PA 10-167—sHB 5336

Planning and Development Committee

Education Committee

AN ACT ENCOURAGING SHARED SERVICE AGREEMENTS BETWEEN BOARDS OF EDUCATION

SUMMARY: This act establishes a grant in FY 12 to any municipality whose board of education makes a cooperative arrangement with at least one other board of education to provide school transportation that results in a savings in FY 11. The grant is in addition to the reimbursements for student transportation school districts receive under existing law.

The act also permits two or more boards of education to establish shared service agreements, in addition to cooperative arrangements that boards may enter under existing law (see BACKGROUND).

EFFECTIVE DATE: Upon passage for the school transportation incentive program and October 1, 2010 for the shared services agreement provision.

TRANSPORTATION SAVINGS INCENTIVE GRANT

The act establishes a one-time grant payable in FY 12 from the State Department of Education to municipalities whose boards of education enter a cooperative agreement for student transportation. The grant equals one-half of the difference between the school transportation reimbursement the districts would have received in the absence of a cooperative agreement and the reimbursement after the cooperative agreement. Under existing law, the state reimburses local and regional school districts for a percentage of the reasonable cost of transporting students. The percentage is based on the town's wealth ranking compared to that of other towns. The normal state school transportation reimbursement is zero to 60%. But existing law caps reimbursements (and presumably, this grant) by requiring a proportional reduction to transportation grants through FY 11 if the total grants payable exceed the amount appropriated for that purpose for the year (CGS 10-266m of the 2010 Supplement to the General Statutes).

BACKGROUND

Cooperative Arrangements

Two or more boards of education can establish cooperative arrangements to provide school accommodations services, programs or activities, special education services, or health care services to enable boards to carry out their duties. Such arrangements must be in writing and meet specific requirements to be dissolved. Committees formed to supervise cooperative arrangements have broad power, including authority to receive and disburse funds, hire personnel, and hold title to property (CGS 10-158a).

OLR Tracking: MJ: KM: VR: ts