Req. No. 7052 Page 1 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 STATE OF OKLAHOMA 1st Session of the 59 th Legislature (2023) HOUSE BILL 2071 By: Caldwell (Chad) AS INTRODUCED An Act relating to schools; requiring school district to spend certain percentage of budget on instructional expenditu res; mandating annual increase to comply with requirement; providing for written warning notice for failure to comply; directing warning notice be posted on district website; requiring increased compensation for failure to comply for four consecutive years ; mandating permanent compensation increase; defining terms; providing for codification; providing an effective date; and declaring an emergency . BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA: SECTION 1. NEW LAW A new section of law to be codified in the Oklahoma Statutes as Section 5-128.3 of Title 70, unless there is created a duplication in numbering, reads as follows: A. Beginning with the 202 3-2024 school year, the board of education of each school distri ct in the state shall spend no less than sixty percent (60%) of its annual budget on instructional expenditures. B. If a school district spends less th an sixty percent (60%) of its annual budget on instructional expenditures, it shall increase Req. No. 7052 Page 2 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 its instructional expenditures by no less than two percent (2%) each year until the amount spent on instructional expenditures reaches sixty percent (60%) of its a nnual budget. C. If a school district spends less than sixty percent (60%) of its annual budget on in structional expenditures and does not increase its spending as provided in subsection B of this section, the school district shall receive a written warnin g notice from the State Department of Education. The notice shall also be posted on the website of the school district. D. If a school district spends less than sixty percent (60%) of its annual budget on instructional expenditures and does not increase its spending as provided in subsection B of this section for four (4) consecutive years after receiv ing the notice provided in subsection C of this section, the school district shall increase compensation for all teachers in the school district by two percen t (2%) for each year in that period in which the school district did not increase instructional expenditures by a minimum of two percent (2%). The pay increase required pursuant to this subsection shall be permanent. E. As used in this section: 1. "Annual budget" means a plan of financial operations using revenues contributed from local, state , and federal sources but shall not include revenue received from bond sales, the sale of Req. No. 7052 Page 3 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 property or equipment, school fundraisers , or nonprofit organization contributions or grants; and 2. "Instructional expenditures " means instruction and instruction-related expenditures as defined by the National Center for Education Statistics, a federal entity within the United States Department of Education. SECTION 2. This act shall become effective July 1, 2023. SECTION 3. It being immediately necessary 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. 59-1-7052 EK 01/04/23