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ARIZONA STATE SENATE
Fifty-Fifth Legislature, First Regular Session
AMENDED
college
course credit; dual enrollment.
(NOW: community college; expenditure limitation)
Purpose
Increases the prescribed weight for career and technical education (CTE) courses for determining expenditure limitations. Allows community college districts exceeding expenditure limitations to receive state aid in FYs 2021 through 2023.
Background
Article IX, Section 21 of the Arizona Constitution establishes the expenditure limitation for each community college district to the FY 1980 spending level adjusted for inflation and enrollment. The Economic Estimates Commission (Commission), before April 1 of each year, must determine the expenditure limit for each community college district for the following fiscal year (Ariz. Const. art. 9 § 21).
A community college district's expenditure limitation is based upon the number of reported full-time equivalent (FTE) students and is calculated by determining: 1) the total of basic actual, additional short-term and open entry, open exit and skill center FTE students at a community college district; 2) the number of FTE students enrolled in approved career and technical education (CTE) courses; and 3) multiplying the number of FTE students enrolled in CTE courses by 0.3. The sum is the FTE student enrollment for determining a community college district's expenditure limitation (A.R.S. § 15-1466.01).
Statute allows a community college district to submit estimates of FTE student enrollment to the Commission, including: 1) the most recently audited FTE student enrollment count; or 2) the average of the five most recently audited FTE student enrollment counts (A.R.S. § 15-1466.01).
Each fiscal year, subject to legislative appropriation, the Legislature determines the amount of state aid to each qualified community college district adjusted for an increase or decrease in FTE student count as prescribed (A.R.S. § 15-1466).
There is no anticipated fiscal impact to the state General Fund associated with this legislation.
Provisions
1. Increases, from 0.3 to 1.0, the prescribed weight for FTE students enrolled in approved CTE courses, for the purposes of calculating a district's expenditure limitation.
2. Includes in the estimates of FTE student enrollment, the average of the 10 most recently audited FTE student enrollment counts, that a community college district can submit to the Commission.
3. Deems, retroactive to July 1, 2020, a community college district exceeding its prescribed expenditure limitation in FYs 2021 through 2023:
a) state aid will not be withheld; and
b) is subject to a $100 penalty.
4. Makes technical and conforming changes.
5. Becomes effective on the general effective date, with a retroactive provision as noted.
Amendments Adopted by Committee
· Adopted the strike-everything amendment.
Senate Action
ED 2/9/21 DPA/SE 6-2-0
Prepared by Senate Research
February 23, 2021
JO/gs