State Board Meeting - October
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Locale Factor
C.R.S 22-54-103.5(12) establishes the “District Locale Factor” in the new Colorado School Finance Formula (HB24-1448). Under this provision, a district will receive additional funding based on its National Center for Educational Statistics (NCES) Locale Classification. NCES maintains a database of geographic data points focused on assisting educational institutions and the communities they serve. The Locale Classification (Locale Factor) was designed to provide a generalized datapoint of the types of geographical locations in which educational institutions reside.
NCES updates locale classifications annually. A district receives funding based on its current locale classification OR the classification issued immediately prior to the latest classification, whichever results in a greater funding percentage.
Locale classifications are determined by NCES based on data collected by the U.S. Census Bureau, but C.R.S. 22-54-103.5(12)(e)(I) grants CDE the authority to realign a district's classification for purposes of formula funding, based on considerations that would align the district with a similarly situated district that received a different NCES classification. CDE shall consult with legislative counsel staff to obtain any information necessary to make an adjustment.
Locale Factor Redesignation Process
- Districts have until October 1st of the fiscal year to apply for redesignation for the following fiscal year.
- After confirming the applying district is eligible to apply, CDE will review the district's information to determine whether it qualifies for redesignation in one or more of three categories:
- Student location
- School location
- Population density
- Following this review, CDE will consult with Legislative Counsel Staff as required by statue, and issue an initial determination.
- Districts whose applications are denied have 5 business days to request reconsideration based on further information provided by the district.
- Approved redesignations will be implemented in the next fiscal year's School Finance Act calculations.
- The Locale Factor Redesignation Guidelines (Google doc) provide a more comprehensive explanation of the redesignation process.