Act.
§16-13-366
(a) By January 1, 2028, the Legislature shall establish
the RAISE Act Review Committee to review the overall progress
of the RAISE Act and make recommendations for continuous
improvement.
(b) The committee shall be led by the Chair of the
Senate Finance and Taxation Education Committee and the Chair
of the House Ways and Means Education Committee.
(c) The membership of the committee shall include the
following:
(1) The Governor, or his or her designee.
(2) The State Superintendent of Education, or his or
her designee.
(3) The Director of Finance, or his or her designee;
(4) The Chair of the Senate Finance and Taxation
Education Committee.
(5) The Chair of the House Ways and Means Education
Committee.
(6) The Chair of the Senate Education Policy Committee.
(7) The Chair of the House Education Policy Committee.
(8) One member of the Senate, appointed by the
President Pro Tempore of the Senate.
(9) One member of the Senate, appointed by the Minority
Leader of the Senate.
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Leader of the Senate.
(10) One member of the House of Representatives,
appointed by the Speaker of the House of Representatives.
(11) One member of the House of Representatives,
appointed by the Minority Leader of the House of
Representatives.
(d) The RAISE Act Review Committee shall meet at least
one time per year before November 1 and shall regularly review
the RAISE base funding factor and weighted allocations, review
the academic data from each student group targeted through
weighted allocations at the state and LEA levels to determine
the effectiveness of the RAISE program, and identify any
needed revisions for continuous improvement to the RAISE Act.
(e) The RAISE Act Review Committee shall prepare an
annual report on the RAISE Act and shall provide the report,
on or before November 1 of each year, to the Governor, the
State Board of Education, the Senate Finance and Taxation
Education Committee, the House Ways and Means Education
Committee, the Senate Education Policy Committee, and the
House Education Policy Committee, and the public. The report
must include a review of academic achievement and growth data
from each student group targeted through weighted allocations
at the state and LEA levels and recommendations on needed
revisions to the RAISE Act. ACES may provide research and
analysis to support the work of the committee.
§16-13-367
(a) By July 1, 2028, the Legislature shall establish
the RAISE Act Accountability and Implementation Board to
establish a hearing process to monitor the progress of LEAs
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establish a hearing process to monitor the progress of LEAs
and schools to ensure that RAISE Act funds are spent
effectively and hold them accountable for results.
(b) The RAISE Act Accountability and Implementation
Board shall be led by the Chair of the Senate Finance and
Taxation Education Committee and the Chair of the House Ways
and Means Education Committee.
(c) The membership of the RAISE Act Accountability and
Implementation Board shall include the following:
(1) The Governor, or his or her designee.
(2) The State Superintendent of Education.
(3) The Chair of the Senate Finance and Taxation
Education Committee.
(4) The Chair of the House Ways and Means Education
Committee.
(5) The Chair of the Senate Education Policy Committee.
(6) The Chair of the House Education Policy Committee.
(7) One member with school turnaround experience and/or
education policy experience appointed by the President Pro
Tempore of the Senate.
(8) One member with school turnaround experience and/or
education policy experience appointed by the Minority Leader
of the Senate.
(9) One member with school turnaround experience and/or
education policy experience appointed by the Speaker of the
House of Representatives.
(10) One member with school turnaround experience
and/or education policy experience appointed by the Minority
Leader of the House of Representatives.
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Leader of the House of Representatives.
(11) Two members of the Office of School Improvement
team appointed by the State Superintendent.
(12) One member with experience in the charter school
sector appointed by the Governor.
(13) Two members with school turnaround experience
and/or education policy experience appointed by the Governor.
(d) If a member no longer meets the qualifications for
the member's position on the board, then the member's position
on the board is vacated and replaced by the appropriate
appointing authority.
(e) With the support of the department, the board shall
annually monitor progress of LEAs and schools, and review
provide feedback on accountability application and reports
submitted pursuant to Section 16-13-365.
(f) The department shall propose a hearing process to
determine if RAISE Act funds are being used by LEAs to
adequately improve student outcomes for student groups
identified in this act. The hearing proposal shall include the
process, timeline, and metrics used to determine adequate
progress of LEAs. The RAISE Act Accountability and
Implementation Board shall approve or amend the proposed
hearing process.
(g) At the end of a five-year period, the department
shall identify LEAs, or individual schools under the
jurisdiction of the LEA, that have not made adequate progress
in reaching the goals of achievement established pursuant to
Section 16-13-365, and shall recommend them for a hearing
before the RAISE Act Accountability and Implementation Board.
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before the RAISE Act Accountability and Implementation Board.
The RAISE Act Accountability and Implementation Board shall
approve or amend the department’s recommendations. With the
support of the department, the RAISE Act Accountability and
Implementation Board may then hold the hearings.
(f) Following any hearings, the department shall
recommend corrective action for LEAs or individual schools
under the jurisdiction of the LEAs. The RAISE Act
Accountability and Implementation Board shall approve or amend
any proposed corrective action. Corrective action may include,
but not be limited to, the loss of autonomy to make budgeting
decisions with RAISE Fund allocations; state academic
intervention; and/or other relevant academic interventions,
such as those included in the Alabama Numeracy Act in Section
16-6H-12.
§16-13-368
(a) The State Department of Education shall develop,
with the support of an external partner with expertise in
streamlining state and federal funding, a unified system and
application that aligns policy priorities, planning, and
budgeting in one application. The unified system shall
streamline applications and reporting for all state and
federal funding programs away from multiple plans,
applications, budgets, and reports into a single application.
The unified system and application shall be operational for
the 2028-2029 budget cycle.
(b) In implementing the unified application, the
department shall do all of the following:
(1) Set state priorities for funding that focus on
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(1) Set state priorities for funding that focus on
achieving key improvements for students and student outcomes.
(2) Align grants to support each spending priority,
maximize dollars leveraged for student outcomes, and eliminate
redundancies.
(3) Design an application process that meets state and
federal compliance requirements and ensures spending is
aligned with state priorities.
(4) Support districts to build a strong plan for
student learning and federal grant spending and articulate
adequate achievement and growth goals for students.
(5) Review applications against a set of criteria for
plan approval and discretionary awards.
(6) Approve and allocate funding that supports a clear
set of plans to support student achievement.
(c) As part of the development of the unified
application, the State Superintendent, with the support of an
external partner, shall conduct an audit to identify
out-of-date, unnecessary, or otherwise burdensome state laws,
regulations, reporting requirements, and processes that apply
to public schools. The audit shall include considerations and
recommendations from school and system leaders, educators,
advocates, and families. The State Superintendent shall file a
report with the Governor and Legislature by November 1, 2026,
outlining the findings of the review and recommendations for
corrective actions, including executive orders, statutory
changes, or regulatory reforms to empower schools, reduce
bureaucracy, and improve student achievement.
(d) Beginning June 1, 2025, the department shall
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(d) Beginning June 1, 2025, the department shall
complete the following actions:
(1) Hire an external partner to support audit and
development of the uniform application.
(2) Launch the audit established in subsection (c) and
the development of the uniform application.
(e) During the 2027-2028 school year, the department
shall complete the following actions:
(1) Complete the development of the unified application
no later than February 2028, to allow districts to be able to
use the unified application for strategic and financial
planning for the 2028-2029 school year.
(2) Develop and launch professional learning about the
unified application no later than February 2028.
(f) LEAs shall use the unified application to plan
their district's budget beginning with the 2028-2029 school
year.
Section 2. This act shall become effective on June 1,
2025.
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