2016 Kentucky Revised Statutes CHAPTER 157 - STATE SUPPORT OF EDUCATION .621 Additional tax levies for debt service, new facilities, and major renovations in school districts with student population growth -- Criteria -- Equalization funding.
Download as PDF
157.621 Additional tax levies for debt service, new facilities, and major renovations
in school districts with student population growth -- Criteria -- Equalization
funding.
(1)
In addition to the levy required by KRS 157.440(1)(b) to participate in the Facilities
Support Program of Kentucky, local school districts that have made the levy
required by KRS 157.440(1)(b) are authorized to levy the following additional
equivalent rates to support debt service, new facilities, or major renovations of
existing school facilities, which levies shall not be subject to recall under any
provision of the Kentucky Revised Statutes, or to voter approval under the
provisions of KRS 157.440(2):
(a) 1.
Prior to April 24, 2008, local school districts that have experienced
student population growth during a five (5) year period may levy an
additional five cents ($0.05) equivalent rate for debt service and new
facilities. The tax rate levied by the district under this provision shall not
be equalized by state funding, except as provided in paragraph (b) of this
subsection. Any levy imposed under this paragraph prior to April 24,
2008, by a local school district shall continue until removed by the local
school district.
2.
A local school district shall meet the following criteria in order to levy
the tax provided in subparagraph 1. of this paragraph:
a.
Growth of at least one hundred fifty (150) students in average daily
attendance and three percent (3%) overall growth for the five (5)
preceding years;
b.
Bonded debt to the maximum capability of at least eighty percent
(80%) of capital outlay from the Support Education Excellence in
Kentucky funding program, all revenue from the local facility tax,
and all receipts from state equalization on the local facility tax;
c.
Current student enrollment in excess of available classroom space;
and
d.
A local school facility plan that has been approved by the
Kentucky Board of Education and certified to the School Facilities
Construction Commission;
(b) 1.
In addition to the levy authorized by paragraph (a) of this subsection, a
local school district may levy an additional five cents ($0.05) equivalent
rate under the same terms and conditions established by paragraph (a) of
this subsection beginning in fiscal year 2003-2004 if the levy was made
prior to April 24, 2008, and if the local school district:
a.
Levied the five cents ($0.05) equivalent rate authorized by
paragraph (a) of this subsection; and
b.
Still meets the requirements established by paragraph (a)2. of this
subsection.
2.
Any school district that imposes both the levy authorized by paragraph
(a) of this subsection and the additional levy authorized by subparagraph
(c)
(2)
(a)
1. of this paragraph shall receive equalization funding from the state for
the levy imposed by paragraph (a) of this subsection beginning in fiscal
year 2003-2004. Equalization shall be provided at one hundred fifty
percent (150%) of the statewide average per pupil assessment, subject to
the provision of funding by the General Assembly. Equalization funds
shall be used as provided in KRS 157.440(1)(b).
3.
Any levy imposed under this paragraph prior to April 24, 2008, by a
local school district shall continue until removed by the local school
district; and
1.
A local school district that meets the following conditions may levy an
additional five cents ($0.05) equivalent rate on and after April 24, 2008:
a.
The local school district is located in a county that will have more
students as a direct result of the new mission established for Fort
Knox by the Base Realignment and Closure (BRAC) 2005 issued
by the United States Department of Defense pursuant to the
Defense Base Closure and Realignment Act of 1990, Pub. L. No.
100-526, Part A of Title XXIX of 104 Stat. 1808, 10 U.S.C. sec.
2687 note; and
b.
The commissioner of education has determined, based upon the
presentation of credible data, that the projected increased number
of students is sufficient to require new facilities or the major
renovation of existing facilities to accommodate the new students,
and has approved the imposition of the additional levy.
2.
Any local school district that imposes both the levy authorized by
paragraph (a) of this subsection and the additional levy authorized by
subparagraph 1. of this paragraph, and that has not received equalization
funding under subsection (2) or (3) of this section, shall receive
equalization funding from the state for the levy imposed by paragraph
(a) of this subsection beginning in the fiscal year following the fiscal
year in which the levy authorized by subparagraph 1. of this paragraph is
imposed. Equalization shall be provided at one hundred fifty percent
(150%) of the statewide average per pupil assessment, subject to the
provision of funding by the General Assembly. Equalization funds shall
be used as provided in KRS 157.440(1)(b).
3.
Any levy imposed under this paragraph by a local school district shall
continue until removed by the local school district.
Any local school district that, prior to April 27, 2016, levied an equivalent rate
that:
1.
Was subject to recall at the time it was levied; and
2.
Included a rate of at least five cents ($0.05) equivalent rate for the
purpose of debt service for school construction or major renovation of
existing school facilities;
shall be eligible for retroactive equalization from the state for that levy at one
(3)
(4)
hundred fifty percent (150%) of the statewide average per pupil assessment
beginning in fiscal year 2003-2004, subject to the fiscal condition of the
Commonwealth and the provision of funding by the General Assembly.
Equalization funds shall be used as provided in KRS 157.440(1)(b).
(b) It is the intent of the General Assembly that for levies described in this
subsection that are imposed on or after April 27, 2016, equalization funds, if
provided by the General Assembly, shall terminate upon the earlier of June
30, 2038, or the date the bonds for the local school district supported by this
equalization funding are retired. Equalization shall be subject to the fiscal
condition of the Commonwealth and the provision of funding by the General
Assembly.
Any local school district that:
(a) Levied an equivalent tax rate as of April 24, 2008, that included at least ten
cents ($0.10) that was devoted to building purposes, or that had debt service
corresponding to a ten cents ($0.10) equivalent rate;
(b) Did not receive equalized growth funding pursuant to subsection (1)(b)2. of
this section; and
(c) Has been approved by the commissioner of education;
shall be eligible for equalization from the state for that levy at one hundred fifty
percent (150%) of the statewide average per pupil assessment beginning in fiscal
year 2005-2006, subject to the provision of funding by the General Assembly.
Equalization funds shall be used as provided in KRS 157.440(1)(b). Equalization
funds shall be available to a local school district pursuant to this subsection until the
earlier of June 30, 2025, or the date the bonds for the local school district supported
by this equalization funding are retired.
(a) Notwithstanding any other provision of this section, any local school district
receiving equalization funding prior to April 27, 2016, related to an equivalent
rate levy described in subsection (1), (2), (3), or (5) of this section shall
continue to receive the equalization funding related to the applicable
equivalent rate levy, subject to the limitations established by subsections (1),
(2), (3), and (5) of this section, and subject to the fiscal condition of the
Commonwealth and the provision of funding by the General Assembly, until
amended by subsequent action of the General Assembly. A local school
district described in this paragraph shall not be eligible to receive equalization
for any additional equivalent rate levies made by it on or after April 27, 2016.
(b) Notwithstanding any other provision of this section, any local school district
that has imposed an equivalent rate levy described in subsection (1)(a) or (b)
or (2) of this section prior to April 27, 2016, that qualifies for equalization but
that has not yet received equalization funding shall be eligible for equalization
funding as provided in subsection (1)(a) or (b) or (2) of this section, subject to
the provision of funding by the General Assembly.
(c) On and after April 24, 2008, a local school district not included in paragraph
(a) or (b) of this subsection shall be prohibited from imposing an equivalent
(d)
(5)
(a)
(b)
(c)
(d)
rate levy under the provisions of subsection (1)(a) or (b) of this section, and
shall not be eligible for equalization funding under the provisions of this
section.
On and after April 24, 2008, a local school district meeting the requirements
of subsection (1)(c) of this section may impose the levy authorized by
subsection (1)(c) of this section, and shall qualify for equalization as provided
in subsection (1)(c) of this section, subject to the provision of funding by the
General Assembly.
Any local school district that:
1.
Had school facilities classified as Category 5 on May 18, 2010, by the
Kentucky Department of Education; and
2.
Levied an additional five cents ($0.05) equivalent tax rate prior to April
27, 2016, for debt service, new construction, and major renovation
beyond the five cents ($0.05) equivalent tax rate required by KRS
157.440(1)(b), except as provided in paragraph (b) of this subsection;
shall be eligible for equalization from the state for that levy at one hundred
fifty percent (150%) of the statewide average per pupil assessment beginning
in the fiscal year following the fiscal year in which the levy was imposed. This
levy shall be subject to the recall provisions of KRS 132.017.
School districts that levied a five cents ($0.05) equivalent tax rate for debt
service, new construction, and major renovation, beyond the rate required by
KRS 157.440(1)(b) prior to May 18, 2010, shall not be required to levy an
additional tax to receive the equalization funds provided in paragraph (a) of
this subsection.
If the school district utilizes the equalization funds to support a bond issue for
construction purposes, equalization funds shall be provided until the earlier of
twenty (20) years or date the bonds are retired.
In the event that a school district receives funding pursuant to this subsection
to support construction of a new school facility and subsequently, as a result
of litigation, receives funding for the same facility for which state funds were
provided, that school district shall reimburse the Commonwealth an amount
equal to the amount provided under paragraph (a) of this subsection. Any
funds received in this manner shall be deposited in the budget reserve trust
fund account established in KRS 48.705.
Effective: April 27, 2016
History: Amended 2016 Ky. Acts ch. 138, sec. 5, effective April 27, 2016. -- Repealed
and reenacted 2009 Ky. Acts ch. 86, sec. 12, effective March 24, 2009. -- Amended
2008 Ky. Acts ch. 80, sec. 1, effective April 11, 2008; and ch. 132, sec. 13, effective
April 24, 2008. -- Amended 2000 Ky. Acts ch. 389, sec. 10, effective July 14, 2000. - Amended 1996 Ky. Acts ch. 362, sec. 6, effective July 15, 1996. -- Created 1994
Ky. Acts ch. 436, sec. 1, effective July 15, 1994.
2016-2018 Budget Reference. See State/Executive Branch Budget, 2016 Ky. Acts ch.
149, Pt. I, A, 28, (2) at 1053.
2016-2018 Budget Reference. See State/Executive Branch Budget, 2016 Ky. Acts ch.
149, Pt. I, A, 28, (4) at 1053.
2016-2018 Budget Reference. See State/Executive Branch Budget, 2016 Ky. Acts ch.
149, Pt. I, A, 28, (5) at 1053.
2016-2018 Budget Reference. See State/Executive Branch Budget, 2016 Ky. Acts ch.
149, Pt. I, C, 3, (20) at 1064.
Legislative Research Commission Note (3/24/2009). 2009 Ky. Acts ch. 86, sec. 17,
provides that "The intent of the General Assembly in repealing and reenacting KRS
136.392, 138.195, 141.160, 160.6156, 160.6157, 160.6158, 131.183, 141.044,
141.235, 134.580, 393.060, and 157.621 in Sections 1 to 12 of this Act is to affirm
the amendments made to these sections in 2008 Ky. Acts ch. 132. The provisions in
Sections 1 to 12 of this Act shall apply retroactively to April 24, 2008."
Legislative Research Commission Note (3/24/2009). 2009 Ky. Acts ch. 86, sec. 18,
provides "To the extent that any provision included in this Act is considered new
language, the provisions of KRS 446.145 requiring such new language to be
underlined are notwithstood."
Legislative Research Commission Note (4/24/2008). This section was amended by
2008 Ky. Acts chs. 80 and 132, in nearly identical form. After passage of House Bill
734 (which became 2008 Ky. Acts ch. 80), House Bill 704 (which became 2008 Ky.
Acts ch. 132) was enacted containing amendments to this section that are identical to
those in House Bill 734, with the addition of a few phrases. While there is no conflict
in the text of these Acts and they have been codified together, the phrase "the
effective date of this Act" has been codified as "April 24, 2008," in accordance with
KRS 446.250, which provides that the last Act passed by the General Assembly
prevails.
Disclaimer: These codes may not be the most recent version. Kentucky may have more current or accurate information. We make no warranties or guarantees about the accuracy, completeness, or adequacy of the information contained on this site or the information linked to on the state site. Please check official sources.