Bill Text: FL S1328 | 2023 | Regular Session | Comm Sub

NOTE: There are more recent revisions of this legislation. Read Latest Draft

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Bill Title: Charter School Capital Outlay Funding

Spectrum: Slight Partisan Bill (? 2-1)

Status: (Introduced - Dead) 2023-05-03 - Laid on Table, companion bill(s) passed, see CS/CS/HB 1259 (Ch. 2023-69) [S1328 Detail]

Download: Florida-2023-S1328-Comm_Sub.html

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       Florida Senate - 2023                             CS for SB 1328
       
       
        
       By the Committee on Education Pre-K -12; and Senator Boyd
       
       
       
       
       
       581-03517-23                                          20231328c1
    1                        A bill to be entitled                      
    2         An act relating to charter school capital outlay
    3         funding; amending s. 212.055, F.S.; revising the form
    4         of a resolution proposing a school capital outlay
    5         surtax regarding the sharing of surtax revenues with
    6         charter schools; conforming a cross-reference;
    7         reenacting and amending s. 1013.62, F.S.; revising the
    8         manner of determining charter school capital outlay
    9         funding; requiring district school boards to share
   10         certain funds with eligible charter schools if certain
   11         conditions are met; providing a calculation
   12         methodology for the Department of Education to
   13         determine the amount of funds the district school
   14         board must distribute; requiring the school district
   15         to distribute the funds by a specified date; requiring
   16         each school district to annually certify certain
   17         information to the department by a specified date;
   18         requiring the Auditor General to verify compliance
   19         during audits; providing applicability; providing an
   20         effective date.
   21          
   22  Be It Enacted by the Legislature of the State of Florida:
   23  
   24         Section 1. Paragraphs (b) and (c) of subsection (6) of
   25  section 212.055, Florida Statutes, are amended to read:
   26         212.055 Discretionary sales surtaxes; legislative intent;
   27  authorization and use of proceeds.—It is the legislative intent
   28  that any authorization for imposition of a discretionary sales
   29  surtax shall be published in the Florida Statutes as a
   30  subsection of this section, irrespective of the duration of the
   31  levy. Each enactment shall specify the types of counties
   32  authorized to levy; the rate or rates which may be imposed; the
   33  maximum length of time the surtax may be imposed, if any; the
   34  procedure which must be followed to secure voter approval, if
   35  required; the purpose for which the proceeds may be expended;
   36  and such other requirements as the Legislature may provide.
   37  Taxable transactions and administrative procedures shall be as
   38  provided in s. 212.054.
   39         (6) SCHOOL CAPITAL OUTLAY SURTAX.—
   40         (b) The resolution must include a statement that provides a
   41  brief and general description of the school capital outlay
   42  projects to be funded by the surtax. The resolution must include
   43  a statement that the revenues collected must be shared with
   44  eligible charter schools based on their proportionate share of
   45  the total school district capital outlay full-time equivalent
   46  enrollment as adopted by the Education Estimating Conference
   47  established in s. 216.136 enrollment. The statement must conform
   48  to the requirements of s. 101.161 and shall be placed on the
   49  ballot by the governing body of the county. The following
   50  question must shall be placed on the ballot:
   51  
   52  ....FOR THE                  ....CENTS TAX           
   53  ....AGAINST THE              ....CENTS TAX           
   54  
   55         (c) The resolution providing for the imposition of the
   56  surtax must set forth a plan for use of the surtax proceeds for
   57  fixed capital expenditures or fixed capital costs associated
   58  with the construction, reconstruction, or improvement of school
   59  facilities and campuses which have a useful life expectancy of 5
   60  or more years, and any land acquisition, land improvement,
   61  design, and engineering costs related thereto, or any purchase,
   62  lease-purchase, lease, or maintenance of school buses, as
   63  defined in s. 1006.25, which have a life expectancy of 5 years
   64  or more. Additionally, the plan shall include the costs of
   65  retrofitting and providing for technology implementation,
   66  including hardware and software, for the various sites within
   67  the school district. Surtax revenues may be used to service bond
   68  indebtedness to finance projects authorized by this subsection,
   69  and any interest accrued thereto may be held in trust to finance
   70  such projects. Neither the proceeds of the surtax nor any
   71  interest accrued thereto shall be used for operational expenses.
   72  Surtax revenues shared with charter schools shall be expended by
   73  the charter school in a manner consistent with the allowable
   74  uses set forth in s. 1013.62(5) s. 1013.62(4). All revenues and
   75  expenditures shall be accounted for in a charter school’s
   76  monthly or quarterly financial statement pursuant to s.
   77  1002.33(9). The eligibility of a charter school to receive funds
   78  under this subsection shall be determined in accordance with s.
   79  1013.62(1). If a school’s charter is not renewed or is
   80  terminated and the school is dissolved under the provisions of
   81  law under which the school was organized, any unencumbered funds
   82  received under this subsection shall revert to the sponsor.
   83         Section 2. Notwithstanding the expiration date in section 5
   84  of chapter 2022-157, Laws of Florida, present subsections (4)
   85  through (7) of section 1013.62, Florida Statutes, are
   86  redesignated as subsections (5) through (8), respectively, a new
   87  subsection (4) is added to that section, subsection (1) of that
   88  section is amended, and subsections (2) and (3) of that section
   89  are reenacted, to read:
   90         1013.62 Charter schools capital outlay funding.—
   91         (1) For the 2022-2023 fiscal year, charter school capital
   92  outlay funding shall consist of state funds appropriated in the
   93  2022-2023 General Appropriations Act. Beginning in fiscal year
   94  2023-2024, Charter school capital outlay funding shall consist
   95  of state funds when such funds are appropriated in the General
   96  Appropriations Act and revenue resulting from the discretionary
   97  millage authorized in s. 1011.71(2) if, except as provided in
   98  subsection (4), the amount of state funds appropriated for
   99  charter school capital outlay in any fiscal year is less than
  100  the average charter school capital outlay funds per unweighted
  101  full-time equivalent student for the 2018-2019 fiscal year,
  102  multiplied by the estimated number of charter school students
  103  for the applicable fiscal year, and adjusted by changes in the
  104  Consumer Price Index issued by the United States Department of
  105  Labor from the previous fiscal year. Nothing in this subsection
  106  prohibits a school district from distributing to charter schools
  107  funds resulting from the discretionary millage authorized in s.
  108  1011.71(2).
  109         (a) To be eligible to receive capital outlay funds, a
  110  charter school must:
  111         1.a. Have been in operation for 2 or more years;
  112         b. Be governed by a governing board established in the
  113  state for 2 or more years which operates both charter schools
  114  and conversion charter schools within the state;
  115         c. Be an expanded feeder chain of a charter school within
  116  the same school district that is currently receiving charter
  117  school capital outlay funds;
  118         d. Have been accredited by a regional accrediting
  119  association as defined by State Board of Education rule;
  120         e. Serve students in facilities that are provided by a
  121  business partner for a charter school-in-the-workplace pursuant
  122  to s. 1002.33(15)(b); or
  123         f. Be operated by a hope operator pursuant to s. 1002.333.
  124         2. Have an annual audit that does not reveal any of the
  125  financial emergency conditions provided in s. 218.503(1) for the
  126  most recent fiscal year for which such audit results are
  127  available.
  128         3. Have satisfactory student achievement based on state
  129  accountability standards applicable to the charter school.
  130         4. Have received final approval from its sponsor pursuant
  131  to s. 1002.33 for operation during that fiscal year.
  132         5. Serve students in facilities that are not provided by
  133  the charter school’s sponsor.
  134         (b) A charter school is not eligible to receive capital
  135  outlay funds if it was created by the conversion of a public
  136  school and operates in facilities provided by the charter
  137  school’s sponsor for a nominal fee, or at no charge, or if it is
  138  directly or indirectly operated by the school district.
  139         (2) The department shall use the following calculation
  140  methodology to allocate state funds appropriated in the General
  141  Appropriations Act to eligible charter schools:
  142         (a) Eligible charter schools shall be grouped into
  143  categories based on their student populations according to the
  144  following criteria:
  145         1. Seventy-five percent or greater who are eligible for
  146  free or reduced-price school meals under the National School
  147  Lunch Program or, for schools operating programs under the
  148  Community Eligibility Provision of the Healthy, Hunger-Free Kids
  149  Act of 2010, an equivalent percentage of the student population
  150  eligible for free and reduced-price meals as determined by
  151  applying the multiplier authorized under the National School
  152  Lunch Act, 42 U.S.C. s. 1759a(a)(1)(F)(vii), to the number of
  153  students reported for direct certification.
  154         2. Twenty-five percent or greater with disabilities as
  155  defined in state board rule and consistent with the requirements
  156  of the Individuals with Disabilities Education Act.
  157         (b) If an eligible charter school does not meet the
  158  criteria for either category under paragraph (a), its FTE shall
  159  be provided as the base amount of funding and shall be assigned
  160  a weight of 1.0. An eligible charter school that meets the
  161  criteria under subparagraph (a)1. or subparagraph (a)2. shall be
  162  provided an additional 25 percent above the base funding amount,
  163  and the total FTE shall be multiplied by a weight of 1.25. An
  164  eligible charter school that meets the criteria under both
  165  subparagraphs (a)1. and (a)2. shall be provided an additional 50
  166  percent above the base funding amount, and the FTE for that
  167  school shall be multiplied by a weight of 1.5.
  168         (c) The state appropriation for charter school capital
  169  outlay shall be divided by the total weighted FTE for all
  170  eligible charter schools to determine the base charter school
  171  per weighted FTE allocation amount. The per weighted FTE
  172  allocation amount shall be multiplied by the weighted FTE to
  173  determine each charter school’s capital outlay allocation.
  174         (d) The department shall calculate the eligible charter
  175  school funding allocations. Funds shall be allocated using full
  176  time equivalent membership from the second and third enrollment
  177  surveys and free and reduced-price school lunch data. The
  178  department shall recalculate the allocations periodically based
  179  on the receipt of revised information, on a schedule established
  180  by the Commissioner of Education.
  181         (e) The department shall distribute capital outlay funds
  182  monthly, beginning in the first quarter of the fiscal year,
  183  based on one-twelfth of the amount the department reasonably
  184  expects the charter school to receive during that fiscal year.
  185  The commissioner shall adjust subsequent distributions as
  186  necessary to reflect each charter school’s recalculated
  187  allocation.
  188         (3) If the school board levies the discretionary millage
  189  authorized in s. 1011.71(2), and the state funds appropriated
  190  for charter school capital outlay in any fiscal year are less
  191  than the average charter school capital outlay funds per
  192  unweighted full-time equivalent student for the 2018-2019 fiscal
  193  year, multiplied by the estimated number of charter school
  194  students for the applicable fiscal year, and adjusted by changes
  195  in the Consumer Price Index issued by the United States
  196  Department of Labor from the previous fiscal year, the
  197  department shall use the following calculation methodology to
  198  determine the amount of revenue that a school district must
  199  distribute to each eligible charter school:
  200         (a) Reduce the total discretionary millage revenue by the
  201  school district’s annual debt service obligation incurred as of
  202  March 1, 2017, which has not been subsequently retired, and any
  203  amount of participation requirement pursuant to s.
  204  1013.64(2)(a)8. that is being satisfied by revenues raised by
  205  the discretionary millage.
  206         (b) Divide the school district’s adjusted discretionary
  207  millage revenue by the district’s total capital outlay full-time
  208  equivalent membership and the total number of unweighted full
  209  time equivalent students of each eligible charter school to
  210  determine a capital outlay allocation per full-time equivalent
  211  student.
  212         (c) Multiply the capital outlay allocation per full-time
  213  equivalent student by the total number of full-time equivalent
  214  students of each eligible charter school to determine the
  215  capital outlay allocation for each charter school.
  216         (d) If applicable, reduce the capital outlay allocation
  217  identified in paragraph (c) by the total amount of state funds
  218  allocated to each eligible charter school in subsection (2) to
  219  determine the maximum calculated capital outlay allocation.
  220         (e) School districts shall distribute capital outlay funds
  221  to charter schools no later than February 1 of each year, as
  222  required by this subsection, based on the amount of funds
  223  received by the district school board. School districts shall
  224  distribute any remaining capital outlay funds, as required by
  225  this subsection, upon the receipt of such funds until the total
  226  amount calculated pursuant to this subsection is distributed.
  227  
  228  By October 1 of each year, each school district shall certify to
  229  the department the amount of debt service and participation
  230  requirement that complies with the requirement of paragraph (a)
  231  and can be reduced from the total discretionary millage revenue.
  232  The Auditor General shall verify compliance with the
  233  requirements of paragraph (a) and s. 1011.71(2)(e) during
  234  scheduled operational audits of school districts.
  235         (4) Beginning in the 2023-2024 fiscal year, if the state
  236  funds appropriated for charter school capital outlay in any
  237  fiscal year are equal to or greater than the average charter
  238  school capital outlay funds per unweighted full-time equivalent
  239  student for the 2018-2019 fiscal year, multiplied by the
  240  estimated number of charter school students for the applicable
  241  fiscal year, and adjusted by changes in the Consumer Price Index
  242  issued by the United States Department of Labor from the
  243  previous fiscal year, district school boards that levy the
  244  discretionary millage authorized in s. 1011.71(2) and have a
  245  combined total of all capital outlay full-time equivalent
  246  membership and total unweighted full-time equivalent students of
  247  eligible charter schools which exceeds 100,000 must share an
  248  amount of their eligible local funds with eligible charter
  249  schools that are operated by a not-for-profit entity. The
  250  department shall use the following calculation methodology to
  251  determine the amount of revenue that a school district must
  252  distribute pursuant to this subsection to each eligible charter
  253  school:
  254         (a)1. Reduce the school district’s total discretionary
  255  millage revenue by the school district’s annual debt service
  256  obligation incurred as of March 1, 2017, which has not been
  257  subsequently retired, and any amount of participation
  258  requirement pursuant to s. 1013.64(2)(a)8. which is being
  259  satisfied by revenues raised by the discretionary millage.
  260         a. For fiscal year 2023-2024, the amount is 20 percent of
  261  the amount calculated under this paragraph.
  262         b. For fiscal year 2024-2025, the amount is 40 percent of
  263  the amount calculated under this paragraph.
  264         c. For fiscal year 2025-2026, the amount is 60 percent of
  265  the amount calculated under this paragraph.
  266         d. For fiscal year 2026-2027, the amount is 80 percent of
  267  the amount calculated under this paragraph.
  268         e. For fiscal year 2027-2028, and thereafter, the amount is
  269  100 percent of the amount calculated under this paragraph.
  270         2. Divide the school district’s adjusted discretionary
  271  millage revenue by the district’s total capital outlay full-time
  272  equivalent membership and the total number of unweighted full
  273  time equivalent students of each eligible charter school to
  274  determine a capital outlay allocation per full-time equivalent
  275  student.
  276         3. Multiply the result of the calculation made under
  277  paragraph (a) for the applicable fiscal year by the total number
  278  of full-time equivalent students of each eligible charter school
  279  in the district pursuant to paragraph (1)(a) to determine the
  280  capital outlay allocation pursuant to this subsection for each
  281  charter school pursuant to this subsection.
  282         4. In any fiscal year, if the combined amount of state
  283  funds allocated pursuant to subsection (1) and the funds
  284  allocated pursuant to this subsection are greater than the total
  285  capital outlay millage per full-time equivalent student, the
  286  department must reduce the school district’s sharing amount by
  287  the difference of the total funds and the calculated amount for
  288  the total capital outlay full-time equivalent membership.
  289         (b) School districts shall distribute capital outlay funds
  290  to charter schools no later than February 1 of each year, as
  291  required by this subsection, based on the amount of funds
  292  received by the district school board. School districts shall
  293  distribute any remaining capital outlay funds, as required by
  294  this subsection, upon the receipt of such funds until the total
  295  amount calculated pursuant to this subsection is distributed.
  296  
  297  By October 1 of each year, each school district shall certify to
  298  the department the amount of debt service and participation
  299  requirement that complies with the requirements of paragraph (a)
  300  and can be reduced from the total discretionary millage revenue.
  301  The Auditor General shall verify compliance with the
  302  requirements of paragraph (a) and s. 1011.71(2)(e) during
  303  scheduled operational audits of school districts.
  304         Section 3. The amendments made by this act to s.
  305  212.055(6)(b), Florida Statutes, do not apply to a resolution
  306  for a school capital outlay surtax adopted before July 1, 2023,
  307  pursuant to s. 212.055(6)(c), Florida Statutes, until such
  308  resolution is amended, renewed, or repealed in the manner
  309  provided for by law.
  310         Section 4. This act shall take effect July 1, 2023.