TITLE: CONCERNING FUNDING FOR PUPILS WHO ATTEND SCHOOL IN A SCHOOL DISTRICT OTHER THAN THE SCHOOL DISTRICT OF RESIDENCE UNDER THE PROVISIONS OF ARTICLE 36 OF TITLE 22, C.R.S.

STATE FISCAL IMPACT SUMMARY	FY 1998/99	FY 1999/2000
State Revenues General Fund Other Fund
State Expenditures General Fund Schools of Choice Fund*	Up to $993,612
FTE Position Change	None	None
Local Government Impact — Funding for nonresident students at qualifying school districts may be made available from moneys credited to the Schools of Choice Fund.

*The current balance in the Schools of Choice Fund is $993,612. Qualified school districts may apply for funding of nonresident students from moneys credited to the Schools of Choice Fund. The balance in the fund in FY 1999-00 is not known.

This reengrossed bill, as amended in the Senate Education Committee, would allow that any school district that received state aid in the amount of ten percent or less of the school district’s total program in the preceding budget year and that allows a nonresident student to enroll in a school to apply to the Department of Education for funding for that student. Funding would be based on an amount equal to the state share of per pupil operating revenues received by the school district in which the student resides, reduced in proportion to the amount of time remaining in the school year. Funding for this purpose would be paid from moneys credited to the Schools of Choice Fund.

Since the bill is permissive in allowing qualified school districts to apply to the Department of Education for additional financial assistance under certain circumstances, the bill is assessed as having conditional state and local fiscal impact. The bill would become effective upon signature of the Governor.

The bill allows school districts that received ten percent or less of the district’s total program in state aid to apply to the Department of Education for funding for nonresident students that enroll in the district after October 1. The funding would be prorated based on the amount of time remaining in the school year and would be made available from moneys credited to the Schools of Choice Fund. However, the bill does not provide for additional moneys to be credited to the Schools of Choice Fund.

The number of new nonresident students enrolled in qualified school districts after the October 1 enrollment count on an annual basis has not been estimated. Furthermore, approval by the Department of Education for use of any moneys that may be available in the Schools of Choice Fund for this purpose is speculative. The current balance in the Schools of Choice Fund is $993,612.

Funding for nonresident students at qualifying school districts may be made available from moneys credited to the Schools of Choice Fund.