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Minutes for SB251 - Committee on Senate Select Committee on Education Finance

Short Title

Creating the Kansas school equity and enhancement act.

Minutes Content for Wed, May 24, 2017

Chairperson Denning called the meeting to order. 

Senator Kerschen motioned to adopt Amendment #29.  Seconded by Senator Estes. (Attachment 4)

This amendment excludes Capital Improvement State Aid for extracurricular facilities.  The additional language would state the State Board shall exclude payments for any capital improvement project that proposes to construct, reconstruct, or remodel a facility that would be used primarily for extracurricular activities, unless the construction reconstruction or remodeling of such facility is necessary due to concerns relating to safety or disability access.  Senator Estes and Senator Bollier asked clarifying questions.  Mr. King and Dale Dennis helped address these questions.  Mr. Dennis addressed how extracurricular activities tie into the Rose standards and graduation rates, noting that there are many ways to improve student achievement and that extracurriculars can play a significant role in that process.  Senator Estes asked clarifying questions on the approval process for extra facilities.  Senator Pettey asked clarifying questions on what facilities would qualify or be excluded, and Senator Kerschen noted it would be evaluated on a case by case basis.  Senator Baumgardner noted that there is a form created by KSDE that addresses these reasons for facility needs. 

Senator Kerschen moved his amendment.  The amendment passed.

Senator Baumgardner motioned to adopt amendment #22.  Seconded by Senator Bollier. (Attachment 5)

This is a revised balloon amendment for at-risk clarifications.  She noted that this only addresses expenditures that come from the at-risk fund.  Senator Baumgardner discussed changes that were made from earlier in the day to help clarify language, noting that these changes helped improve the targeting and accounting of at-risk funds discussed in the morning debate. 

Senator Baumgardner moved the amendment.  The amendment passed.

Senator Bollier discussed her amendments and addressed a history behind her reasoning. 

Senator Bollier motioned to adopt amendment #5.  Seconded by Chairperson Denning. (Attachment 6)

This amendment is to replace low and high enrollment weighting with a sparsity weighting.  She also provided an attachment called Proposed Sparsity Weighting. (Attachment 7) Senator Bollier passed out runs as requested by the Committee. (Attachment 8)  Discussion ensued on the need for sparsity weighting.  Senator Estes noted that it appears that small schools in his district would be losing funds, and he did not believe the Committee should make a decision on this right away.  Senator Goddard agreed that he would like to hear from the school districts that would loose funding from this proposed amendment.  Senator Bollier noted she believes the State has not justified in the funding formula why the State has high and low enrollment weighting.  She agreed that this may need to be studied, but believes it should be brought forward for discussion.  Chairperson Denning noted that the Senate Education Committee is already being instructed through the bill to hold hearings on this in the future.  Senator Estes discussed the importance of low enrollment weightings for small districts/schools.  Senator Pettey stated she felt this could be part of an interim committee, noting 157 school districts would be adversely effected.  Senator Baumgardner referred to yesterday's discussion that spoke on school districts that have out-of-state students and how fellow Committee members noted that these districts would lose money.  She stated that almost 1/2 of the out-of-state students came from one county.  She learned from this that we need to pass a funding formula and ensure that the Supreme Court is satisfied, however, she feels that more discussion is needed to address why we do what we do.  Senator Baumgardner noted that she felt with an important issue such as this, the Committee should be holding hearings and having input from others.  Senator Hensley noted he felt this should be brought to the Senate Education Committee next year. 

Senator Bollier moved to pass the amendment.  The amendment failed.

Senator Baumgardner discussed introducing an amendment for Senator Mike Peterson.  Senator Mike Peterson spoke to the Committee last week during testimony about the specific changes.  This amendment addresses having a student opportunity scholarship program.

Senator Baumgardner motioned to adopt amendment #3.  Seconded by Senator McGinn. (Attachment 9)

Senator Pettey discussed her concerns with students possibly believing high school should take three years.  Senator McGinn asked what the core reason would be for introducing this amendment.  Senator Baumgardner answered that she believed it was to help students move forward, perhaps in a technical school, and be afforded that opportunity.  Senator McGinn asked for clarification on if a high school student graduated in four years what would be the difference if graduating a year early, as well as any differences for virtual students.  Senator Baumgardner stated that with the will of the Committee, they can recommend a State department or State Board explore an option instead of the Legislature.

Senator Baumgardner moved her amendment.  The amendment failed.

Senator Baumgardner motioned to adopt amendment #13.  Seconded by Senator Goddard. (Attachment 10)

Senator Baumgardner discussed how the amendment addresses new special education money distributed on a FTE basis.  Senator Baumgardner noted that Senator Givens spoke on this amendment in testimony last week. 

Senator Givens was asked to the microphone to discuss the amendment.  He discussed issues that arise when all districts get the same amount of funding, when their circumstances are different.  He noted that what one district does may affect all other districts, and used an example of a district that decreased their workforce, and how all districts lost funding due to that district's action.

Senator Kerschen asked clarifying questions on where the $12 million would go under the proposed amendment.  Senator Givens responded that it would be distributed by the number of FTE students, instead of being used to increase the percentage of excess cost reimbursement.  Senator Goddard and Senator Bollier asked clarifying questions.  Senator Kerschen noted that the number was based on all students, and not just special education students.  Senator Pettey noted that if passed, we would have two different pots of money.  Senator Givens answered his goal was to equalize the funding, noting he did not feel it was fair that districts get the same funding when they have such different circumstances.

Senator Baumgardner moved the amendment.  The amendment passed.

Chairperson Denning stated that with no further amendments, the Revisor of Statutes would review all amendments made.

Amendments that were adopted:

  • Kindergarten count: allows all-day programs to use this year's student count (rather than the previous year's count) for the first year.
  • Out-of-State students remain counted as students for enrollment purposes.
  • Sunset provisions and adding Legislative review for Bilingual and At-Risk weightings by both House and Senate Education Committees.
  • Sunset changes to the Career Technical Education weighting.
  • High-density at-risk weighting (10A) clarification.
  • Adding Legislative reviews of reports such as LPA reports.
  • Removal of the utility fee.
  • Tax credit scholarship program clarifications.
  • Reports list by line item per pupil.
  • Appropriations to correct the fund names an numbers to match.
  • Lists categories for funds, so a breakdown of state aid could be viewed.
  • Adding specific demographics for reporting purposes.
  • Reversing 10 mills back to 8 mills for Capitol Outlay.
  • Exclude capital improvement state aid for extracurricular facilities. 
  • Language changes for at-risk to improve the accounting and targeting of funds used to help under-performing students.
  • New Special Education money distributed on FTE basis rather than being used to reimburse excess costs.

Senator Bollier stated for the record that it is important when looking at school funding, we should not limit local money.  It's about all of our students having opportunities.

Senator Pettey discussed that this Committee should vet the tax policy in SB146 that no longer allows the exemption of the 20 mills tax levy.  She feels it is a major tax policy and it's short sighted.  She commented they need more information regarding this change.  Senator Hensley noted that she should bring this to the floor.  Chairperson Denning stated it was vetted in the Tax Committee.

Senator McGinn motioned to remove the contents of HB2186 and add the contents of SB251, as amended by the Committee, into the bill, allowing Revisor of Statutes staff to make changes discussed.  Seconded by Senator Hensley.

Senator McGinn motioned to move SB251 as amended into HB2186 as a substitute bill.  Seconded by Senator Hensley.

Senator McGinn moved Senate Sub. for HB2186 pass out favorably.  Senate Sub. for HB2186 passed unanimously.

Chairperson Denning thanked everyone on the Committee and the staff for all the hard work.  He then adjourned the meeting.