Senate Education Minutes 02/10/2005 7:45 AM

80^th Legislative Session _ 2005

Committee: Senate Education

Thursday, February 10, 2005

                                            P - Present
                                            E - Excused
                                            A - Absent

Roll Call
P    Duenwald
P    Knudson
P    Kooistra
P    Nesselhuf
P    Peterson (Jim)
P    Bogue, Vice-Chair
P    Olson (Ed), Chair

OTHERS PRESENT: See Original Minutes

The meeting was called to order by Senator Ed Olson, Chair

MOTION:     TO APPROVE THE MINUTES OF TUESDAY, FEBRUARY 8, 2005

Moved by:    Kooistra
Second by:    Knudson
Action:    Prevailed by voice vote.

MOTION:     RECONSIDER SB 102

Moved by:    Duenwald
Second by:    Kooistra
Action:    Prevailed by voice vote.

         SB 102: appropriate money for secondary career and technical education.

MOTION: AMEND SB 102

On the printed bill, delete everything after the enacting clause and insert:

"
Section 1. That § 13-16-6 be amended to read as follows:

13-16-6. The capital outlay fund of the school district is a fund provided by law to meet expenditures which result in the acquisition or lease of or additions to real property, plant, or equipment. Such an expenditure shall be for land, existing facilities, improvement of grounds, construction of facilities, additions to facilities, remodeling of facilities, or for the purchase or lease of equipment. It may also be used for installment or lease-purchase payments for the purchase of real property, plant, or equipment, which have a contracted terminal date not exceeding twenty years from the date of the installment contract or lease-purchase and for the payment of the principal of and interest on capital outlay certificates issued pursuant to § 13-16-6.2.

Any purchase of one thousand dollars or less may be paid out of the general fund. The total accumulated unpaid principal balances of such installment contracts and lease-purchase and the outstanding principal amounts of such capital outlay certificates may not exceed three percent of the taxable valuation. The school district shall provide a sufficient levy each year under the provisions of § 13-16-7 to meet the annual installment contract, lease-purchase, and capital outlay certificate payments, including interest.

A school district which contracts its student transportation may expend from the capital outlay fund an amount not to exceed ~~fifteen~~ thirty percent of the contract amount.

The capital outlay fund may be used to purchase textbooks and instructional software.

The capital outlay fund may be used to purchase warranties on capital assets if the warranties do not include supplies."

Moved by:    Duenwald
Second by:    Nesselhuf
Action:    Prevailed by roll call vote.(7-0-0-0)

Voting Yes:    Duenwald, Knudson, Kooistra, Nesselhuf, Peterson (Jim), Bogue, Olson (Ed)

MOTION:     TO AMEND TITLE OF SB 102

On page 1, line 1 of the printed bill, delete everything after " to " and insert "increase the percentage of contracted transportation costs that a school district may expend from the capital outlay fund.".

On page 1 , delete line 2 .

Moved by:    Nesselhuf
Second by:    Kooistra
Action:    Prevailed by voice vote.

The Chair deferred SB 102 until Tuesday, February 15, 2005.

         SB 156: encumber moneys appropriated as state aid to general education.

Presented by:    Tamara Darnall, Bureau of Finance and Management

MOTION:     DO PASS SB 156

Moved by:    Kooistra
Second by:    Knudson
Action:    Was not acted on.

MOTION:     SUBSTITUTE MOTION DEFER SB 156 TO THE 41^ST LEGISLATIVE DAY

Moved by:    Bogue
Second by:    Nesselhuf
Action:    Failed by roll call vote.(3-4-0-0)

Voting Yes:    Duenwald, Nesselhuf, Bogue

Voting No:    Knudson, Kooistra, Peterson (Jim), Olson (Ed)

MOTION:     DO PASS SB 156

Moved by:    Kooistra
Second by:    Knudson
Action:    Was not acted on.

MOTION:     SUBSTITUTE MOTION DEFER SB 156 UNTIL TUESDAY, FEBRUARY 15, 2005

Moved by:    Bogue
Second by:    Duenwald
Action:    Prevailed by voice vote.

         SB 140: revise the index factor in the state aid to education formula.

Proponents:    Jim Hutmacher, SD Coalition of Schools

MOTION:     DEFER SB 140 UNTIL TUESDAY, FEBRUARY 15, 2005

Moved by:    Nesselhuf
Second by:    Peterson (Jim)
Action:    Failed by roll call vote.(3-4-0-0)

Voting Yes:    Kooistra, Nesselhuf, Peterson (Jim)

Voting No:    Duenwald, Knudson, Bogue, Olson (Ed)

The Chair deferred SB 140 until later in the meeting.

         SB 184: make an appropriation to the Department of Education to assist certain school districts with capital improvement needs.

Presented by:    Senator Eric Bogue
Opponents:    Dianna Miller, ESD + 6
        Jim Hutmacher, SD Coalition of Schools

MOTION:     AMEND SB 184

On the printed bill, delete everything after the enacting clause and insert:

"
Section 1. There is hereby created within the Department of Education a program to provide state aid to school districts with critical need for capital construction.

Section 2. As used in this Act, a school district with critical need for capital construction is one which:

(1) Has an average daily membership as defined in subdivision 13-13-10.1(1) per square mile of 0.6 or less;

(2) Has a geographical area of more than five hundred square miles;

(3) Has an emergency need, be it through catastrophe or condemnation by the state fire marshal or designee for structural concerns, for replacement of an academic building; and

(4) Levies ad valorem taxes at or exceeding the levels prescribed in § 10-12-42 and still does not have the ability to raise local effort sufficient enough to build or acquire adequate, permanent classroom building space needed to replace lost space or buildings.

Section 3. Upon receipt of a school district's application for aid pursuant to this Act, the secretary of the department shall evaluate the district's request and plan for permanent construction. State aid for critical capital construction will be calculated by the secretary as the difference between the cost of the approved construction project and the district's local effort ability for capital construction.

Section 4. The entitlement provided by sections 1 to 3, inclusive, of this Act, shall be paid by the Department of Education out of any money appropriated by the Legislature for the purposes of this Act.

Section 5. The secretary of the Department of Education shall promulgate rules, pursuant to chapter 1-26, to establish criteria for: approval of proposed replacement buildings; calculation of local construction effort; notification and acceptance of requests for aid; and review of projects upon completion."

Moved by:    Duenwald
Second by:    Knudson
Action:    Prevailed by voice vote.

MOTION:     AMEND THE AMENDMENT

On the previously adopted amendment (184za), section 2, delete subdivision (4) and insert:

(4) Levies taxes at the maximum levels prescribed in § 13-16-7 and still does not have the ability to raise local effort sufficient enough to build or acquire adequate, permanent classroom building space needed to replace lost space or buildings.

Moved by:    Bogue
Second by:    Duenwald
Action:    Prevailed by voice vote.

        Rick Melmer, Department of Education, informed the committee how other states
        were handling this matter.

MOTION:     DO PASS SB 184 AS AMENDED

Moved by:    Bogue
Second by:    Duenwald

Action:    Prevailed by roll call vote.(4-3-0-0)

Voting Yes:    Duenwald, Nesselhuf, Bogue, Olson (Ed)

Voting No:    Knudson, Kooistra, Peterson (Jim)

MOTION:     TO AMEND TITLE OF SB 184

On page 1, line 1 of the printed bill, delete " make an appropriation to " and insert "establish a program in".

Moved by:    Bogue
Second by:    Duenwald
Action:    Prevailed by voice vote.

         SB 140: revise the index factor in the state aid to education formula.

Presented by:    Senator Garry Moore
Proponents:    Jim Hutmacher, SD Coalition of Schools (Document #1 and #2)
        Larry Nelson, Middle Sized Schools Organization
Opponents:    Stacy Krusemark, Department of Education

MOTION:     DO PASS SB 140

Moved by:    Kooistra
Second by:    Nesselhuf
Action:    Was not acted on.

MOTION:     SUBSTITUTE MOTION DEFER SB 140 TO THE 41^ST LEGISLATIVE DAY

Moved by:    Bogue
Second by:    Knudson
Action:    Prevailed by roll call vote.(4-3-0-0)

Voting Yes:    Duenwald, Knudson, Bogue, Olson (Ed)

Voting No:    Kooistra, Nesselhuf, Peterson (Jim)

The Chair deferred SB 157 until Tuesday, February 15, 2005.

         SB 170: revise the index factor for determining the per student allocation for school districts.

Presented by:    Senator Lee Schoenbeck (Document #3 and #4)
Proponents:    Jim Hutmacher, SD Coalition of Schools
        Dick Tieszen, Associated School Boards of SD
        Sheryl Kirkeby, Rapid City School Board
        Dianna Miller, ESD + 6
Opponents:    Stacy Krusemark, Department of Education

MOTION:     DO PASS SB 170

Moved by:    Bogue
Second by:    Kooistra
Action:    Prevailed by roll call vote.(6-1-0-0)

Voting Yes:    Duenwald, Kooistra, Nesselhuf, Peterson (Jim), Bogue, Olson (Ed)

Voting No:    Knudson

         SB 161: make an appropriation to the state library to support information literacy skills.

Presented by:    Senator Julie Bartling
Proponents:    Ann Smith, SD Library Association (Document #5)
        Donna DeKraai, SDEA
Opponents:    Rick Melmer, Department of Education
        Dianna Miller, ESD + 6

MOTION:     DEFER SB 161 TO THE 41^ST LEGISLATIVE DAY

Moved by:    Bogue
Second by:    Knudson
Action:    Was not acted on.

MOTION:     SUBSTITUTE MOTION REFER TO Appropriations

Moved by:    Nesselhuf
Second by:    Peterson (Jim)
Action:    Failed by roll call vote.(2-5-0-0)

Voting Yes:    Nesselhuf, Peterson (Jim)

Voting No:    Duenwald, Knudson, Kooistra, Bogue, Olson (Ed)

MOTION:     DEFER SB 161 TO THE 41^ST LEGISLATIVE DAY

Moved by:    Bogue
Second by:    Knudson
Action:    Prevailed by roll call vote.(6-1-0-0)

Voting Yes:    Duenwald, Knudson, Kooistra, Peterson (Jim), Bogue, Olson (Ed)

Voting No:    Nesselhuf

The Chair deferred SB 202 until Tuesday, February 15, 2005.

MOTION:     ADJOURN

Moved by:    Kooistra
Second by:    Nesselhuf
Action:    Prevailed by voice vote.

Nancy Benson

____________________________

Committee Secretary

Ed Olson, Chair

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