 |
ARIZONA STATE SENATE
Fifty-Fifth Legislature, First Regular Session
AMENDED
voter registration groups; forms; identifiers
(NOW: forms; identifiers; voter registration groups)
(NOW: expenditure limitation; community colleges)
|
ARIZONA STATE SENATE
Fifty-Fifth Legislature, First Regular Session
AMENDED
voter registration groups; forms; identifiers
(NOW: forms; identifiers; voter registration groups)
(NOW: expenditure limitation; community colleges)
Purpose
Limits community college districts (districts) that exceed expenditure limitations from receiving state aid in FY 2022 as outlined.
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, 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).
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. Deems, retroactive to July 1, 2020, a district exceeding its prescribed expenditure limitation in FY 2022 will have state aid withheld in the following amounts:
a) $5,000 if the excess expenditures are less than 5 percent of the limitation;
b) $15,000 if the excess expenditures are at least 5 percent, but less than 10 percent of the limitation;
c) $20,000 if the excess expenditures are at least 10 percent, but less than 12 percent of the limitation; or
d) calculated according to the current statutory withholding, if the excess expenditures are at least 12 percent or more of the limitation.
2. Becomes effective on the general effective date, with a retroactive provision as noted.
Amendments Adopted by the Appropriations Committee
ˇ Adopted the strike-everything amendment.
Amendments Adopted by Committee of the Whole
1. Limits, to FY 2022, the outlined penalties for a district that exceeds its expenditure limitation and the amounts of state aid to be withheld.
2. Removes the $100 penalty for a district that exceeds its expenditure limitation.
3. Makes conforming changes.
Senate Action
GOV 3/24/21 W/D
APPROP 3/31/21 DPA/SE 8-2-0
Prepared by Senate Research
May 26, 2021
JO/gs