2021 Regular Session ENROLLED
SENATE CONCURRENT RESOL UTION NO. 2
BY SENATOR FIELDS
Prefiled pursuant to Article III, Section 2(A)(4)(b)(i) of the Constitution of Louisiana.
A CONCURRENT RESOL UTION
To provide for legislative approval of the formula developed by the State Board of
Elementary and Secondary Education pursuant to Article VIII, Section 13(B) of the
Constitution of Louisiana 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 parish and city school systems, and adopted by the board on
May 12, 2021.
WHEREAS, the minimum foundation program formula for the 2021-2022 Fiscal
Year as adopted by the State Board of Elementary and Secondary Education on May 12,
2021, reads as follows:
PROPOSED
FY 2020-2021 MINIMUM FOUNDATION PROGRAM FORMULA
The FY 2021-2022 Minimum Foundation Program (MFP) formula was adopted by
the State Board of Elementary and Secondary Education on May 12, 2021. The
formula determines allocations for city, parish, or other public school systems or
schools. The definition of city, parish, or local public school systems and schools
shall include city or parish school systems, Recovery School District including direct
operated and Type 5 charter schools, Louisiana School for Math, Science, and the
Arts (LSMSA), New Orleans Center for Creative Arts (NOCCA), Thrive Academy,
New Type 2 Charter schools, Legacy Type 2 Charter schools, Type 3B Charter
schools, Office of Juvenile Justice (OJJ) schools, and Louisiana State University,
Southern University, and University of Louisiana at Lafayette Lab schools. The
formula is divided into four calculations as follows:
Level 1 determines the minimum cost of education based on the education
needs of each student. The cost includes funding for students enrolled in city
and parish school systems, Recovery School District direct operated and
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Type 5 Charter schools, New Type 2 Charter schools, and Type 3B Charter
schools. The cost is then shared equitably between the State and the city and
parish school systems based on the ability of the systems to support
education in their communities through local sales and property tax revenues.
Level 2 provides an incentive for city and parish school systems to support
education in their communities above the minimum level of financial support
required.
Level 3 provides specific legislative education funding to city, parish, or
other local public school systems or schools for Continuation of Certificated
and Support Worker pay raises, the Historical Formula Allocation, and
Mandated Operating Costs.
Level 4 provides additional funding including:
! Supplementary funding to meet specific needs at city, parish,
or other local school systems and schools including
International Associate Teacher Salary and Stipends
Allocation, Career Development Allocation, High Cost
Services Allocation, Supplemental Course Allocation,
Certificated and Support Staff Pay Raise Allocations, and
Certified Mentor Teacher Stipend Allocations.
! Allocations for State-approved public school systems or
schools including Legacy Type 2 Charter schools, Louisiana
State University, Southern University, and University of
Louisiana at Lafayette Lab schools, New Orleans Center for
Creative Arts (NOCCA), Louisiana School for Math, Science,
and the Arts (LSMSA), Thrive Academy, and Office of
Juvenile Justice (OJJ) schools.
! Mid-Year Allocation Adjustments to account for mid-year
increases and decreases in students in all city, parish, or other
local public school systems or schools.
State MFP funds shall only be expended for educational purposes.
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Expenditures for educational purposes are those expenditures related to the
operational and instructional activities of city, parish, or other public school
systems or schools to include: instructional programs, pupil support
programs, instructional staff programs, school administration, general
administration, business services, operations and maintenance of plant
services, student transportation services, food services operations, enterprise
operations, community services operations, facility acquisition, and
construction services and debt services as defined by Louisiana Accounting
and Uniform Governmental Handbook, Bulletin 1929.
I. FORMULA CALCULATIONS
A. Level 1: Calculate State and Local Cost Allocation
1. Determine Educational Costs
Eligible students from the following school systems and schools will be counted in
both the Base and Weighted Student Memberships:
a. City and parish school systems.
b. State-Approved Public Schools - The student counts of New Type 2
Charter Schools shall be included in the membership and weighted
student counts of the city or parish school system in which the
student resides.
c. Recovery School District - The student membership and weighted
student counts of schools transferred to the Recovery School District,
both direct operated and Type 5 Charter schools, shall continue to be
included in the membership and weighted student counts of the city
or parish school system from which jurisdiction of the school was
transferred.
STEP ONE: Determine the Number of Eligible Students for the Base Count
The formula first counts each of the students enrolled on February 1 to determine the
cost of education services. The formula utilizes the February 1 Student Membership
Count to allocate funding beginning in July. The students eligible to be counted are
identified in the Student Membership Definition adopted by the State Board of
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Elementary and Secondary Education. These students are counted as one (1.0) in the
formula.
STEP TWO: Determine the Number of Students Eligible for the Weighted
Student Count
The formula recognizes that providing educational services to meet the needs of
particular students is more costly than regular educational services. Each special
characteristic or need is given a numerical value referred to as a weight. The special
needs of each student are taken into consideration by multiplying the student count
for each eligible child (1.0) by each of the weights. This calculation provides
additional students that are then added to the February 1 Student Membership Count
to equal the Total Weighted Student Membership Count. The students and units
eligible to be counted are identified in the Student Membership Definition adopted
by the State Board of Elementary and Secondary Education. The following are the
additional costs recognized by the formula:
Low Income and English Language Learner Weight - The formula recognizes
that students living in poverty or students with a native language other than English
are more likely to require additional educational services to be successful. To
recognize that these services require additional costs, students that qualify for free
or reduced price meals under the United States Department of Agriculture (USDA)
School Food Service Program guidelines, or an alternative count as defined in the
Student Membership Definition, and students identified as an English Language
Learner are provided a weight of 22%.
Career and Technical Education Weight - The formula recognizes that the cost of
providing materials and equipment, and teacher credentialing and training, for Career
and Technical Education courses is above and beyond the cost of traditional
academic education. Each secondary career and technical education course in which
a student is enrolled in both the fall and spring semesters is provided a weight of 6%.
Special Education Weight - The formula addresses the extra cost associated with
the delivery of services required in order to meet the needs of students with
disabilities. Students with disabilities that have an Individualized Education Program
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(IEP) plan developed according to State Board of Elementary and Secondary
Education regulations are provided a weight of 150%.
Gifted and Talented Weight - The formula recognizes the cost of providing
educational services to Gifted and Talented students that have an Individualized
Education Program (IEP) Plan developed according to State Board of Elementary
and Secondary Education regulations and are provided a 60% weight.
Economy of Scale Weight - This weight is provided for city or parish school
systems to recognize a base amount of funding for fixed overhead costs that should
be provided when student populations equal 7,500 students or less. The Economy of
Scale Weight is calculated as a curvilinear weight of 20% at a student membership
count of zero down to 0% at a student membership count equal to or greater than
7,500. To calculate this weight, the February 1 Student Membership Count for each
city and parish school system is subtracted from 7,500 and divided by 37,500. The
result of this calculation is then multiplied by each system's February 1 Student
Membership Count to determine the weighted students.
STEP THREE: Determine Total Weighted Student Membership Count
Formula:
Total Weighted Student Membership Count
Equals
February 1 Student Membership Count (1.0)
Plus
Low Income and English Language Learner Weight
Career and Technical Education Weight
Special Education Weight
Gifted and Talented Weight
Economy of Scale Weight
STEP FOUR: Identify the State and Local Base Cost Per Pupil
Formula:
The State and Local Base Cost Per Pupil shall equal $4,015.
STEP FIVE: Determine Total MFP Educational Costs
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Formula:
Total MFP Educational Costs
Equals
Total Weighted Student Membership Count
Multiplied by
State and Local Base Cost Per Pupil
2. Determine State and Local Cost Allocation
The Total MFP Educational Costs are shared between the State and the city or parish
school systems. The ability of school systems to support the cost of education in their
communities is measured by the potential to raise local revenue. This potential
contribution is measured by the following three factors using the latest available data
as reported through the Annual Financial Report (AFR) as required by R.S. 17:92.
1. Local Property Tax Revenue Contribution
2. Local Sales Tax Revenue Contribution
3. Other Local Revenue Contribution
STEP ONE: Determine the Local Property Tax Revenue Contribution
Formula:
Local Property Tax Revenue Contribution
Equals
State Computed Property Tax Millage (debt and non-debt)
Times
Net Assessed Property Value
Net Assessed Property Value Increase Cap - If a school system's Net Assessed
Property Value has increased equal to or greater than 10% over the prior year Net
Assessed Property Value, then the growth in the Net Assessed Property Value is
capped at 10%. This cap is applied on a year-to-year basis comparing the current
year Net Assessed Property Value to the prior year uncapped Net Assessed Property
Value.
Computed Property Tax Millage - The Computed Property Tax Millage is calculated
annually at the rate necessary to maintain a state and local allocation ratio of
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65%/35%.
STEP TWO: Determine the Local Sales Tax Revenue Contribution
Formula:
Local Sales Tax Revenue Contribution
Equals
Computed Sales Tax Base (debt and non-debt) (including TIF areas)
Multiplied By
State Computed Sales Tax Rate
Mid-Year Rate Increases - If a local school system's sales tax goes into effect
during the fiscal year, the tax rate is prorated to an annual rate applicable for the total
revenue generated.
Sales Tax Increase Cap - If a system's Computed Sales Tax Base increased equal
to or greater than 15% over the Computed Sales Tax Base calculated in the prior year
formula, then the growth in the Computed Sales Tax Base will be capped at 15%
over the amount used in the prior year formula. This cap will be applied on a
year-to-year basis comparing the current year sales tax base to the prior year
uncapped sales tax base.
Computed Sales Tax Rate - The Computed Sales Tax Rate is calculated annually
at the rate necessary to maintain a state and local allocation ratio of 65%/35%.
STEP THREE: Determine Other Local Revenue Contribution
Formula:
Other Local Revenue Contribution
Equals
State Revenue in lieu of taxes
Plus
Federal Revenue in lieu of taxes
Plus
50% of Earnings on Property
STEP FOUR: Determine Local Cost Allocation
Formula:
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Local Cost Allocation
Equals
Property Tax Contribution
Plus
Sales Tax Contribution
Plus
Other Revenues Contribution
STEP FIVE: Determine State Cost Allocation
Formula:
State Cost Allocation
Equals
Total State and Local Cost
Minus
Local Cost Allocation
Minimum State Cost Allocation - In no event shall the State Cost Allocation be less
than 25% of Total Level 1 Cost for any city or parish school system.
B. Level 2: Incentive for Local Effort
Level 2 provides incentives for city and parish school systems that contribute a
greater proportion of local revenues towards the cost of education in their
communities by increasing local property and sales tax revenues. This effort is
measured using the latest available data for the following sources of revenue as
reported in the Annual Financial Report (AFR) as required in R.S. 17:92.
1. Total Sales Taxes
2. Total Property Taxes
3. State and Federal Revenue in Lieu of Taxes
4. 50% Earnings on Property Revenue
STEP ONE: Determine Eligible Local Revenue
Formula:
Eligible Local Revenue
Equals
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Total Sales Tax Revenue
Plus
Total Property Tax Revenue
Plus
State and Federal Revenue in Lieu of Taxes
Plus
50% of Earnings on Property Revenue
STEP TWO: Determine Local Revenue Eligible for Incentive
Formula:
Local Revenue Eligible for Incentive
Equals
Eligible Local Revenue
Minus
Local Cost Allocation
STEP THREE: Determine the Limit on Revenue Eligible for Incentive
Formula:
Limit on Revenue Eligible for Incentive
Equals
Total State and Local Cost Allocation Multiplied by 34%
STEP FOUR: Determine Local Support of Level 2 Incentive
Formula:
Local Support of Level 2 Incentive
Equals
Lesser of Local Revenue Eligible for Incentive or Limit on Local
Revenue Eligible for Incentive
Multiplied by
Local Cost Allocation Percentage (Level 1)
Multiplied by
Level 2 Incentive Factor
Level 2 Incentive Factor - The Level 2 Incentive Factor determines the amount of
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local support required in Level 2. In FY 2014-2015, the Level 2 Incentive Factor is
established at 1.72.
STEP FIVE: Determine State Cost of Level 2 Incentive
Formula:
State Support of Level 2 Incentive
Equals
Lesser of Local Revenue Eligible for Incentive or Limit on Local
Revenue Eligible for Incentive
Minus
Local Support of Level 2 Incentive
C. Level 3: Legislative Allocations
Level 3 provides funding for three programs that address funding for school systems
and schools regarding teacher and support worker pay raises, historical formula
allocations, and mandated operating costs, and are in addition to allocations provided
in Level 1 and 2. These allocations are as follows:
Formula:
Total Level 3 Legislative Allocations
Equals
Continuation Pay Raises
Plus
Historical Formula Allocation
Plus
Mandated Costs in Health Insurance, Retirement, and Fuel
STEP ONE: Calculate Continuation Funding for Pay Raises
1. Certificated Personnel Pay Raises were implemented in four recent years to
assist in increasing Teacher and School Leader pay to the Southern Regional
Average. These funds continue to be provided directly to systems and schools to
support these increased salaries.
a. Certificated Personnel Pay Raises provided in 2001-2002, 2006-2007,
2007-2008, and 2008-2009 will continue for each school system and school
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based on the calculated per pupil amount times the February 1 Student
Membership Count.
2. Non-certificated Support Worker Pay Raises were implemented in three
recent years to assist with increasing these salaries.
a. Non-certificated Support Worker Pay Raises provided in 2002-2003,
2006-2007, and 2007-2008 will continue for each school system and school
based on the calculated per pupil amount times the February 1 Student
Membership Count.
3. This provision applies to city and parish school systems, Recovery School
District, New Orleans Center for Creative Arts (NOCCA), Louisiana School for
Math, Science, and the Arts (LSMSA), Thrive Academy, Legacy Type 2 Charter
Schools, New Type 2 Charter Schools, Type 3B Charter Schools, Louisiana State
University, Southern University, and University of Louisiana at Lafayette Lab
schools, and Office of Juvenile Justice (OJJ).
STEP TWO: Calculate Historical Formula Allocations
Allocations for Insurance and Pay Raises - The following school systems
are being provided continuing funding for the 1994 insurance supplement
and employee pay raises provided by the Legislature beginning in 1997
through 1999: East Baton Rouge, Iberville, Jefferson, Lafayette,
Plaquemines, Pointe Coupee, St. Charles, St. James, and West Feliciana.
Redistribution Allocation - After setting aside the insurance and pay raise
funding, the balance of the "Hold Harmless" funding was removed from
these school districts over ten years from 2006-2007 to 2016-2017:
Concordia, East Baton Rouge, Evangeline, Iberville, Jefferson, Plaquemines,
St. Charles, St. James, and West Feliciana.
The amount of funding removed from the districts listed above is reserved
and redistributed to the remaining city, parish or other local public school
systems or schools. The total amount is divided by the total number of
students within these same city, parish or other local public school systems
or schools to calculate a per pupil amount. The allocation is determined using
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the per pupil amount multiplied by the current year student count.
STEP THREE: Determine Allocation for Increasing Mandated Costs in Health
Insurance, Retirement, and Fuel
City, parish or other local public school systems or schools shall receive a
minimum of $100.00 for each student in the prior year February 1
membership to offset these increasing operational costs.
The following formula is applied to determine the Level 1, 2, and 3 State Cost
Allocation Per Pupil:
Formula:
Level 1, 2, and 3 State Cost Allocation Per Pupil
Equals
Level 1 State Cost Allocation Per Pupil
Plus
Level 2 State Cost Allocation Per Pupil
Plus
Level 3 State Cost Allocation Per Pupil
D. Level 4: Supplementary Allocations
1. Specific Needs Allocations
Specific Needs Allocations provide funding for four allocations for specific purposes
and is in addition to system level allocations from Levels 1, 2, and 3. These
allocations are as follows:
Formula:
Total Level 4 Supplementary Allocations
Equals
International Language Associate Program Salary and Stipend
Allocation
Plus
Career Development Allocation
Plus
High Cost Services Assistance Allocation
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Plus
Supplemental Course Allocation
Plus
2019-20 Certificated and Non-Certificated Pay Raises
Plus
2020-21 Certificated and Non-Certificated Pay Raises
STEP ONE: Calculate International Language Associate Salary and Stipend
Allocation
Salary Allocation - Any city, parish, or other public school system or school
employing an International Language Associate or a graduate of the Escadrille
Louisiane program shall receive a supplemental allocation from State Board of
Elementary and Secondary Education of $21,000 per teacher. The state shall
maintain support of the International Language Associate program at a maximum of
300 International Language Associates employed in any given year.
These teachers shall be paid by the employing city, parish, or other local
public school system or school at least the state average classroom teacher salary
(without PIP) by years of experience and degree beginning with year three. Of the
$21,000 allocation, $20,000 shall be allocated to the school where the teacher is
employed and the funds used to support the total cost of the teacher salary, and the
remaining amount shall be associated with costs of VISA sponsorship pursuant to
State Board of Elementary and Secondary Education regulations.
Stipend Allocation - First year teachers will receive an installation incentive
of an additional $6,000; second and third year teachers will receive a retention
incentive of an additional $4,000. These amounts must be provided to each
International Associate Teacher or Escadrille Louisiane graduate by each school
district or school in which they are employed.
STEP TWO: Career Development Allocation
The cost of providing materials and equipment and teacher credentialing and
training to attain a statewide industry-based credential is above and beyond the cost
typically required for high school courses. An allocation will be provided to support
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the development of these technical courses required for statewide credentials in city
and parish school systems and other public schools.
The first step in the allocation is to calculate six percent (6%) of the MFP
State and Local Base Cost Per Pupil to determine the Career Development Per Pupil
Amount. The Career Development Per Pupil Amount will be provided for each
qualifying student course enrollment in grades 9 through 12.
If a city or parish school system receives less than $25,000 from the Career
Development Per Pupil Amount, then the city or parish school system will be
provided an economies of scale minimum allocation of $25,000. If other public
school systems and schools containing grades 9 through 12 receive less than $10,000
from the Per Pupil Amount, then the other public school systems and schools
containing grades 9 through 12 will be provided an economies of scale minimum
allocation of $10,000.
Formula:
Career Development Allocation Per Pupil
Equals
MFP State and Local Base Cost Per Pupil
Multiplied By
Six Percent (6%)
Formula:
Career Development Allocation
Equals
Career Development Allocation Per Pupil
Multiplied By
Qualifying Student Course Enrollments
in Grades 9 through 12
STEP THREE: Calculate High Cost Services Assistance
High cost services for students with disabilities generate a particular budget
challenge for city, parish, and other public school systems and schools.
In an effort to assist with these expenses, an allocation will be provided to
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city, parish, and other public school systems and schools which submit
documentation as required by the Louisiana Department of Education substantiating
that the prior year cost of services for a specific student exceeds three times the most
recent state average total expenditure per pupil amount.
Once costs associated with providing services for a student with a disability
or disabilities have been verified, the city or parish school system or other public
school will be eligible to receive an allocation to assist with these costs. The
allocation will be limited by the amount budgeted for the High Cost Services
Assistance Allocation. So as to be equitably distributed, the total allocation provided
to city and parish school systems versus other public schools shall be proportional
to the share of total qualifying applications submitted by city and parish school
systems versus other public schools.
The first step in the allocation will be to calculate the impact of these costs
on the budget of the school system or school using the latest available state and local
revenue data. The High Cost Services requested for reimbursement will be reduced
by the MFP state and local amount allocated on behalf of each student from Levels
1, 2, and 3. The next step will rank the Percent (%) Impact from highest to lowest
percent, with two separate rank listings for school systems and other public schools.
Formula:
Percent (%) Impact on Budget
Equals
Cost of Services
Divided By
Total State and Local Revenue
The two ranked listings will be divided into four tiers and allocations will be
provided based on a percentage from one hundred percent reimbursement in the
highest funded tier with smaller percentages reimbursed in the lower tiers based on
where the school system or school falls within the tiers on one of the two lists.
STEP FOUR: Calculate Supplemental Course Allocation
Pursuant to R.S. 17:4002.1 through 4002.6, the Supplemental Course
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Allocation shall provide for the cost of secondary course choices specifically
approved by the State Board of Elementary and Secondary Education. For each city
and parish school system and other public school, the allocation shall equal the
number of students enrolled in grades 7 through 12 as of February 1 each year
multiplied by $59 per pupil.
Formula:
Supplemental Course Allocation for School Systems or Other Public
Schools
Equals
Supplemental Course Allocation Per Pupil
Multiplied By
Number of Students in Grades 7 through 12
If the entire allocation is not committed by the city or parish public school
systems or other public school by a date set forth by the Louisiana Department of
Education, the original allocation will be reduced by the uncommitted amount. The
total uncommitted amount from each city or parish public school systems or other
public school will be reallocated to those city or parish public school systems or
other public schools that obligated one hundred percent of their original allocation
based on criteria set forth by the Louisiana Department of Education.
STEP FIVE: Calculate 2019-20 Certificated and Non-Certificated Pay Raises
1. Certificated Personnel Pay Raise
Each city, parish, or other public school district or school shall receive
$1,000 plus the current year annual retirement contribution rate as
established for the Teachers' Retirement System of Louisiana in the actuarial
valuation approved by the Public Retirement Systems' Actuarial Committee
based on the staffing data submitted to the official department personnel data
reporting system as of October 1 to provide an across the board $1,000 pay
raise and any associated retirement for K-12 classroom educators and other
certificated K-12 personnel defined per Louisiana Department of Education
Bulletin 1929 to include:
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Teachers (all function codes 1000-2200s, object code 112);
Therapists/Specialists/Counselors (function codes 1000-2200s, object
code 113); School Site-based Principals, Assistant Principals, and
Other School Administrators (function code 2400s, object code 111);
Central Office Certificated Administrators (function codes 1000-2200
& 2324, 2831, and 2832 (excluding 2130s), object code 111); School
Nurses (function code 2134, object code 118); and Sabbaticals
(function codes 1000-2200s, 2134, and 2400s, object code 140).
2. Non-Certificated Personnel Pay Raise
Each city, parish, or other public school district or school shall receive $500
plus the current year annual retirement contribution rate as established for the
Louisiana School Employees' Retirement System in the actuarial valuation
approved by the Public Retirement Systems' Actuarial Committee based on
the staffing data submitted to the official department personnel data reporting
system as of October 1 to provide an across the board $500 pay raise and
associated retirement for non-certificated K-12 personnel defined per
Louisiana Department of Education Bulletin 1929 to include:
Aides (function codes 1000-4900s, object code 115); Support
Supervisors (function codes 2130s, 2300s (excluding 2311, 2321,
2324, 2831 and 2832) and 2500-4900s, object code 111);
Clerical/Secretarial (function codes 1000-4900s, object code 114);
Service Workers (function codes 1000-4900s, object code 116);
Skilled Craftsmen (function codes 1000-4900s, object code 117);
Degreed Professionals (function codes 1000-4900s, (excluding
2134s) object code 118); and Other Personnel (function codes
1000-4900s, object codes 100, 110 and 119).
STEP SIX: Calculate 2021-22 Certificated and Non-Certificated Pay Raises
1. Certificated Personnel Pay Raise
Each city, parish, or other public school district or school shall receive $800
plus the current year annual retirement contribution rate as established for the
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Teachers' Retirement System of Louisiana in the actuarial valuation approved
by the Public Retirement Systems' Actuarial Committee based on the staffing
data submitted to the official department personnel data reporting system as
of October 1 to provide an across the board $800 pay raise and any
associated retirement for K-12 classroom educators and other certificated
K-12 personnel defined per Louisiana Department of Education Bulletin
1929 to include:
Teachers (all function codes 1000-2200s, object code 112);
Therapists/Specialists/Counselors (function codes 1000-2200s, object
code 113); School Site-based Principals, Assistant Principals, and
Other School Administrators (function code 2400s, object code 111);
Central Office Certificated Administrators (function codes 1000-2200
& 2324, 2831, and 2832 (excluding 2130s), object code 111); School
Nurses (function code 2134, object code 118); and Sabbaticals
(function codes 1000-2200s, 2134, and 2400s, object code 140).
2. Non-Certificated Personnel Pay Raise
Each city, parish, or other public school district or school shall receive $400
plus the current year annual retirement contribution rate as established for the
Louisiana School Employees' Retirement System in the actuarial valuation
approved by the Public Retirement Systems' Actuarial Committee based on
the staffing data submitted to the official department personnel data reporting
system as of October 1 to provide an across the board $400 pay raise and
associated retirement for non-certificated K-12 personnel defined per
Louisiana Department of Education Bulletin 1929 to include:
Aides (function codes 1000-4900s, object code 115); Support
Supervisors (function codes 2130s, 2300s (excluding 2311, 2321,
2324, 2831 and 2832) and 2500-4900s, object code 111);
Clerical/Secretarial (function codes 1000-4900s, object code 114);
Service Workers (function codes 1000-4900s, object code 116);
Skilled Craftsmen (function codes 1000-4900s, object code 117);
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Degreed Professionals (function codes 1000-4900s, (excluding
2134s) object code 118); and Other Personnel (function codes
1000-4900s, object codes 100, 110 and 119).
2. Allocations for Other Public Schools
STEP ONE: Louisiana State University, Southern University, and University
of Louisiana at Lafayette Laboratory Schools
1. State Cost Allocation
a. The February 1 Student Membership count at the Louisiana
State University, Southern University, and University of Louisiana at
Lafayette Lab Schools shall be multiplied by the Average State Cost
Allocation Per Pupil to equal the Louisiana State University, Southern
University, and University of Louisiana at Lafayette Lab Schools State Cost
Allocation.
b. Funds appropriated for these schools shall be allocated to the
institution of higher education operating such a school. Each such institution
of higher education shall ensure the equitable expenditure of such funds to
operate such schools.
STEP TWO: Legacy Type 2 Charter Schools
A Legacy Type 2 Charter school is a Type 2 Charter school approved by the State
Board of Elementary and Secondary Education before July 1, 2008.
1. State Cost Allocation
a. Any Legacy Type 2 Charter school shall annually be allocated
funds as determined by applying the formula contained in R.S. 17:3995.
b. The State Cost Allocation equals the number of students
multiplied by the State Per Pupil for the system where the student resides.
2. Local Cost Allocation
a. Any Legacy Type 2 Charter school shall annually be allocated
funds as determined by applying the formula contained in R.S. 17:3995.
b. The Local Cost Allocation equals the number of students
multiplied by the Local Per Pupil for the system where the student resides.
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c. For any student enrolled in a Legacy Type 2 Charter school,
the Local Cost Allocation shall be funded by the State.
3. The exclusion of any portion of local revenues specifically dedicated
by the legislature or by voter approval to capital outlay or debt
service shall be applicable only to a charter school housed in a
facility or facilities provided by the district in which the charter
school is located.
STEP THREE: Office of Juvenile Justice (OJJ) Schools
1. Eligible Schools - Any elementary and secondary school operated by
the Office of Juvenile Justice (OJJ) in a secure care facility shall be
considered a public elementary or secondary school and, as such, the
Office of Juvenile Justice (OJJ) shall be annually appropriated funds
for these students.
2. Eligible Students - Each student counted in the prior year average
daily membership, as defined by the State Board of Elementary and
Secondary Education in the Student Membership Definition, is
calculated by dividing the number of days the student is under the
guidance and direction of teachers by the total instructional days
during the specified school year.
3. Allocation - The Office of Juvenile Justice (OJJ) shall annually be
allocated funds for the eligible students. For each student enrolled in
these schools, both a State Cost Allocation and a Local Cost
Allocation shall be provided.
4. State Cost Allocation
a. The State Cost Allocation is equal to the State Cost Allocation
Per Pupil for the system where each student resided prior to
adjudication multiplied by the prior year average daily membership
of the Office of Juvenile Justice schools.
b. The State Cost Allocation Per Pupil allocation shall be
adjusted based on a factor determined by the Louisiana Department
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of Education to provide for the differential in the number of
educational days provided to the students in the custody of the Office
of Juvenile Justice (OJJ).
c. Additionally, the State Cost Allocation Per Pupil shall be
adjusted based on a factor determined by the Louisiana Department
of Education to recognize the increased number of special education
students in the Office of Juvenile Justice (OJJ) schools relative to the
state average special education student population.
d. The average daily membership will be reconciled on an
annual basis using the latest available data.
5. Local Cost Allocation
a. Each student counted in the prior year average daily
membership, as defined by the State Board of Elementary and
Secondary Education, shall be provided for and funded from the
minimum foundation program a Local Cost Allocation Per Pupil
equal to the Local Cost Allocation Per Pupil for the district where the
student resided prior to adjudication.
b. The Local Cost Allocation is equal to the Local Cost
Allocation Per Pupil for the system where each student resided prior
to adjudication multiplied by the prior year average daily
membership of the Office of Juvenile Justice schools.
c. For the purpose of the Local Cost Allocation Per Pupil, the
average daily membership of the Office of Juvenile Justice (OJJ)
shall be included in the membership counts of the city, parish, or
other local public school board in which the student resided prior to
adjudication to the Office of Juvenile Justice.
d. For a district(s) that shares local revenue, the allocation for
the Office of Juvenile Justice will be completed before the
calculation of local revenues.
e. The Local Cost Allocation Per Pupil shall be funded with a
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transfer of the MFP monthly amount representing the Local Cost
Allocation Per Pupil from the city, parish, or other local public school
board in which the attending students resided prior to adjudication to
the Office of Juvenile Justice (OJJ).
f. The average daily membership will be reconciled on an
annual basis using the latest available data.
3. Mid-Year Student Allocations
a. Student counts in October and February may result in
mid-year allocation adjustments for the following: city and parish
school systems, Recovery School District, New Type 2 Charter
schools, Legacy Type 2 Charter schools, Type 3B Charter schools,
Louisiana State University, Southern University, and University of
Louisiana at Lafayette Lab schools, Louisiana School for Math,
Science and the Arts (LSMSA), New Orleans Center for Creative
Arts (NOCCA), and Thrive Academy.
b. If the current year October 1 Mid-Year Student Count is more
or less than the prior year February 1 student count, an adjustment to
the current year allocation shall be made for each student gained or
lost. The October adjustment equals the number of students gained
or lost times the annual State Cost per pupil allocation amount for the
system or school in which the change occurred. The February
adjustment equals the number of students gained or lost times
one-half of the State Cost per pupil allocation for the system or
school in which the change occurred.
c. Individual adjustments shall be made for increases or
decreases in the October or February Mid-Year Student Counts for
the Recovery School District, the system of prior jurisdiction, and
Type 5 Charter schools.
d. Mid-Year adjustments for the Recovery School District shall
utilize the final State Cost per pupil allocation for the system of prior
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jurisdiction.
e. If the Recovery School District qualifies for an October
Mid-Year Adjustment to the State Cost per pupil allocation, a
Mid-Year adjustment shall also be made to the Local Cost per pupil
allocation for the system of prior jurisdiction. The October Local
Cost per pupil allocation shall be recalculated based on updated
revenue data for the system of prior jurisdiction. There shall be no
recalculation of the Local Cost per pupil allocation in conjunction
with the February 1 student count.
f. City, Parish, or Local public school systems or schools in the
first year of operation are not eligible for an October Mid-Year
Adjustment. However, their allocation will be finalized using October
1 data. The newly opened city, parish, or local public school systems
or schools will qualify for the February 1 mid-year adjustment.
g. October and February Mid-Year Adjustments shall be
combined and applied in the March through June payments.
Total MFP State Cost Allocation
Formula:
Total MFP State Cost Allocation
Equals
Level 1 State Cost Allocation
Plus
Level 2 State Cost Allocation
Plus
Level 3 State Cost Allocation
Plus
Level 4 State Cost Allocation
II.FORMULA CALCULATIONS FOR STATE-APPROVED PUBLIC
SCHOOLS
A. Recovery School District
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1. State Cost Allocation
a. Once all final calculations are made, the final State Cost
Allocation Per Pupil Amount for the city or parish school system
which counted the Recovery School District students will be
multiplied by the February 1 Recovery School District Student
Membership Count to equal the Recovery School District State Cost
Allocation.
b. In a system with one or more Type 3B charter schools, if the Type
3B charter is not its own LEA, the local school system shall distribute
minimum foundation program formula funds to each Type 3B charter
school in the system pursuant to calculations determined by the
Louisiana Department of Education. If the Type 3B charter is its own
LEA, such payments shall be made to the Type 3B charter school by
the Louisiana Department of Education. Such calculations shall
include differentiated funding weights for certain students, including
students identified as being eligible for special education services.
The calculations shall ensure equity so that each Type 3B charter
school in the system receives a per-pupil amount equal to the amount
a Type 5 charter school located in the same parish or school system
boundary would have received from the Recovery School District
(RSD).
2. Local Cost Allocation
a. In addition to the State Cost Allocation, the Recovery School
District shall receive an applicable Local Cost Allocation.
Formula:
Local Cost Allocation Per Pupil
Equals
Projected Local Revenues from District of Prior Jurisdiction
Divided by
Total School District Membership (Recovery School District Student
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Membership Count plus Student Membership Count for the system of
prior jurisdiction plus New Type 2 Charter school students residing in
the jurisdiction)
b. To begin the fiscal year, the Local Cost allocation is based on
eligible projected local revenues for the most recent prior fiscal year
from the city or parish school district that had jurisdiction of the
school prior to its transfer.
c. For purposes of the Recovery School District calculation,
local revenue is defined to include revenue from the following
sources, excluding any portion which has been specifically dedicated
by the legislature or by voter approval to capital outlay or debt
service, per the definitions in the Annual Financial Report (AFR) and
the Louisiana Accounting and Uniform Governmental Handbook as
reported to the Louisiana Department of Education:
1. Sales and use taxes, less any tax collection fee paid by the
school system
2. Ad valorem taxes, less any tax collection fee paid by the
school system
3. Earnings from sixteenth section lands owned by the school
system
d. The exclusion of any portion of local revenues specifically
dedicated by the legislature or by voter approval to capital outlay or
debt service shall be applicable only to a charter school housed in a
facility or facilities provided by the system in which the charter
school is located.
e. The projected local revenues shall be divided by the Total
School District Membership Count including the Recovery School
District Student Membership Count, both operated and charter
schools, plus the Student Membership Count of the system of prior
jurisdiction. If any New Type 2 Charter School student resides within
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the physical boundaries of the system of prior jurisdiction, this school
the student attends shares in the local revenues of the system of prior
jurisdiction. As a result, the New Type 2 Charter School Student
Membership Count of the students residing in the jurisdiction will be
added to the Recovery School District and the system of prior
jurisdiction Student Membership Count.
f. The Local Cost Allocation for the Recovery School District
is determined by multiplying the local revenue per pupil times the
number of Recovery School District students used in the MFP final
allocation.
Formula:
Local Cost Allocation
Equals
Projected Local Revenues from District of Prior Jurisdiction Per Pupil
Multiplied By
Recovery School District Student Membership Count
g. Once the local amount is determined, it is adjusted to a
monthly amount that is transferred from the MFP monthly allocation
of the city, parish, or other local public school board of prior
jurisdiction to the Recovery School District.
h. Based on the October 1 Student Membership Count, the local
revenue allocation per student will be recalculated and there will be
a corresponding adjustment in the local revenue allocation. No
recalculation of the local revenues per student will occur as a result
of the February 1 Student Count adjustment.
i. During the third quarter of the fiscal year, the local revenue
allocation per student shall be adjusted to reflect actual prior year
local revenue data.
j. A final reconciliation will occur based upon the receipt of the
annual audited financial statements of the system of prior
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jurisdiction. If an increase or decrease in local revenue collections
exists, the state superintendent may establish a payment schedule. In
the event that the fiscal status of the system of prior jurisdiction or
the Recovery School District changes during the fiscal year or on or
before the final reconciliation, the state superintendent may adjust the
local revenue based on the revenues identified.
3. Monies appropriated to the Recovery School District, except for
administrative costs, that are attributable to the transfer of a school from a
prior school system and monies allocated or transferred from the prior system
to the Recovery School District shall be expended solely on the operation of
schools transferred from the prior system to the jurisdiction of the Recovery
School District.
B. New Type 2 Charter Schools
A New Type 2 Charter school is a Type 2 Charter school approved after July 1,
2008, by the State Board of Elementary and Secondary Education.
1. State Cost Allocation
a. Any New Type 2 Charter School shall annually be provided
a State Cost Allocation as determined by applying the formula
contained in R.S. 17:3995.
b. The State Cost Allocation equals the number of students
multiplied by the State Cost Allocation Per Pupil for the system in
which the student resides.
c. Mid-Year Adjustments shall adhere to the guidelines
established in this document.
2. Local Cost Allocation
a. Any New Type 2 Charter school shall annually be provided
a Local Cost Allocation by applying the formula contained in R.S.
17:3995.
b. The Local Cost Allocation equals the number of students
multiplied by the Local Cost Allocation Per Pupil for the system in
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which the student resides.
c. One exception to R.S. 17:3995 is that the Local Cost
allocation will be funded with a transfer of the MFP monthly amount
representing the Local Cost Allocation from the city or parish school
system in which the attending students reside.
d. The city or parish where students attending the New Type 2
Charter school reside is the local taxing authority and shall provide
the local support for the students.
e. Mid-Year Adjustments will adhere to the guidelines
established in this document.
3. Virtual Charter schools may receive, as approved by the State Board of
Elementary and Secondary Education, a lesser percentage of the state and
local amount calculated in R.S. 17:3995.
4. Where student attendance is from multiple school systems, the
Department of Education shall determine the Local Cost Allocation based on
students reported by the schools. The student membership count of the New
Type 2 charter schools shall be included in the membership count of the city
or parish school board in which the student resides to determine the Local
Cost Allocation.
5. In the first year of operation, a New Type 2 Charter school shall be
allocated funding based on an estimated student count since a February 1
student count does not exist. The allocation will be finalized based on the
October 1 student count.
6. The exclusion of any portion of local revenues specifically dedicated by
the legislature or by voter approval to capital outlay or debt service shall be
applicable only to a charter school housed in a facility or facilities provided
by the district in which the charter school is located.
C. Louisiana School for Math, Science, and the Arts (LSMSA), New Orleans
Center for Creative Arts (NOCCA), and Thrive Academy.
1. The Louisiana School for Math, Science and the Arts (LSMSA), New
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Orleans Center for Creative Arts (NOCCA), and Thrive Academy shall be
provided both a State and Local Cost allocation.
2. State Cost Allocation
a. The State Cost Allocation shall be based on the State Cost
Allocation Per Pupil for the city or parish school system
where the attending students reside.
3. Local Cost Allocation
a. The Local Cost Allocation will be based on the Local Cost
Allocation for the city or parish school system where the
attending students reside.
b. For any student enrolled in LSMSA, NOCCA, or Thrive
Academy, the Local Cost Allocation Per Pupil shall be
funded by the State.
c. Where student attendance is from multiple school systems,
the Department of Education shall determine the Local Cost
Allocation based on students reported by the schools.
III.FORMULA PROCEDURES
A. Preliminary Allocation
1. The Minimum Foundation Program formula for the upcoming
fiscal year adopted by the State Board of Elementary and Secondary
Education, along with a preliminary allocation schedule representing
the estimated cost of the proposed formula, shall be submitted to the
Joint Legislative Committee on the Budget and to the House and
Senate Education Committees for consideration no later than March
15.
2. This preliminary allocation shall utilize student and other input
data available at the time.
B. Final Allocation
Final allocations for the fiscal year in which the formula takes effect will be
determined no later than June 30 of the preceding fiscal year. The latest
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available data will be utilized to calculate the final allocation except that
student count estimates will be utilized for school systems or charter schools
opening for the first time in the fiscal year beginning July 1. For first-year
city, parish, or other public school systems or schools, the final allocation
will be based on the October 1 count, once available.
IV.FORMULA PAYMENTS
A. Payment Procedures
The Total MFP State Cost Allocation for city, parish, and other school
systems and schools will be converted to monthly payments from July
through June each year except payments will be made on Level 4 allocations
as data becomes available.
B. Requested Payment Adjustments
If the city, parish, or other school systems and schools have documented
growth in students prior to the actual Mid-Year Student Counts in October
and February, a temporary change to the final allocation may be requested.
The State Superintendent is authorized to approve or deny this revision.
1. Sufficient documentation will be requested to substantiate this
requested allocation adjustment.
2. The adjusted allocation will remain in effect until the actual
October or February Mid-Year Student Count. Once the Mid-Year
Student Count is final, reconciliation will be completed and payments
adjusted accordingly.
C. Payment Adjustments for Audit Findings
Review and/or audit of the systems' or schools' data used in determining their
Minimum Foundation Program allocation may result in changes in final
statistical information. The Minimum Foundation Program allocation
adjustments necessary as a result of these audit findings will be made in the
following school year. These adjustments are applicable to the following:
city or parish school systems, Recovery School District, Type 2 Charter
schools, Type 3B Charter schools, Louisiana State University, Southern
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University, and University of Louisiana at Lafayette Lab schools, Office of
Juvenile Justice (OJJ) schools, Louisiana School for Math, Science and the
Arts (LSMSA), New Orleans Center for Creative Arts (NOCCA), and Thrive
Academy.
V. 70% EXPENDITURE REQUIREMENT
To provide for appropriate accountability of state funds while providing city,
parish, or local public school systems or other public schools flexibility in
determining specific expenditures, city, parish, or local public school systems
or other public schools must ensure that at least 70% of the city, parish, or
local public school system or other public school general fund expenditures
are in the areas of instruction and school administration at the school
building level as developed by the Louisiana Department of Education and
defined by the State Board of Elementary and Secondary Education
regulations.
VII. SEVERABILITY PROVISION
If any provision of this minimum foundation formula or the application
thereof is held invalid, such invalidity shall not affect other provisions or
applications of this minimum foundation formula which can be given effect
without the invalid provisions or applications, and to this end the provisions
of this minimum foundation formula are hereby declared severable. The
severability provision hereof shall be broadly construed so as to give effect
to each and every possible provision or application of this minimum
foundation formula which is not specifically held invalid, unlawful, or
unconstitutional.
THEREFORE, BE IT RESOLVED that the Legislature of Louisiana does hereby
approve the formula developed by the State Board of Elementary and Secondary Education,
pursuant to Article VIII, Section 13(B) of the Constitution of Louisiana, 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 parish and city school systems, and
adopted by the board on May 12, 2021.
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BE IT FURTHER RESOLVED that this Resolution shall become effective on
July 1, 2021.
PRESIDENT OF THE SENATE
SPEAKER OF THE HOUSE OF REPRESENTATIVES
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