An Act to Provide an Additional Allocation in the School Funding Formula to Cover Tax-exempt Property or a . Large Economically Disadvantaged Stident Population
Maine Legislature, Session 131, LD 1402
Committee Amendment CA_A_H859 (House)
Amends: 20-A MRSA §254, 20-A MRSA §15689-B

COMMITTEE AMENDMENT " f\ " to H.P, 897, L,D. 1402, "An Act to Provide an
Additional Allocation in the School Funding Formula to Cover Tax-exempt Property or a
. Large Economically Disadvantaged Stident Population"
Amend the bill by striking out the title and substituting the following:
'An Act Regarding Unobligated Balances from Amounts Appropriated for General
Purpose Aid for Local Schools and to Require Annual Reports on School
Demographies'
Amend the bill by striking out all of the emergency preamble.
Amend the bill by striking out everything after the enacting clause and inserting the
following;
'See. 1. 20-A MRSA §254, sub-§20 is enacted to read;
20. Annual demoeraphic profile report. By January 15. 2025 and amiually
thereafter, the commissioner shall submit to the joint standing committee of the Legislature
having iurisdiction over education matters a report on the demographic profiles of public
schools and public school students in the State,
Sec. 2. 20-A MRSA §15689-B, sub-§8, as enacted by PL 2005,c, 2, Pt, D, §61
and affected by §§72 and 74 and c, 12, Pt. WW, §18, is amended to read:
8. Unobligated balances. Unobligated balances from amounts appropriated for
general purpose aid for local schools may not lapse but must be carried forward to the next
fiscal year and. on or before October 1st of each year, at least 60% of the unoblieated
balances must be transferred to the Maine Municipal Bond Bank for the School Revolving
Renovation Fund established under Title 30-A. section 6006-F,
Sec. 3. Development of annual demographic profile report. The
Commissioner of Education shall consult with the Education Research Institute and
Education Research Institute Steering Committee established under the Maine Revised
Statutes, Title 20-A, section 10 on the initial development of the annual demographic
5 profile report required pursuant to Title 20-A, section 254, subsection 20.'
COMMITTEE AMENDMENT
^
COMMITTEE AMENDMENT "^f" to H.P. 89.7, L.D. 1402
Amend the bill by relettering or renumbering any nonconsecutive Part letter or section
number to read consecutively,
. SUMMARY
This amendment replaces the bill, changes the title and removes the emergency
preamble and clause. The amendment requires the Commissioner of Education to report
annually to the joint standing committee of the Legislature having jurisdiction over
education matters on the demographic profiles of public schools and students in Maine and
to consult with the Maine Education Policy Research Institute and its steering committee
on the initial development of the demographic profile report,
This amendment also requires that, of the unobligated balances in the Department of
Education's general purpose aid for local schools account that are carried forward to the
next fiscal year, at least 60% must be transferred to the School Revolving Renovation Fund
no later than October 1 st of each year,
FISCAL NOTE REQUIRED
(See attached)
Page2-131LR0724(02)
COMMITTEE AMENDMENT
Approved; 02/29/24 ^S^-
LD 1402 LR 724(02)
An Act to Provide an Additional Allocation in the School Funding Formula to Cover Tax-exempt
Property or a Large Economically Disadvantaged Student Population
Fiscal Note for Bill as Amended by Committee Amendment'/{' / ^-/^
Committee; Education and Cultural Affairs
Fiscal Note Required: Yes
Fiscal Note
Directs spending of unencumbered balances - General Purpose Aid for Local Schools (GPA)
Potential increase in funding - School Revolving Renovation Fund
Fiscal Detail and Notes
Unobligated balances in-the GPA program within the Department of Education at the end of each fiscal year are
carried forward into the next fiscal year and expended only if authorized by the Governor through a financial order or
approved by the Legislature through a budget or other legislative document, In past fiscal years these funds have been
used to cover funding shortfalls in such areas as National Board Certification Salary supplements, state agency clients,
data management and other targeted education costs, In fiscal year 2022-23 a financial order was approved to cover a
$10,000,000 shortfall in the free school breakfast and lunch program enacted in Public Law 2021, chapter 635, The
Legislature also authorized $40,000,000 to lapse to the unappropriated surplus of the General Fund at the end of fiscal
year 2022-23 in Public Law 2023, chapter 412, Part FFFFF (the 2024-2025 biennial budget) to support the costs of
other initiatives in the budget, In this fiscal year a financial order has been approved for $7,530,891 to cover subsidy
obligations, hardship payments and increased costs at the Maine Educational Center for the Deaf and Hard of Hearing
and the Governor Baxter School for the Deaf, Additionally, a financial order for $8,000,000 to cover a shortfall in the
Child Development System is currently awaiting approval,
Requiring that at least 60% of the unobligated balances in the GPA program account that have been carried forward
from the previous fiscal year be transferred to the Maine Municipal Bond Bank for the School Revolving Renovation
Fund (SRRF) on or before October 1st of each year will increase funding to the SRRF and reduce funding available to
cover various unanticipated shortfalls and other expenditures in the future. This may result in additional General Fund
appropriations being required or a curtailment of spending in affected programs,
Additional costs to the Department of Education to consult with the Maine Education Policy Research Institute and its
steering committee on initial development of an annual demographic profile report on public schools and public
school students in the State can be absorbed within existing budgeted resources.
LR0724(02) - Fiscal Note - Page 1 of 1