Bill Text - SB278 (2019)

Establishing the education administration efficiency fund and making an appropriation therefor.


Revision: Jan. 29, 2019, 11:52 a.m.

SB 278-FN-A - AS INTRODUCED

 

 

2019 SESSION

19-0968

05/10

 

SENATE BILL 278-FN-A

 

AN ACT establishing the education administration efficiency fund and making an appropriation therefor.

 

SPONSORS: Sen. Dietsch, Dist 9; Sen. Fuller Clark, Dist 21; Rep. Tucker, Coos 5

 

COMMITTEE: Education and Workforce Development

 

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ANALYSIS

 

This bill establishes the education administration efficiency fund from which the department of education shall provide grants to school districts to lower administrative costs.  The bill makes an appropriation to the department of education for this purpose.

 

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Explanation: Matter added to current law appears in bold italics.

Matter removed from current law appears [in brackets and struckthrough.]

Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.

19-0968

05/10

 

STATE OF NEW HAMPSHIRE

 

In the Year of Our Lord Two Thousand Nineteen

 

AN ACT establishing the education administration efficiency fund and making an appropriation therefor.

 

Be it Enacted by the Senate and House of Representatives in General Court convened:

 

1  New Section; Education Administration Efficiency Fund Established.  Amend RSA 198 by inserting after section 20-d the following new section:

198:20-e  Education Administration Efficiency Fund.

I.  There is hereby established the education administration efficiency fund.  The nonlapsing fund shall be continually appropriated to and administered by the department of education for the purposes of this section.  The commissioner of the department of education shall use the fund to provide one-time grants to local school districts to reduce administrative costs by at least 10 percent, while retaining equal or improved quality of education and student well-being.  The department of education shall adopt rules under RSA 541-A relative to the grant application procedure and criteria for disbursement of funds.  

II.  On or before November 1, the commissioner of the department of education shall submit an annual report to the governor and the house and senate education committees regarding disbursements from the fund established in paragraph I.  The report shall include a compilation of the administrative costs of New Hampshire school districts and a comparison of New Hampshire's administrative costs to those of other states.  Upon confirmation by the commissioner that New Hampshire school districts have lowered their administrative costs from the highest in the nation to the third quartile, as measured by the United States Census Bureau, the chairperson of the house or senate education committee shall submit legislation to repeal the fund established in this section.

2  New Subparagraph; Application of Receipts; Fund Added.  Amend RSA 6:12, I(b) by inserting after subparagraph (343) the following new subparagraph:

(344)  The education administration efficiency fund, established in RSA 198:20-e.  

3  Appropriation; Department of Education; Education Administration Efficiency Fund.  The sum of $1,000,000 for the biennium ending June 30, 2021, is hereby appropriated to the department of education for deposit in the education administration efficiency fund established in RSA 198:20-e, as inserted by section 1 of this act.  The governor is authorized to draw a warrant for said sum from any moneys in the treasury not otherwise appropriated.

4  Effective Date.  This act shall take effect July 1, 2019.

 

LBAO

19-0968

1/25/19

 

SB 278-FN-A- FISCAL NOTE

AS INTRODUCED

 

AN ACT establishing the education administration efficiency fund and making an appropriation therefor.

 

FISCAL IMPACT:      [ X ] State              [    ] County               [ X ] Local              [    ] None

 

 

 

Estimated Increase / (Decrease)

STATE:

FY 2020

FY 2021

FY 2022

FY 2023

   Appropriation

$1,000,000

$0

$0

$0

   Revenue

$0

$0

$0

$0

   Expenditures

Indeterminable Increase

Indeterminable Increase

Indeterminable Increase

Indeterminable Increase

Funding Source:

  [ X ] General            [    ] Education            [    ] Highway           [ X ] Other - Education Administration Efficiency Fund

 

 

 

 

 

LOCAL:

 

 

 

 

   Revenue

Indeterminable Increase

Indeterminable Increase

Indeterminable Increase

Indeterminable Increase

   Expenditures

$0

$0

$0

$0

 

METHODOLOGY:

This bill establishes the nonlapsing, continually appropriated education administration efficiency fund, for the purpose of providing one-time grants to local school districts for administrative cost saving efforts and administered by the Department of Education.  This bill also provides a $1,000,000 general fund appropriation to the new fund for the biennium ending June 30, 2021.

 

The Department cannot yet estimate how much in requests it may get or disbursements it would make from fund established in this bill.  However, the Department estimates it would incur an estimated $100,000 in costs in the first year for proper development of the program, which may include either a full-time temporary position or contracted services, and administrative costs in subsequent years would likely be less.  It is unclear if the fund itself could be used for Department related administrative costs.  

 

AGENCIES CONTACTED:

Department of Education