SENATE BILL 66
53rd legislature - STATE OF NEW MEXICO - first session, 2017
INTRODUCED BY
Mimi Stewart
FOR THE LEGISLATIVE EDUCATION STUDY COMMITTEE
AN ACT
RELATING TO PUBLIC EDUCATION; CREATING A TRANSPORTATION DISTRIBUTION FOR SCHOOL DISTRICTS AND STATE-CHARTERED CHARTER SCHOOLS AND ESTABLISHING REQUIREMENTS FOR THE EXPENDITURE OF ITS PROCEEDS.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:
SECTION 1. Section 22-8-14 NMSA 1978 (being Laws 1967, Chapter 16, Section 69, as amended) is amended to read:
"22-8-14. PUBLIC SCHOOL FUND.--
A. The "public school fund" is created.
B. The public school fund shall be distributed to school districts and state-chartered charter schools in the following parts:
(1) state equalization guarantee distribution;
(2) school district transportation distribution; [and]
(3) state-chartered charter school transportation distribution; and
[(3)] (4) supplemental distributions:
(a) out-of-state tuition to school districts;
(b) emergency; and
(c) program enrichment.
C. The distributions of the public school fund shall be made by the department within limits established by law. The balance remaining in the public school fund at the end of each fiscal year shall revert to the general fund, unless otherwise provided by law."
SECTION 2. Section 22-8-26 NMSA 1978 (being Laws 1967, Chapter 16, Section 76, as amended) is amended to read:
"22-8-26. TRANSPORTATION DISTRIBUTION.--
A. Money in the school district transportation distribution and the state-chartered charter school transportation distribution of the public school fund shall be used only for the purpose of making payments to each school district or state-chartered charter school for the to-and-from school transportation costs of students in grades kindergarten through twelve attending public school within the school district or state-chartered charter school and of three- and four-year-old children who meet the department-approved criteria and definition of developmentally disabled and for transportation of students to and from their regular attendance centers and the place where vocational education programs are being offered.
B. In the event a school district's [or state-chartered charter school's] transportation allocation exceeds the amount required to meet obligations to provide
to-and-from transportation, three- and four-year-old developmentally disabled transportation and vocational education transportation, fifty percent of the remaining balance shall be deposited in the transportation emergency fund.
C. In the event a state-chartered charter school's transportation allocation exceeds the amount required to meet obligations to provide to-and-from transportation, three- and four-year-old developmentally disabled transportation and vocational education transportation, one hundred percent of the remaining balance shall be deposited in the transportation emergency fund.
[C.] D. Of the excess amount retained by the school district [or state-chartered charter school], at least twenty-five percent shall be used for to-and-from transportation-related services, excluding salaries and benefits, and up to twenty-five percent may be used for other transportation-related services, excluding salaries and benefits as defined by rule of the department.
[D. In the event the sum of the proposed transportation allocations to each school district or state-chartered charter school exceeds the amounts in the transportation distribution, the allocation to each school district or state-chartered charter school shall be reduced in the proportion that the school district or state-chartered charter school allocation bears to the total statewide transportation distribution.]
E. A state-chartered charter school shall notify the department one year in advance of its request for public school transportation funding.
[E.] F. A local school board or governing body of a state-chartered charter school, with the approval of the state transportation director, may provide additional transportation services pursuant to Section 22-16-4 NMSA 1978 to meet established program needs.
[F.] G. Nothing in this section prohibits the use of school buses to transport the general public pursuant to the Emergency Transportation Act."
SECTION 3. Section 22-8-29 NMSA 1978 (being Laws 1967, Chapter 16, Section 78, as amended) is amended to read:
"22-8-29. TRANSPORTATION DISTRIBUTIONS [REPORTS--PAYMENTS].--
[A. On the second reporting date and the third reporting date of each year, each local school board of a school district and governing body of a state-chartered charter school shall report to the state transportation director, upon forms furnished by the state transportation director, the following information concerning the school district's or state-chartered charter school's operation on each respective reporting date of the current year:
(1) the number and designation of school bus routes in operation in the school district;
(2) the number of miles traveled by each school bus on each school bus route, showing the route mileage in accordance with the type of road surface traveled;
(3) the number of students, including special education students, transported on each reporting date of the current year and adjusted for special education students on December 1;
(4) the projected number of students to be transported in the next school year;
(5) the seating capacity, age and mileage of each bus used in the school district for student transportation; and
(6) the number of total miles traveled for each school district's or state-chartered charter school's per capita feeder routes.
B. Each local school board of a school district and governing body of a state-chartered charter school maintaining a school bus route shall make further reports to the state transportation director at other times specified by the state transportation director.
C.] The state transportation director shall certify to the secretary that the allocations to each school district from the school district transportation [distributions] distribution and to each [school district and] state-chartered charter school from the state-chartered charter school transportation distribution are based upon the transportation distribution [formula] formulas established in the Public School Code calculated and distributed for the entire school year using an average of the amounts reported on the second reporting date and third reporting date of the prior school year, and subject to audit and verification.
[D. The department shall make periodic installment payments to school districts and state-chartered charter schools during the school year from the transportation distributions, based upon the allocations certified by the
state transportation director.]"
SECTION 4. Section 22-8-29.1 NMSA 1978 (being Laws 1995, Chapter 208, Section 10, as amended) is amended to read:
"22-8-29.1. CALCULATION OF TRANSPORTATION ALLOCATION FOR SCHOOL DISTRICTS.--
A. As used in this section:
(1) "annual variables" means the coefficients calculated by regressing the total operational expenditures from two years prior to the current school year for each school district [and state-chartered charter school] using the number of students transported and the numerical value of site characteristics;
(2) "base amount" means the fixed amount that is the same for all school districts [and an amount established by rule for state-chartered charter schools];
(3) "total operational expenditures" means the sum of all to-and-from school transportation expenditures, excluding expenditures incurred in accordance with the provisions of Section 22-8-27 NMSA 1978; and
(4) "variable amount" means the sum of the product of the annual variables multiplied by each school district's [or state-chartered charter school's] numerical value of the school district's [and state-chartered charter school's] site characteristics multiplied by the number of days of operation for each school district [or state-chartered charter school].
B. The department shall calculate the transportation allocation for each school district [and state-chartered charter school].
C. The base amount is designated as product A. Product A is the constant calculated by regressing the total operations expenditures from the two years prior to the current school year for school district [or state-chartered charter school] operations using the numerical value of site characteristics approved by the department. The legislative education study committee and the legislative finance committee may review the site characteristics developed by the state transportation director prior to approval by the department.
D. The variable amount is designated as product B. Product B is the predicted additional expenditures for each school district [or state-chartered charter school] based on the regression analysis using the site characteristics as predictor variables multiplied by the number of days.
E. The unadjusted transportation allocation [to] for each school district [and state-chartered charter school] shall be equal to product A plus product B.
[F. For the 2001-2002, 2002-2003 and 2003-2004 school years, the transportation allocation for each school district shall not be less than ninety-five percent or more than one hundred five percent of the prior school year's transportation expenditure.
G.] F. The allocation to each school district shall be equal to the unadjusted allocation multiplied by the school district transportation distribution adjustment factor [shall be applied to the allocation amount determined pursuant to Subsections E and F of this section]."
SECTION 5. A new section of the Public School Finance Act is enacted to read:
"[NEW MATERIAL] CALCULATION OF TRANSPORTATION ALLOCATION FOR STATE-CHARTERED CHARTER SCHOOLS.--
A. As used in this section:
(1) "annual variables" means the coefficients calculated by regressing the total operational expenditures from two years prior to the current school year for each state-chartered charter school using the number of students transported and the numerical value of site characteristics;
(2) "base amount" means the fixed amount that is the same for all state-chartered charter schools;
(3) "total operational expenditures" means the sum of all to-and-from school transportation expenditures, excluding expenditures incurred in accordance with the provisions of Section 22-8-27 NMSA 1978; and
(4) "variable amount" means the sum of the product of the annual variables multiplied by each state-chartered charter school's numerical value of the state-chartered charter school's site characteristics multiplied by the number of days of operation for each state-chartered charter school.
B. The department shall calculate the transportation allocation for each state-chartered charter school.
C. The base amount is designated as product A. Product A is the constant calculated by regressing the total operations expenditures from the two years prior to the current school year for state-chartered charter school operations using the numerical value of site characteristics approved by the department. The legislative education study committee and the legislative finance committee may review the site characteristics developed by the state transportation director prior to approval by the department.
D. The variable amount is designated as product B. Product B is the predicted additional expenditures for each state-chartered charter school based on the regression analysis using the site characteristics as predictor variables multiplied by the number of days.
E. The unadjusted transportation allocation for each state-chartered charter school shall be equal to product A plus product B.
F. The allocation to each state-chartered charter school shall be equal to the unadjusted allocation multiplied by the state-chartered charter school transportation distribution adjustment factor."
SECTION 6. Section 22-8-29.4 NMSA 1978 (being Laws 1995, Chapter 208, Section 13, as amended) is amended to read:
"22-8-29.4. TRANSPORTATION DISTRIBUTION ADJUSTMENT [FACTOR] FACTORS.--
A. As used in this section:
(1) "total school district operational transportation distribution" means the total legislative appropriation for the school district transportation distribution less amounts included for capital outlay expenses; and
(2) "total state-chartered charter school operational transportation distribution" means the total legislative appropriation for the state-chartered charter school transportation distribution less amounts included for capital outlay expenses.
B. The department shall establish a school district transportation distribution adjustment factor. The adjustment factor shall be calculated as follows:
(1) calculate the unadjusted transportation allocation for each school district [and state-chartered charter school] designated in Section 22-8-29.1 NMSA 1978 as product A plus product B;
(2) the sum total of product A plus product B in all school districts [and state-chartered charter schools] added together equals [product] C; and
(3) subtract [product] C from the total school district operational transportation distribution for the current year and divide the result by [product] C and then add 1 in the following manner: "[(total school district operational transportation distribution - C) ÷ C] + 1". The result is the school district transportation distribution adjustment factor.
[B. As used in this section, "total operational transportation distribution" means the total legislative appropriation for the transportation distribution minus amounts included for capital outlay expenses.]
C. The department shall establish a state-chartered charter school transportation distribution adjustment factor. The adjustment factor shall be calculated as follows:
(1) calculate the unadjusted transportation allocation for each state-chartered charter school designated in Section 5 of this 2017 act as product A plus product B;
(2) the sum total of product A plus product B in all state-chartered charter schools added together equals C; and
(3) subtract C from the total state-chartered charter school operational transportation distribution for the current year and divide the result by C and then add 1 in the following manner: "[(total state-chartered charter school operational transportation distribution - C) ÷ C] + 1". The result is the state-chartered charter school transportation distribution adjustment factor."
SECTION 7. Section 22-8B-4 NMSA 1978 (being Laws 1999, Chapter 281, Section 4, as amended) is amended to read:
"22-8B-4. CHARTER SCHOOLS' RIGHTS AND RESPONSIBILITIES--OPERATION.--
A. A charter school shall be subject to all federal and state laws and constitutional provisions prohibiting discrimination on the basis of disability, physical or mental handicap, serious medical condition, race, creed, color, sex, gender identity, sexual orientation, spousal affiliation, national origin, religion, ancestry or need for special education services.
B. A charter school shall be governed by a governing body in the manner set forth in the charter contract; provided that a governing body shall have at least five members; and provided further that no member of a governing body for a charter school that is initially approved on or after July 1, 2005 or whose charter is renewed on or after July 1, 2005 shall serve on the governing body of another charter school. No member of a local school board shall be a member of a governing body for a charter school or employed in any capacity by a locally chartered charter school located within the local school board's school district during the term of office for which the member was elected or appointed.
C. A charter school shall be responsible for:
(1) its own operation, including preparation of a budget, subject to audits pursuant to the Audit Act; and
(2) contracting for services and personnel matters.
D. A charter school may contract with a school district, a university or college, the state, another political subdivision of the state, the federal government or one of its agencies, a tribal government or any other third party for the use of a facility, its operation and maintenance and the provision of any service or activity that the charter school is required to perform in order to carry out the educational program described in its charter contract. Facilities used by a charter school shall meet the standards required pursuant to Section 22-8B-4.2 NMSA 1978.
E. A conversion school chartered before July 1, 2007 may choose to continue using the school district facilities and equipment it had been using prior to conversion, subject to the provisions of Subsection F of this section.
F. The school district in which a charter school is geographically located shall provide a charter school with available facilities for the school's operations unless the facilities are currently used for other educational purposes. An agreement for the use of school district facilities by a charter school may provide for reasonable lease payments; provided that the payments do not exceed the sum of the lease reimbursement rate provided in Subparagraph (b) of Paragraph (1) of Subsection I of Section 22-24-4 NMSA 1978 plus any reimbursement for actual direct costs incurred by the school district in providing the facilities; and provided further that any lease payments received by a school district may be retained by the school district and shall not be considered to be cash balances in any calculation pursuant to Section 22-8-41 NMSA 1978. The available facilities provided by a school district to a charter school shall meet all occupancy standards as specified by the public school capital outlay council. As used in this subsection, "other educational purposes" includes health clinics, daycare centers, teacher training centers, school district administration functions and other ancillary services related to a school district's functions and operations.
G. A locally chartered charter school may pay the costs of operation and maintenance of its facilities or may contract with the school district to provide facility operation and maintenance services.
H. Locally chartered charter school facilities are eligible for state and local capital outlay funds and shall be included in the school district's five-year facilities plan.
I. A locally chartered charter school shall negotiate with a school district to provide transportation to students eligible for transportation under the provisions of the Public School Code. The school district, in conjunction with the charter school, may establish a limit for student transportation to and from the charter school site not to extend beyond the school district boundary.
J. A state-chartered charter school providing transportation to students eligible for transportation pursuant to the provisions of the Public School Code shall establish a limit for student transportation to and from the charter school site not to exceed the boundaries of the school district in which the state-chartered charter school is geographically located or within a ten-mile radius of one state-chartered charter school if transporting students outside of the boundaries of the school district in which the state-chartered charter school is geographically located.
[J.] K. A charter school shall be a nonsectarian, nonreligious and non-home-based public school.
[K.] L. Except as otherwise provided in the Public School Code, a charter school shall not charge tuition or have admission requirements.
[L.] M. With the approval of the chartering authority, a single charter school may maintain separate facilities at two or more locations within the same school district; but, for purposes of calculating program units pursuant to the Public School Finance Act, the separate facilities shall be treated together as one school.
[M.] N. A charter school shall be subject to the provisions of Section 22-2-8 NMSA 1978 and the Assessment and Accountability Act.
[N.] O. Within constitutional and statutory limits, a charter school may acquire and dispose of property; provided that, upon termination of the charter, all assets of the locally chartered charter school shall revert to the local school board and all assets of the state-chartered charter school shall revert to the state, except that, if all or any portion of a state-chartered charter school facility is financed with the proceeds of general obligation bonds issued by a local school board, the facility shall revert to the local school board.
[O.] P. The governing body of a charter school may accept or reject any charitable gift, grant, devise or bequest; provided that no such gift, grant, devise or bequest shall be accepted if subject to any condition contrary to law or to the terms of the charter. The particular gift, grant, devise or bequest shall be considered an asset of the charter school to which it is given.
[P.] Q. The governing body may contract and sue and be sued. A local school board shall not be liable for any acts or omissions of the charter school.
[Q.] R. A charter school shall comply with all state and federal health and safety requirements applicable to public schools, including those health and safety codes relating to educational building occupancy.
[R.] S. A charter school is a public school that may contract with a school district or other party for provision of financial management, food services, transportation, facilities, education-related services or other services. The governing body shall not contract with a for-profit entity for the management of the charter school.
[S.] T. To enable state-chartered charter schools to submit required data to the department, an accountability data system shall be maintained by the department.
[T.] U. A charter school shall comply with all applicable state and federal laws and rules related to providing special education services. Charter school students with disabilities and their parents retain all rights under the federal Individuals with Disabilities Education Act and its implementing state and federal rules. Each charter school is responsible for identifying, evaluating and offering a free appropriate public education to all eligible children who are accepted for enrollment in that charter school. The state-chartered charter school, as a local educational agency, shall assume responsibility for determining students' needs for special education and related services. The division may promulgate rules to implement the requirements of this subsection."
SECTION 8. Section 22-16-4 NMSA 1978 (being Laws 1967, Chapter 16, Section 222, as amended) is amended to read:
"22-16-4. SCHOOL BUS ROUTES--LIMITATIONS--EXCEPTIONS--MINIMUM REQUIREMENTS.--
A. Bus routes shall be established by the local school district.
B. Bus routes shall be established by a state-chartered charter school receiving a transportation distribution pursuant to the provisions of the Public School Finance Act.
[B.] C. Except as provided in Subsections [C and] D and E of this section, no school bus route shall be maintained for distances less than:
(1) one mile one way for students in grades kindergarten through six;
(2) one and one-half miles one way for students in grades seven through nine; and
(3) two miles one way for students in grades ten through twelve.
[C.] D. In school districts and state-chartered charter schools having hazardous walking conditions as determined by the local school board or the governing body of a state-chartered charter school and confirmed by the state transportation director, students of any grade may be transported a lesser distance than that provided in Subsection [B] C of this section. General standards for determining hazardous walking conditions shall be established by the state transportation division of the department [of education] with the approval of the [state board] department, but the standards shall be flexibly and not rigidly applied by the local school board and the state transportation director to prevent accidents and help ensure student safety.
[D.] E. Exceptional children whose handicaps require transportation and three- and four-year-old children who meet the [state board-approved] department-approved criteria and definition of developmentally disabled may be transported a lesser distance than that provided in Subsection [B] C of this section."
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