Resolve, To Establish the Commission To Strengthen the Adequacy and Equity of Certain Cost Components of the School Funding Formula
Maine Legislature, Session 126, LD 1850

Legislative Document 
No. 1850 
H.P. 1335 
House of Representatives, March 31, 2014 
Resolve, To Establish the Commission To Strengthen the Adequacy 
and Equity of Certain Cost Components of the School Funding 
Formula 
(EMERGENCY) 
Reported by Representative MacDONALD of Boothbay for the Joint Standing Committee 
on Education and Cultural Affairs pursuant to Resolve 2011, chapter 166, section 8. 
MILLICENT M. MacFARLAND 
Clerk 
Emergency preamble. Whereas, acts and resolves of the Legislature do not 
become effective until 90 days after adjournment unless enacted as emergencies; and 
Whereas, this legislation needs to take effect before the expiration of the 90-day 
period in order to allow the commission established in this resolve sufficient time to 
complete its work; and 
Whereas, in the judgment of the Legislature, these facts create an emergency within 
the meaning of the Constitution of Maine and require the following legislation as 
immediately necessary for the preservation of the public peace, health and safety; now, 
therefore, be it 
Sec. 1.  Commission established.  Resolved:  That, notwithstanding Joint Rule 
353, the Commission To Strengthen the Adequacy and Equity of Certain Cost 
Components of the School Funding Formula, referred to in this resolve as "the 
commission," is established; and be it further 
Sec. 2.  Commission membership.  Resolved:  That the commission consists of 
members as follows: 
1.  Appointments by Senate President.  Two members of the Senate, who serve on 
the Joint Standing Committee on Education and Cultural Affairs, appointed by the 
President of the Senate, including one member of the party holding the largest and one 
member of the party holding the 2nd largest number of seats in the Legislature; 
2.  Appointments by Speaker of the House.  Three members of the House of 
Representatives, who serve on the Joint Standing Committee on Education and Cultural 
Affairs, appointed by the Speaker of the House, including 2 members of the party holding 
the largest and one member of the party holding the 2nd largest number of seats in the 
Legislature; 
3.  Commissioner of Education.  The Commissioner of Education or the 
commissioner's designee; 
4.  State Board of Education.  The Chair of the State Board of Education or the 
chair's designee; and 
5.  Public members.  Eleven members with extensive knowledge of public education 
and school finance policies in the State, including: 
A.  One person representing the Maine Education Association, appointed by the 
President of the Senate; 
B.  One person representing the Maine Principals' Association, appointed by the 
Speaker of the House; 
C.  One person representing the Maine School Boards Association, appointed by the 
President of the Senate; 
D. One person representing the Maine School Superintendents Association, appointed 
by the Speaker of the House; 
E.  One person representing the Maine Administrators of Services for Children with 
Disabilities, appointed by the President of the Senate; 
F.  One person representing the Maine Association of School Business Officials, 
appointed by the Speaker of the House; 
G.  One person representing the Maine Small Schools Coalition, appointed by the 
President of the Senate; 
H.  One person representing the larger, urban school administrative units in the State 
represented by the Maine Mayors Coalition, appointed by the Speaker of the House;  
I.  One person representing Educare Central Maine, appointed by the Speaker of the 
House;  
J.  One person representing Educate Maine, appointed by the President of the Senate; 
and 
K.  One person representing the Maine Municipal Association, appointed by the 
Speaker of the House; and be it further 
Sec. 3.  Chairs.  Resolved:  That the first-named Senate member is the Senate 
chair and the first-named House of Representatives member is the House chair of the 
commission; and be it further 
Sec. 4.  Appointments; convening of commission.  Resolved:  That all 
appointments must be made no later than 30 days following the effective date of this 
resolve. The appointing authorities shall notify the Executive Director of the Legislative 
Council once all appointments have been completed.  Within 15 days after appointment 
of all members, the chairs shall call and convene the first meeting of the commission, 
which must be no later than 30 days following the appointment of all members; and be it 
further 
Sec. 5.  Duties.  Resolved:  That the commission shall hold no more than 6 
meetings.  The commission shall examine the reports and related work products presented 
to the Joint Standing Committee on Education and Cultural Affairs during the 126th 
Legislature as part of the independent review of the Essential Programs and Services 
Funding Act conducted pursuant to Resolve 2011, chapter 166 and shall develop a plan to 
strengthen the adequacy and equity of the following cost components included in the 
Essential Programs and Services Funding Act and other related education statutes. 
1.  Public preschool programs for children 4 years of age.  As part of the review 
and analysis of public preschool programs for children 4 years of age, the commission 
shall: 
A.  Review the work products and any proposed rules developed by the Department 
of Education's work group to implement quality standards of practice for Maine 
public preschool programs, including an analysis of the standards proposed to address 
quality and consistency of public preschool programs and collaboration with other 
early childhood and preschool programs; 
B.  Conduct an analysis of the targeted funds for public preschool to grade 2 students 
that are allocated specifically for preschool students and conduct an analysis of the 
projected costs for providing public preschool programs for all eligible children 4 
years of age in the State; 
C.  Review the current method for calculating the number of public preschool 
students enrolled in a school administrative unit's public preschool program and 
conduct an analysis of the projected costs for changing the current method for 
calculating the number of public preschool students that counts each public preschool 
student as a 0.5 full-time equivalent student for the first year and a 1.0 full-time 
equivalent student beginning in the 2nd year to a new method that counts each public 
preschool student as a 1.0 full-time equivalent student for the first year and 
subsequent years; and 
D.  Collect and review information on the physical space and facility capacity of 
school administrative units and project the school facility costs necessary to 
implement public preschool programs for eligible children 4 years of age in the State. 
2.  Support for economically disadvantaged students; Title I funds.  As part of the 
review and analysis of the cost components related to strengthening support for 
economically disadvantaged students, including the provision of funding under Title I of 
the federal Elementary and Secondary Education Act of 1965, 20 United States Code, 
Section 6301 et seq., referred to in this resolve as "Title I," and resources to provide extra 
help for struggling students, such as extended school days and summer school programs, 
the commission shall: 
A.  Collect school administrative unit spending data on the number of Title I teachers 
and education technicians in order to update the staffing ratios in the essential 
programs and services funding formula; 
B.  Conduct an analysis of the updated data collected on student-teacher and student-
education technician staffing ratios in the essential programs and services funding 
formula in order to separate the groups of teachers into the following categories:  
classroom teachers, Title I teachers and teacher leaders or instructional coaches; 
C.  Develop a plan for adjusting the costs of the essential programs and services 
funding formula to account for the separate costs of classroom teachers, Title I 
teachers, education technicians and teacher leaders or instructional coaches; 
D.  Conduct research and analysis of the structures, programs, costs and achievement 
impacts of evidence-based practices in other states related to extended school day and 
summer school programs and also analyze examples of extended school day and 
summer school programs provided by school administrative units in the State; 
E.  Develop 2 or more models for funding and evaluating extended school day and 
summer school programs for inclusion in the essential programs and services funding 
formula; and 
F.  Project the financial impact of the adjustments under this subsection to the 
essential programs and services funding formula. 
3.  Professional development and collaborative time needed to implement 
proficiency-based learning.  As part of the research and analysis of the cost components 
related to strengthening support for professional development, collaborative time to 
implement proficiency-based learning and spending data on teacher leaders or 
instructional coaches, including the following aspects of the cost components, the 
commission shall: 
A.  Collect school administrative unit spending data on professional development 
programs and collaborative time for teachers, as well as the school administrative unit 
spending data on teacher leaders or instructional coaches in order to update the 
staffing ratios in the essential programs and services funding formula; 
B.  Establish a dedicated funding mechanism and process, such as a supplemental 
professional development block grant program, that allows the Department of 
Education to provide funding to school administrative units that submit proposals to 
secure professional development funds; 
C.  Create a standards-based inventory of effective professional development 
programs and strategies from which school administrative units may select programs 
and strategies in order to receive supplemental professional development block grant 
funds; and 
D.  Develop an implementation plan for increasing the allocation of funds for 
professional development, collaborative time for teachers and teacher leaders or 
instructional coaches and include provisions in the implementation plan to monitor 
the use of these funds by school administrative units. 
4.  Regional cost adjustment for teacher salaries.  As part of the research and 
analysis of the cost components related to the regional cost adjustment for teacher 
salaries, the commission shall: 
A.  Collect and update school administrative unit data included in the regional 
adjustment for teacher salaries pursuant to the Maine Revised Statutes, Title 20-A, 
section 15682; 
B.  Recalculate the regional adjustments using the most recent teacher salary data 
available and conduct analyses using the 35 labor market areas currently included in 
the essential programs and services funding formula and using the 31 labor market 
areas developed by the Department of Labor; and 
C.  Conduct research and analysis of the strategies used in other states to address 
teacher salary gaps in school districts. 
5.  Debt service for locally approved school construction projects in the required 
local share of school funding.  As part of the research and analysis of the cost 
components related to debt service for locally approved school construction projects in 
the required state and local shares of school funding under the Essential Programs and 
Services Funding Act, the commission shall: 
A.  Review the statutory provisions under the Maine Revised Statutes, Title 20-A, 
section 15672, subsection 2-A related to determination of debt service costs that are 
included and excluded from the school construction projects that are recognized in 
the required state and local shares of school funding; 
B.  Review school administrative unit data related to energy and other costs related to 
minor capital costs, defined in the Maine Revised Statutes, Title 20-A, section 15672, 
subsection 20-A; and  
C.  Review the statutory provisions under the Maine Revised Statutes, Title 30-A, 
section 6006-F related to the School Revolving Renovation Fund. 
6.  Special education allocation for minimum subsidy receivers.  The commission 
shall review the statutory provisions under the Maine Revised Statutes, Title 20-A, 
section 15689, subsections 1, 1-B and 11 that reduce the special education allocations for 
minimum subsidy receivers from 100% to 30% of special education costs, and the 
commission shall develop one or more models to align the special education allocations 
for minimum subsidy receivers with the progress of state funding levels necessary to 
progress towards meeting the statutory obligation to fund 55% of the total cost of 
education statewide. 
7.  State contributions to fund the cost of the unfunded actuarial liability for 
retired teachers.  The commission shall review the statutory provisions under the Maine 
Revised Statutes, Title 20-A, section 15671, subsection 7, paragraph C that recognize the 
state contributions to fund the cost of the unfunded actuarial liability for retired teachers, 
and the commission shall make recommendations on whether the calculation of the state 
share percentage of the total cost of funding public education from kindergarten to grade 
as required by the Essential Programs and Services Funding Act should continue to 
include the state contributions to fund the cost of the unfunded actuarial liability for 
retired teachers; and be it further 
Sec. 6.  Contract to review essential programs and services components.  
Resolved:  That, for fiscal year 2014-15, the Commissioner of Education shall contract 
with a statewide education research institute to review the cost components of the 
Essential Programs and Services Funding Act and related education statutes pursuant to 
section 5 of this resolve.  The contract must be funded with funding allocated for the 
purposes of Title 20-A, section 15689-A, subsection 3.  The commissioner may not 
contract with a statewide education research institute to review certain cost components 
of the Essential Programs and Services Funding Act in accordance with the schedule 
established in Title 20-A, section 15686-A; and be it further 
Sec. 7.  Contract for Education Research Institute.  Resolved:  That, if 
funds are required in addition to the funds provided pursuant to section 6 of this resolve 
for the compilation and analysis of education data necessary to fulfill the duties 
established pursuant to section 5 of this resolve, notwithstanding the Maine Revised 
Statutes, Title 20-A, section 15689-A, subsection 6, for fiscal year 2014-15, the 
Commissioner of Education and the Legislature may contract with the Education 
Research Institute in accordance with Title 20-A, section 10 and use funds otherwise 
provided for a contract pursuant to Title 20-A, section 15689-A, subsection 6.  The 
contract authorized in accordance with Title 20-A, section 15689-A, subsection 6 for 
fiscal year 2014-15 may not exceed the balance of funds remaining after funds are 
allocated for this purpose; and be it further 
Sec. 8.  Staffing assistance; information.  Resolved:  That the Department of 
Education and the Education Research Institute established pursuant to the Maine 
Revised Statutes, Title 20-A, section 10 shall provide staffing assistance to the 
commission.  The Department of Education and the Education Research Institute shall 
provide the commission with access to previous reports on school funding in the State 
and access to database information necessary to carry out the duties pursuant to section 5 
of this resolve.  The Office of Policy and Legal Analysis shall provide drafting assistance 
to the commission; and be it further 
Sec. 9.  Report; recommendations.  Resolved:  That the commission shall 
submit a report containing its findings and recommendations pursuant to section 5 of this 
resolve, including any necessary implementing legislation, to the joint standing 
committee of the Legislature having jurisdiction over education and cultural affairs by 
December 9, 2014.  The joint standing committee of the Legislature having jurisdiction 
over education and cultural affairs may submit a bill related to this report to the First 
Regular Session of the 127th Legislature; and be it further 
Sec. 10.  Appropriations and allocations.  Resolved:  That the following 
appropriations and allocations are made. 
EDUCATION, DEPARTMENT OF  
General Purpose Aid for Local Schools 0308 
Initiative: Provides one-time funds to contract for staff support for the Commission To 
Strengthen the Adequacy and Equity of Certain Cost Components of the School Funding 
Formula. 
Emergency clause.  In view of the emergency cited in the preamble, this 
legislation takes effect when approved. 
SUMMARY 
This resolve is reported out by the Joint Standing Committee on Education and 
Cultural Affairs pursuant to Resolve 2011, chapter 166, section 8.  As required by the 
resolve, the qualified research entity selected to conduct the independent review of the 
Essential Programs and Services Funding Act submitted a final report to the committee 
that included findings, conclusions and recommendations regarding changes to the 
Essential Programs and Services School Funding Act. 
GENERAL FUND 
2013-14
2014-15
All Other 
$0
$10,000
GENERAL FUND TOTAL 
$0
$10,000
The resolve establishes the Commission To Strengthen the Adequacy and Equity of 
Certain Cost Components of the School Funding Formula.  The commission is directed to 
examine the reports and related work products presented to the Joint Standing Committee 
on Education and Cultural Affairs during the 126th Legislature as part of the independent 
review of the Essential Programs and Services Funding Act and to develop a plan to 
strengthen the adequacy and equity of the following cost components of the Essential 
Programs and Services Funding Act and related education statutes: 
1.  Public preschool programs for children 4 years of age; 
2.  Support for economically disadvantaged students, including Title I funds and extra 
help for struggling students; 
3.  Professional development and collaborative time needed to implement 
proficiency-based learning; 
4.  Regional cost adjustment for teacher salaries; 
5.  Debt service for locally approved school construction projects in the required local 
share of school funding; 
6.  Special education allocation for minimum subsidy receivers; and 
7.  State contributions to fund the cost of the unfunded actuarial liability for retired 
teachers. 
The commission is required to submit a report to the joint standing committee of the 
Legislature having jurisdiction over education and cultural affairs by December 9, 2014.  
The report submitted by the commission must include findings, recommendations and 
any necessary implementing legislation.  The joint standing committee of the Legislature 
having jurisdiction over education and cultural affairs may submit a bill related to this 
report to the First Regular Session of the 127th Legislature. 
Approved: 03/28/14
LD     
LR 2782(01)
FY 2013-14
FY 2014-15
Projections 
FY 2015-16
Projections 
FY 2016-17
Net Cost (Savings)
General Fund
$0
$10,000
$0
$0
Appropriations/Allocations
General Fund
$0
$10,000
$0
$0
Legislative Cost/Study
Fiscal Detail and Notes
Current law requires the Department of Education to contract with a statewide education research institute for the 1) 
updating of the essential programs and services components (Title 20-A, §15689-A, sub-§3) and 2) the compilation 
and analysis of education data (Title 20-A, §15689-A, sub-§6).  For fiscal year 2014-15,  $250,000 is currently 
budgeted within the General Purpose Aid for Local Schools General Fund program account for each of these 
contracts, for a total of $500,000.  This legislation requires that, for fiscal year 2014-15 only, the Department of 
Education not contract with a statewide education research institute for the purposes established in current law, but 
instead allows these funds to be utilized to support the work of the Commission.
This bill includes a one-time General Fund appropriation of $10,000 in fiscal year 2014-15 to the General Purpose Aid 
for Local Schools program within the Department of Education for the costs associated with contracting with a 
staffing agency to provide assistance to the commission.
Fiscal Note
Legislative Cost/Study
The general operating expenses of this study commission are projected to be $1,500 in fiscal year 2013-14 and $3,000 
in fiscal year 2014-15.  The Legislature's proposed budget includes $10,000 in fiscal year 2013-14 and $10,000 in 
fiscal year 2014-15 for legislative studies.  Whether the amounts are sufficient to fund all studies will depend on the 
number of studies authorized by the Legislative Council and the Legislature.  The additional costs of providing 
drafting assistance to the study commission can be absorbed utilizing existing budgeted staff resources.
Fiscal Note Required: Yes
Resolve, To Establish the Commission To Strengthen the Adequacy and Equity of Certain Cost 
Components of the School Funding Formula
Fiscal Note for Original Bill
Committee: Education and Cultural Affairs
LR2782(01) - Fiscal Note - Page 1 of 2
Pursuant to Public Law 2013, Chapter 368, Part F, the Governor's Office of Policy and Management identified 
potential savings for fiscal year 2014-15 and submitted its recommendations to the Joint Standing Committee on 
Appropriations and Financial Affairs on October 2, 2013.  The report included a recommendation to eliminate the 
$500,000 in funding for both of the contracts listed in the paragraph above. Part F authorizes the Joint Standing 
Committee on Appropriations and Financial Affairs to submit legislation related to the report to the Second Regular 
Session of the 126th Legislature. Whether this recommendation will be included in legislation that may be reported 
out by the Joint Standing Committee on Appropriations and Financial Affairs can not be determined at this time.  If 
the recommendation is included and the legislation is approved by the Legislature and signed by the Governor, this 
funding will not be available to support the work of the Commission.  Unless an alternative funding source is 
identified or a General Fund appropriation is provided, the Commission may not be able to complete all of the 
requirements of this legislation.
LR2782(01) - Fiscal Note - Page 2 of 2