D.C. Code § 38-1804.03

Current through codified legislation effective September 18, 2024

Section 38-1804.03 - Payments

(a)In general. -

(1)Escrow for public charter schools. - Except as provided in subsection (b) of this section, for any fiscal year, not later than 10 days after the date of enactment of an act making appropriations for the District of Columbia for such fiscal year, the Mayor shall place in escrow an amount equal to the aggregate of the amounts determined under § 38-1804.01(b)(1)(B) for use only by District of Columbia public charter schools.

(2)Transfer of escrow funds. -

(A)Initial payment. -

(i)In general. - Except as provided in sub-subparagraphs (ii) and (iii) of this subparagraph, no later than July 15, October 15, January 15, and April 15 of each year, the Mayor shall transfer, by electronic funds transfer, the quarterly payments for each public charter school as prescribed in § 38-2906.02 to a bank designated by such school.

(ii)Reduction in case of a new school. - In the case of a public charter school that has received a payment pursuant to subsection (b) of this section in the fiscal year immediately preceding the fiscal year in which a transfer pursuant to sub-subparagraph (i) of this subparagraph is made, the amounts transferred to the school under sub-subparagraph (i) of this subparagraph shall be reduced by an amount equal to 25% of the amount of the payment made pursuant to subsection (b) of this section.

(iii) Funds received from the Education Jobs Fund, established by section 101 of An Act To modernize the air traffic control system, improve the safety, reliability, and availability of transportation by air in the United States, provides for modernization of the air traffic control system, reauthorizes the Federal Aviation Administration, and for other purposes, approved August 10, 2010 ( Pub. L. No. 111-226; 124 Stat. 2389) ("Act"), shall be disbursed to public charter schools at such times as are consistent with the requirements of the Act, its implementing regulations, and other applicable federal regulations.

(B) Repealed.

(C)Pro rata reduction or increase in payments. -

(i)Pro rata reduction. - If the funds made available to the District of Columbia Government for the District of Columbia public school system and each public charter school for any fiscal year are insufficient to pay the full amount that such system and each public charter school is eligible to receive under this subchapter for such year, the Mayor shall ratably reduce such amounts for such year on the basis of the formula described in § 38-1804.01(b).

(ii)Increase. - If additional funds become available for making payments under this subchapter for such fiscal year, amounts that were reduced under subparagraph (A) of this paragraph shall be increased on the same basis as such amounts were reduced.

(D)Unexpended funds. - Any funds that remain in the escrow account for public charter schools on September 30 of a fiscal year shall revert to the general fund of the District of Columbia.

(E)Reprogramming limitation. - Funds appropriated for public charter school payments that remain in the escrow account for public charter schools due to projected public charter school enrollment exceeding verified enrollment may only be reprogrammed to agencies in the public education system cluster of the District's budget.

(b)Payments to public schools and public charter schools. -

(1)Establishment of fund. - The fund previously established in the General Fund of the District of Columbia as the "Charter School Fund" shall be redesignated the Student Enrollment Fund. Amounts deposited in the Student Enrollment Fund shall be available for expenditure without further appropriation and shall remain available until expended for the purposes described in paragraph (3) of this subsection. Amounts remaining unobligated or unexpended at the end of a fiscal year shall not revert to the General Fund of the District of Columbia.

(2)Contents of fund. - The Student Enrollment Fund shall consist of:

(A) Unexpended and unobligated amounts appropriated from local funds for public charter schools for each fiscal year that reverted to the General Fund of the District of Columbia, together with any other local funds that the Chief Financial Officer certifies are necessary to effect the purposes of the fund during the fiscal year; provided, that the amount of funds deposited shall not exceed $8 million in any fiscal year; and

(B) Any interest earned on such amounts.

(3)Purposes of fund. - The Student Enrollment Fund shall be used to assist public schools and public charter schools in the District of Columbia by providing funding in cases where the total verified enrollment, including enrollment in special needs categories, exceeds the projected student enrollment on which the annual appropriation is based in that fiscal year.

(4)Expenditures from fund. -

(A) Expenditures from the Student Enrollment Fund for enrollment in excess of the annual public charter school projection for any public charter school operating in that fiscal year shall be authorized in cases where the total verified actual enrollment, including enrollment in special needs categories, exceeds the projected student enrollment on which the annual appropriation is based in that fiscal year.

(B) Expenditures from the Student Enrollment Fund for enrollment in excess of annual public school projections shall be authorized in cases where the total verified actual enrollment exceeds that of the student enrollment on which the annual appropriation is based in that fiscal year.

(5)Form of payment. - Payments under this subsection shall be made by electronic funds transfer from the Student Enrollment Fund to a bank designated by a public charter school.

(6)Authorization of appropriations. - There are authorized to be appropriated to the Chief Financial Officer such sums as may be necessary to effect the purposes of this subsection for each fiscal year.

(c)Assignment of payments. - A public charter school may assign any payments made to the school under this section to a financial institution for use as collateral to secure a loan or for the repayment of a loan.

D.C. Code § 38-1804.03

Apr. 26, 1996, 110 Stat. 1321 [259], Pub. L. 104-134, § 2403; Nov. 19, 1997, 111 Stat. 2191, Pub. L. 105-100, § 172; Nov. 22, 2000, 114 Stat. 2440, Pub. L. 106-522, § 120 (d); Feb. 20, 2003, 117 Stat. 132, Pub. L. 108-7, Div. C, title III, §146(a); Oct. 18, 2004, 118 Stat. 1347, Pub. L. 108-335, § 335 (a), (b); Apr. 13, 2005, D.C. Law 15-348, § 102(c)(1), 52 DCR 1991; Mar. 2, 2007, D.C. Law 16-191, § 59, 53 DCR 6794; Sept. 18, 2007, D.C. Law 17-20, § 4032(d), 54 DCR 7052; Apr. 8, 2011, D.C. Law 18-370, § 403(b), 58 DCR 1008; Oct. 22, 2015, D.C. Law 21-36, § 4162, 62 DCR 10905; Dec. 13, 2017, D.C. Law 22-33, § 4152(b), 64 DCR 7652.

Section 102(c)(2) of D.C. Law 15-348 purported to amend this section. Those amendments were not given effect due to the prior amendments by Pub. L. 108-7 .

Section 146(b) of Pub. L. 108-7 provided:

"(b) Notwithstanding any other provision of law, $5,000,000 from the Charter School Fund established pursuant to section 2403(b) of the District of Columbia School Reform Act of 1995 (D.C. Official Code, sec. 38-1804.03(b) ), as amended by subsection (a), shall be deposited not later than 15 days after the date of the enactment of this Act into the credit enhancement revolving fund established pursuant to section 603(e) of the Student Loan Marketing Association Reorganization Act of 1996 ( 20 U.S.C. 1155(e) )."

Section 335(c) of Pub. L. 108-335 provided that the amendments made by this section shall apply with respect to fiscal year 2005 and each succeeding fiscal year.

Section 827 of Pub. L. 110-161 , Dec. 26, 2007, 121 Stat. 2042, provided:

"In fiscal year 2008 and thereafter, amounts deposited in the Student Enrollment Fund shall be available for expenditure upon deposit and shall remain available until expended consistent with the terms detailed in 'The Student Funding Formula Assessment, Educational Data Warehouse, and Enrollment Fund Establishment Amendment Act of 2007' (title IV-D of D.C. Law 17-0020) and the entire provisions of that Act are incorporated herein by reference."