85-2223 Department of Revenue; calculate base revenue need.
85-2223. Department of Revenue; calculate base revenue need.(1) The Department of Revenue shall annually calculate the base revenue need for each community college area as follows:(a) For fiscal year 2008-09, base revenue need for each community college area shall equal one plus the greater of zero or the average annual percentage growth in full-time equivalent enrollments attributable to each community college area for the most recent three fiscal years times the sum of (i) system foundation need plus (ii) reimbursable educational unit need plus (iii) the revenue remainder allowance for each community college area. The average annual percentage growth shall be calculated by taking the difference between the three-year full-time equivalent enrollment average for the current funding year and the three-year full-time equivalent enrollment average for the prior funding year and dividing by the three-year full-time equivalent enrollment average from the prior funding year; and(b) For fiscal year 2009-10 and each fiscal year thereafter, base revenue need for each community college area shall equal the greater of ninety-eight percent of the base revenue need calculated in the prior year or one plus the greater of zero or the average annual percentage growth in full-time equivalent enrollments attributable to each community college area times the sum of (i) system foundation need plus (ii) reimbursable educational unit need plus (iii) the average revenue remainder allowance. The average annual percentage growth shall be calculated by taking the difference between the three-year full-time equivalent enrollment average for the current funding year and the three-year full-time equivalent enrollment average for the prior funding year and dividing by the three-year full-time equivalent enrollment average from the prior funding year.(2) For purposes of the calculation required pursuant to this section:(a) Average need adjustment shall be calculated for fiscal year 2007-08 aid distribution as follows: Average need adjustment shall equal the sum of average adjusted revenue per full-time equivalent student minus the adjusted revenue per full-time equivalent student times the number of full-time equivalent students attributable to each community college area up to the number of full-time equivalent students attributable to the community college area with the fewest number of full-time equivalent students, except that the amount shall not be less than negative seven hundred fifty thousand or greater than seven hundred fifty thousand. For purposes of the average need adjustment, (i) adjusted revenue per full-time equivalent student equals the sum of the prior year revenue for each community college area minus the system foundation need divided by the number of full-time equivalent students for each community college area and (ii) average adjusted revenue per full-time equivalent student equals the sum of the prior year revenue for all community college areas minus the system foundation need for all areas divided by the number of full-time equivalent students for all areas;(b) Average revenue remainder allowance shall equal the average revenue remainder per reimbursable educational unit times the average number of reimbursable educational units for each community college area for the most recent three fiscal years;(c) Average revenue remainder per reimbursable educational unit equals the revenue remainder allowance for all community college areas divided by the average number of reimbursable educational units in all community college areas for the most recent three fiscal years;(d) Reimbursable educational unit need for each community college area equals the product of the state foundation amount times forty percent divided by the total reimbursable educational units of all community college areas times the number of reimbursable educational units attributable to each community college area;(e) Revenue remainder allowance equals the formula base revenue attributable to each community college area minus the sum of system foundation need plus reimbursable educational unit need;(f) State foundation amount equals formula base revenue times the state foundation percentage;(g) System foundation need for each community college area equals the product of the state foundation amount times sixty percent divided by the number of community college areas;(h) Funding year, for purposes of calculating average annual percentage growth, means the fiscal year for which aid is being calculated; and(i) Three-year full-time equivalent enrollment average for any given funding year equals the sum of the audited full-time equivalent enrollment for the three years preceding the funding year divided by three. SourceLaws 2007, LB342, § 23; Laws 2008, LB973, § 4.Effective Date: July 18, 2008Termination Date: June 30, 2011