53F-8 - Local Funding
Title 53F > 53F-8
Sections (10)
General Provisions
53F-8-101 - Title.
This chapter is known as “Local Funding.”
53F-8-102 - Definitions.
General Tax Provisions
53F-8-201 - Annual certification of tax rate proposed by local school board — Inclusion of school district budget — Modified filing date.
53F-8-201(1) Prior to June 22 of each year, each local school board shall certify to the county legislative body in which the district is located, on forms prescribed by the State Tax Commission, the proposed tax rate approved by the local school board. 53F-8-201(2) A copy of the district’s budget, including items under Section 53G-7-302, and a certified copy of the local school board’s resolution which approved the budget and set the tax rate for the subsequent school year beginning July 1 shall accompany the tax rate. 53F-8-201(3) If the tax rate approved by the local school board is in excess of the certified tax rate, as defined in Section 59-2-924, the date for filing the tax rate and budget adopted by the local school board shall be that established under Section 59-2-919.
53F-8-202 - Levy of tax — Collection and deposit.
53F-8-202(1) After the valuation of property has been extended on the assessment rolls, the county legislative body shall levy a tax on the taxable property in the respective school districts at the rate submitted by each local school board under Section 53F-8-201. 53F-8-202(2) These taxes shall be collected by the county officers in the same manner as other taxes are collected. 53F-8-202(3) The county treasurer shall pay the tax revenues to the respective district’s business administrator who shall hold the tax revenue subject to the order of the local school board.
53F-8-203 - Payment out of tax money by county treasurer.
53F-8-203(1) Each county treasurer shall pay the appropriate proportionate share of delinquent taxes, together with interest and costs on all tax sales, to each affected school district. 53F-8-203(2) The treasurer shall make payment as quickly as possible after collection or realization.
Local Levies
53F-8-301 - State-supported voted local levy authorized — Election requirements — Reconsideration of the program.
53F-8-301(1) The terms defined in Section 53F-2-102 apply to this section. 53F-8-301(2) An election to consider adoption or modification of a voted local levy is required if initiative petitions signed by 10% of the number of electors who voted at the last preceding general election are presented to the local school board or by action of the local school board. 53F-8-301(3) To impose a voted local levy, a majority of the electors of a school district voting at an election in the manner set forth in Subsections (8) and (9) must vote in favor of a special tax. The tax rate may not exceed .002 per dollar of taxable value. Except as provided in Subsection (3)(c), in order to receive state support in accordance with Section 53F-2-601 the first year, a school district shall receive voter approval no later than December 1 of the year prior to implementation. Beginning on or after January 1, 2012, a school district may receive state support in accordance with Section 53F-2-601 without complying with the requirements of Subsection (3)(b) if the local school board imposed a tax in accordance with this section during the taxable year beginning on January 1, 2011 and ending on December 31, 2011. 53F-8-301(4) An election to modify an existing voted local levy is not a reconsideration of the existing authority unless the proposition submitted to the electors expressly so states. A majority vote opposing a modification does not deprive the local school board of authority to continue the levy. If adoption of a voted local levy is contingent upon an offset reducing other local school board levies, the local school board shall allow the electors, in an election, to consider modifying or discontinuing the imposition of the levy prior to a subsequent increase in other levies that would increase the total local school board levy. Nothing contained in this section terminates, without an election, the authority of a local school board to continue imposing an existing voted local levy previously authorized by the voters as a voted leeway program. 53F-8-301(5) Notwithstanding Section 59-2-919, a local school board may budget an increased amount of ad valorem property tax revenue derived from a voted local levy imposed under this section in addition to revenue from eligible new growth as defined in Section 59-2-924, without having to comply with the notice requirements of Section 59-2-919, if:
the voted local levy is approved: in accordance with Subsections (8) and (9) on or after January 1, 2003; and within the four-year period immediately preceding the year in which the local school board seeks to budget an increased amount of ad valorem property tax revenue derived from the voted local levy; and for a voted local levy approved or modified in accordance with this section on or after January 1, 2009, the local school board complies with the requirements of Subsection (7). 53F-8-301(6) Notwithstanding Section 59-2-919, a local school board may levy a tax rate under this section that exceeds the certified tax rate without having to comply with the notice requirements of Section 59-2-919 if:
the levy exceeds the certified tax rate as the result of a local school board budgeting an increased amount of ad valorem property tax revenue derived from a voted local levy imposed under this section; the voted local levy was approved: in accordance with Subsections (8) and (9) on or after January 1, 2003; and within the four-year period immediately preceding the year in which the local school board seeks to budget an increased amount of ad valorem property tax revenue derived from the voted local levy; and for a voted local levy approved or modified in accordance with this section on or after January 1, 2009, the local school board complies with requirements of Subsection (7). 53F-8-301(7) For purposes of Subsection (5)(b) or (6)(c), the proposition submitted to the electors regarding the adoption or modification of a voted local levy shall contain the following statement:“A vote in favor of this tax means that the local school board of [name of the school district] may increase revenue from this property tax without advertising the increase for the next five years.” 53F-8-301(8) Before a local school board may impose a property tax levy pursuant to this section, a local school board shall submit an opinion question to the school district’s registered voters voting on the imposition of the tax rate so that each registered voter has the opportunity to express the registered voter’s opinion on whether the tax rate should be imposed. The election required by this Subsection (8) shall be held: at a regular general election conducted in accordance with the procedures and requirements of Title 20A, Election Code, governing regular elections; at a municipal general election conducted in accordance with the procedures and requirements of Section 20A-1-202; or at a local special election conducted in accordance with the procedures and requirements of Section 20A-1-203. Notwithstanding the requirements of Subsections (8)(a) and (b), beginning on or after January 1, 2012, a local school board may levy a tax rate in accordance with this section without complying with the requirements of Subsections (8)(a) and (b) if the local school board imposed a tax in accordance with this section at any time during the taxable year beginning on January 1, 2011, and ending on December 31, 2011. 53F-8-301(9) If a local school board determines that a majority of the school district’s registered voters voting on the imposition of the tax rate have voted in favor of the imposition of the tax rate in accordance with Subsection (8), the local school board may impose the tax rate.
53F-8-302 - Board local levy.
53F-8-302(1) The terms defined in Section 53F-2-102 apply to this section. 53F-8-302(2) Subject to the other requirements of this section, a local school board may levy a tax to fund the school district’s general fund. 53F-8-302(3) For purposes of this Subsection (3), “combined rate” means the sum of: the rate imposed by a local school board under Subsection (2); and the charter school levy rate, described in Section 53F-2-703, for the local school board’s school district. Beginning on January 1, 2018, a school district’s combined rate may not exceed .0025 per dollar of taxable value in any calendar year. 53F-8-302(4) In addition to the revenue a school district collects from the imposition of a levy pursuant to this section, the state shall contribute an amount as described in Section 53F-2-601. 53F-8-302(5) For a calendar year beginning on or after January 1, 2017, the State Tax Commission shall adjust a board local levy rate imposed by a local school board under this section by the amount necessary to offset the change in revenues from the charter school levy imposed under Section 53F-2-703. A local school board is not required to comply with the notice and public hearing requirements of Section 59-2-919 for an offset described in Subsection (5)(a) to the change in revenues from the charter school levy imposed under Section 53F-2-703. So long as the charter school levy rate does not exceed 25% of the charter school levy per district revenues, a local school board may not increase a board local levy rate under this section if the purpose of increasing the board local levy rate is to capture the revenues assigned to the charter school levy through the adjustment in a board local levy rate under Subsection (5)(a). Before a local school board takes action to increase a board local levy rate under this section, the local school board shall: prepare a written statement that attests that the local school board is in compliance with Subsection (5)(c); read the statement described in Subsection (5)(d)(i) during a local school board public meeting where the local school board discusses increasing the board local levy rate; and send a copy of the statement described in Subsection (5)(d)(i) to the State Tax Commission.
53F-8-303 - Capital local levy.
53F-8-303(1) As used in this section:
“Cost of the basic program” means the cost of the programs described in Title 53F, Chapter 2, Part 3, Basic Program (Weighted Pupil Units) in a school district. “Low-revenue year” means a fiscal year for which the Legislature appropriates ongoing funding from the Public Education Economic Stabilization Restricted Account under Subsection 53F-9-204(3)(b). 53F-8-303(2) Subject to the other requirements of this section, a local school board may levy a tax to fund the school district’s:
capital projects; technology programs or projects; or subject to Subsection (4), operational expenses for a low-revenue year. 53F-8-303(3) A tax rate imposed by a school district pursuant to this section may not exceed .0030 per dollar of taxable value in any calendar year. 53F-8-303(4) Except as provided in Subsection (6), for a low-revenue year, a local school board may transfer an amount of revenue from the school district’s capital project fund to the school district’s general fund for the local school board’s school district for operational expenses in an amount equal to:
for a local school board in a county of the first, second, or third class, revenue generated by up to .0002 per dollar of taxable value of the capital local levy; or for a local school board in a county of the fourth, fifth, or sixth class, up to the lesser of: 10% of the cost of the basic program; or 25% of the revenue that the school district’s capital local levy generates. 53F-8-303(5) The state board shall notify local school boards, school district superintendents, and business administrators in the event of a low-revenue year. 53F-8-303(6) For the fiscal years beginning on July 1, 2020, and July 1, 2021, a local school board may transfer revenue derived from a levy under this section from the school district’s capital project fund to the school district’s general fund for the local school board’s school district for operational expenses. If a local school board transfers revenue for operational expenses under Subsection (6)(a), the local school board shall, in a public meeting: notify the public of the local school board’s transfer of the funds for operational expenses, including describing how the local school board proposes to use the funds; for the fiscal year beginning July 1, 2021, allow an opportunity for public comment during the board’s budget hearing in accordance with the notice and hearing requirements described in Section 53G-7-303; and approve the proposed use of the funds by majority vote of the local school board.
Obsolete Tax Levies
53F-8-402 - Special tax to buy school building sites, build and furnish schoolhouses, or improve school property.
53F-8-402(1) Except as provided in Subsection (6), a local school board may, by following the process for special elections established in Sections 20A-1-203 and 20A-1-204, call a special election to determine whether a special property tax should be levied for one or more years to buy building sites, build and furnish schoolhouses, or improve the school property under its control. The tax may not exceed .2% of the taxable value of all taxable property in the district in any one year. 53F-8-402(2) The local school board shall give reasonable notice of the election and follow the same procedure used in elections for the issuance of bonds. 53F-8-402(3) If a majority of those voting on the proposition vote in favor of the tax, it is computed on the valuation of the county assessment roll for that year. 53F-8-402(4) Within 20 days after the election, the local school board shall certify the amount of the approved tax to the governing body of the county in which the school district is located. The governing body shall acknowledge receipt of the certification and levy and collect the special tax. It shall then distribute the collected taxes to the business administrator of the school district at the end of each calendar month. 53F-8-402(5) The special tax becomes due and delinquent and attaches to and becomes a lien on real and personal property at the same time as state and county taxes. 53F-8-402(6) Notwithstanding Subsections (3) and (4), beginning January 1, 2012, a local school board may not levy a tax in accordance with this section.
53F-8-403 - School transportation levy.
53F-8-403(1) Except as provided in Subsection (5), a local school board may provide for the transportation of students regardless of the distance from school, from a tax rate not to exceed .0003 per dollar of taxable value levied by the local school board. 53F-8-403(2) A local school board may use revenue from the tax described in Subsection (1) to pay for transporting students and for the replacement of school buses. 53F-8-403(3) If a local school board levies a tax under Subsection (1) of at least .0002, the state may contribute an amount not to exceed 85% of the state average cost per mile, contingent upon the Legislature appropriating funds for a state contribution. The state board’s employees shall distribute the state contribution according to rules enacted by the state board. 53F-8-403(4) The amount of state guarantee money that a school district would otherwise be entitled to receive under Subsection (3) may not be reduced for the sole reason that the school district’s levy is reduced as a consequence of changes in the certified tax rate under Section 59-2-924 due to changes in property valuation. Subsection (4)(a) applies for a period of two years following the change in the certified tax rate. 53F-8-403(5) Beginning January 1, 2012, a local school board may not impose a tax in accordance with this section. 53F-8-403(6) The terms defined in Section 53F-2-102 apply to this section.