Update to Rules for Administration of the Public School Finance Act of 1994 (1 CCR 301-39)

On Thursday, March 14, 2024 the State Board of Education approved changes to the Rules for the Administration of the Public School Finance Act of 1994 (1 CCR 301-39).

Approved: Rules for the Administration of the Public School Finance Act of 1994 (1 CCR 301-39)

On Thursday, March 21, 2024 the School Auditing Office held an informational session which highlighted changes in the adopted rules that will impact funding and audit documentation requirements starting with the 2024-25 school year.

Informational Session Presentation (PDF)

Informational Session Presentation Recording (Vimeo link)

Notice of Rulemaking

Section 22-54-120, C.R.S., grants the State Board the authority to “make reasonable rules and regulations necessary for the administration and enforcement” of the Public School Finance Act of 1994. The current Rules for the Administration of the Public School Finance Act (PFSA) of 1994 are published in the 1 CCR 301-39. These rules define the requirements for students to be eligible for public school funding for “brick-and-mortar” public schools. These rules are further implemented through the 2023 Student October Count Audit Resource Guide. Funding for online schools is addressed in separate rules, 1 CCR 301-71.

Education has evolved since 1994 and has rapidly changed in recent years. As such, CDE has been exploring areas where there could be greater flexibility through the Blended Learning Initiative (BLI). The BLI allowed variances in school years 2021-22, 2022-23 and 2023-24 for schools and districts wanting to schedule students in nontraditional courses over 40% of the time. These variances allowed newer models of learning to qualify for per pupil funding.

The proposed rules are designed to formalize the best practices learned through these endeavors and expand what qualifies for funding.

The proposed rules move away from the traditional practice of forcing instructional time into a “seat time” model. These rules incorporate aspects of the model used under the Online School Act for nontraditional courses, including equivalency statements.

December 2023

Notice of Rulemaking Memo

December 13 SBE Presentation

Redline for December SBE Meeting

Redline with Annotations for December SBE Meeting

February 2024

February Memo for Rulemaking Hearing

February 14 SBE Presentation

February 15 SBE Presentation

New Proposed Language for February SBE Meeting

Full Redline for February SBE Meeting

Redline of Only New Proposed Language for February SBE Meeting