HCS SB 543 -- TRANSFERS OF SCHOOL DISTRICT FUNDS

SPONSOR:  Foster (Britt)

COMMITTEE ACTION:  Voted "do pass by consent" by the Committee
on Education-Elementary and Secondary by a vote of 23 to 0.

This substitute permits Campbell School District to make
transfers of windfall moneys that have accumulated in the
incidental fund to the capital projects fund in excess of the
amount permitted by statute until June 30, 2003, under certain
conditions.  The substitute also revises the method of
calculating and the conditions for expenditures from the
incidental fund and transfers from the incidental fund to the
capital projects fund for districts by eliminating the current 6
and 18 cent transfers and substituting formulas based on the
greater of a specified percentage of the guaranteed tax base or
a percentage of the district's entitlement.  Conditions under
which a balance may be built with transfers include the adoption
of a resolution of the district school board that details the
projects, timetables, and adherence to teacher salary compliance.

FISCAL NOTE:  No impact on state funds.

PROPONENTS:  Supporters say that because of the construction of
a power plant, the Campbell district's assessed valuation
increased dramatically, so that a windfall is currently placed
in an operational fund and cannot be used for capital purposes.

Testifying for the bill were Senator Foster; School
Administrators' Coalition; Missouri State Teachers' Association;
and Missouri School Boards Association.

OPPONENTS:  There was no opposition voiced to the committee.

Becky DeNeve, Senior Legislative Analyst

Missouri House of Representatives
Last Updated November 26, 2001 at 11:48 am