Honorable Dan Huberty, Chair, House Committee on Public Education
FROM:
Ursula Parks, Director, Legislative Budget Board
IN RE:
HB23 by Huberty (Relating to a grant program to fund innovative programs for public school students with autism.), Committee Report 1st House, Substituted
The bill would create a program to provide grants to public schools for innovative services to students with autism. For fiscal year 2018 and 2019, the bill would direct the commissioner of education to set aside $10 million per year from the Foundation School program and proportionately reduce each school district and charter school's FSP state aid to provide funding for the grant program. For the purpose of this estimate, it is assumed that each year's $10 million set-aside from school district and charter school Foundation School Program funding would be charged against the Foundation School Fund (FSF) portion of state aid provided to the district or charter, to the extent the entity receives such aid. It is assumed that the portion of state aid derived from the constitutionally-directed Available School Fund (ASF) per capita distribution would not be subject to reduction.
Equalized entitlement under the Foundation School Program (FSP) consists of state and local revenue. In order to provide substantially equal access to similar revenue at similar tax effort, school districts with less ability to generate local revenue because of lower property wealth per weighted student receive proportionately more FSP entitlement in the form of state aid than districts with higher property wealth. Assuming a proportionate reduction in each district and charter school's share of Foundation School Fund state aid, school districts in the lowest quintile of wealth per weighted student would incur 26% of the $10 million set aside charge, while districts in the highest quintile would incur 2%. Reductions would be offset for districts or charters participating in the 10 programs receiving grant awards.
The FSP set-aside would end after fiscal year 2019.