ARIZONA HOUSE OF REPRESENTATIVES

Fifty-sixth Legislature

Second Regular Session

House: APPROP DP 9-7-1-0

HB 2906: K-12 education; 2024-2025

Sponsor: Representative Livingston (with permission of Committee on Rules), LD 28

Caucus & COW

Overview

Contains provisions relating to K-12 education needed to implement the FY 2025 budget.

History

The Arizona Legislature adopts a budget for each fiscal year (FY) that contains general appropriations. Article IV, Section 20, Part 2 of the Constitution of Arizona requires the General Appropriations Act (feed bill) to contain only appropriations for the different state departments, state institutions, public schools and interest on public debt. Statutory changes necessary to reconcile the appropriations made in the feed bill and other changes are drafted into separate budget bills. These bills are prepared according to subject area.

Provisions

School Finance Formula (Permanent Law)☐ Prop 105 (45 votes) ☐ Prop 108 (40 votes) ☐ Emergency (40 votes) ☐ Fiscal Note

1.   Increases the base level for FY 2025 from $4,914.71 to $5,013.00. (Sec. 5)

2.   Adjusts the FY 2025 state support level per route mile from:

a)   $2.89 to $2.95 for 0.5 or less approved daily route mileage;

b)   $2.37 to $2.42 for more than 0.5 through 1.0 approved daily route mileage; and

c) $2.89 to $2.95 for more than 1.0 daily approved route mileage. (Sec. 6)

3.   Increases charter additional assistance from:

a)   $2,049.12 to $2,090.10 per student count in preschool programs for children with disabilities, kindergarten and the 1st-8th grades; and

b)   $2,388.21 to $2,435.97 per student count in the 9th-12th grades. (Sec. 1)

4.   Adjusts TY 2024 qualifying tax rates in accordance with statutory truth-in-taxation requirements. (Sec. 10)

Arizona Empowerment Scholarship Account (ESA) Program

5.   Modifies permissible ESA expenses by stipulating ESA monies may be used for:

a)   tuition or fees at a qualified school that requires all teaching staff and personnel who have unsupervised contact with students to be fingerprinted; or

b)   tutoring or teaching services provided by an individual who is not subject to disciplinary action by the State Board of Education (SBE) for immoral or unprofessional conduct. (Sec. 7)

 

 

6.   Requires the Arizona Department of Education (ADE) to:

a)   ensure any individual who provides tutoring or teaching services to qualified students is not subject to disciplinary action by SBE; and

b)   remove any individual who is subject to disciplinary action by SBE from all platforms ADE provides to parents and qualified students for the purchase of goods or educational services using ESA monies. (Sec. 7)

7.   Instructs ADE to verify that a parent's child is a qualified student in the year the parent seeks to renew the ESA. (Sec. 7)

8.   Directs ADE, in consultation with the Auditor General, to develop risk-based auditing procedures for the statutorily required annual audits of ESAs. (Sec. 8)

9.   Mandates ADE annually review a random sample of ESAs to determine whether the parent or qualified student is in compliance with the ESA contract, applicable laws, rules and orders relating to the ESA Program. (Sec. 8)

10.  States the ESA of a parent or qualified student who is in good standing may be randomly selected for review only once during any five-year period. (Sec. 8)

11.  Prohibits a qualified student from receiving ESA monies while enrolled in a school district or charter school. (Sec. 8)

12.  Allows ADE, if an eligible applicant completes an application in advance for an ESA to be funded beginning on a later date, to enroll the applicant on the later date, except the applicant cannot be enrolled:

a)   more than two fiscal quarters after the fiscal quarter in which the application is completed; or

b)   on a date that is after March 31 and before July 1. (Sec. 8)

13.  Stipulates ADE must enroll an applicant on or after July 1 if the applicant completes an application after March 31 and before July 1. (Sec. 8)

14.  Directs ADE to enroll all other applicants when ADE issues an award letter. (Sec. 8)

15.  Modifies the requirement for ADE to provide the estimated amount required to fund ESAs for the following fiscal year by directing ADE to provide the amount:

a)   by September 1 and November 1, rather than only May 30; and

b)   to the Governor's Office of Strategic Planning and Budgeting. (Sec. 8)

16.  Requires ADE to maintain an online database of allowable and disallowed expense categories and provide a link to the database on its website. (Sec. 8)

17.  Mandates ADE allow ESA monies to be used to reimburse the parent of a qualified student or qualified student for the purchase of a good or educational service that is an allowable expense. (Sec. 8)

Arizona State Schools for the Deaf and the Blind (ASDB)

18.  As permanent law, removes ASDB from the state agencies that are excluded from participation in the state motor vehicle fleet. (Sec. 9)

19.  As session law for FY 2025, allows ASDB to use monies appropriated from the Telecommunication Fund for the Deaf for educational and operational costs. (Sec. 15)

Program and Fund Repeals

20.  As permanent law, repeals, on July 1, 2025, the

a)   Continuing High School and Workforce Training Program;

b)   Adult Workforce Diploma Program and Fund;

c) Community College Adult Education Workforce Diploma Program and Fund; and

d)   directive for SBE and ADE to adopt performance measures to evaluate these adult education and workforce programs. (Sec. 2)

21.  As session law, amends the Arizona Civics Education and Leadership Development Program (Civics Program) by:

a)   removing the limitation that ADE administer the Civics Program in only FY 2024;

b)   repealing the Civics Program and Civics Program Fund on July 1, 2025; and

c) transferring any unexpended and unencumbered monies from the Civics Program Fund to the state General Fund (GF). (Sec. 11)

22.  As session law, amends the requirements for early education and career action plans (career plans) and the Early Education and Career Exploration Program (Career Program) by:

a)   removing the limitation that:

i. SBE require public schools to complete career plans for each high school student only in FY 2024;

ii.   ADE administer the Career Program only in FY 2024; and

iii.  ADE contract with a nonprofit entity to provide a career mapping tool and specified training and resources only in FY 2024;

b)   repealing the outlined career plans requirements, Career Program and Career Program Fund on July 1, 2025; and

c) transferring any unexpended and unencumbered monies from the Career Program Fund to the state GF. (Sec. 12)

23.  As session law, repeals the Dual Enrollment Teacher Development Fund and the Dual Enrollment Student Development Fund. (Sec. 13)

Miscellaneous

24.  As permanent law, sets March 15 as the earliest date a school district governing board may offer a teaching contract for the next school year to a probationary or continuing teacher. (Sec. 3, 4)

25.  As session law in FY 2025, continues to authorize ADE to use Failing Schools Tutoring Fund monies for:

a)   providing assistance to school districts and charter schools for professional development and coaching for teachers and principals;

b)   monitoring the progress of school districts and charter schools towards improved academic outcomes; and

c) outreach to ensure that schools and parents have access to tutoring opportunities. (Sec. 14)

26.  As session law, continues to contain a legislative intent clause relating to classroom spending. (Sec. 16)

27.  Makes technical changes. (Sec. 3, 4, 7, 8, 9)

28.  Makes conforming changes. (Sec. 5, 8, 9, 11, 12)  ☐ Prop 105 (45 votes) ☐ Prop 108 (40 votes) ☐ Emergency (40 votes) ☐ Fiscal Note

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32.                    HB 2906

33.  Initials CH           Page 0 Caucus & COW

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