CHAPTER 175
SB 386 - FINAL VERSION
2022 SESSION
22-2908
10/11
SENATE BILL 386
SPONSORS: Sen. Hennessey, Dist 1; Sen. Kahn, Dist 10; Sen. Ward, Dist 8; Rep. Ladd, Graf. 4; Rep. Umberger, Carr. 2
COMMITTEE: Education
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ANALYSIS
This bill makes technical changes to the determination of tuition amounts paid to chartered public schools and to the determination of adequate education grants to municipalities.
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Explanation: Matter added to current law appears in bold italics.
Matter removed from current law appears [in brackets and struckthrough.]
Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.
22-2908
10/11
STATE OF NEW HAMPSHIRE
In the Year of Our Lord Two Thousand Twenty Two
Be it Enacted by the Senate and House of Representatives in General Court convened:
175:1 Chartered Public Schools; Definitions. Amend RSA 194-B:1, I and II to read as follows:
I. "Average cost per pupil" means the total of education expenditures in a particular district and at the elementary, middle/junior, and high school levels, less tuition, transportation, capital outlays, and net debt service, as compiled by the department of education. Kindergarten cost shall be calculated at 1/2 the cost of elementary school for chartered public schools offering half-day kindergarten.
II. "Average daily membership in attendance" or "ADMA" relative to chartered public schools means the average daily membership in attendance, as defined in RSA 189:1-d, III, of pupils in kindergarten through grade 12, in the determination year[, provided that no kindergarten pupil shall count as more than 1/2 day attendance per school year]. ADMA shall only include pupils who are legal residents of New Hampshire pursuant to RSA 193:12 and educated at the charter school's expense. In this paragraph, "determination year" shall have the same meaning as in RSA 198:38, IV.
175:2 Chartered Public Schools; Funding. Amend RSA 194-B:11, I(a) and (b) to read as follows:
I.(a) There shall be no tuition charge for any pupil attending a charter conversion school located in that pupil's resident district. Funding limitations in this chapter shall not be applicable to charter conversion schools located in a pupil's resident district. For a chartered public school authorized by the school district, the pupil's resident district shall pay to such school an amount equal to not less than 80 percent of that district's average cost per pupil as determined by the department of education using the most recent available data as reported by the district to the department. For pupils resident in this state who attend full-time a chartered public school authorized by a school district other than the pupil's resident school district, the state shall pay tuition amounts pursuant to RSA 198:40-a directly to the chartered public school for such pupil in the chartered public school's ADMA. Nothing in this subparagraph shall alter or modify the funding of the Virtual Learning Academy Charter School.
(b)(1)(A) Except as provided in subparagraph (2), for a chartered public school authorized by the state board of education pursuant to RSA 194-B:3-a, the state shall pay tuition amounts pursuant to RSA 198:40-a, II(a)-(c) and (e) plus an additional grant of $3,286 to all chartered public schools for the fiscal year ending June 30, 2018, and $3,411 to all chartered public schools for the fiscal year ending June 30, 2019 and each fiscal year thereafter, except for the Virtual Learning Academy Charter School, directly to the chartered public school for each pupil who is a resident of this state in [attendance at such] the chartered public [school] school's ADMA. Beginning July 1, 2017 and every biennium thereafter, the department of education shall adjust the per pupil amount of the additional grant based on the average annual change in the Consumer Price Index for All Urban Consumers, Northeast Region, using the "services less medical care services" special aggregate index, as published by the Bureau of Labor Statistics, United States Department of Labor. The state shall pay amounts required pursuant to RSA 198:40-a, II(d) directly to the resident district.
(B) For the Virtual Learning Academy Charter School authorized pursuant to RSA 194-B:3-a, the state shall pay tuition amounts pursuant to RSA 198:40-a, II(a)-(c) and (e), plus an additional grant of $2,036 directly to the Virtual Learning Academy Charter School for each eligible full-time enrolled pupil in the chartered public school's ADMA. The state shall pay amounts required pursuant to RSA 198:40-a, II(d) directly to the resident district. The state shall also pay tuition amounts pursuant to RSA 198:40-a, II(a) plus an additional grant of $2,036 directly to the Virtual Learning Academy Charter School for each full-time equivalent pupil. Beginning July 1, 2017 and every July 1 thereafter, the department of education shall adjust the per pupil amount of the additional grant based on the average annual change in the Consumer Price Index for All Urban Consumers, Northeast Region, using the "services less medical care services" special aggregate index, as published by the Bureau of Labor Statistics, United States Department of Labor. The average change shall be calculated using the 3 calendar years ending 18 months before the beginning of the fiscal year for which the calculation is to be performed.
(2) For an online chartered public school which receives its initial authorization to operate from the state board of education pursuant to RSA 194-B:3-a on or after July 1, 2013, the state shall pay tuition amounts pursuant to RSA 198:40-a directly to the online chartered public school for each pupil who is a resident of this state in [attendance at such] the chartered public [school] school's ADMA. In this subparagraph, "online chartered public school" means a chartered public school which provides the majority of its classes and instruction on the Internet.
175:3 Adequate Education; Definitions. Amend RSA 198:38 to read as follows:
198:38 Definitions. In this subdivision:
I.(a) "Average daily membership in attendance" or "ADMA" means the average daily membership in attendance, as defined in RSA 189:1-d, III, of pupils in kindergarten through grade 12, in the determination year. ADMA shall only include pupils who are legal residents of New Hampshire pursuant to RSA 193:12 and educated at school district expense which may include public academies or out-of-district placements. For the purpose of calculating funding for municipalities, the ADMA shall not include pupils attending chartered public schools, but shall include pupils attending a charter conversion school approved by the school district in which the pupil resides.
(b) For the purpose of calculating ADMA, each pupil who is home educated in compliance with RSA 193-A and who is enrolled in a school board approved public high school academic course shall count as an additional 0.15 pupil for each such academic course taken in a public high school. The department of education shall only make grant payments for such pupils to the extent of available appropriations. In this subparagraph, "public high school" shall have the same meaning as "high school" as defined in RSA 194:23.
I-a.(a) "Average daily membership in residence" or "ADMR" means the average daily membership in residence, as defined in RSA 189:1-d, IV, of pupils in kindergarten through grade 12, in the determination year. ADMR shall only include pupils who are legal residents of New Hampshire pursuant to RSA 193:12 and educated at school district expense which may include public academies or out-of-district placements. For the purpose of calculating funding for municipalities, the ADMR shall not include pupils attending chartered public schools, but shall include pupils attending a charter conversion school approved by the school district in which the pupil resides.
(b) For the purpose of calculating ADMR, each pupil who is home educated in compliance with RSA 193-A and who is enrolled in a school board approved public high school academic course shall count as an additional 0.15 pupil for each such academic course taken in a public high school. The department of education shall only make grant payments for such pupils to the extent of available appropriations. In this subparagraph, "public high school" shall have the same meaning as "high school" as defined in RSA 194:23.
II. "Commissioner" means the commissioner of the department of education.
III. "Department" means the department of education.
IV. "Determination year" means the school year immediately preceding the school year for which aid is determined. Unless otherwise indicated, determination year data shall be used to calculate aid.
V. "Pupil receiving special education services" means [the ADMA of a child] a pupil with a disability as defined in RSA 186-C:2, I.
VI. "English language learner" means [the ADMA of] a pupil who has a predominant language other than English or who is educationally disadvantaged by a limited English proficiency, and who participated in the annual assessment of English language proficiency required of such pupils by the Elementary and Secondary Education Act, 20 U.S.C. section 6311 (b)(7).
VI-a. "Municipality" means a city, town, or unincorporated place.
VII. "Pupils eligible for a free or reduced-price meal" means [the ADMA of] pupils in kindergarten through grade 12 who are eligible for the federal free or reduced-price meal program. No pupil or school shall be required to participate in the federal free or reduced price meal program.
VIII. "School district" means school district as defined in RSA 194:1 and shall include cooperative school districts as defined in RSA 195:1, I.
175:4 Cost of an Opportunity for an Adequate Education; References to ADMR. Amend RSA 198:40-a to read as follows:
198:40-a Cost of an Opportunity for an Adequate Education.
I. For the biennium beginning July 1, 2015, the annual cost of providing the opportunity for an adequate education as defined in RSA 193-E:2-a shall be as specified in paragraph II. The department shall adjust the rates specified in this paragraph in accordance with RSA 198:40-d.
II.(a) A cost of $3,561.27 per pupil in the [ADMA] ADMR, plus differentiated aid as follows:
(b) An additional $1,780.63 for each pupil in the [ADMA] ADMR who is eligible for a free or reduced price meal anytime during the determination year; plus
(c) An additional $697.77 for each pupil in the[ ADMA] ADMR who is an English language learner anytime during the determination year; plus
(d) An additional $1,915.86 for each pupil in the [ADMA] ADMR who is receiving special education services anytime during the determination year; plus
(e) An additional $697.77 for each third grade pupil in the [ADMA] ADMR with a score below the proficient level on the reading component of the state assessment administered pursuant to RSA 193-C:6 or the authorized, locally-administered assessment as provided in RSA 193-C:3, IV(i), provided the pupil is not eligible to receive differentiated aid pursuant to subparagraphs (b)-(d). A school district receiving aid under this subparagraph shall annually provide to the department of education documentation demonstrating that the district has implemented an instructional program to improve non-proficient pupil reading.
III. The sum total calculated under paragraph II shall be the cost of an adequate education. The department shall determine the cost of an adequate education for each municipality based on the [ADMA] ADMR of pupils who reside in that municipality.
175:5 Consumer Price Index Adjustment. Amend RSA 198:40-d to read as follows:
198:40-d Consumer Price Index Adjustment. Beginning July 1, 2017 and every biennium thereafter, the department of education shall adjust the cost of an adequate education under RSA 198:40-a based on the average annual change in the Consumer Price Index for All Urban Consumers, Northeast Region, using the "services less medical care services" special aggregate index, as published by the Bureau of Labor Statistics, United States Department of Labor. The average annual change shall be calculated using the 3 calendar years ending 18 months before the beginning of the biennium for which the calculation is to be performed.
175:6 Relief Funding. Amend RSA 198:40-e to read as follows:
198:40-e Relief Funding.
I. In a school district in which 48 percent or more of the [ADMA] ADMR is eligible to receive a free or reduced-priced meal, an additional $600 for each pupil in the [ADMA] ADMR who is eligible for a free or reduced-priced meal.
II. In a school district in which at least 12 percent but less than 48 percent of the [ADMA] ADMR is eligible to receive a free or reduced-priced meal, an amount equal to $150 plus $0.1250 for each 0.01 percent that its free or reduced-priced meal eligibility rate exceeds 12 percent, for each pupil in the [ADMA] ADMR who is eligible for a free or reduced-priced meal.
III. A school district in which less than 12 percent of the [ADMA] ADMR is eligible to receive a free or reduced-priced meal shall receive no additional aid under this section.
IV. The department of education shall adjust aid to each district calculated under this section to the statewide total of $17,500,000. Adjustments under this paragraph shall be made on a pro-rata basis.
175:7 Determination of Education Grants. Amend RSA 198:41, IV(d) through VIII to read as follows:
(d) For fiscal year 2017 and each fiscal year thereafter, the department of education shall distribute a total education grant to each municipality in an amount equal to the total education grant for the fiscal year in which the grant is calculated plus a percentage of the municipality's fiscal year 2012 stabilization grant, if any, distributed to the municipality; the percentage shall be 96 percent for fiscal year 2017, 92 percent for fiscal year 2018, 88 percent for fiscal year 2019, and 100 percent for fiscal year 2020 and each fiscal year thereafter. No stabilization grant shall be distributed to any municipality for any fiscal year in which the municipality's education property tax [revenue collected] warrant pursuant to RSA [76] 76:8 exceeds the total cost of an adequate education or to any municipality for any fiscal year in which the municipality's [ADMA] ADMR is zero.
V. The department shall use the best available data and methods to estimate [ADMA] ADMR and education grants by November 15 of the year preceding the school year for which aid is determined.
VI. The department shall produce a revised estimate of grants using actual determination year data for the purpose of settling municipal tax rates. A municipality's grant estimate shall not be less than 95 percent of the estimate reported pursuant to paragraph V. The commissioner of the department of education shall provide the estimate for the current fiscal year to the commissioner of the department of revenue administration no later than October 1 of each year.
VII. When final determination year data is available, but not later than April 1, the department shall make a final determination of grant amounts. A municipality's grant estimate shall not be less than 95 percent of the estimate reported pursuant to paragraph V. The department shall adjust the April grant disbursement required pursuant to RSA 198:42 so that the total amount disbursed for the fiscal year shall match the final grant determination.
VIII. Reports of grant determinations for municipalities required pursuant to paragraphs V-VII shall be available to the public by the date specified in paragraphs V-VII, and the department shall make available a report for multi-town school districts and municipalities with multiple school districts. The department of education shall provide the department of revenue administration the information needed to set tax rates.
175:8 Effective Date. This act shall take effect July 1, 2022.
Approved: June 07, 2022
Effective Date: July 01, 2022