US Laws, Codes, Statutes & Cases

Chapter 327 — State Financing of Elementary and Secondary Education

 

2005 EDITION

 

 

STATE FINANCING OF EDUCATION

 

EDUCATION AND CULTURE

 

STATE SCHOOL FUND

 

327.006     Definitions

 

327.008     State School Fund; State School Fund grants

 

327.013     State School Fund distribution computations for school districts

 

327.019     State School Fund distribution computations for education service districts

 

327.021     Percentages and time of payment of apportionments to education service districts

 

327.023     Grants for special and compensatory education programs

 

327.026     State School Fund grant for programs; calculation; adjustment; rules

 

327.033     Approved transportation costs

 

327.043     When district required to provide transportation; waiver

 

327.061     Computation of number of students in average daily membership

 

327.077     Remote small elementary school and small high school determination; effect; waiver

 

Note          Effect of reopening remote small elementary school--1993 c.61 §12

 

327.082     Kindergarten apportionment

 

327.095     Percentages and time of payment of apportionments to school districts

 

327.097     Apportionment where district changed

 

327.099     Adjustment of distribution within fiscal year

 

327.101     Adjustment of distribution between fiscal years

 

327.103     Standard school presumed; effect of finding of deficiency; rules

 

327.106     School districts required to offer kindergarten through grade 12; exceptions

 

327.109     Procedure if school district or charter school alleged to be involved in religious activity; complaint, investigation, finding; effect

 

327.120     Correction of errors in apportionments

 

327.125     Superintendent to administer ORS 327.006 to 327.133, 327.348, 327.355, 327.357, 327.360 and 327.731; board rules

 

327.133     Reports by districts

 

327.137     Audit statements filed with department; effect of failure to file or insufficiency of statement

 

327.147     Increased allocation when union high school district becomes common school district

 

327.152     Increased allocation when certain merger occurs

 

327.157     Minimum apportionment to school districts affected or not affected by ORS 327.147 and 327.152

 

GRANTS TO SCHOOL DISTRICTS AND PROGRAMS

 

(School Improvement Grants)

 

327.290     Legislative findings relating to student achievement

 

327.294     School Improvement Fund

 

327.297     Grants for activities related to student achievement; evaluation of recipient progress; rules

 

(Construction and Maintenance of Public School Facilities Grant)

 

327.300     Definitions for ORS 327.300 to 327.320

 

327.310     Legislative findings

 

327.320     School Facility Improvement Fund

 

327.330     Grants to school districts for construction and maintenance of public school facilities; rules

 

(Local Option Equalization Grants)

 

327.333     Policy on provision of grants to school districts

 

327.336     Qualifications; amount

 

327.339     Local Option Equalization Grants Account; grant payments

 

(English as Second Language Teacher Training Grants)

 

327.345     Grants for training English as second language teachers; qualifications; use; rules

 

(High Cost Disabilities Grants)

 

327.348     High Cost Disabilities Account; grants; approved costs; rules

 

(Small School District Grants)

 

327.355     Definitions for ORS 327.357

 

327.357     Small school district grants; rules

 

327.360     Small School District Supplement Fund

 

(Defibrillator Grants)

 

327.365     Automated external defibrillator grants; rules

 

COMMON SCHOOL FUND

 

327.403     Definition for ORS 327.405 to 327.480

 

327.405     Common School Fund; composition and use

 

327.410     Apportionment of Distributable Income Account of Common School Fund among counties; distribution to school districts

 

327.420     Basis of apportionment

 

327.425     Loans and investment of funds; determination of interest rate

 

327.430     Security for loans

 

327.435     Ascertainment of value and title of security

 

327.440     Loan repayment

 

327.445     Custody of securities for loan; collection of interest

 

327.450     Foreclosure of mortgages given to secure loans

 

327.455     Record of purchases by Department of State Lands on foreclosures; resale or lease of land; disposition of proceeds

 

327.465     Cancellation of unpaid taxes after deed to state in liquidation of loan

 

327.470     Cancellation of taxes on land acquired through foreclosure proceedings; right of redemption

 

327.475     When county court may acquire mortgaged lands deeded to state

 

327.480     Use of Common School Fund moneys to comply with judgment canceling fraudulent deed

 

327.482     Appropriation to reimburse fund for any loss

 

327.484     Reimbursement for loss or failure to earn four percent interest

 

EDUCATION CASH ACCOUNT

 

327.485     Education Cash Account; composition; accounting

 

327.490     Projects contracted to districts and institutions of higher learning

 

327.495     Appropriation of funds received for certain purposes

 

QUALITY EDUCATION COMMISSION

 

327.497     Legislative findings

 

327.500     Establishment; membership; staff

 

327.502     Officers; quorum; meetings

 

327.506     Quality education goals; duties; report

 

MISCELLANEOUS

 

(Budget and Accounting System)

 

327.511     Uniform budget and accounting system

 

(Food Programs)

 

327.520     Acceptance and distribution of donated commodities to schools

 

327.525     School Lunch Revolving Account

 

327.527     Summer lunch reimbursement; rules

 

327.535     School breakfast program; waiver; district election based on federal funding

 

(Federal Aid to Education)

 

327.615     State Treasurer as trustee of funds

 

327.620     Review of accounts affecting federal funds

 

327.635     Labor standards required on federally financed school construction

 

(Financing of State and Federal Requirements)

 

327.645     Financing of programs mandated by state and federal programs

 

EDUCATION LOTTERY BOND PROGRAM

 

327.700     Definitions for ORS 327.700 to 327.711

 

327.705     Purpose of ORS 327.700 to 327.711

 

327.708     Legislative findings

 

327.711     Payment of debt service; issuance of bonds; School Capital Construction, Maintenance and Technology Fund

 

327.731     Education project grants; use; amount

 

STATE SCHOOL FUND

 

      327.005 [Repealed by 1957 c.612 §1 (327.006 enacted in lieu of 327.005)]

 

      327.006 Definitions. As used in ORS 327.006 to 327.133, 327.348, 327.355, 327.357, 327.360 and 327.731:

      (1) “Aggregate days membership” means the sum of days present and absent, according to the rules of the State Board of Education, of all resident pupils when school is actually in session during a certain period. The aggregate days membership of kindergarten pupils shall be calculated on the basis of a half-day program.

      (2)(a) “Approved transportation costs” means those costs as defined by rule of the State Board of Education and is limited to those costs attributable to transporting or room and board provided in lieu of transporting:

      (A) Elementary school students who live at least one mile from school;

      (B) Secondary school students who live at least 1.5 miles from school;

      (C) Any student required to be transported for health or safety reasons, according to supplemental plans from districts that have been approved by the state board identifying students who are required to be transported for health or safety reasons, including special education;

      (D) Preschool children with disabilities requiring transportation for early intervention services provided pursuant to ORS 343.224 and 343.533;

      (E) Students who require payment of room and board in lieu of transportation;

      (F) A student transported from one school or facility to another school or facility when the student attends both schools or facilities during the day or week; and

      (G) Students participating in school-sponsored field trips that are extensions of classroom learning experiences.

      (b) “Approved transportation costs” does not include the cost of constructing boarding school facilities.

      (3) “Average daily membership” or “ADM” means the aggregate days membership of a school during a certain period divided by the number of days the school was actually in session during the same period. However, if a district school board adopts a class schedule that operates throughout the year for all or any schools in the district, average daily membership shall be computed by the Department of Education so that the resulting average daily membership will not be higher or lower than if the board had not adopted such schedule.

      (4) “Consumer Price Index” means the Consumer Price Index for All Urban Consumers of the Portland, Oregon, Standard Metropolitan Statistical Area, as compiled by the United States Department of Labor, Bureau of Labor Statistics.

      (5) “Kindergarten” means a kindergarten program that conforms to the standards and rules adopted by the State Board of Education.

      (6) “Net operating expenditures” means the sum of expenditures of a school district in kindergarten through grade 12 for administration, instruction, attendance and health services, operation of plant, maintenance of plant, fixed charges and tuition for resident students attending in another district, as determined in accordance with the rules of the State Board of Education, but net operating expenditures does not include transportation, food service, student body activities, community services, capital outlay, debt service or expenses incurred for nonresident students.

      (7)(a) “Resident pupil” means any pupil:

      (A) Whose legal school residence is within the boundaries of a school district reporting the pupil, if the district is legally responsible for the education of the pupil, except that “resident pupil” does not include a pupil who pays tuition or for whom the parent pays tuition or for whom the district does not pay tuition for placement outside the district; or

      (B) Whose legal residence is not within the boundaries of the district reporting the pupil but attends school in the district with the written consent of the affected school district boards.

      (b) A pupil shall not be considered to be a resident pupil under paragraph (a)(A) of this subsection if the pupil is attending school in another school district pursuant to a contract under ORS 339.125 and in the prior year was considered to be a resident pupil in another school district under paragraph (a)(B) of this subsection. The pupil shall continue to be considered a resident of another school district under paragraph (a)(B) of this subsection.

      (c) A pupil shall not be considered to be a resident pupil under paragraph (a)(B) of this subsection if the pupil is attending school in a school district pursuant to an agreement with another school district under ORS 339.133 and in the prior year was considered to be a resident pupil under paragraph (a)(A) of this subsection because the pupil was attending school in another school district pursuant to a contract under ORS 339.125. The pupil shall continue to be considered a resident pupil under paragraph (a)(A) of this subsection.

      (d) “Resident pupil” includes a pupil admitted to a school district under ORS 339.115 (7).

      (8) “Standard school” means a school meeting the standards set by the rules of the State Board of Education.

      (9) “Tax” and “taxes” includes all taxes on property, excluding exempt bonded indebtedness, as those terms are defined in ORS 310.140. [1957 c.612 §2 (enacted in lieu of 327.005); 1957 c.708 §4; 1959 c.388 §1; 1963 c.142 §1; 1965 c.100 §14; 1971 c.395 §2; 1973 c.750 §16; 1973 c.827 §26; 1977 c.840 §1; 1979 c.259 §1; 1981 c.804 §95; 1989 c.215 §2; 1989 c.342 §1; 1991 c.693 §35; 1991 c.780 §2; 1995 c.660 §47; 1997 c.821 §11; 1999 c.961 §5; 1999 c.989 §30]

 

      327.008 State School Fund; State School Fund grants. (1) There is established a State School Fund in the General Fund. The fund shall consist of moneys appropriated by the Legislative Assembly and moneys transferred from the Education Stability Fund. The State School Fund is continuously appropriated to the Department of Education for the purposes of ORS 327.006 to 327.077, 327.095, 327.099, 327.101, 327.125, 327.137, 327.348, 327.355, 327.357, 327.360, 336.575, 336.580, 336.635, 342.173, 343.243, 343.533 and 343.961.

      (2) There shall be apportioned from the State School Fund to each school district a State School Fund grant, consisting of the positive amount equal to a general purpose grant and a facility grant and a transportation grant and a high cost disabilities grant minus local revenue, computed as provided in ORS 327.013.

      (3) There shall be apportioned from the State School Fund to each education service district a State School Fund grant as calculated under ORS 327.019.

      (4) All figures used in the determination of the distribution of the State School Fund shall be estimates for the same year as the distribution occurs, unless otherwise specified.

      (5) Numbers of students in average daily membership used in the distribution formula shall be the numbers as of June of the year of distribution.

      (6) A school district may not use the portion of the State School Fund grant that is attributable to the facility grant for capital construction costs.

      (7) The total amount of the State School Fund that is distributed as facility grants may not exceed $17.5 million in any biennium. If the total amount to be distributed as facility grants exceeds this limitation, the Department of Education shall prorate the amount of funds available for facility grants among those school districts that qualified for a facility grant.

      (8) Each fiscal year, the Department of Education shall transfer the amount of $12 million from the State School Fund to the High Cost Disabilities Account established in ORS 327.348.

      (9) Each fiscal year, the Department of Education shall transfer the amount of $2.5 million from the State School Fund to the Small School District Supplement Fund established in ORS 327.360. [1991 c.780 §3; 1993 c.61 §4; 1997 c.524 §3; 1997 c.821 §13; 1999 c.1066 §10; 2001 c.695 §§12,13; 2002 s.s.3 c.6 §§13,14; 2003 c.715 §§4,5,7; 2005 c.803 §6]

 

      Note: The amendments to 327.008 by section 6a, chapter 803, Oregon Laws 2005, become operative July 1, 2007. See section 6b, chapter 803, Oregon Laws 2005. The text that is operative on and after July 1, 2007, is set forth for the user’s convenience.

      327.008. (1) There is established a State School Fund in the General Fund. The fund shall consist of moneys appropriated by the Legislative Assembly and moneys transferred from the Education Stability Fund. The State School Fund is continuously appropriated to the Department of Education for the purposes of ORS 327.006 to 327.077, 327.095, 327.099, 327.101, 327.125, 327.137, 327.348, 327.355, 327.357, 327.360, 336.575, 336.580, 336.635, 342.173, 343.243, 343.533 and 343.961.

      (2) There shall be apportioned from the State School Fund to each school district a State School Fund grant, consisting of the positive amount equal to a general purpose grant and a facility grant and a transportation grant and a high cost disabilities grant minus local revenue, computed as provided in ORS 327.013.

      (3) There shall be apportioned from the State School Fund to each education service district a State School Fund grant as calculated under ORS 327.019.

      (4) All figures used in the determination of the distribution of the State School Fund shall be estimates for the same year as the distribution occurs, unless otherwise specified.

      (5) Numbers of students in average daily membership used in the distribution formula shall be the numbers as of June of the year of distribution.

      (6) A school district may not use the portion of the State School Fund grant that is attributable to the facility grant for capital construction costs.

      (7) The total amount of the State School Fund that is distributed as facility grants may not exceed $25 million in any biennium. If the total amount to be distributed as facility grants exceeds this limitation, the Department of Education shall prorate the amount of funds available for facility grants among those school districts that qualified for a facility grant.

      (8) Each fiscal year, the Department of Education shall transfer the amount of $12 million from the State School Fund to the High Cost Disabilities Account established in ORS 327.348.

      (9) Each fiscal year, the Department of Education shall transfer the amount of $2.5 million from the State School Fund to the Small School District Supplement Fund established in ORS 327.360.

 

      327.010 [Amended by 1957 c.626 §2; 1963 c.570 §1; 1965 c.100 §15; 1979 c.277 §2; repealed by 1991 c.780 §30]

 

      327.012 [Repealed by 1957 c.626 §1]

 

      327.013 State School Fund distribution computations for school districts. The State School Fund distributions for school districts shall be computed as follows:

      (1) General Purpose Grant = Funding Percentage ´ Target Grant ´ District extended ADMw.

      (2) The funding percentage shall be calculated by the Superintendent of Public Instruction to distribute as nearly as practicable the total sum available for distribution of money.

      (3) Target Grant = Statewide Target per ADMw Grant + Teacher Experience Factor.

      (4) Statewide Target per ADMw Grant = $4,500.

      (5) Teacher Experience Factor = $25 ´ {District average teacher experience - statewide average teacher experience}. “Average teacher experience” means the average, in years, of teaching experience of certified teachers as reported to the Department of Education.

      (6) District extended ADMw = ADMw or ADMw of the prior year, whichever is greater.

      (7)(a) Weighted average daily membership or ADMw = average daily membership + an additional amount computed as follows:

      (A) 1.0 for each student in average daily membership eligible for special education as a child with disabilities under ORS 343.035, applicable to not to exceed 11 percent of the district’s ADM without review and approval of the Department of Education. Children with disabilities eligible for special education in adult local correctional facilities as defined in ORS 169.005 or adult regional correctional facilities as defined in ORS 169.620 may not be included in the calculation of the 11 percent.

      (B) 0.5 for each student in average daily membership eligible for and enrolled in an English as a second language program under ORS 336.079.

      (C) 0.2 for each student in average daily membership enrolled in a union high school district or in an area of a unified school district where the district is only responsible for educating students in grades 9 through 12 in that area.

      (D) -0.1 for each student in average daily membership enrolled in an elementary district operating kindergarten through grade 6 or kindergarten through grade 8 or in an area of a unified school district where the district is only responsible for educating students in kindergarten through grade 8.

      (E) 0.25 times the sum of the following:

      (i) The number of children 5 to 17 years of age in poverty families in the district, as determined by the Department of Education from a report of the federal Department of Education based on the most recent federal decennial census, as adjusted by the school district’s proportion of students in the county receiving free or reduced price lunches under the United States Department of Agriculture’s current Income Eligibility Guidelines if the number is higher than the number determined from census data and only if the school district had an average daily membership of 2,500 or less for the 1995-1996 school year, and as further adjusted by the number of students in average daily membership in June of the year of distribution divided by number of students in average daily membership in the district, or its predecessors, in June of the year of the most recent federal decennial census;

      (ii) The number of children in foster homes in the district as determined by the report of the Department of Human Services to the federal Department of Education, “Annual Statistical Report on Children in Foster Homes and Children in Families Receiving AFDC Payments in Excess of the Poverty Income Level,” or its successor, for October 31 of the year prior to the year of distribution; and

      (iii) The number of children in the district in state-recognized facilities for neglected and delinquent children, based on information from the Department of Human Services for October 31 of the year prior to the year of distribution.

      (F) An additional amount as determined by ORS 327.077 shall be added to the ADMw for each remote small elementary school and for each small high school in the district.

      (G) All numbers of children used for the computation in this section must reflect any district consolidations that have occurred since the numbers were compiled.

      (b) The total additional weight that shall be assigned to any student in average daily membership in a district, exclusive of students described in paragraph (a)(E) and (F) of this subsection shall not exceed 2.0.

      (8) High cost disabilities grant = the total amount received by a school district under ORS 327.348, for providing special education and related services to resident pupils with disabilities.

      (9)(a) Transportation grant equals:

      (A) 70 percent of approved transportation costs for those school districts ranked below the 80th percentile under paragraph (b) of this subsection.

      (B) 80 percent of approved transportation costs for those school districts ranked in or above the 80th percentile but below the 90th percentile under paragraph (b) of this subsection.

      (C) 90 percent of approved transportation costs for those school districts ranked in or above the 90th percentile under paragraph (b) of this subsection.

      (b) Each fiscal year, the Department of Education shall rank school districts based on the approved transportation costs per ADM of each school district, ranking the school district with the highest approved transportation costs per ADM at the top of the order.

      (10) Local Revenues are the total of the following:

      (a) The amount of revenue offset against local property taxes as determined by the Department of Revenue under ORS 311.175 (3)(a)(A);

      (b) The amount of property taxes actually received by the district including penalties and interest on taxes;

      (c) The amount of revenue received by the district from the Common School Fund under ORS 327.403 to 327.410;

      (d) The amount of revenue received by the district from the county school fund;

      (e) The amount of revenue received by the district from the 25 percent of federal forest reserve revenues required to be distributed to schools by ORS 294.060 (1);

      (f) The amount of revenue received by the district from state managed forestlands under ORS 530.115 (1)(b) and (c);

      (g) Moneys received in lieu of property taxes;

      (h) Federal funds received without specific application by the school district and which are not deemed under federal law to be nonsupplantable;

      (i) Any positive amount obtained by subtracting the operating property taxes actually imposed by the district, based on the rate certified pursuant to ORS 310.060, from the amount that would have been imposed by the district if the district had certified the maximum rate of operating property taxes allowed by law; and

      (j) Any amount distributed to the district in the prior fiscal year under section 4 (3), chapter 695, Oregon Laws 2001, or ORS 327.019 (8).

      (11) Notwithstanding subsection (10) of this section, Local Revenues do not include, if a school district imposes local option taxes pursuant to ORS 280.040 to 280.145, an amount equal to the lesser of:

      (a) The amount of revenue actually received by the district from local option taxes imposed pursuant to ORS 280.040 to 280.145;

      (b) Fifteen percent of the combined total for the school district of the general purpose grant, the transportation grant, the facility grant and the high cost disabilities grant of the district; or

      (c) $750 per district extended ADMw.

      (12)(a) Facility Grant = 8 percent of total construction costs of new school buildings.

      (b) A school district shall receive a Facility Grant in the distribution year that a new school building is first used.

      (c) As used in this subsection:

      (A) “New school building” includes new school buildings, adding structures onto existing school buildings and adding premanufactured structures to a school district if those buildings or structures are to be used for instructing students.

      (B) “Construction costs” does not include costs for land acquisition. [1991 c.780 §4; 1993 c.61 §5; 1993 c.690 §3; 1995 c.649 §4; 1996 c.19 §2; 1997 c.541 §§367,368,368a; 1997 c.804 §§1,2; 1999 c.186 §11; 1999 c.989 §31; 1999 c.1066 §§25,26,30; 1999 c.1094 §5; 2001 c.670 §§10,12; 2001 c.695 §§15,17,20,23; 2003 c.715 §§8,10,13; 2005 c.803 §7]

 

      327.014 [1953 c.547 §1; 1957 c.626 §3; 1957 s.s. c.2 §1; 1961 c.622 §1; 1963 c.570 §1a; 1965 c.100 §16; 1965 c.528 §1; 1969 c.625 §1; repealed by 1971 c.22 §4]

 

      327.015 [Repealed by 1957 c.612 §18]

 

      327.017 [1993 c.61 §13; repealed by 1995 c.649 §10]

 

      327.018 [1957 c.612 §7 (enacted in lieu of 327.085); 1959 c.388 §2; 1965 c.100 §19; renumbered 327.059]

 

      327.019 State School Fund distribution computations for education service districts. (1) As used in this section:

      (a) “Education service district extended ADMw” means the sum of the extended ADMw of the component school districts of the education service district as computed under ORS 327.013.

      (b) “Local revenues of an education service district” means the total of the following:

      (A) The amount of revenue offset against local property taxes as determined by the Department of Revenue under ORS 311.175 (3)(a)(A);

      (B) The amount of property taxes actually received by the district including penalties and interest on taxes;

      (C) The amount of revenue received by the district from state-managed forestlands under ORS 530.115 (1)(b) and (c); and

      (D) Any positive amount obtained by subtracting the operating property taxes actually imposed by the district based on the rate certified pursuant to ORS 310.060 from the amount that would have been imposed by the district if the district had certified the maximum rate of operating property taxes allowed by law.

      (2) Each fiscal year, the Superintendent of Public Instruction shall calculate a State School Fund grant for each education service district as provided in this section.

      (3)(a) Each fiscal year, the superintendent shall calculate the total amount appropriated or allocated to the State School Fund and available for distribution to school districts, education service districts and programs + total amount of local revenues of all school districts, computed as provided in ORS 327.013, + total amount of local revenues of all education service districts. The superintendent may not include in the calculation under this paragraph amounts recovered by the Department of Education from the State School Fund under ORS 343.243.

      (b) The superintendent shall multiply the amount calculated under paragraph (a) of this subsection by 95.25 percent.

      (c) Based on the amount calculated under paragraph (b) of this subsection, the superintendent shall calculate a funding percentage to distribute as nearly as practicable under ORS 327.006 to 327.133, 327.348, 327.355, 327.357 and 327.360 the total amount calculated under paragraph (b) of this subsection as school district general purpose grants, facility grants, high cost disabilities grants and transportation grants to school districts.

      (d) Based on the funding percentage calculated under paragraph (c) of this subsection, the superintendent shall calculate the general purpose grant, facility grant, transportation grant and high cost disabilities grant amounts for each school district.

      (4) The general services grant for an education service district shall equal the higher of:

      (a) Total amount calculated under subsection (3)(d) of this section for the component school districts of the education service district ´ (4.75 :SPLIT 95.25); or

      (b) $950,000.

      (5) Subject to subsection (6) of this section, the State School Fund grant for an education service district = general services grant :MINUS local revenues of the education service district.

      (6)(a) After completing the calculations under subsections (2) to (5) of this section, the Superintendent of Public Instruction shall apportion from the State School Fund to each education service district an amount = (funding percentage ´ general services grant) -local revenues of the education service district.

      (b) The funding percentage used in paragraph (a) of this subsection shall be calculated by the superintendent to distribute as nearly as practicable the total amount available for distribution to education service districts from the State School Fund for each fiscal year.

      (7) Notwithstanding subsections (5) and (6) of this section, the State School Fund grant of an education service district may not be less than zero.

      (8) An education service district shall distribute to its component school districts any amount of local revenues of the education service district that is greater than the general services grant. The amount that each component school district receives under this subsection shall be prorated based on the district extended ADMw of each school district. [2001 c.695 §9; 2003 c.715 §16; 2005 c.803 §8; 2005 c.828 §1]

 

      Note: The amendments to 327.019 by section 1, chapter 828, Oregon Laws 2005, become operative July 1, 2006. See section 2a, chapter 828, Oregon Laws 2005. The text that is operative until July 1, 2006, is set forth for the user’s convenience.

      327.019. (1) As used in this section:

      (a) “Education service district extended ADMw” means the sum of the extended ADMw of the component school districts of the education service district as computed under ORS 327.013.

      (b) “Local revenues of an education service district” means the total of the following:

      (A) The amount of revenue offset against local property taxes as determined by the Department of Revenue under ORS 311.175 (3)(a)(A);

      (B) The amount of property taxes actually received by the district including penalties and interest on taxes;

      (C) The amount of revenue received by the district from state-managed forestlands under ORS 530.115 (1)(b) and (c); and

      (D) Any positive amount obtained by subtracting the operating property taxes actually imposed by the district based on the rate certified pursuant to ORS 310.060 from the amount that would have been imposed by the district if the district had certified the maximum rate of operating property taxes allowed by law.

      (2) Each fiscal year, the Superintendent of Public Instruction shall calculate a State School Fund grant for each education service district as provided in this section.

      (3)(a) Each fiscal year, the superintendent shall calculate the total amount appropriated or allocated to the State School Fund and available for distribution to school districts, education service districts and programs + total amount of local revenues of all school districts, computed as provided in ORS 327.013, + total amount of local revenues of all education service districts. The superintendent may not include in the calculation under this paragraph amounts recovered by the Department of Education from the State School Fund under ORS 343.243.

      (b) The superintendent shall multiply the amount calculated under paragraph (a) of this subsection by 95 percent.

      (c) Based on the amount calculated under paragraph (b) of this subsection, the superintendent shall calculate a funding percentage to distribute as nearly as practicable under ORS 327.006 to 327.133, 327.348, 327.355, 327.357 and 327.360 the total amount calculated under paragraph (b) of this subsection as school district general purpose grants, facility grants, high cost disabilities grants and transportation grants to school districts.

      (d) Based on the funding percentage calculated under paragraph (c) of this subsection, the superintendent shall calculate the general purpose grant, facility grant, transportation grant and high cost disabilities grant amounts for each school district.

      (4) The general services grant for an education service district shall equal the higher of:

      (a) Total amount calculated under subsection (3)(d) of this section for the component school districts of the education service district ´ 5.263 percent; or

      (b) $1 million.

      (5) Subject to subsection (6) of this section, the State School Fund grant for an education service district = general services grant :MINUS local revenues of the education service district.

      (6)(a) After completing the calculations under subsections (2) to (5) of this section, the Superintendent of Public Instruction shall apportion from the State School Fund to each education service district an amount = (funding percentage ´ general services grant) -local revenues of the education service district.

      (b) The funding percentage used in paragraph (a) of this subsection shall be calculated by the superintendent to distribute as nearly as practicable the total amount available for distribution to education service districts from the State School Fund for each fiscal year.

      (7) Notwithstanding subsections (5) and (6) of this section, the State School Fund grant of an education service district may not be less than zero.

      (8) An education service district shall distribute to its component school districts any amount of local revenues of the education service district that is greater than the general services grant. The amount that each component school district receives under this subsection shall be prorated based on the district extended ADMw of each school district.

 

      327.020 [Repealed by 1957 c.612 §8 (327.024 enacted in lieu of 327.020)]

 

      327.021 Percentages and time of payment of apportionments to education service districts. (1) The Superintendent of Public Instruction shall distribute funds payable to education service districts from the State School Fund following the same percentages and dates specified for school districts under ORS 327.095.

      (2) The Department of Education may require reports from education service districts of projected and estimated data necessary for the calculation of the State School Fund grant amount.

      (3) The Department of Education may adjust distributions to an education service district to reflect the difference between the amount payable to the education service district and the amount actually distributed to the education service district based on audited data and data received from reports from education service districts. [2001 c.695 §11]

 

      327.023 Grants for special and compensatory education programs. In addition to those moneys distributed through the State School Fund, the Department of Education shall provide from state funds appropriated therefor, grants in aid or support for special and compensatory education programs including:

      (1) Special schools for children who are deaf or blind as defined in ORS 346.010.

      (2) Medicaid match for administration efforts to secure Medicaid funds for services provided to children with disabilities.

      (3) Hospital programs for education services to children who are hospitalized for extended periods of time or who require hospitalization due to severe disability as described in ORS 343.261.

      (4) Private agency programs for education services to children who are placed by the state in long term care or treatment facilities as described in ORS 343.961.

      (5) Regional services provided to children with low-incidence disabling conditions as described in ORS 343.236.

      (6) Early childhood special education provided to preschool children with disabilities from age three until age of eligibility for kindergarten as described in ORS 339.185, 343.035, 343.041, 343.055, 343.065, 343.157 and 343.455 to 343.534.

      (7) Early intervention services for preschool children from birth until age three as described in ORS 339.185, 343.035, 343.041, 343.055, 343.065, 343.157 and 343.455 to 343.534.

      (8) Evaluation services for children with disabilities to determine program eligibility and needs as described in ORS 343.146.

      (9) Education services to children residing at state hospitals.

      (10) Disadvantaged children program under ORS 343.680.

      (11) Early childhood education under ORS 329.215 to 329.235.

      (12) Child development specialist under ORS 329.255.

      (13) Youth care centers under ORS 420.885.

      (14) Staff development and mentoring.

      (15) Professional technical education grants.

      (16) Special science education programs.

      (17) Talented and Gifted children program under ORS 343.391 to 343.413. [1991 c.780 §5; 1993 c.45 §292; 1999 c.989 §33; 2001 c.900 §240]

 

      327.024 [1957 c.612 §9 (enacted in lieu of 327.020); 1959 c.388 §3; 1965 c.100 §20; renumbered 327.063]

 

      327.025 [Repealed by 1957 c.612 §3 (327.028 enacted in lieu of 327.025)]

 

      327.026 State School Fund grant for programs; calculation; adjustment; rules. (1) In order to accomplish the purpose described in ORS 326.700, the State Board of Education shall adopt by rule definitions and procedures to be applied to the computation of the State School Fund allocations where necessary to make students enrolled in the Youth Corrections Education Program, as defined in ORS 326.695, and the Juvenile Detention Education Program, as defined in ORS 326.695, equivalent to students enrolled in common and union high school districts for purposes of distribution of the fund.

      (2) The Youth Corrections Education Program shall be entitled to receive from the State School Fund for each school year a special State School Fund grant, consisting of a general purpose grant that is equal to the Youth Corrections Education Program ADM multiplied by 2.0 multiplied by the additional per student weight, as defined in ORS 327.013 (7)(a)(A), multiplied by Funding Percentage and further multiplied by Statewide Target per ADMw Grant.

      (3) The Juvenile Detention Education Program shall be entitled to receive from the State School Fund for each school year a special State School Fund grant, consisting of a general purpose grant that is equal to the Juvenile Detention Education Program ADM multiplied by 1.5 multiplied by Funding Percentage and further multiplied by Statewide Target per ADMw Grant.

      (4) Funds allocated to the Youth Corrections Education Program and the Juvenile Detention Education Program from the State School Fund shall remain with the Department of Education and shall be adjusted in the year following the distribution to reflect the actual ADMw of students in the Youth Corrections Education Program and the Juvenile Detention Education Program in the same manner as for the school districts under ORS 327.101. [1995 c.649 §7; 1997 c.821 §17; 2001 c.681 §5]

 

      327.028 [1957 c.612 §4 (enacted in lieu of 327.025); 1957 c.708 §5; 1959 c.388 §4; 1965 c.100 §22; renumbered 327.075]

 

      327.030 [Repealed by 1957 c.612 §18]

 

      327.032 [Formerly 327.070; 1965 c.100 §28; renumbered 327.103]

 

      327.033 Approved transportation costs. (1) Approved transportation costs shall be estimated for the year of distribution.

      (2) Approved transportation costs shall include depreciation of original cost to the district of district-owned buses, not in excess of 10 percent per year.

      (3) Districts are required to account separately for those funds received from the State School Fund attributable to the costs included under subsection (2) of this section, and expenditure of those funds shall be limited to the acquisition of new buses or transportation equipment. [1991 c.780 §7a]

 

      327.035 [Amended by 1953 c.108 §3; 1957 c.612 §10; 1959 c.388 §5; 1963 c.142 §2; 1965 c.100 §17; 1965 c.323 §1; 1971 c.107 §1; repealed by 1991 c.780 §30]

 

      327.038 [1957 s.s. c.2 §3; repealed by 1959 c.388 §15]

 

      327.040 [Repealed by 1957 c.612 §18]

 

      327.042 [1957 c.708 §§2, 3; 1959 c.388 §6; 1963 c.570 §1d; 1965 c.100 §18; 1969 c.625 §2; 1971 c.21 §1; 1971 c.107 §2; 1973 c.750 §4; 1977 c.840 §2; repealed by 1991 c.780 §30]

 

      327.043 When district required to provide transportation; waiver. (1) A school district is required to provide transportation for elementary students who reside more than one mile from school and for secondary school students who reside more than 1.5 miles from school. A district is also required to provide transportation for any student identified in a supplemental plan approved by the State Board of Education.

      (2) Notwithstanding subsection (1) of this section, the State Board of Education may waive the requirement to provide transportation for secondary school students who reside more than 1.5 miles from school. A district must present to the board a plan providing or identifying suitable and sufficient alternate modes of transporting secondary school students. [1991 c.780 §7]

 

      327.045 [Repealed by 1957 c.626 §1]

 

      327.046 [1961 c.502 §10; repealed by 1963 c.570 §33]

 

      327.047 [1997 c.821 §9; repealed by 2003 c.715 §41]

 

      327.048 [1961 c.502 §6; repealed by 1963 c.570 §33]

 

      327.049 [1985 c.555 §9; repealed by 1991 c.780 §30]

 

      327.050 [Amended by 1957 c.612 §11; repealed by 1963 c.570 §33]

 

      327.051 [1997 c.821 §8; repealed by 2003 c.715 §41]

 

      327.052 [1961 c.408 §1; repealed by 1963 c.570 §33]

 

      327.053 [1965 c.100 §18a; 1973 c.750 §5; 1977 c.840 §3; 1981 c.899 §1; 1985 c.555 §10; 1989 c.216 §2; repealed by 1991 c.780 §30]

 

      327.055 [Repealed by 1963 c.570 §33]

 

      327.056 [1977 c.840 §4; repealed by 1989 c.216 §1]

 

      327.057 [1957 c.556 §11; repealed by 1963 c.570 §33]

 

      327.058 [1959 c.528 §§4, 11; 1961 c.500 §1; repealed by 1963 c.570 §33]

 

      327.059 [Formerly 327.018; 1969 c.625 §3; 1971 c.21 §2; 1973 c.750 §6; 1977 c.840 §5; 1981 c.899 §2; repealed by 1991 c.780 §30]

 

      327.060 [Amended by 1955 c.766 §1; repealed by 1963 c.570 §33]

 

      327.061 Computation of number of students in average daily membership. (1) Numbers of students in average daily membership used in the distribution formula as specified in ORS 327.013 (7), shall be projections of the average daily membership in the district for the school year ending on June 30 of the distribution year. The Department of Education shall verify all projections used for purposes of the distribution formula.

      (2) The department shall use information from the Department of Revenue under ORS 311.175 as the basis for determining projected district property taxes. The department shall request relevant information from the school districts to enable the department to estimate the amount each school district shall receive from the State School Fund. The department shall provide this estimate no later than the first Monday in March of each year for the distribution for the following fiscal year.

      (3) A school district may appeal to the department any projection verified by the department under subsection (1) of this section. The department shall rule on the appeal in a timely manner and if necessary issue a revised estimate of the amount each school district shall receive from the State School Fund no later than the last Friday in March.

      (4) Notwithstanding subsection (3) of this section, no school district may appeal any projection verified under subsection (1) of this section if the district failed to provide information requested by the department under subsection (2) of this section. [1991 c.780 §11; 1993 c.18 §88]

 

      327.062 [1955 c.103 §2; repealed by 1963 c.570 §33]

 

      327.063 [Formerly 327.024; 1969 c.270 §1; 1969 c.625 §4; 1971 c.107 §3; 1973 c.750 §7; 1977 c.840 §6; 1979 c.259 §2; 1981 c.804 §96; repealed by 1991 c.780 §30]

 

      327.065 [Amended by 1953 c.444 §11; 1953 c.711 §4; 1955 c.766 §2; 1957 c.328 §1; 1959 c.397 §1; 1961 c.537 §1; repealed by 1963 c.570 §33]

 

      327.067 [1957 c.219 §3; 1961 c.537 §2; repealed by 1963 c.570 §33]

 

      327.068 [1957 c.642 §§4, 7; 1959 c.388 §7; repealed by 1963 c.570 §33]

 

      327.069 [1957 c.620 §1; 1959 c.388 §8; 1961 c.625 §1; part renumbered 330.630; repealed by 1963 c.570 §33]

 

      327.070 [Amended by 1957 c.658 §3; renumbered 327.032 and then 327.103]

 

      327.071 [1977 c.840 §7a; repealed by 1983 c.610 §8]

 

      327.072 [Amended by 1957 c.612 §12; 1963 c.570 §4; 1965 c.100 §21; 1969 c.625 §5; 1973 c.750 §8; repealed by 1991 c.780 §30]

 

      327.074 [Amended by 1965 c.100 §26; renumbered 327.097]

 

      327.075 [Formerly 327.028; 1969 c.625 §6; 1977 c.840 §7; 1979 c.277 §7; 1991 c.780 §14; 1993 c.61 §6; repealed by 1993 c.690 §6]

 

      327.076 [Repealed by 1965 c.100 §456]

 

      327.077 Remote small elementary school and small high school determination; effect; waiver. (1) A school may qualify as a remote small elementary school if the average daily membership in grades one through eight for an elementary school teaching:

      (a) Eight grades is below 224.

      (b) Seven grades is below 196.

      (c) Six grades is below 168.

      (d) Five grades is below 140.

      (e) Four grades is below 112.

      (f) Three grades is below 84.

      (g) Two grades is below 56.

      (h) One grade is below 28.

      (2) A school may qualify as a small high school if:

      (a) The school is in a school district that has an ADMw of less than 8,500; and

      (b) The average daily membership in grades 9 through 12 for a high school teaching:

      (A) Four grades is below 350.

      (B) Three grades is below 267.

      (3) No elementary school shall qualify as a remote small elementary school under subsection (1) of this section if it is within eight miles by the nearest traveled road from another elementary school unless there are physiographic conditions that make transportation to another school not feasible.

      (4)(a) If an elementary school in a school district qualifies as a remote small elementary school, the district shall have an additional amount added to the district’s ADMw.

      (b) The additional amount = {224 - (ADMa ¸ (number of grades in the school ¸ eight))} ´0.0045 ´ ADMa ´ distance adjustment.

      (5)(a) If a high school in a district qualifies as a small high school, the district shall have an additional amount added to the district’s ADMw.

      (b) The additional amount = {350 - (ADMa ¸ (number of grades in the school ¸ four))} ´0.0029 ´ ADMa.

      (6) The distance adjustment for an elementary school = 0.025 for each 10th of a mile more than eight miles that a school is away from the nearest elementary school measured by the nearest traveled road or 1.0, whichever is less.

      (7)(a) A school may qualify as a remote small elementary school under this section only if the location of the school has not changed since January 1, 1995, and if the school qualified as a remote small school on July 18, 1995.

      (b) A school may qualify as a small high school under this section only if the location of the school has not changed since January 1, 1995, and if the school qualified as a small high school on October 23, 1999.

      (c) A public charter school as defined in ORS 338.005 may qualify as a remote small elementary school under this section only if the location of the school has not changed since January 1, 1995, and if the school qualified as a nonchartered public remote small school on July 18, 1995.

      (d) A public charter school as defined in ORS 338.005 may qualify as a small high school under this section only if the location of the school has not changed since January 1, 1995, and if the school qualified as a nonchartered public remote small school on July 18, 1995.

      (e) The Superintendent of Public Instruction may waive the requirements of paragraph (a), (b), (c) or (d) of this subsection if the superintendent determines that exceptional circumstances exist.

      (f) An alternative education program as defined in ORS 336.615 may not qualify as a small high school under this section.

      (8) The opening of a public charter school shall not disqualify a school as a remote small elementary school under subsection (3) of this section or change the distance adjustment for a school under subsection (6) of this section.

      (9)(a) Notwithstanding subsections (2), (5) and (7)(b) and (d) of this section, if two high schools merge and prior to the merger at least one of the high schools qualified as a small high school under this section, the Department of Education shall continue to add an additional amount pursuant to subsection (5) of this section to the ADMw of the school district in which the new merged high school is located that is equal to the higher of:

      (A) The additional amount the school district of each of the former small high schools would have received under this section for the small high school based on the ADMa of each of the high schools prior to the merger; or

      (B) In the case of a high school that remains qualified as a small high school under subsection (2) of this section after a merger, the ADMa of the merged small high school.

      (b) The department shall add the additional amount under this subsection only for the first four fiscal years after the merger of the two high schools is final. If the merger of the two high schools becomes final on or before September 1, for purposes of this paragraph the merger shall be considered final in the prior fiscal year.

      (10) For purposes of this section:

      (a) The “adjusted average daily membership” or “ADMa” for an elementary school shall be the average daily membership for the school, but no less than 25.

      (b) The “adjusted average daily membership” or “ADMa” for a high school shall be the average daily membership for the school, but no less than 60. [1995 c.649 §2; 1999 c.200 §27; 1999 c.1066 §22; 2003 c.715 §32]

 

      Note: Section 12, chapter 61, Oregon Laws 1993, provides:

      Sec. 12. Effect of reopening remote small elementary school. The reopening of an existing school structure for use as a school in an adjoining school district does not prevent an elementary school from qualifying as a remote small elementary school if the elementary school otherwise meets the requirements set forth in ORS 327.075 (1993 Edition). [1993 c.61 §12; 1999 c.1066 §24]

 

      327.080 [Amended by 1957 c.612 §13; 1963 c.570 §5; repealed by 1965 c.100 §456]

 

      327.081 [1993 c.61 §14; 1995 c.649 §5; repealed by 2001 c.695 §38]

 

      327.082 Kindergarten apportionment. (1) School districts which operate kindergartens that conform to the standards and rules adopted by the State Board of Education shall be eligible for apportionments from the State School Fund on the basis of resident average daily membership in the kindergartens.

      (2) The apportionments shall be paid in the same manner as other apportionments from the State School Fund are paid. Computation of the amounts due each district operating a kindergarten shall be made by the Superintendent of Public Instruction pursuant to rules of the State Board of Education. The rules shall establish a method of computation that is consistent with the method of computation of other apportionments from the State School Fund. [1973 c.707 §6]