PRIOR PRINTER'S NOS. 772, 1027, 1788, PRINTER'S NO , 2037 THE GENERAL ASSEMBLY OF PENNSYLVANIA HOUSE BILL

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1 PRIOR PRINTER'S NOS. 772, 1027, 1788, PRINTER'S NO , 2037 THE GENERAL ASSEMBLY OF PENNSYLVANIA HOUSE BILL No. 690 Session of 1983 Report of the Committee of Conference To the Members of the House of Representatives and Senate: We, the undersigned, Committee of Conference on the part of the House of Representatives and Senate for the purpose of considering House Bill No. 690, entitled: "An act amending the act of March 10, 1949 (P.L.30, No.14), entitled "An act relating to the public school system, including certain provisions applicable as well to private and parochial schools; amending, revising, consolidating and changing the laws relating thereto," further providing for certain construction and repairs and the letting of certain contracts. FURTHER PROVIDING FOR BIDS FOR PURCHASES; FURTHER PROVIDING FOR EXCEPTIONAL CHILDREN; AND, FOR REIMBURSEMENTS FOR CERTAIN SPECIAL EDUCATION SERVICES AND FOR THE PERFORMANCE OF MAINTENANCE," respectfully submit the following bill as our report: JAMES J. A. GALLAGHER STEPHEN E. LEVIN SAMUEL E. HAYES, JR. (Committee on the part of the House of Representatives.) JOHN STAUFFER RALPH W. HESS JEANETTE F. REIBMAN (Committee on the part of the Senate.)

2 AN ACT 1 Amending the act of March 10, 1949 (P.L.30, No.14), entitled "An 2 act relating to the public school system, including certain 3 provisions applicable as well to private and parochial 4 schools; amending, revising, consolidating and changing the 5 laws relating thereto," further providing for certain 6 construction and repairs and the letting of certain 7 contracts; further providing for contracts with certain 8 private institutions; providing for the interpretation and 9 construction of certain collective bargaining agreements; 10 providing a compensation plan for school administrators; 11 further providing for the assignment of pupils to schools; 12 providing for remedial education programs; further defining 13 "Factor for Educational Expense"; further providing for 14 payments on account of instruction; limiting certain 15 payments; and making editorial changes. 16 The General Assembly of the Commonwealth of Pennsylvania 17 hereby enacts as follows: 18 Section 1. Section 511(e) of the act of March 10, (P.L.30, No.14), known as the Public School Code of 1949, 20 amended April 14, 1949 (P.L.460, No.85), is amended to read: 21 Section 511. School Athletics, Publications, and 22 Organizations * * * 24 (e) All purchases of materials or supplies made by any 25 organization, club, society, or group, or by any school or 26 class, in excess of [three hundred] one thousand dollars, shall 27 be made upon solicitation of quotations or bids from three or 28 more responsible manufacturers of or dealers in such materials 29 or supplies. All such purchases shall be made from the lowest 30 responsible bidder on the basis of price, quality and service. 31 * * * 32 Section 2. Section 751(b) of the act, amended February 4, (P.L.1, No.1), is amended to read: 34 Section 751. Work to be Done Under Contract Let on Bids; 35 Exception.--* * * 36 (b) The board of school directors in any school district

3 1 [either] may perform any construction, reconstruction, repairs, 2 or work of any nature, where the entire cost or value, including 3 labor and material, is less than five thousand dollars ($5000), 4 by its own maintenance personnel[, or]. The board may have any 5 such construction, reconstruction, repairs, or work up to ten 6 thousand dollars ($10,000) performed by contract after 7 soliciting bids from at least three responsible bidders: 8 Provided, That the board of school directors in any school 9 district may authorize the secretary of the board or other 10 executive to award contracts for construction, reconstruction, 11 repairs, or work of any nature, where the entire cost or value, 12 including labor and material, is four thousand dollars ($4,000) 13 or less, without soliciting competitive bids. 14 * * * 15 Section 3. Section A(c) of the act, amended December 16 17, 1982 (P.L.1378, No.316), is amended to read: 17 Section A. Contracts with Private Residential 18 Rehabilitative Institutions.--* * * 19 (c) For the purpose of this section, a "private residential 20 rehabilitative institution" means a facility, other than one 21 operated by a public agency, which as of December 31, provided to juveniles legally committed thereto or legally 23 committed to a day treatment program of that institution 24 pursuant to a proceeding under the act of December 6, (P.L.1464, No.333), known as the "Juvenile Act," educational 26 services as part of a total rehabilitative package, funded, at 27 least in part, through contractual agreements with the county of 28 which each child is a resident, whereby the institution received 29 from the county an amount per diem for each child legally 30 committed thereto or legally committed to a day treatment 19830H0690B

4 1 program thereof. For the purpose of this section, educational 2 services shall be defined as direct expenditures for instruction 3 and the administration of the instructional program. Any 4 expenditures not pertaining directly to instruction and the 5 administration of the instructional program of the students 6 shall be considered a cost of child welfare services as provided 7 for in sections and 704.2, act of June 13, 1967 (P.L.31, 8 No.21), known as the "Public Welfare Code," and as a social 9 service as defined in the regulations promulgated pursuant to 10 that act. Under no circumstances shall a school district or the 11 Department of Education be required to provide funding for 12 programs operated [other than during the regular school term or 13 for more than] in excess of one hundred eighty (180) days of 14 instruction or nine hundred (900) hours of instruction at the 15 elementary level or nine hundred ninety (990) hours of 16 instruction at the secondary level during any one school year. 17 However, nothing in this section shall be construed to alter or 18 limit the educational rights of exceptional children. 19 * * * 20 Section 4. The act is amended by adding sections to read: 21 Section Collective Bargaining for Public Employes Nothing contained in sections 1121 through 1132 shall be 23 construed to supersede or preempt a provision of a collective 24 bargaining agreement in effect on July 23, 1970, or on any date 25 subsequent thereto, negotiated by a school entity and an 26 exclusive representative of the employes in accordance with the 27 act of July 23, 1970 (P.L.563, No.195), known as the "Public 28 Employe Relations Act," which agreement provides for the right 29 of the exclusive representative to grieve and arbitrate the 30 validity of a professional employe's termination for just cause 19830H0690B

5 1 or for the causes set forth in section 1122 of this act; 2 however, no agreement shall prohibit the right of a professional 3 employe from exercising his or her rights under the provisions 4 of this act except as herein provided. However,if within ten 5 (10) days after the receipt of the detailed written statement 6 and notice as required by section 1127, the professional employe 7 chooses to exercise his or her right to a hearing, any provision 8 of the collective bargaining agreement relative to the right of 9 the exclusive representative to grieve or arbitrate the 10 termination of such professional employe shall be void. 11 Professional employes shall have the right to file a grievance 12 under the collective bargaining agreement or request a hearing 13 pursuant to sections 1121 through 1132, but not both. 14 Section Compensation Plans for School 15 Administrators.--(a) As used in this section, the following 16 words will have the following meanings: 17 "Administrative compensation" shall mean administrator 18 salaries and fringe benefits and shall include any board 19 decision that directly affects administrator compensation such 20 as administrative evaluation and early retirement programs. 21 "School administrator" shall mean any employe of the school 22 entity below the rank of district superintendent, executive 23 director, director of vocational-technical school, assistant 24 district superintendent or assistant executive director, but 25 including the rank of first level supervisor, who by virtue of 26 assigned duties is not in a bargaining unit of public employes 27 as created under the act of July 23, 1970 (P.L.563, No.195), 28 known as the "Public Employe Relations Act." However, this 29 definition shall not apply to anyone who has the duties and 30 responsibilities of the position of business manager or 19830H0690B

6 1 personnel director, but not to include principals. 2 "School employer" shall mean a board of school directors, the 3 area vocational-technical school board of directors or the 4 intermediate unit board of school directors as defined in this 5 act. 6 (b) The purpose of this section is to provide a means by 7 which compensation matters affecting school administrators can 8 be resolved within the framework of a management team 9 philosophy. 10 (c) School employers, upon the written request of a majority 11 of the school administrators in the district, shall be required 12 to meet and discuss in good faith with the school administrators 13 on administrator compensation prior to adoption of the 14 compensation plan. 15 (d) School employers shall be required to adopt written 16 administrator compensation plans which shall apply to all 17 eligible school administrators, as provided in this section, and 18 which shall continue in effect until a time specified in the 19 compensation plan, but in no event for less than one school 20 year. 21 (e) An administrator compensation plan adopted pursuant to 22 this section shall include, but not be limited to, the following 23 items: 24 (1) A description of the program determining administrative 25 salaries. 26 (2) Salary amounts or a salary schedule. 27 (3) A listing of fringe benefits. 28 (f) School employers and school administrators shall 29 continue to be subject to the act of June 30, 1947 (P.L.1183, 30 No.492), referred to as the Public Employe Anti-Strike Law H0690B

7 1 Section 5. Section 1310(d) of the act, amended December 17, (P.L.1378, No.316), is amended to read: 3 Section Assignment of Pupils to Schools.--* * * 4 (d) For the purpose of this section, educational services 5 shall be defined as direct expenditures for instruction and the 6 administration of the instructional program. Any expenditure not 7 pertaining directly to instruction and the administration of the 8 instructional program of the students shall be considered a cost 9 of child welfare services as provided for in sections and , act of June 13, 1967 (P.L.31, No.21), known as the 11 "Public Welfare Code," and as a social service as defined in the 12 regulations promulgated pursuant to that act. Under no 13 circumstances shall a school district or the Department of 14 Education be required to provide funding for programs operated 15 [other than during the regular school term or for more than] in 16 excess of one hundred eighty (180) days of instruction or nine 17 hundred (900) hours of instruction at the elementary level or 18 nine hundred ninety (990) hours of instruction at the secondary 19 level during any one school year. 20 Section 6. The act is amended by adding a section to read: 21 Section Remedial Programs.--(a) Approved programs 22 in reading and in mathematics shall be established by each 23 school district for its public school students and by each 24 intermediate unit for nonpublic school students to serve those 25 students identified as requiring assistance as a result of 26 falling below an acceptable level of performance on tests 27 developed and administered pursuant to regulations adopted by 28 the State Board of Education. Annually, each school district and 29 intermediate unit shall submit an application to the department 30 for approval of a program of remediation services to be funded 19830H0690B

8 1 through funds distributed pursuant to subsection (b). Upon 2 approval of the program, each school district and intermediate 3 unit shall be eligible for State funds made available for such 4 programs, as provided in subsection (b). 5 (b) Funds appropriated for remediation services and not 6 distributed through sections 2501(19), 2502(d) and shall 7 be distributed by the Department of Education to school 8 districts based on the number of public school students 9 identified for remediation and to intermediate units on behalf 10 of nonpublic school students for remediation. Funds distributed 11 to intermediate units shall be for services that are in addition 12 to any services provided in accordance with the provisions of 13 section and such funds shall be in addition to those 14 distributed in accordance with the provisions of section (d). 16 (c) It is the intent of the General Assembly that school 17 districts utilize revenue for similar programs from the Federal 18 Government to supplement State funds provided for in this act. 19 Further, the General Assembly directs the department to 20 guarantee, in its distribution of funds authorized by this act, 21 that the combined resources of State and Federal programs exceed 22 the resources which would be available from State sources if 23 Federal revenues for similar purposes were not available. 24 Section 7. Section 2501(19) of the act, added December 20, (P.L.267, No.73), is amended to read: 26 Section Definitions.--For the purposes of this article 27 the following terms shall have the following meanings: 28 * * * 29 (19) "Factor for Educational Expense." For the school year and each school year thereafter, the factor for 19830H0690B

9 1 educational expense used to compute school district entitlements 2 to payments on account of instruction, as provided for in 3 subsection (d) of section 2502, shall be one thousand six 4 hundred fifty-six dollars ($1,656) unless later changed by 5 statute. For the school year and each school year 6 thereafter, the Factor for Educational Expense shall be one 7 thousand seven hundred twenty-five dollars ($1,725), unless 8 later changed by statute, for those school districts 9 participating, during the school year and each school 10 year thereafter, in a Statewide program for testing and 11 remediation which is designed to identify and provide 12 remediation services to individual students pursuant to section Section 8. Sections 2502(d) and of the act, amended 15 December 20, 1983 (P.L.267, No.73), are amended to read: 16 Section Payments on Account of Instruction.--* * * 17 (d) For the school year 1976 and 1977 through the school year, each school district shall be paid by the 19 Commonwealth on account of instruction of the district's pupils 20 an amount to be determined by multiplying the market 21 value/income aid ratio times the actual instruction expense per 22 weighted average daily membership or by the base earned for 23 reimbursement, whichever is less, and by the weighted average 24 daily membership for the district. For the school year any school district which, as a result of the impact on payments 26 under subsections (d), (e) and (f) and under section 2592 by 27 reason of the market value/income aid ratio or the application 28 of equalized millage to the base earned for reimbursement, shall 29 suffer a reduction in subsidy entitlement, shall be held 30 harmless from this impact and shall receive an amount which is 19830H0690B

10 1 no less than that received for under such subsections 2 and under section For the school year and each 3 school year thereafter, each school district shall be paid by 4 the Commonwealth on account of instruction of the district's 5 pupils an amount to be determined by multiplying the district's 6 market value/income aid ratio by the factor for educational 7 expense, one thousand six hundred fifty-six dollars ($1,656), 8 and by the weighted average daily membership of the district. 9 For the school year and each school year thereafter, 10 each school district participating, during the school 11 year and each school year thereafter, in a Statewide program for 12 testing and remediation which is designed to identify and 13 provide remediation services to individual students pursuant to 14 section , shall be paid by the Commonwealth on account of 15 instruction of the district's pupils an amount to be determined 16 by multiplying the district's market value/income aid ratio by 17 the factor for educational expense, one thousand seven hundred 18 twenty-five dollars ($1,725), and by the weighted average daily 19 membership of the district. This subsidy may be used for 20 strengthening curriculum, increasing standards, improving 21 student achievement and providing remedial programs. 22 * * * 23 Section Limitation of Certain Payments.--(a) 24 Notwithstanding any other provision of law, for the school year through the school year , no school district 26 shall be paid under subsections (d) and (e) of section 2502 or 27 section 2592, whichever is applicable, and subsection (f) of 28 section 2502, and section and section of this act 29 an amount in excess of one hundred percent (100%) of the total 30 approved reimbursable instructional expenditures of such school 19830H0690B

11 1 district. The provisions of this subsection shall not apply to 2 any school district receiving any payment under subsection (g) 3 of section 2502 of this act. 4 (b) Notwithstanding any other provisions of law, for the 5 school year and each school year thereafter, no school 6 district shall be paid under subsections (d) and (e) of section and section an amount in excess of one hundred 8 percent (100%) of the total reimbursable instructional 9 expenditures of the school district. For the school 10 year, all school districts qualifying for payments under 11 subsections (d) and (e) of section 2502 and section shall be limited to an increase payment on account of those 13 sections which shall not exceed nine percent (9%) over the sums 14 received on account of section for the school 15 year, nor shall any school district receive an increase of less 16 than two percent (2%) of the school year payments on 17 account of the school year. 18 (c) For the school year and each school year 19 thereafter, all school districts qualifying for payments under 20 subsections (d) and (e) of section 2502 and section and 21 which are not providing appropriate remedial programs as defined 22 in section shall be limited to an increase payment on 23 account of those sections which shall not exceed seven and 24 forty-five one hundredths percent (7.45%) over the sums received 25 on account of those sections for the school year, nor 26 shall any such school district receive an increase of less than 27 two percent (2%) of the equalized subsidy for basic education 28 payments received for the school year. 29 (d) For the school year and each school year 30 thereafter, all school districts qualifying for payments under 19830H0690B

12 1 subsections (d) and (e) of section 2502 and section and 2 which are providing appropriate remedial programs as defined in 3 section , during the school year and each school 4 year thereafter, shall be limited to an increase payment on 5 account of those sections which shall not exceed eight percent 6 (8%) over the sums received on account of those sections for the school year, nor shall any such school district 8 receive an increase of less than three percent (3%) of the 9 equalized subsidy for basic education payments received for the school year. 11 (e) For the school year and each school year 12 thereafter, no school district shall be paid under subsections 13 (d) and (e) of section 2502 and under section less than 14 eighty percent (80%) of the total amount to which it is entitled 15 under said sections, notwithstanding any limitations on 16 increases in such payments enacted by the General Assembly to 17 the contrary. For the school year , payments under this 18 subsection shall be computed using a Factor for Educational 19 Expense of one thousand six hundred fifty-six dollars ($1,656) 20 and a maximum payment increase of seven and forty-five one 21 hundredths percent (7.45%) and a minimum payment increase of two 22 percent (2%). No school district shall, as a result of this 23 subsection, be paid an amount in excess of one hundred percent 24 (100%) of the total reimbursable instructional expenditures of 25 the school district. 26 Section 9. Section (c) of the act, added December 20, (P.L.267, No.73), is amended to read: 28 Section Economic Supplement.--* * * 29 (c) For the school year and each school year 30 thereafter, any district which levies and collects local taxes 19830H0690B

13 1 for school purposes equal to or above the median equalized 2 millage, as defined in section 2501(9.3), in the year for which 3 reimbursement is determined shall qualify for and receive a 4 payment based upon local tax effort and population per square 5 mile in accordance with the following table, except for 6 qualifying districts which include a central city of a Standard 7 Metropolitan Statistical Area and have a district population of 8 less than four thousand (4,000) persons per square mile, which 9 districts shall receive three percent (3%) of their 10 instructional expenditures: 11 Population Per Square Mile Payment as Percent of 12 of the Qualifying District Instructional Expenditure 13 5,950 and over ,000-5, less than 4, Notwithstanding the provisions of this [table, qualifying] 17 subsection, districts having a general population of five 18 thousand nine hundred fifty (5,950) or more persons per square 19 mile and at least thirty-five thousand (35,000) WADMs shall be 20 paid nineteen percent (19%) of their instructional expenditures. 21 Section 10. (a) Section 4 of this act, insofar as it 22 relates to section 1133, shall be retroactive to January 1, (b) Sections 3 and 5 of this act relating to sections A and 1310(2) shall be retroactive to July 1, Section 11. (a) Section 4 of this act, insofar as it 27 relates to section 1164, shall take effect in 150 days. 28 (b) The remainder of this act shall take effect immediately. C11L24DGS/19830H0690B