SENATE BILL REPORT

SB 5575

BYSenators Rinehart and Bailey

Establishing the municipality grant program for eligible school districts.

Senate Committee on Education

Senate Hearing Date(s):February 7, 1989

Senate Staff:Larry Davis (786-7422)

AS OF FEBRUARY 7, 1989

BACKGROUND:

A number of communities across the state, both large and small, share certain characteristics or factors in common.  These factors, such as below average per capita income, above average unemployment, high dropout rates, and large numbers of students receiving free or reduced price meals, place an additional burden upon the school districts in these communities to provide the best educational program possible.  In some cases the economic conditions of the community make it difficult to raise local funds to support the school program.

SUMMARY:

The Superintendent of Public Instruction will establish a municipality grant program to assist eligible districts in meeting special needs of the districts.

To receive a municipality grant, a district must meet three of the following four criteria:  annual average enrollment of 5000 or more in the current school year; at least 45 percent of the lunches served in the current school year are free or reduced price meals; the district's dropout rate for the two preceding years was 20 percent or greater; and the number of non-English languages or dialects is 20 or more.

In addition, the municipality in which the district is located must meet two of the following four criteria:  the annual per capita income of the county is $3000 or more below the statewide average for the preceding calendar year; the percentage of the county population receiving Aid to Families with Dependent Children exceeded by 2 percent or more the statewide average for the preceding calendar year; the annual average county unemployment rate exceeds the statewide average by 2 percent or more the preceding calendar year; and the percentage of the county population receiving Refugee Assistance exceeded the statewide average by .05 percent the preceding calendar year.

The amount of the grant may not exceed 1.45 percent of the district's basic education allocation received in the preceding school year.

Districts submit a grant application which must identify budgeted expenditures; a description of the services, programs, or activities to be funded; and a description of how the use of the grant funds will be evaluated for effectiveness.  Districts must document that at least one public hearing was held regarding the proposed application.

The grant funds do not become part of the state's basic education obligation and aspects of the plan affecting wages, and terms and conditions of employment are subject to collective bargaining.

Districts must submit a biennial report to the Superintendent of Public Instruction on the use of the funds.  The superintendent must report to the Legislature biennially on the municipality grant program.

Appropriation:    $30 million to the Superintendent of Public Instruction

Revenue:    none

Fiscal Note:      requested January 30, 1989