Second Regular Session
Seventy-third General Assembly
STATE OF COLORADO
REVISED
This Version Includes All Amendments Adopted
on Second Reading in the Second House
LLS NO. 22-0403.01 Brita Darling x2241
HOUSE BILL 22-1202
House Committees Senate Committees
Education Education
Appropriations Appropriations
A BILL FOR AN ACT
C
ONCERNING THE CREATION OF A NEW MEASURE IN THE PUBLIC101
SCHOOL FUNDING FORMULA FOR IDENTIFYING AT -RISK102
STUDENTS, AND, IN CONNECTION THEREWITH , CREATING A103
WORKING GROUP IN THE DEPARTMENT OF EDUCATION TO104
IMPLEMENT THE NEW MEASURE IN A FUTURE BUDGET
YEAR AND105
MAKING AN APPROPRIATION .106
Bill Summary
(Note: This summary applies to this bill as introduced and does
not reflect any amendments that may be subsequently adopted. If this bill
passes third reading in the house of introduction, a bill summary that
applies to the reengrossed version of this bill will be available at
http://leg.colorado.gov
.)
Legislative Interim Committee on School Finance. The bill
SENATE
2nd Reading Unamended
April 8, 2022
HOUSE
3rd Reading Unamended
March 21, 2022
HOUSE
Amended 2nd Reading
March 18, 2022
HOUSE SPONSORSHIP
Herod and McCluskie, Kipp, Larson, Amabile, Bacon, Benavidez, Bernett, Bird,
Boesenecker, Caraveo, Cutter, Duran, Esgar, Exum, Gonzales-Gutierrez, Gray, Jodeh,
Kennedy, Lindsay, Lontine, McCormick, McLachlan, Michaelson Jenet, Mullica, Ricks,
Roberts, Sirota, Snyder, Tipper, Titone, Valdez A., Valdez D., Weissman, Woodrow, Young
SENATE SPONSORSHIP
Zenzinger and Coleman, Bridges, Kirkmeyer, Lundeen
Shading denotes HOUSE amendment. Double underlining denotes SENATE amendment.
Capital letters or bold & italic numbers indicate new material to be added to existing law.
Dashes through the words or numbers indicate deletions from existing law. identifies a new at-risk measure to identify students who are at risk of
below-average academic outcomes because of socioeconomic
disadvantage or poverty in order to allocate resources through the state's
public school funding formula to serve those students. The new at-risk
measure will include:
! The percentage of students certified as eligible for the
school lunch program based on documentation of benefit
receipt or categorical eligibility, supplemented by the
expansion of direct certification to participants in the
medical assistance program and the children's basic health
plan; and
! A neighborhood socioeconomic-status index that weights
student needs based on socioeconomic-status index
neighborhood factors linked to each student's census block
group.
The commissioner of education (commissioner) shall convene a
working group to prepare for the implementation of the new at-risk
measure in the 2023-24 budget year. The bill specifies the membership
of the working group.
The bill includes issues that the working group may consider in
constructing and implementing the new at-risk measure, including
collecting necessary data, constructing a neighborhood
socioeconomic-status index linked to students' addresses, and testing the
at-risk measure with actual student data, if available.
The commissioner shall report findings and recommendations for
the construction and implementation of the new at-risk measure to the
legislative interim committee on school finance, the joint budget
committee, and the education committees of the general assembly.
The bill requires the department of education to apply to the
United States department of agriculture to obtain authorization for direct
certification of students participating in the medical assistance program
and the children's basic health plan.
Be it enacted by the General Assembly of the State of Colorado:1
SECTION 1. In Colorado Revised Statutes, add 22-54-104.6 as2
follows:3
22-54-104.6. Implementation of at-risk measure - working4
group - creation - report - legislative declaration - definitions - repeal.5
(1) (a) T
HE GENERAL ASSEMBLY FINDS AND DECLARES THAT6
IMPLEMENTING A NEW AT-RISK MEASURE FOR IDENTIFYING STUDENTS WHO7
1202-2- ARE AT RISK OF BELOW-AVERAGE ACADEMIC PERFORMANCE BECAUSE OF1
SOCIOECONOMIC DISADVANTAGES OR POVERTY WILL BENEFIT COLORADO2
STUDENTS BY:3
(I) E
NSURING THAT PUBLIC SCHOOLS ARE ABLE TO PARTICIPATE IN4
UNIVERSAL FREE MEALS PROGRAMS AND REDUCING THE PAPERWORK AND5
ADMINISTRATIVE BURDEN ON PUBLIC SCHOOLS PARTICIPATING IN THOSE6
PROGRAMS;7
(II) I
DENTIFYING AT-RISK STUDENTS DIRECTLY THROUGH THEIR8
PARTICIPATION IN CERTAIN PUBLIC BENEFIT PROGRAMS WITHOUT THE9
NEED TO COLLECT FORMS OR OTHER VERIFICATION OF ELIGIBILITY , WHICH10
OFTEN LEADS TO THE UNDERCOUNTING OF STUDENTS IN THE PUBLIC11
SCHOOLS THAT NEED RESOURCES TO SERVE THESE STUDENTS ; AND12
(III) R
ECOGNIZING FACTORS BEYOND HOUSEHOLD INCOME THAT13
PLACE A STUDENT AT RISK OF BELOW-AVERAGE ACADEMIC PERFORMANCE .14
(b) T
HEREFORE, IT IS THE INTENT OF THE GENERAL ASSEMBLY TO15
CREATE A WORKING GROUP CONVENED BY THE COMMISSIONER OF16
EDUCATION TO DETERMINE HOW TO CONSTRUCT AND IMPLEMENT THE NEW17
AT-RISK MEASURE FOR USE IN THE STATE 'S PUBLIC SCHOOL FUNDING18
FORMULA.19
(2)
AS USED IN THIS SECTION, UNLESS THE CONTEXT OTHERWISE20
REQUIRES:21
(a) "C
HILDREN'S BASIC HEALTH PLAN" HAS THE SAME MEANING AS22
SET FORTH IN SECTION 25.5-8-103.23
(b) "C
OMMISSIONER" MEANS THE COMMISSIONER OF EDUCATION24
APPOINTED PURSUANT TO SECTION 1 OF ARTICLE IX OF THE STATE25
CONSTITUTION.26
(c) "I
DENTIFIED STUDENT PERCENTAGE " MEANS THE PERCENTAGE27
1202
-3- OF A DISTRICT'S OR INSTITUTE CHARTER SCHOOL'S STUDENT ENROLLMENT1
WHO ARE CERTIFIED AS ELIGIBLE FOR FREE MEALS UNDER THE SCHOOL2
LUNCH PROGRAM BASED ON DOCUMENTATION OF BENEFIT RECEIPT OR3
CATEGORICAL ELIGIBILITY AS DESCRIBED IN 7 CFR 245.6, OR ANY4
SUCCESSOR REGULATIONS.5
(d) "M
EDICAID" HAS THE SAME MEANING AS "MEDICAL6
ASSISTANCE" AS SET FORTH IN SECTION 25.5-4-103.7
(e) "S
CHOOL LUNCH PROGRAM " MEANS THE FEDERAL "RICHARD B.8
R
USSELL NATIONAL SCHOOL LUNCH ACT" CREATED IN 42 U.S.C. SEC.9
1751,
ET SEQ.10
(3) B
EGINNING IN THE 2023-24 BUDGET YEAR, THERE IS CREATED11
A NEW AT-RISK MEASURE IN THE PUBLIC SCHOOL FUNDING FORMULA FOR12
IDENTIFYING STUDENTS WHO ARE AT RISK OF BELOW -AVERAGE ACADEMIC13
OUTCOMES BECAUSE OF SOCIOECONOMIC DISADVANTAGE OR POVERTY .14
T
HE NEW AT-RISK MEASURE REPLACES THE AT-RISK MEASURE IN EFFECT15
FOR THE 2022-23 BUDGET YEAR. THE NEW AT-RISK MEASURE IS DESIGNED16
TO ALLOCATE FINANCIAL RESOURCES TO PUBLIC SCHOOLS TO SERVE THE17
NEEDS OF AT-RISK STUDENTS. THE NEW AT-RISK MEASURE INCLUDES:18
(a) A
DISTRICT'S OR INSTITUTE CHARTER SCHOOL 'S IDENTIFIED19
STUDENT PERCENTAGE , SUPPLEMENTED BY STUDENTS IDENTIFIED20
THROUGH COLORADO'S PARTICIPATION IN THE DEMONSTRATION PROJECT21
OPERATED PURSUANT TO 42 U.S.C. SEC. 1758 (b)(15) FOR DIRECT22
CERTIFICATION FOR CHILDREN RECEIVING BENEFITS THROUGH MEDICAID23
AND THE CHILDREN'S BASIC HEALTH PLAN; AND24
(b) S
TUDENT NEEDS THAT ARE WEIGHTED BASED ON AT LEAST FIVE25
SOCIOECONOMIC-STATUS NEIGHBORHOOD FACTORS , LINKED TO EACH26
STUDENT'S CENSUS BLOCK GROUP.27
1202
-4- (4) ON OR BEFORE AUGUST 15, 2022, THE COMMISSIONER SHALL1
CONVENE A WORKING GROUP TO PREPARE FOR THE IMPLEMENTATION IN2
THE 2023-24 BUDGET YEAR OF THE NEW AT-RISK MEASURE CREATED IN3
SUBSECTION (3) OF THIS SECTION.4
(5) (a) T
HE WORKING GROUP CONSISTS OF STAFF OF THE5
DEPARTMENTS OF HEALTH CARE POLICY AND FINANCING AND HUMAN6
SERVICES, APPOINTED BY THE EXECUTIVE DIRECTORS OF THOSE7
DEPARTMENTS IN CONSULTATION WITH THE COMMISSIONER , AND OTHER8
MEMBERS APPOINTED BY THE COMMISSIONER PURSUANT TO SUBSECTION9
(5)(b)
OF THIS SECTION. EACH APPOINTING AUTHORITY SHALL APPOINT10
WORKING GROUP MEMBERS ON OR BEFORE AUGUST 1, 2022.11
(b) T
HE COMMISSIONER SHALL APPOINT MEMBERS TO THE12
WORKING GROUP TO PROVIDE REPRESENTATION FOR THE FOLLOWING13
GROUPS:14
(I) S
TAFF OF THE DEPARTMENT OF EDUCATION ;15
(II) S
TAFF OF THE STATE CHARTER SCHOOL INSTITUTE ;16
(III) D
ISTRICT CHIEF FINANCIAL OFFICERS OR SCHOOL FI NANCE17
DIRECTORS;18
(IV) S
UPERINTENDENTS OF DISTRICTS;19
(V) S
CHOOL PRINCIPALS AND DIRECTORS OF CHARTER SCHOOLS ;20
(VI) S
CHOOL SOCIAL WORKERS OR NURSES ;21
(VII) C
HILD WELFARE EDUCATION LIAISONS ;22
(VIII) T
HE EDUCATION DATA ADVISORY COMMITTEE CREATED IN23
SECTION 22-2-304;24
(IX) A
STATEWIDE ORGANIZATION THAT REPRESENTS EDUCATORS ;25
(X) A
STATEWIDE ORGANIZATION THAT REPRESENTS SCHOOL26
DISTRICT BOARDS OF EDUCATION;27
1202
-5- (XI) A STATEWIDE ADVOCACY GROUP FOR CHARTER SCHOOLS ;1
(XII) A
N ADVOCACY ORGANIZATION THAT REPRESENTS RURAL2
DISTRICTS;3 (XIII) A STATEWIDE ORGANIZATION THAT REPRESENTS PARENTS;4
(XIV) A STATEWIDE ORGANIZATION THAT REPRESENTS SCHOOL5
NUTRITION SERVICE PROVIDERS;6
(XV) ADVOCACY GROUPS FOR CHILDREN IN POVERTY ;7
(XVI) ADVOCACY GROUPS WORKING TO END HUNGER IN8
C
OLORADO; AND9 (XVII) ANY OTHER GROUPS WITH RELEVANT QUALIFICATIONS OR10
EXPERTISE.11
(6) I
N APPOINTING MEMBERS TO THE WORKING GROUP , THE12
COMMISSIONER SHALL ENSURE , TO THE EXTENT PRACTICABLE, THAT THE13
MEMBERSHIP REFLECTS THE GEOGRAPHIC DIVERSITY OF THE STATE ,14
INCLUDING MEMBERS FROM RURAL , URBAN, AND SUBURBAN DISTRICTS15
AND CHARTER SCHOOLS, AS WELL AS LARGE AND SMALL DISTRICTS . THE16
COMMISSIONER SHALL ALSO ENSURE REPRESENTATION FROM DISTRICTS17
THAT SERVE A HIGH NUMBER OF AT-RISK STUDENTS UNDER THE CURRENT18
SCHOOL FUNDING FORMULA .19
(7) T
HE COMMISSIONER, OR A MEMBER APPOINTED BY THE20
COMMISSIONER, SHALL SERVE AS CHAIR OF THE WORKING GROUP .21
M
EMBERS OF THE WORKING GROUP SERVE WITHOUT COMPENSATION AND22
WITHOUT REIMBURSEMENT FOR EXPENSES .23
(8) T
HE COMMISSIONER, IN CONSULTATION WITH THE EXECUTIVE24
DIRECTORS OF THE DEPARTMENTS OF HEALTH CARE POLICY AND25
FINANCING AND HUMAN SERVICES , MAY FORM ISSUE SUBGROUPS ,26
CONSISTING OF WORKING GROUP MEMBERS AND OTHERS WITH RELEVANT27
1202
-6- EXPERIENCE OR EXPERTISE, TO CONSIDER THE ISSUES ADDRESSED BY THE1
WORKING GROUP.2
(9) T
HE WORKING GROUP SHALL ADDRESS ISSUES CONCERNING THE3
CONSTRUCTION AND IMPLEMENTATION OF THE NEW AT -RISK MEASURE4
CREATED IN SUBSECTION (3) OF THIS SECTION. AMONG OTHER5
CONSIDERATIONS, THE CONSTRUCTION AND IMPLEMENTATION OF THE NEW6
AT-RISK MEASURE MAY INCLUDE:7
(a) C
OLLECTING THE NECESSARY DATA TO IMPLEMENT THE NEW8
AT-RISK MEASURE, WHICH MAY INCLUDE CONSIDERATION OF A SURVEY OF9
AVAILABLE DATA, THE LEVEL AT WHICH DATA IS COLLECTED , DATA10
SHARING AND DATA LINKS, STUDENT DATA PRIVACY, AND MINIMIZING THE11
BURDEN OF DATA COLLECTION ;12
(b) D
EVELOPING THE NEIGHBORHOOD SOCIOECONOMIC -STATUS13
INDEX, INCLUDING THE DETERMINATION OF FIVE OR MORE INDEX FACTORS ,14
WHICH MAY INCLUDE MEDIAN HOUSEHOLD INCOME , HOMEOWNERSHIP15
RATE, THE PERCENTAGE OF ADULTS TWENTY-FIVE YEARS OF AGE OR OLDER16
WITH A BACHELOR'S DEGREE OR HIGHER, THE PERCENTAGE OF CHILDREN17
WHO ARE FOSTERED OR RAISED BY A NONPARENTAL RELATIVE , OR THE18
PERCENTAGE OF HOUSEHOLDS WHERE A NON -ENGLISH LANGUAGE IS19
SPOKEN;20
(c) O
NCE CENSUS BLOCKS ARE ASSIGNED A21
SOCIOECONOMIC-STATUS INDEX VALUE, DETERMINING HOW A STUDENT'S22
NEIGHBORHOOD SOCIOEC ONOMIC -STATUS INDEX VALUE SHOULD BE23
INCORPORATED INTO THE AT-RISK MEASURE AND HOW IT WILL IMPACT24
STUDENTS IDENTIFIED AS PART OF THE DISTRICT'S OR INSTITUTE CHARTER25
SCHOOL'S IDENTIFIED STUDENT PERCENTAGE;26
(d) D
ETERMINING THE COMPOSITION OF AT-RISK FACTOR FUNDING27
1202
-7- BASED ON THE IDENTIFICATION OF STUDENTS THROUGH THE NEW AT -RISK1
MEASURE AND ENSURING THAT AT -RISK FACTOR FUNDING IS EQUITABLY2
DISTRIBUTED TO IMPROVE ACADEMIC OUTCOMES FOR IDENTIFIED3
STUDENTS;4
(e) D
ETERMINING HOW DISTRICTS AND INSTITUTE CHARTER5
SCHOOLS WILL DEMONSTRATE THAT AT -RISK FUNDING IS BEING EXPENDED6
TO SERVE STUDENTS IDENTIFIED THROUGH THE NEW AT -RISK MEASURE7
AND RESULTING AT-RISK FACTOR FUNDING;8
(f) D
ETERMINING THE PROCESS FOR IDENTIFYING STUDENTS9
DURING THE FIRST YEAR OF IMPLEMENTATION AND THE DESIGN AND10
LENGTH OF A HOLD-HARMLESS PROVISION FOR DISTRICTS AND CHARTER11
SCHOOLS;12
(g) C
ONDUCTING PRE-IMPLEMENTATION MODELING AND TESTING13
USING ACTUAL STUDENT DATA FOR EACH DISTRICT AND CHARTER SC HOOL ,14
IF AVAILABLE;15
(h) C
ONSIDERING THE IMPACT OF THE NEW AT -RISK MEASURE ON16
OTHER PROGRAMS THAT RELY ON OR REFERENCE THE IDENTIFICATION OF17
AT-RISK STUDENTS PURSUANT TO THIS ARTICLE 54; AND18
(i) A
NY OTHER ISSUES DEEMED RELEVANT BY THE COMMISSIONER .19
(10)
NOT LATER THAN JANUARY 31, 2023, THE COMMISSIONER20
SHALL SUBMIT A REPORT TO THE LEGISLATIVE INTERIM COMMITTEE ON21
SCHOOL FINANCE, THE JOINT BUDGET COMMITTEE, AND THE EDUCATION22
COMMITTEES OF THE HOUSE OF REPRESENTATIVES AND THE SENATE , OR23
ANY SUCCESSOR COMMITTEES , INCLUDING:24
(a) A
SUMMARY OF THE PROGRESS OF THE WORKING GROUP IN25
RESOLVING ISSUES CONCERNING THE COMPOSITION AND IMPLEMENTATION26
OF THE NEW AT-RISK MEASURE AND AT-RISK FACTOR FUNDING;27
1202
-8- (b) FINDINGS AND RECOMMENDATIONS OF THE WORKING GROUP1
FOR IMPLEMENTATION OF THE NEW AT -RISK MEASURE FOR THE 2023-242
BUDGET YEAR, INCLUDING RECOMMENDATIONS FOR ANY LEGISLATION3
NECESSARY TO IMPLEMENT THE NEW AT -RISK MEASURE, AS WELL AS4
FINANCIAL RESOURCES NEEDED TO ADMINISTER THE NEW AT -RISK5
MEASURE;6
(c) A
SUMMARY OF ANY FINANCIAL MODELING OF THE NEW7
AT-RISK MEASURE FOR INDIVIDUAL DISTRICTS OR CHARTER SCHOOLS , IF8
AVAILABLE; AND9
(d) A
N ESTIMATE OF THE IMPACT OF THE NEW AT -RISK MEASURE10
ON THE COST OF TOTAL PROGRAM FUNDING .11
(11) T
HE DEPARTMENT OF EDUCATION SHALL APPLY TO THE12
U
NITED STATES SECRETARY OF AGRICULTURE TO PARTICIPATE IN THE13
DEMONSTRATION PROJECT OPERATED PURSUANT TO 42 U.S.C. SEC. 175814
(b)(15)
FOR DIRECT CERTIFICATION FOR CHILDREN RECEIVING MEDICAID15
BENEFITS, WITH THE INTENT THAT THE DEMONSTRATION PROJECT IS16
IMPLEMENTED STATEWIDE TO THE EXTENT ALLOWABLE UNDER FEDERAL17
LAW. IF THE STATE IS SELECTED TO PARTICIPATE IN THE DEMONSTRATION18
PROJECT, THE DEPARTMENT OF EDUCATION SHALL COMPLY WITH ALL OF19
THE REQUIREMENTS OF THE DEMONSTRATION PROJECT , INCLUDING20
ENTERING INTO AN AGREEMENT WITH THE DEPARTMENT OF HEALTH CARE21
POLICY AND FINANCING TO ESTABLISH PROCEDURES BY WHICH A STUDENT22
MAY BE CERTIFIED, WITHOUT FURTHER APPLICATION , AS MEETING THE23
ELIGIBILITY REQUIREMENTS FOR FREE OR REDUCED -PRICE MEALS24
PURSUANT TO THE NATIONAL SCHOOL BREAKFAST PROGRAM AND THE25
NATIONAL SCHOOL LUNCH PROGRAM BASED ON INFORMATION COLLECTED26
BY THE DEPARTMENT OF HEALTH CARE POLICY AND FINANCING IN27
1202
-9- IMPLEMENTING THE MEDICAID PROGRAM .1
(12) T
HIS SECTION IS REPEALED, EFFECTIVE JULY 1, 2025.2 SECTION 2. Appropriation. (1) For the 2022-23 state fiscal3
year, $163,338 is appropriated to the department of education. This4
appropriation is from the general fund. To implement this act, the5
department may use this appropriation as follows:6
(a) $128,341 for federal nutrition programs, which amount is7
based on an assumption that the department will require an additional 0.48
FTE; and9
(b) $34,997 for administration related to public school finance,10
which amount is based on an assumption that the department will require11
an additional 0.1 FTE.12
SECTION 3. Safety clause. The general assembly hereby finds,13
determines, and declares that this act is necessary for the immediate14
preservation of the public peace, health, or safety.15
1202
-10-