Section 0520-12-05-.08 - LOCAL CONTRIBUTION AND FISCAL CAPACITY(1) The Department will calculate the Local Contribution of each LEA using the following methodology:(a) For each of the Base Funding Amount and weighted components of the TISA, the Department will calculate thirty percent (30%) of the total statewide allocations generated under TISA for each component.(b) The resulting amount will be multiplied by a county's Fiscal Capacity to determine the county's Local Contribution for each component.(c) For counties with multiple LEAs, the Department will determine the proportion of the total TISA funds for each the Base Funding Amount and weighted components generated by each LEA within the county relative to the sum total of all TISA funds generated within the county. This proportion will then be multiplied by the county's Local Contribution to determine each LEA's individual contribution value.(d) The required Local Contributions for the Base Funding Amount and weights will then be summed to determine the total Local Contribution for each LEA.(2) The Department will use Fiscal Capacity indices from the Tennessee Advisory Commission on Intergovernmental Relations (TACIR) and the Boyd Center for Business and Economic Research (CBER) at the University of Tennessee provided no later than May 1 of each year, weighted equally, to determine the Fiscal Capacity of each county.(3) In compliance with T.C.A. § 49-3-104(13), the formulas established by both TACIR and CBER shall be evaluated by the comptroller of the treasury and approved by the State Board of Education. The comptroller of the treasury may make recommendations on any changes to the Fiscal Capacity formulas to the State Board of Education, and the State Board shall establish a process and timeline for approval of the formulas.Tenn. Comp. R. & Regs. 0520-12-05-.08
New rules filed November 17, 2022; effective 2/15/2023.Authority: T.C.A. §§ 49-3-103(c) and 49-3-115.