Lottery Proceeds - Conference Language & Appropriation (language only)

Item 139 #1c

Language
Page 136, strike lines 17 through 20 and insert:
"2.  Out of this appropriation, $190,928,101 the first year and $188,025,106 the second year shall be used, together with funds appropriated in Item 138, to fund the state's share of Basic Aid Payments as determined in Item 138.C.2.
3.  Out of this appropriation, an amount estimated at $123,471,899 the first year and $122,274,894 the second year shall be disbursed by the Department of Education to local school divisions to support the state share of an estimated $198.80 per pupil the first year and $195.00 per pupil the second year in adjusted average daily membership.  These funds shall be matched by the local government, based on the composite index of local ability-to-pay.  Further, in order to receive this funding, the locality in which the school division is located shall appropriate these funds solely for educational purposes and shall not use such funds to reduce total local operating expenditures for public education below the amount expended by the locality for such purposes in the year upon which the 1998-00 biennial Standards of Quality expenditure data were based; provided however, that no locality shall be required to maintain a per pupil expenditure which is greater than the per pupil amount expended by the locality for such purposes in the year upon which the 1998-00 biennial Standards of Quality expenditure data were based.
4.  Of the amounts listed in 3. above, no more than 50 percent shall be used for recurring costs and at least 50 percent shall be spent on nonrecurring expenditures by the relevant school division.  Nonrecurring costs shall include school construction, additions, infrastructure, site acquisition, renovations, technology, and other expenditures related to modernizing classroom equipment, and debt service payments on school projects completed during the last 10 years.
5.  Any funds provided to school divisions in the first year from this item that are unexpended as of June 30, 1999, shall be carried on the books of the locality to be appropriated to the school division in the second year.
6.  In order to ensure that the distribution for each shool division during the 1998-2000 biennium in this item is not less than the distribution of net lottery profits that the school divisions would have received pursuant to House Bill 1450 and Senate Bill 800 (1999) as introduced, an additional $14,943,258 the first year and $14,844,685 the second year is provided from the general fund in Item 138.C.7.d."


Page 136, strike lines 21 through 23.

Explanation
(This amendment distributes 100 percent of lottery proceeds to public education. Amounts estimated at $190,928,101 the first year and $188,025,106 the second year from lottery proceeds are provided in Item 138.C.2 to fund a portion of the state share of Basic Aid Payments. Amounts estimated at $123,471,899 the first year and $122,274,894 the second year from lottery proceeds are distributed directly to local school divisions to provide the state share of $198.80 per pupil the first year and $195.00 per pupil the second year. These funds are distributed using the composite index of local ability-to-pay and average daily membership. A local match to this funding is required based on the composite index. The amendment allows localities to carry over first year funds for use in the second year. In addition, the conditions on the use of these funds and the local maintenance of effort are set forth. In order to ensure that the distribution for each shool division during the 1998-2000 biennium in this item is not less than the distribution of net lottery profits that the school divisions would have received pursuant to House Bill 1450 and Senate Bill 800 (1999) as introduced, an additional $14,943,258 the first year and $14,844,685 the second year is provided from the general fund in Item 138.C.7.d.)