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AN ACT relating to school district property and declaring an emergency. 1
Be it enacted by the General Assembly of the Commonwealth of Kentucky: 2
SECTION 1. KRS 162.060 IS REPEALED AND REENACTED AS A NEW 3
SECTION OF KRS CHAPTER 162 TO READ AS FOLLOWS: 4
(1) Each local board of education shall submit all plans and specifications for new 5
public school buildings and all additions to or alterations of old buildings to the 6
chief state school officer. 7
(2) The Kentucky Department of Education shall not require a local board to seek 8
approval for the plans or specification, but may require the local board to 9
complete specific forms as appropriate for the purposes of recordkeeping and 10
data collection. 11
(3) No plans or specifications for new public school buildings or additions shall 12
spend more than ten percent (10%) of the total cost of the project on the 13
acquisition and improvement of the land. However, a local board may seek a 14
waiver from this subsection from the chief state school officer or designee who 15
shall approve or disapprove the waiver within thirty (30) days of submission. An 16
approval shall be reported to the Kentucky Board of Education. A local board of 17
education may appeal a disapproval to the Kentucky Board of Education at the 18
next regular meeting. 19
Section 2. KRS 156.160 is amended to read as follows: 20
(1) With the advice of the Local Superintendents Advisory Council, the Kentucky 21
Board of Education shall promulgate administrative regulations establishing 22
standards which school districts shall meet in student, program, service, and 23
operational performance. These regulations shall comply with the expected 24
outcomes for students and schools set forth in KRS 158.6451. Administrative 25
regulations shall be promulgated for the following: 26
(a) Courses of study for the different grades and kinds of common schools 27 UNOFFICIAL COPY 24 RS BR 487
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identifying the common curriculum content directly tied to the goals, 1
outcomes, and assessment strategies developed under KRS 158.645, 2
158.6451, and 158.6453 and distributed to local school districts and schools. 3
The administrative regulations shall provide that: 4
1. If a school offers American sign language, the course shall be accepted 5
as meeting the foreign language requirements in common schools 6
notwithstanding other provisions of law; 7
2. If a school offers the Reserve Officers Training Corps program, the 8
course shall be accepted as meeting the physical education requirement 9
for high school graduation notwithstanding other provisions of law; and 10
3. Every public middle and high school's curriculum shall include 11
instruction on the Holocaust and other cases of genocide, as defined by 12
the United Nations Convention on the Prevention and Punishment of the 13
Crime of Genocide, that a court of competent jurisdiction, whether a 14
court in the United States or the International Court of Justice, has 15
determined to have been committed by applying rigorous standards of 16
due process; 17
(b) Courses of study or educational experiences available to students in all middle 18
and high schools to fulfill the prerequisites for courses in advanced science 19
and mathematics as defined in KRS 158.845; 20
(c) The acquisition and use of educational equipment for the schools as 21
recommended by the Council for Education Technology; 22
(d) The minimum requirements for high school graduation in light of the 23
expected outcomes for students and schools set forth in KRS 158.6451. The 24
minimum requirements shall not include achieving any postsecondary 25
readiness indicator as described in KRS 158.6455 or any minimum score on a 26
statewide assessment administered under KRS 158.6453. Student scores from 27 UNOFFICIAL COPY 24 RS BR 487
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any assessment administered under KRS 158.6453 that are determined by the 1
department's technical advisory committee to be valid and reliable at the 2
individual level shall be included on the student transcript. The department's 3
technical advisory committee shall submit its determination to the 4
commissioner of education and the Legislative Research Commission; 5
(e) The requirements for an alternative high school diploma for students with 6
disabilities whose individualized education program indicates that, in 7
accordance with 20 U.S.C. sec. 1414(d)(1)(A): 8
1. The student cannot participate in the regular statewide assessment; and 9
2. An appropriate alternate assessment has been selected for the student 10
based upon a modified curriculum and an individualized course of 11
study; 12
(f) Taking and keeping a school census, and the forms, blanks, and software to be 13
used in taking and keeping the census and in compiling the required reports. 14
The board shall create a statewide student identification numbering system 15
based on students' Social Security numbers. The system shall provide a 16
student identification number similar to, but distinct from, the Social Security 17
number, for each student who does not have a Social Security number or 18
whose parents or guardians choose not to disclose the Social Security number 19
for the student; 20
(g) Sanitary and protective construction of public school buildings, toilets, 21
physical equipment of school grounds, school buildings, and classrooms. The 22
administrative regulation shall: 23
1. Include [With respect to ]physical standards of sanitary and protective 24
construction for school buildings[, the Kentucky Board of Education 25
shall adopt] using the Uniform State Building Code; 26
2. Be subject to a review and update process that occurs at least every 27 UNOFFICIAL COPY 24 RS BR 487
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five (5) years. The department shall consult with education, building 1
design, and construction professionals while conducting the review 2
and update; 3
3. Require prior approval for a school district's purchase of real 4
property. The local board of education shall submit a request to 5
purchase property to the commissioner of education or designee. The 6
commissioner of education or designee shall approve or disapprove 7
the plan within thirty (30) days of submission. An approval shall be 8
reported to the Kentucky Board of Education. A local board of 9
education may appeal a disapproval to the Kentucky Board of 10
Education at the next regular meeting; and 11
4. Provide a process for a school district to request a waiver from 12
standards for plans and specifications a local board may wish to 13
submit under Section 1 of this Act. The request shall be submitted to 14
the commissioner of education or designee who shall approve or 15
disapprove the waiver within thirty (30) days of submission. A local 16
board of education may appeal a disapproval to the Kentucky Board of 17
Education at the next regular meeting; 18
(h) Medical inspection, physical and health education and recreation, and other 19
regulations necessary or advisable for the protection of the physical welfare 20
and safety of the public school children. The administrative regulations shall 21
set requirements for student health standards to be met by all students in 22
grades four (4), eight (8), and twelve (12) pursuant to the outcomes described 23
in KRS 158.6451. The administrative regulations shall permit a student who 24
received a physical examination no more than six (6) months prior to his or 25
her initial admission to Head Start to substitute that physical examination for 26
the physical examination required by the Kentucky Board of Education of all 27 UNOFFICIAL COPY 24 RS BR 487
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students upon initial admission to the public schools, if the physical 1
examination given in the Head Start program meets all the requirements of the 2
physical examinations prescribed by the Kentucky Board of Education; 3
(i) A vision examination by an optometrist or ophthalmologist that shall be 4
required by the Kentucky Board of Education. The administrative regulations 5
shall require evidence that a vision examination that meets the criteria 6
prescribed by the Kentucky Board of Education has been performed. This 7
evidence shall be submitted to the school no later than January 1 of the first 8
year that a three (3), four (4), five (5), or six (6) year-old child is enrolled in a 9
public school, public preschool, or Head Start program; 10
(j) 1. [Beginning with the 2010-2011 school year, ]A dental screening or 11
examination by a dentist, dental hygienist, physician, registered nurse, 12
advanced practice registered nurse, or physician assistant that shall be 13
required by the Kentucky Board of Education. The administrative 14
regulations shall require evidence that a dental screening or examination 15
that meets the criteria prescribed by the Kentucky Board of Education 16
has been performed. This evidence shall be submitted to the school no 17
later than January 1 of the first year that a five (5) or six (6) year-old 18
child is enrolled in a public school. 19
2. A child shall be referred to a licensed dentist if a dental screening or 20
examination performed by anyone other than a licensed dentist identifies 21
the possibility of dental disease; 22
(k) The transportation of children to and from school; 23
(l) The fixing of holidays on which schools may be closed and special days to be 24
observed, and the pay of teachers during absence because of sickness or 25
quarantine or when the schools are closed because of quarantine; 26
(m) The preparation of budgets and salary schedules for the several school 27 UNOFFICIAL COPY 24 RS BR 487
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districts under the management and control of the Kentucky Board of 1
Education; 2
(n) A uniform series of forms and blanks, educational and financial, including 3
forms of contracts, for use in the several school districts; 4
(o) The disposal of real and personal property owned by local boards of 5
education. An administrative regulation shall require prior approval for a 6
school district's disposal of real property. The local board of education shall 7
submit a request to dispose of the property to the commissioner of education 8
or designee. The commissioner of education or designee shall approve or 9
disapprove the disposal within thirty (30) days of submission. An approval 10
shall be reported to the Kentucky Board of Education. A local board of 11
education may appeal a disapproval to the Kentucky Board of Education at 12
the next regular meeting; and 13
(p) The development and implementation of procedures, for all students who are 14
homeless children and youths as defined in 42 U.S.C. sec. 11434a(2), to do 15
the following: 16
1. Awarding and accepting of credit, including partial credit, for all 17
coursework satisfactorily completed by a student while enrolled at 18
another school; 19
2. Allowing a student who was previously enrolled in a course required for 20
graduation the opportunity, to the extent practicable, to complete the 21
course, at no cost to the student, before the beginning of the next school 22
year; 23
3. Awarding a diploma, at the student's request, by a district from which 24
the student transferred, if the student transfers schools at any time after 25
the completion of the student's second year of high school and the 26
student is ineligible to graduate from the district to which the student 27 UNOFFICIAL COPY 24 RS BR 487
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transfers, but meets the graduation requirements of the district from 1
which the student transferred; and 2
4. Exempting the student from all coursework and other requirements 3
imposed by the local board of education that are in addition to the 4
minimum requirements for high school graduation established by the 5
Kentucky Board of Education pursuant to paragraph (d) of this 6
subsection in the district to which the student transfers, if the student 7
transfers schools at any time after the completion of the student's second 8
year of high school and the student is ineligible to graduate both from 9
the district to which the student transfers and the district from which the 10
student transferred. 11
(2) (a) At the request of a local board of education or a school council, a local school 12
district superintendent shall request that the Kentucky Board of Education 13
waive any administrative regulation promulgated by that board. Beginning in 14
the 1996-97 school year, a request for waiver of any administrative regulation 15
shall be submitted to the Kentucky Board of Education in writing with 16
appropriate justification for the waiver. The Kentucky Board of Education 17
may approve the request when the school district or school has demonstrated 18
circumstances that may include but are not limited to the following: 19
1. An alternative approach will achieve the same result required by the 20
administrative regulation; 21
2. Implementation of the administrative regulation will cause a hardship on 22
the school district or school or jeopardize the continuation or 23
development of programs; or 24
3. There is a finding of good cause for the waiver. 25
(b) The following shall not be subject to waiver: 26
1. Administrative regulations relating to health and safety; 27 UNOFFICIAL COPY 24 RS BR 487
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2. Administrative regulations relating to civil rights; 1
3. Administrative regulations required by federal law; and 2
4. Administrative regulations promulgated in accordance with KRS 3
158.6451, 158.6453, 158.6455, and this section, relating to measurement 4
of performance outcomes and determination of successful districts or 5
schools, except upon issues relating to the grade configuration of 6
schools. 7
(c) Any waiver granted under this subsection shall be subject to revocation upon 8
a determination by the Kentucky Board of Education that the school district or 9
school holding the waiver has subsequently failed to meet the intent of the 10
waiver. 11
(3) Any private, parochial, or church school may voluntarily comply with curriculum, 12
certification, and textbook standards established by the Kentucky Board of 13
Education and be certified upon application to the board by such schools. 14
(4) Any public school that violates the provisions of KRS 158.854 shall be subject to a 15
penalty to be assessed by the commissioner of education as follows: 16
(a) The first violation shall result in a fine of no less than one (1) week's revenue 17
from the sale of the competitive food; 18
(b) Subsequent violations shall result in a fine of no less than one (1) month's 19
revenue from the sale of the competitive food; 20
(c) "Habitual violations," which means five (5) or more violations within a six (6) 21
month period, shall result in a six (6) month ban on competitive food sales for 22
the violating school; and 23
(d) Revenue collected as a result of the fines in this subsection shall be 24
transferred to the food service fund of the local school district. 25
Section 3. KRS 156.095 is amended to read as follows: 26
(1) The Kentucky Department of Education shall establish, direct, and maintain a 27 UNOFFICIAL COPY 24 RS BR 487
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statewide program of professional development to improve instruction in the public 1
schools. 2
(2) Each local school district superintendent shall appoint a certified school employee 3
to fulfill the role and responsibilities of a professional development coordinator 4
who shall disseminate professional development information to schools and 5
personnel. Upon request by a school council or any employees of the district, the 6
coordinator shall provide technical assistance to the council or the personnel that 7
may include assisting with needs assessments, analyzing school data, planning and 8
evaluation assistance, organizing districtwide programs requested by school 9
councils or groups of teachers, or other coordination activities. 10
(a) The manner of appointment, qualifications, and other duties of the 11
professional development coordinator shall be established by Kentucky Board 12
of Education through promulgation of administrative regulations. 13
(b) The local district professional development coordinator shall participate in the 14
Kentucky Department of Education annual training program for local school 15
district professional development coordinators. The training program may 16
include, but not be limited to, the demonstration of various approaches to 17
needs assessment and planning; strategies for implementing long-term, 18
school-based professional development; strategies for strengthening teachers' 19
roles in the planning, development, and evaluation of professional 20
development; and demonstrations of model professional development 21
programs. The training shall include information about teacher learning 22
opportunities relating to the core content standards. The Kentucky Department 23
of Education shall regularly collect and distribute this information. 24
(3) The Kentucky Department of Education shall provide or facilitate optional, 25
professional development programs for certified personnel throughout the 26
Commonwealth that are based on the statewide needs of teachers, administrators, 27 UNOFFICIAL COPY 24 RS BR 487
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and other education personnel. Programs may include classified staff and parents 1
when appropriate. Programs offered or facilitated by the department shall be at 2
locations and times convenient to local school personnel and shall be made 3
accessible through the use of technology when appropriate. They shall include 4
programs that: address the goals for Kentucky schools as stated in KRS 158.6451, 5
including reducing the achievement gaps as determined by an equity analysis of the 6
disaggregated student performance data from the state assessment program 7
developed under KRS 158.6453; engage educators in effective learning processes 8
and foster collegiality and collaboration; and provide support for staff to 9
incorporate newly acquired skills into their work through practicing the skills, 10
gathering information about the results, and reflecting on their efforts. Professional 11
development programs shall be made available to teachers based on their needs 12
which shall include but not be limited to the following areas: 13
(a) Strategies to reduce the achievement gaps among various groups of students 14
and to provide continuous progress; 15
(b) Curriculum content and methods of instruction for each content area, 16
including differentiated instruction; 17
(c) School-based decision making; 18
(d) Assessment literacy; 19
(e) Integration of performance-based student assessment into daily classroom 20
instruction; 21
(f) Nongraded primary programs; 22
(g) Research-based instructional practices; 23
(h) Instructional uses of technology; 24
(i) Curriculum design to serve the needs of students with diverse learning styles 25
and skills and of students of diverse cultures; 26
(j) Instruction in reading, including phonics, phonemic awareness, 27 UNOFFICIAL COPY 24 RS BR 487
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comprehension, fluency, and vocabulary; 1
(k) Educational leadership; and 2
(l) Strategies to incorporate character education throughout the curriculum. 3
(4) The department shall assist school personnel in assessing the impact of professional 4
development on their instructional practices and student learning. 5
(5) The department shall assist districts and school councils with the development of 6
long-term school and district improvement plans that include multiple strategies for 7
professional development based on the assessment of needs at the school level. 8
(a) Professional development strategies may include but are not limited to 9
participation in subject matter academies, teacher networks, training institutes, 10
workshops, seminars, and study groups; collegial planning; action research; 11
mentoring programs; appropriate university courses; and other forms of 12
professional development. 13
(b) In planning the use of the four (4) days for professional development under 14
KRS 158.070, school councils and districts shall give priority to programs that 15
increase teachers' understanding of curriculum content and methods of 16
instruction appropriate for each content area based on individual school plans. 17
The district may use up to one (1) day to provide district-wide training and 18
training that is mandated by state or federal law. Only those employees 19
identified in the mandate or affected by the mandate shall be required to 20
attend the training. 21
(c) State funds allocated for professional development shall be used to support 22
professional development initiatives that are consistent with local school 23
improvement and professional development plans and teachers' individual 24
growth plans. The funds may be used throughout the year for all staff, 25
including classified and certified staff and parents on school councils or 26
committees. A portion of the funds allocated to each school council under 27 UNOFFICIAL COPY 24 RS BR 487
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KRS 160.345 may be used to prepare or enhance the teachers' knowledge and 1
teaching practices related to the content and subject matter that are required 2
for their specific classroom assignments. 3
(6) (a) [By August 1, 2010, ]The Kentucky Cabinet for Health and Family Services 4
shall post on its web page suicide prevention awareness information, to 5
include recognizing the warning signs of a suicide crisis. The web page shall 6
include information related to suicide prevention training opportunities 7
offered by the cabinet or an agency recognized by the cabinet as a training 8
provider. 9
(b) By September 15 of each year, every public school shall provide suicide 10
prevention awareness information in person, by live streaming, or via a video 11
recording to all students in grades six (6) through twelve (12). The 12
information may be obtained from the Cabinet for Health and Family Services 13
or from a commercially developed suicide prevention training program. 14
(c) 1. Each[Beginning with the 2018-2019] school year[, and every year 15
thereafter], a minimum of one (1) hour of high-quality suicide 16
prevention training, including the recognition of signs and symptoms of 17
possible mental illness, shall be required for all school district 18
employees with job duties requiring direct contact with students in 19
grades six (6) through twelve (12). The training shall be provided either 20
in person, by live streaming, or via a video recording and may be 21
included in the four (4) days of professional development under KRS 22
158.070. 23
2. When a staff member subject to the training under subparagraph 1. of 24
this paragraph is initially hired during a school year in which the 25
training is not required, the local district shall provide suicide prevention 26
materials to the staff member for review. 27 UNOFFICIAL COPY 24 RS BR 487
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(d) The requirements of paragraphs (b) and (c) of this subsection shall apply to 1
public charter schools as a health and safety requirement under KRS 2
160.1592(1). 3
(7) (a) By[ November 1, 2019, and] November 1 of each year[ thereafter], a 4
minimum of one (1) hour of training on how to respond to an active shooter 5
situation shall be required for all school district employees with job duties 6
requiring direct contact with students. The training shall be provided either in 7
person, by live streaming, or via a video recording prepared by the Kentucky 8
Department of Criminal Justice Training in collaboration with the Kentucky 9
Law Enforcement Council, the Kentucky Department of Education, and the 10
Center for School Safety and may be included in the four (4) days of 11
professional development under KRS 158.070. 12
(b) When a staff member subject to the training requirements of this subsection is 13
initially hired after the training has been provided for the school year, the 14
local district shall provide materials on how to respond to an active shooter 15
situation. 16
(c) The requirements of this subsection shall also apply to public charter schools 17
as a health and safety requirement under KRS 160.1592(1). 18
(8) (a) The Kentucky Department of Education shall develop and maintain a list of 19
approved comprehensive evidence-informed trainings on child abuse and 20
neglect prevention, recognition, and reporting that encompass child physical, 21
sexual, and emotional abuse and neglect. 22
(b) The trainings shall be web-based[Web-based] or in-person and cover, at a 23
minimum, the following topics: 24
1. Recognizing child physical, sexual, and emotional abuse and neglect; 25
2. Reporting suspected child abuse and neglect in Kentucky as required by 26
KRS 620.030 and the appropriate documentation; 27 UNOFFICIAL COPY 24 RS BR 487
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3. Responding to the child; and 1
4. Understanding the response of child protective services. 2
(c) The trainings shall include a questionnaire or other basic assessment tool upon 3
completion to document basic knowledge of training components. 4
(d) Each local board of education shall adopt one (1) or more trainings from the 5
list approved by the Department of Education to be implemented by schools. 6
(e) All current school administrators, certified personnel, office staff, 7
instructional assistants, and coaches and extracurricular sponsors who are 8
employed by the school district shall complete the implemented training or 9
trainings[ by January 31, 2017, and then] every two (2) years[ after]. 10
(f) All school administrators, certified personnel, office staff, instructional 11
assistants, and coaches and extracurricular sponsors who are employed by the 12
school district[ hired after January 31, 2017,] shall complete the implemented 13
training or trainings within ninety (90) days of being hired and then every two 14
(2) years after. 15
(g) Every public school shall prominently display the statewide child abuse 16
hotline number administered by the Cabinet for Health and Family Services, 17
and the National Human Trafficking Reporting Hotline number administered 18
by the United States Department for Health and Human Services. 19
(9) The Department of Education shall establish an electronic consumer bulletin board 20
that posts information regarding professional development providers and programs 21
as a service to school district central office personnel, school councils, teachers, and 22
administrators. Participation on the electronic consumer bulletin board shall be 23
voluntary for professional development providers or vendors, but shall include all 24
programs sponsored by the department. Participants shall provide the following 25
information: program title; name of provider or vendor; qualifications of the 26
presenters or instructors; objectives of the program; program length; services 27 UNOFFICIAL COPY 24 RS BR 487
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provided, including follow-up support; costs for participation and costs of 1
materials; names of previous users of the program, addresses, and telephone 2
numbers; and arrangements required. Posting information on the bulletin board by 3
the department shall not be viewed as an endorsement of the quality of any specific 4
provider or program. 5
(10) The Department of Education shall provide training to address the characteristics 6
and instructional needs of students at risk of school failure and most likely to drop 7
out of school. The training shall be developed to meet the specific needs of all 8
certified and classified personnel depending on their relationship with these 9
students. The training for instructional personnel shall be designed to provide and 10
enhance skills of personnel to: 11
(a) Identify at-risk students early in elementary schools as well as at-risk and 12
potential dropouts in the middle and high schools; 13
(b) Plan specific instructional strategies to teach at-risk students; 14
(c) Improve the academic achievement of students at risk of school failure by 15
providing individualized and extra instructional support to increase 16
expectations for targeted students; 17
(d) Involve parents as partners in ways to help their children and to improve their 18
children's academic progress; and 19
(e) Significantly reduce the dropout rate of all students. 20
(11) The department shall establish teacher academies to the extent funding is available 21
in cooperation with postsecondary education institutions for elementary, middle 22
school, and high school faculty in core disciplines, utilizing facilities and faculty 23
from universities and colleges, local school districts, and other appropriate agencies 24
throughout the state. Priority for participation shall be given to those teachers who 25
are teaching core discipline courses for which they do not have a major or minor or 26
the equivalent. Participation of teachers shall be voluntary. 27 UNOFFICIAL COPY 24 RS BR 487
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(12) The department shall annually provide to the oversight council established in KRS 1
15A.063, the information received from local schools pursuant to KRS 158.449. 2
(13) The department shall establish a program of professional development, and 3
maintain a list of other entities that have notified the department of available 4
similar professional development offerings, for district personnel to receive 5
training on facilities management, facilities construction and renovation project 6
management, and district property acquisition, management, and disposition. 7
Districts shall use the program to help develop the professional capacities of 8
personnel. 9
Section 4. KRS 157.420 is amended to read as follows: 10
Public school funds made available to the credit of each district during any year shall be 11
received, held, and expended by the district board, subject to the provisions of law and 12
administrative regulations of the Kentucky Board of Education. The following 13
restrictions shall govern the expenditure of funds from the public school fund: 14
(1) The salary paid any rank of teachers shall be at least equivalent to the amount set 15
forth in the biennial budget schedule for each rank and experience for a term of one 16
hundred eighty-five (185) days for full-time service during the regular school year. 17
(2) Beginning with the 2004-2006 biennium, the Kentucky Board of Education shall 18
not approve any working budget or salary schedule for local boards of education for 19
any school year unless the one hundred eighty-five (185) day salary schedule for 20
certified staff has been adjusted over the previous year's salary schedule by a 21
percentage increase at least equal to the cost-of-living adjustment that is provided 22
state government workers under the biennial budget. The base funding level in the 23
program for support education excellence in Kentucky as defined in KRS 157.320 24
shall be increased by the statewide dollar value of the annual required cost-of-living 25
percentage adjustment that shall be estimated on the sum of the previous year's 26
statewide teachers' salaries. 27 UNOFFICIAL COPY 24 RS BR 487
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(3) A district that compensates its teachers or employees for unused sick leave at the 1
time of retirement, pursuant to KRS 161.155, may create an escrow account to 2
maintain the amount of funds necessary to pay teachers or employees who qualify 3
for receipt of the benefit. The fund is limited to not more than fifty percent (50%) of 4
the maximum liability for the current year to be determined according to the 5
number of staff employed by the district on September 15. Interest generated by the 6
account shall be calculated as part of the total amount. The funds shall not be used 7
for any purpose other than compensation for unused sick leave at the time of 8
retirement and shall not be considered as part of the general fund balance in 9
determining available local revenue for purposes of KRS 157.620. 10
(4) (a) The per pupil capital outlay allotment for each district from the public school 11
fund and from local sources shall be kept in a separate account and may be 12
used by the district only for capital outlay projects[ approved by the 13
commissioner of education in accordance with requirements of law, and] 14
based on the district facilities plan[a survey] made in accordance with 15
administrative regulations of the Kentucky Board of Education. These funds 16
shall be used for the following capital outlay purposes: 17
1. For direct payment of construction costs; 18
2. For debt service on voted and funding bonds; 19
3. For payment or lease-rental agreements under which the board 20
eventually will acquire ownership of a school plant; 21
4. For the retirement of any deficit resulting from overexpenditure for 22
capital construction, if such deficit resulted from an emergency declared 23
by the Kentucky Board of Education under KRS 160.550; and 24
5. As a reserve fund for the above-named purposes, to be carried forward 25
in ensuing budgets. 26
(b) A district may [submit a request to the commissioner of education to ]use 27 UNOFFICIAL COPY 24 RS BR 487
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funds from the per pupil capital outlay allotment to purchase land for a new 1
school or to modify an existing school if the project is included on the 2
approved district facilities[facility] plan for completion within eight (8) years. 3
The land shall not be included in the calculation of the school district's unmet 4
need.[ The commissioner may grant or deny the district's request at his or her 5
discretion.] 6
(c) A district which has experienced an increase in adjusted average daily 7
attendance, as defined by administrative regulation, of twenty percent (20%) 8
or more over a five (5) year period may submit a request to the commissioner 9
of education to use capital outlay funds for the operation of a new school for 10
the first two (2) years following its opening. The commissioner may grant or 11
deny the district's request at his or her discretion. 12
(d) A local school district may submit a request to the commissioner of education 13
to use capital outlay funds for maintenance expenditures or for the purchase of 14
property insurance without forfeiting the district's participation in the School 15
Facilities Construction Commission program. Maintenance requests may 16
include other priorities that are not considered major renovations, such as 17
repair, renovation, or system upgrades that are necessary to maintain the 18
integrity of an existing school facility. 19
(e) A local district may use capital outlay funds to employ facility-related 20
personnel, as defined by the Kentucky Department of Education. 21
(5) The district may contribute capital outlay funds for energy conservation measures 22
under guaranteed energy savings contracts pursuant to KRS 45A.345, 45A.352, and 23
45A.353. Use of these funds, provided in KRS 45A.353, 56.774, and 58.600, shall 24
be based on the following: 25
(a) The energy conservation measures shall include facility alteration; 26
(b) The energy conservation measures shall be identified in the approved district 27 UNOFFICIAL COPY 24 RS BR 487
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facilities[district's approved facility] plan; 1
(c) The current facility systems are consuming excess maintenance and operating 2
costs; 3
(d) The savings generated by the energy conservation measures are guaranteed; 4
(e) The capital outlay funds contributed to the energy conservation measures shall 5
be defined as capital cost avoidance as provided in KRS 45A.345(2) and shall 6
be subject to the restrictions on usage as specified in KRS 45A.352(9); and 7
(f) The equipment that is replaced shall have exceeded its useful life as 8
determined by a life-cycle cost analysis. 9
(6) If any district has a special levy for capital outlay or debt service that is equal to the 10
capital outlay allotment or a proportionate fraction thereof, and spends the proceeds 11
of that levy for the above-named purposes, the commissioner of education under 12
administrative regulations of the Kentucky Board of Education, may authorize the 13
district to use all or a proportionate fraction of its capital outlay allotment for 14
current expenses. However, a district which uses capital outlay funds for current 15
expenses shall not be eligible to participate in the School Facilities Construction 16
Commission funds, except when the current expenditures are approved by the 17
commissioner of education under subsection (4)[(b) or ](c) of this section. 18
(7) If [a survey shows that ]a school district has no capital outlay needs as shown in 19
subsection (4)(a)1., 2., 3., and 4. of this section, upon approval of the commissioner 20
of education, these funds may be used for school plant maintenance, repair, 21
insurance on buildings, replacement of equipment, purchase of school buses, and 22
the purchase of modern technological equipment, including telecommunications 23
hardware, televisions, computers, and other technological hardware to be utilized 24
for educational purposes only. 25
(8) [In surveying the schools, ]The Department of Education shall regularly conduct a 26
review to designate each school facility as a permanent, functional, or transitional 27 UNOFFICIAL COPY 24 RS BR 487
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center. 1
(a) "Permanent center" means a center which meets the program standards 2
approved by the Kentucky Board of Education, is located so that students are 3
not subjected to an excessive amount of time being transported to the site, and 4
has established an attendance area which will maintain enrollment at capacity 5
but will also avoid overcrowding. 6
(b) "Functional center" means a center which does not meet all the criteria 7
established for a permanent facility, but is adequate to meet accreditation 8
program standards to insure no substantial academic or building deficiency. 9
[The facility plan shall include additions and renovations necessary to meet 10
current accreditation standards for which federal, state, and local funds may 11
be used.] 12
(c) "Transitional center" means a center which the local board of education has 13
determined shall no longer be designated permanent or functional. The center 14
shall be destined to be closed and shall not be eligible for new construction, 15
additions, or major renovation. However, the board of education shall 16
maintain any operating transitional center to provide a safe and healthy 17
environment for students. 18
(9) [Beginning in fiscal year 2011-2012, ]The Kentucky Department of Education shall 19
standardize the process for evaluating the overall quality and condition of all school 20
buildings across the state. The[ evaluation] process shall: 21
(a) Result in consistent categorization of buildings for local planning purposes 22
and for the distribution of state general fund moneys designated for capital 23
construction; 24
(b) Be based on measurable, objective criteria; 25
(c) Include numerical scoring with weights to recognize building components and 26
characteristics that address: 27 UNOFFICIAL COPY 24 RS BR 487
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1. Life safety issues; 1
2. Compliance with state and federal codes; 2
3. Compliance with requirements under the Americans with Disabilities 3
Act; 4
4. Community spaces; 5
5. Instructional areas; 6
6. Mechanical, electrical, plumbing, and other technology systems; 7
7. Site and exterior building conditions; 8
8. Age of the buildings; 9
9. Feasibility of building additions or major renovations; 10
10. The districts' facility capacities; 11
11. Current use of temporary facilities; and 12
12. Projected enrollment growth; and 13
(d) Use of a third-party evaluator that utilizes an already established software-14
based system to perform the first, base-line evaluation. 15
(10) The Kentucky Board of Education shall promulgate an administrative regulation 16
upon recommendation of the Kentucky Department of Education and the School 17
Facilities Construction Commission to implement subsection (9) of this section. 18
(11) Under administrative regulations promulgated by the Kentucky Board of 19
Education, each district shall use the review and evaluation established in 20
subsections (8) and (9) of this section to develop a district facilities plan to outline 21
facility needs, plan future construction and renovation, and prioritize needed 22
projects. The district facilities plan: 23
(a) Shall place each current facility or any future projected facility into 24
categorical priorities and develop a priority order of district facilities 25
projects; 26
(b) May place extracurricular facilities into any categorical priority; 27 UNOFFICIAL COPY 24 RS BR 487
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(c) Shall include any energy conservation measures planned under subsection 1
(5) of this section; 2
(d) Shall include any additions and renovations necessary for a school facility 3
rated as a functional center to meet current accreditation standards for 4
which federal, state, and local funds may be used; and 5
(e) Shall be submitted by the local board of education to the commissioner or 6
designee for approval. The commissioner or designee shall approve or 7
disapprove the plan within thirty (30) days of submission. An approved plan 8
shall be reported to the Kentucky Board of Education. A local board may 9
resubmit a disapproved plan with amendments or appeal the disapproval to 10
the Kentucky Board of Education at the next regular meeting. 11
(12) Notwithstanding the requirements for the district facilities plan under subsection 12
(11) of this section, if a local board determines that a school facility contains 13
levels of radon that expose students and district employees to danger, the board 14
may approve the process of abating the radon in the facility as an emergency 15
without amending the district facilities plan. The district may utilize funds 16
otherwise restricted to use for projects on the district facilities plan to conduct the 17
mitigation of the danger. 18
(13)[(11)] If a local school board authorized elementary, middle, or secondary education 19
classes in a facility of a historical settlement school on January 1, 1994, the board 20
shall continue to use the facilities provided by the settlement school if the facilities 21
meet health and safety standards for education facilities as required by 22
administrative regulations. The local school board and the governing body of the 23
settlement school shall enter into a cooperative agreement that delineates the role, 24
responsibilities, and financial obligations for each party. 25
(14)[(12)] Notwithstanding the provisions of subsections (4) and (6) of this section, a 26
local district that has requested a mid-year adjustment in the support education 27 UNOFFICIAL COPY 24 RS BR 487
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excellence in Kentucky funding under KRS 157.360(16) may request permission 1
from the commissioner of education to use capital outlay funds for the purchase of 2
school buses or to use the capital outlay funds for increased operational expenses 3
for the first three (3) years following the increased growth in the district without 4
forfeiture of the district's participation in the School Facilities Construction 5
Commission Program. The commissioner may grant or deny the district's request. 6
Section 5. KRS 157.440 is amended to read as follows: 7
(1) (a) Notwithstanding any statutory provisions to the contrary, effective for school 8
years beginning after July 1, 1990, the board of education of each school 9
district may levy an equivalent tax rate as defined in subsection (9)(a) of KRS 10
160.470 which will produce up to fifteen percent (15%) of those revenues 11
guaranteed by the program to support education excellence in Kentucky. The 12
levy for the 1990-91 school year shall be made no later than October 1, 1989, 13
and no later than October 1, 1990, for the 1991-92 school year, and by 14
October 1 of each odd-numbered year thereafter. Effective with the 1990-91 15
school year, revenue generated by this levy shall be equalized at one hundred 16
fifty percent (150%) of the statewide average per pupil assessment. 17
(b) To participate in the Facilities Support Program of Kentucky, the board of 18
education of each school district shall commit at least an equivalent tax rate of 19
five cents ($0.05) to debt service, new facilities, or major renovations of 20
existing school facilities, or the purchase of land[ if approved by the 21
commissioner of education as provided in KRS 157.420(4)(b)]. The five cents 22
($0.05) shall be in addition to the thirty cents ($0.30) required by KRS 23
160.470(9) and any levy pursuant to paragraph (a) of this subsection. The levy 24
shall be made no later than October 1 of each odd-numbered year. Eligibility 25
for equalization funds for the biennium shall be based on the district funds 26
committed to debt service on that date. The five cents ($0.05) shall be 27 UNOFFICIAL COPY 24 RS BR 487
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equalized at one hundred fifty percent (150%) of the statewide average per 1
pupil assessment. The equalization funds shall be committed to debt service to 2
the greatest extent possible, but any excess equalization funds not needed for 3
debt service shall be deposited to a restricted building fund account. The 4
funds may be escrowed for future debt service or used to address the priority 5
order[categorical priorities] listed in the approved district facilities plan 6
pursuant to Section 4 of this Act[KRS 157.420]. 7
(c) The board of education of each school district may contribute the levy 8
equivalent tax rate of five cents ($0.05) and equalization funds for energy 9
conservation measures under guaranteed energy savings contracts pursuant to 10
KRS 45A.345, 45A.352, and 45A.353. Use of these funds, as provided under 11
KRS 45A.353, 56.774, and 58.600 shall be based on the following guidelines: 12
1. Energy conservation measures shall include facility alteration; 13
2. Energy conservation measures shall be identified in the approved 14
district facilities[district's approved facility] plan pursuant to Section 4 15
of this Act[KRS 157.420]; 16
3. The current facility systems are consuming excess maintenance and 17
operating costs; 18
4. The savings generated by the energy conservation measures are 19
guaranteed; 20
5. The levy equivalent tax rate of five cents ($0.05) and equalization funds 21
contributed to the energy conservation measures shall be defined as 22
capital cost avoidance as provided in KRS 45A.345(2) and shall be 23
subject to the restrictions on usage as specified in KRS 45A.352(9); and 24
6. The equipment that is replaced has exceeded its useful life as 25
determined by a life cycle cost analysis. 26
(d) The rate levied by a district board of education under the provisions of this 27 UNOFFICIAL COPY 24 RS BR 487
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subsection shall not be subject to the public hearing provisions of KRS 1
160.470(7) or to the recall provisions of KRS 160.470(8). 2
(e) A school district which is at or above the equivalent tax rates permitted under 3
the provisions of the Kentucky Education Reform Act of 1990, 1990 Ky. Acts 4
ch. 476, shall not be required to levy an equivalent tax rate which is lower 5
than the rate levied during the 1989-90 school year. 6
(2) (a) A district may exceed the maximum provided by subsection (1) of KRS 7
160.470 provided that, upon request of the board of education of the district, 8
the county board of elections shall submit to the qualified voters of the 9
district, in the manner of submitting and voting as prescribed in paragraph (b) 10
of this subsection, the question whether a rate which would produce revenues 11
in excess of the maximum provided by subsection (1) of KRS 160.470 shall 12
be levied. The rate that may be levied under this section may produce revenue 13
up to no more than thirty percent (30%) of the revenue guaranteed by the 14
program to support education excellence in Kentucky plus the revenue 15
produced by the tax authorized by this section. Revenue produced by this levy 16
shall not be equalized with state funds. If a majority of those voting on the 17
question favor the increased rate, the tax levying authority shall, when the 18
next tax rate for the district is fixed, levy a rate not to exceed the rate 19
authorized by the voters. 20
(b) The election shall be held not less than fifteen (15) or more than thirty (30) 21
days from the time the request of the board is filed with the county clerk, and 22
reasonable notice of the election shall be given. The election shall be 23
conducted and carried out in the school district in all respects as required by 24
the general election laws and shall be held by the same officers as required by 25
the general election laws. The expense of the election shall be borne by the 26
school district. 27 UNOFFICIAL COPY 24 RS BR 487
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(3) For the 1966 tax year and for all subsequent years for levies which were approved 1
prior to December 8, 1965, no district board of education shall levy a tax at a rate 2
under the provisions of this section which exceeds the compensating tax rate as 3
defined in KRS 132.010, except as provided in subsection (4) of this section and 4
except that a rate which has been approved by the voters under this section but 5
which was not levied by the district board of education in 1965 may be levied after 6
it has been reduced to the compensating tax rate as defined in KRS 132.010, and 7
except that in any school district where the rate levied in 1965 was less than the 8
maximum rate which had been approved by the voters, the compensating tax rate 9
shall be computed and may be levied as though the maximum approved rate had 10
been levied in 1965 and the amount of revenue which would have been produced 11
from such maximum levy had been derived therefrom. 12
(4) Notwithstanding the limitations contained in subsection (3) of this section, no tax 13
rate shall be set lower than that necessary to provide such funds as are required to 14
meet principal and interest payments on outstanding bonded indebtedness and 15
payments of rentals in connection with any outstanding school revenue bonds 16
issued under the provisions of KRS Chapter 162. 17
(5) The chief state school officer shall certify the compensating tax rate to the levying 18
authorities. 19
Section 6. KRS 157.615 is amended to read as follows: 20
As used in KRS 157.611 to 157.640, unless the context requires otherwise: 21
(1) "Available local revenue" means the sum of the school building fund account 22
balance; the bonding potential of the capital outlay and building funds; and the 23
capital outlay fund account balance on June 30 of odd-numbered years. These 24
accounts shall be as defined in the manual for Kentucky school financial accounting 25
systems; 26
(2) "Board of education" means the governing body of a county school district or an 27 UNOFFICIAL COPY 24 RS BR 487
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independent school district; 1
(3) "Bonds" or "bonds of the commission" means bonds issued by the commission, or 2
issued by a city, county, or other agency or instrumentality of the Board of 3
Education, in accordance with KRS Chapter 162, payable as to principal and 4
interest from rentals received from a board of education or from the department 5
pursuant to a lease or from contributions from the commission, and constitute 6
municipal bonds exempt from taxation under the Constitution of the 7
Commonwealth; 8
(4) "Department" means the State Department of Education; 9
(5) "District technology plan" means the plan developed by the local district and the 10
Department of Education and approved by the Kentucky Board of Education upon 11
the recommendation of the Council for Education Technology; 12
(6) "Equivalent tax rate" means the rate which results when the income from all taxes 13
levied by the district for school purposes is divided by the total assessed value of 14
property plus the assessment for motor vehicles certified by the Department of 15
Revenue as provided by KRS 160.470; 16
(7) "Kentucky Education Technology System" means the statewide system set forth in 17
the technology master plan issued by the Kentucky Board of Education with the 18
recommendation of the Council for Education Technology and approved by the 19
Legislative Research Commission; 20
(8) "Lease" or "lease instrument" means a written instrument for the leasing of one (1) 21
or more school projects executed by the commission as lessor and a board of 22
education as lessee, or executed by the commission as lessor and the department as 23
lessee, as the case may be; 24
(9) "Lease/purchase agreement" means a lease between the school district or the 25
department and a vendor that includes an option to purchase the technology 26
equipment or software at the end of the lease period; 27 UNOFFICIAL COPY 24 RS BR 487
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(10) "Percentage discount" means the degree to which the commission will participate in 1
meeting the bond and interest redemption schedule required to amortize bonds 2
issued by the commission on behalf of a local school district; 3
(11) "Project" means a defined item of need to construct new facilities or to provide 4
major renovation of existing facilities which is identified on the [priority schedule 5
of the approved ]district facilities[school facilities] plan; 6
(12) "District[school] facilities plan" means the plan required by Section 4 of this 7
Act[developed pursuant to the survey specified by KRS 157.420 and by] and the 8
administrative regulations of the Kentucky Board of Education; 9
(13) "Technology master plan" means the long-range plan for the implementation of the 10
Kentucky Education Technology System as developed by the Council for Education 11
Technology and approved by the Kentucky Board of Education and the Legislative 12
Research Commission; 13
(14) "Unmet facilities need" means the total cost of new construction and major 14
renovation needs as shown by the approved district[school] facilities plan less any 15
available local revenue; 16
(15) "Unmet technology need" means the total cost of technology need as shown by the 17
approved technology plan of the local district; and 18
(16) "Eligible district" means any local school district having an unmet facilities need, as 19
defined in this section, in excess of one hundred thousand dollars ($100,000) or a 20
district qualifying for education technology funding. 21
Section 7. KRS 157.620 is amended to read as follows: 22
(1) To participate in the school construction funding program, the district must have 23
unmet needs as defined by KRS 157.615 and must meet the following eligibility 24
criteria: 25
(a) Commit at least an equivalent tax rate of five cents ($0.05) to debt service, 26
new facilities, or major renovations of existing school facilities as defined by 27 UNOFFICIAL COPY 24 RS BR 487
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KRS 157.440. A district that levies the five cents ($0.05) and has not accepted 1
an official offer of assistance from the School Facilities Construction 2
Commission, made pursuant to KRS 157.611, may use receipts from the levy 3
for other purposes as determined by the district board of education. 4
(b) On July 1 of odd-numbered years, the district board of education shall restrict 5
all available local revenue, as defined by KRS 157.615, for school building 6
construction, to be utilized in accordance with the priorities determined by the 7
most current approved district[school] facilities plan[ approved by the 8
Kentucky Board of Education]. 9
(2) Interest earned on restricted funds required by this section shall become a part of 10
the restricted funds. 11
(3) Funds restricted by the requirements of this section may be used by the district for 12
projects or a portion thereof as listed in priority order on the approved 13
district[school] facilities plan prior to receiving state funds. Any local school 14
district which is not an eligible district may be permitted, upon written application 15
to the Department of Education, to transfer funds restricted by KRS 157.611 to 16
157.640 for other school purposes. 17
(4) Not later than October 15 of the year immediately preceding an even-numbered 18
year regular session of the General Assembly, the Kentucky Board of Education 19
shall submit a statement to the School Facilities Construction Commission 20
certifying the following in each district: 21
(a) The amount of school facility construction needs in each district; 22
(b) The amount of available local revenue in each district; and 23
(c) That the district has or has not met the eligibility criteria established by 24
subsection (1) of this section. 25
(5) Construction needs shall be those needs specified in the approved district[school] 26
facilities plan[ approved by the Kentucky Board of Education] as of June 30 of the 27 UNOFFICIAL COPY 24 RS BR 487
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year preceding an even-numbered year regular session of the General Assembly. 1
Section 8. KRS 157.621 is amended to read as follows: 2
(1) In addition to the levy required by KRS 157.440(1)(b) to participate in the Facilities 3
Support Program of Kentucky, local school districts that have made the levy 4
required by KRS 157.440(1)(b) are authorized to levy the following additional 5
equivalent rates to support debt service, new facilities, or major renovations of 6
existing school facilities, which levies shall not be subject to recall under any 7
provision of the Kentucky Revised Statutes, or to voter approval under the 8
provisions of KRS 157.440(2): 9
(a) 1. Prior to April 24, 2008, local school districts that have experienced 10
student population growth during a five (5) year period may levy an 11
additional five cents ($0.05) equivalent rate for debt service and new 12
facilities. The tax rate levied by the district under this provision shall not 13
be equalized by state funding, except as provided in paragraph (b) of 14
this subsection. Any levy imposed under this paragraph prior to April 15
24, 2008, by a local school district shall continue until removed by the 16
local school district. 17
2. A local school district shall meet the following criteria in order to levy 18
the tax provided in subparagraph 1. of this paragraph: 19
a. Growth of at least one hundred fifty (150) students in average 20
daily attendance and three percent (3%) overall growth for the five 21
(5) preceding years; 22
b. Bonded debt to the maximum capability of at least eighty percent 23
(80%) of capital outlay from the Support Education Excellence in 24
Kentucky funding program, all revenue from the local facility tax, 25
and all receipts from state equalization on the local facility tax; 26
c. Current student enrollment in excess of available classroom space; 27 UNOFFICIAL COPY 24 RS BR 487
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and 1
d. The district facilities plan[A local school facility plan that] has 2
been approved by the Kentucky Board of Education and certified 3
to the School Facilities Construction Commission; 4
(b) 1. In addition to the levy authorized by paragraph (a) of this subsection, a 5
local school district may levy an additional five cents ($0.05) equivalent 6
rate under the same terms and conditions established by paragraph (a) of 7
this subsection beginning in fiscal year 2003-2004 if the levy was made 8
prior to April 24, 2008, and if the local school district: 9
a. Levied the five cents ($0.05) equivalent rate authorized by 10
paragraph (a) of this subsection; and 11
b. Still meets the requirements established by paragraph (a)2. of this 12
subsection. 13
2. Any school district that imposes both the levy authorized by paragraph 14
(a) of this subsection and the additional levy authorized by subparagraph 15
1. of this paragraph shall receive equalization funding from the state for 16
the levy imposed by paragraph (a) of this subsection beginning in fiscal 17
year 2003-2004. Equalization shall be provided at one hundred fifty 18
percent (150%) of the statewide average per pupil assessment, subject to 19
the provision of funding by the General Assembly. Equalization funds 20
shall be used as provided in KRS 157.440(1)(b). 21
3. Any levy imposed under this paragraph prior to April 24, 2008, by a 22
local school district shall continue until removed by the local school 23
district; and 24
(c) 1. A local school district that meets the following conditions may levy an 25
additional five cents ($0.05) equivalent rate on and after April 24, 2008: 26
a. The local school district is located in a county that will have more 27 UNOFFICIAL COPY 24 RS BR 487
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students as a direct result of the new mission established for Fort 1
Knox by the Base Realignment and Closure (BRAC) 2005 issued 2
by the United States Department of Defense pursuant to the 3
Defense Base Closure and Realignment Act of 1990, Pub. L. No. 4
100-526, Part A of Title XXIX of 104 Stat. 1808, 10 U.S.C. sec. 5
2687 note; and 6
b. The commissioner of education has determined, based upon the 7
presentation of credible data, that the projected increased number 8
of students is sufficient to require new facilities or the major 9
renovation of existing facilities to accommodate the new students, 10
and has approved the imposition of the additional levy. 11
2. Any local school district that imposes both the levy authorized by 12
paragraph (a) of this subsection and the additional levy authorized by 13
subparagraph 1. of this paragraph, and that has not received equalization 14
funding under subsection (2) or (3) of this section, shall receive 15
equalization funding from the state for the levy imposed by paragraph 16
(a) of this subsection beginning in the fiscal year following the fiscal 17
year in which the levy authorized by subparagraph 1. of this paragraph 18
is imposed. Equalization shall be provided at one hundred fifty percent 19
(150%) of the statewide average per pupil assessment, subject to the 20
provision of funding by the General Assembly. Equalization funds shall 21
be used as provided in KRS 157.440(1)(b). 22
3. Any levy imposed under this paragraph by a local school district shall 23
continue until removed by the local school district. 24
(2) (a) Any local school district that, prior to April 27, 2016, levied an equivalent rate 25
that: 26
1. Was subject to recall at the time it was levied; and 27 UNOFFICIAL COPY 24 RS BR 487
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2. Included a rate of at least five cents ($0.05) equivalent rate for the 1
purpose of debt service for school construction or major renovation of 2
existing school facilities; 3
shall be eligible for retroactive equalization from the state for that levy at one 4
hundred fifty percent (150%) of the statewide average per pupil assessment 5
beginning in fiscal year 2003-2004, subject to the fiscal condition of the 6
Commonwealth and the provision of funding by the General Assembly. 7
Equalization funds shall be used as provided in KRS 157.440(1)(b). 8
(b) It is the intent of the General Assembly that for levies described in this 9
subsection that are imposed on or after April 27, 2016, equalization funds, if 10
provided by the General Assembly, shall terminate upon the earlier of June 11
30, 2038, or the date the bonds for the local school district supported by this 12
equalization funding are retired. Equalization shall be subject to the fiscal 13
condition of the Commonwealth and the provision of funding by the General 14
Assembly. 15
(3) Any local school district that: 16
(a) Levied an equivalent tax rate as of April 24, 2008, that included at least ten 17
cents ($0.10) that was devoted to building purposes, or that had debt service 18
corresponding to a ten cents ($0.10) equivalent rate; 19
(b) Did not receive equalized growth funding pursuant to subsection (1)(b)2. of 20
this section; and 21
(c) Has been approved by the commissioner of education; 22
shall be eligible for equalization from the state for that levy at one hundred fifty 23
percent (150%) of the statewide average per pupil assessment beginning in fiscal 24
year 2005-2006, subject to the provision of funding by the General Assembly. 25
Equalization funds shall be used as provided in KRS 157.440(1)(b). Equalization 26
funds shall be available to a local school district pursuant to this subsection until the 27 UNOFFICIAL COPY 24 RS BR 487
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earlier of June 30, 2038, or the date the bonds for the local school district supported 1
by this equalization funding are retired. 2
(4) (a) Notwithstanding any other provision of this section, any local school district 3
receiving equalization funding prior to April 27, 2016, related to an equivalent 4
rate levy described in subsection (1), (2), (3), or (5) of this section shall 5
continue to receive the equalization funding related to the applicable 6
equivalent rate levy, subject to the limitations established by subsections (1), 7
(2), (3), and (5) of this section, and subject to the fiscal condition of the 8
Commonwealth and the provision of funding by the General Assembly, until 9
amended by subsequent action of the General Assembly. A local school 10
district described in this paragraph shall not be eligible to receive equalization 11
for any additional equivalent rate levies made by it on or after April 27, 2016. 12
(b) Notwithstanding any other provision of this section, any local school district 13
that has imposed an equivalent rate levy described in subsection (1)(a) or (b) 14
or (2) of this section prior to April 27, 2016, that qualifies for equalization but 15
that has not yet received equalization funding shall be eligible for equalization 16
funding as provided in subsection (1)(a) or (b) or (2) of this section, subject to 17
the provision of funding by the General Assembly. 18
(c) On and after April 24, 2008, a local school district not included in paragraph 19
(a) or (b) of this subsection shall be prohibited from imposing an equivalent 20
rate levy under the provisions of subsection (1)(a) or (b) of this section, and 21
shall not be eligible for equalization funding under the provisions of this 22
section. 23
(d) On and after April 24, 2008, a local school district meeting the requirements 24
of subsection (1)(c) of this section may impose the levy authorized by 25
subsection (1)(c) of this section, and shall qualify for equalization as provided 26
in subsection (1)(c) of this section, subject to the provision of funding by the 27 UNOFFICIAL COPY 24 RS BR 487
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General Assembly. 1
(5) (a) Any local school district that: 2
1. Had school facilities classified as Category 5 on May 18, 2010, by the 3
Kentucky Department of Education; and 4
2. Levied an additional five cents ($0.05) equivalent tax rate prior to April 5
27, 2016, for debt service, new construction, and major renovation 6
beyond the five cents ($0.05) equivalent tax rate required by KRS 7
157.440(1)(b), except as provided in paragraph (b) of this subsection; 8
shall be eligible for equalization from the state for that levy at one hundred 9
fifty percent (150%) of the statewide average per pupil assessment beginning 10
in the fiscal year following the fiscal year in which the levy was imposed. 11
This levy shall be subject to the recall provisions of KRS 132.017. 12
(b) School districts that levied a five cents ($0.05) equivalent tax rate for debt 13
service, new construction, and major renovation, beyond the rate required by 14
KRS 157.440(1)(b) prior to May 18, 2010, shall not be required to levy an 15
additional tax to receive the equalization funds provided in paragraph (a) of 16
this subsection. 17
(c) If the school district utilizes the equalization funds to support a bond issue for 18
construction purposes, equalization funds shall be provided until the earlier of 19
twenty (20) years or date the bonds are retired. 20
(d) In the event that a school district receives funding pursuant to this subsection 21
to support construction of a new school facility and subsequently, as a result 22
of litigation, receives funding for the same facility for which state funds were 23
provided, that school district shall reimburse the Commonwealth an amount 24
equal to the amount provided under paragraph (a) of this subsection. Any 25
funds received in this manner shall be deposited in the budget reserve trust 26
fund account established in KRS 48.705. 27 UNOFFICIAL COPY 24 RS BR 487
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Section 9. KRS 157.622 is amended to read as follows: 1
The School Facilities Construction Commission shall be governed by the following 2
procedures in providing assistance to school districts for construction purposes: 3
(1) Upon receipt of the certified statements from the Kentucky Board of Education as 4
required by KRS 157.620, the commission shall compute the unmet needs of all 5
eligible districts as defined by KRS 157.615; 6
(2) Assistance to each eligible district shall be determined by computing the ratio of the 7
available state funding to total unmet need statewide. Based on the computed ratio, 8
an equivalent percentage of each eligible district's unmet need will be funded; 9
(3) Each eligible district which has otherwise complied with the provisions of KRS 10
157.615 and 157.620 shall be offered sufficient funding to finance construction of 11
the portion of its unmet need computed by applying the ratio determined in 12
subsection (2) of this section to the total unmet need of the district. The funds shall 13
be applied to the projects listed on the most current approved district 14
facilities[facility] plan[ approved by the Kentucky Board of Education], and the 15
funds shall be applied to projects in the priority order listed on the plan. Exceptions 16
to the priority order of projects may be approved by the School Facilities 17
Construction Commission when it is documented by the local board of education 18
and approved by the Kentucky Board of Education upon the recommendation of the 19
chief state school officer that the school district's priority order of needs has 20
changed. The exceptions shall not alter the amount of the offer of assistance; 21
(4) The commission shall promulgate administrative regulations whereby an eligible 22
district which fails in any budget period to receive an allocation of state funds that 23
is sufficient to fund the district's priority project or portions thereof may accumulate 24
credit, subject to the availability of funds, for its unused state allocation for a period 25
not to exceed eight (8) years. Accumulation and retention of credit is contingent 26
upon the transfer of available local revenue to the restricted construction account by 27 UNOFFICIAL COPY 24 RS BR 487
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June 30 of each year; 1
(5) Except as provided in subsection (6) of this section, all unused state allocations 2
accumulated according to the provisions of subsection (3) of this section shall be 3
reallocated by the commission. The reallocation shall follow the process and intent 4
as set forth in this section with eligible districts being those districts which 5
contribute unused state allocations to the reallocation account. Any district which 6
has an unused state allocation after funding its first priority project in a biennium is 7
not eligible for consideration for additional funds from the reallocation account. 8
Any funding received and utilized from the reallocation account by a district shall 9
equally reduce the credit as set forth in this section; and 10
(6) Refinancing savings that have occurred since July 1, 1997, and subsequent savings 11
to the commission generated over the life of a bond by the local district's 12
refinancing of the bond shall be dedicated to the district's account by the 13
commission. Any funds accumulated in this account shall be used toward the 14
district's next priority, but shall not be deducted from the district's share of 15
commission funds under subsection (3) of this section. 16
Section 10. KRS 158.814 is amended to read as follows: 17
(1) In order to ensure that high-quality, relevant secondary career and technical 18
programs are available to students in all school districts that enable them to gain the 19
academic and technical skills to meet high school graduation requirements and for 20
successful transition to postsecondary education, work, or the military and to 21
support present-day and future needs of Kentucky employers, the Department of 22
Education shall: 23
(a) Review and revise as needed the equipment and facilities standards for each 24
career and technical education program identified and described in the career 25
and technical education supplement to the Kentucky program of studies and 26
published by the Department of Education; and 27 UNOFFICIAL COPY 24 RS BR 487
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(b) Determine the statewide unmet needs for career and technical education 1
capital projects, including renovations and expansions of existing facilities 2
and the construction of new technology centers, through a needs assessment 3
process. This process shall be tied to specific criteria in determining if the 4
current programs or career pathways offered in locally and state-operated 5
facilities are appropriate for the students in the school districts served as well 6
as for determining if new programs are needed. The statewide assessment of 7
capital needs for career and technical education shall be incorporated into the 8
district facilities plan of each local school district[ facility plan] as required 9
by Section 4 of this Act[KRS 157.420]. The Kentucky Board of Education 10
shall incorporate criteria within the administrative regulations relating to 11
district facilities[school facility] plan requirements to prioritize need for 12
career and technical education programming, regardless of whether the 13
programs are locally or state-operated. 14
(2) The Career and Technical Education Advisory Committee established in KRS 15
156.806 shall be consulted in carrying out the requirements of this section. 16
Section 11. KRS 160.105 is amended to read as follows: 17
The Kentucky Board of Education shall by regulation require each school district to: 18
(1) Provide for fire and extended insurance coverage on each building owned by the 19
board which is not surplus to its needs as shown by the approved district facilities 20
plan. The requirement for such coverage shall not exceed replacement cost and 21
shall allow for the features of coinsurance and deductibles; and 22
(2) Provide each certified employee of the district with primary liability insurance 23
coverage for an amount of not less than one million dollars ($1,000,000) for the 24
protection of the employee from liability arising in the course and scope of pursuing 25
the duties of employment. 26
Section 12. KRS 160.160 is amended to read as follows: 27 UNOFFICIAL COPY 24 RS BR 487
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(1) Each school district shall be under the management and control of a board of 1
education consisting of five (5) members, except in counties containing a city of the 2
first class wherein a merger pursuant to KRS 160.041 shall have been accomplished 3
which shall have seven (7) members elected from the divisions and in the manner 4
prescribed by KRS 160.210(5), to be known as the "Board of Education of ...., 5
Kentucky." Each board of education shall be a body politic and corporate with 6
perpetual succession. It may sue and be sued; make contracts; expend funds 7
necessary for liability insurance premiums and for the defense of any civil action 8
brought against an individual board member in his official or individual capacity, or 9
both, on account of an act made in the scope and course of his performance of legal 10
duties as a board member; purchase, receive, hold, and sell property; issue its bonds 11
to build and construct improvements; and do all things necessary to accomplish the 12
purposes for which it is created. Each board of education shall elect a chairman and 13
vice chairman from its membership in a manner and for a term prescribed by the 14
board not to exceed two (2) years. 15
(2) No board of education shall participate in any financing of school buildings, school 16
improvements, appurtenances thereto, or furnishing and equipment, including 17
education technology equipment without: 18
(a) First establishing the cost of the project in advance of financing, based on the 19
receipt of advertised, public, and competitive bids for such project, in 20
accordance with KRS Chapter 424; and 21
(b) Establishing the cost of financing in advance of the sale of any bonds, 22
certificates of participation in any leases, or other evidences of financial 23
commitments issued by or on behalf of such board. Any bonds, leases, 24
participations, or other financial arrangements shall not involve a final 25
commitment of the board until the purchaser or lender involved shall have 26
been determined by public advertising in accordance with KRS Chapter 424. 27 UNOFFICIAL COPY 24 RS BR 487
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(3) No board of education shall [make a mortgage, lien, or other encumbrance upon 1
any school building owned by the board, or ]transfer title to any [such ]school 2
building as part of any financing arrangement[,] without the specific approval of the 3
Department of Education, and without the transaction being entered into pursuant to 4
a detailed plan or procedure specifically authorized by Kentucky statute. 5
(4) [Without the approval of the Department of Education, ]No board may lease, as 6
lessee, a building or public facility that has been or is to be financed at the request 7
of the board or on its behalf through the issuance of bonds by another public body 8
or by a nonprofit corporation serving as an agency and instrumentality of the board, 9
or by a leasing corporation[. Any lease, participation, or other financial arrangement 10
shall not involve a final commitment of the board unless and until] unless the 11
purchaser or lender involved in same shall have been determined by public 12
advertising in accordance with KRS Chapter 424. No transaction shall be entered 13
into by the board except upon the basis of public advertising and competitive 14
bidding in accordance with KRS Chapter 424. 15
(5) Rental payments due by a board under a lease[ approved by the Department of 16
Education in accordance with] established under subsection (4) of this section shall 17
be due and payable not less than ten (10) days prior to the interest due date for the 18
bonds, notes, or other debt obligations issued to finance the building or public 19
facility. If a board fails to make a rental payment when due under a lease, upon 20
notification to the Department of Education by the paying agent, bond registrar, or 21
trustee for the bonds not less than three (3) days prior to the interest due date, the 22
Department of Education shall withhold or intercept any funds then due the board 23
to the extent of the amount of the required payment on the bonds and remit the 24
amount to the paying agent, bond registrar, or trustee as appropriate. Thereafter, the 25
Department of Education shall resolve the matter with the board and adjust 26
remittances to the board to the extent of the amount paid by the Department of 27 UNOFFICIAL COPY 24 RS BR 487
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Education on the board's behalf. 1
(6) Bonds, notes or leases negotiated to provide education technology shall not be sold 2
for longer than seven (7) years or the useful life of the equipment as established by 3
the state technology master plan, whichever is less. 4
(7) Notwithstanding any requirements of public advertising, competitive bidding, or 5
approval by the Department of Education, or any administrative regulation 6
promulgated pursuant to KRS 156.160(1)(o), a local board may authorize the 7
transfer or sale of the district's real or personal property to another governmental or 8
quasi-governmental agency in exchange for money or a similar type of property that 9
equals or exceeds the fair market value of the district property as determined by an 10
independent appraisal conducted by: 11
(a) An individual or organization not affiliated with the district or its officers or 12
employees, using a generally accepted national or professional standard; or 13
(b) A district's officers or employees using a nationally published valuation of 14
property based on the most recent edition of the publication. 15
Section 13. Whereas many of the provisions of 2022 Ky. Acts ch. 185, relating 16
to public school building projects, expire on June 30, 2024, and due to the ongoing 17
effects of inflation and delays on project costs, an emergency is declared to exist, and this 18
Act takes effect July 1, 2024. 19