2016 -- H 7981

========

LC005313

========

     STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2016

____________

A N   A C T

RELATING TO EDUCATION - THE EDUCATION EQUITY AND PROPERTY TAX RELIEF

ACT

     Introduced By: Representatives Marshall, Malik, Gallison, and Kennedy

     Date Introduced: March 23, 2016

     Referred To: House Finance

     It is enacted by the General Assembly as follows:

     SECTION 1. Section 16-7.2-4 of the General Laws in Chapter 16-7.2 entitled "The

Education Equity and Property Tax Relief Act" is hereby amended to read as follows:

     16-7.2-4. Determination of state's share. -- (a) For each district, the state's share of the

foundation education aid calculated pursuant to § 16-7.2-3(a) shall use a calculation that

considers a district's revenue generating capacity and concentration of high-need students. The

calculation is the square root of the sum of the state share ratio for the community calculation

(SSRC), pursuant to § 16-7-20, squared plus the district's percentage of students eligible for

USDA reimbursable school meals in grades PK-6 (PK6FRPL) squared, divided by two.

      (b) For purposes of determining the state's share, school district student data used in this

calculation shall include charter school and state school students. These ratios are used in the

permanent foundation education aid formula calculation described in § 16-7.2-5. Provided, the

state's share for regional school districts shall be amended for the fiscal years commencing July 1,

2016, and July 1, 2017, as set forth in §16-7.2-4.1.

     SECTION 2. Chapter 16-7.2 of the General Laws entitled "The Education Equity and

Property Tax Relief Act" is hereby amended by adding thereto the following section:

     16-7.2-4.1. Temporary increase in state's share for regional school districts. -- (a)

The state's share of foundation education aid for regional school districts shall be stabilized and

remain at the amounts calculated and provided for the 2015-2016 school year pursuant to §16-

7.2-4. These amounts shall be stabilized and remain in place for two (2) years, commencing on

July 1, 2016. In addition to these stabilized amounts, the state's share of foundation education aid

for regional school districts shall be increased for the fiscal years commencing July 1, 2016, and

July 1, 2017, as follows:

     (1) For the fiscal year commencing July 1, 2016 only, the state's share to each regional

school district shall be increased by one percent (1%) of the amount calculated and provided to

the regional school districts for the 2015-2016 school year;

     (2) For the fiscal year commencing July 1, 2017 only, the state's share to each regional

school district shall be increased by two percent (2%) of the amount calculated and provided to

the regional school districts for the 2015-2016 school year; and

     (3) The temporary stabilization and increase in the state's share for regional school

districts provided by this section shall terminate on July 1, 2018. Provided, the provisions of this

section shall be reviewed and assessed for possible continuation by the general assembly during

the 2018 legislative session. Such review and assessment shall include considerations of the needs

of the regional school districts and the state of Rhode Island's economy at that time.

     (b) As used herein, a regional school district shall have the same meaning as referred to

in chapter 3 of this title.

     SECTION 3. This act shall take effect upon passage.

========

LC005313

========

LC005313 - Page 2 of 3

EXPLANATION

BY THE LEGISLATIVE COUNCIL

OF

A N   A C T

RELATING TO EDUCATION - THE EDUCATION EQUITY AND PROPERTY TAX RELIEF

ACT

***

     This act would provide for a stabilization of the state's share of foundation education aid

to regional school districts at the 2015-2016 levels for two (2) years. The act would also increase

the state's share of foundation education aid to regional school districts for FY 2017 and FY 2018.

There would be a one percent (1%) increase for FY 2017, and a two percent (2%) increase for FY

2018. In 2018, both the stabilization of and the increases in aid would cease, but the general

assembly would review and assess the increases for possible continuation.

     This act would take effect upon passage.

========

LC005313

========

LC005313 - Page 3 of 3