Oklahoma 2022 Regular Session

Oklahoma Senate Bill SB1126 Compare Versions

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Version 2 (New)

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3		-	ENGR. S. B. NO. 1126 Page 1 1
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28		-	ENGROSSED SENATE
29		-	BILL NO. 1126 By: Garvin of the Senate
	29	+	SENATE FLOOR VERSION
	30	+	February 22, 2022
	31	+	AS AMENDED
	32	+
	33	+	SENATE BILL NO. 1126 By: Garvin of the Senate
30	34
31	35		and
32	36
33	37		McEntire of the House
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38		-	An Act relating to school funding; amending 70 O.S.
39		-	2021, Section 5-135.4, which relates to the School
40		-	District Transparency Act; requiring school distric ts
41		-	to submit and the State Department of Education to
42		-	post on a website the amount of carryover in a school
43		-	district’s general fund and certain descriptive
44		-	purpose on certain date; amending 70 O.S. 2021,
45		-	Section 18-200.1, which relates to State Aid;
46		-	removing limitations on school district general fund
47		-	carryover, method for calculating carryover amount,
48		-	and penalties for exce eding limitations; providing an
49		-	effective date; and declaring an emergency.
50	42
	43	+	[ school funding - School District Transparency Act -
	44	+	post on a website the amount of carryover -
	45	+	limitations on school district general fund carryover
	46	+	- effective date -
	47	+	emergency ]
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54	51		BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:
55	52		SECTION 1. AMENDATORY 70 O.S. 2021, Section 5 -135.4, is
56	53		amended to read as follows:
57	54		Section 5-135.4. A. This section shall be known and may be
58	55		cited as the “School District Transparency Act”.
59	56		B. The State Department of Education shall make school district
60	57		and school site expenditure data available on its website. Data
61	58		shall be made available in an open-structured data format that may
62	59		be downloaded by the public and that allows the user to
63	60		systematically sort, search, and access all data without any fee or
64	61		charge for access. Prior to the beginning of the 2019-2020 school
	62	+	year, if a school dist rict has a website, the district shall provide
	63	+	a link on its home page to the State Department of Education’s
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91		-	year, if a school dist rict has a website, the district shall provide
92		-	a link on its home page to the State Department of Education’s
93	91		Oklahoma Cost Accounting System and School District Financial
94	92		Information website, or the district shall pr ovide the information
95	93		required by subsection C of this section within one click of the
96	94		home page of the school district ’s website.
97	95		C. The website shall provide information on school district and
98	96		school site expenditures of state, federal, and local funds, whether
99	97		appropriated or nonappropriate d, excluding payments of voluntary
100	98		payroll deductions for employees to receiving parties. The website
101	99		shall further provide information , including, but not limited to,
102	100		the following:
103	101		1. Identification of the school district;
104	102		2. The Oklahoma Cost Account ing System (OCAS) code designation
105	103		for each expenditure;
106	104		3. The name and principal location of the entity or recipient
107	105		of the funds, excluding release of information relating to an
108	106		individual’s place of residence and release of information
109	107		prohibited by subsection D of Section 24A.7 of Title 51 of the
110	108		Oklahoma Statutes or by federal law relating to privacy rights;
111	109		4. The amount of funds expended;
112	110		5. The type of transaction;
113	111		6. A descriptive purpose of the funding a ction or expenditure;
	112	+	7. The budgeted and audited actual expenditure figures for each
	113	+	fiscal year, ensuring each set of figures can b e identified as
	114	+	budgeted or audited figures;
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140		-	7. The budgeted and audited actual expenditure figures for each
141		-	fiscal year, ensuring each set of figures can b e identified as
142		-	budgeted or audited figures;
143	142		8. The per-pupil expenditure as defined in Section 1 -124 of
144	143		this title; and
145	144		9. The total compensation package of t he superintendent as
146	145		defined by the requirements of the OCAS including a listing of the
147	146		base salary, insurance, retirement , and other fringe benefits
148	147		including exempted nonadministrative services such as teaching in
149	148		the classroom or serving as a principal, counselor, or library media
150	149		specialist pursuant to subs ection E of Section 18 -124 of this title;
151	150		and
152	151		10. The amount of carryover in a school district’s general fund
153		-	as of June 30 of the preceding fiscal year including a descriptive
154		-	purpose of the funding action or exp enditure for which the carr yover
155		-	funds may be used, as approved by the school distr ict board of
156		-	education. Federal revenue shall not be included in calculating the
157		-	amount of carryover in the general fund .
	152	+	as of June 30 of the preceding fiscal year. Federal revenue shall
	153	+	not be included in calculating the amount of carryover in the
	154	+	general fund.
158	155		D. The Department shall make the data av ailable on its website
159	156		within one hundred twenty (120) days of transmission of the
160	157		expenditures to the Department by the school district.
161	158		E. School districts sh all provide information requested by the
162	159		Department to accomplish the purposes of this section.
	160	+	F. If a school district maintains a website, the district shall
	161	+	provide the information required in subsection C of this section in
	162	+	the manner prescribed in su bsection B of this section on the
	163	+	district website.
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189		-	F. If a school district maintains a website, the district shall
190		-	provide the information required in subsection C of this sec tion in
191		-	the manner prescribed in subsection B of this section on the
192		-	district website.
193	191		G. Nothing in this section shall require t he disclosure of
194	192		information which is required to be kept confidential by state or
195	193		federal law.
196	194		H. The disclosure of information required by this section shall
197	195		create no liability whatsoever, civil or criminal, to th e State of
198	196		Oklahoma, the State Departme nt of Education, school districts, or
199	197		any employee thereof for disclosure of re quired information or for
200	198		any error or omission in the disclosure.
201	199		I. The Department shall undertake activities annually to inform
202	200		parents, schools, and other stakeholders abou t the availability of
203	201		school district and school site expenditure data on its we bsite and
204	202		how to use the website.
205	203		SECTION 2. AMENDATORY 70 O.S. 2021, Section 18-200.1, as
206	204		last amended by Section 2, Chapter 488, O.S.L. 2021, is amended to
207	205		read as follows:
208	206		Section 18-200.1. A. Beginning with the 2022-2023 school year,
209	207		and each school year thereafter, each school district shall have its
210	208		initial allocation of State Aid calculated based on the state
211	209		dedicated revenues actually collected during the preceding fiscal
212	210		year, the adjusted assess ed valuation of the pr eceding year, and the
	211	+	weighted average daily membership for the school district of the
	212	+	preceding school year. Each school district shall submit the
	213	+	following data based on the first nine (9) weeks, to be used in the
	214	+	calculation of the average daily members hip of the school district:
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239		-	weighted average daily mem bership for the school district of the
240		-	preceding school year. Each school district shall submit the
241		-	following data based on the first nine (9) weeks, to be used in the
242		-	calculation of the average daily members hip of the school district:
243	242		1. Student enrollment by grade level;
244	243		2. Pupil category counts; and
245	244		3. Transportation supplement data.
246	245		On or before December 30, the State Department of Education
247	246		shall determine each school district ’s current year allocation
248	247		pursuant to subsection D of this section . The State Department of
249	248		Education shall complete an audit, using procedures established by
250	249		the Department, of the st udent enrollment by grade level data, pupil
251	250		category counts, and transportation supplement da ta to be used in
252	251		the State Aid Formula pursuant to subsection D of this section by
253	252		December 1 and by January 15 shall notify each school district of
254	253		the district’s final State Aid allocation for the current school
255	254		year. The January payment of State Aid an d each subsequent payment
256	255		for the remainder of the school year shall be based on the final
257	256		State Aid allocation as calculated in subsection D of this section .
258	257		Except for reductions made due to the assessment of penalties by the
259	258		State Department of Educati on according to law, the January payment
260	259		of State Aid and each subsequent payment for the remainder of the
261	260		school year shall not decrease by an amount more than the amount
262	261		that the current chargeable revenue increases for that district.
	262	+	B. The State Department of Education shall retain not less than
	263	+	one and one-half percent (1 1/2%) of th e total funds appropriated
	264	+	for financial support of schools, to be used to make midyear
	265	+	adjustments in State Aid and which shall be reflected in the fi nal
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289		-	B. The State Department of Education shall retain not less than
290		-	one and one-half percent (1 1/2%) of the total funds appropriated
291		-	for financial support of schools, to be used to make midyear
292		-	adjustments in State Aid and which shall be reflected in the fi nal
293	293		allocations. If the amount of appropriated funds , including the one
294	294		and one-half percent (1 1/2%) re tained, remaining after January 1 of
295	295		each year is not sufficient to fully fund the final allocations, the
296	296		Department shall recalculate each school dist rict’s remaining
297	297		allocation pursuant to subsection D of this section using the
298	298		reduced amount of appropri ated funds.
299	299		C. On and after July 1, 1997, the amount of State Aid each
300	300		district shall receive shall be the sum of the Foundation Aid, the
301	301		Salary Incentive Aid, and the Transportation Supplement, as adjusted
302	302		pursuant to the provisions of subsection G of this section and
303	303		Section 18-112.2 of this title; provided, no district having per
304	304		pupil revenue in excess of three hundred percent (300%) of the
305	305		average per pupil revenue of all districts shall receive any State
306	306		Aid or Supplement in State Aid.
307	307		The July calculation of per pupil revenue shall be determined by
308	308		dividing the district ’s second preceding year’s total weighted
309	309		average daily membership (ADM) into t he district’s preceding year’s
310	310		total revenues excluding federal revenue, insurance loss payments,
311	311		reimbursements, recovery of overpayments and refunds, unused
	312	+	reserves, prior expenditur es recovered, prior year surpluses, and
	313	+	less the amount of any transfer fees paid in that year.
	314	+	The December calculation of per pupil revenue shall be
	315	+	determined by dividing th e district’s preceding year’s total
	316	+	weighted average daily membership (ADM) into the district’s
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338		-	reserves, prior expenditur es recovered, prior year surpluses, and
339		-	less the amount of any transfer fees paid in that year.
340		-	The December calculation of per pupil revenue shall be
341		-	determined by dividing the district’s preceding year’s total
342		-	weighted average daily membership (ADM) into the district’s
343	344		preceding year’s total revenues excluding federal reven ue, insurance
344	345		loss payments, reimbursements, recovery of overpayments and refunds,
345	346		unused reserves, prior expenditures recovered, prior year surpluses,
346	347		and less the amount of any transf er fees paid in that year.
347	348		D. For the 1997-98 school year, and each sc hool year
348	349		thereafter, Foundation Aid, the Transportation Supplement , and
349	350		Salary Incentive Aid shall be ca lculated as follows:
350	351		1. Foundation Aid shall be determined by subtracting the am ount
351	352		of the Foundation Program Income from the cost of the Foundation
352	353		Program and adding to this difference the Transportation Supplement.
353	354		a. The Foundation Program shall be a district’s higher
354	355		weighted average daily membership based on the first
355	356		nine (9) weeks of the current school year or the
356	357		preceding school year of a sch ool district, as
357	358		determined by the provisions of subsection A of
358	359		Section 18-201.1 of this title and parag raphs 1, 2, 3,
359	360		and 4 of subsection B of Section 18 -201.1 of this
360	361		title, multiplied by the Base Foundation Support
361	362		Level. However, for the portion of w eighted
	363	+	membership derived from nonresident, transferred
	364	+	pupils enrolled in online courses, the Foundatio n
	365	+	Program shall be a district’s weighted average daily
	366	+	membership of the preceding school year or the first
	367	+	nine (9) weeks of the current school year, whichever
362	368
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388		-	membership derived from nonresident, transferred
389		-	pupils enrolled in online courses, the Foundation
390		-	Program shall be a district’s weighted average daily
391		-	membership of the preceding school year or the first
392		-	nine (9) weeks of the current school year, whichever
393	395		is greater, as determined by the provisions of
394	396		subsection A of Section 18 -201.1 of this title a nd
395	397		paragraphs 1, 2, 3, and 4 of subsection B of Section
396	398		18-201.1 of this title, mul tiplied by the Base
397	399		Foundation Support Level.
398	400		b. The Foundation Program Income shall be the sum of the
399	401		following:
400	402		(1) The adjusted assessed valuation of the current
401	403		school year of the school district, minus the
402	404		previous year protested ad valorem tax revenu es
403	405		held as prescribed in Section 2884 of Title 68 of
404	406		the Oklahoma Statutes, multiplied by the mills
405	407		levied pursuant to subsection (c) of Section 9 of
406	408		Article X of the Oklaho ma Constitution, if
407	409		applicable, as adjusted in subsection (c) of
408	410		Section 8A of Article X of the Oklahoma
409	411		Constitution. For purposes of this subsection ,
410	412		the “adjusted assessed valuation of the current
411	413		school year” shall be the adjusted assessed
	414	+	valuation on which tax revenues are collected
	415	+	during the current school year, and
	416	+	(2) Seventy-five percent (75%) of the amount received
	417	+	by the school district fro m the proceeds of the
	418	+	county levy during the preceding fiscal year, as
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438		-	valuation on which tax revenues are collected
439		-	during the current school year, and
440		-	(2) Seventy-five percent (75%) of the amount received
441		-	by the school district fro m the proceeds of the
442		-	county levy during the preceding fiscal year, as
443	446		levied pursuant to subsection (b) of Section 9 of
444	447		Article X of the Oklahoma Constitution, and
445	448		(3) Motor Vehicle Collections motor vehicle
446	449		collections, and
447	450		(4) Gross Production Tax gross production tax, and
448	451		(5) State Apportionment state apportionment, and
449	452		(6) R.E.A. Tax tax.
450	453		The items listed in divisions (3), (4), (5), and (6)
451	454		of this subparagraph shall consist of the amounts
452	455		actually collected from such sources during the
453	456		preceding fiscal year calculated on a per capita basis
454	457		on the unit provided for by law for the distribution
455	458		of each such revenue.
456	459		2. The Transportation Supplement shall be equal to the average
457	460		daily haul times the per capita allowance times the appropriate
458	461		transportation factor.
459	462		a. The average daily haul shall be the number of children
460	463		in a district who are legally transpo rted and who live
461	464		one and one-half (1 1/2) miles or more from school.
	465	+	b. The per capita allowance shall be determined using the
	466	+	following chart:
	467	+	PER CAPITA PER CAPITA
	468	+	DENSITY FIGURE ALLOWANCE DENSITY FIGURE ALLOWANCE
	469	+	.3000 - .3083 $167.00 .9334 - .9599 $99.00
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488		-	b. The per capita allowance shall be determined using the
489		-	following chart:
490		-	PER CAPITA PER CAPITA
491		-	DENSITY FIGURE ALLOWANCE DENSITY FIGURE ALLOWANCE
492		-	.3000 - .3083 $167.00 .9334 - .9599 $99.00
493	497		.3084 - .3249 $165.00 .9600 - .9866 $97.00
494	498		.3250 - .3416 $163.00 .9867 - 1.1071 $95.00
495	499		.3417 - .3583 $161.00 1.1072 - 1.3214 $92.00
496	500		.3584 - .3749 $158.00 1.3215 - 1.5357 $90.00
497	501		.3750 - .3916 $156.00 1.5358 - 1.7499 $88.00
498	502		.3917 - .4083 $154.00 1.7500 - 1.9642 $86.00
499	503		.4084 - .4249 $152.00 1.9643 - 2.1785 $84.00
500	504		.4250 - .4416 $150.00 2.1786 - 2.3928 $81.00
501	505		.4417 - .4583 $147.00 2.3929 - 2.6249 $79.00
502	506		.4584 - .4749 $145.00 2.6250 - 2.8749 $77.00
503	507		.4750 - .4916 $143.00 2.8750 - 3.1249 $75.00
504	508		.4917 - .5083 $141.00 3.1250 - 3.3749 $73.00
505	509		.5084 - .5249 $139.00 3.3750 - 3.6666 $70.00
506	510		.5250 - .5416 $136.00 3.6667 - 3.9999 $68.00
507	511		.5417 - .5583 $134.00 4.0000 - 4.3333 $66.00
508	512		.5584 - .5749 $132.00 4.3334 - 4.6666 $64.00
509	513		.5750 - .5916 $130.00 4.6667 - 4.9999 $62.00
510	514		.5917 - .6133 $128.00 5.0000 - 5.5000 $59.00
511	515		.6134 - .6399 $125.00 5.5001 - 6.0000 $57.00
	516	+	.6400 - .6666 $123.00 6.0001 - 6.5000 $55.00
	517	+	.6667 - .6933 $121.00 6.5001 - 7.0000 $53.00
	518	+	.6934 - .7199 $119.00 7.0001 - 7.3333 $51.00
	519	+	.7200 - .7466 $117.00 7.3334 - 7.6667 $48.00
	520	+	.7467 - .7733 $114.00 7.6668 - 8.0000 $46.00
512	521
513		-	ENGR. S. B. NO. 1126 Page 11 1
	522	+	SENATE FLOOR VERSION - SB1126 SFLR Page 11
	523	+	(Bold face denotes Committee Amendments) 1
514	524		2
515	525		3
516	526		4
517	527		5
518	528		6
519	529		7
520	530		8
521	531		9
522	532		10
523	533		11
524	534		12
525	535		13
526	536		14
527	537		15
528	538		16
529	539		17
530	540		18
531	541		19
532	542		20
533	543		21
534	544		22
535	545		23
536	546		24
537	547
538		-	.6400 - .6666 $123.00 6.0001 - 6.5000 $55.00
539		-	.6667 - .6933 $121.00 6.5001 - 7.0000 $53.00
540		-	.6934 - .7199 $119.00 7.0001 - 7.3333 $51.00
541		-	.7200 - .7466 $117.00 7.3334 - 7.6667 $48.00
542		-	.7467 - .7733 $114.00 7.6668 - 8.0000 $46.00
543	548		.7734 - .7999 $112.00 8.0001 - 8.3333 $44.00
544	549		.8000 - .8266 $110.00 8.3334 - 8.6667 $42.00
545	550		.8267 - .8533 $108.00 8.6668 - 9.0000 $40.00
546	551		.8534 - .8799 $106.00 9.0001 - 9.3333 $37.00
547	552		.8800 - .9066 $103.00 9.3334 - 9.6667 $35.00
548	553		.9067 - .9333 $101.00 9.6668 or more $33.00
549	554		c. The formula transportation factor shall be 1.39.
550	555		3. Salary Incentive Aid shall be determined as follows :
551	556		a. Multiply the Incentive Aid guarante e by the district’s
552	557		higher weighted average daily membership based on the
553	558		first nine (9) weeks of the current school year or the
554	559		preceding school year of a school district, as
555	560		determined by the provisions of subsecti on A of
556	561		Section 18-201.1 of this title a nd paragraphs 1, 2, 3 ,
557	562		and 4 of subsection B of Section 18-201.1 of this
558	563		title.
559	564		b. Divide the district’s adjusted assessed valuation of
560	565		the current school year minus the previous year ’s
561	566		protested ad valorem tax reven ues held as prescribed
	567	+	in Section 2884 of Title 68 of the Oklahoma Statute s,
	568	+	by one thousand (1,000) and subtract the quotient from
	569	+	the product of subparagraph a of this paragraph . The
	570	+	remainder shall not be less than zero ( 0).
562	571
563		-	ENGR. S. B. NO. 1126 Page 12 1
	572	+	SENATE FLOOR VERSION - SB1126 SFLR Page 12
	573	+	(Bold face denotes Committee Amendments) 1
564	574		2
565	575		3
566	576		4
567	577		5
568	578		6
569	579		7
570	580		8
571	581		9
572	582		10
573	583		11
574	584		12
575	585		13
576	586		14
577	587		15
578	588		16
579	589		17
580	590		18
581	591		19
582	592		20
583	593		21
584	594		22
585	595		23
586	596		24
587	597
588		-	in Section 2884 of Title 68 of the Oklahoma Statutes,
589		-	by one thousand (1,000) and subtract the quotient from
590		-	the product of subparagraph a of this paragraph . The
591		-	remainder shall not be less than zero ( 0).
592	598		c. Multiply the number of m ills levied for general fund
593	599		purposes above the fifteen (15) mills require d to
594	600		support Foundation Aid pursuant to division (1) of
595	601		subparagraph b of paragraph 1 of this subsection, not
596	602		including the county four -mill levy, by the remainder
597	603		of subparagraph b of this paragraph. The product
598	604		shall be the Salary Incentive Aid of the d istrict.
599	605		E. By June 30, 1998, the State Department of Education shall
600	606		develop and the Department and all school districts shall have
601	607		implemented a student identification system whic h is consistent with
602	608		the provisions of subsections C and D of Section 3111 of Title 74 of
603	609		the Oklahoma Statutes . The student identification system shall be
604	610		used specifically for the purpose of reporting enrollment data by
605	611		school sites and by school distri cts, the administration of the
606	612		Oklahoma School Testing Program Act, the co llection of appropriate
607	613		and necessary data pursuant to the Oklahoma Educational Indicators
608	614		Program, determining student enrollment, establishing a stud ent
609	615		mobility rate, allocation o f the State Aid Formula, and midyear
610	616		adjustments in funding for student gr owth. This enrollment data
611	617		shall be submitted to the State Department of Education in
	618	+	accordance with rules promulgated by the State Board of Educatio n.
	619	+	Funding for the development , implementation, personnel training, and
	620	+	maintenance of the student ident ification system shall be set out in
612	621
613		-	ENGR. S. B. NO. 1126 Page 13 1
	622	+	SENATE FLOOR VERSION - SB1126 SFLR Page 13
	623	+	(Bold face denotes Committee Amendments) 1
614	624		2
615	625		3
616	626		4
617	627		5
618	628		6
619	629		7
620	630		8
621	631		9
622	632		10
623	633		11
624	634		12
625	635		13
626	636		14
627	637		15
628	638		16
629	639		17
630	640		18
631	641		19
632	642		20
633	643		21
634	644		22
635	645		23
636	646		24
637	647
638		-	accordance with rules promulgated by the State Board of Educatio n.
639		-	Funding for the development , implementation, personnel training, and
640		-	maintenance of the student identification system shall be set out in
641	648		a separate line item in the allocation section of the appropriation
642	649		bill for the State Board of Education for each year.
643	650		F. 1. In the event that ad valorem taxes of a school district
644	651		are determined to be uncollectible because of bankruptcy, clerical
645	652		error, or a successful tax protest, and the amount of such taxes
646	653		deemed uncollectible exceeds Fifty Thousand Dollars ( $50,000.00) or
647	654		an amount greater than twenty-five percent (25%) of ad valorem taxes
648	655		per tax year, or the valuation of a district is lowered by order of
649	656		the State Board of Equalization, the school district ’s State Aid,
650	657		for the school year that such ad valor em taxes are calculated in the
651	658		State Aid Formula, shall be determined by subtracting the net
652	659		assessed valuation of the property upon which taxes were deemed
653	660		uncollectible from the assessed valuation of the school district and
654	661		the state. Upon request of the local board of education, it shall
655	662		be the duty of the county assessor to certify to the Director of
656	663		Finance of the State Department of Education the net assessed
657	664		valuation of the property upon which taxes were determined
658	665		uncollectible.
659	666		2. In the event that the amount of funds a schoo l district
660	667		receives for reimbursement from the Ad Valorem Reimbursement Fu nd is
661	668		less than the amount of funds claimed for reimbursement by the
	669	+	school district due to insufficiency of funds as provided in Section
	670	+	193 of Title 62 of the Oklahoma Statutes, th en the school district’s
	671	+	assessed valuation for the school year that such ad valorem
662	672
663		-	ENGR. S. B. NO. 1126 Page 14 1
	673	+	SENATE FLOOR VERSION - SB1126 SFLR Page 14
	674	+	(Bold face denotes Committee Amendments) 1
664	675		2
665	676		3
666	677		4
667	678		5
668	679		6
669	680		7
670	681		8
671	682		9
672	683		10
673	684		11
674	685		12
675	686		13
676	687		14
677	688		15
678	689		16
679	690		17
680	691		18
681	692		19
682	693		20
683	694		21
684	695		22
685	696		23
686	697		24
687	698
688		-	school district due to insufficiency of funds as provided in Section
689		-	193 of Title 62 of the Oklahoma Statutes, th en the school district’s
690		-	assessed valuation for the school year that such ad valorem
691	699		reimbursement is calculated in the State Aid Formula shall be
692	700		adjusted accordingly.
693	701		G. 1. Notwithstanding the provisions of Section 18 -112.2 of
694	702		this title, a school dist rict shall have its State Aid reduced by an
695	703		amount equal to the amount of carryover in the general fund of the
696	704		district as of June 30 of the preceding fiscal year, that is in
697	705		excess of the following standards for two (2) cons ecutive years:
698	706		Total Amount of Amount of
699	707		General Fund Collections, General Fund
700	708		Excluding Previous Year Balance
701	709		Cash Surplus as of June 30 Allowable
702	710		Less than $1,000,000 48%
703	711		$1,000,000 - $2,999,999 42%
704	712		$3,000,000 - $3,999,999 36%
705	713		$4,000,000 - $4,999,999 30%
706	714		$5,000,000 - $5,999,999 24%
707	715		$6,000,000 - $7,999,999 22%
708	716		$8,000,000 - $9,999,999 19%
709	717		$10,000,000 or more 17%
710	718		2. By February 1 the State Department of Education shall send
711	719		by certified mail, with return receipt requested, to each School
	720	+	District Superintendent, Audit or and Regional Accreditation Officer
	721	+	a notice of and calculation sheet refl ecting the general fund
	722	+	balance penalty to be assessed against that school district .
712	723
713		-	ENGR. S. B. NO. 1126 Page 15 1
	724	+	SENATE FLOOR VERSION - SB1126 SFLR Page 15
	725	+	(Bold face denotes Committee Amendments) 1
714	726		2
715	727		3
716	728		4
717	729		5
718	730		6
719	731		7
720	732		8
721	733		9
722	734		10
723	735		11
724	736		12
725	737		13
726	738		14
727	739		15
728	740		16
729	741		17
730	742		18
731	743		19
732	744		20
733	745		21
734	746		22
735	747		23
736	748		24
737	749
738		-	District Superintendent, Audit or and Regional Accreditation Officer
739		-	a notice of and calculation sheet reflecting the general fund
740		-	balance penalty to be assessed against that school district .
741	750		Calculation of the general fund balance penalty shall not include
742	751		federal revenue. Within thirty (30) days of receipt of this written
743	752		notice the school district shall su bmit to the Department a written
744	753		reply either accepting or protesting the penalty to be assessed
745	754		against the district . If protesting, the school distr ict shall
746	755		submit with its reply the reasons for rejecting the calculations and
747	756		documentation supporting t hose reasons. The Department shall review
748	757		all school district penalty protest documentation and notify each
749	758		district by March 15 of its finding and th e final penalty to be
750	759		assessed to each district. General fund balance penalties shall be
751	760		assessed to all school districts by April 1.
752	761		3. Any school district which receives proceeds from a tax
753	762		settlement or a Federal Emergency Management Agency settlement
754	763		during the last two (2) mon ths of the preceding fiscal year shall be
755	764		exempt from the penalties assessed in this subsection, if the
756	765		penalty would occur solely as a result of receiving funds from the
757	766		tax settlement.
758	767		4. Any school district which receives an increase in State Aid
759	768		because of a change in Foundation and/or Salary Incentive Aid
760	769		factors during the l ast two (2) months of the preceding fiscal year
761	770		shall be exempt from the penalties assessed in this subsection, if
	771	+	the penalty would occur solely as a result of receiving funds f rom
	772	+	the increase in State Aid.
762	773
763		-	ENGR. S. B. NO. 1126 Page 16 1
	774	+	SENATE FLOOR VERSION - SB1126 SFLR Page 16
	775	+	(Bold face denotes Committee Amendments) 1
764	776		2
765	777		3
766	778		4
767	779		5
768	780		6
769	781		7
770	782		8
771	783		9
772	784		10
773	785		11
774	786		12
775	787		13
776	788		14
777	789		15
778	790		16
779	791		17
780	792		18
781	793		19
782	794		20
783	795		21
784	796		22
785	797		23
786	798		24
787	799
788		-	the penalty would occur solely as a result of receiving funds f rom
789		-	the increase in State Aid.
790	800		5. If a school district does not receive Found ation and/or
791	801		Salary Incentive Aid during the preceding fiscal year, the State
792	802		Board of Education may waive the penalty assessed in this subsection
793	803		if the penalty would result in a loss of more than forty percent
794	804		(40%) of the remaining State Aid to be alloc ated to the school
795	805		district between April 1 and the remainder of the school year and if
796	806		the Board determines the penalty will cause the school district not
797	807		to meet remaining fin ancial obligations.
798	808		6. Any school district which receives gross production rev enue
799	809		apportionment during the 2002-2003 school year or in any subsequent
800	810		school year that is greater than the gross production revenue
801	811		apportionment of the preceding school year shall be exempt from the
802	812		penalty assessed in this subsection, if the penalty w ould occur
803	813		solely as a result of the gross production revenue apportionment, as
804	814		determined by the State Board of Education.
805	815		7. Beginning July 1, 2003, school districts that participate in
806	816		consolidation or annexation pursuant to the provisions of the
807	817		Oklahoma School Voluntary Consolidation and Annexation Act shall be
808	818		exempt from the penalty assessed in this subsection for the school
809	819		year in which the con solidation or annexation occurs and for the
810	820		next three (3) fiscal years.
	821	+	8. Any school district which re ceives proceeds from a sales tax
	822	+	levied by a municipality pursuant to Section 22 -159 of Title 11 of
	823	+	the Oklahoma Statutes or proceeds from a sales tax levied by a
811	824
812		-	ENGR. S. B. NO. 1126 Page 17 1
	825	+	SENATE FLOOR VERSION - SB1126 SFLR Page 17
	826	+	(Bold face denotes Committee Amendments) 1
813	827		2
814	828		3
815	829		4
816	830		5
817	831		6
818	832		7
819	833		8
820	834		9
821	835		10
822	836		11
823	837		12
824	838		13
825	839		14
826	840		15
827	841		16
828	842		17
829	843		18
830	844		19
831	845		20
832	846		21
833	847		22
834	848		23
835	849		24
836	850
837		-	8. Any school district which receives proceeds from a sales tax
838		-	levied by a municipality pursuant to Section 22 -159 of Title 11 of
839		-	the Oklahoma Statutes or proceeds from a sales tax levied by a
840	851		county pursuant to Section 1370 of Title 68 of the Oklahoma Statutes
841	852		during the 2003-2004 school year or the 2004-2005 school year shall
842	853		be exempt from the penalties assessed in this subsection, if the
843	854		penalty would occur solely as a result of receiving funds from the
844	855		sales tax levy.
845	856		9. Any school district which has an amount of carryover in the
846	857		general fund of the district in excess of the limits established in
847	858		paragraph 1 of this subsection during the fiscal years beginning
848	859		July 1, 2020, July 1, 2021, July 1, 2022, and July 1, 2023, shall
849	860		not be assessed a general fund balance penalty as provide d for in
850	861		this subsection.
851	862		10. For purposes of calculating the general fund balance
852	863		penalty, the terms “carryover” and “general fund balance ” shall not
853	864		include federal revenue.
854	865		H. In order to provide startup funds for the implementation of
855	866		early childhood programs, State Aid may be advanced to school
856	867		districts that initially start early childhood instruction at a
857	868		school site. School districts that desi re such advanced funding
858	869		shall make application to the State Department of Education no later
859	870		than September 15 of each year and advanced funding shall be awarded
860	871		to the approved districts no later than October 30 . The advanced
	872	+	funding shall not exceed th e per pupil amount of State Aid as
	873	+	calculated in subsection D of this section per anticipated Head
	874	+	Start eligible student. The total amount of advanced funding shall
861	875
862		-	ENGR. S. B. NO. 1126 Page 18 1
	876	+	SENATE FLOOR VERSION - SB1126 SFLR Page 18
	877	+	(Bold face denotes Committee Amendments) 1
863	878		2
864	879		3
865	880		4
866	881		5
867	882		6
868	883		7
869	884		8
870	885		9
871	886		10
872	887		11
873	888		12
874	889		13
875	890		14
876	891		15
877	892		16
878	893		17
879	894		18
880	895		19
881	896		20
882	897		21
883	898		22
884	899		23
885	900		24
886	901
887		-	funding shall not exceed th e per pupil amount of State Aid as
888		-	calculated in subsection D of this section per anticipated Head
889		-	Start eligible student. The total amount of advanced funding shall
890	902		be proportionately reduced from the monthly payments of the
891	903		district’s State Aid payments during the last six (6) months of the
892	904		same fiscal year.
893	905		I. H. 1. Beginning July 1, 1996, the Oklahoma Tax Commission,
894	906		notwithstanding any provision of law to the contrary, shall report
895	907		monthly to the State Department of Education the monthly
896	908		apportionment of the following information:
897	909		a. the assessed valuation of property,
898	910		b. motor vehicle collections,
899	911		c. R.E.A. tax collected, and
900	912		d. gross productions tax collected.
901	913		2. Beginning July 1, 1997, the State Auditor and Inspector ’s
902	914		Office, notwithstanding any provision of law to the contrary, shall
903	915		report monthly to the State Department of Education the monthly
904	916		apportionment of the proceeds of the county levy.
905	917		3. Beginning July 1, 1996, the Commissioners of the Land
906	918		Office, notwithstanding any provision of la w to the contrary, shall
907	919		report monthly to the State Department of Education the monthly
908	920		apportionment of state apportionment.
909	921		4. Beginning July 1, 1997, the county treasurers ’ offices,
910	922		notwithstanding any provision of law to the contrary, shall report
	923	+	monthly to the State Department of Education the ad valorem tax
	924	+	protest amounts for each county.
911	925
912		-	ENGR. S. B. NO. 1126 Page 19 1
	926	+	SENATE FLOOR VERSION - SB1126 SFLR Page 19
	927	+	(Bold face denotes Committee Amendments) 1
913	928		2
914	929		3
915	930		4
916	931		5
917	932		6
918	933		7
919	934		8
920	935		9
921	936		10
922	937		11
923	938		12
924	939		13
925	940		14
926	941		15
927	942		16
928	943		17
929	944		18
930	945		19
931	946		20
932	947		21
933	948		22
934	949		23
935	950		24
936	951
937		-	monthly to the State Department of Education the ad valorem tax
938		-	protest amounts for each county.
939	952		5. The information reported by the Tax Commission, the State
940	953		Auditor and Inspector ’s Office, the county treasurers ’ offices, and
941	954		the Commissioners of the Land O ffice, pursuant to this subsection
942	955		shall be reported by school district on forms developed by the State
943	956		Department of Education.
944	957		SECTION 3. This act shall become effective July 1, 2022.
945	958		SECTION 4. It being immediately nece ssary for the preservation
946	959		of the public peace, health or safety, an emergency is hereby
947	960		declared to exist, by reason whereof this act shall take effect and
948	961		be in full force from and after its passage and approval.
949		-	Passed the Senate the 21st day of March, 2022.
950		-
951		-
952		-
953		-	Presiding Officer of the Senate
954		-
955		-
956		-	Passed the House of Repre sentatives the ____ day of __________,
957		-	2022.
958		-
959		-
960		-
961		-	Presiding Officer of the House
962		-	of Representatives
963		-
	962	+	COMMITTEE REPORT BY: COMMITTEE ON EDUCATION
	963	+	February 22, 2022 - DO PASS AS AMENDED