Section 49-3-109 - State and local contributions - Determination of fiscal capacity(a) The state shall provide: (1) Seventy percent (70%) of the total funding allocation that students generate pursuant to § 49-3-105(a)(1) and (a)(2); and(2) One hundred percent (100%) of: (A) The total funding allocation that students generate pursuant to § 49-3-105(a)(3);(B) The total funding allocation that students generate pursuant to § 49-3-106; and(C) The total funding allocated pursuant to § 49-3-107.(b) The local share, which must be paid with local government funds, is the remaining thirty percent (30%) of the total funding allocation that students funded by a local government generate pursuant to § 49-3-105(a)(1) and (a)(2).(c) Each county's fiscal capacity must be determined pursuant to the fiscal capacity calculation no later than May 1 immediately preceding the school year for which students generate the total funding allocation. The annual fiscal capacity calculation, including the underlying data and the determination for each county, must be reported publicly. The fiscal capacity of a county for a school year shall not be revised after its fiscal capacity has been determined for that school year.(d) A county's local contribution is calculated by multiplying the county's fiscal capacity by the local share. Each local government's local contribution must be proportional to the funding allocation that students generate in the local government's jurisdiction pursuant to § 49-3-105(a)(1) and (a)(2).(e) The intent of the general assembly is to provide funding on a fair and equitable basis by recognizing the differences in the ability of local jurisdictions to raise local revenues.(f) If a local government fails to approve a budget that includes the local government's local contribution and maintenance of effort obligations by October 1, then the commissioner shall not distribute TISA funds to the LEA until the local government approves a budget that includes such obligations.(g) This part and § 49-3-314(c) establish the minimum education funding that a local government must contribute. This part does not prohibit or limit a local government from contributing more than the local contribution required in subsection (b).Added by 2022 Tenn. Acts, ch. 966, s 1, eff. 7/1/2023.