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1 STATE OF OKLAHOMA
1
2 1st Session of the 60th Legislature (2025)
2
3 SENATE BILL 240 By: Pugh
3
4
4
5 AS INTRODUCED
5
6 An Act relating to school funding; amending 70 O.S.
6 2021, Sections 18-107, 18-200.1, as amended by
7 Section 1, Chapter 280, O.S.L. 2023, and 18-201.1, as
7 amended by Section 2, Chapter 280, O.S.L. 2023 (70
8 O.S. Supp. 2024, Sections 18-200.1 and 18-201.1),
8 which relate to the allocation of State Aid; removing
9 certain definition; modifying calculation of State
9 Aid beginning in certain school year; increasing
10 percentage of certain funds to be retained; modifying
10 calculation of Foundation Program Income; modifying
11 calculation of Salary Incentive Aid; removing
11 language directing the State Department of Education
12 to develop certain student identification system;
12 removing language providing for calculation of
13 uncollectible ad valorem taxes; removing language
13 providing for calculation of insufficient
14 reimbursements from the Ad Valorem Reimbursement
14 Fund; removing outdated language; modifying
15 information to be reported monthly by the Oklahoma
15 Tax Commission; removing requirement for reporting of
16 certain county levy apportionment; removing
16 requirement for reporting of certain ad valorem tax
17 protest amounts; updating statutory language;
17 updating statutory references; and providing an
18 effective date.
18
19
19
20 BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:
20
21 SECTION 1. AMENDATORY 70 O.S. 2021, Section 18-107, is
21
22 amended to read as follows:
22
23 Section 18-107. As used in this title:
23
24
24
Req. No. 261 Page 1
1 1. "Average Daily Attendance" "Average daily attendance" (ADA)
1
2 means the legal average number of pupils, early childhood education
2
3 programs through grade twelve, in a school district during a school
3
4 year as determined pursuant to the provisions of Section 18-111 of
4
5 this title. A day of school for early childhood education programs
5
6 and kindergarten shall be at least two and one-half (2 1/2) hours
6
7 and, for early childhood education, may be six (6) hours.;
7
8 2. "Average Daily Membership" "Average daily membership" (ADM)
8
9 means the average number of pupils present and absent in a school
9
10 district during a school year. Average Daily Membership daily
10
11 membership shall be calculated by dividing the sum of the pupil's
11
12 total days present and total days absent by the number of days
12
13 taught.
13
14 a. A pupil who has been absent without excuse ten (10)
14
15 consecutive days shall be taken off the roll beginning
15
16 the eleventh day and thereafter shall not be
16
17 considered in a district's average daily membership
17
18 ADM calculation until the pupil is placed on the roll
18
19 in the district. For the purpose of this paragraph
19
20 subparagraph, consecutive days means days for which
20
21 enrollment is recorded.
21
22 b. A pupil enrolled in a statewide virtual charter school
22
23 who is behind pace and has not completed instructional
23
24 activity as defined by Section 3-145.8 of this title
24
Req. No. 261 Page 2
1 for a fifteen-school-day period, without excuse as
1
2 authorized by Section 10-105 of this title, shall be
2
3 taken off the roll beginning the sixteenth day and
3
4 thereafter shall not be considered in the virtual
4
5 charter school's Average Daily Membership ADM
5
6 calculation until the pupil is placed on the roll in
6
7 the virtual charter school.; and
7
8 3. "Total Adjusted Assessed Valuation" means the sum of public
8
9 service property assessed valuation, personal property assessed
9
10 valuation and real property assessed valuation as adjusted pursuant
10
11 to the provisions of Section 18-109.1 of this title.
11
12 4. "Eighty-five percent (85%) of maximum allowable", for the
12
13 purpose of assessing class size penalty pursuant to Sections 18-
13
14 113.1 and 18-113.2 of this title, means eighty-five percent (85%) of
14
15 ten percent (10%) of the preceding year's net assessed valuation of
15
16 a school district. The calculation of indebtedness as provided for
16
17 in paragraph a of subsection G F of Section 18-113.1 and
17
18 subparagraph a of paragraph 4 of subsection A of Section 18-113.2 of
18
19 this title shall include the outstanding principal amount of bonds
19
20 issued by the school district plus the principal amount of any bonds
20
21 authorized by a vote of the people for issuance but not yet issued
21
22 by the school district.
22
23
23
24
24
Req. No. 261 Page 3
1 SECTION 2. AMENDATORY 70 O.S. 2021, Section 18-200.1, as
1
2 amended by Section 1, Chapter 280, O.S.L. 2023 (70 O.S. Supp. 2024,
2
3 Section 18-200.1), is amended to read as follows:
3
4 Section 18-200.1. A. Beginning with the 2022-2023 2026-2027
4
5 school year, and each school year thereafter, each school district
5
6 shall have its initial allocation of State Aid calculated based on
6
7 the ad valorem tax and state dedicated revenues actually collected
7
8 during the preceding fiscal year, the adjusted assessed valuation of
8
9 the preceding year, and the weighted average daily membership (ADM)
9
10 for the school district of the preceding school year. Each school
10
11 district shall submit the following data based on the first nine (9)
11
12 weeks, to be used in the calculation of the average daily membership
12
13 of the school district:
13
14 1. Student enrollment by grade level;
14
15 2. Pupil category counts; and
15
16 3. Transportation supplement data.
16
17 On or before December 30, the State Department of Education
17
18 shall determine each school district's current year allocation
18
19 pursuant to subsection D of this section. The State Department of
19
20 Education shall complete an audit, using procedures established by
20
21 the Department, of the student enrollment by grade level data, pupil
21
22 category counts, and transportation supplement data to be used in
22
23 the State Aid Formula pursuant to subsection D of this section by
23
24 December 1 and by January 15 shall notify each school district of
24
Req. No. 261 Page 4
1 the district's final State Aid allocation for the current school
1
2 year. The January payment of State Aid and each subsequent payment
2
3 for the remainder of the school year shall be based on the final
3
4 State Aid allocation as calculated in subsection D of this section.
4
5 Except for reductions made due to the assessment of penalties by the
5
6 State Department of Education according to law, the January payment
6
7 of State Aid and each subsequent payment for the remainder of the
7
8 school year shall not decrease by an amount more than the amount
8
9 that the current chargeable revenue increases for that district.
9
10 B. The State Department of Education shall retain not less than
10
11 one and one-half percent (1 1/2%) four percent (4%) of the total
11
12 funds appropriated for financial support of schools, to be used to
12
13 make midyear adjustments in State Aid and which shall be reflected
13
14 in the final allocations. If the amount of appropriated funds,
14
15 including the one and one-half percent (1 1/2%) four percent (4%)
15
16 retained, remaining after January 1 of each year is not sufficient
16
17 to fully fund the final allocations, the Department shall
17
18 recalculate each school district's remaining allocation pursuant to
18
19 subsection D of this section using the reduced amount of
19
20 appropriated funds.
20
21 C. On and after July 1, 1997, the amount of State Aid each
21
22 district shall receive shall be the sum of the Foundation Aid, the
22
23 Salary Incentive Aid, and the Transportation Supplement, as adjusted
23
24 pursuant to the provisions of subsection G E of this section and
24
Req. No. 261 Page 5
1 Section 18-112.2 of this title; provided, no district having per
1
2 pupil revenue in excess of three hundred percent (300%) of the
2
3 average per pupil revenue of all districts shall receive any State
3
4 Aid or Supplement in State Aid.
4
5 The July calculation of per pupil revenue shall be determined by
5
6 dividing the district's second preceding year's total weighted
6
7 average daily membership (ADM) into the district's second preceding
7
8 year's total revenues excluding federal revenue, insurance loss
8
9 payments, reimbursements, recovery of overpayments and refunds,
9
10 unused reserves, prior expenditures recovered, prior year surpluses,
10
11 and less the amount of any transfer fees paid in that year.
11
12 The December calculation of per pupil revenue shall be
12
13 determined by dividing the district's preceding year's total
13
14 weighted average daily membership (ADM) into the district's
14
15 preceding year's total revenues excluding federal revenue, insurance
15
16 loss payments, reimbursements, recovery of overpayments and refunds,
16
17 unused reserves, prior expenditures recovered, prior year surpluses,
17
18 and less the amount of any transfer fees paid in that year.
18
19 D. For the 1997-98 2026-2027 school year, and each school year
19
20 thereafter, Foundation Aid, the Transportation Supplement, and
20
21 Salary Incentive Aid shall be calculated as follows:
21
22 1. Foundation Aid shall be determined by subtracting the amount
22
23 of the Foundation Program Income from the cost of the Foundation
23
24 Program and adding to this difference the Transportation Supplement.
24
Req. No. 261 Page 6
1 a. The Foundation Program shall be a district's higher
1
2 weighted average daily membership based on the first
2
3 nine (9) weeks of the current school year or the
3
4 preceding school year of a school district, as
4
5 determined by the provisions of subsection A of
5
6 Section 18-201.1 of this title and paragraphs 1, 2, 3,
6
7 and 4 of subsection B of Section 18-201.1 of this
7
8 title, multiplied by the Base Foundation Support
8
9 Level. However, for the portion of weighted
9
10 membership derived from nonresident, transferred
10
11 pupils enrolled in online courses, the Foundation
11
12 Program shall be a district's weighted average daily
12
13 membership of the preceding school year or the first
13
14 nine (9) weeks of the current school year, whichever
14
15 is greater, as determined by the provisions of
15
16 subsection A of Section 18-201.1 of this title and
16
17 paragraphs 1, 2, 3, and 4 of subsection B of Section
17
18 18-201.1 of this title, multiplied by the Base
18
19 Foundation Support Level.
19
20 b. The Foundation Program Income shall be the sum of the
20
21 following:
21
22 (1) The adjusted assessed valuation of the current
22
23 school year of the school district, minus the
23
24 previous year protested ad valorem tax revenues
24
Req. No. 261 Page 7
1 held as prescribed in Section 2884 of Title 68 of
1
2 the Oklahoma Statutes, multiplied by the mills
2
3 levied the amount of ad valorem tax collections
3
4 received by the school district from the proceeds
4
5 of the levy during the preceding fiscal year, as
5
6 levied pursuant to subsection (c) of Section 9 of
6
7 Article X of the Oklahoma Constitution, if
7
8 applicable, as adjusted in subsection (c) of
8
9 Section 8A of Article X of the Oklahoma
9
10 Constitution. For purposes of this subsection,
10
11 the "adjusted assessed valuation of the current
11
12 school year" shall be the adjusted assessed
12
13 valuation on which tax revenues are collected
13
14 during the current school year, and
14
15 (2) Seventy-five seventy-five percent (75%) of the
15
16 amount received by the school district from the
16
17 proceeds of the county levy during the preceding
17
18 fiscal year, as levied pursuant to subsection (b)
18
19 of Section 9 of Article X of the Oklahoma
19
20 Constitution, and
20
21 (3) motor vehicle collections, and
21
22 (4) gross production tax, and
22
23 (5) state apportionment, and
23
24 (6) R.E.A. tax.
24
Req. No. 261 Page 8
1 The items listed in divisions (1), (3), (4), (5), and
1
2 (6) of this subparagraph shall consist of the amounts
2
3 actually collected from such sources during the
3
4 preceding fiscal year calculated on a per capita basis
4
5 on the unit provided for by law for the distribution
5
6 of each such revenue.
6
7 2. The Transportation Supplement shall be equal to the average
7
8 daily haul times the per capita allowance times the appropriate
8
9 transportation factor.
9
10 a. The average daily haul shall be the number of children
10
11 in a district who are legally transported and who live
11
12 one and one-half (1 1/2) miles or more from school.
12
13 b. The per capita allowance shall be determined using the
13
14 following chart:
14
15 PER CAPITA PER CAPITA
15
16 DENSITY FIGURE ALLOWANCE DENSITY FIGURE ALLOWANCE
16
17 .3000 - .3083 $167.00 .9334 - .9599 $99.00
17
18 .3084 - .3249 $165.00 .9600 - .9866 $97.00
18
19 .3250 - .3416 $163.00 .9867 - 1.1071 $95.00
19
20 .3417 - .3583 $161.00 1.1072 - 1.3214 $92.00
20
21 .3584 - .3749 $158.00 1.3215 - 1.5357 $90.00
21
22 .3750 - .3916 $156.00 1.5358 - 1.7499 $88.00
22
23 .3917 - .4083 $154.00 1.7500 - 1.9642 $86.00
23
24 .4084 - .4249 $152.00 1.9643 - 2.1785 $84.00
24
Req. No. 261 Page 9
1 .4250 - .4416 $150.00 2.1786 - 2.3928 $81.00
1
2 .4417 - .4583 $147.00 2.3929 - 2.6249 $79.00
2
3 .4584 - .4749 $145.00 2.6250 - 2.8749 $77.00
3
4 .4750 - .4916 $143.00 2.8750 - 3.1249 $75.00
4
5 .4917 - .5083 $141.00 3.1250 - 3.3749 $73.00
5
6 .5084 - .5249 $139.00 3.3750 - 3.6666 $70.00
6
7 .5250 - .5416 $136.00 3.6667 - 3.9999 $68.00
7
8 .5417 - .5583 $134.00 4.0000 - 4.3333 $66.00
8
9 .5584 - .5749 $132.00 4.3334 - 4.6666 $64.00
9
10 .5750 - .5916 $130.00 4.6667 - 4.9999 $62.00
10
11 .5917 - .6133 $128.00 5.0000 - 5.5000 $59.00
11
12 .6134 - .6399 $125.00 5.5001 - 6.0000 $57.00
12
13 .6400 - .6666 $123.00 6.0001 - 6.5000 $55.00
13
14 .6667 - .6933 $121.00 6.5001 - 7.0000 $53.00
14
15 .6934 - .7199 $119.00 7.0001 - 7.3333 $51.00
15
16 .7200 - .7466 $117.00 7.3334 - 7.6667 $48.00
16
17 .7467 - .7733 $114.00 7.6668 - 8.0000 $46.00
17
18 .7734 - .7999 $112.00 8.0001 - 8.3333 $44.00
18
19 .8000 - .8266 $110.00 8.3334 - 8.6667 $42.00
19
20 .8267 - .8533 $108.00 8.6668 - 9.0000 $40.00
20
21 .8534 - .8799 $106.00 9.0001 - 9.3333 $37.00
21
22 .8800 - .9066 $103.00 9.3334 - 9.6667 $35.00
22
23 .9067 - .9333 $101.00 9.6668 or more $33.00
23
24 c. The formula transportation factor shall be 2.0.
24
Req. No. 261 Page 10
1 3. Salary Incentive Aid shall be determined as follows:
1
2 a. Multiply the Incentive Aid guarantee by the district's
2
3 higher weighted average daily membership based on the
3
4 first nine (9) weeks of the current school year or the
4
5 preceding school year of a school district, as
5
6 determined by the provisions of subsection A of
6
7 Section 18-201.1 of this title and paragraphs 1, 2, 3,
7
8 and 4 of subsection B of Section 18-201.1 of this
8
9 title.
9
10 b. Divide the district's adjusted assessed valuation of
10
11 the current school year minus the previous year's
11
12 protested ad valorem tax revenues held as prescribed
12
13 in Section 2884 of Title 68 of the Oklahoma Statutes,
13
14 by one thousand (1,000) and subtract the quotient from
14
15 the product of subparagraph a of this paragraph. The
15
16 remainder shall not be less than zero (0) Subtract the
16
17 amount received by the school district from the
17
18 proceeds of the levy during the preceding fiscal year,
18
19 as levied pursuant to subsection (c) of Section 9 of
19
20 Article X of the Oklahoma Constitution above the
20
21 fifteen (15) mills required to support Foundation Aid
21
22 pursuant to division (1) of subparagraph b of
22
23 paragraph 1 of this subsection, not including the
23
24 county four-mill levy, by the product of subparagraph
24
Req. No. 261 Page 11
1 a of this paragraph. The remainder shall not be less
1
2 than zero and shall be the Salary Incentive Aid of the
2
3 district.
3
4 c. Multiply the number of mills levied for general fund
4
5 purposes above the fifteen (15) mills required to
5
6 support Foundation Aid pursuant to division (1) of
6
7 subparagraph b of paragraph 1 of this subsection, not
7
8 including the county four-mill levy, by the remainder
8
9 of subparagraph b of this paragraph. The product
9
10 shall be the Salary Incentive Aid of the district.
10
11 E. By June 30, 1998, the State Department of Education shall
11
12 develop and the Department and all school districts shall have
12
13 implemented a student identification system which is consistent with
13
14 the provisions of subsections C and D of Section 3111 of Title 74 of
14
15 the Oklahoma Statutes. The student identification system shall be
15
16 used specifically for the purpose of reporting enrollment data by
16
17 school sites and by school districts, the administration of the
17
18 Oklahoma School Testing Program Act, the collection of appropriate
18
19 and necessary data pursuant to the Oklahoma Educational Indicators
19
20 Program, determining student enrollment, establishing a student
20
21 mobility rate, allocation of the State Aid Formula, and midyear
21
22 adjustments in funding for student growth. This enrollment data
22
23 shall be submitted to the State Department of Education in
23
24 accordance with rules promulgated by the State Board of Education.
24
Req. No. 261 Page 12
1 Funding for the development, implementation, personnel training, and
1
2 maintenance of the student identification system shall be set out in
2
3 a separate line item in the allocation section of the appropriation
3
4 bill for the State Board of Education for each year.
4
5 F. 1. In the event that ad valorem taxes of a school district
5
6 are determined to be uncollectible because of bankruptcy, clerical
6
7 error, or a successful tax protest, and the amount of such taxes
7
8 deemed uncollectible exceeds Fifty Thousand Dollars ($50,000.00) or
8
9 an amount greater than twenty-five percent (25%) of ad valorem taxes
9
10 per tax year, or the valuation of a district is lowered by order of
10
11 the State Board of Equalization, the school district's State Aid,
11
12 for the school year that such ad valorem taxes are calculated in the
12
13 State Aid Formula, shall be determined by subtracting the net
13
14 assessed valuation of the property upon which taxes were deemed
14
15 uncollectible from the assessed valuation of the school district and
15
16 the state. Upon request of the local board of education, it shall
16
17 be the duty of the county assessor to certify to the Director of
17
18 Finance of the State Department of Education the net assessed
18
19 valuation of the property upon which taxes were determined
19
20 uncollectible.
20
21 2. In the event that the amount of funds a school district
21
22 receives for reimbursement from the Ad Valorem Reimbursement Fund is
22
23 less than the amount of funds claimed for reimbursement by the
23
24 school district due to insufficiency of funds as provided in Section
24
Req. No. 261 Page 13
1 193 of Title 62 of the Oklahoma Statutes, then the school district's
1
2 assessed valuation for the school year that such ad valorem
2
3 reimbursement is calculated in the State Aid Formula shall be
3
4 adjusted accordingly.
4
5 G. 1. Notwithstanding the provisions of Section 18-112.2 of
5
6 this title, a school district shall have its State Aid reduced by an
6
7 amount equal to the amount of carryover in the general fund of the
7
8 district as of June 30 of the preceding fiscal year, that is in
8
9 excess of the following standards for two (2) consecutive years:
9
10 Total Amount of Amount of
10
11 General Fund Collections, General Fund
11
12 Excluding Previous Year Balance
12
13 Cash Surplus as of June 30 Allowable
13
14 Less than $1,000,000 48%
14
15 $1,000,000 - $2,999,999 42%
15
16 $3,000,000 - $3,999,999 36%
16
17 $4,000,000 - $4,999,999 30%
17
18 $5,000,000 - $5,999,999 24%
18
19 $6,000,000 - $7,999,999 22%
19
20 $8,000,000 - $9,999,999 19%
20
21 $10,000,000 or more 17%
21
22 2. By February 1 the State Department of Education shall send
22
23 by certified mail, with return receipt requested, to each school
23
24 district superintendent, auditor, and regional accreditation officer
24
Req. No. 261 Page 14
1 a notice of and calculation sheet reflecting the general fund
1
2 balance penalty to be assessed against that school district.
2
3 Calculation of the general fund balance penalty shall not include
3
4 federal revenue. Within thirty (30) days of receipt of this written
4
5 notice the school district shall submit to the Department a written
5
6 reply either accepting or protesting the penalty to be assessed
6
7 against the district. If protesting, the school district shall
7
8 submit with its reply the reasons for rejecting the calculations and
8
9 documentation supporting those reasons. The Department shall review
9
10 all school district penalty protest documentation and notify each
10
11 district by March 15 of its finding and the final penalty to be
11
12 assessed to each district. General fund balance penalties shall be
12
13 assessed to all school districts by April 1.
13
14 3. Any school district which receives proceeds from a tax
14
15 settlement or a Federal Emergency Management Agency settlement
15
16 during the last two (2) months of the preceding fiscal year shall be
16
17 exempt from the penalties assessed in this subsection, if the
17
18 penalty would occur solely as a result of receiving funds from the
18
19 tax settlement.
19
20 4. Any school district which receives an increase in State Aid
20
21 because of a change in Foundation Aid and/or Salary Incentive Aid
21
22 factors during the last two (2) months of the preceding fiscal year
22
23 shall be exempt from the penalties assessed in this subsection, if
23
24
24
Req. No. 261 Page 15
1 the penalty would occur solely as a result of receiving funds from
1
2 the increase in State Aid.
2
3 5. If a school district does not receive Foundation Aid and/or
3
4 Salary Incentive Aid during the preceding fiscal year, the State
4
5 Board of Education may waive the penalty assessed in this subsection
5
6 if the penalty would result in a loss of more than forty percent
6
7 (40%) of the remaining State Aid to be allocated to the school
7
8 district between April 1 and the remainder of the school year and if
8
9 the Board determines the penalty will cause the school district not
9
10 to meet remaining financial obligations.
10
11 6. Any school district which receives gross production revenue
11
12 apportionment during the 2002-2003 school year or in any subsequent
12
13 school year that is greater than the gross production revenue
13
14 apportionment of the preceding school year shall be exempt from the
14
15 penalty assessed in this subsection, if the penalty would occur
15
16 solely as a result of the gross production revenue apportionment, as
16
17 determined by the State Board of Education.
17
18 7. Beginning July 1, 2003, school districts that participate in
18
19 consolidation or annexation pursuant to the provisions of the
19
20 Oklahoma School Consolidation and Annexation Act shall be exempt
20
21 from the penalty assessed in this subsection for the school year in
21
22 which the consolidation or annexation occurs and for the next three
22
23 (3) fiscal years.
23
24
24
Req. No. 261 Page 16
1 8. Any school district which receives proceeds from a sales tax
1
2 levied by a municipality pursuant to Section 22-159 of Title 11 of
2
3 the Oklahoma Statutes or proceeds from a sales tax levied by a
3
4 county pursuant to Section 1370 of Title 68 of the Oklahoma Statutes
4
5 during the 2003-2004 school year or the 2004-2005 school year shall
5
6 be exempt from the penalties assessed in this subsection, if the
6
7 penalty would occur solely as a result of receiving funds from the
7
8 sales tax levy.
8
9 9. Any school district which has an amount of carryover in the
9
10 general fund of the district in excess of the limits established in
10
11 paragraph 1 of this subsection during the fiscal years beginning
11
12 July 1, 2020, July 1, 2021, July 1, 2022, and July 1, 2023, shall
12
13 not be assessed a general fund balance penalty as provided for in
13
14 this subsection.
14
15 10. 9. For purposes of calculating the general fund balance
15
16 penalty, the terms "carryover" and "general fund balance" shall not
16
17 include federal revenue.
17
18 H. F. In order to provide startup funds for the implementation
18
19 of early childhood programs, State Aid may be advanced to school
19
20 districts that initially start early childhood instruction at a
20
21 school site. School districts that desire such advanced funding
21
22 shall make application to the State Department of Education no later
22
23 than September 15 of each year and advanced funding shall be awarded
23
24 to the approved districts no later than October 30. The advanced
24
Req. No. 261 Page 17
1 funding shall not exceed the per pupil amount of State Aid as
1
2 calculated in subsection D of this section per anticipated Head
2
3 Start eligible student. The total amount of advanced funding shall
3
4 be proportionately reduced from the monthly payments of the
4
5 district's State Aid payments during the last six (6) months of the
5
6 same fiscal year.
6
7 I. G. 1. Beginning July 1, 1996, the Oklahoma Tax Commission,
7
8 notwithstanding any provision of law to the contrary, shall report
8
9 monthly to the State Department of Education the monthly
9
10 apportionment of the following information:
10
11 a. the assessed valuation of property ad valorem tax
11
12 collections,
12
13 b. motor vehicle collections,
13
14 c. R.E.A. tax collected, and
14
15 d. gross productions tax collected.
15
16 2. Beginning July 1, 1997, the State Auditor and Inspector's
16
17 Office, notwithstanding any provision of law to the contrary, shall
17
18 report monthly to the State Department of Education the monthly
18
19 apportionment of the proceeds of the county levy.
19
20 3. Beginning July 1, 1996, the Commissioners of the Land
20
21 Office, notwithstanding any provision of law to the contrary, shall
21
22 report monthly to the State Department of Education the monthly
22
23 apportionment of state apportionment.
23
24
24
Req. No. 261 Page 18
1 4. Beginning July 1, 1997, the county treasurers' offices,
1
2 notwithstanding any provision of law to the contrary, shall report
2
3 monthly to the State Department of Education the ad valorem tax
3
4 protest amounts for each county.
4
5 5. 3. The information reported by the Tax Commission, the State
5
6 Auditor and Inspector's Office of the State Auditor and Inspector,
6
7 the county treasurers' offices, and the Commissioners of the Land
7
8 Office, pursuant to this subsection shall be reported by a school
8
9 district on forms developed by the State Department of Education.
9
10 SECTION 3. AMENDATORY 70 O.S. 2021, Section 18-201.1, as
10
11 amended by Section 2, Chapter 280, O.S.L. 2023 (70 O.S. Supp. 2024,
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12 Section 18-201.1), is amended to read as follows:
12
13 Section 18-201.1. A. Beginning with the 2020-21 school year,
13
14 and each school year thereafter, the weighted membership of a school
14
15 district for calculation of Foundation Aid purposes pursuant to
15
16 paragraph 1 of subsection D of Section 18-200.1 of this title shall
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17 be the sum of the weighted pupil grade level calculation, the
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18 weighted pupil category calculation, the weighted district
18
19 calculation, and the weighted teacher experience and degree
19
20 calculation. The weighted membership of a school district for
20
21 calculation of Salary Incentive Aid purposes pursuant to paragraph 3
21
22 of subsection D of Section 18-200.1 of this title shall be the sum
22
23 of the weighted pupil grade level calculation, the weighted pupil
23
24
24
Req. No. 261 Page 19
1 category calculation, the weighted district calculation, and the
1
2 weighted teacher experience and degree calculation.
2
3 B. Beginning with the 2022-2023 school year, the weighted
3
4 calculations provided for in subsection A of this section shall be
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5 based on the higher weighted average daily membership (ADM) of the
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6 first nine (9) weeks of the current school year or the preceding
6
7 school year of a school district, unless otherwise specified. The
7
8 higher of the two (2) weighted average daily memberships shall be
8
9 used consistently in all of the calculations; however, the weighted
9
10 calculation for a statewide virtual charter school experiencing a
10
11 significant decline in membership shall be based on the first nine
11
12 (9) weeks of the current school year for the statewide virtual
12
13 charter school. For purposes of this subsection, "significant
13
14 decline in membership" means equal to or greater than a fifteen
14
15 percent (15%) decrease in average daily membership from the
15
16 preceding school year to the average daily membership of the first
16
17 nine (9) weeks of the current school year. The average daily
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18 membership data used for all calculations in paragraphs 1, 2, 3, and
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19 4 of this subsection shall be the same as used in the calculation of
19
20 the State Aid Formula. The weighted calculations provided for in
20
21 subsection A of this section shall be determined as follows:
21
22 1. The weighted pupil grade level calculation shall be
22
23 determined by taking the highest average daily membership and
23
24
24
Req. No. 261 Page 20
1 assigning weights to the pupils according to grade attended as
1
2 follows:
2
3 GRADE LEVEL WEIGHT
3
4 a. Half-day early childhood programs .7
4
5 b. Full-day early childhood programs 1.3
5
6 c. Half-day kindergarten 1.3
6
7 d. Full-day kindergarten 1.5
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8 e. First and second grade 1.351
8
9 f. Third grade 1.051
9
10 g. Fourth through sixth grade 1.0
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11 h. Seventh through twelfth grade 1.2
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12 i. Out-of-home placement 1.50
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13 Multiply the membership of each subparagraph of this paragraph by
13
14 the weight assigned to such subparagraph of this paragraph and add
14
15 the totals together to determine the weighted pupil grade level
15
16 calculation for a school district. Determination of the pupils
16
17 eligible for the early childhood program weight shall be pursuant to
17
18 the provisions of Section 1-114 of this title. The pupils eligible
18
19 for the out-of-home placement pupil weight shall be students who are
19
20 not residents of the school district in which they are receiving
20
21 education pursuant to the provisions of subsection D of Section 1-
21
22 113 of this title. Such weight may be claimed by the district
22
23 providing educational services to such student for the days that
23
24 student is enrolled in that district. If claimed, the out-of-home
24
Req. No. 261 Page 21
1 placement weight shall be in lieu of the pupil grade level and any
1
2 pupil category weights for that student. Provided, if a student
2
3 resides in a juvenile detention center that is restricted to less
3
4 than twelve (12) beds, the out-of-home placement pupil weight for
4
5 such students shall be calculated as follows: for a center with six
5
6 (6) beds - 3.0; for a center with eight (8) beds - 2.3; and for a
6
7 center with ten (10) beds - 1.80.
7
8 2. The weighted pupil category calculation shall be determined
8
9 by assigning a weight to the pupil category as follows:
9
10 CATEGORY WEIGHT
10
11 a. Visual Impairment 3.8
11
12 b. Specific Learning Disability .4
12
13 c. Deafness or Hearing Impairment 2.9
13
14 d. Deaf-Blindness 3.8
14
15 e. Intellectual Disability 1.3
15
16 f. Emotional Disturbance 2.5
16
17 g. Gifted .34
17
18 h. Multiple Disabilities 2.4
18
19 i. Orthopedic Impairment 1.2
19
20 j. Speech or Language Impairment .05
20
21 k. Bilingual .25
21
22 l. Special Education Summer Program 1.2
22
23 m. Economically Disadvantaged .3
23
24
24
Req. No. 261 Page 22
1 n. Optional Extended School Year
1
2 Program As determined by
2
3 the State Board
3
4 of Education
4
5 o. Autism 2.4
5
6 p. Traumatic Brain Injury 2.4
6
7 q. Other Health Impairment 1.2
7
8 Except as otherwise provided, multiply the number of pupils approved
8
9 in the school year with the highest average daily membership in each
9
10 category by the weight assigned to such category and add the totals
10
11 together to determine the weighted pupil category calculation for a
11
12 school district. For the 1997-98 school year and subsequent school
12
13 years, the number to be multiplied by the weight assigned to the
13
14 gifted category in subparagraph g of this paragraph shall be the
14
15 lesser of (1) the sum of the number of students who scored in the
15
16 top three percent (3%) on any national standardized test of
16
17 intellectual ability plus the number of students identified as
17
18 gifted pursuant to subparagraphs a through d of paragraph 1 of
18
19 Section 1210.301 of this title, or (2) the sum of the number of
19
20 students who scored in the top three percent (3%) on any national
20
21 standardized test of intellectual ability plus eight percent (8%) of
21
22 the total average daily membership of the school district for the
22
23 first nine (9) weeks of the school year.
23
24
24
Req. No. 261 Page 23
1 3. The weighted district calculation shall be determined by
1
2 determining the calculations for each school district for both the
2
3 small school district formula and the district sparsity - isolation
3
4 formula, applying whichever is the greater of the calculations of
4
5 the two formulas and then applying the restrictions pursuant to
5
6 subparagraph c of this paragraph.
6
7 a. Small school district formula: 750 minus the average
7
8 daily membership divided by 750 times .2 times total
8
9 average daily membership.
9
10 The small school district formula calculation shall apply
10
11 only to school districts whose highest average daily
11
12 membership is less than 750 pupils. School districts which
12
13 are consolidated or annexed after July 1, 2003, pursuant to
13
14 the Oklahoma School Voluntary Consolidation and Annexation
14
15 Act shall have the weighted district size calculation for
15
16 the three (3) school years following the fiscal year in
16
17 which such consolidation occurred calculated to be the sum
17
18 of the individual consolidated districts computed as if the
18
19 consolidation had not taken place. Thereafter, any such
19
20 district which is consolidated pursuant to the Oklahoma
20
21 School Voluntary Consolidation and Annexation Act shall not
21
22 qualify for the weighted district calculation unless the
22
23 district can satisfy the specifications herein. Subject to
23
24 the provisions of subparagraph c of this paragraph, the
24
Req. No. 261 Page 24
1 resulting number shall be counted as additional students
1
2 for the purpose of calculating State Aid.
2
3 b. District sparsity - isolation formula:
3
4 The district sparsity - isolation formula calculation shall
4
5 apply only to school districts:
5
6 (1) whose total area in square miles is greater than
6
7 the average number of square miles for all school
7
8 districts in this state;, and
8
9 (2) whose areal density is less than one-fourth (1/4)
9
10 of the state average areal density. Areal
10
11 density shall be determined by dividing the
11
12 school district's average daily membership by the
12
13 school district's total area in square miles.
13
14 The district sparsity - isolation formula calculation shall
14
15 be calculated as follows:
15
16 The school district student cost factor multiplied by
16
17 the school district area factor. The resulting
17
18 product shall be multiplied by the school district's
18
19 average daily membership. Subject to the provisions
19
20 of subparagraph c of this paragraph, the resulting
20
21 number shall be counted as additional students for the
21
22 purpose of calculating State Aid.
22
23 The school district student cost factor shall be calculated
23
24 as follows:
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Req. No. 261 Page 25
1 The school district's average daily membership shall
1
2 be categorized into the following grade level groups
2
3 and applied to the appropriate formulas as computed
3
4 below:
4
5 Grade Level Group
5
6 Grades K-5 Divide 74 by the sum of the Grade
6
7 Level ADM plus 23,
7
8 add .85 to the quotient, then
8
9 multiply the sum by the Grade
9
10 Level ADM.
10
11 Grades 6-8 Divide 122 by the sum of the Grade
11
12 Level ADM plus 133,
12
13 add .85 to the quotient, then
13
14 multiply the sum by the Grade
14
15 Level ADM.
15
16 Grades 9-12 Divide 292 by the sum of the Grade
16
17 Level ADM plus 128,
17
18 add .78 to the quotient, then
18
19 multiply the sum by the Grade
19
20 Level ADM.
20
21 The sum of the grade level group's average daily
21
22 membership shall be divided by the school district's
22
23 average daily membership. The number one (1.0) shall
23
24 be subtracted from the resulting quotient.
24
Req. No. 261 Page 26
1 The school district area cost factor shall be calculated as
1
2 follows:
2
3 Subtract the state average district area from the
3
4 district area, then divide the remainder by the state
4
5 average district area;
5
6 however, the district area cost factor shall not exceed one
6
7 (1.0).
7
8 The State Board of Education shall define geographical barriers
8
9 whose location in a school district would inhibit the district from
9
10 consolidation or annexation. The Board shall make available an
10
11 application process, review applications, and for districts the
11
12 Board deems necessary allow additional square miles to be used for
12
13 the purposes of calculations used for the weighted district sparsity
13
14 - isolation formula. Provided, that the additional square miles
14
15 allowed for geographical barriers shall not exceed thirty percent
15
16 (30%) of the district's actual size.
16
17 c. State Aid funds which a district is calculated to
17
18 receive as a result of the weighted district
18
19 calculation shall be restricted as follows:
19
20 If, after the weighted district calculation is
20
21 applied, the district's projected per pupil
21
22 revenue exceeds one hundred fifty percent (150%)
22
23 of the projected state average per pupil revenue,
23
24 then the district's State Aid shall be reduced by
24
Req. No. 261 Page 27
1 an amount that will restrict the district's
1
2 projected per pupil revenue to one hundred fifty
2
3 percent (150%) of the projected state average per
3
4 pupil revenue. Provided, in applying the
4
5 restriction provided in this division, the
5
6 district's State Aid shall not be reduced by an
6
7 amount greater than by the amount of State Aid
7
8 which was generated by the weighted district
8
9 calculation.
9
10 The July calculation of the projected per pupil
10
11 revenue shall be determined by dividing the district's
11
12 preceding year's average daily membership (ADM) as
12
13 weighted by the pupil grade level, the pupil category,
13
14 the district and the teacher experience degree index
14
15 calculations for projected State Aid into the
15
16 district's projected total revenues including
16
17 projected funds for the State Aid Formula for the
17
18 preceding year, net assessed valuation the amount
18
19 received by the school district from ad valorem tax
19
20 collections for the preceding calendar year times
20
21 thirty-nine (39) mills, county revenues excluding the
21
22 county four-mills revenues for the second preceding
22
23 year, other state appropriations for the preceding
23
24 year, and the collections for the preceding year of
24
Req. No. 261 Page 28
1 state apportionment, motor vehicle revenue, gross
1
2 production tax, and R.E.A. tax.
2
3 The December calculation of the projected per pupil
3
4 revenue shall be determined by dividing the higher of
4
5 the district's first nine (9) weeks of the current
5
6 school year or the preceding school year's average
6
7 daily membership (ADM) as weighted by the pupil grade
7
8 level, the pupil category, the district and the
8
9 teacher experience degree index calculations for
9
10 projected State Aid into the district's projected
10
11 total revenues including funds for the December
11
12 calculation of the current year State Aid Formula, net
12
13 assessed valuation the amount received by the school
13
14 district from ad valorem tax collections for the
14
15 current calendar preceding fiscal year times thirty-
15
16 nine (39) mills, county revenues excluding the county
16
17 four-mills revenue for the preceding year, other state
17
18 appropriations for the preceding year, and the
18
19 collections for the preceding year of state
19
20 apportionment, motor vehicle revenue, gross production
20
21 tax, and R.E.A. tax.
21
22 The district's projected total revenues for each
22
23 calculation shall exclude the following collections
23
24 for the second preceding year: federal revenue,
24
Req. No. 261 Page 29
1 insurance loss payments, reimbursements, recovery of
1
2 overpayments and refunds, unused reserves, prior
2
3 expenditures recovered, prior year surpluses, and
3
4 other local miscellaneous revenues.
4
5 4. The weighted teacher experience and degree calculation shall
5
6 be determined in accordance with the teacher experience and degree
6
7 index. The State Department of Education shall determine an index
7
8 for each state teacher by using data supplied in the school
8
9 district's teacher personnel reports of the preceding year and
9
10 utilizing the index as follows:
10
11 TEACHER EXPERIENCE - DEGREE INDEX
11
12 EXPERIENCE BACHELOR'S MASTER'S DOCTOR'S
12
13 DEGREE DEGREE DEGREE
13
14 0 - 2 .7 .9 1.1
14
15 3 - 5 .8 1.0 1.2
15
16 6 - 8 .9 1.1 1.3
16
17 9 - 11 1.0 1.2 1.4
17
18 12 - 15 1.1 1.3 1.5
18
19 Over 15 1.2 1.4 1.6
19
20 The school district teacher index for each school district shall
20
21 be determined by subtracting the weighted average state teacher from
21
22 the weighted average district teacher. Multiply the school district
22
23 teacher index if greater than zero by .7 and then multiply that
23
24 product by the sum of the district's weighted pupil grade level
24
Req. No. 261 Page 30
1 calculation provided in paragraph 1 of this subsection and the
1
2 weighted pupil category calculation provided in subparagraph m of
2
3 paragraph 2 of this subsection to determine the weighted teacher
3
4 experience and degree calculation.
4
5 SECTION 4. This act shall become effective November 1, 2025.
5
6
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7 60-1-261 EB 12/30/2024 5:20:06 PM
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Req. No. 261 Page 31Every fact on this page links to its source, starting with the official bill record.