SOUTH DAKOTA LEGISLATIVE RESEARCH COUNCIL

FISCAL NOTE, 2003 LEGISLATIVE SESSION


FISCAL NOTE 2003-SB39A

SB 39 revise the assessments required in certain schools, the grades to be assessed, and to declare an emergency.

Senate Engrossed Bill No. 39 is titled “An Act to revise the assessments required in certain schools, the grades to be assessed, and to declare an emergency.” It's part of the Department of Education's efforts to maintain South Dakota in compliance with the federal No Child Left Behind (NCLB) legislation enacted by Congress last year.

Current South Dakota law requires the Department to conduct statewide, standardized tests for certain grades. The same national, norm-referenced tests are administered to grades 2, 4, 8, and 11 in every school district. Plus, tests are administered to grades 5 and 9 to assess writing skills. Finally, current law requires a criterion-referenced test to be administered twice a year to grades 3, 6, and 10. The test instruments are selected by the Department of Education and Cultural Affairs and all schools run the same test according to timelines promulgated in rule by the Department.

Senate Bill 39 in its current form mandates that all public schools shall annually administer the same test, as provided by the Department, for grades 3 to 8, inclusive, and grade 11, to test academic progress of each student, pursuant to NCLB. The bill repeals the requirement to administer the twice-yearly test of students in grades 3, 6, and 10. This on-line test did not meet federal requirements nor was it well received among all districts, particularly the larger districts.

Senate Bill 39 also mandates that alternative education (e.g. home-school) students in grades 2, 4, 8, and 11 must take a nationally standardized achievement test of the basic skills. The test may be the same one provided by the state and used in the public school district where the child is instructed or another nationally standardized test chosen by and provided at the expense of the child's parent, guardian, or alternative school. The test may be monitored by the local school district where the child is instructed.

In consultation with the Department of Education, it is estimated that Senate Bill 39 would have the following impact on the state's finances, funding authority for which is contained in the General Appropriation Bill:




Department of Education
 
General
Fund  
Federal
Funds  
Other
Funds  

Total
 

FTE
 
           
Revenue (NCLB):   $0   $3,600,000   $0   $3,600,000   0.0  
           
Expenses:
Test construction Administration to 80,000 students
Reporting
Alignment & validity studies  

$0
$0

$0
$0  


$1,500,000
$800,000

$400,000
$100,000  


$0
$0

$0
$0  


$1,500,000
$800,000

$400,000
$100,000  


0.0
0.0

0.0
0.0  

Total Expenses   $0   $2,800,000   $0   $2,800,000   0.0  

South Dakota is to receive $3.6 million from federal funds during state FY2004 for statewide assessment due to the No Child Left Behind legislation. Plus, there is already $1.55 million from the state general fund budgeted for testing that will remain to pay for the writing assessment mentioned above.

If Senate Bill 39 fails, according to the Education Department, South Dakota would not be in compliance with NCLB and therefore could lose up to $195 million in federal education funding.

APPROVED BY:_______________________________________ DATE:____________