Oklahoma 2024 Regular Session

Oklahoma House Bill HB2775 Latest Draft

Bill / Engrossed Version Filed 04/11/2023

                             
ENGR. S. A. TO ENGR. H. B. NO. 2775 	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 
  
ENGROSSED SENATE AMENDMENTS 
TO 
ENGROSSED HOUSE 
BILL NO. 2775 	By: McCall, McBride, Baker, 
Bashore, Moore, Humphrey, 
Luttrell, Caldwell (Chad), 
Maynard, Echols, and 
Hilbert of the House 
 
  and 
 
  Daniels and Jett of the 
Senate 
 
 
 
An Act relating to education; making appropriations 
*** directing certain appropriation to be distributed 
based on average daily membership *** act provisions; 
providing for conditional enactment ; providing for 
noncodification; providing an effective date; and 
declaring an emergency. 
 
 
 
 
AUTHOR: Add the following House Coauthor:  Culver 
 
AUTHOR: Remove as principal Senate author Daniels and subs titute as 
principal Senate author Treat 
 
AUTHOR: Add the following Senate Coauthors:  Pugh, Daniels, 
Bullard, Rogers, Rosino, Thompson (Kristen), McCortney, 
Thompson (Roger), Paxton, Hall, Coleman, Rader, Stephens, 
Burns, Jech, Newhouse, Stewart, Prieto, Montgomery, 
Murdock, Pederson, Dugger, Pemberton, Wea ver, Stanley, 
Garvin, Green, Kidd, Seifried, Alvord, Haste, Gollihare, 
Bergstrom, and Woods 
 
 
AMENDMENT NO. 1. Page 1, strike the title, enacting clause and 
entire bill and insert 
 
 
“An Act relating to schools; making an appropriation 
to the State Board of Education; providing purpose; 
prohibiting use of funds for certain purpose;   
ENGR. S. A. TO ENGR. H. B. NO. 2775 	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 
  
establishing minimum salary schedule for teachers; 
defining fringe benefits; specifying certain 
recognition of college degrees; requiring the State 
Board of Education to accept certain teaching 
experience; requiring certain notification; limiting 
teaching credit for c ertain service and experience; 
allowing school district to offer more credit; 
directing the Board to recognize certain experiences; 
prohibiting application of minimum salary schedule to 
certain retired teachers; requiring certain certified 
personnel to receive certain salary increase above 
certain level paid d uring certain school year; 
directing persons employed in certain capacities at 
technology center school districts, Department of 
Corrections facilities, and Office of Juvenile 
Affairs facilities to rec eive certain salary 
increase; making an appropriation; specifying use of 
funds; creating the Rewarding Excellent Educators 
Revolving Fund; specifying source of funds; providing 
for expenditures; providing purpose o f fund; defining 
terms; directing the State Department of Education to 
create the Rewarding Excellent Educators Grant 
Program; providing purpose; providing eligibility for 
grant funds; providing for award of funds on certain 
basis; directing use of grants; limiting the number 
of certain teachers and support employees that may 
receive certain bonuses; providing maximum bonus 
amount; amending 70 O.S. 2021, Section 18 -200.1, as 
last amended by Section 2, Chapter 488, O.S. L. 2021, 
which relates to alloc ation of State Aid; updating 
statutory language; increasing transportation factor; 
amending 70 O.S. 2021, Section 18 -201.1, which 
relates to calculation of weighted membership ; 
modifying certain category weights; updating 
statutory language; providing for codifica tion; 
providing conditional effective date; providing an 
effective date; and declaring an emergency. 
 
 
 
BE IT ENACTED BY THE PE OPLE OF THE STATE OF O KLAHOMA: 
SECTION 1.  There is hereby appropriated to the State Board of 
Education from any monies not otherwise appropriated from the 
General Revenue Fund of the State Treasury for the fis cal year   
ENGR. S. A. TO ENGR. H. B. NO. 2775 	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 
  
beginning July 1, 2023, the sum of Five Hundred Million Dollars 
($500,000,000.00) for the financial support of public schools . 
These monies shall be used to implement the provisions of Section 2 
of this act and to provide student supports.  Monies appropriated 
pursuant to this section shall not be used to provide a bonus or 
salary increase to an administrator, as defined by Section 6 -101.3 
of Title 70 of the Oklahoma Statutes. 
SECTION 2.     NEW LAW     A new section of law to be codified 
in the Oklahoma Statutes as Section 18-114.15 of Title 70, unless 
there is created a duplication in numbering, reads as follows: 
A.  Beginning with the 2023-2024 school year, certified 
personnel, as defined in Sect ion 26-103 of Title 70 of the Oklahoma 
Statutes, in the public schools of Oklahoma shall receive in salary 
and/or fringe benefits not less than the amounts specified in the 
following schedule: 
MINIMUM SALARY SCHEDULE 
 National 
Years of  Bachelor’s Board Master’s Doctor’s 
Experience Degree  Certification Degree Degree 
0 	$39,601 $40,759  $40,991 $42,381 
1 	$40,035 $41,193  $41,425 $42,815 
2 	$40,469 $41,628  $41,859 $43,249 
3 	$40,904 $42,062  $42,294 $43,684 
4 	$41,338 $42,496  $42,728 $44,118   
ENGR. S. A. TO ENGR. H. B. NO. 2775 	Page 4  1 
2 
3 
4 
5 
6 
7 
8 
9 
10 
11 
12 
13 
14 
15 
16 
17 
18 
19 
20 
21 
22 
23 
24 
  
5 	$42,810 $43,968  $44,200 $45,590 
6 	$43,273 $44,432  $44,663 $46,054 
7 	$43,737 $44,895  $45,127 $46,517 
8 	$44,200 $45,358  $45,590 $46,980 
9 	$44,663 $45,822  $46,054 $47,444 
10 	$46,684 $47,844  $48,568 $50,945 
11 	$47,177 $48,336  $49,061 $51,438 
12 	$47,670 $48,829  $49,554 $51,931 
13 	$48,162 $49,322  $50,047 $52,424 
14 	$48,655 $49,815  $50,539 $52,916 
15 	$50,167 $51,327  $52,052 $54,430 
16 	$50,660 $51,820  $52,545 $54,923 
17 	$51,153 $52,313  $53,038 $55,416 
18 	$51,646 $52,806  $53,531 $55,909 
19 	$52,139 $53,299  $54,024 $56,402 
20 	$52,652 $53,813  $54,538 $56,917 
21 	$53,145 $54,306  $55,031 $57,410 
22 	$53,639 $54,799  $55,524 $57,903 
23 	$54,132 $55,292  $56,018 $58,397 
24 	$54,625 $55,785  $56,511 $58,890 
25 	$56,049 $57,232  $57,971 $60,395 
Master’s Degree + 
Years of          National B oard 
Experience         Certif ication   
ENGR. S. A. TO ENGR. H. B. NO. 2775 	Page 5  1 
2 
3 
4 
5 
6 
7 
8 
9 
10 
11 
12 
13 
14 
15 
16 
17 
18 
19 
20 
21 
22 
23 
24 
  
0 	$42,149 
1 	$42,583 
2 	$43,018 
3 	$43,452 
4 	$43,886 
5 	$45,358 
6 	$45,822 
7 	$46,285 
8 	$46,749 
9 	$47,212 
10 	$49,728 
11 	$50,221 
12 	$50,713 
13 	$51,206 
14 	$51,699 
15 	$53,212 
16 	$53,705 
17 	$54,198 
18 	$54,691 
19 	$55,184 
20 	$55,698 
21 	$56,192 
22 	$56,685 
23 	$57,178   
ENGR. S. A. TO ENGR. H. B. NO. 2775 	Page 6  1 
2 
3 
4 
5 
6 
7 
8 
9 
10 
11 
12 
13 
14 
15 
16 
17 
18 
19 
20 
21 
22 
23 
24 
  
24 	$57,671 
25 	$59,153 
B.  1.  When determining the Minimum Salary Schedule, “fringe 
benefits” shall mean all or part of retirement b enefits, excluding 
the contributions made pursuant to subsection A of Section 17 -108.1 
of Title 70 of the Oklahoma Sta tutes and the flexible benefit 
allowance pursuant to Section 26 -105 of Title 70 of the Oklahoma 
Statutes from the flexible benefit allowan ce funds disbursed by the 
State Board of Education and the State Board of Career and 
Technology Education pursuant to Section 26-104 of Title 70 of the 
Oklahoma Statutes. 
2.  If a school district intends to provide retirement benefits 
to a teacher such tha t the teacher’s salary would be less than the 
amounts set forth in the minimum salary sc hedule specified in 
subsection A of this section, the district shall be required to 
provide written notification to the teacher prior to his or her 
employment or, if al ready employed by the district, no later than 
thirty (30) days prior to the date the dis trict elects to provide 
retirement benefits such that the teacher’s salary would be less 
than the minimum salary schedule. 
C.  Any of the degrees referred to in this se ction shall be from 
a college recognized by the State Board of Education.  The Board 
shall accept teaching experience from out-of-state school districts 
that are accredited by the State Board of Education or appropriate   
ENGR. S. A. TO ENGR. H. B. NO. 2775 	Page 7  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 accrediting agency for the dis tricts.  The Board shall accept 
teaching experience from out-of-country schools that are accredited 
or otherwise endorsed by the appropriate national or regional 
accrediting or endorsement authority.  Out -of-country certification 
documentation in a languag e other than English shall be analyzed by 
an educational credential evaluation service i n accordance with 
industry standards and guidelines and approved by the State 
Department of Education.  The person seeking to have credit granted 
for out-of-country teaching experience shall be responsible for all 
costs of the analysis by a credential eval uation service.  The Board 
shall accept teaching experience from primary and secondary schools 
that are operated by the United States Department of Defense or are 
affiliated with the United States Department of State. 
D.  For the purpose of state salary in crements and retirement, 
no teacher shall be granted credit for more than five (5) years of 
active duty in the military service or out -of-state or out-of-
country teaching experience as a certified teacher or its 
equivalent.  Nothing in this section shall p rohibit boards of 
education from crediting more years of experience on district salary 
schedules than those allowed for state purposes. 
E.  The State Board of Education shall recognize, for purposes 
of certification and salary increments, all the years of experience 
of a:   
ENGR. S. A. TO ENGR. H. B. NO. 2775 	Page 8  1 
2 
3 
4 
5 
6 
7 
8 
9 
10 
11 
12 
13 
14 
15 
16 
17 
18 
19 
20 
21 
22 
23 
24 
  
1.  Certified teacher who teaches in the educational program of 
the Department of Corrections, beginning with fiscal year 1981; 
2.  Vocational rehabili tation counselor under the Department of 
Human Services if the counselor was employed as a certified teacher 
by the State Department of Education when the Division of Vocational 
Rehabilitation was transferred from the State Board of Career and 
Technology Education or the State Board of Education to the Oklahoma 
Public Welfare Commission on Ju ly 1, 1968; 
3.  Vocational rehabilitation counselor which were completed 
while employed by the Department of Human Services if such counselor 
was certified as a teacher or was eligible for certification as a 
teacher in Oklahoma; 
4.  Certified teacher which were completed while employed by the 
Child Study Center located at University Hospital, if the teacher 
was certified as a teacher in Oklahoma; and 
5.  Certified school psychologist or psychometrist which were 
completed while employed as a doctoral intern, psychological 
assistant, or psychologist with any agency of the State of Oklahoma 
if the experience primarily involved work with persons of school - or 
preschool-age and if the person was, at the time the experience was 
acquired, certified as, or eligible for certification as, a school 
psychologist or psychometrist.   
ENGR. S. A. TO ENGR. H. B. NO. 2775 	Page 9  1 
2 
3 
4 
5 
6 
7 
8 
9 
10 
11 
12 
13 
14 
15 
16 
17 
18 
19 
20 
21 
22 
23 
24 
  
F.  The provisions of this section shall not apply to teachers 
who have entered into postretirement employ ment with a public school 
in Oklahoma and are still receiving a monthly retirement benef it. 
G.  If a person employed a s certified personnel, as defined in 
Section 26-103 of Title 70 of the Oklahoma Statutes, by a school 
district during the 2022 -2023 school year was receiving a salary 
above the step level indicated by the State Minimum Salary Schedule 
for the 2022-2023 school year, the person shall receive a salary 
increase amount equal to the amount indicated in subsection A for 
the step level indicated for the person, provided they remain 
employed by the same district, unless the hours or the duties of the 
certified personnel are reduced proportionately. 
H.  Persons employed as classroom instructional employees of 
technology center school districts supervised by the State Board of 
Career and Technology Education shall receive a salary increase 
amount equal to the amount indicated in subsection A of this section 
for the step level indicated for the person, provided they remain 
employed by the same technology center school district, unless the 
hours or the duties of the classroom instructional employees are 
reduced proportionately. 
I.  Persons employed as correctional teachers or vocational 
instructors by the Department of Corrections pursuant to Section 
510.6a of Title 57 of the Oklahoma Statutes or persons employed as 
teachers by the Office of Juvenile Affairs shall receive a salary   
ENGR. S. A. TO ENGR. H. B. NO. 2775 	Page 10  1 
2 
3 
4 
5 
6 
7 
8 
9 
10 
11 
12 
13 
14 
15 
16 
17 
18 
19 
20 
21 
22 
23 
24 
  
increase amount equal to the amount indicated in subsection A of 
this section for the step level indicated for the person, provided 
they remain employed by the same Department of Corrections or Office 
of Juvenile Affairs facility, unless the hours or the duties of the 
correctional teachers, vocational instructors, or teachers are 
reduced proportionately. 
SECTION 3.  There is hereby appropriated to the Rewarding 
Excellent Educators Revolving Fund created in Section 4 of this act 
from any monies not otherwise appropriated from the General Revenue 
Fund of the State Treasury for the fiscal year ending June 30, 2024, 
the sum of Thirty Million Dollars ( $30,000,000.00). 
SECTION 4.    NEW LAW     A new section of law to be codified 
in the Oklahoma Statutes as Section 18 -126 of Title 70, unless there 
is created a duplication in numbering, reads as follows: 
There is hereby created in the State Treasury a revolv ing fund 
for the State Board of Education to be designated the “Rewarding 
Excellent Educators Revolving Fund ”.  The fund shall be a continuing 
fund, not subject to fiscal year limitations, and shall consist of 
all monies received by the State Board of Educ ation from state 
appropriations.  All monies accruing to the credit of the fund are 
hereby appropriated and may be budgeted and expended by the State 
Board of Education for the purpose of implementing the provisions of 
Section 5 of this act.  Expenditures from the fund shall be ma de 
upon warrants issued by the State Treasurer against claims filed as   
ENGR. S. A. TO ENGR. H. B. NO. 2775 	Page 11  1 
2 
3 
4 
5 
6 
7 
8 
9 
10 
11 
12 
13 
14 
15 
16 
17 
18 
19 
20 
21 
22 
23 
24 
  
prescribed by law with the Director of the Office of Management and 
Enterprise Services for approval and payment. 
SECTION 5.    NEW LAW     A new section of law to be c odified 
in the Oklahoma Statutes as Section 18-126.1 of Title 70, unless 
there is created a duplication in numbering, reads as follows: 
A.  For the purposes of this act: 
1.  “Eligible teacher” means a certified person employed on a 
full-time basis by a school district to serve as a teacher, 
supervisor, counselor, librarian, or certified or registered nurse; 
and 
2.  “Eligible support employee ” means a full-time employee of a 
school district as determined by the standard period of lab or which 
is customarily understood to constitute full-time employment for the 
type of services performed by the employee who is employed a minimum 
of one hundred seventy -two (172) days and who provides those 
services, not performed by professional educator s or certified 
teachers, which are necessary for the efficient and satisfactory 
functioning of a school district and shall not include adult 
education instructors or adult coordinators employed by technology 
center school districts. 
B.  The State Departmen t of Education shall crea te the Rewarding 
Excellent Educators Grant Program for the purpose of providing grant 
funds to school districts to implement qualitative bonus pay plans 
for eligible teachers and eligible support employees.   
ENGR. S. A. TO ENGR. H. B. NO. 2775 	Page 12  1 
2 
3 
4 
5 
6 
7 
8 
9 
10 
11 
12 
13 
14 
15 
16 
17 
18 
19 
20 
21 
22 
23 
24 
  
C.  To receive grant fun ds, a school district boa rd of education 
shall approve and submit to the State Department of Education a 
qualitative bonus pay plan to reward high -performing eligible 
teachers and eligible support employees.  The plan shall include, 
but not be limited to, the following components: 
1.  Student growth, as defined by the school district board of 
education; 
2.  Peer evaluations; 
3.  Administrator evaluations; 
4.  Mentorship participation; and 
5.  Participation in extra responsibilities or duties. 
D.  The State Department of Education s hall award grant funds to 
school districts from the Rewarding Excellent Educators Revolving 
Fund created in Section 4 of this act on a first -come, first-served 
basis until funds appropriated pursuant to Section 3 of this act are 
exhausted. 
E.  Grants awarded pursuant to this section shall be used to 
provide one-time bonuses to eligible teachers and eligible support 
employees.  No more than ten percent (10%) of a school district ’s 
eligible teachers and eligible support employees may be provided 
one-time bonuses for the school year.  No bonus shall exceed Five 
Thousand Dollars ($5,000.00).   
ENGR. S. A. TO ENGR. H. B. NO. 2775 	Page 13  1 
2 
3 
4 
5 
6 
7 
8 
9 
10 
11 
12 
13 
14 
15 
16 
17 
18 
19 
20 
21 
22 
23 
24 
  
SECTION 6.     AMENDATORY    70 O.S. 2021, Section 18-200.1, as 
last amended by Section 2, Cha pter 488, O.S.L. 2021, is amen ded 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 collecte d during the preceding fiscal 
year, the adjusted assessed valuation of the preceding year , and the 
weighted average daily membership for the school district o f the 
preceding school year.  Each school district shall submit the 
following data based on the fi rst nine (9) weeks, to be used in the 
calculation of the average daily membership of the school district: 
1.  Student enrollment by grade level; 
2.  Pupil category counts; and 
3.  Transportation supplement data. 
On or before December 30, the State Departme nt of Education 
shall determine each school district’s current year allocation 
pursuant to subsection D of this section.  The State Department of 
Education shall complete an audit , using procedures established by 
the Department, of the student enrollment b y grade level data, pupil 
category counts, and transportation supplement data to be used in 
the State Aid Formula pursuant to subsection D of this se ction by 
December 1 and by Jan uary 15 shall notify each school district of 
the district’s final State Aid allocation for the current school   
ENGR. S. A. TO ENGR. H. B. NO. 2775 	Page 14  1 
2 
3 
4 
5 
6 
7 
8 
9 
10 
11 
12 
13 
14 
15 
16 
17 
18 
19 
20 
21 
22 
23 
24 
  
year.  The January payment of State Aid and each subsequent payment 
for the remainder of the school year shall be ba sed on the final 
State Aid allocation as calculated in subsection D of this s ection.  
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 t he 
school year shall not decrease by an amount more than the amount 
that the current chargeable revenue increases for that district. 
B.  The State Department of Education shall retain not less than 
one and one-half percent (1 1/2%) of the total funds appro priated 
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 funds, including the one 
and one-half percent (1 1/2%) retained, remaining a fter January 1 of 
each year is not sufficient t o fully fund the final allocat ions, 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, 1997, the amount of State Aid each 
district shall receive s hall be the sum of the Foundation Aid, the 
Salary Incentive Aid, and the Transportation Supplement, as adjusted 
pursuant to the provisions of subsect ion G of this section and 
Section 18-112.2 of this title; provided, no distri ct having per 
pupil revenue in excess of three hundred percent (300%) of the   
ENGR. S. A. TO ENGR. H. B. NO. 2775 	Page 15  1 
2 
3 
4 
5 
6 
7 
8 
9 
10 
11 
12 
13 
14 
15 
16 
17 
18 
19 
20 
21 
22 
23 
24 
  
average per pupil revenue of all districts shall receive any State 
Aid or Supplement in State Aid. 
The July calculation of per pupil revenue shall be determined by 
dividing the district’s second preceding year ’s total weighted 
average daily membership (ADM) into the district’s preceding year’s 
total revenues excluding federal revenue, insurance loss paymen ts, 
reimbursements, recovery o f overpayments and refunds, unused 
reserves, prior expenditures recovered, pr ior year surpluses, and 
less the amount of any transfer fees paid in that year. 
The December calculation of per pupil revenue shall be 
determined by dividing the district ’s preceding year’s total 
weighted average daily members hip (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 recov ered, prior year surpluses, 
and less the amount of any transfer fees paid in that year. 
D.  For the 1997-98 school year, and each school year 
thereafter, Foundation Aid, the Transportation Supplement , and 
Salary Incentive Aid shall be calculated as follows : 
1.  Foundation Aid shall be determined by sub tracting the amount 
of the Foundation Program Income from the cost of the Foundation 
Program and adding to this difference the Transportation Supplement. 
a. The Foundation Program shall be a district’s higher 
weighted average daily membership based on the first   
ENGR. S. A. TO ENGR. H. B. NO. 2775 	Page 16  1 
2 
3 
4 
5 
6 
7 
8 
9 
10 
11 
12 
13 
14 
15 
16 
17 
18 
19 
20 
21 
22 
23 
24 
  
nine (9) weeks of the cu rrent school year or the 
preceding school year of a school district, 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 Section 18 -201.1 of this 
title, multiplied by the Base F oundation Support 
Level.  However, for the portion of weighted 
membership derived from nonresident, transferred 
pupils enrolled in online courses, th e Foundation 
Program shall be a district’s weighted average daily 
membership of the preceding school year o r the first 
nine (9) weeks of the current school year, whichever 
is greater, 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 Section 
18-201.1 of this title, multiplied by th e Base 
Foundation Support Level. 
b. The Foundation Program Income shall be the sum of the 
following: 
(1) The adjusted assessed valuation of the curre nt 
school year of the school d istrict, minus the 
previous year protested ad v alorem tax revenues 
held as prescribed in Section 2884 of Title 68 of 
the Oklahoma Statutes, multiplied by the mills   
ENGR. S. A. TO ENGR. H. B. NO. 2775 	Page 17  1 
2 
3 
4 
5 
6 
7 
8 
9 
10 
11 
12 
13 
14 
15 
16 
17 
18 
19 
20 
21 
22 
23 
24 
  
levied pursuant to subsection (c) of Section 9 of 
Article X of the Oklahoma Constitution, if 
applicable, as adjusted in subsection (c) of 
Section 8A of Article X of the 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 revenue s are collected 
during the current school year, and 
(2) Seventy-five percent (75%) of the amount received 
by the school district from the proceeds of the 
county levy during the preceding fiscal year, as 
levied pursuant to subs ection (b) of Section 9 of 
Article X of the Oklahoma 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 c onsist of the amounts 
actually collected from such sources during the 
preceding fiscal year calculated on a per capita basis   
ENGR. S. A. TO ENGR. H. B. NO. 2775 	Page 18  1 
2 
3 
4 
5 
6 
7 
8 
9 
10 
11 
12 
13 
14 
15 
16 
17 
18 
19 
20 
21 
22 
23 
24 
  
on the unit provided for by law for the distributi on 
of each such revenue. 
2.  The Transportation Supplement shall be equal to the average 
daily haul times the p er capita allowance times the appropriate 
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 scho ol. 
b. The per capita allowanc e shall be determined using the 
following chart: 
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   
ENGR. S. A. TO ENGR. H. B. NO. 2775 	Page 19  1 
2 
3 
4 
5 
6 
7 
8 
9 
10 
11 
12 
13 
14 
15 
16 
17 
18 
19 
20 
21 
22 
23 
24 
  
.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 
.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 as follows: 
a. Multiply the Incentive Aid guarantee by the district’s 
higher weighted average daily membership based on the 
first nine (9) weeks o f the current school year or t he   
ENGR. S. A. TO ENGR. H. B. NO. 2775 	Page 20  1 
2 
3 
4 
5 
6 
7 
8 
9 
10 
11 
12 
13 
14 
15 
16 
17 
18 
19 
20 
21 
22 
23 
24 
  
preceding school year of a school district, 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 S ection 18-201.1 of this 
title. 
b. Divide the district’s adjusted assessed val uation of 
the current school year minus the previous year’s 
protested ad valorem tax revenues held as prescribed 
in Section 2884 of Title 68 of the Oklahoma Statutes, 
by one thousand (1,000) and subtract the quotient from 
the product of subparagraph a of t his paragraph.  The 
remainder shall not be less than zero (0). 
c. Multiply the number of mills levied for general fund 
purposes above the fifteen (15) mills required to 
support Foundation Aid pursuant to division (1) of 
subparagraph b of paragraph 1 of thi s subsection, not 
including the county four-mill levy, by the remainder 
of subparagraph b of this paragraph.  The product 
shall be the Salary Incentive Aid of the district. 
E.  By June 30, 1998, the State Department of Educati on shall 
develop and the Depar tment and all school districts shall have 
implemented a student identification system which is consistent with 
the provisions of sub sections C and D of Section 3111 of Title 74 of 
the Oklahoma Statutes.  The student identifica tion system shall be   
ENGR. S. A. TO ENGR. H. B. NO. 2775 	Page 21  1 
2 
3 
4 
5 
6 
7 
8 
9 
10 
11 
12 
13 
14 
15 
16 
17 
18 
19 
20 
21 
22 
23 
24 
  
used specifically for the purpose of reporting enrollment data by 
school sites and by school districts, the administration of the 
Oklahoma School Testing Program Act, the collection of app ropriate 
and necessary data pursuant to the Okl ahoma Educational Indicators 
Program, determining student enrollment, establishing a student 
mobility rate, allocation of the State Aid Formula , and midyear 
adjustments in funding for student growth.  This enr ollment data 
shall be submitted to the State De partment of Education in 
accordance with rules promulgated by the State Board of Education. 
Funding for the development, implementation, personnel training , and 
maintenance of the student identification syste m shall be set out in 
a separate line item in t he allocation section of the a ppropriation 
bill for the State Board of Education for each year. 
F.  1.  In the event that ad valorem taxes of a school district 
are determined to be uncollectible because of ban kruptcy, clerical 
error, or a successful tax pr otest, and the amount of such taxes 
deemed uncollectible exceeds Fifty Thousand 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 district is lowered by order of 
the State Board of Equalization, the school d istrict’s State Aid, 
for the school year that such ad valorem taxes are calculated in the 
State Aid Formula, shall be det ermined by subtracting the net 
assessed valuation of the p roperty upon which taxes were deemed 
uncollectible from the assessed valuatio n of the school district and   
ENGR. S. A. TO ENGR. H. B. NO. 2775 	Page 22  1 
2 
3 
4 
5 
6 
7 
8 
9 
10 
11 
12 
13 
14 
15 
16 
17 
18 
19 
20 
21 
22 
23 
24 
  
the state.  Upon request of the local board of education, it shall 
be the duty of the county assessor to certify to the Director of 
Finance of the State Department of Education the net assessed 
valuation of the property upon wh ich taxes were determined 
uncollectible. 
2.  In the event that the amount of funds a school district 
receives for reimbur sement from the Ad Valorem Reimbursement Fund is 
less than the amount of funds claimed for reimbursement by the 
school district due to insufficiency of funds as provided in Section 
193 of Title 62 of the Oklahoma Statutes, then the school district ’s 
assessed valuation for the school year that such ad valorem 
reimbursement is calculated in the State Aid Formul a 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 r educed by an 
amount equal to the amount of carryover in th e general fund of the 
district as of June 30 of the preceding fiscal year, th at is in 
excess of the following standards for two (2) consecutive years: 
Total Amount of 	Amount of 
General Fund Collecti ons, 	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%   
ENGR. S. A. TO ENGR. H. B. NO. 2775 	Page 23  1 
2 
3 
4 
5 
6 
7 
8 
9 
10 
11 
12 
13 
14 
15 
16 
17 
18 
19 
20 
21 
22 
23 
24 
  
 $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 o f Education shall send 
by certified mail, with return receipt requested, to each School 
District Superintendent school district superintendent , Auditor 
auditor, and Regional Accreditation Officer regional accreditation 
officer a notice of and calculation s heet reflecting the general 
fund balance penalty to be assessed against that school district.  
Calculation of the general fund balance penalty shall no t include 
federal revenue.  Within thirty (30) days of rec eipt of this written 
notice the school district shall submit to the Departmen t a written 
reply either accepting or protesting the penalty to be assessed 
against the district.  If protesting, the sch ool district shall 
submit with its reply the reasons for r ejecting the calculations and 
documentation supporting those reasons.  The De partment shall review 
all school district penalty protest documentation and notify each 
district by March 15 of its findi ng and the final penalty to be 
assessed to each district. General fund balance penalties shall be 
assessed to all school districts by April 1.   
ENGR. S. A. TO ENGR. H. B. NO. 2775 	Page 24  1 
2 
3 
4 
5 
6 
7 
8 
9 
10 
11 
12 
13 
14 
15 
16 
17 
18 
19 
20 
21 
22 
23 
24 
  
3.  Any school district which receives proceeds from a tax 
settlement or a Federal Emergency Management Agency s ettlement 
during the last two (2) months of the preceding fiscal year shall be 
exempt from the penalties assessed in this subsection, i f the 
penalty would occur solely as a result of receiving funds from the 
tax settlement. 
4.  Any school district which re ceives an increase in State Aid 
because of a change in Fou ndation 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 
the penalty would occur sol ely as a result of receiving funds from 
the increase in State Aid. 
5.  If a school district does not rece ive Foundation and/or 
Salary Incentive Aid during the preceding fiscal year, the State 
Board of Education may waive the penalty assessed in this subsec tion 
if the penalty would result in a loss of more than fo rty 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 the school district not 
to meet remaining financial obligations. 
6.  Any school district which receives gross produ ction 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 year shall be exempt from t he   
ENGR. S. A. TO ENGR. H. B. NO. 2775 	Page 25  1 
2 
3 
4 
5 
6 
7 
8 
9 
10 
11 
12 
13 
14 
15 
16 
17 
18 
19 
20 
21 
22 
23 
24 
  
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 participate 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 s chool 
year in which the consolidation or annexation occurs and for the 
next three (3) fiscal years. 
8.  Any school district which receives proceeds from 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 Ti tle 68 of the Oklahoma Statutes 
during the 2003-2004 school year or the 2004 -2005 school 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 
sales tax levy. 
9.  Any school district which has an amount of carryove r in the 
general fund of the d istrict in excess of the limits established in 
paragraph 1 of this subsection during the fiscal years b eginning 
July 1, 2020, July 1, 2021, July 1, 2022, and July 1, 2023, shall 
not be assessed a general fund balance penalty a s provided for in 
this subsection.   
ENGR. S. A. TO ENGR. H. B. NO. 2775 	Page 26  1 
2 
3 
4 
5 
6 
7 
8 
9 
10 
11 
12 
13 
14 
15 
16 
17 
18 
19 
20 
21 
22 
23 
24 
  
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 startup funds for the implementation of 
early childhood programs, State Aid may be advanced to school 
districts that initially start early childhood instruction at a 
school site.  School districts that desire such advanced funding 
shall make application t o the State Department of Education no later 
than September 15 of each year a nd advanced funding shall be awarded 
to the approved districts no later than October 30.  The advanced 
funding shall not exceed the per pupil amount of State Aid as 
calculated in subsection D of this section per anticipated He ad 
Start eligible student.  Th e 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 Okl ahoma Tax Commission, 
notwithstanding any provision of law to the contrary, shall report 
monthly to the State Department of Education the monthly 
apportionment of the following information: 
a. the assessed valuation of property, 
b. motor vehicle collection s, 
c. R.E.A. tax collected, an d 
d. gross productions tax collected.   
ENGR. S. A. TO ENGR. H. B. NO. 2775 	Page 27  1 
2 
3 
4 
5 
6 
7 
8 
9 
10 
11 
12 
13 
14 
15 
16 
17 
18 
19 
20 
21 
22 
23 
24 
  
2.  Beginning July 1, 1997, the State Auditor and Inspector ’s 
Office, notwithstanding any provision of law to the contrary, shall 
report monthly to the State Department of Education the mo nthly 
apportionment of the pro ceeds of the county levy. 
3.  Beginning July 1, 1996, the Commissioners of the Land 
Office, notwithstanding any provision of law to the contrary, shall 
report monthly to the State Department of Education the monthly 
apportionment of state apportionment. 
4.  Beginning July 1, 1997, the county treasurers’ offices, 
notwithstanding any provision of law to the c ontrary, shall report 
monthly to the State Department of Education the ad va lorem tax 
protest amounts for each county. 
5.  The information reported by th e Tax Commission, the State 
Auditor and Inspector’s Office, the county treasurers ’ offices, and 
the Commissioners of the Land Office, pursuant to this subsection 
shall be reported by school district on forms developed by the S tate 
Department of Education. 
SECTION 7.    AMENDATORY    70 O.S. 2021, Section 18-201.1, is 
amended to read as f ollows: 
Section 18-201.1.  A.  Beginning with the 2020 -21 school year, 
and each school year thereafter, the weighted member ship 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, th e   
ENGR. S. A. TO ENGR. H. B. NO. 2775 	Page 28  1 
2 
3 
4 
5 
6 
7 
8 
9 
10 
11 
12 
13 
14 
15 
16 
17 
18 
19 
20 
21 
22 
23 
24 
  
weighted pupil category calculation, the weig hted 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 calcul ation, and the 
weighted teacher experience and degree calculation. 
B.  Beginning with the 2022-2023 school year, the weight ed 
calculations provided for i n subsection A of this section shall be 
based on the higher weighted average daily membership of the fi rst 
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 w eighted 
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 membersh ip from the 
preceding school year to the average daily membership of the first 
nine (9) weeks of the current school year.  The averag e daily 
membership data used for all calculations in paragraphs 1, 2, 3 , and   
ENGR. S. A. TO ENGR. H. B. NO. 2775 	Page 29  1 
2 
3 
4 
5 
6 
7 
8 
9 
10 
11 
12 
13 
14 
15 
16 
17 
18 
19 
20 
21 
22 
23 
24 
  
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 determ ined as follows: 
1.  The weighted pupil grade level calculation shall be 
determined by taking the highest average daily mem bership and 
assigning weights to the pupils according to grade attended as 
follows: 
GRADE LEVEL 	WEIGHT 
a. Half-day early childhood programs .7 
b. Full-day early childhood programs 1.3 
c. Half-day kindergarten 	1.3 
d. Full-day kindergarten 	1.5 
e. First and second grade 	1.351 
f. Third grade 	1.051 
g. Fourth through sixth grade 	1.0 
h. Seventh through twelfth grade 	1.2 
i. 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.  De termination of the pupils 
eligible for the early childhood program weight shall be pursu ant 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   
ENGR. S. A. TO ENGR. H. B. NO. 2775 	Page 30  1 
2 
3 
4 
5 
6 
7 
8 
9 
10 
11 
12 
13 
14 
15 
16 
17 
18 
19 
20 
21 
22 
23 
24 
  
not residents of the sch ool district in which they are receiving 
education pursuant to the provisions of subsect ion D of Section 1-
113 of this title.  Such wei ght may be claimed by the dist rict 
providing educational services to such student for the days that 
student is enrolled i n that district.  If claimed, the out -of-home 
placement weight shall be in lieu of the p upil 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 
(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 ca lculation shall be determined 
by assigning a weight to the pupil category as follows: 
CATEGORY 	WEIGHT 
a. Visual Impairment 	3.8 
b. Specific Learning Disability 	.4 .5 
c. Deafness or Hearing Impairment 	2.9 
d. Deaf-Blindness 	3.8 
e. Intellectual Disability 	1.3 1.5 
f. Emotional Disturbance 	2.5 
g. Gifted 	.34 
h. Multiple Disabilities 	2.4 
i. Orthopedic Impairment 	1.2   
ENGR. S. A. TO ENGR. H. B. NO. 2775 	Page 31  1 
2 
3 
4 
5 
6 
7 
8 
9 
10 
11 
12 
13 
14 
15 
16 
17 
18 
19 
20 
21 
22 
23 
24 
  
j. Speech or Language Impairment 	.05 .1 
k. Bilingual 	.25 
l. Special Education Summer Program 	1.2 
m. Economically Disadvantaged 	.25 .3 
n. Optional Extended School Year 
Program 	As determined by 
  	the State Board 
  	of Education 
o. Autism 	2.4 
p. Traumatic Brain Injury 	2.4 
q. Other Health Impairment 	1.2 
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 we ighted pupil category 
calculation for a school district.  For the 1997-98 school year and 
subsequent school years, the number to be multiplied by the weight 
assigned to the gifted category in subparagraph g of this paragraph 
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 number of students identified 
as gifted pursuant to subparagraphs a thr ough d of paragraph 1 of 
Section 1210.301 of th is title, or (2) the sum of th e number of 
students who scored in the top three percent (3%) on any national   
ENGR. S. A. TO ENGR. H. B. NO. 2775 	Page 32  1 
2 
3 
4 
5 
6 
7 
8 
9 
10 
11 
12 
13 
14 
15 
16 
17 
18 
19 
20 
21 
22 
23 
24 
  
standardized test of intellectual ability plus eight percent (8%) of 
the total average daily membersh ip of the school 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 district for both the 
small school district formula and the district sparsi ty - isolation 
formula, applying whichever is t he greater of the calculations of 
the two formulas and then applying the restrictions pursuant to 
subparagraph c of this paragraph. 
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 appl y 
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 t o 
the Oklahoma School Voluntary Consolidation and Annexation 
Act shall have the wei ghted district size calculation for 
the three (3) school years following the fiscal year in 
which such consolidation occurred calculated to be the sum 
of the individual cons olidated districts comp uted as if the 
consolidation had not taken place.  Thereafte r, any such 
district which is consolidated pursuant to the Oklahoma 
School Voluntary Consolidation and Annexation Act shall no t   
ENGR. S. A. TO ENGR. H. B. NO. 2775 	Page 33  1 
2 
3 
4 
5 
6 
7 
8 
9 
10 
11 
12 
13 
14 
15 
16 
17 
18 
19 
20 
21 
22 
23 
24 
  
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 counted as additional students 
for the purpose of calcu lating State Aid. 
b. District sparsity - isolation formula: 
The district sparsity - isolation formula calculation shall 
apply only to school districts: 
(1) whose total area in square miles is greater than 
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 squar e miles. 
The district sparsity - isolation formula calculation shall 
be calculated as follows: 
The school district student cost fa ctor multiplied by 
the school district area factor.  The resulting 
product shall be multiplied by the school district ’s 
average daily membership.  Subject to the provisions 
of subparagraph c of th is paragraph, the resulting   
ENGR. S. A. TO ENGR. H. B. NO. 2775 	Page 34  1 
2 
3 
4 
5 
6 
7 
8 
9 
10 
11 
12 
13 
14 
15 
16 
17 
18 
19 
20 
21 
22 
23 
24 
  
number shall be counted as addit ional 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 membersh ip shall 
be categorized into the following grade level groups 
and applied to the ap propriate formulas as computed 
below: 
Grade Level Group 
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.   
ENGR. S. A. TO ENGR. H. B. NO. 2775 	Page 35  1 
2 
3 
4 
5 
6 
7 
8 
9 
10 
11 
12 
13 
14 
15 
16 
17 
18 
19 
20 
21 
22 
23 
24 
  
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 calc ulated as 
follows: 
Subtract the state average distric t area from the 
district area, then divide the remainder by the state 
average district area; 
however, the district area cost f actor shall not exceed o ne 
(1.0). 
The State Board of Education shall define g eographical barriers 
whose location in a school distr ict would inhibit the district from 
consolidation or annexation.  The Board shall make available an 
application process, revie w applications, and for districts the 
Board deems necessary allow additional square miles to be used for 
the purposes of calculati ons used for the weighted district sparsity 
- isolation formula.  Provided, that the additional square miles 
allowed for geographical barriers shall n ot exceed thirty percen t 
(30%) of the district ’s actual size. 
c. State Aid funds which a district is calcu lated to 
receive as a result of the weighted district 
calculation shall be restricted as follows:   
ENGR. S. A. TO ENGR. H. B. NO. 2775 	Page 36  1 
2 
3 
4 
5 
6 
7 
8 
9 
10 
11 
12 
13 
14 
15 
16 
17 
18 
19 
20 
21 
22 
23 
24 
  
If, after the weighted distr ict 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 reduced by 
an amount that will restrict the district ’s 
projected per pupil revenue to one hundred fift y 
percent (150%) of the projec ted state average per 
pupil revenue.  Provided, in ap plying the 
restriction provided in this division, the 
district’s State Aid shall not be reduced by an 
amount greater than by t he amount of State Aid 
which was generated by t he 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 deg ree index 
calculations for projected State Aid into t he 
district’s projected total revenues including 
projected funds for the State Aid Formula for the 
preceding year, net assesse d valuation for the 
preceding calendar year tim es thirty-nine (39) mills,   
ENGR. S. A. TO ENGR. H. B. NO. 2775 	Page 37  1 
2 
3 
4 
5 
6 
7 
8 
9 
10 
11 
12 
13 
14 
15 
16 
17 
18 
19 
20 
21 
22 
23 
24 
  
county revenues excluding the county four-mills 
revenues for the second 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 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 
daily membership (ADM) as weighted by th e 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 Formu la, net 
assessed valuation for the current calendar y ear 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, g ross production 
tax, and R.E.A. tax.   
ENGR. S. A. TO ENGR. H. B. NO. 2775 	Page 38  1 
2 
3 
4 
5 
6 
7 
8 
9 
10 
11 
12 
13 
14 
15 
16 
17 
18 
19 
20 
21 
22 
23 
24 
  
The district’s projected total revenues for each 
calculation shall exclude the following collections 
for the second preceding year: fede ral revenue, 
insurance loss payments, reimbursements, recovery of 
overpayments and refunds, unused reserves, prior 
expenditures recovered, prior year surpluses, and 
other local miscellaneous revenues. 
4.  The weighted teacher experience and degree calculat ion shall 
be determined in acc ordance 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 
district’s teacher personnel reports of the precedin g 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 e ach school district shall 
be determined by subtractin g the weighted average state teacher from   
ENGR. S. A. TO ENGR. H. B. NO. 2775 	Page 39  1 
2 
3 
4 
5 
6 
7 
8 
9 
10 
11 
12 
13 
14 
15 
16 
17 
18 
19 
20 
21 
22 
23 
24 
  
the weighted average district teacher.  Multiply the school district 
teacher index if greater than zero by .7 and then multiply tha t 
product by the sum of the di strict’s weighted pupil grade level 
calculation provided in paragraph 1 of this subsection and the 
weighted pupil category calculation provided in subparagraph m of 
paragraph 2 of this subsection to determine the weighted teac her 
experience and degree calc ulation. 
C.  Each school district shall allocate fund s 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 
generated the pupil category weight(s).  Expenditures shall be 
reported using the Oklahoma Cost Accoun ting System. 
SECTION 8.  The provisions of this act shall not become 
effective as law unless Enrolled House Bill No. 1935 of the 1st 
Session of the 59th Oklahoma Legi slature becomes effective as law . 
SECTION 9.  This act shall become effective July 1, 2023. 
SECTION 10.  It being immediately necessary for the preservation 
of the public peace, health or safety, an emergency is hereby 
declared to exist, by reason whereof this act shall tak e effect and 
be in full force from and after its passage and approval. ” 
 
 
 
   
ENGR. S. A. TO ENGR. H. B. NO. 2775 	Page 40  1 
2 
3 
4 
5 
6 
7 
8 
9 
10 
11 
12 
13 
14 
15 
16 
17 
18 
19 
20 
21 
22 
23 
24 
  
Passed the Senate the 30th day of March, 2023. 
 
 
  
 	Presiding Officer of the Senate 
 
 
Passed the House of Representatives the ____ day of __________, 
2023. 
 
 
  
 	Presiding Officer of the House 
 	of Representatives   
ENGR. H. B. NO. 2775 	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 
  
ENGROSSED HOUSE 
BILL NO. 2775 	By: McCall, McBride, Baker, 
Bashore, Moore, Humphrey, 
Luttrell, Caldwell (Chad), 
Maynard, Echols, and 
Hilbert of the House 
 
   and 
 
  Daniels and Jett of the 
Senate 
 
 
 
 
 
 
 
An Act relating to education; making appropriations 
to the State Board of Education; specifying 
appropriation amount s; providing a pay increase for 
all active classroom teacher s; directing certain 
appropriation to be distributed based on average 
daily membership; establishing maximum distribution 
amount; providing allowable expenditures for 
appropriated funds; including certain schools in 
funding eligibility; providing a pay increase for 
certain employees; including appropriations in per-
pupil expenditure calculations; prohibiting 
severability of act provisions; providing for 
conditional enactment ; providing for noncodification; 
providing an effective date; and declaring an 
emergency. 
 
 
 
 
 
 
 
BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA: 
SECTION 11.  There is hereby appropriated to the State Board of 
Education from any monies not otherwise a ppropriated from the 
General Revenue Fund of the State Treasur y for the fiscal year   
ENGR. H. B. NO. 2775 	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 
  
ending June 30, 2024, the sum of One Hundred Fifty Million Dollars 
($150,000,000.00) for the financial support of public schools. A 
portion of these monies and monies appropriated in Section 3 of this 
act shall be used to increase salaries of all public school district 
active classroom teachers, as defined in Secti on 17-101 of Title 70 
of the Oklahoma Statutes, in the amount of Two Thousand Five Hundred 
Dollars ($2,500.00) per active classroom teacher for the 2023-2024 
school year.  If a person employed as an active classroom teacher by 
a school district during the 2022-2023 school year was receiving a 
salary greater than the step level indicated by the state or local 
Minimum Salary Schedule for the 2022-2023 school year, the person 
shall receive a salary increase in the amo unt of Two Thousand Five 
Hundred Dollars ($2,500.00) greater than his or her salary for the 
2022-2023 school year, provided the person remains employed by the 
same district and the hours or duties of the person are n ot reduced. 
SECTION 12.  There is hereby appropriated to the Oklahoma 
Student Fund of the State Treasury created in Enrolled House Bill 
No. 1935 enacted by the 1st Session of the 59th Oklahoma Legislature 
from any monies not otherwise appropriated from the General Revenue 
Fund of the State Treasury for the fiscal year ending June 30, 2024, 
the sum of Fifty Million Dollars ($50,000,000.00) to be distributed 
in a proportional manner the same as redbud school grants provided 
for in subsection B of Section 3-104 of Title 70 of the Oklahoma 
Statutes.   
ENGR. H. B. NO. 2775 	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 
  
SECTION 13. There is hereby appropriated to the Oklahoma 
Student Fund of the State Treasury created in Enrolled House Bill 
No. 1935 enacted by the 1st Session of the 59th Oklahoma L egislature 
from any monies not otherwise appropriated from the General Revenue 
Fund of the State Treasury for the fiscal year ending June 30, 2024, 
the sum of Three Hundred Million Dollars ($300,000,000.00) to be 
distributed to public school districts in t he state based on the 
weighted average daily membership of the preceding school year for 
the school district to be utilized as provided in this section, but 
in no event shall any district receive more than Two Million Dollars 
($2,000,000.00).  The appropriated moni es may only be used for the 
following expenditures: 
1.  Teacher and support staff salaries, not including salaries 
of administrators; 
2.  Programs and facilities related to instruction in science, 
technology, engineering, and mathematics; 
3.  Textbooks, curriculum, or other instructional materials 
including, but not limited to, supplemental materials or associated 
online instruction applications or materials ; 
4.  Computer hardware or other technological devices, 
educational software, and applications that a re used to meet 
curriculum needs and bolster academic outcomes of students;   
ENGR. H. B. NO. 2775 	Page 4  1 
2 
3 
4 
5 
6 
7 
8 
9 
10 
11 
12 
13 
14 
15 
16 
17 
18 
19 
20 
21 
22 
23 
24 
  
5.  Increasing classroom capacity and additional institutional 
space for academic instruction if the school is at full academ ic 
capacity; 
6.  Instruments, supplies, acc essories, and materials that 
provide instruction in drama, music, speech and debate, agriculture, 
or other similar activities; 
7.  Fees for nationally standardized assessments inclu ding, but 
not limited to, assessments used to determine college admissio n and 
advanced placement examinations as well as tuition and fees for 
tutoring, remediation, or prepara tory courses for the assessments; 
8.  Summer education programs and specialized a fter-school 
education programs; provided, however, that such expense sh all not 
include before-school or after-school child care; 
9.  Student support services, including only health, 
psychological, guidance, therapy, and attendance services; and 
10.  Tuition and fees for concurrent enroll ment at an 
institution within The Oklahoma State System of Higher Education 
only for amounts that are not paid by the Oklahoma State Regents fo r 
Higher Education. 
SECTION 14.    NEW LAW     A new section of la w not to be 
codified in the Oklahoma Statutes reads a s follows: 
A.  For the purposes of funds appropriated pursuant to Sections 
1, 2, and 3 of this act, the Oklahoma School for the Blind a nd the 
Oklahoma School for the Deaf shall be considered public schools and   
ENGR. H. B. NO. 2775 	Page 5  1 
2 
3 
4 
5 
6 
7 
8 
9 
10 
11 
12 
13 
14 
15 
16 
17 
18 
19 
20 
21 
22 
23 
24 
  
public school districts that are eligible to r eceive the funds 
appropriated in Sections 1, 2, and 3 of this act.  
B. Persons employed as active classroom teachers by the 
Oklahoma School for the Blind or the Oklahoma School for the Deaf 
shall receive a salary increase, in the amount of Two Thousand Five 
Hundred Dollars ($2,500.00) per active classroom teacher for the 
2023-2024 school year.  If a person employed a s an active classroom 
teacher by the Oklahoma School for the Blind or the Oklahoma School 
for the Deaf during the 2022-2023 school year was receiving a salary 
greater than the step level indicated by the st ate or local Minimum 
Salary Schedule for the 2022 -2023 school year, the person shall 
receive a salary increase in the amount of Two Thousan d Five Hundred 
Dollars ($2,500.00) greater than his or her sal ary for the 2022-2023 
school year, provided the person remains employed by the Oklahoma 
School for the Blind or the Oklahoma S chool for the Deaf and the 
hours or duties of the person are not red uced. 
C. Persons employed as classroom instructional employees of 
technology center school districts supervised by the State Board of 
Career and Technology Education shall receive a salary increase, in 
the amount of Two Thousand Five Hundred Dollars ($ 2,500.00) per 
classroom instructional employee for the 2023-2024 school year.  If 
a person employed as a classroom instructional employee by a 
technology center school district during the 202 2-2023 school year 
was receiving a salary greater than the step level indicated by the   
ENGR. H. B. NO. 2775 	Page 6  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 or local Minimum Sala ry Schedule for the 2022-2023 school 
year, the person shall receive a salar y increase in the amount of 
Two Thousand Five Hundred Dollars ($2,5 00.00) greater than his or 
her salary for the 2022-2023 school year, provided the person 
remains employed by the s ame technology center school district and 
the hours or duties of the person are not reduced. 
D.  Persons employed as Correctional Teachers or Vocational 
Instructors by the Department of Corrections pursuant to Section 
510.6a of Title 57 of the Oklahoma Statutes or persons employed as 
teachers by the Office of Juveni le Affairs shall receive a salary 
increase, in the amount of Two Thousand Five Hu ndred Dollars 
($2,500.00) per person for the 2023-2024 school year.  If a person 
employed as provided in this subsection during the 2022-2023 school 
year was receiving a salar y greater than the step level indicated by 
the state or local Minimum Salary Sche dule for the 2022-2023 school 
year, the person shall receive a salar y increase in the amount of 
Two Thousand Five Hundred Dollars ($2,500.0 0) greater than his or 
her salary for the 2022-2023 school year, provided the person 
remains employed by the Department of Corrections or the Office of 
Juvenile Affairs and the hours or duties of the person are not 
reduced. 
E.  The funds appropriated pursua nt to Sections 1, 2, and 3 of 
this act shall be included in any calculation of per -pupil   
ENGR. H. B. NO. 2775 	Page 7  1 
2 
3 
4 
5 
6 
7 
8 
9 
10 
11 
12 
13 
14 
15 
16 
17 
18 
19 
20 
21 
22 
23 
24 
  
expenditure as defined i n Section 1-124 of Title 70 of the Oklahoma 
Statutes. 
SECTION 15. The provisions of this act shall not be severable, 
and if any provision of this act or the application thereof to any 
person or circumstances is held invalid, such invalidity shall 
invalidate the other provisions or applications of this act. 
SECTION 16. The provisions of this act shall be contingent upon 
the enactment of Enrolled House Bill No. 1935 of the 1st Session of 
the 59th Oklahoma Legislature. 
SECTION 17.  This act shall become effective July 1, 2023. 
SECTION 18.  It being immediately necessary for the prese rvation 
of the public peace, health or safety, an emergency is hereb y 
declared to exist, by reason whereof this act shall take effect and 
be in full force from and after its passage and approval. 
Passed the House of Representatives the 22nd day of February, 
2023. 
 
 
 
  
 	Presiding Officer of the House 
 	of Representatives 
 
 
Passed the Senate the ___ day of __________, 2023. 
 
 
 
  
 	Presiding Officer of the Senate 
 
   
ENGR. H. B. NO. 2775 	Page 8  1 
2 
3 
4 
5 
6 
7 
8 
9 
10 
11 
12 
13 
14 
15 
16 
17 
18 
19 
20 
21 
22 
23 
24