COMMITTEE ON LEGISLATIVE RESEARCH

OVERSIGHT DIVISION



FISCAL NOTE



L.R. NO.: 4098-03

BILL NO.: SB 918

SUBJECT: Education, Elementary and Secondary: Reading Assessment

TYPE: Original

DATE: February 10, 2000




FISCAL SUMMARY



ESTIMATED NET EFFECT ON STATE FUNDS
FUND AFFECTED FY 2001 FY 2002 FY 2003
State School Moneys (GREATER THAN $100,000) (GREATER THAN $100,000) (GREATER THAN $100,000)
Total Estimated

Net Effect on All

State Funds

(GREATER THAN $100,000) (GREATER THAN $100,000) (GREATER THAN $100,000)



ESTIMATED NET EFFECT ON FEDERAL FUNDS
FUND AFFECTED FY 2001 FY 2002 FY 2003
Total Estimated

Net Effect on All

Federal Funds

$0 $0 $0



ESTIMATED NET EFFECT ON LOCAL FUNDS
FUND AFFECTED FY 2001 FY 2002 FY 2003
Local Government ($500,000) ($500,000) ($500,000)

Numbers within parentheses: ( ) indicate costs or losses.

This fiscal note contains 4 pages.

FISCAL ANALYSIS

ASSUMPTION



Officials from the Department of Elementary and Secondary Education (DESE) assume there could be some additional state aid going to school districts due to a potential increase in summer school enrollments; however, an amount is not known. On a statewide basis, the amount would likely be in excess of $100,000. This would affect the State School Moneys Fund.



DESE officials assume the proposal would create reading level assessments for public school students beginning in the 3rd grade. Remediation would be required if the pupil is determined to be deficient in reading skills. Additional costs would be incurred for development of a plan, remediation, and assessments that would continue until acceptable reading standards would be achieved. Assuming that districts would bear this cost, the fiscal impact to local districts of this provision would be expected to be in the area of $500,000.



Districts could receive an increase in foundation formula money to offset the summer school reading instruction cost if there would be an increase in summer school participation. DESE officials were unable to determine fiscal impact of the summer school program since some of the students are already enrolled in summer school.



FISCAL IMPACT - State Government FY 2001

(10 Mo.)

FY 2002 FY 2003
STATE SCHOOL MONEYS FUND
Cost-Department of Elementary and Secondary Education (DESE)
State Aid for Summer School (GREATER THAN $100,000) (GREATER THAN $100,000) (GREATER THAN $100,000)
Total Cost-Department of Elementary and Secondary Education (GREATER THAN $100,000) (GREATER THAN $100,000) (GREATER THAN $100,000)













FISCAL IMPACT - Local Government FY 2001

(10 Mo.)

FY 2002 FY 2003
SCHOOL DISTRICTS
Income-School Districts
State Aid For Summer School GREATER THAN $100,000 GREATER THAN $100,000 GREATER THAN

$100,000

Cost-School Districts
Plan Development, Remediation, Assessments ($500,000) ($500,000) ($500,000)
Summer School (GREATER THAN $100,000) (GREATER THAN $100,000) (GREATER THAN

$100,000)

Total Cost-School Districts (GREATER THAN $600,000) (GREATER THAN $600,000) (GREATER THAN

$600,000)

ESTIMATED NET EFFECT ON
SCHOOL DISTRICTS ($500,000) $500,000) $500,000)



FISCAL IMPACT - Small Business



No direct fiscal impact to small businesses would be expected as a result of this proposal.



DESCRIPTION



Methods of reading assessment would be determined by each school district. Each school district would administer a reading assessment to each student within 45 days of the end of each school year. Assessments would be required first to students seeking promotion to the third grade and repeated as necessary through the end of the eighth grade, with the process ending at the end of the ninth grade.



A student scoring proficient on the statewide assessment in communication arts would be considered meeting the reading standard.



Each school district would be required to offer summer school reading instruction to any student with a reading improvement plan. Districts may fulfill the requirement with neighboring districts.



DESCRIPTION (Continued)



This legislation is not federally mandated, would not duplicate any other program and would not require additional capital improvements or rental space.



SOURCES OF INFORMATION



Department of Elementary and Secondary Education





Jeanne Jarrett, CPA

Director

February 10, 2000