Assigned to ED                                                                                                                           FOR COMMITTEE

 

 


 

ARIZONA STATE SENATE

Phoenix, Arizona

 

FACT SHEET FOR S.B. 1178

 

schools; energy savings calculation

 

Purpose

 

Repeals the section of law that allows school districts to budget for energy reduction adjustments.

 

Background

 

State law allows school districts to request energy reduction adjustments when implementing energy conservation measures that result in a reduction to the district’s excess utilities expenditures.  The budget year’s excess utilities are required to be less than the base year’s excess utilities in order for districts to include the energy reduction adjustment as part of their budget.  The base year is defined as the year immediately prior to the year in which conservation measures were implemented.  One-half of the reduction can be added to the school district’s general budget limit, which applies to the base year and the year prior to the budget year; the remaining one-half of the reduction is required to be used to offset local property taxes within each district. 

 

Twenty-three school districts in Arizona budgeted for the energy reduction adjustment for FYs 2000 and 2001, totaling a budget request to the Department of Education of approximately $1.6 million.  The Department of Education eliminated some of the requesting districts from receiving additional monies since eligibility requirements were not met in all cases.  As a result, the actual amount for those qualifying districts is approximately $659,000 for FY 2001.

 

There is no fiscal impact to the state general fund associated with this bill.       

 

Provisions

 

1.      Repeals the section of law that allows school districts to budget for energy reduction adjustments.

 

2.      Makes a conforming change. 

 

3.      Provides for a general effective date.

 

 

Prepared by Senate Staff

January 23, 2001