An Act Making Unified Appropriations and Allocations for the Expenditures of State Government, General Fund and Other Funds, and Changing Certain Provisions of the Law Necessary to the Proper Operations of State Government for the Fiscal Years Ending June 30, 2008 and June 30, 2009
Maine Legislature, Session 123, LD 0499
Committee Amendment CA_A-HA_O_H440 (House)
Amends: 20-A MRSA §15696

HOUSE AMENDMENT ,,0 ,. to COMMl1TEE AMENDMENT "A" to H.P. 383, 
L.D. 499, Bill, "An Act Making Unified Appropriations and Allocations for the 
Expenditures of State Government, General Fund and Other Funds, and Changing Certain 
Provisions of the Law Necessary to the Proper Operations of State Government for the 
Fiscal Years Ending June 30, 2008 and June 30, 2009" 
Amend the amendment in Part XXXX in section 13 in § 1461 in the first paragraph in 
the last line (page 752, line 22 in amendment) by inserting after the following: "section." 
the following: 'In completing the reorganization under this section, school administrative 
units shall strive to create 80 regional state-approved units of school administration or a 
number that meets the administrative efficiencies desired by the Legislature.' 
Amend the amendment in Part XXXX in section 13 in § 1461 by striking out all of 
subsections 3 and 4 and inserting the following: 
'3. Submission of plans. Each school administrative unit shall submit to the 
commissioner its proposed reorganization plan for consolidation into a regional school 
unit that meets the requirements of paragraphs A and B. 
A. A reorganization plan must include: 
(1) The units of school administration to be included in the proposed reorganized 
regional school unit; 
(2) The size, composition and apportionment of the governing body; 
(3) The method of voting of the governing body; 
(4) The composition, powers and duties of any local school committees to be 
created; 
(5) The disposition of real and personal school property; 
(6) 
The disposition of existing school indebtedness and lease-purchase 
obligations if the parties elect not to use the provisions of section 1506 regarding 
the disposition of debt obligations; 
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HOUSE AMENDMENT .. () " to COMMITTEE AMENDMENT "A" to H.P. 383, L.D. 499 
B. 
(7) The assignment of school personnel contracts, school collective bargaining 
agreements and other school contractual obligations; 
(8) The disposition of existing school funds and existing financial obligations, 
including undesignated fund balances. trust funds. reserve funds and other funds 
appropriated for school purposes: 
(9) A transition plan that addresses the development of a budget for the first 
school year of the reorganized unit and interim personnel policies: 
(10) Documentation of the public meeting or public meetings held to prepare or 
review the reorganization plan: 
(11) An explanation of how units that approve the reorganization plan will 
proceed if one or more of the proposed members of the regional school unit fail 
to approve the plan; 
(12) An estimate of the cost savings to be achieved by the formation of a 
regional school unit and how these savings will be achieved: and 
(13) Such other matters as the governing bodies of the school administrative 
units in existence on the effective date of this chapter may determine to be 
necessaty. 
The commissioner shall approve the plan if it meets the following guidelines. 
(1) The proposed regional school unit must serve not fewer than 2.500 students, 
except where circumstances relating to one or more of the following factors 
iustify an exception: 
(a) Geography. including physical proximity and the size of the current 
school administrative unit; 
(b) Demographics, including student enrollment trends and the composition 
and nature of communities in the regional school unit; 
(c) Economics, including existing collaborations to be preserved or enhanced 
and opportunities to deliver commodities and services to be maximized: 
(d) Transportation; 
(e) Population density; 
(0 Other unique circumstances including the need to preserve existing or 
developing relationships. meet the needs of students, maximize educational 
opportunities for students and ensure equitable access to rigorous programs 
for all students; or 
(g) If, after performing due diligence to develop a regional plan that meets 
the 2,500 students enrollment requirement, a school administrative unit is 
unable to achieve the enrollment goal due to the decision of geographically 
proximate school administrative units to participate in a different regional 
unit. 
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(2) The plan must provide comprehensive programming for all students from 
kindergarten to grade 12 and must include at least one publicly supported 
secondary school. 
(3) The plan must be consistent with the policies set forth in section 1451. 
(4) The plan may not displace teachers or students or close any schools existing 
and operating during the school year immediately preceding reorganization, 
except as permitted under section 1512. 
C. 
When circumstances justify an exception to the size requirement of 2.500 
students. the unit must serve as close to 2.500 students as possible. The unit may not 
serve fewer than 1.200 students except in the following circumstances: 
(1) The schools are operated by tribal school committees; or 
(2) The unit is geographically isolated. For purposes of this subparagraph. "a 
geographically isolated unit" includes. without limitation. a unit on a coastal 
island not connected by a road or bridge to the mainland. 
4. Review and approval of plans; exceptions. If the commissioner finds that a plan 
for reorganization meets the requirements of this chapter. the commissioner shall notify 
the municipalities and school administrative units. and they shall proceed with 
referendum. 
A. The commissioner shall approve a regionalization plan that: 
(1) Is consistent with the provisions of section 1451 and clearly addresses each 
of the elements listed in subsection 3. paragraph A; and 
(2) Serves at least 2.500 students or has been granted an exception from the 
minimum size reguirements under subsection 3. paragraph 8, subparagraph (I). 
division (g) or subsection 3, paragraph C. 
B. If the commissioner finds that a plan does not meet the requirements of this 
chapter or denies a request for an exemption from the unit size requirements of this 
section. the commissioner shaH provide a written decision detailing the reasons for 
the denial and specific findings relative to any policies or criteria that have not been 
met. 
C. 
A decision of the commissioner to reject a plan or deny a request for an 
exemption from the unit size requirements must be submitted to the joint standing 
committee of the Legislature having jurisdiction over education matters for review.' 
Amend the amendment in Part XXXX by striking out aU of section 32 and inserting 
the foUowing: 
'Sec. XXXX-32. 20-A MRSA §15696 is enacted to read: 
§15696. Penalties for nonconforming school administrative units 
1. Authorized adjustments. Notwithstanding any other provision of this Title. the 
following adjustments to the calculation of subsidy under chapter 606-8 are reguired 
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HOUSE AMENDMENT "0 "to COMMIITEE AMENDMENT "A" to H.P. 383, L.D. 499 
beginning July 1. 2009 for a school administrative unit that is not a conforming school 
administrative unit: 
A. The nonconforming school administrative unit's state subsidy must be reduced by 
an amount equal to 50% of the legislatively approved elementary schoollevel middle 
school level and high school level per-pupil essential programs and services rate for 
system administration applied to the number of resident pupils at each school level in 
the school administrative unit as of July 1. 2009 until such time as the school 
administrative unit is compliant with the applicable minimum number of resident 
pupils. 
B. The school administrative unit receives less favorable consideration for approval 
and funding for school construction pursuant to rules of the state board. ' 
Amend the amendment in Part XXXX in section 35 in subsection 1 in paragraph C in 
the 2nd line (page 794, line 26 in amendment) by striking out the following: "reflect" and 
inserting the following: 'be guided by' 
Amend the amendment in Part XXXX in section 35 in subsection 1 in paragraph C in 
subparagraph (2) in the 2nd line (page 794, line 29 in amendment) by striking out the 
following: "not more than 80" and inserting the following: 'more efficient' 
Amend the amendment in Part XXXX in section 35 in subsection 4 in the first line 
(page 795, line 23 in amendment) by inserting after the following: "2007" the following: 
'for school administrative units that intend to hold a referendum pursuant to subsection 8 
on or before January 15, 2008 and by May 1, 2008 for school administrative units that 
have not held a referendum pursuant to subsection 8 by January 15,2008' 
Amend the amendment in Part XXXX in section 35 by striking out all of subsections 
6, 7 and 8 and inserting the following: 
'6. Guidelines. In developing a reorganization plan for school administrative units 
in existence on the effective date of this Part, the governing bodies of school 
administrative units shall work within the following guidelines: 
A. The proposed regional school unit must serve not fewer than 2,500 students, 
except where circumstances relating to one or more of the following factors justify an 
exception: 
(1) Geography, including physical proximity and the size of the current school 
administrative unit; 
(2) Demographics, including student enrollment trends and the composition and 
nature of communities in the regional school unit; 
(3) Economics, including existing collaborations to be preserved or enhanced 
and opportunities to deliver commodities and services to be maximized; 
(4) Transportation; 
(5) Population density; 
(6) 
Other unique circumstances including the need to preserve existing or 
developing relationships, meet the needs of students, maximize educational 
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HOUSE AMENDMENT" {) " to COMMITTEE AMENDMENT "A" to H.P. 383, L.D. 499 
opportunities for students and ensure equitable access to rigorous programs for 
all students; or 
(7) If, after perfonning due diligence to develop a regional plan that meets the 
2,500 students enrollment requirement, a school administrative unit is unable to 
achieve the enroJIment goal due to the decision of geographically proximate 
school administrative units to participate in a different regional unit; 
B. The proposed unit, viewed in conjunction with surrounding proposed units, may 
not result in one or more municipalities being denied the option to join a regional 
school unit; 
C. 
The plan must provide comprehensive programming for all students from 
kindergarten to grade 12 and must include at least one publicly supported secondary 
school; 
D. The plan must be consistent with the policies set forth in Title 20-A, section 1451; 
E. The plan may not displace teachers or students or close any schools existing and 
operating during the school year immediately preceding reorganization, except as 
pennitted under section 1512; 
F. The plan must reorganize administrative functions, duties and non instructional 
personnel in order that the following be accomplished: 
(1) The projected expenditures of the reorganized school unit in fiscal year 2008-
for transportation, special education and facilities and maintenance must be 
5% less than the projected transportation, special education and facilities and 
maintenance expenditures of each of the participating school administrative units 
in fiscal year 2007-08; and 
(2) The projected expenditures of the reorganized school unit in fiscal year 2008-
for system administration must be no more than the legislatively approved 
essential programs and services system administration rate established for fiscal 
year 2008-09; and 
G. 
When circumstances justifY an exception to the size requirement of 2,500 
students, the unit must serve as close to 2,500 students as possible. The unit may not 
serve fewer than 1,200 students except in the following circumstances: 
(1) The schools are operated by tribal school committees; or 
(2) The unit is geographically isolated. For purposes of this subparagraph, "a 
geographically isolated unit" includes, without limitation, a unit on a coastal 
island not connected by a road or bridge to the mainland. 
7. Review and approval of plans; exceptions. If the Commissioner of Education 
finds that a plan for reorganization meets the requirements of this Part, the commissioner 
shall notifY the municipalities and school administrative units and they shall proceed with 
referendum. 
A. The Commissioner of Education shall approve a regionalization plan that: 
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HOUSE AMENDMENT lD " to COMMITTEE AMENDMENT" A" to H.P. 383, L.n. 499 
(1) Is consistent with the provisions of the Maine Revised Statutes, Title 20-A, 
section 1451 and clearly addresses each of the elements listed in Title 20-A, 
section 1461, subsection 3, paragraph A; and 
(2) Serves at least 2,500 students or has been granted an exception from the 
minimum size requirements under subsection 6, paragraph A, subparagraph (7) or 
subsection 6, paragraph O. 
B. If the Commissioner of Education finds that a plan for reorganization is not 
consistent with subsection 6 and the purposes and goals of this Part, or that it has not 
adequately addressed the matters set forth in subsection 6, the commissioner shall 
return the plan to the governing bodies of those school administrative units by 
December 15, 2007 with specific suggestions for modification of the plan. 
C. Upon the return of a reorganization plan by the Commissioner of Education, the 
governing body of the school administrative unit shall revise the proposed plan for 
reorganization to address the commissioner's fmdings and submit a revised plan for 
reorganization not more than 30 days after the commissioner returns the plan for 
revision. 
D. The Commissioner of Education shall approve or disapprove the revised plan for 
reorganization not more than 14 days after it is refiled by the unit. 
8. 
Referendum on reorganization plan. 
The municipal officers of each 
municipality in a proposed reorganized school administrative unit shall place a warrant 
article substantially as follows on the ballot of a municipal referendum conducted in 
accordance with the referendum procedures applicable to the school administrative unit 
of which the municipality is a member. A referendum may be held on or before January 
15, 2008 but if it is not, a referendum must be held on June 10, 2008. 
"Article: 
Do you favor approving the school administrative reorganization plan 
prepared by the (insert name) Reorganization Planning Committee to reorganize 
(insert names of affected school administrative units) into a regional school unit, with 
an effective date of 
? 
YesINo" 
The following statement must accompany the article: 
"Explanation: 
A "YES" vote means that you approve of the (municipality or school administrative 
unit) joining the proposed regional school unit, which will be provided with the 
following incentives: 
More favorable consideration in approval and funding of school construction 
projects; and 
Eligibility for additional financial support for reorganization costs. 
A "NO" vote means that you do not approve of the (municipality or school 
administrative unit) joining a regional school unit, which will result in the existing 
(municipality or school administrative unit) receiving the following penalties: 
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IS 
HOUSE AMENDMENT "0 " to COMMITTEE AMENDMENT "A" to H.P. 383, L.D. 499 
Less favorable consideration in approval and funding of school construction 
projects; and 
A reduction in state funding of education costs in an amount estimated to be 
$ 
for school year 200_ and $ 
for school year 200-, with the 
possibility of ongoing penalties for continued failure to join an approved regional 
school unit. 
Reductions in state education funding will likely result in an 
increased mill rate expectation to meet the local share of education costs." 
The Department of Education shall pay the cost of a referendum conducted before or on 
January 15,2008.' 
Amend the amendment in Part XXXX in section 45 by striking out all of subsection 6 
and inserting the following: 
'6. 
Report its interim fmdings regarding progress towards consolidation and 
recommendations, including suggested legislation, to the Joint Standing Committee on 
Education and Cultural Affairs by January 18, 2008 and submit a fmal report, including 
suggested legislation, to the joint standing committee of the Legislature having 
jurisdiction over education matters by January 10, 2009. In its recommendations, the 
department shall include proposals to extend, modify or repeal the current validation 
referendum process. Following receipt and review of the report, the joint standing 
committee of the Legislature having jurisdiction over education matters shall report out a 
bill to the First Regular Session of the 125th Legislature that extends, modifies or repeals 
the current validation referendum process.' 
SUMMARY 
This amendment amends the framework for the reorganization of school 
administrative units as proposed in Committee Amendment "A" in the following ways: 
1. It clarifies the language regarding the requirements a reorganization plan must 
meet in order to gain the approval of the Commissioner of Education. 
If the 
commissioner rejects a plan or a request for an exemption from unit size requirements, 
the commissioner is required to provide a written explanation of the rejection. 
In 
addition, the commissioner is required to submit the explanation for the denial to the joint 
standing committee of the Legislature having jurisdiction over education matters for 
review; 
2. 
It exempts from the minimum student enrollment requirement a school 
administrative unit that develops a regional plan that meets the 2,500 students enrollment 
requirement but is unable to achieve the enrollment goal due to the decision of 
geographically proximate school administrative units to participate in a different regional 
unit; 
3. It allows a school administrative unit to serve fewer than 1,200 students if the unit 
is operated by a tribal school committee or is geographically isolated, which includes a 
unit on a coastal island not connected by a road or bridge to the mainland; 
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HOUSE AMENDMENT" 
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4. It allows a referendum to be held on the proposed reorganization plan any time up 
to January 15, 2008; however, if a referendum is not held by that date, a school 
administrative unit is required to hold a referendum on June 10, 2008; 
5. It allows a school administrative unit that chooses to not hold a referendum until 
June 10, 2008 to submit the reorganization plan to the Commissioner of Education by 
May 1, 2008 instead of December 1, 2007 for those units that hold the referendum no 
later than January 15, 2008; 
6. It revises the penalties for nonconforming units to make those penalties less 
punitive; and 
7. 
It changes the reporting requirements for the Commissioner of Education by 
requiring an interim report to be submitted to the Joint Standing Committee on Education 
and Cultural Affairs by January 18, 2008 regarding progress towards consolidation 
followed by a final report one year later. 
FISCAL NOTE REQUIRED 
d) 
SPONSORED BY: -t--'f---~~Tf--'~-4,;'---'~a-----
(Representative 
TOWN: Farmingdale 
HOUSE AMENDMENT 
Approved: 06/04/07 .:tvae 
LD499 
LR2452(46) 
An Act Making Unified Appropriations and Allocations for the Expenditures of State Government, 
General Fund and Other Funds, and Changing Certain Provisions of the Law Necessary to the Proper 
Operations of State Government for the Fiscal Years Ending June 30, 2008 and June 30, 2009 
Fiscal Note for House Amendment" t) " to Committee Amendment" A" 
Sponsor: Rep. Treat of Farmingdale 
Fiscal Note Required: Yes 
Fiscal Note 
No net fiscal impact 
Fiscal Detail and Notes 
This amendment does not affect General Fund appropriations during the 2008-2009 biennium and a balanced budget is 
maintained. 
LR2452(46) - Fiscal Note - Page 1 of 1