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2023 - 2024 LEGISLATURE
2023 ASSEMBLY BILL 876
January 2, 2024 - Introduced by Representatives JOERS, C. ANDERSON, MADISON,
CLANCY, RATCLIFF, CONLEY, J. ANDERSON, BALDEH, BARE, CONSIDINE, DRAKE,
JACOBSON, NEUBAUER, PALMERI, SINICKI and STUBBS, cosponsored by Senators
SPREITZER, ROYS and AGARD. Referred to Committee on Education.
***AUTHORS SUBJECT TO CHANGE***
AN ACT to amend 121.91 (7); and to create 121.91 (4) (m) of the statutes;
relating to: a school district revenue limit adjustment for the cost of unfunded
state mandates on school districts.
Analysis by the Legislative Reference Bureau
Current law generally limits the total amount of revenue per pupil that a school
district may receive from general school aids and property taxes in a school year to
the amount of revenue allowed per pupil in the previous school year plus a per pupil
increase, if any, as provided by law. However, current law also includes several
adjustments to the general revenue limit. For example, if a school district increases
the services that it provides by adding responsibility for providing a service
transferred to it from another governmental unit, the school district's revenue limit
is increased by the cost of that service.
This bill creates a school district revenue limit adjustment for costs incurred to
comply with an unfunded mandate. The bill defines an “unfunded mandate” as a
state law requirement enacted after the date on which the bill becomes law for a
school board to take an action or provide a service for which funding is not provided.
To receive a revenue limit adjustment for an unfunded mandate, a school board must
submit a request to the Department of Public Instruction that identifies the
unfunded mandate and the costs incurred to comply with the unfunded mandate and
DPI must approve the request. If a school district receives state funding to comply
with an unfunded mandate, the amount of the revenue limit adjustment is reduced
by the amount of state funding received by the district. The revenue limit
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ASSEMBLY BILL 876
adjustment is not available to a school district for any school year during which the
school board receives state funding equal to or greater than the school district's costs
incurred to comply with the unfunded mandate.
For further information see the local fiscal estimate, which will be printed as
an appendix to this bill.
The people of the state of Wisconsin, represented in senate and assembly, do
enact as follows:
SECTION 1. 121.91 (4) (m) of the statutes is created to read:
121.91 (4) (m) 1. In this paragraph, “unfunded mandate” means a requirement
created in a state law enacted after the effective date of this subdivision .... [LRB
inserts date], that requires a school board to perform an action or provide a service
and does not provide funding to the school district for costs incurred to comply with
the requirement.
2. The limit otherwise applicable to the school district under sub. (2m) in any
school year is increased by the amount of the costs incurred by the school district, as
certified by the department, for an unfunded mandate if all of the following apply:
a. The school board submits a request to the department to approve the costs
incurred by the school board in that school year due to the unfunded mandate.
b. The department approves the request under subd. 2. a. and certifies that the
basis for the costs is an unfunded mandate and that the costs incurred are due to the
unfunded mandate.
3. If a school district receives state funding to comply with an unfunded
mandate in a school year, the amount of the increase under subd. 2. is reduced by the
amount of state funding received to comply with the unfunded mandate in that
school year. If the state funding received is equal to or greater than the amount
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ASSEMBLY BILL 876
incurred by the school district to comply with the unfunded mandate, no adjustment
is made to the limit otherwise applicable to the school district under sub. (2m).
4. Any additional revenue received by a school district under this paragraph
shall not be included in the base for determining the school district's limit under sub.
(2m) for the following school year.
SECTION 2. 121.91 (7) of the statutes is amended to read:
121.91 (7) Except as provided in subs. (4) (f) 2. and (n) (m) to (qe) and (8), if an
excess revenue is approved under sub. (3) for a recurring purpose or allowed under
sub. (4), the excess revenue shall be included in the base for determining the limit
for the next school year for purposes of this section. If an excess revenue is approved
under sub. (3) for a nonrecurring purpose, the excess revenue shall not be included
in the base for determining the limit for the next school year for purposes of this
section.
SECTION 3.0Initial applicability.
(1) This act first applies to the calculation of a school district's revenue limit
for the school year beginning after the effective date of this subsection.
(END)
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