SESSION OF 2024
SUPPLEMENTAL NOTE ON HOUSE SUBSTITUTE FOR
SENATE BILL NO. 387
As Amended by House Committee of the Whole

Brief*
House Sub. for SB 387, as amended, would make
appropriations for the Kansas State Department of Education
for FY 2024, FY 2025, and FY 2026; make adjustments to the
Kansas School Equity and Enhancement Act (KSEEA);
establish the Education Funding Task Force; repeal
authorization for the Special Education and Related Services
Funding Task Force; and amend various provisions of law
related to K-12 education.
The bill would be in effect upon publication in the
Kansas Register.

Appropriations for FY 2024, FY 2025, and FY 2026 (New
Sections 1–3)
The bill would make appropriations for the Kansas State
Department of Education (KSDE).
FY 2024
For KSDE, the bill would:
● Lapse $714,470 from the State General Fund
(SGF) from the Kansas Public Employees
Retirement System (KPERS) non-USD account;
● Lapse $341 SGF from the KPERS USD account;
____________________
*Supplemental notes are prepared by the Legislative Research
Department and do not express legislative intent. The supplemental
note and fiscal note for this bill may be accessed on the Internet at
http://www.kslegislature.org
 ● Lapse $81.9 million SGF from the State
Foundation Aid account;
● Lapse $14.6 million SGF from the Supplemental
State Aid account; and
● Lapse $40,000 SGF from the Career Technical
Education Pilot account.
With these changes, the appropriation for FY 2024
would be $6.7 billion, including $4.6 billion SGF.
FY 2025
For KSDE, the bill would appropriate $6.6 billion,
including $5.0 billion SGF. This amount includes $6.3 billion,
including $5.4 billion SGF, for the major categories of school
finance, KPERS USDs, and KPERS non-USDs.
Appropriations from the SGF would include the
following:
● $15.2 million for operating expenditures;
● $80,000 for the Center for READing;
● $25.2 million for KPERS non-USDs;
● $506.3 million for KPERS USDs;
● $2.8 million for the ACT and WorkKeys
Assessments Program;
● $13.5 million for the Mental Health Intervention
Team Pilot program;
● $1.5 million for Career and Technical Education
Transportation;


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 ● $300,000 for the Juvenile Transitional Crisis Center
Pilot program;
● $67,700 for Education Commission of the States
dues;
● $10,000 for the School Safety Hotline;
● $5.0 million for School Safety and Security Grants;
● $5.1 million for School District Juvenile Detention
Facilities and Flint Hills Job Corps Center Grants;
● $2.5 million for school food assistance;
● $2.0 million for the Virtual Math Education program;
● $2.3 million for the Mentor Teacher program;
● $110,000 for Educable Deaf-Blind and Severely
Handicapped Children’s Program Aid;
● $75.0 million for Special Education Services Aid;
● $360,693 for the Governor’s Teaching Excellence
Scholarships and Awards;
● $29.6 million for State Foundation Aid;
● $3.7 million for Professional Development State
Aid;
● $1.0 million for the Computer Science Education
Advancement Grant; and
● $5.0 million for the Children’s Cabinet Public-
Private Partnership Pilot program.
The bill would also appropriate funding from fee funds
and several no-limit special revenue funds, including federal

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funds. The bill would appropriate the following from the
Children’s Initiative Fund (CIF):
● $375,000 for the Children’s Cabinet Accountability
Fund;
● $23.7 million for CIF grants;
● $9.4 million for the Parent Education program, also
known as Parents as Teachers;
● $4.2 million for the Pre-K Pilot program;
● $1.4 million for early childhood infrastructure; and
● $1.5 million for the Dolly Parton Imagination
Library.
The bill would provide for the following transfers:
● $50,000 on July 1, 2024, or as soon as moneys are
available, from the Family and Children Trust
Account of the Family and Children Investment
Fund of KSDE to the SparkWheel program fund of
KSDE;
● $550,000 on March 30, 2025, and $550,000 on
June 30, 2025, from the State Safety Fund to the
SGF to reimburse costs associated with services
provided by other state agencies on behalf of
KSDE;
● $81,250, quarterly, from the State Highway Fund of
the Department of Transportation to the School
Bus Safety Fund of KSDE;
● An amount certified by the Commissioner of
Education from the Motorcycle Safety Fund of
KSDE to the Motorcycle Safety Fund of the State
Board of Regents on July 1, 2025, to cover costs of

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 driver’s license programs conducted by community
colleges;
● $70,000 from the Universal Service Administrative
Company (USAC) E-rate Program Federal Fund of
the State Board of Regents to the Education
Technology Coordinator Fund of KSDE; and
● All moneys from the Communities in Schools
program fund to the SparkWheel program fund, on
July 1, 2024. All liabilities of the Communities in
Schools program fund would be transferred to the
SparkWheel program fund, and the Communities in
Schools program fund would be abolished. [Note:
Statutory provisions would be updated to reflect
this change of reference; see Section 19.]
The bill would appropriate $276,533 from the Kansas
Endowment for Youth (KEY) Fund for the administration of
the Children’s Cabinet.
The bill would authorize the Commissioner of Education
to transfer any part of an SGF appropriation for KSDE to
another SGF appropriation for KSDE for FY 2025.
The bill would also appropriate $42.8 million from the
Expanded Lottery Act Revenues Fund (ELARF) for KPERS
non-USDs.
FY 2026
For KSDE, the bill would appropriate the following from
the SGF:
● $3.0 billion for State Foundation Aid;
● $601.8 million for Supplemental State Aid; and
● $610.5 million for Special Education State Aid.


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 The bill would authorize expenditures from the State
School District Finance Fund and the Mineral Production
Education Fund.

Education Funding Task Force; Repeal of Special
Education and Related Services Funding Task Force
(New Section 4; Section 21)
The bill would establish the Education Funding Task
Force, which would be required to review several elements
associated with the current school finance system and
academic reporting and achievement goals and to report
recommendations to the Governor and the Legislature on or
before January 11, 2027, that provide for the establishment of
a new school finance formula to replace the expiring formula
(Kansas School Equity and Enhancement Act [KSEEA]) that
will expire on July 1, 2027. The bill would also repeal
authorization for the Special Education and Related Services
Funding Task Force.
Membership and Appointments
The bill would establish the Education Funding Task
Force (Task Force), which would be composed of the
following 11 voting members:
● Two members of the House of Representatives
appointed by the Speaker of the House of
Representatives;
● One member of the House of Representatives
appointed by the Minority Leader of the House of
Representatives;
● Two members of the Senate appointed by the
President of the Senate;
● One member of the Senate appointed by the
Minority Leader of the Senate;
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 ● One member of the State Board of Education
(State Board) appointed by the State Board;
● One member who must be a parent of a student
who attends K-12 at a school district in Kansas,
appointed by the Speaker of the House of
Representatives;
● One member who must be a current or retired
public school teacher, appointed by the President
of the Senate;
● One member who must be a superintendent of a
rural school district, appointed by the State Board;
and
● One member who must be a superintendent of an
urban school district, appointed by the State Board.
The bill would specify that any superintendent member
of the Task Force would be permitted to designate another
individual to attend any or all meetings of the Task Force as
the member’s designee.
Ex officio, non-voting members. The bill would also
provide for four non-voting ex officio members of the Task
Force. These members will include:
● The KSDE Deputy Commissioner of Fiscal and
Administrative Services or designee;
● The chairperson of the Kansas Children’s Cabinet
or designee;
● The Director of the Budget or designee; and
● The KSDE Director of Special Education and Title
Services or designee.


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Review of School Finance System
The bill would require the Task Force to review the:
● Current school finance system in Kansas including,
but not limited to, the KSEEA;
● Current methods for determining and disbursing
Special Education State Aid;
● Inputs of the current school finance system,
including, but not limited to, funding levels, funding
sources, and funding impacts;
● Outputs of the current school finance system,
including, but not limited to, academic achievement
outcomes and other measures of student success;
● Current academic reporting requirements with
respect to state assessments and student
achievements; and
● Achievement goals established by KSDE in the
Consolidated State Plan submitted to the U.S.
Department of Education pursuant to the
Elementary and Secondary Education Act of 1965,
as amended by the Every Student Succeeds Act,
including, but not limited to, the goal to have 75
percent of all students and student subgroups
achieve proficiency on the statewide assessments
in English language arts (ELA) and mathematics by
2030, which has been defined by the State Board
as requiring students to score in performance
levels 3 and 4 combined on such assessments.
Reporting of Recommendations
The bill would require the Task Force to prepare and
submit a report to the Legislature and the Governor on or

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before January 11, 2027. The bill would require the report to
include recommendations regarding:
● The establishment of a school finance formula that
will replace the KSEEA after its expiration. When
making such recommendations, the Task Force
would be required to pursue the following goals for
a school finance formula:
○ The formula shall be reasonably calculated to
have all students meet or exceed the
education goal established in KSA 72-3218(c)
[Note: Rose capacities; this statute lists
subjects and areas of instruction to be
designated by the State Board to achieve the
goal established by the Legislature to meet
the graduation requirements adopted by the
State Board];
○ The formula shall provide adequate,
consistent, and reliable school funding;
○ The formula shall provide equitable school
funding; and
○ The formula shall provide meaningful
accountability measures;
● Whether revisions to the current methods for
determining and disbursing Special Education
State Aid are advisable or necessary; and
● Any other recommendations related to school
finance.
Designation of Chairperson; Quorum; Meeting Information
The bill would require Task Force members to be
appointed on or before November 30, 2024. The bill would
further require, in even-numbered years, the Task Force
chairperson to be designated by the Speaker of the House of
Representatives and the vice-chairperson to be designated

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by the President of the Senate. In odd-numbered years, the
chairperson would be designated by the President, and the
vice-chairperson would be designated by the Speaker. The
bill would provide that any vacancy in the Task Force
membership would be filled in the same manner prescribed
for that member’s original appointment.
The bill would state that a quorum for the Task Force is
six voting members. All actions of the Task Force would be
permitted to be taken by a majority of members present when
there is a quorum. If the meeting is approved by the
Legislative Coordinating Council (LCC), the Task Force
members would be paid for expenses, mileage, and
subsistence as provided in a statute governing board member
compensation (KSA 75-3223(e)). The Task Force would be
permitted to meet at any time and any place within the state
upon the call of its chairperson.
The bill would also provide that the staff of the Office of
Revisor of Statutes, Legislative Research Department, and
Division of Legislative Administrative Services would provide
assistance as requested by the Task Force.
The Task Force provisions of the bill would expire on
July 1, 2027.

Special Education Excess Costs; Determination and
Formula (New Section 5; Sections 14, 16)
The bill would amend and create law governing the
excess costs formula for K-12 education Special Education
State Aid by requiring school districts to transfer the funding
attributable to the special education funding within the
district’s local option budget (LOB) to the district’s special
education and related services fund; determine each
individual school district’s excess costs, using the same
calculation methodology as for statewide excess costs; report
each school district’s excess costs amount and publish these
amounts on the KSDE website; and provide an annual report
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to the designated legislative committees on or before January
31 of each year detailing the individual school district’s
excess costs and how the Special Education State Aid will be
distributed.
Excess Cost Determination (New Section 5)
The bill would create law requiring KSDE to determine
each school district’s excess costs before distributing Special
Education State Aid. The process for determining each school
district’s excess costs would be the following:
● Calculate weighted full-time equivalent (FTE)
students without At-Risk, Bilingual, Career
Technical Education, Special Education, and
Transportation weightings;
● Multiply the weighted FTE by BASE (base aid for
student excellence;
● Divide this sum by unweighted FTE to find general
education aid per student;
● Calculate Special Education FTE enrolled;
● Multiply the general education aid per student by
the number of Special Education FTE;
● Multiply the product just above by the school
district’s LOB authority percentage;
● Add the two previous amounts together for total
general education funding for Special Education
students;
● Calculate federal aid;
● Calculate Medicaid and state hospitals funding for
Special Education students;

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 ● Add total general education funding for Special
Education students, federal aid, and Medicaid and
state hospital funding together for the total
deductions;
● Calculate estimated special education and related
services expenditures;
● Subtract total deductions from estimated special
education and related services expenditures for
Total Excess Costs; and
● Divide by 1 plus the school district’s LOB
percentage to determine the district’s excess costs.
The bill would also direct the State Board to assign the
costs of providing special education and related services by
interlocal agreements or as members of cooperatives to each
school district based upon the expenditures of a school
district in comparison to the expenditures of all school
districts within the interlocal or cooperative.
The bill would also require the State Board to annually:
● Report each school district’s excess costs to the
school district;
● Publish the excess costs determinations on the
KSDE website; and
● Prepare and submit a report to the House
Committee on K-12 Education Budget and Senate
Committee on Education that includes school
district excess costs and the Special Education
distribution schedule.


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Det