2007 Oregon Code - Chapter 327 :: Chapter 327 - State Financing of Elementary and Secondary Education
Chapter 327 —
State Financing of Elementary and Secondary Education
2007 EDITION
STATE FINANCING OF EDUCATION
EDUCATION AND CULTURE
STATE SCHOOL FUND
327.006Â Â Â Â Definitions
327.008Â Â Â Â
327.013Â Â Â Â State
School Fund distribution computations for school districts
327.019Â Â Â Â State
School Fund distribution computations for education service districts
327.021Â Â Â Â Percentages
and time of payment of apportionments to education service districts
327.023Â Â Â Â Grants
for special and compensatory education programs
327.026Â Â Â Â State
School Fund grant for programs; calculation; adjustment; rules
327.033Â Â Â Â Approved
transportation costs
327.043Â Â Â Â When
district required to provide transportation; waiver
327.061Â Â Â Â Computation
of number of students in average daily membership
327.077Â Â Â Â Remote
small elementary school and small high school determination; effect; waiver
Note         Effect
of reopening remote small elementary school--1993 c.61 §12
327.082Â Â Â Â Kindergarten
apportionment
327.095Â Â Â Â Percentages
and time of payment of apportionments to school districts
327.097Â Â Â Â Apportionment
where district changed
327.099Â Â Â Â Adjustment
of distribution within fiscal year
327.101Â Â Â Â Adjustment
of distribution between fiscal years
327.102Â Â Â Â Standard
school complaints; process; rules
327.103Â Â Â Â Standard
school presumed; effect of finding of deficiency; rules
327.106Â Â Â Â School
districts required to offer kindergarten through grade 12; exceptions
327.109Â Â Â Â Procedure
if school district or charter school alleged to be involved in religious activity;
complaint, investigation, finding; effect
327.120Â Â Â Â Correction
of errors in apportionments
327.125Â Â Â Â Superintendent
to administer ORS 327.006 to 327.133, 327.348, 327.355, 327.357, 327.360 and
327.731; board rules
327.133Â Â Â Â Reports
by districts
327.137Â Â Â Â Audit
statements filed with department; effect of failure to file or insufficiency of
statement
327.147Â Â Â Â Increased
allocation when union high school district becomes common school district
327.152Â Â Â Â Increased
allocation when certain merger occurs
327.157Â Â Â Â Minimum
apportionment to school districts affected or not affected by ORS 327.147 and
327.152
GRANTS TO DISTRICTS AND PROGRAMS
(School Improvement Grants)
327.290Â Â Â Â Legislative
findings relating to student achievement
327.294Â Â Â Â School
Improvement Fund
327.297Â Â Â Â Grants
for activities related to student achievement; evaluation; rules
(Construction and Maintenance of Public
School Facilities Grant)
327.300Â Â Â Â Definitions
for ORS 327.300 to 327.320
327.310Â Â Â Â Legislative
findings
327.320Â Â Â Â School
Facility Improvement Fund
327.330Â Â Â Â Grants
to school districts for construction and maintenance of public school
facilities; rules
(Local Option Equalization Grants)
327.333Â Â Â Â Policy
on provision of grants to school districts
327.336Â Â Â Â Qualifications;
amount
327.339Â Â Â Â Local
Option Equalization Grants Account; grant payments
(English as Second Language Teacher Training
Grants)
327.345Â Â Â Â Grants
for training English as second language teachers; qualifications; use; rules
(High Cost Disabilities Grants)
327.348Â Â Â Â High
Cost Disabilities Account; grants; approved costs; rules
(
327.355Â Â Â Â Definitions
for ORS 327.357
327.357Â Â Â Â Small
school district grants; rules
327.360Â Â Â Â
(Defibrillator Grants)
327.365Â Â Â Â Automated
external defibrillator grants; rules
COMMON SCHOOL FUND
327.403Â Â Â Â Definition
for ORS 327.405 to 327.480
327.405Â Â Â Â Common
School Fund; composition and use
327.410Â Â Â Â Apportionment
of Distributable Income Account of Common School Fund among counties;
distribution to school districts
327.420Â Â Â Â Basis
of apportionment
327.425Â Â Â Â Loans
and investment of funds; determination of interest rate
327.430Â Â Â Â Security
for loans
327.435Â Â Â Â Ascertainment
of value and title of security
327.440Â Â Â Â Loan
repayment
327.445Â Â Â Â Custody
of securities for loan; collection of interest
327.450Â Â Â Â Foreclosure
of mortgages given to secure loans
327.455Â Â Â Â Record
of purchases by Department of State Lands on foreclosures; resale or lease of
land; disposition of proceeds
327.465Â Â Â Â Cancellation
of unpaid taxes after deed to state in liquidation of loan
327.470Â Â Â Â Cancellation
of taxes on land acquired through foreclosure proceedings; right of redemption
327.475Â Â Â Â When
county court may acquire mortgaged lands deeded to state
327.480Â Â Â Â Use
of Common School Fund moneys to comply with judgment canceling fraudulent deed
327.482Â Â Â Â Appropriation
to reimburse fund for any loss
327.484Â Â Â Â Reimbursement
for loss or failure to earn four percent interest
EDUCATION CASH ACCOUNT
327.485Â Â Â Â Education
Cash Account; composition; accounting
327.490Â Â Â Â Projects
contracted to districts and institutions of higher learning
327.495Â Â Â Â Appropriation
of funds received for certain purposes
QUALITY EDUCATION COMMISSION
327.497Â Â Â Â Legislative
findings
327.500Â Â Â Â Establishment;
membership; staff
327.502Â Â Â Â Officers;
quorum; meetings
327.506Â Â Â Â Quality
education goals; duties; report
MISCELLANEOUS
(Budget and Accounting System)
327.511Â Â Â Â Uniform
budget and accounting system
(Food Programs)
327.520Â Â Â Â Acceptance
and distribution of donated commodities to schools
327.525Â Â Â Â School
Lunch Revolving Account
327.527Â Â Â Â Summer
lunch reimbursement; rules
327.535Â Â Â Â School
breakfast program; waiver; district election based on federal funding
(Federal Aid to Education)
327.615Â Â Â Â State
Treasurer as trustee of funds
327.620Â Â Â Â Review
of accounts affecting federal funds
327.635Â Â Â Â Labor
standards required on federally financed school construction
(Financing of State and Federal Requirements)
327.645Â Â Â Â Financing
of programs mandated by state and federal programs
EDUCATION LOTTERY BOND PROGRAM
327.700Â Â Â Â Definitions
for ORS 327.700 to 327.711
327.705Â Â Â Â Purpose
of ORS 327.700 to 327.711
327.708Â Â Â Â Legislative
findings
327.711Â Â Â Â Payment
of debt service; issuance of bonds; School Capital Construction, Maintenance
and Technology Fund
327.731Â Â Â Â 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
     (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]
     Note: The amendments to 327.006 by section 11,
chapter 846, Oregon Laws 2007, become operative June 30, 2012. See section 19,
chapter 846, Oregon Laws 2007. The text that is operative on and after June 30,
2012, is set forth for the userÂ’s convenience.
     327.006. As used in ORS 327.006 to 327.133, 327.348
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
     (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.
     327.008
     (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 $18 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.
     (10) Each fiscal year, the Department of
Education may expend up to $550,000 from the State School Fund for the contract
described in ORS 329.488. The amount distributed to education service districts
from the State School Fund under this section and ORS 327.019 shall be reduced
by the amount expended by the department under this subsection.
     (11) Each biennium, the Department of
Education may expend up to $800,000 from the State School Fund for the
administration of ORS 326.133 and 326.136.
     (12) Each biennium, the Department of
Education may expend up to $350,000 from the State School Fund for the talented
and gifted program under ORS 343.391 to 343.413.
     (13) Each biennium, the Department of
Education may expend up to $150,000 from the State School Fund for the
administration of a program to increase the number of speech-language
pathologists and speech-language pathology assistants under ORS 348.394 to
348.406. [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 §§6,6a; 2007 c.488 §1; 2007 c.839 §19; 2007 c.858 §44]
     Note: The amendments to 327.008 by section 12,
chapter 846, Oregon Laws 2007, become operative June 30, 2012. See section 19,
chapter 846, Oregon Laws 2007. The text that is operative on and after June 30,
2012, is set forth for the userÂ’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, 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 $18 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 may expend up to $550,000 from the State School Fund for the contract
described in ORS 329.488. The amount distributed to education service districts
from the State School Fund under this section and ORS 327.019 shall be reduced
by the amount expended by the department under this subsection.
     (10) Each biennium, the Department of
Education may expend up to $800,000 from the State School Fund for the
administration of ORS 326.133 and 326.136.
     (11) Each biennium, the Department of
Education may expend up to $350,000 from the State School Fund for the talented
and gifted program under ORS 343.391 to 343.413.
     (12) Each biennium, the Department of
Education may expend up to $150,000 from the State School Fund for the
administration of a program to increase the number of speech-language
pathologists and speech-language pathology assistants under ORS 348.394 to
348.406.
     Note: Section 20, chapter 839, Oregon Laws 2007,
provides:
     Sec.
20. Notwithstanding ORS
327.008, for the biennium beginning July 1, 2007:
     (1) The Department of Education may:
     (a) Expend up to $140,000 from the State
School Fund for the collection of data from school districts on physical
education under section 1 of this 2007 Act [329.498].
     (b) Expend up to $860,000 from the State
School Fund for the purpose of awarding grants to school districts and public
charter schools for physical education under section 10 of this 2007 Act
[329.501].
     (c) Transfer $200,000 from the State
School Fund to the Office of the Governor for the purpose of providing staff
support to the Education System Design Team under section 15 of this 2007 Act.
     (d) Expend up to $150,000 from the State
School Fund for the provision of staff support to the Quality Education
Commission under ORS 327.500.
     (e) Expend up to $5,205,456 from the State
School Fund for youth in the Youth Corrections Education Program who:
     (A) Have received their high school
diplomas; or
     (B) Are 21 years of age or older.
     (2) There is transferred to the Oregon
Virtual School District Fund from the State School Fund the amount of
$1,800,598. [2007 c.839 §20]
     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
     (1) General Purpose Grant =
     (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 a disability under
ORS 343.035, applicable to not to exceed 11 percent of the districtÂ’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 districtÂ’s
proportion of students in the county receiving free or reduced price lunches
under the United States Department of AgricultureÂ’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:
     (a) 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) Twenty 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) $1,000 per district extended ADMw,
increased each fiscal year by three percent above the amount allowed per district
extended ADMw for the prior fiscal year; and
     (b) For a school district with a statutory
rate limit on July 1, 2003, that is greater than $4.50 per $1,000 of assessed
value, the amount of property taxes actually received by the district,
including penalties and interest on taxes, that results from an increase in the
rate of ad valorem property tax of the district allowed under section 11
(5)(d), Article XI of the Oregon Constitution.
     (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.
     (13) Notwithstanding subsection (10)(i) of
this section, Local Revenues do not include any amount of operating property
tax authority of the district that is:
     (a) Attributable to the suspension of ORS
310.239 by section 1, chapter 4, Oregon Laws 2006; and
     (b) Not actually imposed by the district. [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; 2006 c.4 §2; 2007 c.70 §90; 2007 c.778 §§1,3]
     Note
1: The amendments to 327.013
by section 3, chapter 778,
     327.013. The
     (1) General Purpose Grant =
     (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 a disability under
ORS 343.035, applicable to not to exceed 11 percent of the districtÂ’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 districtÂ’s
proportion of students in the county receiving free or reduced price lunches
under the United States Department of AgricultureÂ’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:
     (a) 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) Twenty 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) $1,000 per district extended ADMw; and
     (b) For a school district with a statutory
rate limit on July 1, 2003, that is greater than $4.50 per $1,000 of assessed
value, the amount of property taxes actually received by the district,
including penalties and interest on taxes, that results from an increase in the
rate of ad valorem property tax of the district allowed under section 11
(5)(d), Article XI of the Oregon Constitution.
     (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.
     (13) Notwithstanding subsection (10)(i) of
this section, Local Revenues do not include any amount of operating property
tax authority of the district that is:
     (a) Attributable to the suspension of ORS
310.239 by section 1, chapter 4, Oregon Laws 2006; and
     (b) Not actually imposed by the district.
     Note
2: The amendments to 327.013
by section 6, chapter 778,
     327.013. The
     (1) General Purpose Grant =
     (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 a disability under
ORS 343.035, applicable to not to exceed 11 percent of the districtÂ’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 districtÂ’s
proportion of students in the county receiving free or reduced price lunches
under the United States Department of AgricultureÂ’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) Twenty 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) $1,000 per district extended ADMw,
increased each fiscal year by three percent above the amount allowed per
district extended ADMw for the prior fiscal year.
     (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.
     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
     (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) The 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) $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:
     (a) The State School Fund grant of an
education service district may not be less than zero; and
     (b) The State School Fund grant of an
education service district shall be in an amount that, when combined with the
local revenues of the education service district, equals $1 million or more.
     (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; 2007 c.846 §8]
     Note: The amendments to 327.019 by section 13,
chapter 846, Oregon Laws 2007, become operative June 30, 2012. See section 19,
chapter 846, Oregon Laws 2007. The text that is operative on and after June 30,
2012, is set forth for the userÂ’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 95.25 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
and 327.348 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) The 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) $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:
     (a) The State School Fund grant of an
education service district may not be less than zero; and
     (b) The State School Fund grant of an
education service district shall be in an amount that, when combined with the
local revenues of the education service district, equals $1 million or more.
     (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) The
     (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 disabilities 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
329.228 and 329.235.
     (12) Child development specialist program
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; 2007 c.70 §92; 2007 c.858 §30]
     Note: The amendments to 327.023 by section 30,
chapter 858, Oregon Laws 2007, first apply to the 2008-2009 school year. See
section 41, chapter 858, Oregon Laws 2007. The text that applies prior to the
2008-2009 school year, including amendments by section 92, chapter 70, Oregon
Laws 2007, is set forth for the userÂ’s convenience.
     327.023. 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 disabilities 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.
     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
     (2)(a) 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.
     (b) Notwithstanding paragraph (a) of this
subsection, the Youth Corrections Education Program may not receive moneys
under this section from the State School Fund for any youth in the program who:
     (A) Has received a high school diploma; or
     (B) Is 21 years of age or older.
     (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; 2007 c.839 §17]
     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) In determining approved transportation
costs, the State Board of Education:
     (a) Shall include depreciation of original
cost to the school district of district-owned buses, not in excess of 10
percent per year;
     (b) May not deduct any moneys received by
a school district to repower or retrofit, as defined in ORS 468A.795, or to
replace school buses for the purpose of reducing or eliminating diesel engine
emissions; and
     (c) May not include transportation costs
paid with moneys received by the school district from the Clean Diesel Engine
Fund under ORS 468A.803.
     (3) School districts shall 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; 2007 c.855 §3]
     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 districtÂ’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 districtÂ’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]
     327.085 [Repealed by 1957 c.612 §6 (327.018 enacted
in lieu of 327.085)]
     327.090 [Amended by 1959 c.388 §10; 1963 c.570 §6;
1965 c.100 §27; repealed by 1991 c.780 §30]
     327.091 [1957 c.626 §8; repealed by 1963 c.570 §33]
     327.092 [1957 c.626 §9; repealed by 1963 c.570 §33]
     327.093 [1957 c.626 §10; repealed by 1963 c.570 §33]
     327.094 [Subsections (1) and (2) enacted as 1957
c.626 §13; subsection (3) of 1957 Replacement Part enacted as 1957 s.s. c.2 §4
(3); 1959 c.388 §11; 1963 c.570 §7; 1965 c.100 §25; subsection (4) enacted as
1971 c.22 §3; 1989 c.456 §1; repealed by 1991 c.780 §30]
     327.095
Percentages and time of payment of apportionments to school districts. (1) Funds due school districts under ORS
327.008 and 327.013 shall be paid approximately 16-2/3 percent on July 15,
approximately eight and one-third percent on the 15th day of each of the months
of August, September, October, November, December, January, February, March and
April and the balance on May 15. An equitable apportionment based on the most
recent data available shall be made on the installment dates prior to May 15.
If such payments are too high or too low, appropriate adjustments shall be made
in the May 15 payments. However, if the reports required by ORS 327.133 have
not been received from any district when due, no further apportionments shall be
made to such district until such reports are filed.
     (2) If the combined estimated level of
ADMw under ORS 327.013 (7) of all school districts is less than the statewide
projected level of ADMw, the Department of Education may:
     (a) Adjust the distributions to school
districts on the installment dates to reflect the difference; and
     (b) Set aside an amount of the funds
appropriated to the State School Fund for the fiscal year until the May 15
distribution. [Amended by 1953 c.108 §3; 1957 c.612 §14; 1959 c.388 §12; 1965
c.100 §24; 1975 c.196 §1; 1977 c.280 §1; 1977 c.840 §8; 1981 c.678 §9; 1983
c.610 §7; 1991 c.780 §16; 1997 c.821 §18; 2002 s.s.1 c.4 §1; 2002 s.s.4 c.1 §1]
     327.097
Apportionment where district changed. Where any territorial or organizational change in a school district
has occurred between the date of the report and the apportionment, the
Superintendent of Public Instruction shall make the payment on an equitable
basis to the districts the territory or organization of which has been changed.
[Formerly 327.074]
     327.099
Adjustment of distribution within fiscal year. (1) The Department of Education shall adjust
the distribution to a school district to reflect the difference between the
estimated level of local revenues to the district under ORS 327.013 and the
projected level of those same local revenues used to calculate the State School
Fund apportionment to the district. The adjustment shall be incorporated in the
May 15 apportionment to the district in the distribution year.
     (2) The department shall adjust the May 15
apportionment to a school district in the distribution year to reflect an ADMw
of the district equal to the higher of the ADMw of the prior year or the
adjusted ADMw for the December quarter. Adjusted ADMw for the December quarter
shall equal:
     (a) ADMw as determined by the department
from information provided in the December quarterly report for the current
distribution year filed with the department under ORS 327.133;
     (b) Multiplied by the lesser of 1.0 or the
average of the ratios for the preceding two years of the ADM for the year
ending June 30 to the ADM for the quarter ending December 31 for the same
school year as filed under ORS 327.133.
     (3) The sum equal to the sum of all
negative adjustments made to the May 15 apportionment under subsection (1) of
this section shall be used by the department for purposes of funding positive
adjustments required under subsection (1) of this section and adjustments
required under subsection (2) of this section.
     (4) The department shall also set aside an
amount of the funds appropriated to the State School Fund for the fiscal year
to fund any positive adjustments required under subsection (1) of this section
and adjustments required under subsection (2) of this section in excess of the amount
available under subsection (3) of this section. The amount set aside shall be
as determined by law.
     (5) If the amounts available under
subsections (3) and (4) of this section are either not sufficient to fund the
positive adjustments or exceed the positive adjustments to districts required
under subsections (1) and (2) of this section and the adjustments required
under subsection (2) of this section, the Superintendent of Public Instruction
shall recalculate the funding percentage in ORS 327.013 (2) to distribute as
nearly as practicable the total sum available for distribution. [1991 c.780 §12;
1993 c.61 §7; 2003 c.715 §24; 2005 c.755 §19]
     327.100 [Repealed by 1963 c.570 §33]
     327.101
Adjustment of distribution between fiscal years. (1) Each fiscal year, the distribution to a
school district under ORS 327.008 and 327.013 shall be adjusted to fully
reflect the difference between the apportionment due to the district for the
prior fiscal year under ORS 327.008 and 327.013, and the amounts actually distributed
to the district in the prior fiscal year under ORS 327.008, 327.013 and
327.099. The adjustment shall be made to the May 15 apportionment to the
district.
     (2) No consideration shall be made in the
adjustment made under subsection (1) of this section for any penalties,
forfeitures or additional receipts of State School Fund moneys, except when
expressly directed by law.
     (3) An amount of funds equal to the sum of
all negative adjustments made to the May 15 apportionment under subsection (1)
of this section shall be used by the Department of Education for purposes of
funding positive adjustments required under subsection (1) of this section in
the same fiscal year.
     (4) If the amounts available under
subsection (3) of this section are either not sufficient or exceed the
adjustments to districts required under subsection (1) of this section, the
Superintendent of Public Instruction shall recalculate the funding percentage
in ORS 327.013 (2) to distribute as nearly as practicable the total sum available
for distribution. [1991 c.780 §13; 1993 c.61 §8; 2005 c.209 §4; 2005 c.755 §20]
     327.102
Standard school complaints; process; rules. (1) The State Board of Education shall adopt by rule requirements for
the process that a school district must use when the district receives a
complaint pertaining to whether a school in the district is a standard school
as defined in ORS 327.006.
     (2) The rules adopted by the board shall
require school districts to establish and implement a process for the prompt
resolution of a complaint and shall require the process to:
     (a) Have specific timelines for the
completion of the process by both the district and the person making the
complaint;
     (b) Have a specific time period within
which the district must make a final decision on a complaint, after which the
final decision on the complaint may be appealed to the Superintendent of Public
Instruction; and
     (c) Recognize that if a district does not
provide a written decision within the specific time period, failure to provide
such a decision will be regarded as the district’s final decision. [2007 c.519 §1]
     Note: 327.102 was enacted into law by the
Legislative Assembly but was not added to or made a part of ORS chapter 327 or
any series therein by legislative action. See Preface to Oregon Revised
Statutes for further explanation.
     327.103
Standard school presumed; effect of finding of deficiency; rules. (1) All school districts are presumed to
maintain a standard school district until the school district has been found to
be deficient by the Superintendent of Public Instruction, pursuant to standards
and rules of the State Board of Education.
     (2) If any deficiencies are not corrected
before the beginning of the school year next following the date of the finding
of deficiency and if an extension has not been granted under subsection (3) of
this section, the Superintendent of Public Instruction may withhold portions of
State School Fund moneys otherwise allocated to the school district for
operating expenses until such deficiencies are corrected unless the withholding
would create an undue hardship, as determined pursuant to rules of the State
Board of Education.
     (3)(a) Within 90 days of the finding of
deficiency, a school district found not to be in compliance shall submit a
plan, acceptable to the Superintendent of Public Instruction, for meeting
standardization requirements. A team of Department of Education staff shall
contact the school district and offer technical assistance. When an acceptable
plan for meeting standardization requirements has been submitted, the
Superintendent of Public Instruction may allow an extension of time, not to
exceed 12 months, if the superintendent determines that such deficiencies
cannot be corrected or removed before the beginning of the next school year.
     (b) Notwithstanding paragraph (a) of this
subsection, the superintendent may not grant an extension of time if it is
possible for a district to correct the deficiency through merger.
     (c) For the period of the extension of
time under this subsection, the school district shall be considered a
conditionally standard school district.
     (4) Any school district failing to submit
a plan for meeting standardization requirements within the time specified shall
receive no further State School Fund moneys until a plan acceptable to the
Superintendent of Public Instruction is submitted irrespective of the districtÂ’s
being granted an extension of time in which to comply. [Formerly 327.032; 1989
c.491 §5; 1991 c.693 §32; 1995 c.660 §47a; 2003 c.390 §§1,3]
     327.105 [Repealed by 1963 c.570 §33]
     327.106
School districts required to offer kindergarten through grade 12; exceptions. (1) Any school district that does not offer
education programs in kindergarten through grade 12 on and after July 1, 1997,
shall be considered nonstandard under ORS 327.103.
     (2) This section shall not apply to any
school district not required to merge under section 2 (3) or (4), chapter 393,
Oregon Laws 1991.
     (3) Notwithstanding subsection (1) of this
section, a school district shall not be considered to be nonstandard under ORS
327.103 if:
     (a) The school district offered education
programs in kindergarten through grade 12 on September 1, 1996;
     (b) After September 1, 1996, a majority of
the board of the school district voted not to offer education programs in
grades 9 through 12; and
     (c) The school district merges with a
unified school district and the merger takes effect under ORS 330.103 within
one year after the vote of the board under paragraph (b) of this subsection. [1991
c.393 §3; 1995 c.659 §2; 1997 c.521 §13]
     Note: 327.106 was enacted into law by the
Legislative Assembly but was not added to or made a part of ORS chapter 327 or
any series therein by legislative action. See Preface to Oregon Revised
Statutes for further explanation.
     327.109
Procedure if school district or charter school alleged to be involved in
religious activity; complaint, investigation, finding; effect. (1) Upon receipt from a citizen of Oregon of
a complaint that on its face is colorable that a school district or public
charter school sponsors, financially supports or is actively involved with
religious activity, the Superintendent of Public Instruction or the
superintendentÂ’s designated representative shall undertake promptly a
preliminary investigation of the facts alleged in the complaint.
     (2) If, after the preliminary
investigation, the superintendent finds that there is a substantial basis to
believe that the school district or public charter school sponsors, financially
supports or is actively involved with religious activity, the superintendent
shall:
     (a) In the case of a school district:
     (A) Notify the complainant and the school
district;
     (B) Withhold immediately all funds due the
school district under ORS 327.095; and
     (C) Schedule a contested case hearing to
be conducted in accordance with ORS 183.413 to 183.470.
     (b) In the case of a public charter
school:
     (A) Notify the complainant, the public
charter school, the school district in which the public charter school is
located and the sponsor of the public charter school;
     (B) Withhold immediately all funds for the
public charter school that, pursuant to ORS 338.155, are due under ORS 327.095
to the school district in which the public charter school is located;
     (C) Order the school district in which the
public charter school is located to withhold immediately all funds due the
public charter school under ORS 338.155; and
     (D) Schedule a contested case hearing to
be conducted in accordance with ORS 183.413 to 183.470.
     (3)(a) In the case of a school district
if, after the preliminary investigation, the superintendent finds that there is
no substantial basis to believe that the school district sponsors, financially
supports or is actively involved with religious activity, the superintendent
shall notify the complainant and the district of that finding and shall not
withhold funds due the district under ORS 327.095 or schedule a hearing.
     (b) In the case of a public charter school
if, after the preliminary investigation, the superintendent finds that there is
no substantial basis to believe that the public charter school sponsors,
financially supports or is actively involved with religious activity, the
superintendent shall notify the complainant, the public charter school, the
school district in which the public charter school is located and the sponsor
of the public charter school of that finding and shall not schedule a hearing
or withhold funds for the public charter school that, pursuant to ORS 338.155,
are due under ORS 327.095 to the school district in which the public charter
school is located. The superintendent shall also order the school district in
which the public charter school is located not to withhold funds due the public
charter school under ORS 338.155.
     (4) During the preliminary investigation,
the school district or public charter school shall cooperate to a reasonable
degree with the superintendent and provide any evidence that the superintendent
considers necessary for the investigation. If the school district or public
charter school fails or refuses to cooperate to a reasonable degree with the
superintendent during the investigation, the superintendent shall presume that
there is a substantial basis to believe that the school district or public
charter school sponsors, financially supports or is actively involved with
religious activity and shall proceed as provided in subsection (2) of this
section.
     (5) If the superintendent makes a finding
under subsection (2) or (4) of this section, the school district or public
charter school shall receive no funds under ORS 327.095 or 338.155 from the
date of the superintendentÂ’s finding until the superintendent finds that the
school district or public charter school is no longer sponsoring, financially
supporting or actively involved with religious activity.
     (6) The funds withheld under this section
shall be held in an escrow account and shall be removed from that account only
as follows:
     (a) If the superintendent determines,
after a contested case hearing, or a court on appeal rules, that the school
district or public charter school never sponsored, financially supported or was
actively involved with religious activity, the entire amount, including
interest thereon, in the escrow account shall be released to the school
district or public charter school.
     (b) If the superintendent determines,
after a contested case hearing, or a court on appeal rules, that the school
district or public charter school sponsored, financially supported or was
actively involved with religious activity in the past but has ceased to do so,
that portion of the amount, including interest thereon, in the escrow account
that accrued to the school district or public charter school after the school
district or public charter school ceased the proscribed conduct shall be paid
to the school district or public charter school. Any amount, including interest
thereon, permanently withheld from the school district or public charter school
shall revert to the State School Fund or to the General Fund, if the biennium
has ended.
     (c) If the school district or public
charter school does not cease the proscribed conduct by the beginning of the
next school year, the superintendent shall notify the State Treasurer who shall
cause the amount in the escrow account, including interest thereon, to revert
to the State School Fund or to the General Fund, if the biennium has ended.
     (7) If the superintendent schedules a
contested case hearing, as provided in subsection (2) of this section, the
superintendent may conduct such further investigation of the facts relevant to
the complaint as the superintendent considers necessary. In conducting the
investigation, the superintendent shall have the power of subpoena to compel
production of documents and attendance of witnesses at depositions and may do all
things necessary to secure a full and thorough investigation.
     (8) If a person or school district or
public charter school fails to comply with any subpoena issued under subsection
(7) of this section, a judge of the circuit court of any county, on application
of the superintendent, shall compel obedience by proceedings for contempt as in
the case of disobedience of the requirements of a subpoena issued from circuit
court. [1985 c.584 §2; 1999 c.200 §28; 2005 c.209 §5]
     327.110 [Amended by 1955 c.537 §1; repealed by 1957
c.322 §1]
     327.115 [Amended by 1955 c.385 §1; 1959 c.388 §13;
repealed by 1963 c.570 §33]
     327.120
Correction of errors in apportionments. The Superintendent of Public Instruction may correct, in a succeeding
year, any errors in apportionment by the withholding of the amount of an
overapportionment or by the payment of an underapportionment from funds to be
apportioned.
     327.125
Superintendent to administer ORS 327.006 to 327.133, 327.348, 327.355, 327.357,
327.360 and 327.731; board rules. The Superintendent of Public Instruction shall administer the
provisions of ORS 327.006 to 327.133, 327.348, 327.355, 327.357, 327.360 and
327.731. The State Board of Education shall adopt all necessary rules not
inconsistent with ORS 327.006 to 327.133, 327.348, 327.355, 327.357, 327.360
and 327.731 to carry into effect the provisions of those statutes. [Amended by
1963 c.570 §8; 1965 c.100 §29; 1989 c.491 §6; 1991 c.780 §17]
     Note: The amendments to 327.125 by section 14,
chapter 846, Oregon Laws 2007, become operative June 30, 2012. See section 19,
chapter 846, Oregon Laws 2007. The text that is operative on and after June 30,
2012, is set forth for the userÂ’s convenience.
     327.125. The Superintendent of Public Instruction
shall administer the provisions of ORS 327.006 to 327.133, 327.348 and 327.731.
The State Board of Education shall adopt all necessary rules not inconsistent
with ORS 327.006 to 327.133, 327.348 and 327.731 to carry into effect the
provisions of those statutes.
     327.130 [Repealed by 1965 c.100 §456]
     327.133
Reports by districts. (1)
Each school district, other than an education service district, shall file with
the Superintendent of Public Instruction:
     (a) By July 15 of each year, an annual
report covering the school year ending on the preceding June 30; and
     (b) By January 15, of each year, a
December quarterly report covering the quarter of the current school year
commencing October 1 and ending December 31.
     (2) Each such report shall show the
average daily membership of resident pupils of the district for the period
covered and shall also contain such other information as the Superintendent of
Public Instruction may require. [Formerly 327.200; 1973 c.750 §9]
     327.135 [Amended by 1955 c.660 §27; 1957 c.612 §15;
repealed by 1963 c.570 §33]
     327.137
Audit statements filed with department; effect of failure to file or insufficiency
of statement. Every common
or union high school district shall file a copy of its audit statement with the
Department of Education within six months of the end of the fiscal year for
which the audit is required. If the audit report, as submitted to the district,
fails to provide the detail necessary for the computation required in the
administration of ORS 327.006 to 327.133, 327.348, 327.355, 327.357, 327.360,
327.731, 328.542 and 530.115 and this section, the district shall submit the
necessary information on forms provided by the department within the time
prescribed for filing the audit in this section. Any district failing to file a
copy of its report under this section or ORS 327.133 shall not receive any
payments from the State School Fund until such reports are filed. [1965 c.199 §1;
1977 c.840 §9; 1989 c.491 §7; 1991 c.780 §18; 2005 c.209 §6]
     Note: The amendments to 327.137 by section 15,
chapter 846, Oregon Laws 2007, become operative June 30, 2012. See section 19,
chapter 846, Oregon Laws 2007. The text that is operative on and after June 30,
2012, is set forth for the userÂ’s convenience.
     327.137. Every common or union high school district shall
file a copy of its audit statement with the Department of Education within six
months of the end of the fiscal year for which the audit is required. If the
audit report, as submitted to the district, fails to provide the detail
necessary for the computation required in the administration of ORS 327.006 to
327.133, 327.348, 327.731, 328.542 and 530.115 and this section, the district
shall submit the necessary information on forms provided by the department
within the time prescribed for filing the audit in this section. Any district
failing to file a copy of its report under this section or ORS 327.133 shall
not receive any payments from the State School Fund until such reports are
filed.
     327.140 [Amended by 1955 c.314 §1; 1957 c.612 §17;
repealed by 1963 c.570 §33]
     327.145 [Amended by 1957 c.626 §4; repealed by 1963
c.570 §33]
     327.147
Increased allocation when union high school district becomes common school
district. (1) When a union
high school district becomes a common school district, as described in ORS
335.505, the common school district shall be entitled to an increased
allocation, based on the total average daily membership, as defined in ORS
327.006, of the new common school district as follows:
     (a) An additional 15 percent in the first
year of operation as a common school district;
     (b) An additional 10 percent in the second
year of operation as a common school district; and
     (c) An additional five percent in the
third year of operation as a common school district.
     (2) The amounts authorized by this section
shall be computed based on the computation of the affected districtÂ’s
allocation of moneys from the State School Fund but shall be payable from funds
specifically appropriated for the purposes of this section. [1989 c.969 §1]
     327.150 [Amended by 1955 c.314 §2; repealed by 1963
c.570 §33]
     327.152
Increased allocation when certain merger occurs. (1) If a school district responsible for
education in kindergarten through grade 12, that does not operate a high
school, merges with a district providing education in kindergarten through
grade 12, the district providing the education shall be entitled to an
increased allocation, based on the average daily membership of the former
district, as follows:
     (a) An additional 15 percent in the first
year of operation of the merged district;
     (b) An additional 10 percent in the second
year of operation of the merged district; and
     (c) An additional five percent in the
third year of operation of the merged district.
     (2) The amounts authorized by this section
shall be computed based on the computation of the affected districtÂ’s
allocation of moneys from the State School Fund but shall be payable from funds
specifically appropriated for the purposes of this section. [1989 c.969 §2]
     327.155 [Repealed by 1955 c.314 §3]
     327.157
Minimum apportionment to school districts affected or not affected by ORS
327.147 and 327.152. (1)
Subject to the limits of funds appropriated for the implementation of ORS
327.147 and 327.152, a school district shall not be apportioned less for its
average daily membership for any year subsequent to the 1989-1990 fiscal year
than was estimated for the 1989-1990 fiscal year.
     (2) If the funds appropriated for the
implementation of ORS 327.147 and 327.152 are insufficient to meet the
obligations incurred under ORS 327.147 and 327.152, each district eligible to
receive funds under ORS 327.147 or 327.152 shall receive its pro rata share of
the funds available for the implementation of ORS 327.147 and 327.152. [1989
c.969 §4]
     327.160 [Repealed by 1963 c.570 §33]
     327.200 [1957 c.612 §16; 1959 c.388 §14; 1965 c.100 §23;
renumbered 327.133]
     327.202 [1989 c.971 §1; repealed by 1991 c.459 §448]
     327.205 [Repealed by 1957 c.626 §1]
     327.207 [1989 c.971 §2; repealed by 1991 c.459 §448]
     327.210 [Repealed by 1957 c.626 §1]
     327.212
[1989 c.971 §3; repealed by
1991 c.459 §448]
     327.215 [Repealed by 1957 c.626 §1]
     327.217 [1989 c.971 §4; repealed by 1991 c.459 §448]
     327.220 [Repealed by 1957 c.626 §1]
     327.225 [Repealed by 1957 c.626 §1]
     327.230 [Repealed by 1957 c.626 §1]
     327.255 [Repealed by 1957 c.626 §1]
     327.260 [Repealed by 1957 c.626 §1]
     327.265 [Repealed by 1957 c.626 §1]
     327.270 [Repealed by 1957 c.626 §1]
     327.275 [Repealed by 1957 c.626 §1]
     327.280 [Repealed by 1957 c.626 §1]
     327.285 [Repealed by 1957 c.626 §1]
GRANTS TO
DISTRICTS AND PROGRAMS
(School
Improvement Grants)
     327.290
Legislative findings relating to student achievement. The Legislative Assembly finds that:
     (1) The state has an interest in ensuring
that public resources for primary and secondary schools are used to achieve the
outcomes established under the Oregon Educational Act for the 21st Century in
ORS chapter 329.
     (2) To achieve that purpose, the School
Improvement Fund is established so the state may support activities directly
related to increases in student achievement while still allowing school
districts and education service districts flexibility in determining the
specific activities necessary to support students.
     (3) It is the intent of the state in
establishing the School Improvement Fund to link these activities to the
recommendations of the Quality Education Commission established under Executive
Order 99-16 and the recommendations of the Quality Education Commission
established under ORS 327.500. [2001 c.794 §1; 2001 c.794 §1a; 2007 c.578 §3]
     327.294
School Improvement Fund. (1)
There is established the School Improvement Fund, separate and distinct from
the General Fund. Interest earned by the School Improvement Fund shall be
credited to the fund.
     (2) The moneys in the fund are
continuously appropriated to the Department of Education for purposes of the
grant program created by ORS 327.297.
     (3) Each fiscal year, the department shall
distribute:
     (a) 95.25 percent of the moneys in the
fund as grants to school districts, the Youth Corrections Education Program and
the Juvenile Detention Education Program; and
     (b) 4.75 percent of the moneys in the fund
as grants to education service districts. [2001 c.794 §2; 2007 c.578 §2]
     327.297
Grants for activities related to student achievement; evaluation; rules. (1) In addition to those moneys distributed
through the State School Fund, the Department of Education shall award grants
to school districts, education service districts, the Youth Corrections
Education Program and the Juvenile Detention Education Program for activities
that relate to increases in student achievement, including:
     (a) Early childhood support including
establishing, maintaining or expanding quality prekindergarten programs and
full-day kindergarten programs;
     (b) Class size reduction with an emphasis
on the reduction of kindergarten through grade three class sizes;
     (c) Increases in instructional time
including summer programs and before- and after-school programs;
     (d) Mentoring, teacher retention and
professional development;
     (e) Remediation, alternative learning and
student retention;
     (f) Services to at-risk youth;
     (g) Programs to improve a student
achievement gap between student groups identified by culture, poverty, language
and race and other student groups;
     (h) Vocational education programs;
     (i) Literacy programs; and
     (j) Other research-based student
improvement strategies approved by the State Board of Education.
     (2)(a) Each school district, each education
service district, the Youth Corrections Education Program and the Juvenile
Detention Education Program may apply to the Department of Education for a
grant.
     (b) The department shall review and
approve applications based on criteria established by the State Board of
Education. In establishing the criteria, the State Board of Education shall
consider the recommendations of the Quality Education Commission established
under Executive Order 99-16 and the recommendations of the Quality Education
Commission established under ORS 327.500.
     (c) The applications shall include the
activities to be funded and the goals of the district or program for increases
in student performance. The applications shall become part of the local
district continuous improvement plan described in ORS 329.095.
     (3) The Department of Education shall
evaluate the annual progress of each recipient of grant funds under this
section toward the performance targets established by the Quality Education
Commissions. The evaluation shall become part of the requirements of the
department for assessing the effectiveness of the district under ORS 329.085,
329.095 and 329.105. The department shall ensure district and program
accountability by providing appropriate assistance, intervening and establishing
consequences in order to support progress toward the performance targets.
     (4) Each biennium the Department of
Education shall issue a report to the Legislative Assembly on the grant program
and the results of the grant program.
     (5)(a) Notwithstanding ORS 338.155 (9),
the Department of Education may not award a grant under this section directly
to a public charter school.
     (b) A school district that receives a
grant under this section may transfer a portion of the grant to a public
charter school based on the charter of the school or any other agreement
between the school district and the public charter school.
     (c) A public charter school that receives
grant funds under this subsection shall use those funds for the activities
specified in subsection (1) of this section.
     (6)(a) The amount of each grant for a
program or school district = the program’s or school district’s ADMw ´ (the total amount available for distribution
to programs and school districts as grants in each fiscal year ¸ the total ADMw of all programs and school
districts that receive a grant).
     (b) The amount of each grant for an
education service district = the education service district’s ADMw ´ (the total amount available for distribution
to education service districts as grants in each fiscal year ¸ the total ADMw of all education service
districts that receive a grant).
     (c) As used in this subsection, “ADMw”
means:
     (A) For a school district, the extended
weighted average daily membership as calculated under ORS 327.013, 338.155 (1)
and 338.165 (2);
     (B) For the Youth Corrections Education
Program, the average daily membership as defined in ORS 327.006 multiplied by
2.0;
     (C) For the Juvenile Detention Education
Program, the average daily membership as defined in ORS 327.006 multiplied by
1.5; and
     (D) For an education service district, the
sum of the ADMw of the component school districts of the education service
district.
     (7) Each district or program shall deposit
the grant amounts it receives under this section in a separate account, and
shall apply amounts in that account to pay for activities described in the
districtÂ’s or programÂ’s application.
     (8) The State Board of Education may adopt
any rules necessary for the administration of the grant program. [2001 c.794 §3;
2001 c.794 §3c; 2005 c.22 §231; 2007 c.578 §1; 2007 c.858 §30a]
     Note: The amendments to 327.297 by section 30a,
chapter 858, Oregon Laws 2007, first apply to the 2008-2009 school year. See
section 41, chapter 858, Oregon Laws 2007. The text that applies prior to the
2008-2009 school year, including amendments by section 1, chapter 578, Oregon
Laws 2007, is set forth for the userÂ’s convenience.
     327.297. (1) In addition to those moneys distributed
through the State School Fund, the Department of Education shall award grants
to school districts, education service districts, the Youth Corrections
Education Program and the Juvenile Detention Education Program for activities
that relate to increases in student achievement, including:
     (a) Early childhood support including
establishing, maintaining or expanding quality prekindergarten programs and
full-day kindergarten programs;
     (b) Class size reduction with an emphasis
on the reduction of kindergarten through grade three class sizes;
     (c) Increases in instructional time
including summer programs and before- and after-school programs;
     (d) Mentoring, teacher retention and
professional development;
     (e) Remediation, alternative learning and
student retention;
     (f) Services to at-risk youth;
     (g) Programs to improve a student
achievement gap between student groups identified by culture, poverty, language
and race and other student groups;
     (h) Vocational education programs;
     (i) Literacy programs; and
     (j) Other research-based student
improvement strategies approved by the State Board of Education.
     (2)(a) Each school district, each
education service district, the Youth Corrections Education Program and the
Juvenile Detention Education Program may apply to the Department of Education
for a grant.
     (b) The department shall review and
approve applications based on criteria established by the State Board of
Education. In establishing the criteria, the State Board of Education shall
consider the recommendations of the Quality Education Commission established
under Executive Order 99-16 and the recommendations of the Quality Education
Commission established under ORS 327.500.
     (c) The applications shall include the
activities to be funded and the goals of the district or program for increases
in student performance. The applications shall become part of the local
district improvement plan described in ORS 329.095.
     (3) The Department of Education shall
evaluate the annual progress of each recipient of grant funds under this
section toward the performance targets established by the Quality Education
Commissions. The evaluation shall become part of the requirements of the
department for assessing the effectiveness of the district under ORS 329.085,
329.095 and 329.105. The department shall ensure district and program
accountability by providing appropriate assistance, intervening and
establishing consequences in order to support progress toward the performance
targets.
     (4) Each biennium the Department of
Education shall issue a report to the Legislative Assembly on the grant program
and the results of the grant program.
     (5)(a) Notwithstanding ORS 338.155 (9),
the Department of Education may not award a grant under this section directly
to a public charter school.
     (b) A school district that receives a
grant under this section may transfer a portion of the grant to a public
charter school based on the charter of the school or any other agreement
between the school district and the public charter school.
     (c) A public charter school that receives
grant funds under this subsection shall use those funds for the activities
specified in subsection (1) of this section.
     (6)(a) The amount of each grant for a
program or school district = the program’s or school district’s ADMw ´ (the total amount available for distribution
to programs and school districts as grants in each fiscal year ¸ the total ADMw of all programs and school
districts that receive a grant).
     (b) The amount of each grant for an
education service district = the education service district’s ADMw ´ (the total amount available for distribution
to education service districts as grants in each fiscal year ¸ the total ADMw of all education service
districts that receive a grant).
     (c) As used in this subsection, “ADMw”
means:
     (A) For a school district, the extended
weighted average daily membership as calculated under ORS 327.013, 338.155 (1)
and 338.165 (2);
     (B) For the Youth Corrections Education
Program, the average daily membership as defined in ORS 327.006 multiplied by
2.0;
     (C) For the Juvenile Detention Education
Program, the average daily membership as defined in ORS 327.006 multiplied by
1.5; and
     (D) For an education service district, the
sum of the ADMw of the component school districts of the education service
district.
     (7) Each district or program shall deposit
the grant amounts it receives under this section in a separate account, and
shall apply amounts in that account to pay for activities described in the
districtÂ’s or programÂ’s application.
     (8) The State Board of Education may adopt
any rules necessary for the administration of the grant program.
(Construction
and Maintenance of Public School Facilities Grant)
     327.300
Definitions for ORS 327.300 to 327.320. As used in ORS 327.300 to 327.320:
     (1) “Construction” includes land
acquisition, planning, design, construction, remodeling, altering, furnishing
and equipping public school facilities.
     (2) “Maintenance” includes repairing,
replacement and other capital maintenance but does not include cleaning.
     (3) “Public school facility” includes
facilities used for classroom instruction, multipurpose activities, libraries
or any other use associated with public education in preschool through grade
12, and includes facilities that may be used by more than one school district.
     (4) “School district” means a common or
union high school district, an education service district or any combination
thereof. [1993 c.765 §120]
     327.310
Legislative findings. The
Legislative Assembly finds that:
     (1) The construction and maintenance of
public school facilities accomplish the purpose of creating jobs and furthering
economic development in
     (a) Furnishing an important element of the
public school system that provides the basic framework for continuing and
expanding economic activity in the state;
     (b) Alleviating the congestion and
crowding associated with, and reducing the burdens of expansion and maintenance
of, existing public school facilities, as well as reducing energy consumption;
and
     (c) Creating employment opportunities
through the funding of projects for the development and construction of public
school facilities.
     (2) Based on the legislative findings
described in this section, the use of a portion of the net proceeds from the
operation of the state lottery funds under section 4 (3), Article XV of the
Oregon Constitution and ORS 461.510 creates jobs and furthers economic
development. [1993 c.765 §121]
     327.320
School Facility Improvement Fund. There is hereby created the School Facility Improvement Fund, separate
and distinct from the General Fund. The fund shall be an investment fund for
purposes of ORS 293.701 to 293.820. Moneys in the fund are appropriated
continuously for the purpose of carrying out ORS 327.330. Interest earned by
the fund shall be credited to the fund. [1993 c.765 §122]
     327.330
Grants to school districts for construction and maintenance of public school
facilities; rules. (1)
Subject to the rules of the State Board of Education, the Superintendent of
Public Instruction shall make grants to school districts that apply therefor
for the purpose of construction and maintenance of public school facilities.
     (2) Grants shall not exceed $500,000 in
any biennium to any school district. In addition, a combination of districts
may submit a joint grant application in an amount not to exceed $500,000.
However, a district or combination thereof may apply in subsequent bienniums
for additional grants for the same facility. Grants must be matched at least
one local dollar for four state dollars by the district or combination thereof.
     (3) The state board by rule shall
establish criteria for grant approval. Such criteria shall include but not be
limited to:
     (a) The age of public school facilities,
the degree of overcrowding and the absence of facilities that are considered
necessary to accomplish the educational goals of the district and this state;
and
     (b) Maintenance and reconstruction needs
related to the deterioration of existing public school facilities, which
deterioration has the potential of affecting the health and safety of students.
[1993 c.765 §123]
(Local Option
Equalization Grants)
     327.333
Policy on provision of grants to school districts. The Legislative Assembly declares that it is
the policy of this state to provide substantial equity in opportunity among
school districts in which electors support local option taxes for primary and
secondary education. This policy will be accomplished by providing grant
supplements to those districts that enact local option taxes and that have
lower property wealth per student. [2001 c.896 §1]
     327.336
Qualifications; amount. (1)
As used in this section:
     (a) “Extended ADMw” means the district
extended weighted average daily membership computed under ORS 327.013 (6).
     (b) “Local option tax rate” means the
amount of local option taxes imposed by the school district for the current
fiscal year, after compression under ORS 310.150 and after subtraction of the
amount of school district local option taxes that are distributed to an urban
renewal agency pursuant to ORS 457.440, divided by the assessed value of the
school district.
     (c) “School district” means a common or
union high school district.
     (d) “Target district” means the school
district that, for the fiscal year prior to the year for which grants are being
determined, had a total assessed value of taxable property per district
extended ADMw that was greater than all but 25 percent of the school districts
in this state for that prior fiscal year. The Department of Education shall
determine which school district is the target district for a fiscal year, based
on the total assessed values of school districts reported to the Department of
Education by the Department of Revenue for the fiscal year prior to the year
for which grants are being determined under this section.
     (2) A school district shall receive a
local option equalization grant for a fiscal year:
     (a) In which the school district imposes
local option taxes pursuant to ORS 280.040 to 280.145; and
     (b) For which the total assessed value of
taxable property per extended ADMw of the school district for the prior fiscal
year does not exceed the total assessed value of taxable property per extended
ADMw of the target district for the prior fiscal year.
     (3) The amount of the local option
equalization grant shall equal the lesser of:
     (a) The product of the local option tax
rate of the school district for the current fiscal year ´ (total assessed value per extended ADMw of
the target district for the prior fiscal year −
total assessed value per extended ADMw of the school district for the prior
fiscal year) ´the extended ADMw of the school district for the prior fiscal year; or
     (b) The amount obtained by subtracting the
local option tax imposed by the school district for the current fiscal year,
after compression under ORS 310.150, from the lesser of:
     (A) Twenty 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 school district
for the current fiscal year; or
     (B) $1,000 multiplied by the extended ADMw
of the school district for the current fiscal year. The amount multiplied by
the extended ADMw of the school district shall be increased each fiscal year by
three percent above the amount allowed for the prior fiscal year.
     (4) If the amount computed under
subsection (3)(b) of this section is zero or less, a local option equalization
grant may not be made to the school district for the fiscal year.
     (5) As soon as is practicable after school
districts have certified property taxes to the assessor under ORS 310.060, the
Department of Revenue shall report to the Department of Education a list of
school districts certifying local option taxes for the current fiscal year and
the local option tax rates for those districts. The amount of each local option
equalization grant shall be calculated by the Department of Education.
     (6) If the election authorizing the
imposition of a local option tax is held after the start of a biennium in which
the local option tax is to be imposed, the local option equalization grant for
a fiscal year of that biennium shall be determined as otherwise prescribed in
this section, but may not be paid to the school district until the first fiscal
year of the next succeeding biennium. [2001 c.896 §2; 2003 c.715 §§21,22; 2005
c.803 §9; 2007 c.778 §§8,10]
     Note: The amendments to 327.336 by section 10,
chapter 778,
     327.336. (1) As used in this section:
     (a) “Extended ADMw” means the district
extended weighted average daily membership computed under ORS 327.013 (6).
     (b) “Local option tax rate” means the
amount of local option taxes imposed by the school district for the current
fiscal year, after compression under ORS 310.150 and after subtraction of the
amount of school district local option taxes that are distributed to an urban
renewal agency pursuant to ORS 457.440, divided by the assessed value of the
school district.
     (c) “School district” means a common or
union high school district.
     (d) “Target district” means the school
district that, for the fiscal year prior to the year for which grants are being
determined, had a total assessed value of taxable property per district
extended ADMw that was greater than all but 25 percent of the school districts
in this state for that prior fiscal year. The Department of Education shall
determine which school district is the target district for a fiscal year, based
on the total assessed values of school districts reported to the Department of
Education by the Department of Revenue for the fiscal year prior to the year
for which grants are being determined under this section.
     (2) A school district shall receive a
local option equalization grant for a fiscal year:
     (a) In which the school district imposes
local option taxes pursuant to ORS 280.040 to 280.145; and
     (b) For which the total assessed value of
taxable property per extended ADMw of the school district for the prior fiscal
year does not exceed the total assessed value of taxable property per extended
ADMw of the target district for the prior fiscal year.
     (3) The amount of the local option
equalization grant shall equal the lesser of:
     (a) The product of the local option tax
rate of the school district for the current fiscal year ´ (total assessed value per extended ADMw of
the target district for the prior fiscal year −
total assessed value per extended ADMw of the school district for the prior
fiscal year) ´the extended ADMw of the school district for the prior fiscal year; or
     (b) The amount obtained by subtracting the
local option tax imposed by the school district for the current fiscal year,
after compression under ORS 310.150, from the lesser of:
     (A) Twenty 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 school district
for the current fiscal year; or
     (B) $1,000 multiplied by the extended ADMw
of the school district for the current fiscal year.
     (4) If the amount computed under
subsection (3)(b) of this section is zero or less, a local option equalization
grant may not be made to the school district for the fiscal year.
     (5) As soon as is practicable after school
districts have certified property taxes to the assessor under ORS 310.060, the
Department of Revenue shall report to the Department of Education a list of
school districts certifying local option taxes for the current fiscal year and
the local option tax rates for those districts. The amount of each local option
equalization grant shall be calculated by the Department of Education.
     (6) If the election authorizing the
imposition of a local option tax is held after the start of a biennium in which
the local option tax is to be imposed, the local option equalization grant for
a fiscal year of that biennium shall be determined as otherwise prescribed in
this section, but may not be paid to the school district until the first fiscal
year of the next succeeding biennium.
     327.339
Local Option Equalization Grants Account; grant payments. (1) The Local Option Equalization Grants
Account is created in the General Fund.
     (2) From the biennial legislative
appropriation to the Local Option Equalization Grants Account to fund the local
option equalization grant program described in ORS 327.336, amounts necessary
to make the grant payments are continuously appropriated to the Department of
Education for the purpose of making these payments.
     (3) The department shall make estimated
local option equalization grant payments to school districts entitled to such
payments under ORS 327.336 on or before March 31 of each fiscal year.
     (4) If the estimated local option
equalization grant payment does not equal the actual local option equalization
grant to which a school district is entitled under ORS 327.336, the department
shall determine the increase or decrease needed to correct the amount of the
grant and may incorporate the correction into a state school fund grant made to
the district. The correction may be made in any state school fund grant made
during the fiscal year in which the estimated grant payment was made or in the
next succeeding fiscal year.
     (5) If the amount of moneys available in
the Local Option Equalization Grants Account is insufficient to make the
payments required under ORS 327.336 and this section, the payments shall be
proportionally reduced so that the state does not accrue a debt in making these
payments. [2001 c.896 §3]
(English as
Second Language Teacher Training Grants)
     327.345
Grants for training English as second language teachers; qualifications; use;
rules. (1) As used in this
section, “ESL student” means a student who is eligible for and enrolled in an
English as a second language program under ORS 336.079.
     (2) In addition to distributing moneys
through the State School Fund, the Department of Education may award grants to
school districts for the costs of training English as a second language
teachers.
     (3) The grants shall be available to any
school district:
     (a) In which three percent or more of the
students enrolled are ESL students;
     (b) That serves ESL students or bilingual
students within a large geographic area in the district;
     (c) That has a high growth, as defined by
rule of the State Board of Education, of ESL students or bilingual students in
any school year; or
     (d) That can demonstrate extraordinary
need, as defined by rule of the board, for English as a second language
teachers or training for English as a second language teachers.
     (4) A school district that receives a
grant under this section may use the grant to reimburse teachers for tuition
costs associated with completing an English as a second language or a bilingual
teaching program.
     (5) The department may seek and accept
gifts, grants and donations from any source and federal funds for the purpose
of carrying out the grant program under this section.
     (6) The board may adopt any rules
necessary for the administration of the grant program. The rules adopted by the
board shall include a method for determining the grant amount that a qualified
school district may receive under this section. [2001 c.951 §1]
(High Cost
Disabilities Grants)
     327.348
High Cost Disabilities Account; grants; approved costs; rules. (1) There is established within the State
School Fund a High Cost Disabilities Account.
     (2) Each fiscal year, the Department of
Education shall distribute moneys from the account to school districts as high
cost disabilities grants. A school district may receive moneys from the account
if the school district has a resident pupil with a disability for whom the
approved costs to the school district of providing special education and
related services, as determined under subsection (4) of this section, exceed
$30,000.
     (3) The amount of moneys received by a
school district under this section for each resident pupil with a disability
shall equal the approved costs, as determined under subsection (4) of this
section, incurred by the school district in providing special education and
related services to the pupil minus $30,000.
     (4) The department shall determine the
approved costs incurred by a school district in providing special education and
related services to a pupil with a disability. The approved costs incurred by a
school district may include costs incurred by an education service district of
providing special education and related services to the school district through
the resolution process described in ORS 334.175. In determining the approved
costs for which a school district may receive moneys under this section, the
department shall consider:
     (a) How efficiently the special education
and related services are provided by the school district; and
     (b) The use of available resources by the
school district.
     (5) If the total approved costs for which
school districts are seeking moneys from the account exceed the amount in the
account in any fiscal year, the department shall prorate the amount of moneys
available for distribution in the account among those school districts that are
eligible for moneys from the account.
     (6) The department shall distribute any
moneys in the account that are not distributed under this section in any fiscal
year to school districts based on ORS 327.008 and 327.013.
     (7) The State Board of Education may adopt
any rules necessary for the administration of this section. [2005 c.803 §2;
2007 c.70 §93]
(
     Note: Section 10, chapter 846, Oregon Laws 2007,
provides:
     Sec.
10. (1) During the 2007-2009
biennium, the legislative interim committees on revenue shall conduct a study
of the adequacy of funding of small school districts and small education
service districts. The committees shall examine:
     (a) The relationship between small school
districts and education service districts;
     (b) Whether the additional amounts
received by small school districts that are attributable to the additional
amount added to the ADMw of those districts under ORS 327.013 (7)(a)(F) and
327.077 and the amount awarded as grants under ORS 327.357, when combined with
other funding, are adequate to provide sufficient funding for those small
school districts;
     (c) What types of small school districts
are not being provided adequate funding; and
     (d) The long term effects of not providing
small school districts and small education service districts with adequate
funding.
     (2) Based on the study, the legislative
interim committees on revenue shall make recommendations to the Seventy-fifth
Legislative Assembly and may presession file proposed legislation that would
implement the recommendations. [2007 c.846 §10]
     327.355
Definitions for ORS 327.357.
As used in this section and ORS 327.357:
     (1)(a) “Small high school” means a public
school that is operated by a small school district and that has students in:
     (A) Grades 9 through 12, with an ADM of
less than 350 in grades 9 through 12; or
     (B) Grades 10 through 12 only, with an ADM
of less than 267.
     (b) “Small high school” does not include
an alternative education program or a public charter school.
     (2) “Small school district” means a school
district with a weighted average daily membership (ADMw) of less than 8,500. [2005
c.803 §4]
     Note: 327.355 is repealed June 30, 2012. See
sections 18 and 19, chapter 846, Oregon Laws 2007.
     327.357
Small school district grants; rules. (1) In addition to those moneys distributed through the State School
Fund, the Department of Education shall award grants to small school districts
with one or more small high schools from moneys appropriated to the department
from the Small School District Supplement Fund.
     (2) The amount of each grant = the small
high school’s ADM ´ (the total amount available for the grants in each fiscal year ¸ the total ADM of all small high schools).
     (3) A small school district shall receive
a grant under this section for each small high school operated by the school
district.
     (4) The State Board of Education shall
adopt any rules necessary for the administration of this section. [2005 c.803 §5]
     Note: 327.357 is repealed June 30, 2012. See
sections 18 and 19, chapter 846, Oregon Laws 2007.
     327.360
     (2) The moneys in the Small School
District Supplement Fund are appropriated continuously to the Department of
Education for purposes of the grant program created by ORS 327.357. [2005 c.803
§3]
     Note: 327.360 is repealed June 30, 2012. See
sections 18 and 19, chapter 846, Oregon Laws 2007.
(Defibrillator
Grants)
     327.365
Automated external defibrillator grants; rules. (1) As used in this section, “public school
facility” means a building or premanufactured structure used by a school
district or public charter school to provide educational services to children.
     (2) In addition to those moneys
distributed through the State School Fund, the Department of Education may
award grants to school districts and public charter schools to provide
automated external defibrillators in public school facilities.
     (3) The goal of the grant program is to
provide automated external defibrillators in at least two public school
facilities in each school district.
     (4) Each school district and public
charter school may apply for a grant under this section. The amount of any
grant received by a school district or public charter school under this section
may not exceed 60 percent of the actual costs for which grant funds may be used
under subsection (5) of this section.
     (5) Any school district or public charter
school that receives grant funds under this section shall use the funds for:
     (a) Purchasing or leasing automated
external defibrillators to be placed in public school facilities;
     (b) Providing training to school district
and public charter school employees and volunteers on the use of automated
external defibrillators; and
     (c) Any other expense related to providing
automated external defibrillators in public school facilities if the expense is
approved by the Department of Education.
     (6) The State Board of Education may adopt
rules:
     (a) To establish criteria for awarding
grants based on the goal set forth in subsection (3) of this section;
     (b) To determine the amount of each grant
pursuant to subsection (4) of this section; and
     (c) That are necessary for the
administration of this section.
     (7) The Department of Education shall seek
federal grant funds for the purposes of the grant program.
     (8) For purposes of the grant program, the
Department of Education may accept contributions of funds and assistance from
the United States Government and its agencies or from any other source, public
or private, and agree to conditions placed on the funds not inconsistent with
the purposes of the grant program.
     (9) All funds received by the Department
of Education under this section shall be paid into the Department of Education
Account established in ORS 326.115 to the credit of the grant program. [2005
c.551 §4]
COMMON SCHOOL
FUND
     327.403
Definition for ORS 327.405 to 327.480. As used in ORS 327.405 to 327.480, unless the context requires
otherwise, “administrative office for the county” means the administrative
office of the education service district or of any common school district that
includes an entire county. [1965 c.100 §30; 1991 c.167 §2; 2003 c.226 §4]
     327.405
Common School Fund; composition and use. The Common School Fund shall be composed of the proceeds from the
sales of the 16th and 36th sections of every township or of any lands selected
in lieu thereof, all the moneys and clear proceeds of all property that may
accrue to the state by escheat or forfeiture, the proceeds of all gifts,
devises and bequests made by any person to the state for common school
purposes, the proceeds of all property granted to the state when the purpose of
such grant is not stated, all proceeds of the sale of submerged and submersible
lands as described in ORS 274.005, all proceeds of the sale of the South Slough
National Estuarine Research Reserve as described in ORS 273.553 in the event
such property is sold, and all proceeds of the sale of the 500,000 acres of
land to which this state is entitled by an Act of Congress approved September
4, 1841, and of all lands selected for capitol building purposes under Act of
Congress approved February 14, 1859. All such proceeds shall become a part of
the Common School Fund. Except as otherwise provided by law, the income from
the Common School Fund shall be applied exclusively to the support and
maintenance of common schools in each school district. All lawful claims for
repayment of moneys under the provisions of ORS 98.302 to 98.436 and 98.992, or
out of escheated estates and for attorney fees and all other expenses in any
suit or proceeding relating to escheated estates shall be audited by the
Department of State Lands and paid from the Common School Fund Account. [Amended
by 1957 c.670 §31; 1965 c.100 §31; 1969 c.338 §3; 1987 c.760 §4; 1997 c.321 §2;
2003 c.14 §147]
     327.410
Apportionment of Distributable Income Account of Common School Fund among
counties; distribution to school districts. The Department of State Lands shall transfer the balance of the
Distributable Income Account of the Common School Fund established under ORS
273.105, after deductions authorized by law, to the Superintendent of Public
Instruction semiannually, or more frequently if the State Land Board so orders.
The superintendent shall immediately apportion the amount transferred among the
counties in proportion to the number of children resident in each county
between the ages of 4 and 20 as determined pursuant to ORS 190.510 to 190.610.
The superintendent shall distribute to each school district within a county a
share of the countyÂ’s apportionment that is based on the districtÂ’s average
daily membership that resides within the county. [Amended by 1965 c.100 §32;
1967 c.421 §200; 1971 c.294 §2; 1982 s.s.2 c.1 §5; 2005 c.412 §1]
     327.415 [Amended by 1963 c.544 §16; 1965 c.100 §33;
1971 c.294 §1; repealed by 2005 c.412 §3]
     327.420
Basis of apportionment. (1)
The basis of all apportionments of the Common School Fund shall be the reports
of the resident average daily membership for the preceding fiscal year as
reported by the school district to the Department of Education.
     (2) In the case of a joint school
district, the resident average daily membership reported to the department
shall be prorated between the counties as the resident enrollment of the
district is prorated between the counties. [Amended by 1965 c.100 §34; 1971
c.294 §3; 2005 c.412 §2]
     327.425
Loans and investment of funds; determination of interest rate. (1) All moneys belonging to the Common
School Fund and not required to meet current expenses shall be loaned by the
Department of State Lands at a rate of interest fixed by the department except
as otherwise specified in ORS 348.050 (3). The department may consult with and
obtain the recommendation of the Oregon Investment Council in fixing the
interest rate.
     (2) Common School Fund moneys may be
loaned in accordance with the repayment plan contained in ORS 327.440 and in
ORS 348.050 (4), except that loans on property within the corporate limits of
towns or cities shall be payable in not more than 15 years on the amortization
plan.
     (3) If at any time there is a Common
School Fund surplus over and above all loans applied for, such portion of the
surplus as the department deems proper may be invested as provided in ORS
293.701 to 293.820. The department may require the State Treasurer to deposit
any such surplus, until it is able to loan same, in qualified state
depositories, upon the same terms and conditions as other public funds are
deposited therein, in which event any interest received from any such state
depository shall be credited to the fund on which such interest was earned.
     (4) Except as provided in ORS 348.050 (3),
the department may reduce the rate of interest to be paid upon outstanding
loans from the Common School Fund and any trust fund placed in its charge, to
correspond with the rate of interest to be paid upon new loans, but no
reduction in rate of interest shall be made upon any of the loans until
interest at the old rate has been paid in full to date of receipt of remittance
at the office of the department. [Amended by 1963 c.326 §2; 1965 c.100 §35;
1965 c.532 §5; 1967 c.335 §38; 1969 c.413 §1; 1983 c.740 §99]
     327.430
Security for loans. (1) The
principal and interest of all loans shall be paid in lawful money of the
     (2) Except for loans to students authorized
by ORS 348.050, loans shall be secured by note specifying the fund from which
the loan is made and mortgage to the Department of State Lands on improved land
within this state, or upon range or grazing land therein. Except as provided in
ORS 273.815, the security for a secured loan shall be not less than twice the
value of the amount loaned, and, except as otherwise provided in subsection (3)
of this section, shall be of unexceptional title and free from all
encumbrances. A secured loan may be secured by a deposit of obligations of the
     (3) The department is not prohibited by
subsection (2) of this section from making a secured loan merely because the
land securing the loan is:
     (a) Situated in an irrigation district,
taking into consideration the amount of bonded indebtedness of the district as
compared with the valuation of the real property of the district.
     (b) Subject to a reservation of mineral
rights.
     (c) Subject to a lease of any kind.
     (d) Subject to a statutory lien for public
improvements.
     (e) Subject to an easement. [Amended by
1955 c.352 §1; 1959 c.90 §1; 1963 c.326 §1; 1963 c.517 §6; 1965 c.229 §1; 1965
c.532 §6]
     327.435
Ascertainment of value and title of security. The Department of State Lands shall adopt methods, rules and
regulations for ascertaining the value of and state of the title of any lands
proposed as security for any loan under the provisions of ORS 327.425 and
327.430. All expenses of ascertaining title shall be borne by the applicant.
The department may establish fees to be paid by the applicant for the appraisal
of any property offered as security. [Amended by 1965 c.229 §2]
     327.440
Loan repayment. Secured
loans authorized by ORS 327.430 shall be repaid in semiannual, quarterly or
monthly installments, as may mutually be agreed upon between the borrower and
the Department of State Lands, and the installments shall aggregate each year
an amount equal to one yearÂ’s interest on the original principal of the loan
plus an additional two percent of the original principal sum, except as
provided in ORS 327.425. Of the installment so paid each year, the amount at
the specified interest rate on the principal remaining unpaid shall be credited
as interest and the balance credited to reduction of the loan principal.
Borrowers from the fund shall have the right to make payments in excess of the
amounts of such installments, and the further right at any time to pay off such
loans in part or full with interest to payment dates. [Amended by 1965 c.532 §7]
     327.445
Custody of securities for loan; collection of interest. The Department of State Lands shall have
custody of all notes, bonds and other securities covering secured loans made by
it from any fund. The department shall take proper measures for the prompt
collection of interest due on all loans from any such fund and place it to the
credit of the fund from which the loan was made, to be paid out as provided by
law. [Amended by 1965 c.532 §8]
     327.450
Foreclosure of mortgages given to secure loans. (1) The Department of State Lands shall
foreclose all mortgages taken to evidence loans from the Common School Fund or
other funds whenever more than one yearÂ’s interest on the loan is due and
unpaid or whenever any mortgage becomes inadequate security for the money
loaned. The department may foreclose its mortgage in the event of waste or any
other impairment of the property upon which the loan was made. It may also foreclose
for delinquency in payment of principal or interest installments or in payment
of taxes on such property.
     (2) The department may bid in the land in
the name of the state at a price not to exceed the total amount of the stateÂ’s
claim or they may accept a deed or a release of the equity of redemption.
Should it appear to the satisfaction of the department that the mortgagee
cannot make the payment of interest and that foreclosure would work an
injustice and that foreclosure is not then necessary to secure the fund from
loss, the department may extend the time for paying such interest not exceeding
two years. [Amended by 1965 c.100 §36]
     327.455
Record of purchases by Department of State Lands on foreclosures; resale or
lease of land; disposition of proceeds. The Director of the Department of State Lands shall keep a correct
record of all purchases on foreclosures under ORS 327.450 with a description of
the lands so purchased or acquired, and a statement of the fund to which they
belong. Such lands shall be placed in the hands of the director and sold or
leased under the direction of the department on the best terms obtainable, and
the proceeds, to the amount of the principal of the loans, shall be paid into
the fund from which the loans were made, and the excess paid to the interest
account of that fund.
     327.465
Cancellation of unpaid taxes after deed to state in liquidation of loan. Whenever the Department of State Lands
receives a deed to the State of Oregon of lands covered by a mortgage given to
secure a loan from the Common School Fund in liquidation of the debt
represented by the loan, the department shall send a written notice of the
transaction to the county court of the county in which such deeded lands are
situated. Upon the receipt of such notice, the county court shall cancel on the
county tax records unpaid taxes levied and assessed against such property in
that county. This section does not apply to tax liens of irrigation or drainage
districts organized prior to the effective date of the lien of the department.
     327.470
Cancellation of taxes on land acquired through foreclosure proceedings; right
of redemption. (1) Excepting
tax liens of irrigation or drainage districts organized before the effective
date of the Department of State LandsÂ’ lien, whenever the State of Oregon
acquires property or lands through foreclosure of a mortgage given to secure a
loan from the Common School Fund and the state has received the sheriffÂ’s deed
made as a result of such foreclosure proceedings and the period for redemption
has expired, the county court, or board of county commissioners, of the county
in which such lands are situated shall cancel on the county tax records all the
unpaid taxes levied and assessed against the property.
     (2) At the time the sheriff issues a
certificate of sale in the foreclosure proceedings of any department mortgage,
the sheriff shall serve a copy of the certificate upon the county judge, or the
chairperson of the board of county commissioners, of the county in which the
foreclosure takes place. The county shall have a 60-day period from the date of
the sheriffÂ’s certificate in which to redeem the land by paying the department
the full amount of its investment in the land, including principal and
interest, foreclosure charges, abstracting expense, and any other necessary
expense incurred by the department in said foreclosure proceedings.
     327.475
When county court may acquire mortgaged lands deeded to state. Whenever the Department of State Lands
receives a deed as described in ORS 327.465, the county court of the county in
which the lands are situated may, within one year from the recorded date of
such deed, acquire from the state the property so conveyed by paying to the
state the total amount of the stateÂ’s investment in the property.
     327.480
Use of Common School Fund moneys to comply with judgment canceling fraudulent
deed. (1) Where the judgment
in a suit instituted by the State of Oregon to cancel and set aside any deed of
lands from the State of Oregon alleged to have been procured by fraud and in
violation of law grants relief to the State of Oregon which is conditioned on
the payment of money, the Department of State Lands may pay from the Common
School Fund the sum necessary to comply with the conditions of the judgment.
     (2) This section shall not be considered
as a legislative interpretation relieving the defendants in such suit from
applying to the legislature for repayment of the purchase price of such land,
or that the State of Oregon is not entitled to an accounting from the
purchaser, the assignee, or successor in interest, for school or other lands
obtained in violation of law, or that the State of Oregon must repay the
purchase price of such lands, with or without interest as a condition of
obtaining relief. This section is intended to prevent the loss to the State of
     327.482
Appropriation to reimburse fund for any loss. Out of the moneys in the General Fund, there is continuously
appropriated such sums as are necessary but not to exceed $100,000 in total to
reimburse the Common School Fund for any loss which may result from the failure
of any student to repay the amounts loaned to the student under ORS 348.050,
and for any amount which may result from the failure of loans to earn at least
four percent interest. The computation required to determine the interest
earned on the loans shall be made annually and the amount required to reimburse
the fund shall be paid annually. [1965 c.532 §9; 1967 c.477 §1]
     327.483 [1963 c.570 §32a; repealed by 1965 c.100 §456]
     327.484
Reimbursement for loss or failure to earn four percent interest. Moneys may be withdrawn periodically from
the General Fund by order of the Department of State Lands to be credited to
the Common School Fund to reimburse the Common School Fund for any loss which
may result from the failure of any student to repay the amounts loaned to the
student under ORS 348.050 and annually on July 1 to pay to the Common School
Fund any amount resulting from the failure of the total student loans to earn
at least four percent interest in the preceding fiscal year. [1965 c.532 §11;
1967 c.335 §39; 1967 c.477 §2]
EDUCATION
CASH ACCOUNT
     327.485
Education Cash Account; composition; accounting. (1) The Education Cash Account of the
General Fund consists of all moneys made available to the Department of
Education by:
     (a) Charitable and philanthropic foundations,
organizations and agencies if the moneys have not been dedicated for specific
use by requirements of other sections of Oregon Revised Statutes;
     (b) Miscellaneous receipts;
     (c) Collection of fees from sale of
supplies and publications compiled and furnished by the Department of Education
and distributed or sold to other persons or groups;
     (d) Funds received as gifts, contributions
and bequests for professional technical education and moneys received as
reimbursements for funds theretofore expended;
     (e) Moneys received through charges to
grants, contracts and other funds for indirect costs; and
     (f) Any other nondedicated moneys received
by the Department of Education for which the Legislative Assembly has
established an administrative funds limitation.
     (2) The provisions of this section do not
relieve the department of its responsibilities to separately account for moneys
received as trust funds.
     (3) Disbursements from the Education Cash
Account shall be made as directed by the Department of Education. The
department shall keep a record of all moneys deposited in such account. The
record shall indicate by separate cumulative accounts the source from which the
moneys are derived and the individual activity against which each withdrawal is
charged. [1961 c.588 §1; 1965 c.100 §38; 1979 c.570 §3; 1993 c.45 §302; 2005
c.209 §7]
     327.490
Projects contracted to districts and institutions of higher learning. The State Board of Education may contract
with school districts, community college districts and any institutions of
higher learning in this state for the purpose of carrying out any phase of a
project for which funds granted under ORS 327.485 are available and may
reimburse such districts and institutions from such funds. The board may make
advance payments to the contracting districts or institutions based on the
estimated cost of any service to be provided. Any payment to a district shall
not be subject to the provisions of ORS 294.305 to 294.565. [1961 c.588 §5;
1989 c.491 §8]
     327.495
Appropriation of funds received for certain purposes. All moneys received by the State Board of
Education for distribution to school districts, community college districts and
any institutions of higher education in this state for the purpose of carrying
out experimental and demonstration programs to improve teaching and teacher
education in this state are hereby continuously appropriated for such purpose. [1961
c.588 §6; 1965 c.100 §39; 1989 c.491 §9]
QUALITY
EDUCATION COMMISSION
     327.497
Legislative findings. The
Legislative Assembly finds that:
     (1) Within the Oregon Educational Act for
the 21st Century in ORS chapter 329 there are established goals for high
academic excellence, the application of knowledge and skills to demonstrate
achievement and the development of lifelong learning skills to prepare students
for the ever-changing world.
     (2) Education is increasingly linked to
economic and social issues.
     (3) The people of
     (4) The Quality Education Commission
should be established to define the costs sufficient to meet the established
quality goals for kindergarten through grade 12 public education. [2001 c.895 §1]
     327.500
Establishment; membership; staff. (1) There is established a Quality Education Commission consisting of
11 members appointed by the Governor. The Governor may not appoint more than
five members of the commission who are employed by a school district at the
time of appointment.
     (2) The term of office of each member is
four years, but a member serves at the pleasure of the Governor. Before the
expiration of the term of a member, the Governor shall appoint a successor
whose term begins on August 1 next following. A member is eligible for
reappointment. If there is a vacancy for any cause, the Governor shall make an
appointment to become immediately effective for the remainder of the unexpired
term.
     (3) The appointment of members of the
commission is subject to confirmation by the Senate in the manner prescribed in
ORS 171.562 and 171.565.
     (4) A member of the commission is entitled
to compensation and expenses as provided in ORS 292.495.
     (5) The Department of Education shall
provide staff to the commission. [2001 c.895 §2; 2005 c.209 §8]
     327.502
Officers; quorum; meetings.
(1) The Governor shall select one of the members of the Quality Education
Commission as chairperson and another as vice chairperson, for such terms and
with duties and powers necessary for the performance of the functions of those
offices as the Governor determines.
     (2) A majority of the members of the
commission constitutes a quorum for the transaction of business.
     (3) The commission shall meet at times and
places specified by the call of the chairperson or of a majority of the members
of the commission. [2001 c.895 §4]
     327.505 [Repealed by 1965 c.100 §456]
     327.506
Quality education goals; duties; report. (1) The quality goals for the stateÂ’s system of kindergarten through
grade 12 public education include those established under ORS 329.007, 329.015,
329.025, 329.045 and 329.065.
     (2) Each biennium the Quality Education
Commission shall determine the amount of moneys sufficient to ensure that the
stateÂ’s system of kindergarten through grade 12 public education meets the
quality goals.
     (3) In determining the amount of moneys
sufficient to meet the quality goals, the commission shall identify best
practices that lead to high student performance and the costs of implementing
those best practices in the stateÂ’s kindergarten through grade 12 public
schools. Those best practices shall be based on research, data, professional
judgment and public values.
     (4) Prior to August 1 of each
even-numbered year, the commission shall issue a report to the Governor and the
Legislative Assembly that identifies:
     (a) Current practices in the state’s
system of kindergarten through grade 12 public education, the costs of
continuing those practices and the expected student performance under those
practices; and
     (b) The best practices for meeting the
quality goals, the costs of implementing the best practices and the expected
student performance under the best practices.
     (5) In addition, the commission shall
provide in the report issued under subsection (4) of this section at least two
alternatives for meeting the quality goals. The alternatives may use different
approaches for meeting the quality goals or use a phased implementation of best
practices for meeting the quality goals. [2001 c.895 §5; 2003 c.303 §14; 2007
c.858 §31]
     Note: The amendments to 327.506 by section 31, chapter
858, Oregon Laws 2007, first apply to the 2008-2009 school year. See section
41, chapter 858, Oregon Laws 2007. The text that applies prior to the 2008-2009
school year is set forth for the userÂ’s convenience.
     327.506. (1) The quality goals for the state’s system
of kindergarten through grade 12 public education include those established
under ORS 329.007, 329.015, 329.025, 329.035, 329.045, 329.065, 329.465 and
329.475.
     (2) Each biennium the Quality Education
Commission shall determine the amount of moneys sufficient to ensure that the
stateÂ’s system of kindergarten through grade 12 public education meets the
quality goals.
     (3) In determining the amount of moneys
sufficient to meet the quality goals, the commission shall identify best
practices that lead to high student performance and the costs of implementing
those best practices in the stateÂ’s kindergarten through grade 12 public
schools. Those best practices shall be based on research, data, professional
judgment and public values.
     (4) Prior to August 1 of each
even-numbered year, the commission shall issue a report to the Governor and the
Legislative Assembly that identifies:
     (a) Current practices in the state’s
system of kindergarten through grade 12 public education, the costs of
continuing those practices and the expected student performance under those
practices; and
     (b) The best practices for meeting the
quality goals, the costs of implementing the best practices and the expected
student performance under the best practices.
     (5) In addition, the commission shall
provide in the report issued under subsection (4) of this section at least two
alternatives for meeting the quality goals. The alternatives may use different
approaches for meeting the quality goals or use a phased implementation of best
practices for meeting the quality goals.
     327.510 [Repealed by 1965 c.100 §456]
MISCELLANEOUS
(Budget and
Accounting System)
     327.511
Uniform budget and accounting system. (1) The State Board of Education shall adopt by rule a uniform budget and
accounting system for school districts and education service districts.
     (2) The uniform budget and accounting
system shall include uniform definitions for a chart of accounts that shall
allow for valid comparisons of expenditures among schools and among districts.
The uniform definitions for the chart of accounts shall be developed by the
Department of Education in consultation with the Legislative Revenue Officer,
the Legislative Fiscal Officer, the Oregon Department of Administrative
Services and appropriate organizations that represent kindergarten through
grade 12 educational interests.
     (3) The uniform budget and accounting
system shall allow for the gathering of data on separate functions and
programs, including but not limited to:
     (a) Individual school;
     (b) Grade level;
     (c) Curriculum area;
     (d) Class size; and
     (e) Extracurricular activities.
     (4) The Department of Education shall
place data gathered from the uniform budget and accounting system in a database
that includes information that is accessible by the public through the
Internet, a personal computer or other similar technology. [1997 c.616 §1]
     327.515 [Repealed by 1965 c.100 §456]
(Food
Programs)
     327.520
Acceptance and distribution of donated commodities to schools. The Department of Education may accept and
distribute donated commodities available for either public or private nonprofit
educational institutions, subject to state or federal law or regulation
relating to such acceptance and distribution. The department shall make a charge
sufficient to cover but not exceed all costs of distribution to the individual
schools. The charge may include administrative expenses, freight, warehousing,
storing, processing and transshipment to the end that all participating schools
shall receive such donated commodities at the same unit cost irrespective of
location of the school with respect to the original point of delivery within
the state. [Amended by 1989 c.491 §10]
     327.523 [1975 c.87 §1; repealed 1981 c.784 §38]
     327.525
School Lunch Revolving Account.
The School Lunch Revolving Account, separate and distinct from the General
Fund, is continuously appropriated for the purposes of ORS 327.520. All money
received under the provisions of ORS 327.520 shall be paid by the Department of
Education to the State Treasurer for credit to the School Lunch Revolving
Account. Interest earned by the account shall be credited to the account. [Amended
by 1965 c.100 §40; 1975 c.87 §2; 1981 c.784 §21; 1989 c.491 §11; 1989 c.966 §26]
     327.527
Summer lunch reimbursement; rules. (1) The Department of Education shall reimburse a school district,
government agency or community group five cents for every lunch the district,
agency or group serves during the summer as a part of:
     (a) The United States Department of
AgricultureÂ’s Summer Food Service Program; or
     (b) A summer meals program through an
existing national school lunch program.
     (2) The State Board of Education may adopt
any rules necessary for the administration of this section. [2005 c.701 §1]
     327.530 [Repealed by 1965 c.100 §456]
     327.535
School breakfast program; waiver; district election based on federal funding. (1) Subject to subsections (2) and (3) of
this section, any school district that provides lunch at any school site shall
make breakfasts accessible if 25 percent or more of the students at the site
are eligible for free or reduced price lunches under the United States
Department of AgricultureÂ’s current Income Eligibility Guidelines or the school
site qualifies for assistance under Chapter I of Title I of the federal
Elementary and Secondary Education Act of 1965.
     (2) The school district may apply to the
State Board of Education for a waiver for all or for particular grade levels if
it is financially unable to implement a breakfast program. The state board may
grant a waiver to the school district for a period not to exceed two years,
after which the school district must reestablish its claim of financial
hardship if the waiver is to be extended.
     (3) If the per meal federal reimbursement
for the free and reduced price breakfast program falls below the 1991
reimbursement levels, a school district may elect to discontinue the program
until federal funding is restored to those levels. No waiver is required for
such election. [1991 c.500 §1]
     327.555 [1953 c.273 §2; repealed by 1959 c.654 §3]
     327.560 [1953 c.273 §3; repealed by 1959 c.654 §3]
     327.565 [1953 c.273 §4; repealed by 1959 c.654 §3]
     327.570 [1953 c.273 §5; repealed by 1959 c.654 §3]
     327.575 [1953 c.273 §6; repealed by 1959 c.654 §3]
     327.605 [Amended by 1959 c.654 §1; 1961 c.624 §5;
repealed by 1965 c.100 §456]
     327.610 [Repealed by 1965 c.100 §456]
(Federal Aid
to Education)
     327.615
State Treasurer as trustee of funds. The State Treasurer shall serve as trustee of any federal aid to
education funds apportioned to the State of
     327.620
Review of accounts affecting federal funds. The Oregon Department of Administrative Services shall cause a review
to be made of the accounts and financial affairs of the State Board of
Education, the Superintendent of Public Instruction and the Department of
Education affecting any funds acquired from the federal government to aid
education, in the same manner and under the same conditions as provided by law
for the review of state departments and institutions. [Amended by 1975 c.614 §10;
1989 c.491 §12]
     327.625 [Repealed by 1965 c.100 §456]
     327.630 [Amended by 1961 c.624 §6; repealed by 1965
c.100 §456]
     327.635
Labor standards required on federally financed school construction. The Superintendent of Public Instruction
shall provide, in the construction of school facilities financed in part
through federal grants, for the enforcement of labor standards not less
beneficial to employees on such projects than those required under sections 1
and 2 of the Act of Congress of August 30, 1935, as amended.
     327.640 [Repealed by 1965 c.100 §456]
(Financing of
State and Federal Requirements)
     327.645
Financing of programs mandated by state and federal programs. The Legislative Assembly recognizes that:
     (1) Various programs adopted by the
Legislative Assembly and by various state and federal agencies have fiscal and
revenue impact on school districts.
     (2) To the greatest extent possible, state
government should pay an appropriate share of expenses incurred by the
districts as the result of mandates from the Legislative Assembly and state
agencies. [1989 c.970 §1]
     327.655 [Amended by 1961 c.624 §7; repealed by 1965
c.100 §456]
     327.660 [1963 c.570 §2; 1965 c.100 §41; 1983 c.740 §100;
repealed by 1985 c.388 §3]
EDUCATION
LOTTERY BOND PROGRAM
     327.700
Definitions for ORS 327.700 to 327.711. As used in ORS 327.700 to 327.711, unless the context requires
otherwise:
     (1) “State education lottery bonds” means
the bonds authorized to be issued under ORS 327.711 for the purpose of
financing state education projects.
     (2) “State education projects” means
projects for instructional training and the acquisition, construction,
improvement, remodeling, maintenance or repair of public school facilities in
the State of Oregon, including but not limited to land, site preparation costs,
permanent or portable buildings and equipment, telecommunications equipment,
computers, software and related technology, textbooks, library books, furniture
and furnishings, vehicles, costs of planning for bond issues and capital
improvements, the payment of debt service on obligations, other than general
obligation bonds, issued for such projects and holding in reserve for any of
the purposes described in this subsection. [1997 c.612 §3; 1999 c.44 §10; 1999
c.1066 §13]
     327.705
Purpose of ORS 327.700 to 327.711. The Legislative Assembly declares that the purpose of ORS 327.700 to
327.711 is to authorize lottery bonds for state education projects. The lottery
bonds authorized by ORS 327.700 to 327.711 shall be issued pursuant to ORS
286A.560 to 286A.585. The obligation of the State of Oregon with respect to the
lottery bonds and with respect to any grant agreement or other commitment
authorized by ORS 327.700 to 327.711, 327.731, 348.696 and 777.277 shall at all
times be restricted to the availability of unobligated net lottery proceeds,
proceeds of lottery bonds and any other amounts specifically committed by ORS
286A.560 to 286A.585. Neither the faith and credit of the State of
     327.708
Legislative findings. The
Legislative Assembly finds that:
     (1) The financing of the costs of state
education projects accomplishes the purpose of financing public education in
     (a) Maintaining and increasing the
utility, effectiveness and capacity of public education facilities and public
education technology and ensuring their availability to
     (b) Creating employment opportunities in this
state through the funding of capital improvement and maintenance projects on
which workers will be employed.
     (2) Based on the findings made in this
section, the use of the net proceeds from the operation of the Oregon State
Lottery to fund state education projects and to pay state education lottery
bonds is an appropriate use of state lottery funds under section 4, Article XV
of the Oregon Constitution, and ORS 461.510. [1997 c.612 §2; 1999 c.44 §12]
     327.711
Payment of debt service; issuance of bonds; School Capital Construction, Maintenance
and Technology Fund. (1) The
Legislative Assembly may pay state education lottery bond debt service after
the 1997-1999 biennium from earnings on the Education Stability Fund. However,
no lien or pledge of those earnings shall be made to secure the lottery bonds,
and the State of
     (2) State education lottery bonds shall be
issued only at the request of the Superintendent of Public Instruction. State
education lottery bonds may be issued in an amount sufficient to provide no
more than $150 million of net proceeds to pay costs of state education
projects, plus the amounts required for bond-related costs.
     (3) The School Capital Construction,
Maintenance and Technology Fund is established in the State Treasury, separate
and distinct from the General Fund. The net proceeds from the sale of the state
education lottery bonds that are available to pay costs of state education
projects shall be credited to the School Capital Construction, Maintenance and
Technology Fund. Investment earnings received on amounts in the School Capital
Construction, Maintenance and Technology Fund shall be credited to the School
Capital Construction, Maintenance and Technology Fund. All moneys from time to
time credited to the School Capital Construction, Maintenance and Technology
Fund, including any investment earnings, are appropriated continuously to the
Department of Education only for distribution to school districts pursuant to
ORS 327.731 and for payment of the bond-related costs that are allocable to
state education lottery bonds. Amounts in the School Capital Construction,
Maintenance and Technology Fund shall be disbursed upon the written request of
the Superintendent of Public Instruction to school districts for state
education projects pursuant to ORS 327.731, and upon the written request of the
Director of the Oregon Department of Administrative Services to pay for
bond-related costs that are allocable to state education lottery bonds. [1997
c.612 §4; 1999 c.44 §13; 2002 s.s.3 c.6 §15]
     327.715 [1997 c.612 §5; repealed by 1999 c.44 §29]
     327.718 [1997 c.612 §6; repealed by 1999 c.44 §29]
     327.721 [1997 c.612 §7; repealed by 1999 c.44 §29]
     327.724 [1997 c.612 §§8,8a; repealed by 1999 c.44 §29]
     327.727 [1997 c.612 §8c; repealed by 1999 c.44 §29]
     327.731
Education project grants; use; amount. (1) Subject to rules of the State Board of Education, the
Superintendent of Public Instruction shall distribute a share of moneys in the
School Capital Construction, Maintenance and Technology Fund to school
districts as education project grants. The education project grants shall be
distributed in one payment each distribution year. The education project grants
shall be used for any state education project, as defined in ORS 327.700.
     (2) Each school district’s education
project grant = the district’s extended ADMw for the distribution year ´ (the total amount available for the grants
in each distribution year ¸ the total statewide extended ADMw in
the distribution year).
     (3) Each school district shall deposit the
amounts it receives as an education project grant in a separate account, and
shall apply amounts in that account to pay for costs of state education
projects or shall hold amounts in that account in reserve and apply them to pay
costs of future state education projects.
     (4) School districts receiving education
project grants from the School Capital Construction, Maintenance and Technology
Fund shall, if so directed by the Oregon Department of Administrative Services,
take any action specified by the Oregon Department of Administrative Services
that is necessary to maintain the excludability of lottery bond interest from
gross income under the United States Internal Revenue Code. [1997 c.612 §14;
1999 c.1066 §14]
     327.736 [1997 c.874 §1; repealed by 1999 c.44 §29]
     327.990 [Amended by 1957 c.626 §5; repealed by 1965
c.100 §456]
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