UNOFFICIAL COPY 24 RS BR 1560 Page 1 of 8 XXXX 2/9/2024 8:39 AM Jacketed AN ACT relating to career and technical education funding, making an 1 appropriation therefor, and declaring an emergency. 2 Be it enacted by the General Assembly of the Commonwealth of Kentucky: 3 SECTION 1. KRS 157.069 IS REPEALED AND REENACTED TO READ 4 AS FOLLOWS: 5 (1) As used in this section: 6 (a) "Approved career and technical education dual credit" means earning a 7 grade of "C" or higher for a Kentucky Department of Education approved 8 career and technical education dual credit course equivalent to three (3) 9 hours of college credit; 10 (b) "Administrative operations costs" means costs associated with the 11 operations and staffing of a state-operated area technology center, 12 including but not limited to personnel, facility costs, building utilities and 13 maintenance, and custodial and office supplies; 14 (c) "Approved career and technical education pathway" means a four (4) 15 course career and technical education pathway approved by the Kentucky 16 Department of Education that provides a coherent, articulated sequence of 17 rigorous academic and career-related courses within a career and technical 18 education program area, and leads to an associate degree, an industry-19 recognized certificate or license, or a baccalaureate or higher degree; 20 (d) "Concentrator" means a student who has completed at least two (2) courses 21 in a single career and technical education pathway; 22 (e) "Converted career and technical education center" means a center 23 providing locally operated career and technical education for which a local 24 district assumed authority from the state for the management and control of 25 the center during the 2020-2021, 2021-2022, or 2022-2023 academic years; 26 (f) "General-cost career and technical education program" means a career 27 UNOFFICIAL COPY 24 RS BR 1560 Page 2 of 8 XXXX 2/9/2024 8:39 AM Jacketed and technical education program or pathway in which high-cost technical 1 equipment, materials, or facilities are not required; 2 (g) "General-cost full-time equivalents" means the total number of secondary 3 students enrolled in general-cost career and technical education programs, 4 multiplied by the number of hours those students are enrolled, and divided 5 by six (6) hours; 6 (h) "High-cost career and technical education program" means a career and 7 technical education program or pathway in which high-cost equipment, 8 materials, or facilities are required; 9 (i) "Locally operated career and technical education" means a district 10 program that provides secondary students with one (1) or more approved 11 career and technical education pathways; 12 (j) "State-operated area technology center" means a state-operated secondary 13 school facility with the primary purpose of offering approved career and 14 technical education pathways; 15 (k) "Technical skill attainment" means earning an industry-recognized 16 certification, licensure, or credential as identified by the Kentucky 17 Workforce Innovation Board pursuant to KRS 158.6455(1)(e) or passing an 18 end-of-program assessment for articulated postsecondary credit as 19 designated by the Kentucky Department of Education Office of Career and 20 Technical Education; 21 (l) "Weighted high-cost full-time equivalents" means the total number of 22 secondary students enrolled in high-cost career and technical education 23 programs, multiplied by the number of credit hours in which those students 24 are enrolled, divided by six (6) hours, and multiplied by one and one-half 25 (1.5); and 26 (m) "Work-based learning program" means a cooperative education program, 27 UNOFFICIAL COPY 24 RS BR 1560 Page 3 of 8 XXXX 2/9/2024 8:39 AM Jacketed internship, or registered apprenticeship within the student's chosen 1 approved career and technical education pathway. 2 (2) The Kentucky Department of Education shall provide funds from the 3 department's annual general fund appropriation to support the administrative 4 operations cost of area technology centers and converted career and technical 5 education centers. 6 (3) For converted career and technical education centers, beginning with fiscal year 7 2024-2025, the Kentucky Department of Education shall deduct from funds 8 designated for the area technology centers an amount equal to the administrative 9 operations costs of each converted career and technical education center in the 10 amount received by the center in the most recent fiscal year that the center was 11 under state management and control. The funds for each converted career and 12 technical education center shall be divided as follows: 13 (a) Seventy-five percent (75%) of the funds shall be sent to the local district that 14 has assumed management and control of the center; and 15 (b) Twenty-five percent (25%) of the funds shall be sent to the career and 16 technical education innovation and support fund established in subsection 17 (4) of this section. 18 (4) (a) There is hereby established in the State Treasury a restricted fund to be 19 known as the career and technical education innovation and support fund 20 to receive the funds allocated under subsection (3)(b) of this section. The 21 fund shall consist of moneys received from state appropriations, gifts, 22 grants, and federal funds. The fund shall be administered by the Office of 23 Career and Technical Education. Amounts deposited in the fund shall be 24 used for: 25 1. Supporting innovation in new or emerging career fields; 26 2. Supporting state-operated area technology centers that may 27 UNOFFICIAL COPY 24 RS BR 1560 Page 4 of 8 XXXX 2/9/2024 8:39 AM Jacketed experience hardship or natural disasters; 1 3. Personnel costs to provide technical assistance to local districts 2 providing locally operated career and technical education, including 3 technical assistance relating to the monitoring and oversight on the 4 use of supplemental career and technical education funding; and 5 4. Any other purposes reasonably related to improving student outcomes 6 in career and technical education. 7 (b) Notwithstanding KRS 45.229, fund amounts not expended at the close of a 8 fiscal year shall not lapse but shall be carried forward into the next fiscal 9 year. 10 (c) Moneys deposited in the fund are hereby appropriated for the purposes set 11 forth in paragraph (a) of this subsection and shall not be appropriated or 12 transferred by the General Assembly for any other purposes. 13 (5) Beginning with the 2024-2025 fiscal year and for each fiscal year thereafter, the 14 Kentucky Department of Education shall distribute to local boards of education 15 providing locally operated career and technical education and state-operated area 16 technology centers all general funds designated to supplement career and 17 technical education programs. 18 (a) A local district providing locally operated career and technical education or 19 a state-operated area technology center shall maintain eligibility for receipt 20 of federal funding pursuant to the Strengthening Career and Technical 21 Education for the 21st Century Act, Pub. L. No. 115-224, to be eligible to 22 receive supplemental funding pursuant to this subsection. 23 (b) All supplemental funds distributed pursuant to this subsection shall be used 24 to improve student outcomes in career and technical education pathways for 25 students in grades nine (9) through twelve (12), including but not limited to 26 student supplies, resources, materials, and equipment that is designed for 27 UNOFFICIAL COPY 24 RS BR 1560 Page 5 of 8 XXXX 2/9/2024 8:39 AM Jacketed enhanced quality of instruction in a career and technical education 1 pathway, the purchase and maintenance of industry standard equipment, 2 assisting students with achieving technical skill attainment, and supporting 3 career and technical student organization participation. 4 (c) 1. Supplemental funds for career and technical education shall be 5 divided and allocated to each local district providing locally operated 6 career and technical education and each area technology center with 7 sixty percent (60%) dedicated for enrollment-based funding and forty 8 percent (40%) for incentive-based funding. 9 2. The sixty percent (60%) enrollment-based funding shall be based on a 10 statewide full-time equivalent calculation of the total weighted high-11 cost full-time equivalents and general cost full-time equivalents during 12 the prior school year. 13 a. The department shall then distribute the enrollment-based funds 14 for each area technology center or local district providing locally 15 operated career and technical education based on the center's or 16 district's proportional share of the combined weighted high-cost 17 full-time equivalents and general-cost full-time equivalents of 18 the prior year. 19 b. The department shall distribute the area technology center fund 20 portion to the respective area technology centers and the local 21 district fund portion to the respective local districts. 22 c. The department shall classify qualifying programs as either a 23 high-cost career and technical education program or a general-24 cost career and technical education program. 25 3. The forty percent (40%) incentives-based funding shall be based on an 26 annual statewide calculation of the total number of qualifying student 27 UNOFFICIAL COPY 24 RS BR 1560 Page 6 of 8 XXXX 2/9/2024 8:39 AM Jacketed incentives. The calculation shall only use students that are in grade 1 twelve (12) and use the total incentives earned by those students 2 during secondary education at a state-operated area technology center 3 or within a local district. Once a student has been included in a year’s 4 calculation, that student shall not be included in any subsequent 5 year’s calculation. 6 a. Qualifying student incentives for students in their grade twelve 7 (12) year shall include: 8 i. Reaching the designation of a concentrator; 9 ii. Technical skill attainment; 10 iii. Completing a required number of hours or achieving a 11 benchmark within a work-based learning program; and 12 iv. Earning an approved career and technical education dual 13 credit. 14 b. The incentives in subdivision a. of this subparagraph shall be 15 allotted to the area technology center or local district in which it 16 was earned. Each type of incentive shall only be counted once 17 per student at state-operated area technology centers and once 18 per student at local districts for a maximum of four (4) incentives 19 per student at state-operated area technology centers and four 20 (4) incentives at local districts throughout their secondary career 21 and technical education. For incentive criteria that is achieved 22 more than once at area technology centers, the incentive shall be 23 counted for the area technology center where it was first 24 achieved. For incentive criteria that is achieved more than once 25 at local districts, the incentive shall be counted for the local 26 district where it was first achieved. 27 UNOFFICIAL COPY 24 RS BR 1560 Page 7 of 8 XXXX 2/9/2024 8:39 AM Jacketed c. The department shall distribute incentives-based funds for each 1 area technology center or local district based on the center's or 2 district's proportional share of the combined number of 3 qualifying student incentives achieved by students in grade 4 twelve (12) at a state-operated area technology center or within a 5 local district throughout their secondary career and technical 6 education. The incentives-based funds shall be distributed to the 7 area technology center or local district in which the incentive 8 was achieved. 9 d. The department shall distribute the area technology center fund 10 portion to the respective area technology centers and the local 11 district fund portion to the respective local districts. 12 (d) There shall be no mid-year adjustment to the allocation of career and 13 technical education supplemental funding for a center or local district. 14 (e) Notwithstanding the restriction in paragraph (b) of this subsection, a district 15 may submit a waiver request to the Office of Career and Technical 16 Education to use a portion of its allocation of supplemental funds for career 17 and technical education programming for students in grades (5) through 18 eight (8). The district shall submit a request which details the district's plan 19 for career and technical education programming for students in grades five 20 (5) through eight (8). In reviewing the request, the Office of Career and 21 Technical Education shall consider whether: 22 1. The district details a plan for orientation and exploration of broad-23 based industries by giving students knowledge and experience 24 regarding careers within these industries and exploratory or hands-on 25 skills used in the industry; 26 2. There is direct alignment between middle and secondary career and 27 UNOFFICIAL COPY 24 RS BR 1560 Page 8 of 8 XXXX 2/9/2024 8:39 AM Jacketed technical education pathways within the requesting district; and 1 3. Such designation of supplemental funding for programming for 2 students in grades five (5) through eight (8) does not have a 3 significant detrimental impact on the programming available for 4 students in secondary grades. 5 (6) The Office of Career and Technical Education shall monitor and provide 6 oversight of state funds distributed pursuant to this section to ensure that the use 7 of funding by eligible recipients meets the approved criteria as described in this 8 section. 9 (7) The Kentucky Board of Education shall promulgate such administrative 10 regulations in accordance with KRS Chapter 13A as may be needed in the 11 administration of this section and for disbursement of moneys from the funds. 12 Section 2. Whereas it is critical to ensure that funding for career and technical 13 education reflects student enrollment and successful outcomes in workforce preparation, 14 an emergency is declared to exist, and this Act takes effect on July 1, 2024. 15