Bill Text: OR SB632 | 2013 | Regular Session | Introduced


Bill Title: Relating to funding for school districts; declaring an emergency.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Failed) 2013-07-08 - In committee upon adjournment. [SB632 Detail]

Download: Oregon-2013-SB632-Introduced.html


     77th OREGON LEGISLATIVE ASSEMBLY--2013 Regular Session

NOTE:  Matter within  { +  braces and plus signs + } in an
amended section is new. Matter within  { -  braces and minus
signs - } is existing law to be omitted. New sections are within
 { +  braces and plus signs + } .

LC 3172

                         Senate Bill 632

Sponsored by Senator MONROE

                             SUMMARY

The following summary is not prepared by the sponsors of the
measure and is not a part of the body thereof subject to
consideration by the Legislative Assembly. It is an editor's
brief statement of the essential features of the measure as
introduced.

  Revises method of calculating transportation grant from State
School Fund distributions.
  Allows district school board to determine distances beyond
which school district will provide transportation.
  Directs Department of Education to expend specified amount from
State School Fund to assist school districts in complying with
core teaching standards requirements.
  Declares emergency, effective July 1, 2013.

                        A BILL FOR AN ACT
Relating to funding for school districts; creating new
  provisions; amending ORS 327.006, 327.008, 327.013, 327.043,
  332.405, 338.145, 339.133, 340.065 and 346.041 and section 9,
  chapter 718, Oregon Laws 2011; repealing ORS 327.033; and
  declaring an emergency.
Be It Enacted by the People of the State of Oregon:
  SECTION 1. ORS 327.013 is amended to read:
  327.013. The State School Fund distributions for school
districts include the following grants:
  (1) General Purpose Grant = Funding Percentage X Target Grant X
District extended ADMw. For the purpose of the calculation made
under this subsection:
  (a) The funding percentage shall be calculated by the
Superintendent of Public Instruction to distribute as nearly as
practicable the total sum of money available for distribution.
  (b) Target Grant = Statewide Target per ADMw Grant + Teacher
Experience Factor. For the purpose of the calculation made under
this paragraph:
  (A) Statewide Target per ADMw Grant = $4,500.
  (B) Teacher Experience Factor = $25 X {District average teacher
experience - statewide average teacher experience}.  As used in
this subparagraph, 'average teacher experience' means the
average, in years, of teaching experience of licensed teachers as
reported to the Department of Education.
  (c) District extended ADMw = ADMw or ADMw of the prior year,
whichever is greater. The calculation of the district extended
ADMw must be made as provided by ORS 338.155 (1)(b) if a public
charter school is located in the school district. For the purpose
of this paragraph:
  (A) Weighted average daily membership or ADMw = average daily
membership + an additional amount computed as follows:
  (i) 1.0 for each student in average daily membership eligible
for special education as a child with a disability under ORS
343.035, which may not exceed 11 percent of the district's ADM
without review and approval by 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 made under this
sub-subparagraph.
  (ii) 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.
  (iii) 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.
  (iv) -0.1 for each student in average daily membership enrolled
in an elementary district operating kindergarten through grade
six or kindergarten through grade eight or in an area of a
unified school district where the district is only responsible
for educating students in kindergarten through grade eight.
  (v) 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 United States Department of
Education based on the most recent federal decennial census, as
adjusted by the school district's proportion of students in the
county receiving free or reduced price lunches under the United
States Department of Agriculture's current Income Eligibility
Guidelines if the number is higher than the number determined
from census data and only if the school district had an average
daily membership of 2,500 or less for the 1995-1996 school year,
and as further adjusted by the number of students in average
daily membership in June of the year of distribution divided by
number of students in average daily membership in the district,
or its predecessors, in June of the year of the most recent
federal decennial census;
  (II) The number of children in foster homes in the district as
determined by the report of the Department of Human Services to
the United States 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.
  (vi) The amount determined under ORS 327.077 for each remote
small elementary school and for each small high school in the
district.
  (B) All numbers of children used for the computation in this
paragraph must reflect any district consolidations that have
occurred since the numbers were compiled.
  (C) The total additional weight that shall be assigned to any
student in average daily membership in a district, exclusive of
students described in subparagraph (A)(v) and (vi) of this
paragraph, may not exceed 2.0.
  (2) High   { - cost disabilities grant - }   { + 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.
    { - (3)(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. - }
   { +  (3) Transportation Grant = 98 percent of the amount of
the transportation grant that the school district received for
the 2012-2013 school year, which shall be adjusted as follows:
  (a) At intervals designated by the State Board of Education by
rule; and
  (b) Based on guidelines adopted by the board by rule, which:
  (A) Must take into account the relative cost efficiency by
which districts operate a safe school transportation service;
  (B) Must take into account various inflationary costs, based on
the average inflationary costs for the previous three school
years; and
  (C) May allow for different adjustment for each school district
based on the characteristics of the school district. + }
  (4)(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,
structures added onto existing school buildings and
premanufactured structures added 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.
  SECTION 2.  { + The amendments to ORS 327.013 by section 1 of
this 2013 Act first apply to State School Fund distributions
commencing with the 2013-2014 distributions. + }
  SECTION 3. ORS 327.006 is amended to read:
  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) - }   { + (2) + } '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) - }   { + (3) + } 'Consumer Price Index' means the
Consumer Price Index for All Urban Consumers of the Portland,
Oregon, Metropolitan Statistical Area, as compiled by the United
States Department of Labor, Bureau of Labor Statistics.
    { - (5) - }   { + (4) + } 'Kindergarten' means a kindergarten
program that conforms to the standards and rules adopted by the
State Board of Education.
    { - (6) - }   { + (5) + } '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) - }   { + (6)(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 who attends school in the
district with the written consent of the district school board
where the school is located as provided by ORS 339.133 (5).
  (b) A pupil is not 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 is not 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 ORS 339.133 (5) 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) - }   { + (7) + } 'Standard school' means a school
meeting the standards set by the rules of the State Board of
Education.
    { - (9) - }   { + (8) + } 'Tax' and 'taxes' includes all
taxes on property, excluding exempt bonded indebtedness, as those
terms are defined in ORS 310.140.
  SECTION 4. ORS 327.006, as amended by section 7, chapter 704,
Oregon Laws 2011, is amended to read:
  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 for half-day kindergarten and on the basis of a
full-day program for full-day kindergarten.
    { - (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) - }   { + (2) + } '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) - }   { + (3) + } 'Consumer Price Index' means the
Consumer Price Index for All Urban Consumers of the Portland,
Oregon, Metropolitan Statistical Area, as compiled by the United
States Department of Labor, Bureau of Labor Statistics.
    { - (5) - }   { + (4) + } 'Kindergarten' means a kindergarten
program that conforms to the standards and rules adopted by the
State Board of Education.
    { - (6) - }   { + (5) + } '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) - }   { + (6)(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 who attends school in the
district with the written consent of the district school board
where the school is located as provided by ORS 339.133 (5).
  (b) A pupil is not 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 is not 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 ORS 339.133 (5) 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) - }   { + (7) + } 'Standard school' means a school
meeting the standards set by the rules of the State Board of
Education.
    { - (9) - }   { + (8) + } 'Tax' and 'taxes' includes all
taxes on property, excluding exempt bonded indebtedness, as those
terms are defined in ORS 310.140.
  SECTION 5. ORS 338.145 is amended to read:
  338.145. (1) The public charter school shall be responsible for
providing transportation to students who reside within the school
district and who attend the public charter school. The public
charter school may negotiate with a school district for the
provision of transportation to students attending the public
charter school.
  (2) Notwithstanding subsection (1) of this section, the school
district within which the public charter school is located shall
be responsible for the transportation of students attending the
public charter school pursuant to ORS 327.043 in the same manner
as students attending nonchartered public schools if the student
is a resident of the school district. However, a school district
may not be required to add or extend existing bus routes or other
transportation services pursuant to this subsection.
  (3) Students who attend public charter schools and who reside
outside of the school district may use existing bus routes and
transportation services of the school district in which a public
charter school is located.
    { - (4) Any transportation costs incurred by a school
district under this section shall be considered approved
transportation costs for purposes of ORS 327.013 in the same
manner as transportation costs incurred by the school district
for transporting students who attend nonchartered public schools
are considered approved transportation costs for purposes of ORS
327.013. - }
  SECTION 6. ORS 340.065 is amended to read:
  340.065.   { - (1) - }  A resident school district may provide
transportation services to eligible students who attend eligible
post-secondary institutions within any education service district
boundaries of which the school district is a component school
district.
    { - (2) Any transportation costs incurred by a school
district under this section shall be considered approved
transportation costs for purposes of ORS 327.013 (3). - }
  SECTION 7. ORS 346.041 is amended to read:
  346.041. (1) Transportation for pupils attending the school
operated under ORS 346.010 is the responsibility of the pupil's
resident school district. The district may provide transportation
directly or by agreement with another school district, a public
carrier or the Department of Education.
    { - (2) The actual and necessary transportation expenses
incurred under subsection (1) of this section, at a frequency
consistent with a pupil's individual education plan, shall be
considered approved transportation costs for purposes of ORS
327.006 and 327.033. - }
    { - (3) - }   { + (2) + } The resident school district shall
reimburse the Department of Education for all transportation
costs the department incurs on behalf of the district within 10
days after receipt of the itemized invoice.
    { - (4) - }   { + (3) + } The payments of the resident school
districts required under subsection   { - (3) - }   { + (2) + }
of this section and an amount specifically appropriated thereto
shall be deposited in the State Treasury to the credit of the
Special Education Transportation Revolving Account to be used by
the Department of Education for the transportation of pupils
attending the school operated under ORS 346.010. The account
shall be continuously appropriated to the department for such
purpose.
    { - (5) - }   { + (4) + } Any unexpended and unobligated
balance in the Special Education Transportation Revolving Account
in excess of $70,000 as of September 1 of any year shall be
transferred from the account to the General Fund to be available
for general governmental purposes.
  SECTION 8. ORS 327.043 is amended to read:
  327.043. (1) A school district is required to provide
transportation for elementary  { + and secondary school + }
students who reside   { - more than one mile from school and for
secondary school students who reside more than 1.5 miles from
school - }  { +  at a distance from a school that is equal to or
greater than the distance identified by the district school board
as being reasonable for that 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.
  SECTION 9. ORS 332.405 is amended to read:
  332.405. (1) The district school board shall provide
transportation for pupils or combinations of pupils and other
persons to and from school-related activities where required by
law or when considered advisable by the board.
  (2) The board may furnish board and room for pupils in lieu of
transportation when reasonable board and room can be provided at
equal or less expense than transportation. The board may also
provide board and room in a facility that existed on July 1,
1998, or a replacement facility for that facility, for pupils
attending a district school as described in ORS 327.006
 { - (7)(a)(B) - }  { +  (6)(a)(B) + } or through a power of
attorney authorized under ORS 109.056 (2). This subsection does
not apply to a pupil who attends a district school through a
power of attorney and who is a foreign exchange student enrolled
in a school under a cultural exchange program.
  (3) The transportation costs or expenses for board and room
shall be paid from funds available to the district for that
purpose.
  (4) The district school board may expend district funds to
improve or provide for pedestrian facilities off district
property if the board finds that the expenditure reduces
transportation costs of the district and enhances the safety of
pupils going to and from schools of the district.
  SECTION 10. ORS 339.133 is amended to read:
  339.133. (1)(a) Except as provided in subsections (2) to (6) of
this section, children between the ages of 4 and 18 shall be
considered resident for school purposes in the school district in
which their parents, their guardians or persons in parental
relationship to them reside.
  (b) Nonemancipated individuals between the ages of 4 and 18
living outside the geographic area of the school district for
such reasons as attending college, military service, hospital
confinement or employment away from home shall be considered
resident in the district in which their parents, their guardians
or persons in parental relationship to them reside.
  (c) Persons living temporarily in a school district for the
primary purpose of attending a district school may not be
considered resident in the district in which they are living
temporarily, but shall be considered resident in the district in
which they, their parents, their guardians or persons in parental
relationship to them reside.
  (2) Individuals considered legally emancipated from their
parents shall be considered resident in the district in which
they actually reside, irrespective of the residence of their
parents, their guardians or persons in parental relationship.
  (3) Children placed by public or private agencies who are
living in licensed, certified or approved substitute care
programs shall be considered resident in the school district in
which they reside because of placement by a public or private
agency.
  (4)(a) Notwithstanding subsection (3) of this section, when a
juvenile court determines that it is in a child's best interest
to continue to attend the school that the child attended prior to
placement by a public agency, the child:
  (A) Shall be considered resident for school purposes in the
school district in which the child resided prior to the
placement; and
  (B) May continue to attend the school the child attended prior
to the placement through the highest grade level of the school.
  (b) The public agency that has placed the child shall be
responsible for providing the child with transportation to and
from school when the need for transportation is due to the
placement by the public agency.
  (c) Paragraph (b) of this subsection applies only to a public
agency for which funds have been designated for the specific
purpose of providing a child with transportation to and from
school under this subsection.
  (5) Except as provided in ORS 327.006   { - (7) - }
 { + (6) + } and 335.090, persons whose legal residence is not
within the district but who attend school in the district are
considered residents in the district in which the persons attend
school if those persons receive:
  (a) Written consent from both of the affected district school
boards as provided by policies adopted by the boards; or
  (b) Written consent from the district school board for the
district in which the school is located as provided by section 9,
chapter 718, Oregon Laws 2011.

  (6)(a) Children who are foreign exchange students and who are
residing in Oregon in a dormitory operated by a school district
are considered to be residents of the school district in which
the dormitory is located.
  (b) For the purpose of this subsection:
  (A) A child may not be considered to be a foreign exchange
student for more than one school year.
  (B) A child may be considered to be a resident of a school
district as provided by this subsection only if, for the
2010-2011 school year, the school district had foreign exchange
students who were considered to be residents as provided by this
subsection.
  (C) The number of children who are considered to be residents
as provided by this subsection may not increase from the number
that were considered to be residents as provided by this
subsection for the 2010-2011 school year.
  (c) As used in this subsection, 'foreign exchange student '
means a student who attends school in Oregon under a cultural
exchange program and whose parent, guardian or person in parental
relationship resides in another country.
  (7) For the purposes of this section:
  (a) 'Person in parental relationship' means an adult who has
physical custody of a child or resides in the same household as
the child, interacts with the child daily, provides the child
with food, clothing, shelter and incidental necessaries and
provides the child with necessary care, education and discipline.
' Person in parental relationship' does not mean a person with a
power of attorney or other written delegation of parental
responsibilities if the person does not have other evidence of a
parental relationship.
  (b) 'Substitute care program' means family foster care, family
group home care, parole foster care, family shelter care,
adolescent shelter care and professional group care.
  SECTION 11. ORS 339.133, as amended by section 4, chapter 718,
Oregon Laws 2011, is amended to read:
  339.133. (1)(a) Except as provided in subsections (2) to (5) of
this section, children between the ages of 4 and 18 shall be
considered resident for school purposes in the school district in
which their parents, their guardians or persons in parental
relationship to them reside.
  (b) Nonemancipated individuals between the ages of 4 and 18
living outside the geographic area of the school district for
such reasons as attending college, military service, hospital
confinement or employment away from home shall be considered
resident in the district in which their parents, their guardians
or persons in parental relationship to them reside.
  (c) Persons living temporarily in a school district for the
primary purpose of attending a district school may not be
considered resident in the district in which they are living
temporarily, but shall be considered resident in the district in
which they, their parents, their guardians or persons in parental
relationship to them reside.
  (2) Individuals considered legally emancipated from their
parents shall be considered resident in the district in which
they actually reside, irrespective of the residence of their
parents, their guardians or persons in parental relationship.
  (3) Children placed by public or private agencies who are
living in licensed, certified or approved substitute care
programs shall be considered resident in the school district in
which they reside because of placement by a public or private
agency.
  (4)(a) Notwithstanding subsection (3) of this section, when a
juvenile court determines that it is in a child's best interest
to continue to attend the school that the child attended prior to
placement by a public agency, the child:

  (A) Shall be considered resident for school purposes in the
school district in which the child resided prior to the
placement; and
  (B) May continue to attend the school the child attended prior
to the placement through the highest grade level of the school.
  (b) The public agency that has placed the child shall be
responsible for providing the child with transportation to and
from school when the need for transportation is due to the
placement by the public agency.
  (c) Paragraph (b) of this subsection applies only to a public
agency for which funds have been designated for the specific
purpose of providing a child with transportation to and from
school under this subsection.
  (5) Except as provided in ORS 327.006   { - (7) - }
 { + (6) + } and 335.090, persons whose legal residence is not
within the district but who attend school in the district are
considered residents in the district in which the persons attend
school if those persons receive:
  (a) Written consent from both of the affected district school
boards as provided by policies adopted by the boards; or
  (b) Written consent from the district school board for the
district in which the school is located as provided by section 9,
chapter 718, Oregon Laws 2011.
  (6) For the purposes of this section:
  (a) 'Person in parental relationship' means an adult who has
physical custody of a child or resides in the same household as
the child, interacts with the child daily, provides the child
with food, clothing, shelter and incidental necessaries and
provides the child with necessary care, education and discipline.
' Person in parental relationship' does not mean a person with a
power of attorney or other written delegation of parental
responsibilities if the person does not have other evidence of a
parental relationship.
  (b) 'Substitute care program' means family foster care, family
group home care, parole foster care, family shelter care,
adolescent shelter care and professional group care.
  SECTION 12. ORS 339.133, as amended by sections 4 and 19,
chapter 718, Oregon Laws 2011, is amended to read:
  339.133. (1)(a) Except as provided in subsections (2) to (5) of
this section, children between the ages of 4 and 18 shall be
considered resident for school purposes in the school district in
which their parents, their guardians or persons in parental
relationship to them reside.
  (b) Nonemancipated individuals between the ages of 4 and 18
living outside the geographic area of the school district for
such reasons as attending college, military service, hospital
confinement or employment away from home shall be considered
resident in the district in which their parents, their guardians
or persons in parental relationship to them reside.
  (c) Persons living temporarily in a school district for the
primary purpose of attending a district school may not be
considered resident in the district in which they are living
temporarily, but shall be considered resident in the district in
which they, their parents, their guardians or persons in parental
relationship to them reside.
  (2) Individuals considered legally emancipated from their
parents shall be considered resident in the district in which
they actually reside, irrespective of the residence of their
parents, their guardians or persons in parental relationship.
  (3) Children placed by public or private agencies who are
living in licensed, certified or approved substitute care
programs shall be considered resident in the school district in
which they reside because of placement by a public or private
agency.
  (4)(a) Notwithstanding subsection (3) of this section, when a
juvenile court determines that it is in a child's best interest
to continue to attend the school that the child attended prior to
placement by a public agency, the child:
  (A) Shall be considered resident for school purposes in the
school district in which the child resided prior to the
placement; and
  (B) May continue to attend the school the child attended prior
to the placement through the highest grade level of the school.
  (b) The public agency that has placed the child shall be
responsible for providing the child with transportation to and
from school when the need for transportation is due to the
placement by the public agency.
  (c) Paragraph (b) of this subsection applies only to a public
agency for which funds have been designated for the specific
purpose of providing a child with transportation to and from
school under this subsection.
  (5) Except as provided in ORS 327.006   { - (7) - }
 { + (6) + } and 335.090, persons whose legal residence is not
within the district but who attend school in the district are
considered residents in the district in which the persons attend
school if those persons receive written consent from both of the
affected district school boards as provided by policies adopted
by the boards.
  (6) For the purposes of this section:
  (a) 'Person in parental relationship' means an adult who has
physical custody of a child or resides in the same household as
the child, interacts with the child daily, provides the child
with food, clothing, shelter and incidental necessaries and
provides the child with necessary care, education and discipline.
' Person in parental relationship' does not mean a person with a
power of attorney or other written delegation of parental
responsibilities if the person does not have other evidence of a
parental relationship.
  (b) 'Substitute care program' means family foster care, family
group home care, parole foster care, family shelter care,
adolescent shelter care and professional group care.
  SECTION 13. Section 9, chapter 718, Oregon Laws 2011, is
amended to read:
   { +  Sec. 9. + } (1) For purposes of ORS 339.133 (5)(b), a
person whose legal residence is not within a school district but
who attends school in the district is considered a resident of
the district in which the person attends school if the person
receives written consent to attend school from the district
school board where the school is located, as provided by this
section.
  (2)(a) By March 1 of each year, a district school board shall
determine whether the board will give consent to persons whose
legal residence is not within the school district.
  (b) If the district school board will give consent, the board
shall establish standards by which consent will be given. The
standards must:
  (A) Identify the number of persons to whom consent will be
given for the school year. The district school board may limit
the number of persons to whom consent will be given based on
school, grade or a combination of school and grade.
  (B) Allow persons who live within the boundaries of the school
district the first opportunity to change to a different school in
the district if the district school board will be giving consent
to attend that school to persons who do not reside within the
district.
  (3) A person seeking consent as provided by this section must
request consent no later than April 1 prior to the beginning of
the school year for which consent is being requested. Requests
may be submitted before the district school board makes the
determination and establishes the standards described in
subsection (2) of this section, but may not be considered by the

board when the board makes the determination and establishes the
standards.
  (4)(a) A district school board must give consent to a person
who requests consent unless:
  (A) The board decides to not give consent to any person as
allowed by subsection (2) of this section;
  (B) The board decides to limit the number of persons to whom
consent will be given and the person was not selected to be given
consent based on the selection process described in subsection
(5) of this section; or
  (C) The board is not required to admit the person, as provided
by ORS 339.115 (8).
  (b) A district school board may not deny consent or give
priority based on race, religion, sex, sexual orientation,
ethnicity, national origin, disability, terms of an
individualized education program, income level, proficiency in
the English language or athletic ability.
  (5) If the number of persons seeking consent exceeds the number
of persons to whom the district school board has determined will
be given consent, the board shall give consent based on an
equitable lottery selection process. The process may give
priority to persons who have siblings currently enrolled in a
school of the school district, but in no event may a sibling be
given priority to any open spot in the schools of the school
district over any persons who reside within the school district.
  (6)(a) Except as provided by paragraphs (b) and (c) of this
subsection, a person who receives consent and who is considered a
resident of a district as provided by this section shall be
considered a resident of the district for all educational
purposes. A person who is considered a resident of the district
as provided by this section shall continue to be considered a
resident of the district until the person:
  (A) Graduates from high school;
  (B) Is no longer required to be admitted to the schools of the
school district under ORS 339.115; or
  (C) Enrolls in a school in a different school district.
  (b) A school district is not required to provide transportation
outside the boundaries of the district to a person who is
considered a resident of the district as provided by this
section, except that a district:
  (A) Must allow persons who are considered a resident of the
district as provided by this section to use existing bus routes
and transportation services of the district.   { - Transportation
provided under this subparagraph is considered approved
transportation costs for purposes of ORS 327.013. - }
  (B) May provide a stipend for a person who is a member of a
low-income family, as defined in ORS 339.147, in an amount that
does not exceed the district's average cost per student for
transportation.
  (C) Must provide transportation if required by federal law.
  (c) After the first year that a person is considered a resident
of a district as provided by this section, the district school
board may transfer the person to a different school in the
district. Any transfers must be made consistent with district
policy and do not affect the status of the person as a resident
of the district.
  (7) A district school board shall provide written notification
of the attendance of a person who receives consent as provided by
this section to the district school board where the legal
residence of the person is located. The written notification
required by this subsection must be provided no later than May 1
prior to the beginning of the school year for which consent was
given.
  (8) Nothing in this section:

  (a) Requires a district school board to give consent to
siblings if the board determines that consent will not be given
to any students for a school year.
  (b) Prevents a school district from entering into interagency
agreements to provide services to persons who do not reside in
the school district or are not considered residents of the school
district.
  (c) Prevents or otherwise limits a district school board from
providing consent to a person who has received consent from the
district school board for the school district in which the person
resides, as provided by ORS 339.133 (5)(a).
  SECTION 14. ORS 327.008, as amended by section 3, chapter 91,
Oregon Laws 2012, is amended to read:
  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 327.011
and 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) There shall be apportioned from the State School Fund the
amount to be transferred to the Regional Educational Services
Account as calculated under ORS 327.009.
  (5) 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.
  (6) Numbers of students in average daily membership used in the
distribution formula shall be the numbers as of June of the year
of distribution.
  (7) 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.
  (8) 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.
  (9) 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.
  (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 $350,000 from the State School Fund to provide administration
of and support for the development of talented and gifted
education under ORS 343.404.
  (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.
   { +  (13) Each biennium, the Department of Education may
expend up to $3 million from the State School Fund to assist
school districts in complying with core teaching standards
requirements as described in ORS 342.856. + }
  SECTION 15.  { + ORS 327.033 is repealed. + }
  SECTION 16.  { + This 2013 Act being necessary for the
immediate preservation of the public peace, health and safety, an
emergency is declared to exist, and this 2013 Act takes effect
July 1, 2013. + }
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