Final
STAFF SUMMARY OF MEETING

STUDY OF THE FINANCING OF PUBLIC SCHOOLS

Date:10/26/2009
ATTENDANCE
Time:09:12 AM to 01:41 PM
Bacon
E
Johnston
X
Place:SCR 356
King K.
X
Massey
X
This Meeting was called to order by
Merrifield
X
Representative Middleton
Scanlan
*
Spence
X
This Report was prepared by
Stephens
*
Katey McGettrick
Romer
X
Middleton
X
X = Present, E = Excused, A = Absent, * = Present after roll call
Bills Addressed: Action Taken:
Call to Order
Consideration of Interim Legislation
Presentation on the NMSI Grant
-
-
-

09:12 AM -- Call to Order

Representative Middleton, the chair, called the committee to order. She discussed the recent Colorado Supreme Court ruling on Lobato v. Stateand explained that she requested the Office of Legislative Legal Services (OLLS) to provide an overview of the case. She invited Nicole Myers, OLLS, to the witness table.

Ms. Myers provided background on the Lobato case, outlining the arguments of the plaintiffs. The plaintiffs alleged that the state's public school system is underfunded and allocates funds on an irrational and arbitrary basis and therefore violates the General Assembly's constitutional duty to provide a "thorough and uniform" system of free public schools throughout the state. She explained that the Court of Appeals found that the plaintiffs lacked standing to sue the state. She then outlined the details of the Supreme Court ruling, which reversed the Court of Appeals ruling. Senator King asked if the decision is remanded to same court and same judge. Ms. Myers stated that she did not know if the same judge would be hearing the case. Senator Romer asked which other states have encountered adequacy lawsuits, and if any of those states have similar constitutional provisions.

09:20 AM

Senator Romer continued his remarks, discussing the conflicting constitutional provisions affecting the state budget and financing of public schools. He commented that he hopes that the court discusses the constitutional provisions and determines whether these provisions prevent the state from providing a thorough and uniform education. He stated that he would like the General Assembly to pass a resolution recognizing the constitutional provisions that prevent the state from providing a thorough and uniform education. He raised concerns about the local share of school funding and whether the public is aware of the constitutional provisions restricting revenue and spending.







09:26 AM

Senator King asked Legislative Council Staff to review what the range of funding has been per student per year in states with adequacy lawsuits for the period of time since Amendment 23 was passed by the voters. He stated that this information could be used to address the meaning of "thorough and uniform" in the upcoming legislative session. Representative Middleton asked if the numbers provided by Legislative Council were a statewide average figure.

Todd Herreid, Legislative Council Staff, explained that the numbers provided to Senator King include all sources of revenue for school finance: federal, state, and local. Representative Merrifield asked if it would be possible to see just the state's portion of the total figure. Senator King further requested that Mr. Herreid provide mill levy freeze information. Discussion between Senator King and Mr. Herreid on this topic ensued.

09:33 AM

Senator Romer stated that he believes that it takes more money and time on task for at-risk students to achieve, and that meeting the needs of at-risk children drives the thorough and uniform argument. He continued his remarks on the current state of education funding in Colorado, touching on the issues facing K-12 and higher education in light of the global economy.

Senator King responded to Senator Romer's remarks and noted the importance of reviewing the data that details state, federal, and local funding in order to address adequacy issues.

09:40 AM -- Consideration of Interim Legislation

Representative Middleton asked Senator Romer to discuss Bill 1 (Attachment A).

091026AttachA.pdf

09:43 AM -- Bill 1

Senator Romer noted the correlation of Bill 1 with Senate Bill 08-130, concerning school innovation zones, and explained that he would not offer this bill as an interim committee bill. He explained that federal legislation will require states to close the lowest performing 5 percent of schools, and that the current innovation school zone provisions in state law will need revision. He discussed his desire to include more wraparound services in the bill he plans to carry this session. With that, Bill 1 was withdrawn from the committee's consideration. Senator Spence responded to his remarks, stating that she looked forward to working with him during the session on this issue.


09:48 AM -- Bill 2

Representative Massey briefly summarized the provisions of Bill 2, concerning supplemental online learning. Senator Spence stated her support of the bill, but sought clarification about the online services provider. Representative Massey explained that Colorado Online has been the provider, but need not be the only provider, as the online services provider is determined through a competitive bidding process.
BILL:Consideration of Interim Legislation
TIME: 09:50:18 AM
MOVED:Massey
MOTION:Moved to include Bill 2 (Attachment B) as one of the eight bills recommended to Legislative Council. The motion passed on a 8-0-2 vote.
SECONDED:Merrifield
VOTE
Bacon
Excused
Johnston
Yes
King K.
Yes
Massey
Yes
Merrifield
Yes
Scanlan
Yes
Spence
Yes
Stephens
Yes
Romer
Excused
Middleton
Yes
Final YES: 8 NO: 0 EXC: 2 ABS: 0 FINAL ACTION: PASS

091026AttachB.pdf

09:56 AM -- Bill 3

Senator King reviewed the provisions of Bill 3, concerning the school awards program fund.
BILL:Consideration of Interim Legislation
TIME: 09:57:26 AM
MOVED:King K.
MOTION:Moved to include Bill 3 (Attachment C) as one of the eight bills recommended to Legislative Council. The motion passed on a 8-0-2 vote.
SECONDED:Merrifield
VOTE
Bacon
Excused
Johnston
Yes
King K.
Yes
Massey
Yes
Merrifield
Yes
Scanlan
Yes
Spence
Yes
Stephens
Yes
Romer
Excused
Middleton
Yes
Final YES: 8 NO: 0 EXC: 2 ABS: 0 FINAL ACTION: PASS

091026AttachC.pdf

10:02 AM -- Bill 6

Representative Scanlan reviewed the provisions of Bill 6, concerning online access to public school financial information.
BILL:Consideration of Interim Legislation
TIME: 10:02:04 AM
MOVED:Scanlan
MOTION:Moved to include Bill 6, as amended (see vote sheets below), (Attachment D) as one of the eight bills recommended to Legislative Council. The motion passed on a 9-0-1 vote.
SECONDED:Massey
VOTE
Bacon
Excused
Johnston
Yes
King K.
Yes
Massey
Yes
Merrifield
Yes
Scanlan
Yes
Spence
Yes
Stephens
Yes
Romer
Yes
Middleton
Yes
Final YES: 9 NO: 0 EXC: 1 ABS: 0 FINAL ACTION: PASS

091026AttachD.pdf
BILL:Consideration of Interim Legislation
TIME: 10:03:17 AM
MOVED:Scanlan
MOTION:Moved Amendment 1 (Attachment E) to Bill 6. The motion passed without objection.
SECONDED:Massey
VOTE
Bacon
Excused
Johnston
King K.
Massey
Merrifield
Scanlan
Spence
Stephens
Romer
Middleton
Not Final YES: 0 NO: 0 EXC: 1 ABS: 0 FINAL ACTION: Pass Without Objection

091026AttachE.pdf
BILL:Consideration of Interim Legislation
TIME: 10:06:56 AM
MOVED:Scanlan
MOTION:Moved a conceptual amendment to Bill 6 to allow more flexibility in the posting format. The motion passed without objection.
SECONDED:King K.
VOTE
Bacon
Excused
Johnston
King K.
Massey
Merrifield
Scanlan
Spence
Stephens
Romer
Middleton
Not Final YES: 0 NO: 0 EXC: 1 ABS: 0 FINAL ACTION: Pass Without Objection



10:07 AM

Wil Hatcher, representing Alliance Pikes Peak, spoke to the conceptual amendment passed by the committee.

10:11 AM

Senator King reviewed the provisions of Bill 4, concerning weighted student funding formula grants.
BILL:Consideration of Interim Legislation
TIME: 10:12:43 AM
MOVED:King K.
MOTION:Moved to include Bill 4 (Attachment F), as amended (see vote sheet below), as one of the eight bills recommended to Legislative Council. The motion passed on a 8-1-1 vote.
SECONDED:Romer
VOTE
Bacon
Excused
Johnston
Yes
King K.
Yes
Massey
Yes
Merrifield
No
Scanlan
Yes
Spence
Yes
Stephens
Yes
Romer
Yes
Middleton
Yes
Final YES: 8 NO: 1 EXC: 1 ABS: 0 FINAL ACTION: PASS

091026AttachF.pdf
BILL:Consideration of Interim Legislation
TIME: 10:16:01 AM
MOVED:Spence
MOTION:Moved a conceptual amendment to strike references in Bill 4 to the State Education Fund and General Fund, and to add that alternative funding sources will be used to fund the program. The motion passed without objection.
SECONDED:King K.
VOTE
Bacon
Excused
Johnston
King K.
Massey
Merrifield
Scanlan
Spence
Stephens
Romer
Middleton
Not Final YES: 0 NO: 0 EXC: 1 ABS: 0 FINAL ACTION: Pass Without Objection



10:20 AM

Senator King explained Bill 7, concerning Mill levy freeze savings to the state education fund.
BILL:Consideration of Interim Legislation
TIME: 10:22:25 AM
MOVED:King K.
MOTION:Moved to include Bill 7 (Attachment G) as one of the eight bills recommended to Legislative Council. The motion failed on a 4-5-1 vote.
SECONDED:Spence
VOTE
Bacon
Excused
Johnston
No
King K.
Yes
Massey
Yes
Merrifield
No
Scanlan
No
Spence
Yes
Stephens
Yes
Romer
No
Middleton
No
Final YES: 4 NO: 5 EXC: 1 ABS: 0 FINAL ACTION: FAIL

091026AttachG.pdf

10:23 AM

Senator King shared the testimony during the original discussion of the mill levy freeze legislation, noting that the sponsor stated that the purpose of the bill was to shore up the State Education Fund. A discussion ensued on restoring the State Education Fund in light of the current economic climate. Representative Merrifield stated that he supports the concept of the bill but could not support the bill at this time. Senator Spence asked Senator Romer to clarify his comments regarding mill levy money being used for other funding needs. Representative Scanlan stated that there is not an issue of property tax money funding education, rather there is a need to back-fill in those school districts whose property taxes are lower.

10:33 AM

Senator Johnston stated that he believes conceptually it is a good idea, but that he is not ready to support the legislation today. Representative Stephens stated her support for the bill because it appropriately directs funds. Senator Steadman shared his thoughts on the bill, stating that he believes it is bad fiscal policy.

10:40 AM

The committee recessed.





11:07 AM

The committee came back to order.
BILL:Consideration of Interim Legislation
TIME: 11:07:27 AM
MOVED:Johnston
MOTION:Moved to include Bill 9 (Attachment H) as one of the eight bills recommended to the Legislative Council. After committee discussion, the bill was WITHDRAWN (see discussion below).
SECONDED:Middleton
VOTE
Bacon
Excused
Johnston
King K.
Massey
Merrifield
Scanlan
Spence
Stephens
Romer
Middleton
Not Final YES: 0 NO: 0 EXC: 1 ABS: 0 FINAL ACTION: WITHDRAWN

091026AttachH.pdf

11:07 AM -- Bill 9

Senator Johnston discussed the provisions of Bill 9, concerning the intent to increase at-risk funding. Representative Middleton presented concerns with the bill. Representative Merrifield stated that he agrees with the intent, but that he worries that the bill will create winners and losers. Senator Johnston responded to Representative Merrifield's remarks, specifically around the sources of the funding and creating a trigger.

11:12 AM

Representative Massey also weighed in on the bill, specifically discussing the effect that the increase would have on the other factors in the school finance formula without adding more money. Senator King recommended merging Bill 7 with Bill 9, so that there is a funding source. Representative Scanlan stated that she supports the intent of the bill, but in the absence of fully funding schools, it would be difficult for her to support the bill. After consideration by the committee, Senator Johnston withdrew the bill.


11:16 AM -- Bill 12

Senator Johnston presented Bill 12, concerning average daily membership for pupil count, to the committee. Senator King presented concerns about the bill's effect on declining enrollment, specifically, that it would bring school districts who are not in declining enrollment status into that category, thereby driving a fiscal note and funding phantom students. Senator Johnston responded to Senator King's comments. Representative Middleton also weighed in on the conversation, specifically discussing the importance of ensuring schools have a stake in getting students to school each day. Senator Romer also shared his thoughts on the bill.

11:30 AM

Committee discussion ensued on incentivizing schools to keep students in school, with a focus on the budget implications for school districts. Representative Middleton cautioned putting prospective provisions in statute without having the data system in place to collect average daily membership. Senator Romer stated that there should be an incentive in statute to transition school districts to average daily membership. Representative Stephens presented concerns on the impact of high achieving school districts because the bill may pull funding away from them. Senator Johnston responded to Representative Stephens' comments.

11:38 AM

Representative Scanlan sought further clarification on how the bill would affect all school districts, specifically presenting concerns about the negative effects the bill might have on certain school districts.

11:40 AM

The following person testified on the bill:

11:40 AM --
Scott Groginsky, Colorado Children's Campaign, testified in support of the bill. He also explained the difference between average daily membership and average daily attendance. He addressed the concerns presented by committee members regarding the impact the bill would have on early graduation.

11:44 AM

Senator Romer responded to Mr. Groginsky's testimony, expressing his support of the bill. Committee discussion ensued about the impacts of average daily membership on school districts. The committee also discussed alternatives for studying the issue further before moving forward with legislation changing how students are counted. Representative Middleton specifically suggested creating a study instead of implementing a new system without the data system to support it.


11:57 AM

Senator Romer raised the possibility of finding assistance from a foundation to support the study, in addition to funding from the School Finance Act. Representative Massey presented concerns about directing money toward studies to the detriment to funding school programs. Representative Stephens also presented concerns about using state funds to commission a study.
BILL:Consideration of Interim Legislation
TIME: 12:03:23 PM
MOVED:Johnston
MOTION:Moved to include Bill 12 (Attachment I) as one of the eight bills recommended to Legislative Council. After discussion, Senator Johnston offered a substitute motion (see vote sheet below).
SECONDED:Middleton
VOTE
Bacon
Excused
Johnston
King K.
Massey
Merrifield
Scanlan
Spence
Stephens
Romer
Middleton
Not Final YES: 0 NO: 0 EXC: 1 ABS: 0 FINAL ACTION: TIE

091026AttachI.pdf

BILL:Consideration of Interim Legislation
TIME: 12:03:37 PM
MOVED:Johnston
MOTION:Moved a substitute motion to change Bill 12 to a study of average daily membership (ADM), rather than implementation of an ADM count system, funding for which will come from gifts, grants, and donations only, and to include Bill 12, as amended, as one of the eight bills recommended to Legislative Council. The motion passed on a 8-0-2 vote.
SECONDED:Romer
VOTE
Bacon
Excused
Johnston
Yes
King K.
Yes
Massey
Yes
Merrifield
Yes
Scanlan
Yes
Spence
Excused
Stephens
Yes
Romer
Yes
Middleton
Yes
Final YES: 8 NO: 0 EXC: 2 ABS: 0 FINAL ACTION: PASS

12:07 PM -- Bill 13

Senator Johnston explained the provisions of Bill 13, concerning at-risk funding following the student. Senator Romer shared his thoughts on the bill, specifically noting the importance of including charter schools in at-risk funding conversations. Representative Stephens presented concerns about the effect of the bill on the school districts that she represents. Conversation on this topic between Representative Stephens and Senator Johnston ensued. Senator King asked Jim Griffin of the Colorado League of Charter Schools to present the issues the bill raises for charter schools.

12:18 PM

The following person testified:

12:18 PM --
Jim Griffin, representing the Colorado League of Charter Schools, testified on the bill. He presented concerns with fine-tuning one funding factor, as opposed to looking at the funding streams in totality and how they affect charter schools. He also presented concerns about the undercounting of at-risk students in charter schools.

12:24 PM

Senator Romer responded to Mr. Griffin's comments and stated his support for the bill. Senator King also commented on the bill, detailing the provisions in the bill which concern him. He also sought clarification about the proposed changes in the bill, specifically what was new language, and what was existing language in law that is being moved to different sections. Senator Johnston responded to Senator King's remarks.


12:37 PM

Committee discussion continued on at-risk charter school funding in the bill, specifically reviewing the provisions affecting district and institute charter schools.

12:39 PM

The following person testified on the bill:

12:39 PM -- Wil Hatcher, representing Alliance Pikes Peak, addressed concerns raised by committee members, specifically the hold-harmless provisions and explaining how the district manages at-risk funding.

12:44 PM

Senator Johnston responded to Mr. Hatcher's comments, seeking to understand how the provisions of money following the student would adversely affect the school district.
BILL:Consideration of Interim Legislation
TIME: 12:49:32 PM
MOVED:Johnston
MOTION:Moved to include Bill 13 (Attachment J) as one of the eight bills recommended to Legislative Council. The motion failed on a 2-6-2 vote.
SECONDED:Romer
VOTE
Bacon
Excused
Johnston
Yes
King K.
No
Massey
No
Merrifield
No
Scanlan
No
Spence
Excused
Stephens
No
Romer
Yes
Middleton
No
Final YES: 2 NO: 6 EXC: 2 ABS: 0 FINAL ACTION: FAIL

091026AttachJ.pdf

BILL:Consideration of Interim Legislation
TIME: 12:50:06 PM
MOVED:King K.
MOTION:Moved Amendment 2 (Attachment K) to Bill 13. The motion failed on a 2-6-2 vote.
SECONDED:Stephens
VOTE
Bacon
Excused
Johnston
No
King K.
Yes
Massey
No
Merrifield
No
Scanlan
No
Spence
Excused
Stephens
Yes
Romer
No
Middleton
No
Not Final YES: 2 NO: 6 EXC: 2 ABS: 0 FINAL ACTION: FAIL

091026AttachK.pdf


12:57 PM -- Bills 8 and 11

Representative Middleton explained that she would like for the bill drafters merge Bills 8 and 11 into a single bill, with Representatives Middleton and Massey as co-prime sponsors. Representative Middleton reviewed the bill section by section. Committee discussion ensued about the boards of cooperative educational services (BOCES) provisions of the bill, with Senator King specifically stating his opposition to section 4 of the bill. Representative Stephens also stated her opposition to section 4 of the bill.
BILL:Consideration of Interim Legislation
TIME: 01:31:40 PM
MOVED:Massey
MOTION:Moved to merge Bill 8 with Bill 11(Attachments L and M, respectively), as amended (see vote sheets below) and include it as one of the eight bills recommended to Legislative Council. The motion passed on a 7-1-2 vote.
SECONDED:Middleton
VOTE
Bacon
Excused
Johnston
Yes
King K.
Yes
Massey
Yes
Merrifield
Yes
Scanlan
Yes
Spence
Excused
Stephens
No
Romer
Yes
Middleton
Yes
Final YES: 7 NO: 1 EXC: 2 ABS: 0 FINAL ACTION: PASS

091026AttachL.pdf 091026AttachM.pdf

BILL:Consideration of Interim Legislation
TIME: 01:28:43 PM
MOVED:Stephens
MOTION:Move to strike section 3 of Bill 8. The motion passed without objection.
SECONDED:Merrifield
VOTE
Bacon
Excused
Johnston
King K.
Massey
Merrifield
Scanlan
Spence
Excused
Stephens
Romer
Middleton
Not Final YES: 0 NO: 0 EXC: 2 ABS: 0 FINAL ACTION: Pass Without Objection
BILL:Consideration of Interim Legislation
TIME: 01:24:21 PM
MOVED:Massey
MOTION:Moved to strike sections 2 and 4 of Bill 8. The motion passed without objection.
SECONDED:King K.
VOTE
Bacon
Excused
Johnston
King K.
Massey
Merrifield
Scanlan
Spence
Excused
Stephens
Romer
Middleton
Not Final YES: 0 NO: 0 EXC: 2 ABS: 0 FINAL ACTION: Pass Without Objection


BILL:Consideration of Interim Legislation
TIME: 01:03:43 PM
MOVED:Massey
MOTION:Moved a conceptual amendment to Bill 8 to strike references to "neighboring school districts" and add references to boards of cooperative educational services (BOCES). The motion passed without objection.
SECONDED:Middleton
VOTE
Bacon
Excused
Johnston
King K.
Massey
Merrifield
Scanlan
Spence
Stephens
Romer
Middleton
Not Final YES: 0 NO: 0 EXC: 1 ABS: 0 FINAL ACTION: Pass Without Objection


01:35 PM -- Bill 10

Representative Middleton reviewed the provisions of Bill 10, concerning modifications to certain provisions related to the administration of public school finance.
BILL:Consideration of Interim Legislation
TIME: 01:35:23 PM
MOVED:Middleton
MOTION:Moved to include Bill 10 (Attachment N), as amended, as one of the eight bills recommended to Legislative Council. The motion passed on a 8-0-2 vote.
SECONDED:Scanlan
VOTE
Bacon
Excused
Johnston
Yes
King K.
Yes
Massey
Yes
Merrifield
Yes
Scanlan
Yes
Spence
Excused
Stephens
Yes
Romer
Yes
Middleton
Yes
Final YES: 8 NO: 0 EXC: 2 ABS: 0 FINAL ACTION: PASS

091026AttachN.pdf
BILL:Consideration of Interim Legislation
TIME: 01:35:39 PM
MOVED:Middleton
MOTION:Moved to strike section 4 of Bill 10. The motion passed without objection.
SECONDED:Merrifield
VOTE
Bacon
Excused
Johnston
King K.
Massey
Merrifield
Scanlan
Spence
Excused
Stephens
Romer
Middleton
Not Final YES: 0 NO: 0 EXC: 2 ABS: 0 FINAL ACTION: Pass Without Objection




01:39 PM -- Bill 5

Representative Massey discussed the provisions of Bill 5, concerning speech language pathologists.
BILL:Consideration of Interim Legislation
TIME: 01:40:29 PM
MOVED:Massey
MOTION:Moved to include Bill 5 (Attachment O) as one of the eight bills recommended to Legislative Council. The motion passed on a 8-0-2 vote.
SECONDED:Middleton
VOTE
Bacon
Excused
Johnston
Yes
King K.
Yes
Massey
Yes
Merrifield
Yes
Scanlan
Yes
Spence
Excused
Stephens
Yes
Romer
Yes
Middleton
Yes
Final YES: 8 NO: 0 EXC: 2 ABS: 0 FINAL ACTION: PASS

091026AttachO.pdf

01:41 PM

Having considered all bills to be recommended to Legislative Council, the committee adjourned. Following the meeting, Senator Romer hosted a webinar on the National Math and Science Initiative (NMSI) grant. A brief summary of the NMSI webinar follows.


01:45 PM -- Presentation on the National Math and Science Initiative Grant

Gregg Fleischer, representing NMSI, presented to the committee on "Increasing Student Achievement Using Proven Methods" (Attachment P) via webinar. He reviewed the structure of an Advanced Placement (AP) Training and Incentive Program. He noted that the program is currently operating in Alabama, Arkansas, Connecticut, Kentucky, Massachusetts, and Virginia. He reviewed the organization's goals for the 2009-10 school year. He also recognized NMSI's financial and program partners that make the program possible. He noted that Colorado is a top performing AP state, sharing specific statistics on Colorado's AP rankings for math and science exams. He finished his presentation by discussing next steps for the Colorado grant.

091026AttachP.pdf

Senator Romer asked Mr. Fleischer to share how other state grantees have incorporated rural districts involved in the grant program. Representative Massey asked if it is an in-school or afterschool program. Mr. Fleischer responded to these questions, and with that the presentation concluded.