HOUSE BILL 39

53rd legislature - STATE OF NEW MEXICO - second session, 2018

INTRODUCED BY

Monica Youngblood

AN ACT

RELATING TO PUBLIC SCHOOL CAPITAL OUTLAY; REQUIRING SCHOOL DISTRICTS TO DISTRIBUTE CERTAIN SHARES OF PROPERTY TAX REVENUES

TO CHARTER SCHOOLS; REQUIRING CERTIFICATION OF CHARTER SCHOOL SHARES OF CERTAIN PROPERTY TAX REVENUES TO SCHOOL DISTRICTS.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:

     SECTION 1. Section 22-25-7 NMSA 1978 (being Laws 1975 (S.S.), Chapter 5, Section 7, as amended) is amended to read:

     "22-25-7. IMPOSITION OF TAX--LIMITATION ON EXPENDITURES.--

          A. If as a result of an election held in accordance with the Public School Capital Improvements Act a majority of the qualified electors voting on the question votes in favor of the imposition of the tax, the tax rate shall be certified, unless the local school board requests by resolution that a rate be discontinued, by the department of finance and administration at the rate specified in the resolution authorized under Section 22-25-3 NMSA 1978 or at any lower rate required by operation of the rate limitation provisions of Section 7-37-7.1 NMSA 1978 upon the rate specified in the resolution and be imposed at the rate certified in accordance with the provisions of the Property Tax Code.

          B. The revenue produced by the tax and, except as provided in Subsection F, G or H of Section 22-25-9 NMSA 1978, any state distribution resulting to the district under the Public School Capital Improvements Act shall be expended only for the capital improvements specified in the authorizing resolution.

          C. For resolutions approved by the electors on or after July 1, 2009, the amount of tax revenue to be distributed to each charter school that was included in the resolution shall be determined each year and shall be in the same proportion as the average full-time-equivalent enrollment of the charter school on the [fortieth day] first reporting date of the prior school year is to the total such enrollment in the school district; provided that no distribution shall be made to an approved charter school that had not commenced classroom instruction in the prior school year and, provided further, that, in determining a school district's total enrollment, students attending a state-chartered charter school within that school district shall be included. Each year, the department shall certify to the county treasurer of the county in which the eligible charter schools in the school district are located and to each school district the percentage of the revenue to be distributed to each charter school. The county treasurer shall distribute the charter school's share of the property tax revenue directly to the charter school. If a board of county commissioners elects not to distribute the proceeds of a tax due to a school district in the county, any amount distributed by the secretary of finance and administration to a school district that is due to a charter school shall be distributed to the charter school by the school district."

     SECTION 2. Section 22-26-9 NMSA 1978 (being Laws 2007, Chapter 366, Section 23, as amended) is amended to read:

     "22-26-9. CHARTER SCHOOLS--RECEIPT OF LOCAL PROPERTY TAX REVENUE.--If, in an election held after July 1, 2007, the qualified electors of a school district have voted in favor of the imposition of a property tax as provided in Section

22-26-3 NMSA 1978, the amount of tax revenue to be distributed to each charter school that was included in the resolution shall be determined each year and shall be in the same proportion as the average full-time-equivalent enrollment of the charter school on the first reporting date of the prior school year is to the total such enrollment in the district; provided that, in the case of an approved charter school that had not commenced classroom instruction in the prior school year, the estimated full-time-equivalent enrollment in the first year of instruction, as shown in the approved charter school application, shall be used, subject to adjustment after the first reporting date. Each year, the department shall certify to the county treasurer of the county in which the eligible charter schools in the school district are located and to each school district the percentage of the revenue to be distributed to each charter school. The county treasurer shall distribute the charter school's share of the property tax revenue directly to the charter school. If a board of county commissioners elects not to distribute the proceeds of a tax due to a school district in the county, any amount distributed by the secretary of finance and administration to a school district that is due to a charter school shall be distributed to the charter school by the school district."

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