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SENATE FLOOR VERSION
March 1, 2023
AS AMENDED
SENATE BILL NO. 527 By: Pugh of the Senate
and
Martinez of the House
[ school funding - State Aid - transportation facto r
- weighted membership - grade level and category
weights - effective date -
emergency ]
BE IT ENACTED BY THE P EOPLE OF THE STATE OF OKLAHOMA:
SECTION 1. AMENDATORY 70 O.S. 2021, Section 18 -109.5, is
amended to read as follows:
Section 18-109.5. A. As used in Section 18 -201.1 of this
title:
1. “Visual impairment” means an impairment in vision that, even
with correction, adversely affects a child ’s educational
performance. This includes both partial sight and blindne ss;
2. “Specific learning disability ” means a disorder in one or
more of the basic psychological processes involved in und erstanding
or in using language, spoken or written, that may manifest itself in
the imperfect ability to listen, think, speak, read, write, spell,
or to do mathematical calculations, including condi tions such as
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perceptual disabilities, brain injury, minim al brain dysfunction,
dyslexia, and developmental aphasia. The term does not include
learning problems that are primarily the result o f visual, hearing,
or motor disabilities, of intellectual disab ility, of emotional
disturbance or of environmental, cultu ral, or economic disadvantage;
3. “Deafness” means a hearing impairment that is so severe that
the child is impaired in processing lingu istic information through
hearing, with or without amplificat ion, that adversely affects a
child’s educational performa nce;
4. “Economically disadvantaged ” means all children who qualify
for free or reduced lunches;
5. “Intellectual disability ” means significantly subaverage
general intellectual functioning, exist ing concurrently with
deficits in adaptive behavior and ma nifested during the development
period, that adversely affects a child ’s educational performance;
6. “Emotional disturbance ” means a condition exhibiting one or
more of the following characteristic s over a long period of time and
to a marked degree that a dversely affects a child ’s educational
performance:
a. an inability to learn which cannot be explained by
intellectual, sensory , or health factors,
b. an inability to build or maintain satisfactory
interpersonal relationships with peers and teachers,
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c. inappropriate types of behavior or feelings under
normal circumstances,
d. a general pervasive mood of unhappiness or depression,
or
e. a tendency to develop physical symptoms or fears
associated with personal or school problems.
The term includes children w ho are schizophrenic. The term does not
include children who are socially maladjusted, unless it is
determined that they are seriously em otionally disturbed;
7. “Gifted” means identified students as outlined in Section
1210.301 of this title;
8. “Hearing impairment” means an impairment in hearing, whether
permanent or fluctuating, that adversely affects a child ’s
educational performance b ut that is not included under the
definition of “deafness”;
9. “Multiple disabilities” means concomitant impairments, such
as intellectual disability – blindness or intellectual disability –
orthopedic impairment, the combination of which causes such seve re
educational needs that they cannot be accommodated in spe cial
education programs solely for one of the impairments. The term does
not include deaf-blindness;
10. “Orthopedic impairment ” means a severe orthopedic
impairment that adversely affects a chi ld’s educational performance.
The term includes impairments caused by a congenital anomaly,
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impairments caused by dis ease such as poliomyelitis and bone
tuberculosis, and impairments from other causes such as cerebral
palsy, amputations and, fractures, or burns that cause contractures;
11. “Other health impairmen t” means having limited strength,
vitality, or alertness, including a heightened alertness to
environmental stimuli, that results in limited alertness with
respect to the educational environment that adversely affects a
child’s educational performance and is due to chronic or acute
health problems such as asthma, attention deficit disorder or
attention deficit hyperactivity disorder, diabetes, epilepsy, a
heart condition, hemophilia, lead poisoning, l eukemia, nephritis,
rheumatic fever, sickle cell anemia , and Tourette syndrome;
12. “Speech or language impairment ” means a communication
disorder, such as stuttering, impaired articulation, a language
impairment, or a voice impairment, that adversely affe cts a child’s
educational performance;
13. “Deaf-blindness” means concomitant hearing and visual
impairments, the combination of which causes such severe
communication and other developmental and educational problems that
they cannot be accommodated in sp ecial education programs solely for
children with deafne ss or children with blindness;
14. “Autism” means a developmental disability significantly
affecting verbal and nonverbal communication and social interaction,
generally evident before age three (3), that adversely affects a
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child’s educational performanc e. Other characteristics often
associated with autism are engagement in repetitive activities and
stereotyped movements, resistance to environmental change or change
in daily routines, and unusual re sponses to sensory experiences.
Autism does not apply i f a child’s educational performance is
adversely affected primarily because the child has an emotional
disturbance, as defined in this subsection;
15. “Traumatic brain injury ” means an acquired injur y to the
brain caused by an external physical force, res ulting in total or
partial functional disability or psycho social impairment, or both,
that adversely affects a child ’s educational performance. Traumatic
brain injury applies to open or closed head i njuries resulting in
impairments in one or more areas su ch as cognition; language;
memory; attention; reasoning; a bstract thinking; judgment; problem -
solving; sensory, perceptual, and motor abilities; psychosocial
behavior; physical functions; information processing; and speech.
Traumatic brain injury does not apply to brain injuries that are
congenital or degenerati ve or to brain injuries induced by birth
trauma;
16. “Bilingual” “English learner” means those students a
student who have limited English speaking abilities or who come from
homes where English is not the dominant language as reported on the
current year application for accreditation :
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a. (1) was not born in the United States or whose native
language is a language other than English,
(2) is a Native American or Alaska Native or a native
resident of the outlying areas and who comes from
an environment where a language other than
English has had a significant impact on the
individual’s level of English language
proficiency, or
(3) is migratory, whose native language is a language
other than English and who comes from an
environment where a language other than English
is dominant, and
b. whose difficulties in speaking, reading, writing , or
understanding the English language may be sufficient
to deny the individual the ability to meet the subject
matter standards adopted pursuant to Section 11-103.6
of this title, the ability to successfully achieve in
classrooms where the language of ins truction is
English, or the opportunity to participate fully in
society. A student shall no longer be a n English
learner when he or she successfully demonstrates
English language proficiency on an assessment
designated by the State Department of Education;
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17. “Special Education Summer Program ” means those summer
school programs which school districts may provide for chil dren who
are severely or profoundly multiple -handicapped if their
individualized education program states the need for a continuing
educational experience to prevent loss of educational achievement or
basic life skills. Any school district receiving funds for such
special education summer programs shall prov ide services as provided
in Section 13-101 of this title; and
18. “Optional Extended School Year Program ” means the program
defined in Section 1 -109.1 of this title.
B. The State Board of Education is hereby authorized to modify
and redefine by rule the definitions set out in this section
whenever such modification is required to receive federal assistance
therefor.
SECTION 2. AMENDATORY 7 0 O.S. 2021, Section 18 -200.1, as
last amended by Section 2, Chapter 488, O.S.L. 2021, is amended to
read as follows:
Section 18-200.1. A. Beginning with the 2022 -2023 school year,
and each school year thereafter, each school district shall have its
initial allocation of State Aid calculated based on the state
dedicated revenues actually collec ted during the preceding fiscal
year, the adjusted assessed valuation of the preceding year, and the
weighted average daily membership for the school district of the
preceding school year. Each school district shall submit the
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following data based on the first nine (9) weeks, to be used in the
calculation of the average daily membe rship of the school district:
1. Student enrollment by grade level;
2. Pupil category counts; and
3. Transportation suppl ement data.
On or before December 30, the State Depart ment of Education
shall determine each school district ’s current year allocati on
pursuant to subsection D of this section. The State Department of
Education shall complete an audit, using procedures es tablished by
the Department, of the student enrollment by grade level data, pupil
category counts, and transportation supplement data to be used in
the State Aid Formula pursuant to subsection D of this section by
December 1 and by January 15 shall notify each school district of
the district’s final State Aid allocation for the current school
year. The January payment of State Aid and each subsequent payment
for the remainder of the school year shall be based on the final
State Aid allocation as calculated in subsection D of this section.
Except for reductions made due to the assessment of penalties by the
State Department of Education according to law, the January payment
of State Aid and each subsequent payment for the remainder of the
school year shall not decrease by an amount more than the amount
that the current chargeable revenue increases for that district.
B. The State Departm ent of Education shall retain not less than
one and one-half percent (1 1/2%) of the total funds appropriated
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for financial support of schools, to be used to make midyear
adjustments in State Aid and which shall be reflected in the final
allocations. If the amount of appropriated fund s, including the one
and one-half percent (1 1/2%) retained, remaining after January 1 of
each year is not sufficient to fully fund the final alloc ations, the
Department shall recalculate each school district ’s remaining
allocation pursuant to subsection D of this section using the
reduced amount of appropriated funds.
C. On and after July 1, 199 7, the amount of State Aid each
district shall receive shall be the sum of the Foundation Aid, the
Salary Incentive Aid , and the Transportation Supplement, as adjus ted
pursuant to the provisions of subsection G of this section and
Section 18-112.2 of this title; provided, no district having per
pupil revenue in excess of three hundred percent (300%) of the
average per pupil revenue of al l districts shall receive any State
Aid or Supplement in State Aid.
The July calculation of per pupil revenue shall be det ermined by
dividing the district’s second preceding ye ar’s total weighted
average daily membership (ADM) into the district ’s preceding year’s
total revenues excludi ng federal revenue, insurance loss payments,
reimbursements, recovery of overpayments and re funds, unused
reserves, prior expenditures recovered, prior year surpluses, and
less the amount of any transfer fees paid in that year .
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The December calculation of per pupil revenue shall be
determined by dividing the district ’s preceding year’s total
weighted average daily membership (ADM) into the district ’s
preceding year’s total revenues excluding federal revenue, insurance
loss payments, reimbursements, recovery of overpayments and refunds,
unused reserves, prior expenditures recovered, prior year surp luses,
and less the amount of any transfer fees paid i n that year.
D. For the 1997-98 school year, and each school year
thereafter, Foundation Aid, the Transportat ion Supplement, and
Salary Incentive Aid shall be calculated as follows:
1. Foundation Aid shall be determined by subtracting the amount
of the Foundation Program Income from the cost of the Foundation
Program and adding to th is difference the Transportati on Supplement.
a. The Foundation Program shall be a district ’s higher
weighted average dail y membership based on the first
nine (9) weeks of the current school year or the
preceding school year of a school district, as
determined by the provisions of subse ction A of
Section 18-201.1 of this title and paragraphs 1, 2, 3 ,
and 4 of subsection B of Section 18-201.1 of this
title, multiplied by the Base Foundation Support
Level. However, for the portion of weighted
membership derived from nonresident, transferre d
pupils enrolled in online courses, the Foundation
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Program shall be a district ’s weighted average daily
membership of the preceding school year or the first
nine (9) weeks of the current school year, whichever
is greater, as determined by the provisions o f
subsection A of Section 18-201.1 of this title and
paragraphs 1, 2, 3, and 4 of subsection B of Section
18-201.1 of this title, multiplied by the Base
Foundation Support Level.
b. The Foundation Program Income shall be the su m of the
following:
(1) The adjusted assessed valuation of the current
school year of the school district, minus the
previous year protested ad valorem tax revenues
held as prescribed in Section 2884 of Title 68 of
the Oklahoma Statutes, multiplied by the mills
levied pursuant to subse ction (c) of Section 9 of
Article X of the Oklahoma Constitution, if
applicable, as adjus ted in subsection (c) of
Section 8A of Article X of th e Oklahoma
Constitution. For purposes of this subsection,
the “adjusted assessed valuation of the current
school year” shall be the adjusted assessed
valuation on which tax revenues are collected
during the current school year, and
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(2) Seventy-five percent (75%) of the amount received
by the school district from the proceeds of the
county levy during the preceding f iscal year, as
levied pursuant to subsection (b) of Section 9 of
Article X of the Oklahom a Constitution, and
(3) Motor Vehicle Collections motor vehicle
collections, and
(4) Gross Production Tax gross production tax, and
(5) State Apportionment state apportionment, and
(6) R.E.A. Tax tax.
The items listed in divisions (3), (4) , (5), and (6)
of this subparagraph shall consist of the amounts
actually collected from such sources during the
preceding fiscal year calculated on a per capita basis
on the unit provided for by law for th e distribution
of each such revenue.
2. The Transportation Supplement shall be equal to the average
daily haul times the per capita allowance times the appropria te
transportation factor.
a. The average daily haul shall be the number of children
in a district who are legally transported and who live
one and one-half (1 1/2) miles or more from school.
b. The per capita allowa nce shall be determined using the
following chart:
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PER CAPITA PER CAPITA
DENSITY FIGURE ALLOWANCE DENSITY FIGURE ALLOWANCE
.3000 - .3083 $167.00 .9334 - .9599 $99.00
.3084 - .3249 $165.00 .9600 - .9866 $97.00
.3250 - .3416 $163.00 .9867 - 1.1071 $95.00
.3417 - .3583 $161.00 1.1072 - 1.3214 $92.00
.3584 - .3749 $158.00 1.3215 - 1.5357 $90.00
.3750 - .3916 $156.00 1.5358 - 1.7499 $88.00
.3917 - .4083 $154.00 1.7500 - 1.9642 $86.00
.4084 - .4249 $152.00 1.9643 - 2.1785 $84.00
.4250 - .4416 $150.00 2.1786 - 2.3928 $81.00
.4417 - .4583 $147.00 2.3929 - 2.6249 $79.00
.4584 - .4749 $145.00 2.6250 - 2.8749 $77.00
.4750 - .4916 $143.00 2.8750 - 3.1249 $75.00
.4917 - .5083 $141.00 3.1250 - 3.3749 $73.00
.5084 - .5249 $139.00 3.3750 - 3.6666 $70.00
.5250 - .5416 $136.00 3.6667 - 3.9999 $68.00
.5417 - .5583 $134.00 4.0000 - 4.3333 $66.00
.5584 - .5749 $132.00 4.3334 - 4.6666 $64.00
.5750 - .5916 $130.00 4.6667 - 4.9999 $62.00
.5917 - .6133 $128.00 5.0000 - 5.5000 $59.00
.6134 - .6399 $125.00 5.5001 - 6.0000 $57.00
.6400 - .6666 $123.00 6.0001 - 6.5000 $55.00
.6667 - .6933 $121.00 6.5001 - 7.0000 $53.00
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.6934 - .7199 $119.00 7.0001 - 7.3333 $51.00
.7200 - .7466 $117.00 7.3334 - 7.6667 $48.00
.7467 - .7733 $114.00 7.6668 - 8.0000 $46.00
.7734 - .7999 $112.00 8.0001 - 8.3333 $44.00
.8000 - .8266 $110.00 8.3334 - 8.6667 $42.00
.8267 - .8533 $108.00 8.6668 - 9.0000 $40.00
.8534 - .8799 $106.00 9.0001 - 9.3333 $37.00
.8800 - .9066 $103.00 9.3334 - 9.6667 $35.00
.9067 - .9333 $101.00 9.6668 or more $33.00
c. The formula transportation factor shall be 1.39 2.0.
3. Salary Incentive Aid shall be determined a s follows:
a. Multiply the Incentive Aid guarantee b y the district’s
higher weighted average daily mem bership based on the
first nine (9) weeks of the current school year or the
preceding school year of a school di strict, as
determined by the provisions of subsection A of
Section 18-201.1 of this title and paragraphs 1, 2, 3,
and 4 of subsection B of Sectio n 18-201.1 of this
title.
b. Divide the district’s adjusted assessed v aluation of
the current school year minus the previous year’s
protested ad valorem t ax revenues held as prescribed
in Section 2884 of Ti tle 68 of the Oklahoma Statutes,
by one thousand (1,000) and subtract the quotient from
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the product of subparagraph a of this paragraph. The
remainder shall not be less than zero (0).
c. Multiply the number of mills levied for genera l fund
purposes above the fifteen (15) mills required to
support Foundation Aid pursuant to division (1) of
subparagraph b of paragraph 1 of t his subsection, not
including the county f our-mill levy, by the remainder
of subparagraph b of this paragraph. Th e product
shall be the Salary Incentive Aid of the district.
E. By June 30, 1998, the State Department of Education shall
develop and the Department and all school districts shall hav e
implemented a student identification sys tem which is consistent with
the provisions of subse ctions C and D of Section 3111 of Title 74 of
the Oklahoma Statutes. The student identification system shall be
used specifically for the purpose of reporting en rollment data by
school sites and by schoo l districts, the administratio n of the
Oklahoma School Testing Program Act, the collection of appropri ate
and necessary data pursuant to the Oklahoma Educational Indicators
Program, determining student enrollment, establishing a student
mobility rate, allocation of the State Aid Formul a, and midyear
adjustments in funding for student growth. This enrollmen t data
shall be submitted to the State Department of Education in
accordance with rules promulgated by the State Board of Education.
Funding for the deve lopment, implementation, perso nnel training, and
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maintenance of the student identification system shall be set out in
a separate line item in the allocation section of the appropriation
bill for the State Board of E ducation for each year.
F. 1. In the event that ad valorem taxes of a school district
are determined to be uncollectible because of bankruptcy , clerical
error, or a successful tax protest, and the amount of suc h taxes
deemed uncollectible exceeds Fifty T housand Dollars ($50,000.00) or
an amount greater than twenty-five percent (25%) of ad valorem taxes
per tax year, or the valuation of a distric t is lowered by order of
the State Board of Equalization, the school district’s State Aid,
for the school year t hat such ad valorem taxes are calculated i n the
State Aid Formula, shall be determined by subt racting the net
assessed valuation of the property upon which taxes were deemed
uncollectible from the assessed valuat ion of the school district and
the state. Upon request of the local board of education, it shall
be the duty of the county assessor to ce rtify to the Director of
Finance of the State Depa rtment of Education the net assessed
valuation of the property upon which taxes were determined
uncollectible.
2. In the event that the amount of funds a school district
receives for reimbursement from the Ad Valorem Reimbursement Fund is
less than the amount of funds claimed for reimbursement by the
school district due t o insufficiency of funds as provided in Sect ion
193 of Title 62 of the Oklahoma Statut es, then the school district’s
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assessed valuation fo r the school year that such ad valorem
reimbursement is calculated in the State Aid Formula shall be
adjusted accordingly.
G. 1. Notwithstanding the provisions of Section 18-112.2 of
this title, a school district shall have its State Aid reduced by an
amount equal to the amount of carryover in the gener al fund of the
district as of June 30 of the preceding fiscal year, that is in
excess of the following standards for two (2) consecutive years:
Total Amount of Amount of
General Fund Collections, General Fund
Excluding Previous Year Balance
Cash Surplus as of June 30 Allowable
Less than $1,000,000 48%
$1,000,000 - $2,999,999 42%
$3,000,000 - $3,999,999 36%
$4,000,000 - $4,999,999 30%
$5,000,000 - $5,999,999 24%
$6,000,000 - $7,999,999 22%
$8,000,000 - $9,999,999 19%
$10,000,000 or more 17%
2. By February 1 the State Department of Education shall send
by certified mail, with return receipt requested, to each School
District Superintendent school district superi ntendent, Auditor
auditor, and Regional Accreditation Officer regional accreditation
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officer a notice of and calculation sheet reflecting the general
fund balance penalty to be assessed against that school district.
Calculation of the general fund balance penalty shall not include
federal revenue. Within thirty (30) days of receipt of this written
notice the school district shall submit to the Departm ent a written
reply either accepting or protesting the penalty to be assessed
against the district. If protesting, the school district shall
submit with its reply the reasons for rejecting the calculations and
documentation supporting those reasons. The Department shall review
all school district penalty protest documentation and notify each
district by March 15 of i ts finding and the final penalty to be
assessed to each district. General fund balance penalties shall be
assessed to all school districts b y April 1.
3. Any school district which receives proceeds from a tax
settlement or a Federal Emergency Management Agency settlement
during the last two (2) months of the preceding fiscal year shall be
exempt from the penalties assessed in this subsection, if the
penalty would occur solely as a result of receiving funds from the
tax settlement.
4. Any school district which receives an increase in State Aid
because of a change in Foundation and/or Salary Incentive Aid
factors during the last two (2) months of the preceding fiscal year
shall be exempt from the penalties assessed in this subsection, if
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the penalty would occur solely as a result of receiving funds from
the increase in State Aid.
5. If a school district does not receive Foundation and/or
Salary Incentive Aid during the preceding fiscal year, the State
Board of Education may waive the penalty assessed in thi s subsection
if the penalty would result i n a loss of more than forty percent
(40%) of the remaining State Aid to be allocated to the school
district between April 1 and the remainder of the school year and if
the Board determines the penalty will cause th e school district not
to meet remaining fi nancial obligations.
6. Any school district which receives gross production revenue
apportionment during the 2002-2003 school year or in any subsequent
school year that is greater than the gross production revenue
apportionment of the preceding school yea r shall be exempt from the
penalty assessed in this subsection, if the penalty would occur
solely as a result of the gross production revenue apportionment, as
determined by the State Board of Education.
7. Beginning July 1, 2003, school districts that pa rticipate in
consolidation or annexation pursuant to the provisions of the
Oklahoma School Voluntary Consolidation and Annexation Act shall be
exempt from the penalty assessed in this subsection for the school
year in which the consolidation or annexation occurs and for the
next three (3) fiscal years.
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8. Any school district which receives proceeds fro m a sales tax
levied by a municipality pursuant to Section 22 -159 of Title 11 of
the Oklahoma Statutes or proceeds from a sales tax levied by a
county pursuant to Section 1370 of Title 68 of the Oklahoma Statutes
during the 2003-2004 school year or the 200 4-2005 school year shall
be exempt from the penalties assessed in this subsection, if the
penalty would occur solel y as a result of receiving funds from the
sales tax levy.
9. Any school district which has an amount of carryover in the
general fund of the district in excess of the limits established in
paragraph 1 of this subsection during the fiscal years beginning
July 1, 2020, July 1, 2021, July 1, 2022, a nd July 1, 2023, shall
not be assessed a general fund balance penalty as provided for in
this subsection.
10. For purposes of calculating the general fund balance
penalty, the terms “carryover” and “general fund balance” shall not
include federal revenue.
H. In order to provide start up funds for the implementation of
early childhood programs, State Ai d may be advanced to school
districts that initially start early childhood instruction at a
school site. School di stricts that desire such advanced funding
shall make application to the State Department of Education no later
than September 15 of each year and advanced funding shall be awarded
to the approved districts no later than October 30. The advanced
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funding shall not exceed the per pupil amount of Sta te Aid as
calculated in subsec tion D of this section per anticipated Head
Start eligible student. The total amount of advanced funding shall
be proportionately reduced from the monthly payments of the
district’s State Aid payments during the last six (6) months of the
same fiscal year.
I. 1. Beginning July 1, 1996, the Oklahoma Tax Commission,
notwithstanding any provision of law to the contrary, shall report
monthly to the State Department of Education the month ly
apportionment of the following informat ion:
a. the assessed valuation of property,
b. motor vehicle collections,
c. R.E.A. tax collected, and
d. gross productions tax collected.
2. Beginning July 1, 1997, the State Auditor and Inspector ’s
Office, notwithstanding any provision of law to the con trary, shall
report monthly to the State Department of Education the monthly
apportionment of the p roceeds of the county levy.
3. Beginning July 1, 1996, the Commissioners of the Land
Office, notwithstanding any p rovision of law to the contrary, shall
report monthly to the State Depar tment of Education the monthly
apportionment of state apportionment.
4. Beginning July 1, 1997, the county treasurers ’ offices,
notwithstanding any provision of law to the contrary, s hall report
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monthly to the State Departmen t of Education the ad valorem tax
protest amounts for each county.
5. The information reported by the Tax Commission, the State
Auditor and Inspector ’s Office, the county treasurers ’ offices, and
the Commissioners of the Land Office, pursuant to this subse ction
shall be reported by sch ool district on forms developed by the State
Department of Education .
SECTION 3. AMENDATORY 70 O.S. 2021, Section 18 -201.1, is
amended to read as follows:
Section 18-201.1. A. Beginning with the 2020 -21 school year,
and each school year thereafter, the weighted membership of a school
district for calculation of Foundation Aid purposes pursuant to
paragraph 1 of subsection D of Section 18 -200.1 of this title shall
be the sum of the weighted pupil grade level calculation, the
weighted pupil category calculation, the weighted district
calculation, and the weighted teacher experience and degree
calculation. The weighted membership of a school district for
calculation of Salary Incentive Aid purposes pursuant to paragraph 3
of subsection D of Section 18-200.1 of this title shall be the sum
of the weighted pupil grade level calculation, the weighted pupil
category calculation, the weighted district calculation , and the
weighted teacher experience and degree calculation.
B. Beginning with the 2022-2023 school year, the weighted
calculations provided for in subsection A of this section shall be
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based on the higher weighted average daily membership of the first
nine (9) weeks of the current school year or the preceding school
year of a school district, unless otherwise specified. The higher
of the two (2) weighted average daily memberships shall be used
consistently in all of the calculations; however, the weighted
calculation for a statewide virtual charter school experiencing a
significant decline in membership shall be based on the first nine
(9) weeks of the current school year for the statewide virtual
charter school. For purposes of this subsection, “significant
decline in membership ” means equal to or greater than a fifteen
percent (15%) decrease in average daily membership from the
preceding school year to the average daily membership of the first
nine (9) weeks of the current school year. The average daily
membership data used for all calculations in paragraphs 1, 2, 3 , and
4 of this subsection shall be the same as used in the calculation of
the State Aid Formula. The weighted calculations provided for in
subsection A of this section shall be determined as follows:
1. The weighted pupil grade level calculation shall be
determined by taking the highest average daily membership and
assigning weights to the pupils according to grade attended as
follows:
GRADE LEVEL WEIGHT
a. Half-day early childhood programs .7 1
b. Full-day early childhood programs 1.3 1
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c. Half-day kindergarten 1.3 1.5
d. Full-day kindergarten 1.5
e. First and second grade 1.351
f. Third through third grade 1.051 1.5
g. f. Fourth through sixth grade 1.0
h. Seventh through twelfth grade 1.2 1.0
i. g. Out-of-home placement 1.50
Multiply the membership of each subparagraph of this paragraph
by the weight assigned to such subparagraph of this paragraph and
add the totals together to determine the weighted pupil grade level
calculation for a school district. Determination of the pupils
eligible for the early childhood program weight shall be pursuant to
the provisions of Section 1 -114 of this title. The pupils eligible
for the out-of-home placement pupil weight shall be students who are
not residents of the school district in which they are receiving
education pursuant to the provis ions of subsection D of Section 1-
113 of this title. Such weight may be claimed by the district
providing educational services to such student for the days that
student is enrolled in that district. If claimed, the out -of-home
placement weight shall be i n lieu of the pupil grade level and any
pupil category weights for that student. Provided, if a student
resides in a juvenile detention center that is restricted to less
than twelve (12) beds, the out -of-home placement pupil weight for
such students shall be calculated as follows: for a center with six
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(6) beds - 3.0; for a center with eight (8) beds - 2.3; and for a
center with ten (10) beds - 1.80.
2. The weighted pupil category calculation shall be determined
by assigning a weight to the pupil category as follows:
CATEGORY WEIGHT
a. Visual Impairment 3.8 4.0
b. Specific Learning Disability .4 .5
c. Deafness or Hearing Impairment 2.9 3.0
d. Deaf-Blindness 3.8 4.0
e. Intellectual Disability 1.3 1.5
f. Emotional Disturbance 2.5
g. Gifted .34 .35
h. Multiple Disabilities 2.4 2.5
i. Orthopedic Impairment 1.2 1.25
j. Speech or Language Impairment .05 .1
k. Bilingual English learner .25
l. Special Education Summer Program 1.2 1.25
m. Economically Disadvantaged .25 .5
n. Optional Extended School Year
Program As determined by
the State Board
of Education
o. Autism 2.4 2.5
p. Traumatic Brain Injury 2.4 2.5
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q. Other Health Impairment 1.2 1.25
Except as otherwise provided, multiply the number of pupils
approved in the school year with the highest average daily
membership in each category by the weight assigned to such category
and add the totals together to determine the weighted pupil category
calculation for a school district. For the 1997 -98 school year and
subsequent school years, the number to be multiplie d by the weight
assigned to the gifted category in sub paragraph g of this paragr aph
shall be the lesser of (1) the sum of the number of students who
scored in the top three percent (3%) on any national standardized
test of intellectual ability plus the num ber of students identified
as gifted pursuant to subpa ragraphs a through d of pa ragraph 1 of
Section 1210.301 of this title, or (2) the sum of the number of
students who scored in the top three percent (3%) on any national
standardized test of intellectual ability plus eight percent (8%) of
the total average daily membership of the sc hool district for the
first nine (9) weeks of the school year.
3. The weighted district calculation shall be determined by
determining the calculations for each school distric t for both the
small school district formula and the d istrict sparsity - isolation
formula, applying whichever is the greater of the calculations of
the two formulas and then applying the restrictions pursuant to
subparagraph c of this paragraph.
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a. Small school district formula: 529 minus the average
daily membership divided by 529 times .2 times total
average daily membership.
The small school district formula calculation shall apply
only to school districts whose highest average daily
membership is less than 529 pupils. School districts which
are consolidated or annexed after July 1, 2003, pursuant to
the Oklahoma School Voluntary Consolidation and Annexation
Act shall have the weighted district size calculation for
the three (3) school years following the fiscal year in
which such consolidation occurred c alculated to be the sum
of the individual consolidated districts computed as if the
consolidation had not taken place. Thereafter, any such
district which is consolidated pursuant to the Oklahoma
School Voluntary Consolidation and Annexation Act shall not
qualify for the weighted district calculation unless the
district can satisfy the specifications herein. Subject to
the provisions of subparagraph c of this paragraph, the
resulting number shall be co unted as additional students
for the purpose of calcul ating State Aid.
b. District sparsity - isolation formula:
The district sparsity - isolation formula calculation shall
apply only to school districts:
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(1) whose total area in square miles is greater tha n
the average number of square miles for all school
districts in this state; and
(2) whose areal density is less than one -fourth (1/4)
of the state average areal density. Areal
density shall be determined by dividing the
school district’s average daily membership by the
school district’s total area in square miles.
The district sparsity - isolation formula calculation shall
be calculated as follows:
The school district student cost factor multiplied by
the school district area factor. The resulting
product shall be multiplied by the school district ’s
average daily membership. Subjec t to the provisions
of subparagraph c of this paragraph, the resulting
number shall be counted as additional students for the
purpose of calculating State Aid.
The school district student cost factor shall be calculated
as follows:
The school district’s average daily membership shall
be categorized into the following grade level groups
and applied to the appropriate formulas as computed
below:
Grade Level Group
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Grades K-5 Divide 74 by the sum of the Grade
Level ADM plus 23,
add .85 to the quotient, then
multiply the sum by the Grade
Level ADM.
Grades 6-8 Divide 122 by the sum of the Grade
Level ADM plus 133,
add .85 to the quotient, then
multiply the sum by the Grade
Level ADM.
Grades 9-12 Divide 292 by the sum of the Grade
Level ADM plus 128,
add .78 to the quotient, then
multiply the sum by the Grade
Level ADM.
The sum of the grade level group ’s average daily
membership shall be divided by the school district ’s
average daily membership. The number one (1.0) shall
be subtracted from the resulting quotien t.
The school district area cost factor shall be calculated as
follows:
Subtract the state average district area from the
district area, then divide the remainder by the state
average district area;
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however, the district area cost fa ctor shall not exceed o ne
(1.0).
The State Board of Education shall define geographical barriers
whose location in a school district would inhibit the district from
consolidation or annexation. The Boa rd shall make available an
application process, review applications, and for districts the
Board deems necessary allow additional square miles to be used for
the purposes of calculations used for the weighted district sparsity
- isolation formula. Provide d, that the additional square miles
allowed for geographical barriers shall not exceed thirty percent
(30%) of the district ’s actual size.
c. State Aid funds which a district is calculated to
receive as a result of the weighted district
calculation shall be restricted as follows:
If, after the weighted distri ct calculation is
applied, the district ’s projected per pupil
revenue exceeds one hundred fifty percent (150%)
of the projected state average per pupil revenue,
then the district’s State Aid shall be re duced by
an amount that will restrict the district ’s
projected per pupil revenue to one hundred fifty
percent (150%) of the projected state average per
pupil revenue. Provided, in applying the
restriction provided in this division, the
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district’s State Aid shall not be reduced by an
amount greater than by th e amount of State Aid
which was generated by the weighted district
calculation.
The July calculation of the projected per pupil
revenue shall be determined by dividing the district ’s
preceding year’s average daily membership (ADM) as
weighted by the pupil grade level, the pupil category,
the district and the teacher experience degree index
calculations for projected State Aid into the
district’s projected total revenues including
projected funds for the State Aid Formula for the
preceding year, net assessed valuation for the
preceding calendar year times thirty -nine (39) mills,
county revenues excluding the county four -mills
revenues for the second preceding year, other state
appropriations for the preced ing year, and the
collections for the preceding year o f state
apportionment, motor vehicle revenue, gross production
tax, and R.E.A. tax.
The December calculation of the projected per pupil
revenue shall be determined by dividing the higher of
the district’s first nine (9) weeks of the current
school year or the preceding school year ’s average
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daily membership (ADM) as weighted by the pupil grade
level, the pupil category, the district and the
teacher experience degree index calculations for
projected State Aid into the district’s projected
total revenues including funds for the December
calculation of the current year State Aid Formula, net
assessed valuation for the current calendar year times
thirty-nine (39) mills, county revenues excluding the
county four-mills revenue for the preceding year,
other state appropriations for the preceding year , and
the collections for the preceding year of state
apportionment, motor vehicle revenue, gross production
tax, and R.E.A. tax.
The district’s projected total reven ues for each
calculation shall exclude the following c ollections
for the second preceding year: federal revenue,
insurance loss payments, reimbursements, recovery of
overpayments and refunds, unused reserves, prior
expenditures recovered, prior year surplu ses, and
other local miscellaneous revenues.
4. The weighted teacher experience and degree calculation shall
be determined in accordance with the teacher experience and degree
index. The State Department of Education shall determine an index
for each state teacher by using data supplied in the school
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district’s teacher personnel reports of the preceding year and
utilizing the index as follows:
TEACHER EXPERIENCE - DEGREE INDEX
EXPERIENCE BACHELOR’S MASTER’S DOCTOR’S
DEGREE DEGREE DEGREE
0 - 2 .7 .9 1.1
3 - 5 .8 1.0 1.2
6 - 8 .9 1.1 1.3
9 - 11 1.0 1.2 1.4
12 - 15 1.1 1.3 1.5
Over 15 1.2 1.4 1.6
The school district teacher index for each school district shall
be determined by subtracting the weighted average state teacher from
the weighted average district t eacher. Multiply the school district
teacher index if greater than zero by .7 and then multiply that
product by the sum of the district ’s weighted pupil grade level
calculation provided in paragraph 1 of this subsection and the
weighted pupil category cal culation provided in subparagraph m of
paragraph 2 of this subsection to determine the weighted teacher
experience and degree calculation.
C. Each school district shall allocate funds generated by the
pupil category weights provided for in paragraph 2 of subsection B
of this section to provide instruction and services to students who
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generated the pupil category weight(s). Expenditures shall be
reported using the Oklahoma Cost Accounting System.
SECTION 4. This act shall become effective July 1, 2023.
SECTION 5. It being immediately necessa ry for the preservation
of the public peace, health, or safety, an emergency is hereby
declared to exist, by reason whereof thi s act shall take effect and
be in full force from and after its passage and approval.
COMMITTEE REPORT BY: COMMITTEE ON APPROPRIATIONS
March 1, 2023 - DO PASS AS AMENDED