1. (1) LEGISLATIVE INTENT.--The Legislature recognizes that private contributions can play an important role in enabling school districts to achieve a margin of excellence within existing state and local funding. It is, therefore, the intent of the Legislature to provide each school district with the opportunity to receive private donations and provide private donors with an incentive in the form of matching grants for contributions for the improvement of schools and academic programs within the district school system.
2. (2) FUNDING.--The Florida School Improvement and Academic Achievement Trust Fund shall be utilized to provide challenge grants and matching endowment grants to district school boards that meet the requirements of this section. All funds appropriated or retained in the trust fund shall be invested pursuant to s. 18.125. Notwithstanding the provisions of s. 216.301, and pursuant to s. 216.351, any undisbursed balance remaining in the trust fund and interest accruing to that portion of the trust fund not matched and distributed to the district school boards shall remain in the trust fund and shall increase the total funds available for challenge grants and matching endowment grants.
3. (3) ADMINISTRATION.--The Commissioner of Education shall specify procedures for submitting, documenting, and approving requests for matching funds and for maintaining accountability for endowments and the proceeds of endowments; and establish restrictions on the use of proceeds from endowments. The commissioner shall specify conditions under which matching funds may be encumbered by a down payment and a pledged schedule of future contributions. Such conditions shall include conditions of default and reinstatement of defaulted pledges.

4. (4) ALLOCATION OF THE TRUST FUND.--Funds appropriated to the trust fund shall be allocated by the Department of Education in the following manner:

   1. (a) For every year in which there is a legislative appropriation to the trust fund, the lesser of the amount appropriated divided by the number of districts or $10,000 must be reserved to provide each district school board with an opportunity to receive and match a challenge grant. The balance of the funds shall be available for matching by any district school board. Trust funds which remain unmatched by contribution on March 1 of any year shall also be available for matching by any district school board. The commissioner shall adopt procedures providing all district school boards with an opportunity to apply for excess trust funds prior to awarding such funds. However, no district school board may receive more than its percentage of the total full-time equivalent enrollment or 15 percent, whichever is greater, of the funds appropriated to the trust fund for that fiscal year.

   2. (b) Contributions made after June 1, 1995, for a specific purpose other than those enumerated in paragraphs (c) and (d) shall be matched in the following manner:

      1. Each school district that raises a contribution of at least $50,000, but no more than $99,000, from a private source shall receive a matching grant equal to 25 percent of the private contribution.

      2. Each school district that raises a contribution of at least $100,000, but no more than $599,999, from a private source shall receive a matching grant equal to 50 percent of the private contribution.

      3. Each school district that raises a contribution of at least $600,000, but no more than $1 million, from a private source shall receive a matching grant equal to 70 percent of the private contribution.

      4. Each school district that raises a contribution in excess of $1 million, but no more than $1.5 million, from a private source shall receive a matching grant equal to 75 percent of the private contribution.

      5. Each school district that raises a contribution in excess of $1.5 million, but no more than $2 million, from a private source shall receive a matching grant equal to 80 percent of the private contribution.

      6. Each school district that raises a contribution in excess of $2 million from a private source shall receive a matching grant equal to 100 percent of the private contribution.

   3. (c) Contributions made after June 1, 1995, for the establishment of an endowment to be used at the discretion of the district school board for improving schools and academic achievement within the school district, which is not restricted for use by a specific school, discipline, or program, and which is at least in the amount of $100,000, shall be matched at the rate of 70 percent of the private contribution.
   4. (d) Contributions made after June 1, 1995, for the establishment of an endowment to be used at the discretion of the district school board for improving schools and academic achievement within the school district, which is not restricted for use by a specific school, discipline, or program, and which is in excess of the amount of $1 million, shall be matched pursuant to paragraph (b).
   5. (e) Pledged contributions shall be eligible for matching pursuant to this section, provided that such contributions shall not be eligible for matching prior to the actual collection of the total contribution. Matching grants shall be distributed on the last day of each calendar quarter. If the total of the amounts to be distributed in any quarter pursuant to this subsection exceeds the amount of funds remaining from specific appropriations made for the implementation of this section, all grants for that quarter shall be proportionately reduced so that the total of matching grants distributed does not exceed available appropriations.

5. (5) DISTRICT-LEVEL ADMINISTRATION.--

   1. (a) Each district school board participating in the Florida School Improvement and Academic Achievement Trust Fund shall separately account for all funds received pursuant to this section, including interest, and may establish a District School Improvement and Academic Achievement Trust Fund. The sources of funds shall be private contributions, state matching funds, and interest earnings on investments of such funds. State matching funds shall be transferred to the district upon notification that the district school board direct-support organization has received and deposited a private contribution which meets the criteria for matching as provided in this section.
   2. (b) The direct-support organization serving the district school board shall be responsible for soliciting and receiving contributions to be deposited and matched with challenge grants for establishing endowments for school improvement and academic achievement within the school district.
   3. (c) Each district school board shall be responsible for proper expenditure of the funds received pursuant to this section.
6. (6) PROHIBITED USES.--The donations, state matching funds, or proceeds from endowments established pursuant to this section shall not be expended for the construction of facilities or for the support of interscholastic athletics. No district school board or district school board direct-support organization shall accept or purchase facilities for which the state will be asked for operating funds unless the Legislature has granted prior approval for such acquisition.

History.--s. 1, ch. 95-270.