MO SB538

Repeals sections 163.011 and 163.031 and enacts three new sections (163.011, 163.018, and 163.031) relating to state education funding formulas and definitions.

Establishes definitions for calculating state aid distribution including adjusted operating levy, average daily attendance, current operating expenditures, dollar-value modifier, weighted average daily attendance, and performance districts.

Creates new section 163.018 allowing pupils ages 3-5 eligible for free and reduced lunch attending early childhood education programs in districts or charter schools with full-day kindergarten to be included in average daily attendance calculations, effective when appropriations equal or exceed full entitlement funding.

Modifies state aid calculations for school districts using weighted average daily attendance multiplied by state adequacy target and dollar-value modifier, with minimum funding guarantees for districts with lower average daily attendance.

Requires adjustments to the state adequacy target when formula appropriations are insufficient to fully fund entitlements, ensuring districts qualifying under minimum funding provisions receive guaranteed payments regardless of appropriation levels; effective July 1, 2015.