2017 ORS 327.013¹
State School Fund distribution computations for school districts

The State School Fund distributions for school districts include the following grants:

(1) General Purpose Grant = Funding Percentage ´ Target Grant ´ 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 ´ {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 (Distributions of State School Fund amounts) 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 (Definitions for chapter), 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 (Definitions for ORS 169.005 to 169.677 and 169.730 to 169.800), or adult regional correctional facilities, as defined in ORS 169.620 (“Regional correctional facility” defined), 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 language learner program under ORS 336.079 (English language learners).

(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 students who are in average daily membership and who are also in poverty families, as determined by the Department of Education based on rules adopted by the State Board of Education that incorporate poverty data published by the United States Census Bureau, student data provided by school districts and other data identified by the board;

(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 (Remote small elementary school and small high school determination) 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 = the total amount received by a school district under ORS 327.348 (High Cost Disabilities Account) 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.

(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. [1991 c.780 §4; 1993 c.61 §5; 1993 c.690 §3; 1995 c.649 §4; 1996 c.19 §2; 1997 c.541 §§367,368,368a; 1997 c.804 §§1,2; 1999 c.186 §11; 1999 c.989 §31; 1999 c.1066 §§25,26,30; 1999 c.1094 §5; 2001 c.670 §§10,12; 2001 c.695 §§15,17,20,23; 2003 c.715 §§8,10,13; 2005 c.803 §7; 2006 c.4 §§2,4; 2007 c.70 §§90,91; 2007 c.778 §§1,3,6; 2009 c.698 §7; 2011 c.684 §8; 2013 c.641 §1; 2015 c.604 §13; 2015 c.644 §7]

Note: Sections 1, 2, 4 to 7 and 9, chapter 109, Oregon Laws 2016, provide:

Sec. 1. Add. Section 2 of this 2016 Act is added to and made a part of ORS 327.006 (Definitions for State School Fund distributions) to 327.133 (Reports by districts). [2016 c.109 §1]

Sec. 2. Post-graduate scholar programs; use of State School Fund moneys. (1) As used in this section, “post-graduate scholar” means a student who:

(a) Has been in grades 9 through 12 for more than a total of four school years; and

(b) Has satisfied the requirements for a high school diploma or a modified diploma as provided in ORS 329.451 (High school diploma).

(2) A school district may establish a program under this section to allow:

(a) A post-graduate scholar who satisfies the requirements of subsection (3) of this section to:

(A) Enroll in courses at a community college that are part of a course of study approved by the school district and that may lead to a certificate or diploma;

(B) Enroll in the courses described in subparagraph (A) of this paragraph for one school year after the post-graduate scholar has satisfied the requirements for a high school diploma or a modified diploma as provided in ORS 329.451 (High school diploma); and

(C) Have the school district pay the costs incurred for the courses described in subparagraph (A) of this paragraph, including tuition, fees and books.

(b) A school district that satisfies the requirements of subsection (4) of this section to receive and expend moneys distributed from the State School Fund under ORS 327.013 (State School Fund distribution computations for school districts) for the purpose of paying the costs described in paragraph (a)(C) of this subsection.

(3) A post-graduate scholar qualifies to participate in a program established under this section if the post-graduate scholar:

(a) Has completed and submitted the Free Application for Federal Student Aid, if eligible to file the application;

(b) Is not eligible for a grant under the Oregon Promise program described in ORS 341.522 (Oregon Promise program) because of failure to earn the minimum cumulative grade point average, or submitted a complete application for a grant under the Oregon Promise program by the established deadline but did not receive a grant;

(c) Is not eligible for a federal aid grant that is equal to or more than the average cost of tuition and fees at a community college, as determined by the Department of Education after consultation with the Director of the Office of Student Access and Completion; and

(d) Retains a legal residence within the boundaries of the school district through which the post-graduate scholar satisfied the requirements for a high school diploma or a modified diploma.

(4) A school district may receive and expend moneys distributed from the State School Fund under ORS 327.013 (State School Fund distribution computations for school districts) for a program established under this section if the school district meets all of the following criteria:

(a) Has a policy for the program that is adopted by the school district board and that describes:

(A) The goals of the program, including target high school graduation rates for underserved students;

(B) Minimum requirements for grade point average, attendance and participation in regular in-person meetings with school district staff to monitor student progress;

(C) The manner by which the results of the program will be measured and monitored; and

(D) The courses of study that are approved by the school district for the purpose of this section.

(b) Enters into a written agreement with the community college that has a service area within which the school district is located.

(c) Has dedicated staff to provide support services to post-graduate scholars, including regular in-person meetings to monitor student progress that occur at least twice each month.

(d) Ensures that a majority of students from the school district who are enrolled in courses at a community college meet at least one of the criteria identified in this paragraph. The student:

(A) Is not a post-graduate scholar;

(B) Has received an extended diploma or a certificate for passing an approved high school equivalency test such as the General Educational Development (GED) test;

(C) Was enrolled in an alternative high school program within the preceding 12 months;

(D) Is, or will be, a first-generation graduate of high school;

(E) Is, or has been, a child in a foster home;

(F) Is, or has been, placed in a facility or an education program by a court;

(G) Is homeless;

(H) Is a parent; or

(I) Was identified as eligible for free or reduced price lunches within the preceding 12 months.

(5) Notwithstanding ORS 327.013 (State School Fund distribution computations for school districts), the weighted average daily membership assigned for each post-graduate scholar shall be adjusted as follows:

(a) By subtracting 0.25 from the average daily membership assigned for each post-graduate scholar participating in the program established under this section; and

(b) Without adding any amounts identified in ORS 327.013 (State School Fund distribution computations for school districts) (1)(c)(A).

(6) For purposes of this section, a school district may not counsel or assist a student to delay receiving a high school diploma or a modified diploma for the purpose of participating in a school-sponsored, post-secondary education program.

(7) Nothing in this section:

(a) Prohibits a school district from receiving or expending moneys related to the education of post-graduate scholars that are not received or expended for purposes of this section, as long as the school district does not receive or expend State School Fund distributions under ORS 327.013 (State School Fund distribution computations for school districts) for those purposes.

(b) Requires a post-graduate scholar to accept or use any federal grant moneys to offset costs of tuition, fees or books incurred by a post-graduate scholar at a community college.

(c) Requires a school district to add or extend existing bus routes or other transportation services for post-graduate scholars. Any transportation costs incurred by a school district to add or extend existing bus routes or other transportation services are not considered approved transportation costs for the purposes of ORS 327.013 (State School Fund distribution computations for school districts). Nothing in this paragraph prohibits post-graduate scholars from using existing bus routes or transportation services provided by the school district.

(8) Notwithstanding subsection (3) of this section, a post-graduate scholar may not accept or use any federal grant moneys to offset costs of tuition, fees or books incurred by a post-graduate scholar at a community college.

(9) A school district may receive or expend moneys distributed from the State School Fund under ORS 327.013 (State School Fund distribution computations for school districts) for post-graduate scholars who enroll in courses at a community college only if the post-graduate scholars are enrolled in the courses as part of a program established under this section. [2016 c.109 §2; 2017 c.66 §32; 2017 c.726 §16]

Sec. 4. Weighted average daily membership for post-graduate scholars. Notwithstanding section 2 (5)(a) of this 2016 Act, the weighted average daily membership assigned for each post-graduate scholar shall be adjusted as follows:

(1) For the 2016-2017 school year, no subtraction shall be made.

(2) For the 2017-2018 school year, by subtracting 0.15. [2016 c.109 §4]

Sec. 5. Department of Education report on post-graduate scholars. No later than November 1, 2018, the Department of Education shall:

(1) Provide a report to the interim legislative committees on education that includes:

(a) The amount of moneys received by school districts from the State School Fund under ORS 327.013 (State School Fund distribution computations for school districts) for post-graduate scholars participating in a program established under section 2 of this 2016 Act.

(b) Subject to data available to the department, the number of post-graduate scholars for whom school districts received moneys from the State School Fund under ORS 327.013 (State School Fund distribution computations for school districts) for each of the preceding school years.

(2) Make recommendations for legislation to establish an equitable, sustainable and appropriate permanent funding mechanism for post-graduate scholar programs. The recommendations must consider:

(a) Input from school districts that have implemented, are implementing or are planning to implement a post-graduate scholar program.

(b) Input from the Higher Education Coordinating Commission.

(c) The amount of moneys received by all school districts from the State School Fund under ORS 327.013 (State School Fund distribution computations for school districts) for post-graduate scholars participating in a program established under section 2 of this 2016 Act.

(d) The appropriate amount, if any, to be calculated for each post-graduate scholar participating in a program established under section 2 of this 2016 Act for purposes of calculating weighted average daily membership for State School Fund distributions under ORS 327.013 (State School Fund distribution computations for school districts).

(e) Consideration of appropriate funding sources that are separate from the State School Fund for post-graduate scholar programs. The consideration must include:

(A) Methods by which funds would be distributed to school districts;

(B) The stability and sustainability of funding sources that would be used to support at-risk students who are not eligible for the Oregon Promise program established under ORS 341.522 (Oregon Promise program) because of failure to earn the minimum cumulative grade point average; and

(C) The estimated cost required to establish and administer alternative funding sources.

(3) Provide a report to each school district that established a program under section 2 of this 2016 Act. The report shall include the following information for the 2016-2017 and 2017-2018 school years:

(a) The number of post-graduate scholars enrolled at the school district who participated in the program;

(b) The number of post-graduate scholars enrolled at the school district who completed a full year in the program; and

(c) The percentage of post-graduate scholars enrolled at the school district who participated in the program and enrolled in a second school year at a post-secondary institution of education after completing the program. [2016 c.109 §5]

Sec. 6. Repeal of report requirement. Section 5 of this 2016 Act is repealed on December 31, 2018. [2016 c.109 §6]

Sec. 7. Higher Education Coordinating Commission report on post-graduate scholars. No later than November 1, 2018, the Higher Education Coordinating Commission shall make a report to the interim legislative committees on education that includes the costs incurred by community colleges and the amounts received by community colleges for post-graduate scholars who participated in a program established under section 2 of this 2016 Act. Community colleges shall cooperate with the commission for the purpose of making the report required by this section. [2016 c.109 §7]

Sec. 9. Repeal of authority related to post-graduate scholar programs. Section 2 of this 2016 Act is repealed on June 30, 2021. [2016 c.109 §9]

Notes of Decisions

Superintendent of Public Instruc­tion may refuse to distribute State School Fund moneys for students attending institu­tion that fails to qualify as public charter school. Coquille School District 8 v. Castillo, 212 Or App 596, 159 P3d 338 (2007)

Law Review Cita­tions

69 OLR 295 (1990)

1 Legislative Counsel Committee, CHAPTER 327—State Financing of Elementary and Secondary Education, https://­www.­oregonlegislature.­gov/­bills_laws/­ors/­ors327.­html (2017) (last ac­cessed Mar. 30, 2018).
 
2 Legislative Counsel Committee, Annotations to the Oregon Revised Stat­utes, Cumulative Supplement - 2017, Chapter 327, https://­www.­oregonlegislature.­gov/­bills_laws/­ors/­ano327.­html (2017) (last ac­cessed Mar. 30, 2018).
 
3 OregonLaws.org assembles these lists by analyzing references between Sections. Each listed item refers back to the current Section in its own text. The result reveals relationships in the code that may not have otherwise been apparent.