HB 784

Bill Subjects

Boards And Commissions Bonds, Public Cities County Clerks Education, Elementary And Secondary Education, Finance Education, Vocational Elections And Voting Local Mandate Property Public Buildings And Grounds Redistricting State Agencies Taxation

Abstract

Create new sections of KRS Chapter 160 to establish definitions; establish a petition process for citizens of a qualifying city to place the question of creating a new independent district and local board of education within the boundaries of the city; establish the requirements for the question and the board of education provisional election; establish the initial terms of office for the interim board of education and subsequent terms; establish the transition of authorities from the originating school district board of education to the boards of both the altered originating school district and the new independent school district; require the Kentucky Department of Education to calculate assets and liabilities of the originating school district for division to the altered originating school district and the new independent school district; authorize the altered originating district to maintain control and use of assets until the scheduled transfer to the new independent district and authorize the continued payments of debts; establish a negotiation process between the altered originating district and the new independent district to resolve the division of the originating district's assets and liabilities; establish a deadline for the negotiation to conclude with an agreement; provide a process for resolution of disagreements; establish a penalty to the districts for unresolved disputes that continue past the deadline; establish a deadline for the transfer of all assets and debts; authorize the altered originating district to continue to assess and collect taxes for both districts until the close of the tax year in which the new independent district is fully operational; provide for the distribution of collected taxes during the transition period; require the mayor of the city to call the newly elected interim board of new independent district to meet; establish the agenda for the first meeting of the new interim board; allow the interim board to request assistance from the Kentucky Department of Education and require the commissioner of education to provide assistance; establish the transition process for the new independent district to become fully functional, including budgets and financial transfers during the transition; allow for the new independent district to request a waiver of the transition timeline from the commissioner of education; allow the interim board to submit a waiver request for a statute or administrative regulation to the Kentucky Board of Education, and establish the limits of any waiver; authorize the interim board to enter into service contracts with another school district during the transition; establish a process for the interim board to vote to terminate the establishment of the new independent district due to financial unviability during the transition; establish the transition from an interim board to a fully functional board of the new independent district; require the continued collection of taxes tied to the payment of debt or interest until the debt or interest is retired; waive the requirement for school based decision making for the first year of operations of the new independent district; require the interim board of the new independent district to develop, adopt, and maintain a transition plan and establish the requirements of the plan; create a new section of KRS Chapter 157 to establish a projection model for the first year of full operations of the new independent district and the altered originating district.