AMENDMENT FOR PRINTED BILL
1182cg

___________________ moved that HB 1182 be amended as follows:


    On page 6, between lines 23 and 24 of the printed bill, insert:

"    Section 18. That § 13-8-47 be amended to read:

    13-8-47. Before the first day of August every school board shall file an annual report with the Department of Education. The report shall contain all the educational and financial information and statistics of the school district as requested in a format established by the Department of Education. The report shall also contain, for each month of the fiscal year, the month-end cash balances of the school district's general fund, capital outlay fund, pension fund, and special education fund. The report shall also contain the following information for the district from the preceding fiscal year:

            (1)    Total teacher compensation, which is the total amount spent on instructional salaries and benefits for certified instructional staff;
            (2)    The total amount spent on instructional salaries for certified instructional staff;
            (3)    The total amount spent on benefits for certified instructional staff;
            (4)    The total number of certified instructional staff employed by the school district; and
            (5)    Any other information necessary to comply with the provisions of this Act.

    The business manager with assistance of the secretary of the Department of Education shall make the annual report, and it shall be approved by the school board. The business manager shall sign the annual report and file a copy with the Department of Education as provided in § 13-13-37. The division shall audit the report and return one copy to the school district.

    Reports not filed prior to August thirtieth are considered past due and are subject to the past-due provisions of § 13-13-38.

    Section 19. That the code be amended by adding a NEW SECTION to read:

    The Department of Education shall calculate the following for each school district:

            (1)    The average teacher salary, based on data collected pursuant to §§ 13-8-47 and 13-3-51;
            (2)    The increase in state aid to general education funding, excluding any effect due to change in the school district's fall enrollment and less the amount of revenue generated in school fiscal year 2016 pursuant to § 13-10-6 as a percentage increase, from fiscal year 2016 to fiscal year 2017; and
            (3)    The increase in average teacher compensation as a percentage increase, as defined in § 13-8-47, from fiscal year 2016 to fiscal year 2017.

    For each school district, the district's increase in average teacher compensation from fiscal year 2016 to 2017 shall be equal to at least eighty-five percent of the district's increase in state aid to general education funding, as defined in subdivision (2), from fiscal year 2016 to fiscal year 2017.

    If a school district fails to comply with the requirements of this section, state aid to general education funding to the district in fiscal year 2018 shall be decreased by an amount equal to fifty percent of the amount calculated in subdivision (2). For fiscal years 2019, 2020, and 2021, if a

district's average teacher compensation is less than the district's average teacher compensation in fiscal year 2017, state aid to general education funding to the district in the following fiscal year shall be reduced by an amount equal to five hundred dollars for each teacher employed in the school district.

    A school district may request a waiver from any penalty imposed under this section from the School Finance Accountability Board created in section 20 of this Act.

    Section 20. That the code be amended by adding a NEW SECTION to read:

    There is hereby created the School Finance Accountability Board within the Department of Education. The board shall consist of five members appointed by the Governor. The members shall serve a term of four years. The board may recommend that a penalty against a school district imposed under section 19 of this Act be waived, in whole or in part, if the district can demonstrate that its failure to comply with section 19 of this Act is due to special circumstances.

    The School Finance Accountability Board shall promulgate rules, pursuant to chapter 1-26, to establish the appeals process provided for in section 19 of this Act, and to establish the factors that may be taken into account when considering a waiver requested by a school district, which shall include the impact of retirements.

    Any waiver recommended by the School Finance Accountability Board must be approved by the Joint Committee on Appropriations or the Interim Committee on Appropriations. The Department of Education shall annually report to the Governor and the Legislature the information collected pursuant to § 13-8-47 and section 19 of this Act.".