Indiana 2025 Regular Session

Indiana House Bill HB1258 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1
2	2	Introduced Version
3	3	HOUSE BILL No. 1258
4	4	_____
5	5	DIGEST OF INTRODUCED BILL
6	6	Citations Affected: IC 20-28-9-28.
7	7	Synopsis: Teacher compensation. Provides that, after June 30, 2026,
8	8	a school corporation shall expend an amount for teacher compensation
9	9	that is not less than an amount equal to 70% (instead of 62%) of the
10	10	state tuition support distributed to the school corporation during the
11	11	state fiscal year. Makes conforming changes.
12	12	Effective: July 1, 2025.
13	13	Klinker
14	14	January 9, 2025, read first time and referred to Committee on Education.
15	15	2025 IN 1258—LS 6877/DI 110 Introduced
16	16	First Regular Session of the 124th General Assembly (2025)
17	17	PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana
18	18	Constitution) is being amended, the text of the existing provision will appear in this style type,
19	19	additions will appear in this style type, and deletions will appear in this style type.
20	20	Additions: Whenever a new statutory provision is being enacted (or a new constitutional
21	21	provision adopted), the text of the new provision will appear in this style type. Also, the
22	22	word NEW will appear in that style type in the introductory clause of each SECTION that adds
23	23	a new provision to the Indiana Code or the Indiana Constitution.
24	24	Conflict reconciliation: Text in a statute in this style type or this style type reconciles conflicts
25	25	between statutes enacted by the 2024 Regular Session of the General Assembly.
26	26	HOUSE BILL No. 1258
27	27	A BILL FOR AN ACT to amend the Indiana Code concerning
28	28	education.
29	29	Be it enacted by the General Assembly of the State of Indiana:
30	30	1 SECTION 1. IC 20-28-9-28, AS AMENDED BY P.L.150-2024,
31	31	2 SECTION 26, AND AS AMENDED BY P.L.136-2024, SECTION 43,
32	32	3 AND AS AMENDED BY THE TECHNICAL CORRECTIONS BILL
33	33	4 OF THE 2025 GENERAL ASSEMBLY, IS CORRECTED AND
34	34	5 AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]:
35	35	6 Sec. 28. (a) Subject to subsection (g), (d), for each school year in a
36	36	7 state fiscal year beginning after June 30, 2023, a school corporation
37	37	8 shall expend an amount for teacher compensation that is not less than
38	38	9 an amount equal to sixty-two percent (62%) of the state tuition support,
39	39	10 other than the state tuition support described in subsection (b), (c),
40	40	11 distributed to the school corporation during the state fiscal year. For
41	41	12 purposes of determining whether a school corporation has complied
42	42	13 with this requirement, the amount a school corporation expends for
43	43	14 teacher compensation shall include the amount the school corporation
44	44	15 expends for adjunct teachers, supplemental pay for teachers, stipends,
45	45	16 and for participating in a special education cooperative or an interlocal
46	46	17 agreement or consortium that is directly attributable to the
47	47	2025 IN 1258—LS 6877/DI 110 2
48	48	1 compensation of teachers employed by the cooperative or interlocal
49	49	2 agreement or consortium. The amount a school corporation expends on
50	50	3 teacher compensation shall also include the amount the school
51	51	4 corporation expends on dropout recovery educational services for an
52	52	5 at-risk student enrolled in the school corporation provided by an
53	53	6 agreement with an eligible school that is directly attributable to the
54	54	7 compensation of teachers employed by the eligible school. Teacher
55	55	8 benefits include all benefit categories collected by the department for
56	56	9 Form 9 purposes. This subsection expires July 1, 2026.
57	57	10 (b) If a school corporation determines that the school corporation
58	58	11 cannot comply with the requirement under subsection (a) for a
59	59	12 particular school year, the school corporation shall apply for a waiver
60	60	13 from the department.
61	61	14 (c) The waiver application must include an explanation of the
62	62	15 financial challenges, with detailed data, that preclude the school
63	63	16 corporation from meeting the requirement under subsection (a) and
64	64	17 describe the cost saving measures taken by the school corporation in
65	65	18 attempting to meet the requirement in subsection (a). The waiver may
66	66	19 also include an explanation of an innovative or efficient approach in
67	67	20 delivering instruction that is responsible for the school corporation
68	68	21 being unable to meet the requirement under subsection (a).
69	69	22 (d) If, after review, the department determines that the school
70	70	23 corporation has exhausted all reasonable efforts in attempting to meet
71	71	24 the requirement in subsection (a), the department may grant the school
72	72	25 corporation a one (1) year exception from the requirement.
73	73	26 (e) A school corporation that receives a waiver under this section
74	74	27 shall work with the department to develop a plan to identify additional
75	75	28 cost saving measures and any other steps that may be taken to allow
76	76	29 the school corporation to meet the requirement under subsection (a).
77	77	30 (f) A school corporation may not receive more than three (3)
78	78	31 waivers under this section.
79	79	32 (b) Subject to subsection (d), for each school year in a state
80	80	33 fiscal year beginning after June 30, 2026, a school corporation shall
81	81	34 expend an amount for teacher compensation that is not less than an
82	82	35 amount equal to seventy percent (70%) of the state tuition support,
83	83	36 other than the state tuition support described in subsection (c),
84	84	37 distributed to the school corporation during the state fiscal year.
85	85	38 For purposes of determining whether a school corporation has
86	86	39 complied with this requirement, the amount a school corporation
87	87	40 expends for teacher compensation shall include the amount the
88	88	41 school corporation expends for adjunct teachers, supplemental pay
89	89	42 for teachers, stipends, and for participating in a special education
90	90	2025 IN 1258—LS 6877/DI 110 3
91	91	1 cooperative or an interlocal agreement or consortium that is
92	92	2 directly attributable to the compensation of teachers employed by
93	93	3 the cooperative or interlocal agreement or consortium. The
94	94	4 amount a school corporation expends on teacher compensation
95	95	5 shall also include the amount the school corporation expends on
96	96	6 dropout recovery educational services for an at-risk student
97	97	7 enrolled in the school corporation provided by an agreement with
98	98	8 an eligible school that is directly attributable to the compensation
99	99	9 of teachers employed by the eligible school. Teacher benefits
100	100	10 include all benefit categories collected by the department for Form
101	101	11 9 purposes.
102	102	12 (b) (c) State tuition support distributed to a school corporation for
103	103	13 students enrolled in the school corporation who are receiving one
104	104	14 hundred percent (100%) virtual instruction from a teacher employed
105	105	15 by a third party provider with whom the school corporation has
106	106	16 contracted is not included as state tuition support distributed to the
107	107	17 school corporation for purposes of subsection (a) (before its
108	108	18 expiration) or (b).
109	109	19 (g) (d) For purposes of determining whether a school corporation
110	110	20 has complied with the requirement in subsection (a) (before its
111	111	21 expiration) or (b), distributions from the curricular materials fund
112	112	22 established by IC 20-40-22-5 that are deposited in a school
113	113	23 corporation's education fund in a state fiscal year are not considered
114	114	24 to be state tuition support distributed to the school corporation during
115	115	25 the state fiscal year.
116	116	26 (c) (h) (e) Before November 1, 2022, and Before November 1 of
117	117	27 each year, thereafter, the department shall submit a report to the
118	118	28 legislative council in an electronic format under IC 5-14-6 and the state
119	119	29 budget committee that contains information as to:
120	120	30 (1) the percent and amount that each school corporation expended
121	121	31 and the statewide total expended for teacher compensation;
122	122	32 (2) the percent and amount that each school corporation expended
123	123	33 and statewide total expended for teacher benefits, including
124	124	34 health, dental, life insurance, and pension benefits; and
125	125	35 (3) whether the school corporation met the requirement set forth
126	126	36 in subsection (a) (before its expiration) or (b). and
127	127	37 (4) whether the school corporation received a waiver under
128	128	38 subsection (d).
129	129	39 (d) (f) The department shall publish the report described in
130	130	40 subsection (c) (e) on the department's website.
131	131	41 (e) (g) Beginning after June 30, 2024, for each state fiscal year that
132	132	42 a school corporation fails to expend the amount for teacher
133	133	2025 IN 1258—LS 6877/DI 110 4
134	134	1 compensation as required under subsection (a) (before its expiration)
135	135	2 or (b), the department shall submit in both a written and an electronic
136	136	3 format a notice to the school corporation's:
137	137	4 (1) superintendent;
138	138	5 (2) school business officer; and
139	139	6 (3) governing body;
140	140	7 that the school corporation failed to meet the requirements set forth in
141	141	8 subsection (a) (before its expiration) or (b) for the applicable state
142	142	9 fiscal year.
143	143	10 (f) (h) If a school corporation's governing body receives a notice
144	144	11 from the department under subsection (e), (g), the school corporation
145	145	12 shall do the following:
146	146	13 (1) Publicly acknowledge receipt of the notice from the
147	147	14 department at the governing body's next public meeting.
148	148	15 (2) Enter into the governing body's official minutes for the
149	149	16 meeting described in subdivision (1) acknowledgment of the
150	150	17 notice.
151	151	18 (3) Not later than thirty (30) days after the meeting described in
152	152	19 subdivision (1), publish on the school corporation's website:
153	153	20 (A) the department's notice; and
154	154	21 (B) any relevant individual reports prepared by the
155	155	22 department.
156	156	23 (g) (i) If the department determines a school corporation that
157	157	24 received one (1) or more notices from the department under subsection
158	158	25 (e) (g) has met the expenditure requirements required under subsection
159	159	26 (a) (before its expiration) or (b) for a subsequent state fiscal year, the
160	160	27 school corporation may remove from the school corporation's website
161	161	28 any:
162	162	29 (1) notices the school corporation received under subsection (e);
163	163	30 (g); and
164	164	31 (2) relevant individual reports prepared by the department under
165	165	32 subsection (f)(3). (h)(3).
166	166	2025 IN 1258—LS 6877/DI 110