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157.622 Assistance to school districts -- Priority order of needs -- Exception -- Reallocation of funds -- Disposition of bond savings and refinancing savings.

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157.622 Assistance to school districts -- Priority order of needs -- Exception -- Reallocation of funds -- Disposition of bond savings and refinancing savings. The School Facilities Construction Commission shall be governed by the following <br>procedures in providing assistance to school districts for construction purposes: <br>(1) Upon receipt of the certified statements from the Kentucky Board of Education as required by KRS 157.620, the commission shall compute the unmet needs of all <br>eligible districts as defined by KRS 157.615; (2) Assistance to each eligible district shall be determined by computing the ratio of the available state funding to total unmet need statewide. Based on the computed ratio, <br>an equivalent percentage of each eligible district's unmet need will be funded; (3) Each eligible district which has otherwise complied with the provisions of KRS 157.615 and 157.620 shall be offered sufficient funding to finance construction of <br>the portion of its unmet need computed by applying the ratio determined in <br>subsection (2) of this section to the total unmet need of the district. The funds shall <br>be applied to the projects listed on the most current facility plan approved by the <br>Kentucky Board of Education, and the funds shall be applied to projects in the <br>priority order listed on the plan. Exceptions to the priority order of projects may be <br>approved by the School Facilities Construction Commission when it is documented <br>by the local board of education and approved by the Kentucky Board of Education <br>upon the recommendation of the chief state school officer that the school district's <br>priority order of needs has changed. The exceptions shall not alter the amount of the <br>offer of assistance; (4) The commission shall promulgate administrative regulations whereby an eligible district which fails in any budget period to receive an allocation of state funds that is <br>sufficient to fund the district's priority project or portions thereof may accumulate <br>credit, subject to the availability of funds, for its unused state allocation for a period <br>not to exceed eight (8) years. Accumulation and retention of credit is contingent <br>upon the transfer of available local revenue to the restricted construction account by <br>June 30 of each year; (5) Except as provided in subsection (6) of this section, all unused state allocations accumulated according to the provisions of subsection (3) of this section shall be <br>reallocated by the commission. The reallocation shall follow the process and intent <br>as set forth in this section with eligible districts being those districts which <br>contribute unused state allocations to the reallocation account. Any district which <br>has an unused state allocation after funding its first priority project in a biennium is <br>not eligible for consideration for additional funds from the reallocation account. <br>Any funding received and utilized from the reallocation account by a district shall <br>equally reduce the credit as set forth in this section; and (6) Refinancing savings that have occurred since July 1, 1997, and subsequent savings to the commission generated over the life of a bond by the local district's <br>refinancing of the bond shall be dedicated to the district's account by the <br>commission. Any funds accumulated in this account shall be used toward the <br>district's next priority, but shall not be deducted from the district's share of <br>commission funds under subsection (3) of this section. Effective: July 12, 2006 <br>History: Amended 2006 Ky. Acts ch. 156, sec. 1, effective July 12, 2006. -- Amended 2001 Ky. Acts ch. 165, sec. 3, effective June 21, 2001. -- Amended 1998 Ky. Acts <br>ch. 591, sec. 1, effective July 15, 1998. -- Amended 1996 Ky. Acts ch. 362, sec. 6, <br>effective July 15, 1996. -- Amended 1990 Ky. Acts ch. 476, Pt. IV, sec. 194, <br>effective July 13, 1990. -- Amended 1988 Ky. Acts ch. 213, sec. 2, effective July 15, <br>1988. -- Created 1985 (1st Extra. Sess.) Ky. Acts ch. 10, sec. 30, effective October <br>18, 1985. Legislative Research Commission Note (6/21/2001). A reference to &quot;subsection (7)&quot; in subsection (5) of this statute has been changed in codification to &quot;subsection (6)&quot; <br>under KRS 7.136(1)(e) and (h). In 2001 Ky. Acts ch. 165, sec. 3, the existing <br>subsection (6) was renumbered as subsection (5), but an internal reference to that <br>subsection in the existing language of this statute was overlooked.