RÉSUMÉ DIGEST
HCR 7 2017 Regular Session Nancy Landry
Provides for legislative approval of the minimum foundation program (MFP) formula for FY
2017-2018 to determine the cost of a minimum foundation program of education in all public
elementary and secondary schools as well as to equitably allocate the funds to local public
school systems as developed by the State Bd. of Elementary and Secondary Education
(BESE) and adopted by the board on May 11, 2017.
New formula (as compared to SCR 55 from the 2014 R.S., which was the formula in effect)
uses four levels to determine MFP funding allocations for city, parish, or other local public
school systems or schools as follows:
Level 1 - Calculate State and Local Cost Allocation
(1)Maintains use of Feb. 1 membership as defined by BESE and provides that each
student is counted as 1.0 in the formula.
(2)Provides that students counted are those enrolled in the following school districts and
schools:
• City and parish school systems
• Recovery School District Schools, both those operated by the district and
Type 5 charter schools
• State-approved public schools, including new Type 2 charter schools
(3)Maintains the existing weight of 22% for at-risk and English language learner
students.
(4)Maintains the existing weight of 6% for career and technical education course units.
(5)Maintains the existing weight of 150% for students with disabilities.
(6)Maintains the 60% existing weight for gifted and talented students.
(7)Maintains the economy of scale curvilinear weight of 20% for school systems with
a student membership of less than 7,500.
Retains state and local base cost per pupil amount of $3,961.
Continues to specify the proportion of the costs supported by the state and local school
systems as follows:
(1)Retains provisions that the calculation of the state and local school system share of
the total MFP cost includes a property tax revenue contribution, a sales tax revenue
contribution, and other local revenue contributions. Maintains a state and local
allocation ratio of 65%/35%.
(2)Retains requirement that the state share of the total Level 1 costs be at least 25% for
any district.
Level 2 - Incentive for Local Effort
(1)Retains provisions to provide rewards to school districts that contribute a greater
proportion of local revenue towards the cost of education.
(2)Continues to limit the revenue eligible for reward to the total state and local cost
multiplied by 34%.
(3)Continues provision that the Level 2 reward factor determines the amount of local
support required in Level 2. Maintains the Level 2 Incentive Factor at 1.72.
Level 3 -Legislative Allocations Retains Level 3 as "Legislative Allocations" as follows:
Continuation of Funding for Pay Raises
(1)Continues supplemental pay raises for certificated personnel initiated in 2001-2002,
2006-2007, 2007-2008, and 2008-2009 as a per pupil amount.
(2)Continues supplemental pay raises for noncertificated support workers initiated in
2002-2003, 2006-2007, and 2007-2008 as a per pupil amount.
(3)Adds THRIVE Academy and Type 3B charter schools to the list of schools eligible
for continuation of funding for pay raises.
Hold Harmless Enhancement
(1)Continues the 10-year phase-out of hold harmless funding for Concordia, East Baton
Rouge, Evangeline, Iberville, Jefferson, Plaquemines, St. Charles, St. James, and
West Feliciana parishes, beginning with a 10% reduction of the revised "over
funded" amount in FY 2007-2008.
(2)Retains provision that a hold harmless district may choose to reduce the remaining
balance by an amount greater than 10%.
(3)Retains provision that the annual 10% reduction amount will be redistributed to all
non-hold harmless districts on a per pupil basis.
Support for Increasing Mandated Costs in Health Insurance, Retirement, and Fuel
Continues provision that local school systems shall receive a per pupil funding
amount of $100 to support increasing mandated costs involving health insurance,
retirement, and fuel.
Level 4 - Supplementary Allocations
Foreign Language Associate Enhancement
(1)Retains the supplemental allocation of $21,000 for each Foreign Language Associate
or a graduate of the Escadrille Louisiane program employed. Retains provision that
the number of these teachers is not to exceed a total of 300 teachers. Specifies that
$1,000 of the amount is to be used toward the costs of VISA sponsorship.
(2)Retains requirement that these teachers be paid by the employing school board at
least the state average classroom teacher salary (without PIP) by years of experience
and degree beginning with year three. New formula additionally provides that the
supplemental allocation must be allocated to the school where the teacher is
employed and the funds used to support the total cost of the teacher's salary.
(3)Retains requirement that first year teachers be paid an installment incentive of an
additional $6,000 and that second and third year teachers shall receive a retention
incentive of an additional $4,000. Specifies that these amounts will be provided by
the employing school district.
Career Development Allocation
Supports technical courses required for statewide credentials. Retains that allocation
is equal to 6% of the base per pupil amount or for each qualifying course enrollment.
Each school system is to receive a minimum amount of $25,000 and other
state-approved public schools with students enrolled in grades 9-12 will receive a
minimum of $10,000 per school.
High Cost Services Assistance Allocation
Provides additional funds for students with disabilities. Retains that the total
allocation for public school systems versus other public schools shall be proportional to the share of total qualifying applications submitted by public school systems
versus other public schools. The allocation is limited by the amount budgeted for
such allocation.
Supplemental Course Allocation
Pursuant to existing law relative to the Course Choice Program, provides for the cost
of secondary course choices specifically approved by BESE. New formula retains the
allocation for each public school system and other public school and increases from
$26 to $59 the per student enrolled in grades 7-12.
Allocations for Other Public Schools
Provides for state cost allocation for LSU and SU Laboratory Schools and provides
that the funds for these schools shall be allocated to the institution of higher
education that operates the school.
Provides for state and local cost allocations for Legacy Type 2 charter schools.
Requires the state and local cost allocation to be based on the actual state per pupil
for the system where the student resides instead of the average per pupil amount for
the system where the school is located.
Provides for funding of office of juvenile justice schools.
Mid-Year Student Allocations
Provides for adjustments to the allocations based on mid-year student counts. Adds
THRIVE Academy, new Type 2 charter schools, and Type 3B charter schools.
70% Local General Fund Required Instructional Expenditure at the School Building Level
Retains the requirement that 70% of the local public school system or other public
school general fund expenditures must be in the areas of instruction and school
administration at the school building level.
Pay Raise Requirement
Eliminates the pay raise requirement which required a city, parish, or local public
school system or other public school with a net increase from 2013-2014 to 2014-
2015 in its per student Level 1 and 2 state cost allocation to sustain the certificated
classroom teacher pay raises provided by appropriation in 2013-2014.
Emergency Assistance
(1)Provides for funding assistance for city, parish, and other local public school systems
or schools for the significant loss of students as a result of a natural disaster if
specified criteria are met.
(2)Provides that the 2017-2018 MFP state allocation for a school district in which a
military base is located will be held constant if there is a deployment of a brigade
combat team or a combination of units of about the same size from such military
base on or before Sept. 30, 2017.