From: Pratt Stiglitz, Shannon - KSBA [shannon.stiglitz@ksba.org]

Sent: Monday, June 07, 2010 9:52 AM

To: Pratt Stiglitz, Shannon - KSBA

Subject: KSBA Final Budget Correction

Importance: High

Please notice correction on Per Pupil SEEK BASE for FY 2010-2011 is $3,868 NOT $3,686. Please for forgive the mistake.

Final Budget FY 2010-2011 and FY 2011-2012:

Important Line Items

Line Item	Current Funding Level	FY 2010-2011	FY 2011-2012
Per -Pupil SEEK Base	$3,866	$3,868	$3,903
SEEK	$2,993,536,100	$2,908,016,700	$2,894,186,800
Learning Services and Results	1,609,029,900	$1,909,065,	$1,730,120,900
ESS	$13,228,700	$12,771,700	$12,643,900
FRYSCs	$57,145,000	$54,599,200	$54,053,200
Preschool	$75,127,000	$72,531,600	$71,806,300
Professional Development	$6,242,700	$6,027,000	$5,966,700
Safe Schools	$4,709,300	$4,546,600	$4,501,100
Gifted and Talented	$7,121,500	$6,875,400	$6,806,700
Highly Skilled Educators	$5,649,800	$5,189,600	$0
Transportation	$214,752,800	$214,752,800	$214,752,800

Budget Language Provisions:

Program Flexibility: Local districts have flexibility in distribution of program funds for Professional Development, Extended School Services, Textbooks and Safe Schools.

Allocations to School-Based Decision Making Councils: Notwithstanding KRS 160.345(8) for fiscal years 2010-2011 and 2011-2012, a local board of education may reduce the allocations to individual schools within the district. The allocation shall not be less than $100 per pupil in average daily attendance.

Use of Local District Capital Funds: A local board of education may submit a request to the Commissioner of Education to utilize any capital funds, regardless of the source, for general operating expenses in fiscal years 2010-2011 and 2011-2012 without forfeiting the district’s eligibility to participate in the School Facilities Construction Commission Program.

Local District Carry Forward: Unexpended funds totaling $7,780,800 shall lapse to the General Fund at the end of fiscal year 2009-2010.

Allocation of SEEK: If funds appropriated to the SEEK Program do not cover the amount of money required under KRS 157.310 to 157.440, allotments to local school districts may be reduced in accordance with KRS 157.430.

Publishing Requirements: A school district may publish its annual financial statement and school report card in the newspaper of largest general circulation in the county, electronically on the Internet, or by printed copy at a prearranged site at the main branch of the public library within the school district. If the publication is on the Internet or printed copy at the public library, the superintendent shall publish notification in the newspaper of the largest circulation in the county as to the location of the documents.

Dual-Course Credit: Notwithstanding any statute to the contrary, the Commissioner of Education may approve a local plan that grants high school and college credit; that allows students to fulfill high school graduation requirements and compulsory school attendance; that provides rigorous academic curriculum within a supportive and nurturing environment for underserved students; and that encourages academic success by linking students, teachers and community partners in innovative ways. This plan must be established by a local school board and a Southern Association of Colleges and Schools-accredited postsecondary education institution.

Health Insurance: The budget prescribes a specific base benefit plan for all public employees, including teachers. Employees may choose a higher benefit plan, but they will pay a monthly premium for the higher benefits. Governor Beshear vetoed this section

Instructional Days: The school term for fiscal years 2010-2011 and 2011-2012 shall include the equivalent of 177 six-hour instructional days. Included in the above General Fund appropriation are sufficient funds for 176 six-hour instructional days.

Facility funding:

FSPK: FY 2010-2011, $76,922,100

FY 2011-2012, $73,515,300

Growth levy: FY 2010-2011, $14,442,700

FY 2011-2012, $13,291,300

Retroactive Equalized Facility Funding: FY 2010-2011, $8,176,300

FY 2011-2012, $8,203,400

Equalized Facility Funding: FY 2010-2011, $6,448,200

FY 2011-2012, $6,166,400

Equalization Funding for Category 5 Schools:

FY 2011-2012, $5,958,300. This money is appropriated to provide equalization funding for school districts that (a) have school facilities classified as Category 5 by the Kentucky Department of Education and (b) levy an additional 5 cents equivalent tax rate for debt service, new construction and major renovation. Local school districts that already have levied the second nickel do not need to levy an additional nickel to be eligible for equalization. If the tax levy and the equalization funding are not sufficient to construct a new school, the state shall provide additional funds necessary for the project. The local board of education shall have the option of levying this additional 5 cents equivalent tax rate without being subject to recall, or the board may choose to initiate a referendum by contacting the county board of elections.

School Construction Study: A General Fund appropriation of $2,500,000 has been set aside in fiscal year 2010-2011 for the Kentucky Department of Education to select a third-party evaluator to conduct a comprehensive review of classification of primary and secondary school buildings in the Commonwealth. These funds shall be used for the procurement and actual services of the consultant.