2023 New York Laws › EDN - Education › Title 5 - Taxation and Financial Administration › Article 73 - Apportionment of Public Moneys › Part 1 - General Provisions › 3602 - Apportionment of Public Moneys to School Districts Employing Eight or More Teachers.

§  3602.  Apportionment of public moneys to school districts employing
eight or more teachers.  Notwithstanding any other  provisions  of  this
chapter  or  any  other  provisions  of law, each school district of the
state employing eight or more teachers shall receive  its  apportionment
of  public  money  payable during the school year commencing July first,
nineteen  hundred  ninety-three  and  during  subsequent  school   years
pursuant  to  the  provisions  of  this  section  and  in  lieu  of  any
apportionments or payments otherwise payable under any other section  of
this  chapter  except  any  such  apportionments or payments that may be
payable to such district  for  school  lunches,  for  textbooks,  school
library  materials, computer hardware or computer software, for services
or programs provided by a board of cooperative educational  services  or
by  a county vocational education and extension board for such district,
for the education of Indian children of a reservation under  a  contract
with the state, by virtue of chapter six hundred thirty-five of the laws
of  nineteen  hundred  sixty-one,  for  school  tax  relief  aid, or for
experimental or special programs in selected school districts, including
but not limited to special apportionments and grants-in-aid pursuant  to
section thirty-six hundred forty-one of this article.
1.  Definitions.  As used in this section the following terms shall be
defined as follows:
a. "Current  year"  shall  mean  the  school  year  during  which  the
apportionment is to be paid pursuant to this section.
b.  "Base  year"  shall mean the school year immediately preceding the
current year.
c. "Actual  valuation"  shall  mean  the  valuation  of  taxable  real
property  in a school district obtained by taking the assessed valuation
of taxable real property within such district as  it  appears  upon  the
assessment  roll  of  the  town,  city, village, or county in which such
property is located, for the  calendar  year  two  years  prior  to  the
calendar  year  in  which  the  base  year  commenced, after revision as
provided by law, plus any assessed  valuation  that  was  exempted  from
taxation  pursuant to the class one reassessment exemption authorized by
section four hundred eighty-five-u of the real property tax law  or  the
residential  revaluation  exemption  authorized  by section four hundred
eighty-five-v of such law as added by chapter five hundred sixty of  the
laws   of  two  thousand  twenty-one,  and  dividing  it  by  the  state
equalization rate as determined by  the  commissioner  of  taxation  and
finance,  for the assessment roll of such town, city, village, or county
completed during such preceding calendar year. The actual valuation of a
central high school district shall be the sum of such valuations of  its
component  districts.  Such  actual  valuation  shall include any actual
valuation equivalent of payments in lieu of taxes determined pursuant to
section four hundred eighty-five of the real property tax law. "Selected
actual valuation" shall mean the lesser of actual  valuation  calculated
for  aid  payable  in  the  current  year or the two-year average of the
actual valuation calculated for aid payable in the current year and  the
actual valuation calculated for aid payable in the base year.
d.   "Average  daily  attendance"  shall  mean  the  total  number  of
attendance days of pupils in a public school of  a  school  district  in
kindergarten through grade twelve, or equivalent ungraded programs, plus
the total number of instruction days for such pupils receiving homebound
instruction  including pupils receiving remote instruction as defined in
the regulations of the commissioner, divided by the number of  days  the
district  school  was  in  session  as  provided  in  this  section. The
attendance of pupils with disabilities attending under the provisions of
paragraph c of subdivision two of section forty-four hundred one of this
chapter shall be added to average daily attendance.
(1) Equivalent attendance shall mean the quotient of the total  number
of  student  hours  of  instruction  in programs in a public school of a
school district or a board of cooperative educational  services  leading
to a high school diploma or a high school equivalency diploma as defined
in  regulations  of  the  commissioner  for  pupils  under  the  age  of
twenty-one not on a regular day school register of the district, divided
by one thousand. Average daily attendance shall include  the  equivalent
attendance  of the school district. For the purposes of secondary school
weighting, such equivalent attendance shall  be  considered  as  average
daily attendance in grades seven through twelve.
(2)  In computing average daily attendance, school districts may, with
the commissioner's approval, exclude attendance for those days on  which
school  attendance  was  adversely  affected  because  of an epidemic or
manmade or natural disaster or  act  of  terrorism.  In  computing  such
attendance,  the  school  district  shall:  (i)  determine the number of
religious holidays which fall on a  school  day  within  a  school  year
according to regulations established by the commissioner, such religious
holidays  to  be duly recognized as such for purposes of this section by
duly adopted resolution of the  board  of  education;  (ii)  deduct  the
aggregate attendance on such religious holidays from the total aggregate
attendance,  by  grade  level; (iii) deduct such religious holidays from
the total number of days of session, by grade level;  and  (iv)  compute
the average daily attendance for the school year.
e. Pupils with special educational needs.
(1)  "Percentage  of  pupils  with special educational needs" shall be
based on the following tests: the third and sixth grade reading and math
tests administered in spring of nineteen  hundred  eighty-five  and  the
spring   of  nineteen  hundred  eighty-six.  Such  percentage  shall  be
calculated as follows:
(i) determine the  number  of  pupils  tested  who  scored  below  the
statewide reference point as determined by the commissioner on each test
administered  pursuant  to  this  subparagraph,  plus pupils, other than
pupils with disabilities and English language learner pupils as  defined
by  the  commissioner  who  are exempt from taking such tests, provided,
however, that a district employing eight or more teachers in such  years
but not operating each grade may use the percentage computed pursuant to
this  paragraph  for  the  district  which  in  such  years enrolled the
greatest number of pupils in such grade from such district;
(ii) divide the sum of such numbers by the number of such  pupils  who
took   each   of  such  tests,  plus  pupils,  other  than  pupils  with
disabilities and English language  learner  pupils  as  defined  by  the
commissioner  who  are exempt from taking such tests, provided, however,
that a district which in any of the  applicable  school  years  did  not
maintain  a home school or employed fewer than eight teachers, and which
in the base year employed eight or more teachers, may use the scores  in
a  later test as designated by the commissioner for the purposes of this
paragraph;
(iii) express the result as a percentage carried to one decimal  place
without rounding; and
(iv)  for  the  purposes  of  the  computation  made  pursuant to this
subparagraph, pupils attending campus schools of  the  state  university
shall be included in the numbers of pupils in the district in which they
reside.  The  percentage  of such pupils in component districts shall be
used in the case of central  high  school  districts.  The  commissioner
shall  make adjustments for differences in tests and test administration
in accordance to regulations adopted for such purposes.
(2) (i) For the computation of total wealth pupil units, "pupils  with
special   educational  needs"  shall  be  computed  by  multiplying  the

percentage of pupils with special educational needs  by  the  district's
adjusted average daily attendance.
(ii)  For  the  computation  of total aidable pupils units pursuant to
subdivision eight of this  section  for  aid  payable  in  the  nineteen
hundred  ninety-seven--ninety-eight  through  the  two thousand six--two
thousand seven school years, "pupils  with  special  educational  needs"
shall   be  the  product  of  the  percentage  of  pupils  with  special
educational needs, the district's adjusted average daily attendance  for
the year prior to the base year, and the enrollment index.
(iii)  For  the  computation of total aidable pupils units pursuant to
paragraph e of subdivision two of this section for aid  payable  in  the
two  thousand  seven--two  thousand  eight  school  year and thereafter,
"pupils with special educational needs" shall  be  the  product  of  the
percentage  of  pupils  with  special  educational needs, the district's
adjusted average daily attendance for the year prior to the  base  year,
and the enrollment index.
(3) "Weighted pupils with special educational needs" shall be computed
by  multiplying  pupils  with  special  educational needs by twenty-five
percentum, with the result rounded up to the next whole number. For  the
purposes  of  the  computation  of  additional  aidable  pupil units for
inclusion in total wealth pupil units, the computations made pursuant to
this paragraph shall include only resident pupils.
f. "Expense per pupil" shall mean approved operating expense  for  the
year  prior  to  the  base  year divided by the sum, computed using year
prior to the base year pupil counts, of the total  aidable  pupil  units
plus  weighted  pupils  with  disabilities,  provided  that  for the two
thousand six--two thousand seven school year  and  prior  school  years,
total  aidable  pupil  units  plus  weighted  pupils  with  handicapping
conditions shall be used in such computation. Expense per pupil for each
borough in the city school district of the city of New York shall be the
expense per pupil of the entire city school district.
g. "Summer session pupils" shall mean those pupils attending  approved
programs  of  instruction  operated by the district during the months of
July and August in accordance with the regulations  promulgated  by  the
commissioner.
h.  "Adjusted  gross income" shall mean the adjusted gross income of a
school district for the calendar year three years prior to the  calendar
year  in  which  the  current  year  commences. The income data shall be
computed in accordance with regulations adopted by the  commissioner  of
taxation  and  finance  based  upon  personal income tax returns for the
calendar year three years prior  to  the  calendar  year  in  which  the
current  school  year  commences,  as  reported  to  the commissioner by
September of the base year,  including  the  results  of  the  permanent
computerized   statewide   school  district  address  match  and  income
verification  system.  Commencing  with  calendar  year   two   thousand
twenty-two,  New  York state lottery and video lottery gaming individual
prizes in excess of one million dollars  that  when  aggregated  exceeds
twenty-five  percent  of  a  district's  adjusted  gross income shall be
excluded from such district's adjusted gross income for  the  year.  The
commissioner  of taxation and finance shall determine the amount of this
exclusion based on the annual report of New York state lottery and video
lottery gaming individual  prizes  in  excess  of  one  million  dollars
produced  by  the  gaming  commission  pursuant  to  paragraph  three of
subdivision c of section sixteen  hundred  four  of  the  tax  law.  The
adjusted  gross  income  of  the city school district of the city of New
York shall be the sum of the adjusted gross income of  the  boroughs  of
the  city.  The  adjusted gross income of a central high school district
shall equal the sum  of  the  adjusted  gross  income  of  each  of  its

component  school districts. "Selected adjusted gross income" shall mean
the lesser of adjusted gross income calculated for aid  payable  in  the
current  year  or  the  two-year  average  of  the adjusted gross income
calculated  for  aid  payable in the current year and the adjusted gross
income calculated for aid payable in the base year.
i. "Weighted pupils with disabilities" shall be computed as follows:
(1) "Pupils with disabilities" shall mean pupils of school age who are
identified as students with disabilities pursuant to article eighty-nine
of this chapter and the regulations of the commissioner and who  receive
special  education  services  or attend special education programs which
meet criteria established by the  commissioner,  operated  by  a  school
district  eligible  for total foundation aid pursuant to this section or
by a board of cooperative  educational  services,  whether  or  not  the
school district is a component of such board.
(2)   "Declassification  pupils"  shall  mean  pupils  enrolled  in  a
full-time regular education program, who  were  enrolled  in  a  special
education  program  in  the  prior  year.  Services  to  pupils shall be
provided on a regular basis and may  include,  but  not  be  limited  to
psychological,  social  work, speech and language services and noncareer
counseling services provided  by  qualified  professional  personnel  as
defined  in  regulations  of  the commissioner. Services for teachers of
such pupils may include the assistance of teacher aides or  consultation
with  appropriate  personnel.  When  a  committee  on  special education
determines that a pupil no longer needs special education  services  and
is ready for a full-time regular education program, such committee shall
identify and recommend the appropriate declassification support services
for the first year in the regular education program.
(3)  "Weighted pupils with disabilities" shall mean the attendance, as
defined  in  the  regulations  of  the  commissioner,  of  pupils   with
disabilities  who have been determined by a school district committee on
special education to require any of the following types  and  levels  of
programs  or  services  specified  in this subparagraph, and who receive
such programs and services from the school district of attendance during
the base year, multiplied by a special services weighting determined  as
follows:
(i)  for placement for sixty per centum or more of the school day in a
special class, or home or hospital instruction for a period of more than
sixty days, or special services or programs  for  more  than  sixty  per
centum  of  the  school day, the special services weighting shall be one
hundred seventy percent;
(ii) for placement for twenty per centum or more of the school week in
a resource room  or  special  services  or  programs  including  related
services  required  for twenty per centum or more of the school week, or
in the case of pupils in grades seven through twelve  or  a  multi-level
middle  school  program as defined by the commissioner or in the case of
pupils in grades four through six in an elementary school operating on a
period basis, the equivalent of five periods per week, but not less than
the equivalent of one hundred eighty minutes in a resource  room  or  in
other special services or programs including related services, or for at
least  two  hours  per  week  of  direct  or indirect consultant teacher
services, in accordance with regulations of the commissioner adopted for
such purpose, the special services weighting shall be ninety percent.
(3-a) "Resident weighted pupils with disabilities" shall mean weighted
pupils with disabilities minus  the  nonresident  weighted  pupils  with
disabilities plus the resident weighted pupils with disabilities to whom
special  services  or  programs  are  provided  by another public school
district.
(4) "Weighted foundation pupils with disabilities" shall mean the  sum
of
(i) the full-time equivalent enrollment, as defined in the regulations
of   the  commissioner,  of  pupils  with  disabilities  who  have  been
determined by a  school  district  committee  on  special  education  to
require  any  of  the following types and levels of programs or services
specified in this  subparagraph,  and  who  receive  such  programs  and
services from the school district of attendance, multiplied by a special
services  weighting  based  on an analysis of costs of special education
and general education in successful school districts, provided that  the
weighting for the two thousand seven--two thousand eight school year and
thereafter shall be one and forty-one hundredths (1.41):
(A)  placement  for  sixty  per  centum or more of the school day in a
special class, or
(B) home or hospital instruction for a period of more than sixty days,
or
(C) special services or programs for more than sixty per centum of the
school day, or
(D) placement for twenty per centum or more of the school  week  in  a
resource  room  or  to  require  special  services or programs including
related services for twenty per centum or more of the school week, or in
the case of pupils in grades  seven  through  twelve  or  a  multi-level
middle  school  program as defined by the commissioner or in the case of
pupils in grades four through six in an elementary school operating on a
period basis, the equivalent of five periods per week, but not less than
the equivalent of one hundred eighty minutes in a resource  room  or  in
other special services or programs including related services, or
(E)  at  least  two  hours  per  week of direct or indirect consultant
teacher services, in accordance with  regulations  of  the  commissioner
adopted for such purpose, plus
(ii)  the  full  time equivalent enrollment of declassification pupils
multiplied by a declassification weighting of five-tenths (0.5).
(5) "Resident weighted supplemental pupils  with  disabilities"  shall
mean   weighted   supplemental   pupils   with  disabilities  minus  the
nonresident weighted supplemental  pupils  with  disabilities  plus  the
resident  weighted supplemental pupils with disabilities to whom special
services or programs are provided by  another  public  school  district,
where  "weighted  supplemental  pupils with disabilities" shall mean the
attendance, as defined in the regulations of the commissioner, of pupils
with  disabilities  who  have  been  determined  by  a  school  district
committee on special education to require any of the following types and
levels  of  programs or services specified in this subparagraph, and who
receive  such  programs  and  services  from  the  school  district   of
attendance  during  the  base  year,  multiplied  by  a special services
weighting determined as follows:
(i) for placement for sixty per centum or more of the school day in  a
special class, or home or hospital instruction for a period of more than
sixty  days,  or  special  services  or programs for more than sixty per
centum of the school day, the special services weighting  shall  be  one
hundred sixty-five percent;
(ii) for placement for twenty per centum or more of the school week in
a  resource  room  or  special  services  or  programs including related
services required for twenty per centum or more of the school  week,  or
in  the  case  of pupils in grades seven through twelve or a multi-level
middle school program as defined by the commissioner or in the  case  of
pupils in grades four through six in an elementary school operating on a
period basis, the equivalent of five periods per week, but not less than
the  equivalent  of  one hundred eighty minutes in a resource room or in

other special services or programs including related services, or for at
least two hours per  week  of  direct  or  indirect  consultant  teacher
services, in accordance with regulations of the commissioner adopted for
such purpose, the special services weighting shall be ninety percent.
(6)  "Integrated  settings weighted pupils with disabilities" shall be
the product of the attendance in the year prior  to  the  base  year  of
pupils  who  have been determined by a committee on special education to
require special services or programs for sixty per centum or more of the
school day  pursuant  to  clause  (i)  of  subparagraph  three  of  this
paragraph  and  are provided special services or programs in the general
education setting by qualified personnel, as defined in the  regulations
of the commissioner, multiplied by five tenths.
j.  "Total  foundation  aid base" for the purposes of this section (i)
for aid payable in the two thousand  seven--two  thousand  eight  school
year,  the  total  foundation  aid  base  shall equal the total amount a
district was eligible to receive in the base year for
(1) flex aid in an amount equal to the sum of (A) the amount set forth
for each school district as "FLEX AID" under the heading  "2005-06  Base
Year   Aids"  in  the  school  aid  computer  listing  produced  by  the
commissioner  in  support  of  the  executive  budget  request  for  the
2006--2007  school  year  and entitled "BT131-6", and (B) the additional
FLEX aid equivalent as computed pursuant to chapter fifty-eight  of  the
laws of two thousand six;
(2)  the  extraordinary  needs  equivalent  aid apportionment computed
pursuant to chapter fifty-eight of the laws  of  two  thousand  six,  as
amended by chapter sixty-one of the laws of two thousand six;
(3)  an  amount  equal  to the amount such district received for early
grade class size reduction grants pursuant to or in lieu of  subdivision
thirty-seven  of  this  section,  provided that such amount computed and
payable as of September one of the school year immediately following the
school year for which such aid is claimed shall be deemed final and  not
subject to change;
(4)  the  growth  aid  equivalent  apportionment  computed pursuant to
chapter fifty-eight of the laws of two thousand six;
(5) the enrollment adjustment aid apportionment computed  pursuant  to
chapter fifty-eight of the laws of two thousand six;
(6)  the  reorganization  incentive  operating aid equivalent computed
pursuant to chapter fifty-eight of the laws of two thousand six;
(7) the tax limitation aid equivalent  computed  pursuant  to  chapter
fifty-eight of the laws of two thousand six;
(8)  the  high  tax  aid  apportionment  computed  pursuant to chapter
fifty-eight of the laws of two  thousand  six,  as  amended  by  chapter
sixty-one of the laws of two thousand six;
(9)   the   additional  limited  English  proficiency  aid  equivalent
apportionment computed pursuant to chapter fifty-eight of  the  laws  of
two  thousand  six,  as  amended by chapter sixty-one of the laws of two
thousand six;
(10) the positive difference of the public excess cost aid  equivalent
apportionment  computed  pursuant  to chapter fifty-eight of the laws of
two thousand six, minus the amount  computed  under  paragraph  five  of
subdivision nineteen of this section;
(11)  teacher  support  payments made in the 2006--2007 school year as
follows: to the city school district of the city of New York,  sixty-two
million seven hundred seven thousand dollars; to the Buffalo city school
district,  one million, seven hundred forty-one thousand dollars; to the
Rochester  city  school  district,  one  million,  seventy-six  thousand
dollars;  to  the  Syracuse  city  school  district,  eight hundred nine

thousand dollars; and to the Yonkers city school district, one  million,
one hundred forty-seven thousand dollars;
(12)  an  amount  equal  to  the  amount such district was eligible to
receive pursuant to or in  lieu  of  subdivision  thirty-one-a  of  this
section;
(13)  an  amount equal to a share of three million dollars in the same
proportion as such district's share of Fort Drum school district  grants
for  the  2005--2006 school year, and additional amounts provided to the
Indian River central school district, the Watertown city school district
and the Carthage central school district pursuant to chapter fifty-three
of the laws of two thousand six to account for an  increase  in  student
enrollment as a result of the expansion of Fort Drum;
(14)  payments  made  in  the 2006--2007 school year for magnet school
grants pursuant to or in lieu of subdivision five of section  thirty-six
hundred forty-one of this article, as follows: to the Albany city school
district,  three  million,  five  hundred fifty thousand dollars; to the
Amsterdam city school district, eight hundred thousand dollars;  to  the
Beacon city school district, five hundred sixty-six thousand dollars; to
the   Buffalo  city  school  district,  twenty-one  million  twenty-five
thousand dollars; to the  Freeport  union  free  school  district,  four
hundred  thousand  dollars;  to  the Greenburgh central school district,
three hundred thousand dollars; to the Hudson city school district, four
hundred thousand dollars; to the Middletown city school  district,  four
hundred  thousand dollars; to the Mount Vernon city school district, two
million dollars; to the New Rochelle city school district, one  million,
four  hundred  ten  thousand dollars; to the city school district of the
city of New York, forty-eight million, one hundred seventy-five thousand
dollars; to the Newburgh city school district, four million, six hundred
forty-five thousand dollars; to the Niagara Falls city school  district,
six hundred thousand dollars; to the Peekskill city school district, two
hundred  thousand dollars; to the Port Chester city school district, one
million, one hundred fifty thousand dollars; to  the  Poughkeepsie  city
school   district,  two  million,  four  hundred  seventy-five  thousand
dollars; to the Rochester city school district, fifteen million dollars;
to the Schenectady city school  district,  one  million,  eight  hundred
thousand dollars; to the Syracuse city school district, thirteen million
dollars;  to the Utica city school district, two million dollars; to the
White Plains city school district, nine hundred thousand dollars; to the
Yonkers city school district, forty-nine million, five hundred  thousand
dollars;
(15)  an  amount  equal to the amount received by such district in the
2005--2006 school year pursuant to subdivision six of section thirty-six
hundred forty-one of this article;
(16) an amount equal to the amount received by such  district  in  the
2005--2006   school  year  pursuant  to  subdivision  seven  of  section
thirty-six hundred forty-one of this article;
(17) sound basic education aid equal to the sum of (A) the  district's
base year apportionment for sound basic education aid set forth for each
school  district  as "2005-2006 Sound Basic Education" in the school aid
computer  listing  produced  by  the  commissioner  in  support  of  the
executive  budget  request  for  the 2006--2007 school year and entitled
"BT131-6" plus (B) the product of  three  hundred  seventy-five  million
dollars  ($375,000,000) multiplied by the district's SBE ratio. The "SBE
ratio" shall be equal to the quotient of  the  district's  apportionment
for  sound  basic  education  aid  set forth for each school district as
"2005-06 Sound Basic Education"  in  the  school  aid  computer  listing
produced  by the commissioner in support of the executive budget request
for the 2006--2007 school year and entitled "BT131-6",  divided  by  the

sum  of  such  apportionments  set  forth  for  all  school districts as
"2005-06 Sound Basic Education" in  such  school  aid  computer  listing
entitled "BT131-6".
(18)  the net tuition adjustment computed for the 2006--07 school year
pursuant to or in lieu  of  paragraph  g  of  subdivision  two  of  this
section.
* (ii)  For  aid  payable in the two thousand eight--two thousand nine
school year and thereafter, the total foundation aid  base  shall  equal
the  total  amount  a  district was eligible to receive in the base year
pursuant to  subdivision  four  of  this  section  plus  foundation  aid
maintenance  of  equity  aid  pursuant  to  subdivision  four-a  of this
section.
* NB Effective until September 30, 2024
* (ii) For aid payable in the two thousand  eight--two  thousand  nine
school  year  and  thereafter, the total foundation aid base shall equal
the total amount a district was eligible to receive  in  the  base  year
pursuant to subdivision four of this section.
* NB Effective September 30, 2024
k.  "Attendance ratio" shall mean the number computed to four decimals
without rounding when the aggregate days attendance is  divided  by  the
possible  aggregate  attendance  of  all  pupils  in  attendance  in the
district, as computed for each school district by  the  commissioner  by
June first of the year following the attendance year.
l.  "Average  daily  membership"  shall  mean  the  possible aggregate
attendance of all pupils in attendance in a public school of the  school
district  in  kindergarten  through grade twelve, or equivalent ungraded
programs,  including  possible  aggregate  attendance  for  such  pupils
receiving  homebound  instruction,  including  pupils  receiving  remote
instruction as defined in the regulations of the commissioner, with  the
possible   aggregate   attendance   of   such  pupils  in  one-half  day
kindergartens multiplied by one-half, divided by the number of days  the
district  school  was  in  session as provided in this section. The full
time equivalent enrollment of pupils with disabilities  attending  under
the  provisions  of paragraph c of subdivision two of section forty-four
hundred one of this chapter shall be added to average daily  membership.
Average  daily membership shall include the equivalent attendance of the
school  district,  as  computed  pursuant  to  paragraph   d   of   this
subdivision.  In  any  instance  where  a pupil is a resident of another
state or an Indian pupil is a resident of any portion of  a  reservation
located  wholly  or  partly  within the borders of the state pursuant to
subdivision four of section forty-one hundred one of this chapter  or  a
pupil  is  living  on  federally  owned  land  or property, such pupil's
possible aggregate attendance shall be counted as part of  the  possible
aggregate  attendance  of  the  school  district  in which such pupil is
enrolled.
n. (1) "Enrollment" shall mean the unduplicated count of all  children
registered  to  receive  educational  services  in  grades  kindergarten
through twelve, including children in ungraded programs,  as  registered
on   the  date  prior  to  November  first  that  is  specified  by  the
commissioner as the enrollment reporting date for the school district or
nonpublic school, as reported to the commissioner.
(2) "Public school district enrollment" shall mean the sum of: (1) the
number of children on a regular enrollment register of a  public  school
district  on  such  date; (2) the number of children eligible to receive
home instruction in the school district on such date; (3) the number  of
children  for  whom  equivalent  attendance must be computed pursuant to
this  subdivision  on  such  date;  (4)  the  number  of  children  with
disabilities  who  are  residents of such district who are registered on

such date to attend programs under the  provisions  of  paragraph  c  of
subdivision  two  of section forty-four hundred one of this chapter; (5)
the number of children eligible to receive educational services on  such
date  but  not  claimed for aid pursuant to subdivision seven of section
thirty-two hundred two of this chapter; and (6) the number  of  children
registered  on  such date to attend programs (i) pursuant to subdivision
two of section three hundred fifty-five of this chapter or (ii) pursuant
to an agreement between the city school district of the city of New York
and Hunter College pursuant to section sixty-two hundred sixteen of this
chapter.
(3) "Nonpublic school enrollment" shall mean the number of children on
a  regular  enrollment  register  of  a  nonpublic  school  meeting  the
compulsory  attendance  law,  excluding any child counted as part of the
enrollment of a public school district.
(4) "Resident public school district enrollment" shall be  the  public
school district enrollment less the public school district enrollment of
nonresident  pupils  attending  public schools in the district, plus the
public school district enrollment of pupils resident in the district but
attending public schools in another district or state  plus  the  public
school  district  enrollment  of  pupils  resident  in  the district but
attending  full-time  a  school  operated  by  a  board  of  cooperative
educational  services  or  a  county  vocational education and extension
board. Indian pupils who are residents of any portion of  a  reservation
located  wholly  or  partly  within the borders of the state pursuant to
subdivision four of section forty-one hundred one of  this  chapter  and
are  attending  public  school,  or  pupils  living on the United States
military reservation at West Point attending  public  school,  shall  be
deemed  to be resident pupils of the district providing such school, for
purposes of this paragraph. Where a school district has entered  into  a
contract  with  the  state  university  pursuant  to  subdivision two of
section three hundred fifty-five of this chapter under which the  school
district  makes  payments  in the nature of tuition for the education of
certain children residing in the district, such children for  whom  such
tuition  payments are made shall be deemed to be resident pupils of such
district for the purposes of this paragraph. No student shall be counted
more than once, except that, in determining the resident  public  school
district  enrollment  of  a  component school district of a central high
school district the resident public school district enrollment  of  high
school  pupils  residing  in  such  component district and attending the
central high school shall be included, and in determining  the  resident
public  school district enrollment of a central high school district the
resident public school district enrollment of elementary  school  pupils
residing  in such central high school district and attending a component
district of the central high school district shall be included.
(5) "Resident nonpublic  school  district  enrollment"  shall  be  the
nonpublic  school district enrollment less the nonpublic school district
enrollment of nonresident pupils  attending  nonpublic  schools  in  the
district,  plus  the  nonpublic  school  district  enrollment  of pupils
resident in the district but  attending  nonpublic  schools  in  another
district of the state.
(6) "Additional public school enrollment" shall mean resident students
with  disabilities placed by public school districts in approved private
schools, the New York state school for the blind at Batavia, or the  New
York  state  school for the deaf at Rome and resident students placed in
schools subject to the provisions of chapter five hundred sixty-three of
the laws of nineteen hundred eighty as amended.
(7) In determining enrollment pursuant to  subparagraphs  two,  three,
four,  five  and six of this paragraph for central high school districts

and all school districts located within the boundaries of a central high
school district, for the purposes of any apportionments payable to  both
central  high  school  districts  and  to other school districts located
within  the boundaries of such central high school districts pursuant to
this chapter, and for  the  purposes  of  computing  the  poverty  count
pursuant  to  paragraph  q  of  this subdivision and the school district
basic contribution pursuant to subdivision eight of  section  forty-four
hundred  one  of  this  chapter, only those children in the grade levels
maintained by a central high school district shall be  included  in  the
enrollment  used  to  apportion aid to such central high school district
and only those children of the grade levels maintained  by  a  component
school  district  of a central high school district shall be included in
the public school district enrollment of such component school district.
o. "English language learner count" shall mean the  number  of  pupils
served  in the base year in programs for pupils who are English language
learners approved by the commissioner pursuant to the provisions of this
chapter and in accordance with regulations adopted for such purpose.
p. (i) "Percent of eligible applicants for the free and reduced  price
lunch program" shall mean the quotient of
(A)  the  number of pupils in kindergarten through grade six attending
the public schools of the district who have applications on file or  who
are listed on a direct certification letter confirming their eligibility
for  participation  in  the  state and federally funded free and reduced
price school lunch  program  on  the  date  enrollment  was  counted  in
accordance  with  this  subdivision for the year prior to the base year,
divided by
(B) the number of pupils  in  kindergarten  through  grade  six  on  a
regular  enrollment  register  of  a  public school district on the date
enrollment was counted in accordance with this subdivision for the  year
prior  to the base year, computed to four decimals without rounding, and
multiplied by one hundred to be expressed as a percent to two  decimals.
For  central high school districts, such percent shall be computed using
the sum of the eligible  applicants  and  enrollment  of  the  component
districts of the central high school district.
(ii)  "Three-year  average free and reduced price lunch percent" shall
mean the quotient of (A) the sum of the number of pupils in kindergarten
through grade six attending the public schools of the district who  have
applications  on file or who are listed on a direct certification letter
confirming  their  eligibility  for  participation  in  the  state   and
federally  funded  free  and  reduced  price  lunch  program on the date
enrollment was counted in accordance with this subdivision for the  year
prior  to the base year, plus such number of eligible applicants for the
free and reduced price lunch program computed for  the  year  two  years
prior  to the base year, plus such number of eligible applicants for the
free and reduced price lunch program computed for the year  three  years
prior  to  the base year, divided by (B) the sum of the number of pupils
in kindergarten through grade six on a regular enrollment register of  a
public  school district on the date enrollment was counted in accordance
with this subdivision for the year prior to the  base  year,  plus  such
number  of  pupils  in  kindergarten  through  grade  six  on  a regular
enrollment register of a public school district computed  for  the  year
two  years  prior  to  the  base  year,  plus  such  number of pupils in
kindergarten through grade six on a regular  enrollment  register  of  a
public  school  district  computed for the year three years prior to the
base year.
q. "Poverty count" shall mean the sum of  the  product  of  the  lunch
count  multiplied  by sixty-five percent, plus the product of the census
count multiplied by sixty-five percent, where:
(i) "Lunch  count"  shall  mean  the  product  of  the  public  school
enrollment  of the school district on the date enrollment was counted in
accordance with this subdivision for the base  year  multiplied  by  the
three-year average free and reduced price lunch percent; and
(ii)  "Census  count"  shall  mean  the  product  of the public school
enrollment of the school district on the date enrollment was counted  in
accordance  with  this  subdivision  for the base year multiplied by the
census 2000 poverty rate.
(iii) "Census 2000 poverty rate" shall mean the quotient of the number
of persons aged five to seventeen within the school district,  based  on
the  decennial census conducted in the year two thousand as tabulated by
the National Center on Education Statistics, who were enrolled in public
schools and whose families had incomes below the poverty level,  divided
by  the total number of persons aged five to seventeen within the school
district, based on such decennial census, who were  enrolled  in  public
schools, computed to four decimals without rounding.
(iv) "Selected poverty rate" shall mean: (A) for school districts with
high  concentrations  of  nonpublic  students, the greater of the census
2000 poverty rate or  the  three-year  average  small  area  income  and
poverty  estimate  poverty rate; and (B) for all other school districts,
the three-year average small area income and  poverty  estimate  poverty
rate.  For  the purposes of this subparagraph, "three-year average small
area income and poverty estimate poverty rate" shall equal the  quotient
of  (1)  the  sum of the number of persons aged five to seventeen within
the school  district,  based  on  the  small  area  income  and  poverty
estimates  produced  by  the United States census bureau, whose families
had incomes below the poverty level for the year two years prior to  the
year  in  which the base year began, plus such number for the year three
years prior to the year in which the base year began, plus  such  number
for  the year four years prior to the year in which the base year began,
divided by (2) the sum of the total  number  of  persons  aged  five  to
seventeen  within  the  school  district,  based  on  such census bureau
estimates, for the year two years prior to the year in  which  the  base
year began, plus such total number for the year three years prior to the
year  in  which the base year began, plus such total number for the year
four years prior to the year in which the base year began,  computed  to
four decimals without rounding.
(v)  "School districts with high concentrations of nonpublic students"
shall mean any district where: (A) the quotient arrived at when dividing
(1) the sum of the enrollments in grades kindergarten through twelve  in
the  base  year  calculated  pursuant  to  subparagraphs five and six of
paragraph n of this  subdivision  by  (2)  the  resident  public  school
district  enrollment in the base year computed pursuant to subparagraphs
four, five, and six of paragraph n of this subdivision is  greater  than
fifteen-hundredths  (0.15);  and  (B)  the three-year average small area
income and poverty estimate poverty rate is  greater  than  ten  percent
(0.10).
r.  "Sparsity  count",  for districts operating a kindergarten through
grade twelve school program, shall mean the product of (i) the base year
public school enrollment of the district and (ii) the  sparsity  factor,
which  shall  mean  the  quotient,  computed  to  three decimals without
rounding, of the positive remainder of twenty-five minus the  enrollment
per  square  mile  divided  by  fifty and nine tenths, but not less than
zero. Enrollment per square mile shall be the quotient, computed to  two
decimals without rounding, of the public school enrollment of the school
district  on  the  date  enrollment  was counted in accordance with this
subdivision for the base  year  divided  by  the  square  miles  of  the
district, as determined by the commissioner.
s.  "Extraordinary  needs  count" shall mean the sum of the product of
the English language learner count multiplied by  fifty  percent,  plus,
the poverty count and the sparsity count.
t.  The  "approved  operating  expense"  for the apportionments to any
school district hereunder shall mean the amount computed as follows: The
apportionment to any school district  for  operating  expense  shall  be
based  upon  the  total  expenditures from its general fund and from its
capital fund and from its risk retention fund for purposes  of  employee
benefit  claims  related to salaries paid from the general fund, and for
any city school districts with a population of  more  than  one  hundred
twenty-five  thousand  inhabitants its expenditures from the special aid
fund of grant moneys for improving pupil performance and categorical aid
for special reading programs as provided in the aid to localities budget
during the applicable year as  approved  by  the  commissioner,  and  in
accordance  with  the  classification  of  expenditures  in  use  by the
commissioner  for  the  reporting  by  school  districts  of   receipts,
expenditures and other financial data. For the purpose of this paragraph
operating expense shall be defined as total cash expenditures during the
applicable  year, but shall exclude: (1) any balances and transfers; (2)
any payments for transportation of pupils to and from school during  the
regular  school  year  inclusive  of  capital  outlays  and debt service
therefor; (2-a) a portion of any payments for transportation  of  pupils
to  and  from  district  operated  summer  school  programs  pursuant to
subdivision six of  section  thirty-six  hundred  twenty-two-a  of  this
article,  inclusive  of capital outlays and debt service therefor, equal
to the product of such expenditures multiplied by the  quotient  of  the
total  apportionment  after  the  proration,  if  any,  required by such
subdivision six of such section divided by the total apportionment prior
to such proration; (3) any payments for capital outlay and debt  service
for  school  building purposes, provided, however, that in the case of a
school district which has entered into a contract with state  university
pursuant  to  paragraph  o  of  subdivision two of section three hundred
fifty-five of this  chapter,  under  which  the  school  district  makes
payments  to  state  university on account of capital outlay relating to
certain children residing in such school district, such  payments  shall
not  be  so  excluded;  (4)  any  payments for cafeteria or school lunch
programs; (5) any proceeds of short term borrowings in the general  fund
and  any  payments  from  the proceeds of the sale of obligations in the
capital fund; (6) any cash receipts which reduce the  cost  of  an  item
when  applied  against the expenditure therefor, except gifts, donations
and earned interest and any refunds  made;  (7)  any  payments  made  to
boards  of cooperative educational services for purposes or programs for
which an apportionment is  paid  pursuant  to  other  sections  of  this
chapter,  except  that  payments  attributable  to  eligible pupils with
disabilities and ineligible pupils residing  in  noncomponent  districts
shall be included in operating expense; (8) any tuition payments made to
other  school  districts  inclusive  of  payments made to a central high
school district by one  of  its  component  school  districts;  (9)  any
apportionment  or  payment  received  from the state for experimental or
special programs paid under provisions other than those  found  in  this
section  and other than any apportionments or payments received from the
state by the city school district of the city of Yonkers for the purpose
of funding an educational improvement program pursuant to a court  order
and  other  than  any  other  state  grants  in  aid  identified  by the
commissioner for general use as specified  by  the  board  of  education
pursuant  to  subdivision  two  of section seventeen hundred eighteen of
this chapter; (10) any funds received from the federal government except
the federal share of medicaid  subject  to  the  provisions  of  section

thirty-six  hundred  nine-a  of  this  part  and except Impact Aid funds
received pursuant to sections two and six of Public Law eighty-one-eight
hundred seventy-four (PL 81-874) or any law superseding such law in  any
such  district  which  received  aid  pursuant  to  both  such sections;
provided further, however,  that  there  shall  be  excluded  from  such
federal  funds  or  other  apportionments  any  payments from such funds
already deducted pursuant to this paragraph; (11) any payments made  for
which  an  apportionment  is  disallowed  pursuant to regulations of the
commissioner; (12) any expenditures made for accounting, tabulation,  or
computer  equipment,  in  excess  of  ten  thousand  dollars unless such
expenditures shall have been specifically approved by the  commissioner;
(13)  any  rentals  received  pursuant to the provisions of section four
hundred three-a of this  chapter;  (14)  any  rentals  or  other  annual
payments  received  pursuant  to  the provisions of section four hundred
three-b  of  this  chapter;  (15)  any  expenditures  made  for  persons
twenty-one  years  of  age  or  over  attending  employment  preparation
education programs pursuant to subdivision eleven of this section;  (16)
any tuition payments made pursuant to a contract under the provisions of
paragraphs  e, f, g, h, i and l of subdivision two of section forty-four
hundred one of this chapter or any tuition payments on behalf of  pupils
attending  a state school under paragraph d of such subdivision; (17) in
any year in which expenditures are made to the New York state  teachers'
retirement  system or the New York state and local employees' retirement
system for both the prior school year and the current school  year,  any
expenditures  made to such retirement systems and recorded in the school
year prior to the school year in which such obligations  are  paid;  and
(18)  any  payments to the commissioner of taxation and finance pursuant
to article twenty-three of the tax law.
u. "Instructional expense" shall mean the sum of all year prior to the
base year expenditures related  to  the  instructional  program  of  the
district,  as  defined in regulations of the commissioner, including the
cost of fringe benefits paid by  such  district  for  the  instructional
staff of the district.
w.  "Extraordinary  needs  percent"  shall  mean  the  quotient of the
extraordinary needs count for the  base  year,  calculated  pursuant  to
paragraph  s  of this subdivision, divided by the public school district
enrollment for the base year, calculated pursuant to subparagraph two of
paragraph n of this subdivision.
x. "Enrollment index" shall be computed by dividing the public  school
enrollment for the current year by public school enrollment for the base
year,  both  as  defined  in  paragraph  n of this subdivision, with the
result carried to three places without rounding.
y. "School tax relief aid" shall mean state aid payable  to  a  school
district  representing  tax savings duly provided by the school district
pursuant to section thirteen hundred six-a of the real property tax  law
that is claimed by the school district and certified by the commissioner
of  taxation  and  finance  pursuant  to  subdivision  three  of section
thirteen hundred six-a of the real property tax law.
aa. "Total personal income of the state" shall mean the total personal
income of the state of New  York  as  published  by  the  United  States
department of commerce or any successor agency from which information is
available, aggregated on a state fiscal year basis. For the two thousand
twelve--two thousand thirteen school year, such personal income shall be
based  on the data available most proximate and prior to February first,
two thousand eleven, and for the  two  thousand  thirteen--two  thousand
fourteen  school  year  and  each  school year thereafter, such personal
income shall be based on the data available most proximate and prior  to
October  thirty-first  of  the  base  year.  Subsequent revisions of the

published estimated dollar amount for any  state  fiscal  year  estimate
employed  pursuant  to  the  terms  of this section shall not affect the
validity of the determinations made for any state fiscal year.
bb. "Personal income growth index" shall mean (1) for the two thousand
twelve--two  thousand thirteen school year, the average of the quotients
for each year in the period commencing with the two  thousand  five--two
thousand  six  state  fiscal  year  and  finishing with the two thousand
nine--two thousand ten state fiscal year of the total personal income of
the state for each such year divided by the total personal income of the
state for the immediately preceding state fiscal year, but not less than
one, (2) for the two thousand thirteen--two  thousand  fourteen  through
two thousand nineteen--two thousand twenty school years, the quotient of
the  total  personal  income  of the state for the state fiscal year one
year prior to the state fiscal year in which  the  base  year  commenced
divided  by  the  total personal income of the state for the immediately
preceding state fiscal year, but not less than one and (3) for  the  two
thousand  twenty--two  thousand  twenty-one  school year and each school
year thereafter, the average of the  quotients  for  each  year  in  the
period  commencing  with  the  state fiscal year nine years prior to the
state fiscal year in which the base year began and  finishing  with  the
state  fiscal year prior to the state fiscal year in which the base year
began of the total personal income of  the  state  for  each  such  year
divided  by  the  total personal income of the state for the immediately
preceding state fiscal year, but not less than one.
dd. "Allowable growth amount" shall mean the product of  the  positive
difference  of the personal income growth index minus one, multiplied by
the statewide total of the sum of (1) the apportionments, including  the
gap  elimination  adjustment,  due  and  owing  during  the  base  year,
commencing with the base year computed for the two thousand  twelve--two
thousand  thirteen  school  year,  to  school  districts  and  boards of
cooperative educational services from the  general  support  for  public
schools as computed based on an electronic data file used to produce the
school  aid  computer listing produced by the commissioner in support of
the enacted budget for the base year plus  (2)  the  competitive  awards
amount for the base year.
ee.  "Competitive  awards  amount"  shall  mean,  for the two thousand
twelve--two thousand thirteen state fiscal year  and  thereafter,  fifty
million dollars.
ff.  "Preliminary growth amount" shall mean the difference between the
statewide total,  excluding  the  apportionments  computed  pursuant  to
subdivisions four and seventeen of section thirty-six hundred two of the
education  law,  of  the apportionments due and owing during the current
school year, commencing  with  the  two  thousand  twelve--two  thousand
thirteen  school  year,  to  school  districts and boards of cooperative
educational services from the general  support  for  public  schools  as
computed based on an electronic data file used to produce the school aid
computer  listing produced by the commissioner in support of the enacted
budget  for  the  current  year,  less  the  statewide  total  of   such
apportionments,   excluding  the  apportionments  computed  pursuant  to
subdivisions four and seventeen of section thirty-six hundred two of the
education law, due and owing during  the  base  school  year  to  school
districts  and  boards  of  cooperative  educational  services  from the
general support for public schools as computed based  on  an  electronic
data  file  used  to produce the school aid computer listing produced by
the commissioner in support of the enacted budget for the current year.
gg. "Allocable growth amount" shall mean the positive  difference,  if
any,  of  the  allowable  growth  amount less the sum of the competitive
awards amount plus the preliminary growth amount.
hh. "Consumer price index" shall mean the quotient of: (i) the average
of the national consumer price indexes determined by the  United  States
department  of labor for the twelve-month period preceding January first
of the current year minus the average of  the  national  consumer  price
indexes  determined  by  the  United  States department of labor for the
twelve-month period preceding January first of the prior  year,  divided
by (ii) the average of the national consumer price indexes determined by
the  United  States  department  of  labor  for  the twelve-month period
preceding January first of the prior year, with the result expressed  as
a decimal to three places.
ii.  (1)  "Direct certification count" shall be equal to the number of
children eligible for free meals  or  free  milk  based  on  information
obtained directly from the office of temporary and disability assistance
administering  the  supplemental  nutrition  assistance  program and the
department of health administering Medicaid and providing  data  as  per
the  United  States  department  of  agriculture  Medicaid demonstration
project.
(2) "Direct certification enrollment" shall mean enrollment  collected
for purposes of the direct certification matching process.
(3)  "Direct certification percent" shall mean the quotient arrived at
when dividing the direct certification count by the direct certification
enrollment.
(4)  "Three-year  direct  certification  percentage"  shall  mean  the
quotient  of: (A) the sum of the direct certification count for the base
year, plus such direct certification count computed for the  year  prior
to  the base year, plus such direct certification count computed for the
year two years prior to  the  base  year,  divided  by  (B)  the  direct
certification   enrollment   for   the   base  year,  plus  such  direct
certification enrollment computed for the year prior to the  base  year,
plus  such  direct  certification  enrollment  computed for the year two
years prior to the base year.
jj. "Small city school districts" shall mean any school districts that
were designated  as  small  city  school  districts  or  central  school
districts  whose  boundaries  include  a portion of a small city for the
school aid computer listing produced by the commissioner in  support  of
the  enacted  budget for the two thousand fourteen--two thousand fifteen
school year and entitled "SA141-5".
kk. The "federal COVID-19 supplemental stimulus" shall be equal to the
sum of (1) ninety percent of the funds from the elementary and secondary
school emergency relief fund made available to school districts pursuant
to the Coronavirus Response and Relief Supplemental Appropriations  Act,
2021  in  the same proportion as such district's share of funds provided
under Title I of the Elementary and Secondary Education Act of 1965 plus
(2) the base  federal  allocation.  For  eligible  districts,  the  base
federal  allocation  shall  be  equal  to  the  product  of nine hundred
fifty-two dollars and fifteen cents ($952.15) and public school district
enrollment in the base year as computed pursuant to paragraph n of  this
subdivision,   provided   that  if  the  total  statewide  base  federal
allocation is not  equal  to  four  hundred  sixty-seven  million  eight
hundred thirteen thousand six hundred sixty-nine dollars ($467,813,669),
individual  school district allocations shall be prorated to ensure that
the base federal allocation is equal to four hundred sixty-seven million
eight  hundred  thirteen  thousand  six   hundred   sixty-nine   dollars
($467,813,669), less ninety percent of the funds from the elementary and
secondary   school  emergency  relief  fund  made  available  to  school
districts pursuant to the Coronavirus Response and  Relief  Supplemental
Appropriations Act, 2021 in the same proportion as such district's share
of  funds  provided  under  Title  I  of  the  Elementary  and Secondary

Education Act of 1965, but  not  less  than  zero.  Districts  shall  be
eligible  for the base federal allocation if their combined wealth ratio
for the current year computed pursuant to subparagraph one of  paragraph
c  of subdivision three of this section is less than one and five tenths
(1.5) and the district is not a central high school district.
ll. (1) "Economically disadvantaged  count"  shall  be  equal  to  the
unduplicated  count  of  all  children registered to receive educational
services in grades kindergarten through twelve,  including  children  in
ungraded  programs  who participate in, or whose family participates in,
economic assistance programs, such as the free  or  reduced-price  lunch
programs,  Social  Security Insurance, Supplemental Nutrition Assistance
Program, Foster Care, Refugee Assistance (cash or  medical  assistance),
Earned  Income Tax Credit (EITC), Home Energy Assistance Program (HEAP),
Safety  Net  Assistance  (SNA),  Bureau  of  Indian  Affairs  (BIA),  or
Temporary Assistance for Needy Families (TANF).
(2)  "Economically disadvantaged rate" shall mean the quotient arrived
at  when  dividing  the  economically  disadvantaged  count  by   public
enrollment  as  computed  pursuant to subparagraph one of paragraph n of
this subdivision.
(3) "Three-year average economically disadvantaged rate"  shall  equal
the quotient of: (i) the sum of the economically disadvantaged count for
the  school year prior to the base year, plus such number for the school
year two years prior to the base year, plus such number for  the  school
year  three  years  prior  to  the base year; divided by (ii) the sum of
enrollment as computed pursuant to subparagraph one of  paragraph  n  of
subdivision  one  of  this section for the school year prior to the base
year, plus such number for the school year two years prior to  the  base
year, plus such number for the school year three years prior to the base
year, computed to four decimals without rounding.
mm.  "Three-year  average small area income and poverty estimate rate"
shall equal the quotient of: (i) the sum of the number of  persons  aged
five  to  seventeen  within the school district, based on the small area
income and poverty  estimates  produced  by  the  United  States  census
bureau,  whose  families  had  incomes  below  the poverty level for the
calendar year prior to the year in which the base year began, plus  such
number  for  the  calendar year two years prior to the year in which the
base year began, plus such number for  the  calendar  year  three  years
prior  to the year in which the base year began; divided by (ii) the sum
of the total number of persons aged five to seventeen within the  school
district,  based  on such census bureau estimates, for the year prior to
the year in which the base year began, plus such total  number  for  the
year two years prior to the year in which the base year began, plus such
total  number  for  the  year three years prior to the year in which the
base year began, computed to four decimals without rounding.
2. Computation of pupil counts and related factors. a. Computation  of
resident weighted average daily attendance. For purposes of this section
weighted  average  daily  attendance of a school district for any school
year shall be computed as follows:
(1) Weighted average daily attendance shall be determined by using the
average  daily  attendance  of  public  school  pupils  in  a   full-day
kindergarten  and  grades  one  through  six as the basic unit, with the
attendance of such pupils in  one-half  day  kindergartens  measured  at
one-half  of such basic unit and the attendance of such pupils in grades
seven through twelve measured at one and one-quarter of such basic unit.
The sum of all such units of attendance shall be  the  weighted  average
daily attendance.
(2)  In  computing  such  attendance,  the  school  district shall (i)
determine the number of religious holidays which fall on  a  school  day

within  a  school  year  according  to  regulations  established  by the
commissioner, such religious holidays to be duly recognized as such  for
purposes  of  this  section  by  duly adopted resolution of the board of
education;  (ii)  deduct  the  aggregate  attendance  on  such religious
holidays from the total aggregate  attendance,  by  grade  level;  (iii)
deduct such religious holidays from the total number of days of session,
by  grade  level; (iv) compute the weighted average daily attendance for
the school year.
(3) In any instance where a pupil is a resident of another state or an
Indian pupil is a resident of  any  portion  of  a  reservation  located
wholly or partly within the borders of the state pursuant to subdivision
four  of  section  forty-one  hundred  one of this chapter or a pupil is
living on federally owned land  or  property,  such  pupil's  attendance
shall be counted as part of the weighted average daily attendance of the
school district in which such pupil is enrolled.
(4)  Resident  weighted  average  daily  attendance  for  purposes  of
determining the aid ratio of a school district for any school year shall
be the weighted average daily attendance for the school year immediately
preceding the base year, less the weighted average daily  attendance  of
nonresident  pupils  attending  public  schools in the district for such
school year, plus  the  weighted  average  daily  attendance  of  pupils
resident  in  the  district  but  attending  public  schools  in another
district or state plus the weighted average daily attendance  of  pupils
resident  in the district but attending full-time a school operated by a
board  of  cooperative  educational  services  or  a  county  vocational
education  and  extension  board for such school year. The attendance of
nonresident pupils attending public school in the district and  resident
pupils   attending  such  schools  outside  of  the  district  shall  be
determined by applying to the number of such  pupils  registered  during
the  school  year in each case the ratio of aggregate days attendance to
the possible aggregate days attendance of all pupils  in  attendance  in
the district. Indian pupils of a reservation attending public school, or
pupils  living  on  the United States military reservation at West Point
attending public school, shall be deemed to be resident  pupils  of  the
district  providing such school, for purposes of this paragraph. Where a
school district has entered into a contract with  the  state  university
pursuant  to subdivision two of section three hundred fifty-five of this
chapter under which the school district makes payments in the nature  of
tuition  for the education of certain children residing in the district,
such children for whom such tuition payments are made shall be deemed to
be resident pupils of such district for the purposes of this paragraph.
(5) In determining the resident weighted average daily attendance of a
component  school  district  of  a  central  high  school  district  for
computing  the  aid  ratio the weighted average daily attendance of high
school pupils residing in such  component  district  and  attending  the
central  high  school  shall  be included. The resident weighted average
daily attendance of a central high school district itself shall  be  the
sum  of the resident weighted average daily attendance of each component
school district computed as provided  in  the  first  sentence  of  this
paragraph.
(6)  Notwithstanding  the provisions of subparagraphs four and five of
this paragraph, when a school district shall experience an  increase  in
resident  weighted  average  daily  attendance  during  the current year
because of the closing in whole, or in part, of a non-public school or a
campus school, or a school previously  operated  by  the  United  States
government  on the United States military reservation at West Point, the
commissioner, in computing any aid ratio of such district, shall  permit
the  use  of  such additional resident weighted average daily attendance

for aid ratio purposes during the current year and the  next  succeeding
year,  provided  that  such  additional  resident weighted average daily
attendance attributable to such closing, or part thereof,  shall  be  in
excess  of  one  hundred students; provided, however, that such district
which qualifies for an increase in total wealth pupil units pursuant  to
paragraph  f  of  this  subdivision,  shall use the increase in resident
weighted average daily attendance, even if  such  increase  in  resident
weighted average daily attendance is less than one hundred.
b.  Computation  of adjusted average daily attendance. For purposes of
this section adjusted average daily attendance of a school district  for
any school year shall be computed as follows:
(1) Adjusted average daily attendance shall be determined by using the
average   daily  attendance  of  public  school  pupils  in  a  full-day
kindergarten and grades one through twelve as the basic unit,  with  the
attendance  of  such  pupils  in  one-half day kindergartens measured at
one-half of such basic unit. The sum of all  such  units  of  attendance
shall be the adjusted average daily attendance.
(2)  In  computing  such  attendance,  the  school  district shall (i)
determine the number of religious holidays which fall on  a  school  day
within  a  school  year  according  to  regulations  established  by the
commissioner, such religious holidays to be duly recognized as such  for
purposes  of  this  section  by  duly adopted resolution of the board of
education; (ii)  deduct  the  aggregate  attendance  on  such  religious
holidays  from  the  total  aggregate  attendance, by grade level; (iii)
deduct such religious holidays from the total number of days of session,
by grade level; (iv) compute the adjusted average daily  attendance  for
the school year.
(3) In any instance where a pupil is a resident of another state or an
Indian  pupil  is  a  resident  of  any portion of a reservation located
wholly or partly within the borders of the state pursuant to subdivision
four of section forty-one hundred one of this  chapter  or  a  pupil  is
living  on  federally  owned  land  or property, such pupil's attendance
shall be counted as part of the adjusted average daily attendance of the
school district in which such pupil is enrolled.
c. Computation of  additional  aidable  pupil  units.  The  additional
aidable  pupil  units used to compute total aidable pupil units pursuant
to paragraph e of this subdivision shall be the sum of the attendance of
summer session pupils multiplied by twelve per centum and  the  weighted
pupils  with  special  educational  needs.  The additional aidable pupil
units used to compute total wealth pupil units pursuant to  paragraph  f
of  this subdivision shall be the sum of the year prior to the base year
resident weighted pupils with special  educational  needs  and  resident
weighted  pupils with handicapping conditions. Nothing contained in this
paragraph  shall  be  construed  to  result  in  the  inclusion  of  the
attendance  of  summer  session pupils in the computation of weighted or
adjusted average daily attendance pursuant to this subdivision.
d. Secondary school weighting. There  shall  be  added  to  the  total
aidable  pupil units computed in paragraph e of this subdivision and the
total wealth pupil units computed in paragraph f of this subdivision,  a
number  equal  to  the  product  of: (1) twenty-five per centum, (2) the
adjusted average daily attendance in grades seven through twelve for the
year prior to the base year, excluding attendance of pupils who  receive
a weighting for disabilities, and (3) for total aidable pupil units, the
enrollment  index  computed  pursuant to this section for the base year,
provided, however, that only resident secondary pupils shall be used for
the computation of total wealth pupil units.
e. Computation of total aidable pupil units. (1)  A  district's  total
aidable  pupil units shall be the sum of the district's adjusted average

daily attendance computed pursuant to this section for the year prior to
the base year multiplied by the enrollment index  computed  pursuant  to
this  section  for the base year plus the additional aidable pupil units
computed  for  the year prior to the base year under paragraph c of this
subdivision.
(2) In such computation school districts may, with the  commissioner's
approval,  exclude  attendance for those days on which school attendance
was adversely affected because of an epidemic or because of a  religious
holiday  as  provided  in  subparagraph  two  of  paragraph  b  of  this
subdivision. For the purposes of computing selected total aidable  pupil
units,  a  district  may  use  either  total aidable pupil units for the
current aid year or the average of total aidable  pupil  units  for  the
current  aid  year  and  the  prior  aid  year,  using  current aid year
definitions of total aidable pupil units for both years, except that for
aids payable during the nineteen hundred ninety-seven--nineteen  hundred
ninety-eight school year the total aidable pupil units for the prior aid
year  used  in  such average shall be calculated using the definition of
total aidable pupil units in effect for aid payable in the base year.
f. Computation of total wealth pupil units.   (1) Total  wealth  pupil
units  will  be computed using the adjusted average daily attendance for
the year prior to the base year as computed in this  section,  plus  the
attendance  of  resident  pupils attending public school elsewhere, less
the attendance of nonresident pupils plus  the  attendance  of  resident
pupils  attending full-time in board of cooperative educational services
(not otherwise specifically included), plus the additional aidable pupil
units as computed pursuant to paragraphs c and d  of  this  subdivision,
excluding  summer  school  pupils,  plus the year prior to the base year
resident  weighted  pupils  with   disabilities.   The   attendance   of
nonresident  pupils attending public school in the district and resident
pupils  attending  such  schools  outside  of  the  district  shall   be
determined  by  applying  to the number of such pupils registered during
the school year in each case the ratio of aggregate days  attendance  to
the  possible  aggregate  days attendance of all pupils in attendance in
the district. Native American pupils of a reservation  attending  public
school,  or  pupils  living on the United States military reservation at
West Point attending public school,  shall  be  deemed  to  be  resident
pupils  of  the  district  providing  such  school, for purposes of this
paragraph. Where a school district has  entered  into  a  contract  with
state  university  pursuant  to subdivision two of section three hundred
fifty-five of this chapter under which the school district makes payment
in the nature of tuition for the education of certain children  residing
in  the  district, such children for whom such tuition payments are made
shall be deemed to be resident pupils of such district for the  purposes
of this paragraph.
(2)  In determining the total wealth pupil units of a component school
district of a central high school district for computing aid ratios  the
total  wealth  pupil  units  of  high  school  pupils  residing  in such
component district and  attending  the  central  high  school  shall  be
included. The total wealth pupil units of a central high school district
itself  shall  be  the  sum  of  the  total  wealth  pupil units of each
component school district.
(3) Notwithstanding the foregoing provisions of this paragraph, when a
school district shall experience an increase in total wealth pupil units
during the current year because of the closing in whole, or in part,  of
a  nonpublic  school or a campus school, or a school previously operated
by  the  United  States  government  on  the  United   States   military
reservation  at West Point, the commissioner, in computing any aid ratio
of such district, shall permit the use of such additional  total  wealth

pupil  units  during  the  current  year  and  the next succeeding year,
provided that such additional total wealth pupil units  attributable  to
such  closing,  or  part  thereof,  shall  be  in  excess of one hundred
students;  provided,  however, that such district which qualifies for an
increase in resident  weighted  average  daily  attendance  pursuant  to
subparagraph  six  of  paragraph  a  of  this subdivision, shall use the
increase in total wealth pupil units, even if  such  increase  in  total
wealth pupil units is less than one hundred.
g.  Computation of total aidable foundation pupil units. Total aidable
foundation pupil units shall be the sum of (1)  the  district's  average
daily membership computed pursuant to this section for the year prior to
the  base  year  multiplied by the enrollment index computed pursuant to
this section for the base year plus (2) the product of the average daily
membership of summer session pupils and twelve percent plus (3) the year
prior to the base year weighted foundation pupils with disabilities. For
the purposes of computing total foundation aid a district may use either
total aidable foundation pupil units for the current  aid  year  or  the
average of total foundation aidable pupil units for the current aid year
and  the  prior  aid  year,  using current aid year definitions of total
aidable foundation pupil units for both years.
h. Computation of total  wealth  foundation  pupil  units.  (1)  Total
wealth  foundation  pupil  units shall mean the sum of (i) average daily
membership for the year prior to the  base  year  as  computed  in  this
section,  plus  (ii)  the  full-time  equivalent  enrollment of resident
pupils attending public school elsewhere, less the full-time  equivalent
enrollment  of  nonresident  pupils, plus (iii) the full-time equivalent
enrollment  of  resident  pupils  attending  full-time   in   board   of
cooperative  educational services (not otherwise specifically included).
Native American pupils of a  reservation  attending  public  school,  or
pupils  living  on  the United States military reservation at West Point
attending public school, shall be deemed to be resident  pupils  of  the
district  providing such school, for purposes of this paragraph. Where a
school district has  entered  into  a  contract  with  state  university
pursuant  to subdivision two of section three hundred fifty-five of this
chapter under which the school district makes payment in the  nature  of
tuition  for the education of certain children residing in the district,
such children for whom such tuition payments are made shall be deemed to
be resident pupils of such district for the purposes of this paragraph.
(2) In determining the  total  wealth  foundation  pupil  units  of  a
component  school  district  of  a  central  high  school  district  for
computing aid ratios the total wealth foundation  pupil  units  of  high
school  pupils  residing  in  such  component district and attending the
central high school shall be included. The total wealth foundation pupil
units of a central high school district itself shall be the sum  of  the
total wealth foundation pupil units of each component school district.
(3) Notwithstanding the foregoing provisions of this paragraph, when a
school  district shall experience an increase in total wealth foundation
pupil units during the current year because of the closing in whole,  or
in  part,  of  a  nonpublic  school  or  a  campus  school,  or a school
previously operated by the United States government on the United States
military reservation at West Point, the commissioner, in  computing  any
aid  ratio  of  such  district,  shall permit the use of such additional
total wealth foundation pupil units during the current year and the next
succeeding year, provided that such additional total  wealth  foundation
pupil  units  attributable to such closing, or part thereof, shall be in
excess of one hundred students.
i. Parent-teacher conferences or workshops. Notwithstanding any  other
provision  of  this  section  to  the  contrary,  when a school district

operates for a half day session because of a  parent-teacher  conference
or  workshops for teachers, it shall be apportioned with the same amount
of state aid for pupils attending kindergarten as if  both  morning  and
afternoon  kindergarten  groups  were  in  attendance  although only one
kindergarten class attends school. The  school  district  shall  provide
that  morning  and  afternoon  kindergarten  groups  shall  alternate in
attendance if more than one half day session  is  scheduled  during  the
school year.
3. Computation of aid ratios.
a.  (1)  "Pupil  wealth ratio" shall mean the number computed to three
decimals without rounding obtained when actual  valuation  of  a  school
district  divided  by  the  total  wealth  pupil units is divided by the
statewide average actual  valuation  per  total  wealth  pupil  unit  as
computed  by  the commissioner in accordance with the provisions of this
section. Such statewide average actual valuation per total wealth  pupil
unit shall be established each year by the commissioner using the latest
single  year  actual valuation computed under paragraph c of subdivision
one of this section. Such statewide average shall be transmitted to  the
school districts. Such statewide average shall be rounded to the nearest
hundredth  and shall include the actual valuation and total wealth pupil
units of all school districts eligible for aid pursuant to this  section
except  central  high  school districts. For the purposes of calculating
such statewide average the data for the city school district of the city
of New York shall be citywide data.
(2) "Pupil wealth ratio for  total  foundation  aid"  shall  mean  the
number  computed  to  three  decimals without rounding obtained when the
selected actual valuation of a school  district  divided  by  the  total
wealth  pupil  units is divided by the statewide average selected actual
valuation per total wealth pupil unit as computed by the commissioner in
accordance with the provisions of this section. Such  statewide  average
selected   actual  valuation  per  total  wealth  pupil  unit  shall  be
established each year by the  commissioner  using  the  selected  actual
valuation computed under paragraph c of subdivision one of this section.
Such  statewide  average  shall  be transmitted to the school districts.
Such statewide average shall be rounded to  the  nearest  hundredth  and
shall include the selected actual valuation and total wealth pupil units
of all school districts eligible for aid pursuant to this section except
central  high  school  districts.  For  the purposes of calculating such
statewide average the data for the city school district of the  city  of
New York shall be citywide data.
b.  (1)  "Alternate pupil wealth ratio" shall mean the number computed
to three decimals without rounding  obtained  when  the  adjusted  gross
income of a school district for the calendar year two years prior to the
calendar  year  in which the base year began divided by the total wealth
pupil units of such district is divided by the statewide adjusted  gross
income  per total wealth pupil unit. Such statewide average gross income
per pupil shall be established each year by the commissioner  and  shall
be  transmitted  to  school  districts.  Such statewide average shall be
rounded to the nearest hundredth and shall include  the  adjusted  gross
income and total wealth pupil units of all school districts eligible for
aid  pursuant  to this section except central high school districts. For
the purposes of calculating such statewide average the data for the city
school district of the city of New York shall be citywide data.
(2) "Alternate pupil wealth ratio for total foundation aid" shall mean
the number computed to three decimals without rounding obtained when the
selected adjusted gross income of a school  district  for  the  calendar
year  two  years prior to the calendar year in which the base year began
divided by the total wealth pupil units of such district is  divided  by

the  statewide  selected  adjusted  gross  income per total wealth pupil
unit. Such statewide average selected adjusted gross  income  per  pupil
shall  be  established  each  year  by  the  commissioner  and  shall be
transmitted to school districts. Such statewide average shall be rounded
to  the  nearest hundredth and shall include the selected adjusted gross
income and total wealth pupil units of all school districts eligible for
aid pursuant to this section except central high school  districts.  For
the purposes of calculating such statewide average the data for the city
school district of the city of New York shall be citywide data.
c. (1) "Combined wealth ratio" shall mean the number computed to three
decimals  without  rounding  obtained when fifty per centum of the pupil
wealth ratio is added to fifty per centum of the alternate pupil  wealth
ratio.
(2)  "Combined  wealth  ratio for total foundation aid" shall mean the
number computed to three decimals without rounding obtained  when  fifty
per  centum  of the pupil wealth ratio for total foundation aid is added
to fifty per centum of  the  alternate  pupil  wealth  ratio  for  total
foundation aid.
d.  "Income  wealth  index"  shall  mean  the number computed to three
decimals without rounding obtained when the adjusted gross income  of  a
school  district  for  the calendar year two years prior to the calendar
year in which the base year began divided by the total wealth foundation
pupil units of such district is divided by the statewide adjusted  gross
income  per  total wealth foundation pupil units. Such statewide average
gross  income  per  pupil  shall  be  established  each  year   by   the
commissioner  and  shall  be  transmitted  to  school districts. For the
purposes of this  paragraph,  the  income  data  shall  be  computed  in
accordance  with  paragraph  h  of subdivision one of this section. Such
statewide average shall be rounded to the nearest  hundredth  and  shall
include  the  adjusted  gross  income  and total wealth foundation pupil
units of all school districts eligible for aid pursuant to this  section
except  central  high  school districts. For the purposes of calculating
such statewide average the data for the city school district of the city
of New York shall be citywide data.  The  adjusted  gross  income  of  a
central  high  school district shall equal the sum of the adjusted gross
income of each of its component school districts.
e. Building aid ratios. The  aid  ratio  to  be  used  in  determining
building  aid  apportionments  to  any  school district pursuant to this
section shall be computed in the following manner:
(1) The actual valuation of such district  shall  be  divided  by  its
resident  weighted average daily attendance as computed pursuant to this
section to determine its actual valuation per resident pupil.
(2)  The  commissioner  shall  determine  the  state  average   actual
valuation  per  pupil  in resident weighted average daily attendance for
the preceding school year using the latest single year actual  valuation
computed  under  paragraph  c  of  subdivision  one of this section. The
commissioner shall transmit such state average to the school  districts.
Such  statewide  average  shall  be rounded to the nearest hundredth and
shall include the actual valuation and resident weighted  average  daily
attendance  of  all  school  districts eligible for aid pursuant to this
section except central  high  school  districts.  For  the  purposes  of
calculating such statewide average the data for the city school district
of the city of New York shall be citywide data.
(3)  The resident weighted average daily attendance wealth ratio shall
mean the actual valuation per resident  pupil  of  the  school  district
divided  by  such  state  average actual valuation per pupil, carried to
three decimal places without rounding.
(4) The building aid ratio shall be computed by subtracting  from  one
the  product obtained by multiplying the resident weighted average daily
attendance wealth ratio by fifty-one percent. Such aid  ratio  shall  be
expressed  as  a  decimal  carried to three places without rounding, but
shall not be less than zero.
(5)  The  additional  building  aid ratio for low income wealth school
districts shall be the product obtained by multiplying the state sharing
ratio by one and two hundred sixty-three thousandths (1.263).
f. The board of cooperative educational services aid ratio shall equal
the greater of: (1) an amount equal to one minus the quotient  expressed
as  a decimal to three places without rounding of eight mills divided by
the tax rate of the local district computed upon the actual valuation of
taxable property, as determined pursuant  to  subdivision  one  of  this
section,  expressed  in  mills to the nearest tenth as determined by the
commissioner, provided, however, that where services are provided  to  a
school  district which is included within a central high school district
or to a central high school district, such amount shall equal one  minus
the  quotient expressed as a decimal to three places without rounding of
three mills divided by the tax rates, expressed in mills to the  nearest
tenth,  of  such  districts, as determined by the commissioner or (2) an
amount  computed  by  subtracting  from  one  the  product  obtained  by
multiplying  the resident weighted average daily attendance wealth ratio
by fifty-one percent. Such aid ratio shall be  expressed  as  a  decimal
carried  to  three  places  without  rounding but shall not be less than
thirty-six percent and shall not be greater than ninety percent.
g. Computation of the state sharing ratio.  The  state  sharing  ratio
shall be the higher of:
(1)  a  value  computed  by  subtracting  from  one  and  thirty-seven
hundredths the product obtained by multiplying the combined wealth ratio
by one and twenty-three hundredths; or
(2) a value computed by subtracting from one the product  obtained  by
multiplying the combined wealth ratio by sixty-four hundredths; or
(3) a value computed by subtracting from eighty hundredths the product
obtained  by  multiplying  the  combined  wealth  ratio  by  thirty-nine
hundredths; or
(4) a value computed by  subtracting  from  fifty-one  hundredths  the
product  obtained by multiplying the combined wealth ratio by twenty-two
hundredths, provided, however, that for the  purpose  of  computing  the
state  sharing ratio for total foundation aid, the tier four value shall
be  computed  by  subtracting  from  fifty-one  hundredths  the  product
obtained  by  multiplying  the  combined  wealth  ratio  by  one hundred
seventy-three thousandths and such values shall be  computed  using  the
combined  wealth ratio for total foundation aid in place of the combined
wealth ratio,  and,  for  high  need  school  districts,  as  determined
pursuant to clause (c) of subparagraph two of paragraph c of subdivision
six  of this section for the school aid computer listing produced by the
commissioner in support of the  enacted  budget  for  the  two  thousand
seven--two thousand eight school year and entitled "SA0708", such values
shall be multiplied by one hundred five percent.
* Such  result shall be expressed as a decimal carried to three places
without rounding, but shall not be greater than  ninety  hundredths  nor
less than zero.
* NB Effective until July 1, 2024
* Such  result shall be expressed as a decimal carried to three places
without rounding, but shall not be greater than  ninety  hundredths  nor
less than zero, provided, however, that for the purpose of computing the
state  sharing  ratio  for  total  foundation  aid  in  the two thousand

twenty-four--two thousand twenty-five school year and  thereafter,  such
result shall not be greater than ninety-one hundredths.
* NB Effective July 1, 2024
4. Total foundation aid.
* In  addition  to any other apportionment pursuant to this chapter, a
school district, other than a special act school district as defined  in
subdivision eight of section four thousand one of this chapter, shall be
eligible  for total foundation aid equal to the product of total aidable
foundation pupil units multiplied by the district's selected  foundation
aid,  which  shall  be  the  greater  of  five hundred dollars ($500) or
foundation formula aid, provided, however  that  for  the  two  thousand
seven--two  thousand eight through two thousand eight--two thousand nine
school years, no school district shall receive total foundation  aid  in
excess  of  the  sum of the total foundation aid base for aid payable in
the two thousand seven--two thousand eight school year computed pursuant
to subparagraph (i) of paragraph j of subdivision one of  this  section,
plus  the  phase-in foundation increase computed pursuant to paragraph b
of this subdivision, and provided further  that  for  the  two  thousand
twelve--two  thousand  thirteen  school  year,  no school district shall
receive total  foundation  aid  in  excess  of  the  sum  of  the  total
foundation  aid  base  for  aid  payable in the two thousand eleven--two
thousand twelve school year computed pursuant to  subparagraph  (ii)  of
paragraph  j  of  subdivision  one  of  this  section, plus the phase-in
foundation  increase  computed  pursuant  to   paragraph   b   of   this
subdivision,   and   provided   further   that   for  the  two  thousand
thirteen--two thousand fourteen school year and  thereafter,  no  school
district  shall receive total foundation aid in excess of the sum of the
total foundation aid base computed  pursuant  to  subparagraph  (ii)  of
paragraph  j  of  subdivision  one  of  this  section, plus the phase-in
foundation  increase  computed  pursuant  to   paragraph   b   of   this
subdivision, and provided further that for the two thousand sixteen--two
thousand  seventeen  school  year,  no  eligible  school districts shall
receive total  foundation  aid  in  excess  of  the  sum  of  the  total
foundation  aid base computed pursuant to subparagraph (ii) of paragraph
j of subdivision one of this section plus the sum of  (A)  the  phase-in
foundation  increase,  (B)  the  executive  foundation  increase  with a
minimum increase pursuant to paragraph b-2 of this subdivision, and  (C)
an  amount  equal  to  "COMMUNITY  SCHOOLS  AID" in the computer listing
produced by the commissioner in support of the executive budget  request
for  the  two  thousand  sixteen--two thousand seventeen school year and
entitled "BT161-7",  where  (1)  "eligible  school  district"  shall  be
defined as a district with (a) an unrestricted aid increase of less than
seven percent (0.07) and (b) a three year average free and reduced price
lunch percent greater than fifteen percent (0.15), and (2) "unrestricted
aid  increase"  shall mean the quotient arrived at when dividing (a) the
sum of the executive foundation aid increase plus  the  gap  elimination
adjustment  for  the  base year, by (b) the difference of foundation aid
for the base year less the gap elimination adjustment for the base year,
and (3) "executive foundation increase" shall mean the difference of (a)
the amounts set forth for each school district as "FOUNDATION AID" under
the heading "2016-17 ESTIMATED AIDS" in the school aid computer  listing
produced  by the commissioner in support of the executive budget request
for the two thousand sixteen--two thousand  seventeen  school  year  and
entitled  "BT161-7"  less  (b)  the  amounts  set  forth for each school
district as "FOUNDATION AID" under the heading "2015-16 BASE YEAR  AIDS"
in  such computer listing and provided further that total foundation aid
shall not be less than the product of  the  total  foundation  aid  base
computed  pursuant to paragraph j of subdivision one of this section and

the due-minimum percent which shall be, for the two thousand twelve--two
thousand thirteen  school  year,  one  hundred  and  six-tenths  percent
(1.006)  and for the two thousand thirteen--two thousand fourteen school
year  for  city  school  districts of those cities having populations in
excess of one hundred twenty-five thousand and  less  than  one  million
inhabitants  one  hundred  and  one  and  one  hundred  and  seventy-six
thousandths percent (1.01176), and for all other districts  one  hundred
and three-tenths percent (1.003), and for the two thousand fourteen--two
thousand  fifteen  school  year  one  hundred and eighty-five hundredths
percent (1.0085), and for the two thousand fifteen--two thousand sixteen
school year,  one  hundred  thirty-seven  hundredths  percent  (1.0037),
subject to allocation pursuant to the provisions of subdivision eighteen
of  this section and any provisions of a chapter of the laws of New York
as described therein, nor more than the product of such total foundation
aid base and one hundred fifteen percent for any school year other  than
the two thousand seventeen--two thousand eighteen school year, provided,
however,  that  for  the  two  thousand  sixteen--two thousand seventeen
school year such maximum shall be no  more  than  the  sum  of  (i)  the
product  of  such  total  foundation  aid  base  and one hundred fifteen
percent plus (ii) the  executive  foundation  increase  and  plus  (iii)
"COMMUNITY  SCHOOLS  AID"  in  the  computer  listing  produced  by  the
commissioner in support of the executive  budget  request  for  the  two
thousand  sixteen--two  thousand  seventeen  school  year  and  entitled
"BT161-7" and provided further  that  for  the  two  thousand  nine--two
thousand  ten  through  two  thousand eleven--two thousand twelve school
years, each school district shall receive total  foundation  aid  in  an
amount  equal  to the amount apportioned to such school district for the
two thousand eight--two thousand  nine  school  year  pursuant  to  this
subdivision.  Total  aidable  foundation pupil units shall be calculated
pursuant to paragraph g of subdivision two  of  this  section.  For  the
purposes  of  calculating  aid pursuant to this subdivision, aid for the
city school district of the city of New York shall be  calculated  on  a
citywide basis.
* NB Effective until July 1, 2024
* In  addition  to any other apportionment pursuant to this chapter, a
school district, other than a special act school district as defined  in
subdivision eight of section four thousand one of this chapter, shall be
eligible  for total foundation aid equal to the product of total aidable
foundation pupil units multiplied by the district's selected  foundation
aid,  which  shall  be  the  greater  of  five hundred dollars ($500) or
foundation formula aid. Total aidable foundation pupil  units  shall  be
calculated  pursuant  to paragraph g of subdivision two of this section.
For the purposes of calculating aid pursuant to  this  subdivision,  aid
for the city school district of the city of New York shall be calculated
on a citywide basis.
* NB Effective July 1, 2024
a.  Foundation  formula  aid.  Foundation  formula aid shall equal the
remainder when the expected minimum  local  contribution  is  subtracted
from  the product of the foundation amount, the regional cost index, and
the pupil need index, or: (foundation amount x  regional  cost  index  x
pupil need index)- expected minimum local contribution.
* (1)  The  foundation amount shall reflect the average per pupil cost
of general education instruction  in  successful  school  districts,  as
determined  by  a statistical analysis of the costs of special education
and general education in successful school districts, provided that  the
foundation  amount  shall be adjusted annually to reflect the percentage
increase in the consumer price index  as  defined  by  paragraph  hh  of
subdivision  one  of  this  section,  provided that for the two thousand

eight--two  thousand  nine  school  year,  for  the  purpose   of   such
adjustment, the percentage increase in the consumer price index shall be
deemed  to  be two and nine-tenths percent (0.029), and provided further
that  the  foundation  amount  for  the two thousand seven--two thousand
eight school  year  shall  be  five  thousand  two  hundred  fifty-eight
dollars,  and  provided  further  that  for  the two thousand seven--two
thousand eight through two  thousand  seventeen--two  thousand  eighteen
school  years,  the  foundation  amount shall be further adjusted by the
phase-in foundation percent established pursuant to paragraph b of  this
subdivision.
* NB Effective until July 1, 2024
* (1)  The  foundation amount shall reflect the average per pupil cost
of general education instruction  in  successful  school  districts,  as
determined  by  a statistical analysis of the costs of special education
and general education in successful school districts, provided that  the
foundation  amount  shall be adjusted annually to reflect the percentage
increase in the consumer price index  as  defined  by  paragraph  hh  of
subdivision  one  of  this  section,  provided that for the two thousand
twenty-four--two  thousand  twenty-five  school  year,  the   percentage
increase  in  the  consumer  price  index  shall be deemed to be two and
eight-tenths percent (0.028).
* NB Effective July 1, 2024
(2) The regional cost index shall reflect an analysis of labor  market
costs  based on median salaries in professional occupations that require
similar credentials to those of positions in the  education  field,  but
not  including  those  occupations in the education field, provided that
the regional cost indices for the two thousand seven--two thousand eight
school year and thereafter shall be as follows:
Labor Force Region  Index
Capital District    1.124
Southern Tier       1.045
Western New York    1.091
Hudson Valley       1.314
Long Island/NYC     1.425
Finger Lakes        1.141
Central New York    1.103
Mohawk Valley       1.000
North Country       1.000
(3) The pupil  need  index  shall  equal  the  sum  of  one  plus  the
extraordinary  needs  percent,  provided,  however,  that the pupil need
index shall not be less than one nor more than  two.  The  extraordinary
needs percent shall be calculated pursuant to paragraph w of subdivision
one of this section.
* (4)  The  expected minimum local contribution shall equal the lesser
of (i) the product of (A) the quotient  arrived  at  when  the  selected
actual  valuation  is  divided  by  total wealth foundation pupil units,
multiplied by (B) the product of the local tax factor, multiplied by the
income wealth index, or (ii) the product  of  (A)  the  product  of  the
foundation  amount,  the  regional cost index, and the pupil need index,
multiplied by (B) the positive difference, if  any,  of  one  minus  the
state sharing ratio for total foundation aid. The local tax factor shall
be  established  by  May  first of each year by determining the product,
computed to four decimal places  without  rounding,  of  ninety  percent
multiplied  by the quotient of the sum of the statewide average tax rate
as computed by the commissioner for the current year in accordance  with
the  provisions  of paragraph e of subdivision one of section thirty-six
hundred nine-e of this part plus the statewide average tax rate computed
by the commissioner for the base year in accordance with such provisions

plus the statewide average tax rate computed by the commissioner for the
year prior to the base year in accordance with such provisions,  divided
by three, provided however that for the two thousand seven--two thousand
eight  school  year,  such local tax factor shall be sixteen thousandths
(0.016), and provided further  that  for  the  two  thousand  eight--two
thousand  nine  school  year, such local tax factor shall be one hundred
fifty-four ten thousandths (0.0154). The income wealth  index  shall  be
calculated pursuant to paragraph d of subdivision three of this section,
provided,  however,  that  for  the  purposes  of computing the expected
minimum local contribution the income wealth index  shall  not  be  less
than  sixty-five  percent  (0.65) and shall not be more than two hundred
percent (2.0) and provided however that such income wealth  index  shall
not  be  more  than  ninety-five  percent  (0.95)  for  the two thousand
eight--two thousand nine school year, and  provided  further  that  such
income  wealth  index  shall  not be less than zero for the two thousand
thirteen--two  thousand  fourteen  school  year.  The  selected   actual
valuation shall be calculated pursuant to paragraph c of subdivision one
of this section. Total wealth foundation pupil units shall be calculated
pursuant to paragraph h of subdivision two of this section.
* NB Effective until July 1, 2024
* (4)  The  expected minimum local contribution shall equal the lesser
of (i) the product of (A) the quotient  arrived  at  when  the  selected
actual  valuation  is  divided  by  total wealth foundation pupil units,
multiplied by (B) the product of the local tax factor, multiplied by the
income wealth index, or (ii) the product  of  (A)  the  product  of  the
foundation  amount,  the  regional cost index, and the pupil need index,
multiplied by (B) the positive difference, if  any,  of  one  minus  the
state sharing ratio for total foundation aid. The local tax factor shall
be  established  by  May  first of each year by determining the product,
computed to four decimal places  without  rounding,  of  ninety  percent
multiplied  by the quotient of the sum of the statewide average tax rate
as computed by the commissioner for the current year in accordance  with
the  provisions  of paragraph e of subdivision one of section thirty-six
hundred nine-e of this part plus the statewide average tax rate computed
by the commissioner for the base year in accordance with such provisions
plus the statewide average tax rate computed by the commissioner for the
year prior to the base year in accordance with such provisions,  divided
by  three.  The  income  wealth  index  shall  be calculated pursuant to
paragraph d of subdivision three of  this  section,  provided,  however,
that   for   the  purposes  of  computing  the  expected  minimum  local
contribution the income wealth index shall not be less  than  sixty-five
percent (0.65) and shall not be more than two hundred percent (2.0). The
selected actual valuation shall be calculated pursuant to paragraph c of
subdivision  one  of  this  section. Total wealth foundation pupil units
shall be calculated pursuant to paragraph h of subdivision two  of  this
section.
* NB Effective July 1, 2024
(5) For the purposes of this subdivision, "total foundation aid" shall
be  equal  to  the  product  of the total aidable foundation pupil units
multiplied by the district's selected foundation aid.
* b.  Phase-in  foundation  increase.  (1)  The  phase-in   foundation
increase  shall  equal  the  product of the phase-in foundation increase
factor multiplied by the positive difference, if any, of (i) the product
of the total aidable foundation pupil units multiplied by the district's
selected foundation aid less (ii) the total foundation aid base computed
pursuant to paragraph j of subdivision one of this section.
(2) (i) Phase-in foundation percent. The phase-in  foundation  percent
shall  equal  one  hundred  thirteen and fourteen one hundredths percent

(1.1314) for the two thousand eleven--two thousand twelve  school  year,
one hundred ten and thirty-eight hundredths percent (1.1038) for the two
thousand  twelve--two  thousand  thirteen school year, one hundred seven
and  sixty-eight  hundredths  percent  (1.0768)  for  the  two  thousand
thirteen--two thousand fourteen school year, one hundred  five  and  six
hundredths  percent (1.0506) for the two thousand fourteen--two thousand
fifteen school year,  and  one  hundred  two  and  five  tenths  percent
(1.0250) for the two thousand fifteen--two thousand sixteen school year.
(ii)  Phase-in  foundation  increase  factor.  For  the  two  thousand
eleven--two  thousand  twelve  school  year,  the  phase-in   foundation
increase  factor  shall  equal thirty-seven and one-half percent (0.375)
and the phase-in due minimum percent shall equal nineteen and  forty-one
hundredths  percent  (0.1941), for the two thousand twelve--two thousand
thirteen school year the phase-in foundation increase factor shall equal
one and seven-tenths percent (0.017), for the two thousand thirteen--two
thousand fourteen school year the phase-in  foundation  increase  factor
shall equal (1) for a city school district in a city having a population
of  one  million  or  more,  five  and  twenty-three  hundredths percent
(0.0523) or (2) for all other school districts zero percent, for the two
thousand  fourteen--two  thousand  fifteen  school  year  the   phase-in
foundation increase factor shall equal (1) for a city school district of
a  city  having a population of one million or more, four and thirty-two
hundredths percent (0.0432) or (2) for a school district  other  than  a
city  school  district  having  a  population of one million or more for
which (A) the quotient of the  positive  difference  of  the  foundation
formula aid minus the foundation aid base computed pursuant to paragraph
j  of  subdivision one of this section divided by the foundation formula
aid is greater than twenty-two percent (0.22) and (B) a combined  wealth
ratio  less  than thirty-five hundredths (0.35), seven percent (0.07) or
(3) for all other  school  districts,  four  and  thirty-one  hundredths
percent (0.0431), and for the two thousand fifteen--two thousand sixteen
school year the phase-in foundation increase factor shall equal: (1) for
a  city  school district of a city having a population of one million or
more,  thirteen  and  two  hundred  seventy-four   thousandths   percent
(0.13274);  or  (2)  for  districts  where  the quotient arrived at when
dividing (A) the product of the total  aidable  foundation  pupil  units
multiplied  by  the  district's  selected  foundation aid less the total
foundation aid base computed pursuant to paragraph j of subdivision  one
of  this  section  divided  by  (B)  the  product  of  the total aidable
foundation pupil units multiplied by the district's selected  foundation
aid  is  greater  than nineteen percent (0.19), and where the district's
combined wealth ratio is less than thirty-three hundredths (0.33), seven
and seventy-five hundredths percent  (0.0775);  or  (3)  for  any  other
district  designated as high need pursuant to clause (c) of subparagraph
two of paragraph c of subdivision six of this section for the school aid
computer listing produced by the commissioner in support of the  enacted
budget  for  the  two thousand seven--two thousand eight school year and
entitled "SA0708", four  percent  (0.04);  or  (4)  for  a  city  school
district  in  a  city  having  a  population  of one hundred twenty-five
thousand or more but less than one million, fourteen percent (0.14);  or
(5)  for  school  districts  that  were  designated as small city school
districts or central school districts whose boundaries include a portion
of a small city for the school aid  computer  listing  produced  by  the
commissioner  in  support  of  the  enacted  budget for the two thousand
fourteen--two thousand fifteen school year and entitled  "SA1415",  four
and  seven  hundred  fifty-one thousandths percent (0.04751); or (6) for
all other districts  one  percent  (0.01),  and  for  the  two  thousand
sixteen--two  thousand seventeen school year the foundation aid phase-in

increase factor shall equal for an eligible school district the  greater
of:  (1)  for  a city school district in a city with a population of one
million or more, seven and seven hundred eighty four thousandths percent
(0.07784); or (2) for a city school district in a city with a population
of  more than two hundred fifty thousand but less than one million as of
the most recent federal decennial census,  seven  and  three  hundredths
percent  (0.0703);  or  (3)  for a city school district in a city with a
population of more than two hundred thousand but less than  two  hundred
fifty  thousand  as of the most recent federal decennial census, six and
seventy-two hundredths percent  (0.0672);  or  (4)  for  a  city  school
district  in  a  city  with  a population of more than one hundred fifty
thousand but less than two  hundred  thousand  as  of  the  most  recent
federal  decennial  census,  six  and  seventy-four  hundredths  percent
(0.0674); or (5) for a city school district in a city with a  population
of  more than one hundred twenty-five thousand but less than one hundred
fifty thousand as of the most recent federal decennial census, nine  and
fifty-five hundredths percent (0.0955); or (6) for school districts that
were  designated  as  small  city  school  districts  or  central school
districts whose boundaries include a portion of a  small  city  for  the
school  aid  computer listing produced by the commissioner in support of
the enacted budget for the two thousand fourteen--two  thousand  fifteen
school  year  and  entitled  "SA141-5" with a combined wealth ratio less
than one and four tenths (1.4), nine percent (0.09), provided,  however,
that  for such districts that are also districts designated as high need
urban-suburban pursuant to clause (c) of subparagraph two of paragraph c
of subdivision six of this section for the school aid  computer  listing
produced  by  the  commissioner in support of the enacted budget for the
two  thousand  seven--two  thousand  eight  school  year  and   entitled
"SA0708",  nine  and  seven  hundred  and  nineteen  thousandths percent
(0.09719); or (7) for school districts designated  as  high  need  rural
pursuant to clause (c) of subparagraph two of paragraph c of subdivision
six  of this section for the school aid computer listing produced by the
commissioner in support of the  enacted  budget  for  the  two  thousand
seven--two  thousand  eight  school year and entitled "SA0708", thirteen
and six tenths percent (0.136); or (8) for school  districts  designated
as  high  need urban-suburban pursuant to clause (c) of subparagraph two
of paragraph c of subdivision six of this section  for  the  school  aid
computer  listing produced by the commissioner in support of the enacted
budget for the two thousand seven--two thousand eight  school  year  and
entitled "SA0708", seven hundred nineteen thousandths percent (0.00719);
or  (9)  for all other eligible school districts, forty-seven hundredths
percent  (0.0047),  provided  further  that   for   the   two   thousand
seventeen--two thousand eighteen school year the foundation aid increase
phase-in  factor shall equal (1) for school districts with a census 2000
poverty rate computed pursuant to paragraph q of subdivision one of this
section equal to or greater than  twenty-six  percent  (0.26),  ten  and
three-tenths  percent  (0.103),  or  (2) for a school district in a city
with a population in excess  of  one  million  or  more,  seventeen  and
seventy-seven  one-hundredths percent (0.1777), or (3) for a city school
district in a city with a population of  more  than  two  hundred  fifty
thousand  but  less  than  one  million, as of the most recent decennial
census, twelve and sixty-nine hundredths percent (0.1269) or (4)  for  a
city  school  district  in  a  city  with  a population of more than one
hundred fifty thousand but less than two hundred  thousand,  as  of  the
most   recent  federal  decennial  census,  ten  and  seventy-eight  one
hundredths percent (0.1078), or (5) for a city school district in a city
with a population of more than one hundred twenty-five thousand but less
than one hundred fifty thousand as of the most recent federal  decennial

census,   nineteen   and   one  hundred  eight  one-thousandths  percent
(0.19108), or (6) for a city school district in a city with a population
of more than two hundred  thousand  but  less  than  two  hundred  fifty
thousand  as  of  the  most  recent  federal  decennial  census, ten and
six-tenths percent (0.106), or (7) for all  other  districts,  four  and
eighty-seven  one-hundredths  percent (0.0487), and for the two thousand
twenty-two--two thousand twenty-three school  year  the  foundation  aid
phase-in  increase  factor shall be fifty percent (0.5), and for the two
thousand  twenty-three--two  thousand  twenty-four   school   year   and
thereafter  the  foundation  aid  phase-in  increase factor shall be one
hundred percent (1.0).
* NB Repealed July 1, 2024
* b. Notwithstanding any other provision of law to the  contrary,  for
the  two  thousand seven--two thousand eight school year and thereafter,
the additional amount payable to each school district pursuant  to  this
subdivision in the current year as total foundation aid, after deducting
the  total  foundation  aid  base,  shall be deemed a state grant in aid
identified by the commissioner for general use for purposes  of  section
seventeen hundred eighteen of this chapter.
* NB Effective July 1, 2024
* b-1. Notwithstanding any other provision of law to the contrary, for
the  two  thousand seven--two thousand eight school year and thereafter,
the additional amount payable to each school district pursuant  to  this
subdivision in the current year as total foundation aid, after deducting
the  total  foundation  aid  base,  shall be deemed a state grant in aid
identified by the commissioner for general use for purposes  of  section
seventeen hundred eighteen of this chapter.
* NB Effective until July 1, 2024
* b-2.   Due  minimum  for  the  two  thousand  sixteen--two  thousand
seventeen school year. Notwithstanding any other provision of law to the
contrary, for the two thousand sixteen--two  thousand  seventeen  school
year  the  total  foundation  aid  shall not be less than the sum of the
total  foundation  aid  base  computed  pursuant  to  paragraph   j   of
subdivision  one  of  this  section  plus  the  due  minimum for the two
thousand sixteen--two thousand seventeen school  year,  where  such  due
minimum shall equal the difference of (1) the product of (A) two percent
(0.02)  multiplied by (B) the difference of total foundation aid for the
base year less the gap elimination adjustment for the  base  year,  less
(2)  the  sum  of  (A)  the difference of the amounts set forth for each
school district as "FOUNDATION AID" under the heading "2016-17 ESTIMATED
AIDS" in the school aid computer listing produced by the commissioner in
support  of  the  executive  budget  request  for   the   two   thousand
sixteen--two  thousand seventeen school year and entitled "BT161-7" less
the amounts set forth for each school district as "FOUNDATION AID" under
the heading "2015-16 BASE YEAR AIDS" in such computer listing  plus  (B)
the gap elimination adjustment for the base year.
* NB Repealed July 1, 2024
* b-3.  Due  minimum  for  the  two  thousand  seventeen--two thousand
eighteen school year. Notwithstanding any other provision of law to  the
contrary,  for  the two thousand seventeen--two thousand eighteen school
year the total foundation aid shall not be less than (A) the sum of  the
total   foundation   aid  base  computed  pursuant  to  paragraph  j  of
subdivision one of this section plus the product of (i)  the  difference
of  the  amount  set  forth for such school district as "FOUNDATION AID"
under the heading "2017-18 ESTIMATED AIDS" in the  school  aid  computer
listing  produced by the commissioner in support of the executive budget
request for the two thousand  seventeen--two  thousand  eighteen  school
year  and  entitled  "BT171-8" less the amount set forth for such school

district as "FOUNDATION AID" under the heading "2016-17 BASE YEAR  AIDS"
in  the  school  aid  computer  listing  produced by the commissioner in
support  of  the  executive  budget  request  for   the   two   thousand
seventeen--two  thousand  eighteen  school  year  and entitled "BT171-8"
multiplied by (ii) one and eighteen one-hundredths (1.18),  or  (B)  the
product  of  forty-four and seventy-five one-hundredths percent (0.4475)
multiplied by total foundation aid as computed pursuant to  paragraph  a
of  this  subdivision,  or  (C) the sum of the total foundation aid base
computed pursuant to paragraph j of subdivision one of this section plus
the due minimum for the two thousand  seventeen--two  thousand  eighteen
school year, where such due minimum shall equal (1) for school districts
with  a  census  2000  poverty  rate computed pursuant to paragraph q of
subdivision one of this section, equal to or  greater  than  eleven  and
nine-tenths  percent (0.119), the product of the foundation aid base for
the two thousand seventeen--two thousand eighteen school  year  computed
pursuant to subparagraph (iii) of paragraph j of subdivision one of this
section   multiplied   by   three  hundred  thirty-five  ten-thousandths
(0.0335), or (2) for all other  school  districts  the  product  of  the
foundation  aid  base  for  the  two  thousand  seventeen--two  thousand
eighteen  school  year  computed  pursuant  to  subparagraph  (iii)   of
paragraph  j  of  subdivision  one of this section multiplied by two and
seventy-four one-hundredths percent (0.0274).
* NB Repealed July 1, 2024
* b-4. Additional increase for the two thousand seventeen-two thousand
eighteen school  year.  For  the  two  thousand  seventeen-two  thousand
eighteen school year, any school district eligible to receive a phase-in
foundation  increase  pursuant  to  this  subdivision  shall  receive an
additional foundation increase equal to the sum of tiers A, B, C, and  D
as defined herein.
(i)  Tier  A.  For all school districts other than a district within a
city with a population of one million or more, with  a  combined  wealth
ratio  less  than two (2.0), where either (A) the quotient arrived at by
dividing the English language learner count pursuant to paragraph  o  of
subdivision  one  of this section for the base year by the public school
district enrollment for  the  base  year  pursuant  to  paragraph  n  of
subdivision  one  of  this  section  is  greater than two one-hundredths
(0.02) or (B) the quotient arrived at by dividing the difference of  the
English  language  learner  count pursuant to paragraph o of subdivision
one of this section for the base year less such count for one year prior
to the base year by the public school district enrollment for  one  year
prior  to  the  base  year pursuant to paragraph n of subdivision one of
this section is greater than one one-thousandth (0.001),  tier  A  shall
equal the product of (A) the difference of two minus the combined wealth
ratio  multiplied by (B) one hundred dollars ($100.00) multiplied by (C)
the English language learner count for the base year.
(ii) Tier B. For any school district (A) where the amount set forth as
"25% LIMIT CAP ON  INCREASE"  on  the  computer  file  produced  by  the
commissioner  in  support  of  the  enacted  budget for the two thousand
seven--two thousand eight school year and  entitled  "SA070-8"  is  less
than  zero  and  (B)  with  a combined wealth ratio computed pursuant to
paragraph c of subdivision three of this section greater than one (1.0),
tier B shall equal the product of (A) the sum of (1) the  difference  of
total  foundation  aid  less  the  foundation  aid  base  plus  (2)  the
difference  of  the  amount  set  forth  for  such  school  district  as
"FOUNDATION  AID"  under  the  heading  "2017-18  ESTIMATED AIDS" in the
school aid computer listing produced by the commissioner in  support  of
the  executive  budget request and entitled "BT1718" less the foundation
aid base multiplied by (B) ten and two-tenths percent (0.102).
(iii) Tier C. For all school districts with a  combined  wealth  ratio
for total foundation aid computed pursuant to paragraph c of subdivision
three  of  this section less than one (1.0), tier C shall be the greater
of (A) for districts that were designated as small city school districts
or  central  school  districts  whose  boundaries include a portion of a
small  city  for  the  school  aid  computer  listing  produced  by  the
commissioner  in  support  of  the  enacted  budget for the two thousand
fourteen--two thousand fifteen school year and  entitled  "SA1415",  the
product  of  the  public  school  district  enrollment for the base year
pursuant to paragraph n of subdivision one of this section multiplied by
one hundred sixty-seven dollars and forty cents  ($167.40)  or  (B)  for
school  districts  with  a  sparsity factor as set forth on the computer
listing produced by the commissioner in support of  the  enacted  budget
for  the  two  thousand seventeen--two thousand eighteen school year and
entitled "SA171-8" of greater than  zero,  the  product  of  the  public
school  district  enrollment for the base year multiplied by one hundred
eighty-eight dollars ($188.00).
(iv) Tier D. For all school districts, other than districts  within  a
city with a population of one hundred twenty-five thousand or more, with
a selected poverty rate of greater than eighteen hundredths (0.18), tier
D shall equal the product of the selected poverty rate multiplied by the
school  district  public  enrollment for the base year multiplied by two
hundred forty dollars ($240.00), provided, however, that  for  districts
within  a city with a population of greater than one hundred twenty-five
thousand but less than one  million  and  a  selected  poverty  rate  of
greater  than eighteen hundredths (0.18), tier D shall equal the product
of the selected  poverty  rate  multiplied  by  school  district  public
enrollment  for  the  base  year  multiplied by three hundred forty-four
dollars ($344.00), and for a city school  district  in  a  city  with  a
population of one million or more, tier D shall equal the product of the
selected  poverty  rate  multiplied by school district public enrollment
for the base year multiplied by twenty-nine cents ($0.29).
* NB Repealed July 1, 2024
* c. Public excess cost aid setaside. Each school district  shall  set
aside  from  its  total  foundation  aid  computed  for the current year
pursuant to this subdivision an amount equal to the product of: (i)  the
difference  between  the  amount  the  school  district  was eligible to
receive in the two thousand six--two thousand seven school year pursuant
to or in lieu of paragraph six of subdivision nineteen of  this  section
as  such  paragraph existed on June thirtieth, two thousand seven, minus
the amount such district was eligible to receive pursuant to or in  lieu
of  paragraph  five  of  subdivision  nineteen  of  this section as such
paragraph existed on June thirtieth, two thousand seven, in such  school
year,  and  (ii)  the  sum  of  one  and  the percentage increase in the
consumer price index for the current year over such consumer price index
for the two thousand six--two thousand seven school year, as defined  by
paragraph  hh  of  subdivision  one of this section. Notwithstanding any
other provision of law to the  contrary,  the  public  excess  cost  aid
setaside  shall be paid pursuant to section thirty-six hundred nine-b of
this part.
* NB Effective until July 1, 2024
* c. Public excess cost aid setaside. Each school district  shall  set
aside  from  its  total  foundation  aid  computed  for the current year
pursuant to this subdivision an amount equal to the product of: (i)  the
difference  between  the  amount  the  school  district  was eligible to
receive in the two thousand six--two thousand seven school year pursuant
to or in lieu of paragraph six of subdivision nineteen of  this  section
as  such  paragraph existed on June thirtieth, two thousand seven, minus

the amount such district was eligible to receive pursuant to or in  lieu
of  paragraph  five  of  subdivision  nineteen  of  this section as such
paragraph existed on June thirtieth, two thousand seven, in such  school
year,  and  (ii)  the  sum  of  one  and  the percentage increase in the
consumer price index for the current year over such consumer price index
for the two thousand six--two thousand seven school year, as defined  by
paragraph  hh  of  subdivision  one  of  this section, provided that the
percentage increase in the consumer price index  for  the  two  thousand
twenty-four--two  thousand  twenty-five  school  year over such consumer
price index for the two thousand six--two  thousand  seven  school  year
shall  be  deemed  to  be  fifty-four  and  one-tenth  percent  (0.541).
Notwithstanding any other provision of law to the contrary,  the  public
excess  cost  aid  setaside shall be paid pursuant to section thirty-six
hundred nine-b of this part.
* NB Effective July 1, 2024
* d. For the two thousand fourteen--two thousand fifteen  through  two
thousand  twenty-three--two  thousand  twenty-four  school  years a city
school district of a city having a population of one million or more may
use amounts apportioned pursuant to  this  subdivision  for  afterschool
programs.
* NB Effective until July 1, 2024
* d.  For  the two thousand fourteen--two thousand fifteen through two
thousand twenty-eight--two thousand  twenty-nine  school  years  a  city
school district of a city having a population of one million or more may
use  amounts  apportioned  pursuant  to this subdivision for afterschool
programs.
* NB Effective July 1, 2024
e. Community schools aid set-aside. Each  school  district  shall  set
aside  from  its  total  foundation  aid  computed  for the current year
pursuant to this subdivision an amount equal  to  the  sum  of  (i)  the
amount,  if  any,  set  forth  for  such district as "COMMUNITY SCHL AID
(BT1617)" in the data file produced by the commissioner  in  support  of
the  enacted budget for the two thousand sixteen--two thousand seventeen
school year and entitled "SA161-7", (ii) the amount, if any,  set  forth
for  such district as "COMMUNITY SCHL INCR" in the data file produced by
the commissioner in support of the executive budget request for the  two
thousand  seventeen--two  thousand  eighteen  school  year  and entitled
"BT171-8", (iii) the amount, if any, set  forth  for  such  district  as
"COMMUNITY   SCHOOLS   INCREASE"  in  the  data  file  produced  by  the
commissioner in support of the executive budget  for  the  two  thousand
eighteen--two  thousand nineteen school year and entitled "BT181-9", and
(iv) the amount, if any, set forth for such district as "19-20 COMMUNITY
SCHOOLS INCR" in the data file produced by the commissioner  in  support
of  the  executive  budget  for  the two thousand nineteen--two thousand
twenty school year and entitled "BT192-0". Each  school  district  shall
use   such   "COMMUNITY   SCHL  AID  (BT1617)"  amount  to  support  the
transformation of  school  buildings  into  community  hubs  to  deliver
co-located  or school-linked academic, health, mental health, nutrition,
counseling, legal and/or other services to students and their  families,
including   but  not  limited  to  providing  a  community  school  site
coordinator, or to support other costs incurred  to  maximize  students'
academic  achievement.  Each  school  district shall use such "COMMUNITY
SCHL INCR" amount to support the transformation of school buildings into
community hubs to deliver co-located or school linked academic,  health,
mental  health  services  and  personnel, after-school programming, dual
language programs, nutrition, counseling, legal and/or other services to
students and their families, including but not limited  to  providing  a
community  school  site  coordinator  and  programs for English language

learners, or to support  other  costs  incurred  to  maximize  students'
academic  achievement,  provided  however  that  a school district whose
"COMMUNITY SCHL INCR" amount exceeds one  million  dollars  ($1,000,000)
shall  use  an amount equal to the greater of one hundred fifty thousand
dollars ($150,000) or ten percent of such "COMMUNITY SCHL  INCR"  amount
to support such transformation at schools with extraordinary high levels
of  student  need  as  identified  by  the  commissioner, subject to the
approval of the director of the budget. Each school district  shall  use
such  "COMMUNITY  SCHOOLS  INCREASE"  to  support  the transformation of
school buildings into community hubs to  deliver  co-located  or  school
linked   academic,   health,   mental  health  services  and  personnel,
after-school programming, dual language programs, nutrition, counseling,
legal and/or other services to students and  their  families,  including
but  not  limited  to  providing a community school site coordinator and
programs for English  language  learners,  or  to  support  other  costs
incurred   to  maximize  students'  academic  achievement.  Each  school
district shall use such "19-20 COMMUNITY SCHOOLS INCR"  to  support  the
transformation  of  school  buildings  into  community  hubs  to deliver
co-located or school linked academic, health, mental health services and
personnel, after-school programming, dual language programs,  nutrition,
trauma  informed  support,  counseling,  legal  and/or other services to
students and their families, including but not limited  to  providing  a
community  school  site  coordinator  and  programs for English language
learners, or to support  other  costs  incurred  to  maximize  students'
academic achievement.
* f. Foundation aid payable in the two thousand eighteen--two thousand
nineteen  school  year.  Notwithstanding  any  provision  of  law to the
contrary, foundation aid  payable  in  the  two  thousand  eighteen--two
thousand  nineteen school year shall equal the sum of (1) the foundation
aid base plus (2) the greater of  (i)  the  two  thousand  eighteen--two
thousand nineteen school year phase-in increase or (ii) the two thousand
eighteen--two thousand nineteen school year additional increase or (iii)
the two thousand eighteen--two thousand nineteen school year due minimum
plus  (3)  the executive foundation aid increase, provided that any city
school district in a city with a population of one  hundred  twenty-five
thousand   or   more  shall  only  be  eligible  for  the  two  thousand
eighteen--two thousand nineteen school year phase-in increase.  For  the
purposes  of  this  paragraph, "foundation aid remaining" shall mean the
positive difference, if any, of (1) the product  of  the  total  aidable
foundation  pupil units multiplied by the district's selected foundation
aid less  (2)  the  total  foundation  aid  base  computed  pursuant  to
paragraph j of subdivision one of this section. For the purposes of this
paragraph:
(i)  The  "two  thousand  eighteen--two  thousand nineteen school year
phase-in increase" shall be equal  to  the  product  of  foundation  aid
remaining   multiplied   by   the  greater  of  the  following  phase-in
percentages:
(A) One thousand eight hundred  forty-eight  one  hundred  thousandths
(0.01848);
(B)  For  school  districts  where  (i)  the  quotient arrived at when
dividing foundation aid remaining by total  foundation  aid  is  greater
than  one  half  (0.5)  and  (ii) where the difference of the three year
average free and reduced price lunch percent for the current  year  less
such  average  for  the  base  year  is greater than four one-hundredths
(0.04), four thousand five hundred ninety-nine one  hundred  thousandths
(0.04599);
(C)  For  school  districts  that were designated as small city school
districts or central school districts whose boundaries include a portion

of a small city for the school aid  computer  listing  produced  by  the
commissioner  in  support  of  the  enacted  budget for the two thousand
fourteen--two thousand fifteen school year and entitled "SA1415",  three
thousand four hundred ninety-eight one hundred thousandths (0.03498);
(D)  For  a  city  school  district in a city with a population of one
million or more, seven hundred ninety-three ten thousandths (0.0793);
(E) For a city school district in a city with  a  population  of  more
than two hundred fifty thousand but less than one million as of the most
recent  federal  decennial  census,  eight hundred three ten thousandths
(0.0803);
(F) For a city school district in a city with  a  population  of  more
than two hundred thousand but less than two hundred fifty thousand as of
the  most recent federal decennial census, five hundred eighty-eight ten
thousandths (0.0588);
(G) For a city school district in a city with  a  population  of  more
than one hundred fifty thousand but less than two hundred thousand as of
the  most  recent  federal  decennial  census,  seventy-two  thousandths
(0.072);
(H) For a city school district in a city with  a  population  of  more
than  one  hundred  twenty-five thousand but less than one hundred fifty
thousand as of the  most  recent  federal  decennial  census,  one-tenth
(0.1); or
(I)  For a school district where the quotient arrived at when dividing
foundation aid  remaining  by  total  foundation  aid  is  greater  than
four-tenths (0.4), thirty-two thousandths (0.032).
(ii)  The  "two  thousand  eighteen--two thousand nineteen school year
additional increase" shall equal the greater of:
(A) For school districts where the quotient arrived at  when  dividing
the   English   language  learner  count  pursuant  to  paragraph  o  of
subdivision one of this section by public school district enrollment for
the base year pursuant to paragraph n of subdivision one of this section
is greater than three hundredths (0.03),  the  product  of  such  public
school  district  enrollment  multiplied by the ELL factor multiplied by
twenty-eight dollars and  ninety-two  cents  ($28.92),  where  the  "ELL
factor"  shall  equal  the  difference  of  three less the lesser of the
combined wealth ratio for total  foundation  aid  computed  pursuant  to
paragraph c of subdivision three of this section or one (1.0);
(B)  For  school districts with a sparsity factor that is greater than
zero, the product of the  FRPL  factor  multiplied  by  the  CWR  factor
multiplied  by  public  school  district  enrollment  for  the base year
pursuant to paragraph n of subdivision one of this section multiplied by
one hundred thirty-seven dollars and ninety-seven cents ($137.97), where
the "FRPL factor" shall equal the sum of one-half (0.5) plus the greater
of the three year average free and reduced price lunch percent  for  the
current  year  or  such  average  for  the base year, and where the "CWR
factor" shall equal (i) for school  districts  with  a  combined  wealth
ratio  for  total  foundation  aid  computed  pursuant to paragraph c of
subdivision three  of  this  section  less  than  forty-nine  hundredths
(0.49),  one and three-quarters (1.75), (ii) for school districts with a
combined wealth ratio for total  foundation  aid  computed  pursuant  to
paragraph  c  of subdivision three of this section greater than or equal
to forty-nine hundredths (0.49) but less than one (1.0), one  (1.0),  or
(iii)  for  school  districts  with  a  combined  wealth ratio for total
foundation aid computed pursuant to paragraph c of subdivision three  of
this  section greater than or equal to one (1.0), three-quarters (0.75);
or
(C) For school districts (1) where the difference of  the  three  year
average  free  and reduced price lunch percent for the current year less

such average for the base year is greater  than  one  hundred  five  ten
thousandths  (0.0105),  (2)  with  a  combined  wealth  ratio  for total
foundation aid computed pursuant to paragraph c of subdivision three  of
this  section  less than ninety-one hundredths (0.91), and (3) where the
quotient arrived at when dividing the foundation aid  remaining  by  the
total foundation aid is greater than twenty-three hundredths (0.23), the
product  of  the  public  school  district  enrollment for the base year
pursuant to paragraph h of subdivision one of this section multiplied by
one hundred twenty-one dollars and seventy-five cents ($121.75).
(iii) The "two thousand eighteen--two thousand  nineteen  school  year
due minimum" shall equal the greater of:
(A)  The positive difference, if any, of the product of the foundation
aid base multiplied by nineteen thousandths (0.019) less  the  executive
foundation aid increase; or
(B) The product of the executive foundation aid increase multiplied by
eighteen hundredths (0.18).
(iv)  The  "executive  foundation  aid increase" shall be equal to the
difference of (a) the amounts set forth  for  each  school  district  as
"FOUNDATION  AID"  under  the  heading  "2018-19  ESTIMATED AIDS" in the
school aid computer listing produced by the commissioner in  support  of
the executive budget request for the two thousand eighteen--two thousand
nineteen  school  year  and  entitled "BT181-9" less (b) the amounts set
forth for each school district as "FOUNDATION  AID"  under  the  heading
"2017-18 BASE YEAR AIDS" in such computer listing.
* NB Repealed July 1, 2024
* g. Foundation aid payable in the two thousand nineteen--two thousand
twenty  school  year.  Notwithstanding  any  provision  of  law  to  the
contrary, foundation aid  payable  in  the  two  thousand  nineteen--two
thousand  twenty  school  year  shall  equal  the  sum  of (1) the total
foundation aid base plus (2) the executive foundation aid increase  plus
(3) the positive difference, if any, of the total foundation aid base as
set   forth   on  the  school  aid  computer  listing  produced  by  the
commissioner in support  of  the  two  thousand  nineteen--two  thousand
twenty executive budget and entitled "BT192-0" less the total foundation
aid base, plus (4) the greater of tiers A through J.
For  the  purposes of this paragraph, "foundation aid remaining" shall
mean the positive difference,  if  any,  of  (1)  total  foundation  aid
computed pursuant to this section less (2) the total foundation aid base
computed pursuant to paragraph j of subdivision one of this section.
For the purposes of this paragraph:
(i)  "Tier  A"  shall  equal  the greater of (A) the difference of the
product of the total foundation  aid  base  multiplied  by  seventy-five
ten-thousandths  (0.0075)  less the executive foundation aid increase or
(B) the product of the executive foundation aid increase  multiplied  by
five one-hundredths (0.05).
(ii)  "Tier  B"  shall  equal  the product of foundation aid remaining
multiplied by the Tier B percent. For  purposes  of  this  subparagraph,
"Tier  B  percent"  shall  mean (A) for a city school district in a city
with  a  population  of  one  million  or  more,  nine  thousand  eleven
hundred-thousandths  (0.09011); (B) for a city school district in a city
with a population of more than two hundred fifty thousand but less  than
one  million,  as  of the most recent decennial census, one-tenth (0.1);
(C) for a city school district in a city with a population of more  than
two hundred thousand but less than two hundred fifty thousand, as of the
most  recent decennial census, six one-hundredths (0.06); (D) for a city
school district in a city with a population of  more  than  one  hundred
fifty thousand but less than two hundred thousand, as of the most recent
decennial   census,  one  thousand  three-hundred  five  ten-thousandths

(0.1305); (E) for a city school district in a city with a population  of
more  than  one  hundred  twenty-five thousand but less than one hundred
fifty  thousand,  as  of  the  most  recent  decennial   census,   eight
one-hundredths  (0.08);  and  (6)  for  all  other school districts, one
hundred thirty-seven ten-thousandths (0.0137).
(iii) "Tier C" shall equal, for all school  districts  where  (A)  the
quotient arrived at when dividing the total foundation aid base by total
foundation  aid is less than five-tenths (0.5), and (B) the pupil wealth
ratio for total foundation aid  computed  pursuant  to  paragraph  a  of
subdivision  three  of this section is less than one and one-tenth (1.1)
or the difference of the combined wealth ratio for the  base  year  less
the  combined  wealth  ratio  for  the  current  year  is  greater  than
twenty-five one-thousandths (0.025), the difference of  the  product  of
total  foundation  aid  multiplied  by  five-tenths (0.5) less the total
foundation aid base.
(iv) "Tier D" shall equal, for school districts where (A) the quotient
arrived at when  dividing  the  public  school  district  enrollment  as
computed  pursuant to paragraph n of subdivision one of this section for
the base year  by  such  enrollment  for  the  two  thousand  eight--two
thousand  nine  school year is greater than one and one-tenth (1.1), (B)
the quotient arrived at when dividing the English language learner count
computed pursuant to paragraph o of subdivision one of this section  for
the  base  year  by such count for the two thousand twelve--two thousand
thirteen school year is greater than one and one-tenth  (1.1),  (C)  the
quotient  arrived at when dividing the difference of the combined wealth
ratio  computed  pursuant  to  subparagraph  one  of  paragraph   c   of
subdivision  three  of  this  section for the two thousand fourteen--two
thousand fifteen school year less such combined  wealth  ratio  for  the
current  year divided by such combined wealth ratio for the two thousand
fourteen--two thousand fifteen school year  is  greater  than  one-tenth
(0.1),  and (D) the pupil wealth ratio for total foundation aid computed
pursuant to paragraph a of subdivision three of  this  section  is  less
than  one and four-tenths (1.4), the product of foundation aid remaining
multiplied by twenty-five one-thousandths (0.025).
(v) "Tier E" shall equal, for school districts where (A) the  quotient
arrived  at  when  dividing  the  public  school  district enrollment as
computed pursuant to paragraph n of subdivision one of this section  for
the  base  year  by  such  enrollment for the two thousand thirteen--two
thousand fourteen school year is  less  than  one,  (B)  the  three-year
direct   certification   percentage   as  defined  in  paragraph  ii  of
subdivision  one  of   this   section   is   greater   than   thirty-six
one-hundredths (0.36), and (C) the quotient arrived at when dividing the
English  language  learner  count  computed  pursuant  to paragraph o of
subdivision one of this section for the base year by such count for  the
two thousand thirteen--two thousand fourteen school year is greater than
one and thirty-four one-hundredths (1.34) or the difference of such base
year  pupils  less  such  pupils  for  the  two  thousand seventeen--two
thousand eighteen school year is greater than one hundred,  the  product
of   foundation   aid   remaining   multiplied   by   two  hundred  five
ten-thousandths (0.0205).
(vi) "Tier F" shall equal, for school districts where (A) the quotient
arrived at  when  dividing  the  total  foundation  aid  base  by  total
foundation  aid is less than seventy-five one-hundredths (0.75), (B) the
three-year direct certification percentage as defined in paragraph ii of
subdivision  one  of   this   section   is   greater   than   forty-four
one-hundredths  (0.44),  and (C) the three-year average free and reduced
price lunch percent for the current year computed pursuant to  paragraph
p  of  subdivision  one  of  this  section  is  greater  than fifty-five

one-hundredths (0.55), the positive difference, if any, of  the  product
of  total  foundation  aid  base  multiplied by two hundred thirty-eight
ten-thousandths (0.0238) less the executive foundation aid increase.
(vii)  "Tier  G" shall equal, for school districts where (A) the pupil
wealth ratio for total foundation aid computed pursuant to  paragraph  a
of  subdivision  three  of this section is less than seven-tenths (0.7),
and (B) the quotient arrived at when dividing the public school district
enrollment for the base year by such enrollment  for  the  two  thousand
fifteen--two  thousand  sixteen  school year is greater than or equal to
one  and  one  one-hundredth  (1.01),  the  product  of  foundation  aid
remaining   multiplied  by  two  hundred  seventy-seven  ten-thousandths
(0.0277).
(viii) "Tier H" shall equal, for small city school  districts  defined
pursuant to paragraph jj of subdivision one of this section, the product
of  the  foundation aid remaining multiplied by one thousand one hundred
twenty-four ten-thousandths (0.1124).
(ix) "Tier I" shall equal, for small  city  school  districts  defined
pursuant to paragraph jj of subdivision one of this section, the product
of  the  total  foundation  aid  base  multiplied  by two one-hundredths
(0.02).
(x) "Tier J" shall equal, for school districts  with  (A)  a  sparsity
factor  computed  pursuant  to  paragraph  r  of subdivision one of this
section greater than zero, and (B) a combined  wealth  ratio  for  total
foundation  aid computed pursuant to paragraph c of subdivision three of
this section less than or  equal  to  one  and  five-tenths  (1.5),  the
greater  of  (A)  the  product of foundation aid remaining multiplied by
forty-eight one-thousandths (0.048) or (B)  the  product  of  the  total
foundation aid base multiplied by seventy-five ten-thousandths (0.0075).
(xi)  The  "executive  foundation  aid increase" shall be equal to the
difference of (A) the amounts set forth  for  each  school  district  as
"FOUNDATION  AID"  under  the  heading  "2019-20  ESTIMATED AIDS" in the
school aid computer listing produced by the commissioner in  support  of
the executive budget request for the two thousand nineteen--two thousand
twenty school year and entitled "BT192-0" less (B) the amounts set forth
for  each school district as "FOUNDATION AID" under the heading "2018-19
BASE YEAR AIDS" in such computer listing.
* NB Repealed July 1, 2024
* h. Foundation aid payable in the two thousand  twenty--two  thousand
twenty-one  school  year.  Notwithstanding  any  provision of law to the
contrary,  foundation  aid  payable  in  the  two  thousand  twenty--two
thousand  twenty-one  school  year  shall  equal  the  apportionment for
foundation aid in the base year.
* NB Repealed July 1, 2024
* i. Foundation  aid  payable  in  the  two  thousand  twenty-one--two
thousand twenty-two school year. Notwithstanding any provision of law to
the contrary, foundation aid payable in the two thousand twenty-one--two
thousand  twenty-two  school  year  shall  equal  the  sum  of the total
foundation aid base computed pursuant to subparagraph (ii) of  paragraph
j  of  subdivision  one  of  this  section  plus the greater of the: (i)
minimum increase; (ii) phase-in increase; (iii) catch up  increase;  and
(iv) the per pupil allocation. For the purposes of this paragraph:
(1)  The  "phase-in  increase"  shall  be  equal to the product of the
foundation aid phase-in factor multiplied by the positive difference, if
any, of: (i) total foundation  aid  pursuant  to  paragraph  a  of  this
subdivision;  less  (ii) the total foundation aid base computed pursuant
to paragraph j of subdivision one of this section.
(2) The "foundation aid phase-in factor" shall be equal to the greater
of: (i) twenty-six hundred twenty-five  ten-thousandths  (0.2625);  (ii)

twenty-seven hundred twenty-eight ten-thousandths (0.2728) for districts
with  a  sparsity  count computed pursuant to paragraph r of subdivision
one of this section greater than  zero;  (iii)  twenty-seven  hundredths
(0.27)  for  small  city  school  districts  pursuant to paragraph jj of
subdivision one of this section; (iv) forty-four hundredths (0.44) for a
city school district in a city  with  a  population  of  more  than  one
hundred twenty-five thousand but less than one hundred fifty thousand as
of  the  two  thousand  ten  federal  decennial census; (v) four hundred
ninety-five thousandths (0.495) for a city school  district  in  a  city
with  a population of more than one hundred fifty thousand but less than
two hundred fifty thousand as of the two thousand ten federal  decennial
census;  (vi) forty-four hundredths (0.44) for a city school district in
a city with a population of more than two  hundred  fifty  thousand  but
less  than  one  million  as  of  the two thousand ten federal decennial
census; or (vii) four hundred ninety-five thousandths (0.495) for a city
school district in a city having a population of one million or more.
(3) The "minimum increase" shall be equal to the product of:  (i)  the
greater  of  two  hundredths  (0.02)  or  three  hundredths  (0.03)  for
districts with a sparsity count computed  pursuant  to  paragraph  r  of
subdivision  one  of  this section greater than zero; multiplied by (ii)
the total foundation aid  base  computed  pursuant  to  paragraph  j  of
subdivision one of this section.
(4) The "catch up increase" shall be equal to the positive difference,
if  any,  of:  (i)  the  product  of  sixty  hundredths (0.60) and total
foundation aid as computed pursuant to paragraph a of this  subdivision;
less (ii) the total foundation aid base computed pursuant to paragraph j
of subdivision one of this section.
(5)  The  "per pupil allocation" shall be equal to the product of: (i)
three hundred dollars ($300); multiplied by (ii) the  quotient  of:  (A)
the  three-year  direct  certification  percentage  computed pursuant to
subparagraph four of paragraph ii of subdivision one  of  this  section;
divided  by  (B)  four  hundred  seventy-three  thousandths (0.473); and
further multiplied by (iii) public school district  enrollment  for  the
base year as computed pursuant to paragraph n of subdivision one of this
section for eligible districts. A district shall be eligible for the per
pupil  allocation  if the combined wealth ratio for total foundation aid
computed pursuant to subparagraph two  of  paragraph  c  of  subdivision
three of this section is less than two fifty-three hundredths (2.53).
* NB Repealed July 1, 2024
* j.  Foundation  aid  payable  in  the  two  thousand twenty-two--two
thousand twenty-three school year. Notwithstanding any provision of  law
to   the   contrary,   foundation   aid  payable  in  the  two  thousand
twenty-two--two thousand twenty-three school year shall be equal to  the
sum of the total foundation aid base computed pursuant to paragraph j of
subdivision  one  of this section plus the greater of (a) the product of
the  phase-in  foundation  increase  factor  as  computed  pursuant   to
subparagraph  (ii)  of paragraph b of this subdivision multiplied by the
positive difference, if  any,  of  (i)  total  foundation  aid  computed
pursuant  to  paragraph  a  of  this  subdivision  less  (ii)  the total
foundation aid base computed pursuant to paragraph j of subdivision  one
of  this  section,  or  (b)  the  product  of  three  hundredths  (0.03)
multiplied by  the  total  foundation  aid  base  computed  pursuant  to
paragraph j of subdivision one of this section.
* NB Repealed July 1, 2024
* k.  Foundation  aid  payable  in  the two thousand twenty-three--two
thousand twenty-four school year. Notwithstanding any provision  of  law
to   the   contrary,   foundation   aid  payable  in  the  two  thousand
twenty-three--two thousand twenty-four school year shall be equal to the

sum of the total foundation aid base computed pursuant to paragraph j of
subdivision one of this section plus the greater  of  (a)  the  positive
difference,  if  any,  of  (i) total foundation aid computed pursuant to
paragraph  a of this subdivision less (ii) the total foundation aid base
computed pursuant to paragraph j of subdivision one of this section,  or
(b)  the  product  of  three  hundredths  (0.03) multiplied by the total
foundation aid base computed pursuant to paragraph j of subdivision  one
of this section.
* NB Repealed July 1, 2025
* 4-a.  Foundation  Aid  Maintenance of Equity Aid. 1. For purposes of
this subdivision the following terms shall be defined as follows:
a. "High-need LEAs" shall mean local educational agencies with (1) the
highest percentage of economically disadvantaged students as  calculated
based  on  the  most  recent  small  area  income  and poverty estimates
provided by the United States census bureau and (2) the  cumulative  sum
of local educational agency enrollment for the base year is greater than
or  equal to the product of five-tenths (0.5) and the statewide total of
such enrollment.
b. "Highest-poverty LEAs" shall mean local educational  agencies  with
(1)  the  highest  percentage  of economically disadvantaged students as
calculated based on the  most  recent  small  area  income  and  poverty
estimates  provided  by  the  United  States  census  bureau and (2) the
cumulative sum of local educational agency enrollment for the base  year
is  greater  than  or  equal  to the product of two-tenths (0.2) and the
statewide total of such enrollment.
c.  "Eligible  districts"  shall  mean  school  districts  defined  as
high-need  LEAs  or  highest-poverty  LEAs in the current year which are
subject to the state level maintenance  of  equity  requirement  in  the
American  Rescue  Plan  Act  of  2021, Section 2004, Part 1, Subtitle A,
Title II, (Public Law 117-2) for the current year.
d. "State funding" shall mean any apportionment provided  pursuant  to
sections   seven  hundred  one,  seven  hundred  eleven,  seven  hundred
fifty-one,  and  seven  hundred  fifty-three  of   this   chapter   plus
apportionments  pursuant  to subdivisions four, five-a, ten, twelve, and
sixteen of this section.
e. "Local Educational Agency Enrollment" shall mean  the  unduplicated
count  of  all  children  registered  to receive educational services in
grades kindergarten  through  twelve,  including  children  in  ungraded
programs,  as  registered  on  the  date prior to November first that is
specified  by  the  commissioner  as  the  enrollment  reporting   date,
registered  in a local educational agency as defined pursuant to section
7801 of title 20 of the United States Code.
2. Eligible districts shall receive an apportionment of foundation aid
maintenance of equity aid in the current year if  the  commissioner,  in
consultation  with  the  director of the budget, determines the district
would otherwise receive a reduction in state  funding  on  a  per  pupil
basis  inconsistent  with  the federal state level maintenance of equity
requirement. This apportionment shall be equal to the  amount  necessary
to  ensure compliance with the federal state level maintenance of equity
requirement. This apportionment  shall  be  paid  in  the  current  year
pursuant to section thirty-six hundred nine-a of this part.
* NB Repealed September 30, 2024
5.  Public high cost excess cost aid. A school district having a pupil
with a disability of school age for whom the cost, as  approved  by  the
commissioner,  of  appropriate  special services or programs exceeds the
lesser of ten thousand dollars or  four  times  the  expense  per  pupil
without limits shall be entitled to an additional apportionment for each
such  child computed by multiplying the district's excess cost aid ratio

by the amount by which such cost  exceeds  three  times  the  district's
expense per pupil without limits.
a. For the purpose of this subdivision:
(1)  Expense  per  pupil for the purposes of this subdivision shall be
not less than two thousand dollars and not  more  than  the  greater  of
seven  thousand one hundred ten dollars or the statewide average of such
expense per pupil. Such statewide average expense  per  pupil  shall  be
computed  and  rounded  to the nearest fifty dollars by the commissioner
using the expense and pupils as estimated  by  school  districts  or  as
determined  by  the  commissioner for use in determining the expense per
pupil of the district pursuant to paragraph f of subdivision one of this
section for all districts eligible for aid pursuant to this section. For
the purposes of calculating such statewide expense per pupil,  the  data
for  the city school district of the city of New York shall be city-wide
data.
(2) The excess cost aid ratio shall be computed  by  subtracting  from
one  the  product  obtained  by  multiplying fifty-one per centum by the
combined wealth ratio. This aid ratio shall be expressed  as  a  decimal
carried  to three places without rounding, but not less than twenty-five
percent.
b. Notwithstanding section thirty-six hundred nine-a of this part, the
apportionment provided for in this subdivision shall be paid pursuant to
section thirty-six hundred nine-b of this part.
5-a. Supplemental  public  excess  cost  aid.  For  the  two  thousand
seven--two  thousand eight school year, a school district having a pupil
with a disability of school age  shall  be  entitled  to  an  additional
apportionment computed as follows:
a.  Total  excess cost amount per pupil shall equal the product of the
expense per pupil computed pursuant to subparagraph one of  paragraph  a
of subdivision five of this section and the excess cost aid ratio, which
shall  be  computed  pursuant  to  subparagraph  two  of  paragraph a of
subdivision five of this section.
b. Basic excess cost amount shall  equal  the  product  of  the  total
excess  cost  amount  per  pupil  and the resident weighted supplemental
pupils with disabilities  computed  pursuant  to  subparagraph  five  of
paragraph i of subdivision one of this section.
c.  Integrated  settings excess cost amount shall equal the product of
the total excess cost amount  per  pupil  and  the  integrated  settings
weighted  pupils with disabilities computed pursuant to subparagraph six
of paragraph i of subdivision one of this section.
d. Declassification  support  services  amount.  (1)  Declassification
support  services  shall  mean  services  for teachers and pupils in the
first year that a pupil moves from a  special  education  program  to  a
full-time  regular  education  program.  Services  to  pupils  shall  be
provided on a regular basis and may  include,  but  not  be  limited  to
psychological,  social  work, speech and language services and noncareer
counseling services provided  by  qualified  professional  personnel  as
defined  in  regulations  of  the commissioner. Services for teachers of
such pupils may include the assistance of teacher aides or  consultation
with  appropriate  personnel.  When  a  committee  on  special education
determines that a pupil no longer needs special education  services  and
is ready for a full-time regular education program, such committee shall
identify and recommend the appropriate declassification support services
for the first year in the regular education program.
(2)  The  declassification  support  services amount shall be equal to
fifty percent of the total excess cost amount per  pupil  multiplied  by
the number of such pupils in the base year.
(3)  Declassification  support  services  shall not be eligible for an
apportionment  pursuant  to  section  nineteen  hundred  fifty  of  this
chapter.
(4)   The  commissioner  shall  adopt  regulations  to  implement  the
provisions of this paragraph.
e. Total supplemental public excess cost amount shall be equal to  the
sum  of the basic excess cost aid amount, the integrated settings excess
cost amount, the declassification support services amount and the public
high cost excess cost aid computed pursuant to subdivision five of  this
section for the current year.
f.  The  supplemental  public excess cost aid base shall equal for the
two thousand seven--two thousand  eight  school  year,  the  amount  the
school  district  was  eligible  to receive in the two thousand six--two
thousand seven school year pursuant to or in lieu of  paragraph  six  of
former subdivision nineteen of this section.
g.  Supplemental  public  excess  cost  aid shall equal the product of
ninety-one hundredths and the positive difference, if any, of:
(1) the difference of the total supplemental excess cost amount  minus
the  supplemental  public  excess  cost aid base, minus (2) the positive
difference of the district's total foundation aid minus the  product  of
one hundred three percent and the total foundation aid base.
h. Notwithstanding section thirty-six hundred nine-a of this part, the
apportionment provided for in this subdivision shall be paid pursuant to
section thirty-six hundred nine-b of this part.
For the two thousand eight--two thousand nine school year, each school
district  shall  be entitled to an apportionment equal to the product of
fifteen percent and the additional apportionment  computed  pursuant  to
this  subdivision  for the two thousand seven--two thousand eight school
year. For the two  thousand  nine--two  thousand  ten  school  year  and
thereafter  each  school  district shall be entitled to an apportionment
equal to the amount set forth for such school district as  "SUPPLEMENTAL
PUB  EXCESS  COST"  under  the  heading  "2008-09 BASE YEAR AIDS" in the
school aid computer listing produced by the commissioner in  support  of
the  budget  for the two thousand nine--two thousand ten school year and
entitled "SA0910".
6. Apportionment for capital  outlays  and  debt  service  for  school
building  purposes. * Any apportionment to a school district pursuant to
this subdivision shall be based upon base year approved expenditures for
capital outlays incurred prior to July first, two thousand one from  its
general  fund,  capital fund or reserved funds and current year approved
expenditures for debt service, including debt service for refunding bond
issues eligible for an apportionment pursuant to  paragraph  g  of  this
subdivision  and  lease  or  other  annual payments to the New York city
educational construction fund created by article ten of this chapter  or
the  city  of  Yonkers  educational construction fund created by article
ten-B of this chapter which have been pledged to secure the  payment  of
bonds,  notes  or  other  obligations  issued by the fund to finance the
construction, acquisition, reconstruction, rehabilitation or improvement
of the school portion of combined occupancy structures, or for lease  or
other   annual   payments  to  the  New  York  state  urban  development
corporation created by chapter one hundred seventy-four of the  laws  of
nineteen  hundred sixty-eight, pursuant to agreement between such school
district and such corporation relating to the construction, acquisition,
reconstruction, rehabilitation or improvement of any school building, or
for annual payments to the dormitory authority pursuant  to  any  lease,
sublease  or  other  agreement  relating  to the financing, refinancing,
acquisition,  design,  construction,   reconstruction,   rehabilitation,
improvement,  furnishing  and  equipping  of,  or  otherwise provide for

school district capital facilities or school district capital  equipment
made  under  the  provisions  of  section  sixteen hundred eighty of the
public authorities law, or for annual payments pursuant  to  any  lease,
sublease  or  other  agreement  relating  to the financing, refinancing,
acquisition,  design,  construction,   reconstruction,   rehabilitation,
improvement,  furnishing  and  equipping  of, or otherwise providing for
educational facilities of a city school district under the provisions of
section sixteen of chapter six hundred five of the laws of two thousand,
or for payments,  pursuant  to  any  assignment  authorized  by  section
twenty-seven  hundred  ninety-nine-tt  of the public authorities law, of
debt  service  in  furtherance  of  funding  the  five-year  educational
facilities  capital  plan  of  the  city  of New York school district or
related debt service costs and expenses as set forth  in  such  section,
for  annual  payments pursuant to any lease, sublease or other agreement
relating  to  the  financing,   refinancing,   design,   reconstruction,
rehabilitation,  improvement,  furnishing and equipping of, or otherwise
providing for projects authorized pursuant to the city of  Syracuse  and
the  board  of  education  of  the  city  school district of the city of
Syracuse cooperative school  reconstruction  act,  for  annual  payments
pursuant  to  any  lease,  sublease  or  other agreement relating to the
financing,   refinancing,   design,   reconstruction,    rehabilitation,
improvement,  furnishing  and  equipping  of, or otherwise providing for
projects authorized pursuant to the city of Rochester and the  board  of
education  of  the  city school district of the city of Rochester school
facilities modernization program act, for annual  payments  pursuant  to
any  lease,  sublease  or  other  agreement  relating  to the financing,
refinancing,  design,  construction,   reconstruction,   rehabilitation,
improvement,  furnishing  and  equipping  of, or otherwise providing for
projects  authorized  pursuant  to  the  Yonkers  city  school  district
facilities  modernization  program  act, or for lease, lease-purchase or
other annual payments to another school district or person,  partnership
or  corporation  pursuant  to  an agreement made under the provisions of
section four hundred three-b, subdivision eight of  section  twenty-five
hundred  three,  or  subdivision  six  of  section  twenty-five  hundred
fifty-four of this chapter, provided that  the  apportionment  for  such
lease  or  other  annual  payments  under the provisions of section four
hundred three-b, subdivision eight of section twenty-five hundred three,
or subdivision six of section twenty-five  hundred  fifty-four  of  this
chapter,  other  than  payments  under  a lease-purchase agreement or an
equivalent agreement, shall be based upon approved expenditures  in  the
current  year.  Approved  expenditures for capital outlays from a school
district's general  fund,  capital  fund  or  reserved  funds  that  are
incurred  on  or after July first, two thousand two, and are not aidable
pursuant to subdivision six-f of this section, shall be aidable as  debt
service under an assumed amortization established pursuant to paragraphs
e  and  j  of  this  subdivision. In any such case approved expenditures
shall be only for new construction, reconstruction, purchase of existing
structures, for site purchase and  improvement,  for  new  garages,  for
original  equipment,  furnishings,  machinery,  or  apparatus,  and  for
professional fees and other costs incidental  to  such  construction  or
reconstruction,  or  purchase  of  existing structures. In the case of a
lease or lease-purchase  agreement  entered  pursuant  to  section  four
hundred  three-b, subdivision eight of section twenty-five hundred three
or subdivision six of section twenty-five  hundred  fifty-four  of  this
chapter,  approved  expenditures  for the lease or other annual payments
shall not include  the  costs  of  heat,  electricity,  water  or  other
utilities  or  the  costs  of  operation  or  maintenance  of the leased
facility.  An  apportionment  shall  be  available  pursuant   to   this

subdivision   for   construction,   reconstruction,   rehabilitation  or
improvement in a building, or portion thereof, being leased by a  school
district  only  if  the  lease  is  for  a  term  of  at least ten years
subsequent  to  the  date  of the general construction contract for such
construction, reconstruction, rehabilitation or improvement. Each school
district shall prepare a five year capital facilities plan, pursuant  to
regulations  developed  by  the  commissioner for such purpose, provided
that in the case of a city school district in a city having a population
of one million inhabitants or more, such facilities  plan  shall  comply
with  the  provisions  of  section  twenty-five hundred ninety-p of this
chapter and this subdivision.  Such  plan  shall  include,  but  not  be
limited  to,  a  building  inventory,  and estimated expense of facility
needs, for new  construction,  additions,  alterations,  reconstruction,
major repairs, energy consumption and maintenance by school building, as
appropriate.  Such  five  year  plan shall include a priority ranking of
projects and shall be amended if necessary to reflect subsequent on-site
evaluations of facilities conducted by state supported contractors.
* NB Effective until April 17, 2025
* Any apportionment to a school district pursuant to this  subdivision
shall  be based upon base year approved expenditures for capital outlays
incurred prior to July first, two thousand one from  its  general  fund,
capital  fund  or  reserved funds and current year approved expenditures
for debt service, including  debt  service  for  refunding  bond  issues
eligible   for   an  apportionment  pursuant  to  paragraph  g  of  this
subdivision and lease or other annual payments  to  the  New  York  city
educational  construction fund created by article ten of this chapter or
the city of Yonkers educational construction  fund  created  by  article
ten-B  of  this chapter which have been pledged to secure the payment of
bonds, notes or other obligations issued by  the  fund  to  finance  the
construction, acquisition, reconstruction, rehabilitation or improvement
of  the school portion of combined occupancy structures, or for lease or
other  annual  payments  to  the  New  York  state   urban   development
corporation  created  by chapter one hundred seventy-four of the laws of
nineteen hundred sixty-eight, pursuant to agreement between such  school
district and such corporation relating to the construction, acquisition,
reconstruction, rehabilitation or improvement of any school building, or
for  annual  payments  to the dormitory authority pursuant to any lease,
sublease or other agreement  relating  to  the  financing,  refinancing,
acquisition,   design,   construction,  reconstruction,  rehabilitation,
improvement, furnishing and  equipping  of,  or  otherwise  provide  for
school  district capital facilities or school district capital equipment
made under the provisions of  section  sixteen  hundred  eighty  of  the
public  authorities  law,  or for annual payments pursuant to any lease,
sublease or other agreement  relating  to  the  financing,  refinancing,
acquisition,   design,   construction,  reconstruction,  rehabilitation,
improvement, furnishing and equipping of,  or  otherwise  providing  for
educational facilities of a city school district under the provisions of
section sixteen of chapter six hundred five of the laws of two thousand,
or  for  payments,  pursuant  to  any  assignment  authorized by section
twenty-seven hundred ninety-nine-tt of the public  authorities  law,  of
debt  service  in  furtherance  of  funding  the  five-year  educational
facilities capital plan of the city  of  New  York  school  district  or
related  debt  service  costs and expenses as set forth in such section,
for annual payments pursuant to any lease, sublease or  other  agreement
relating   to   the   financing,  refinancing,  design,  reconstruction,
rehabilitation, improvement, furnishing and equipping of,  or  otherwise
providing  for  projects authorized pursuant to the city of Syracuse and
the board of education of the  city  school  district  of  the  city  of

Syracuse  cooperative  school  reconstruction  act,  for annual payments
pursuant to any lease, sublease  or  other  agreement  relating  to  the
financing,    refinancing,   design,   reconstruction,   rehabilitation,
improvement,  furnishing  and  equipping  of, or otherwise providing for
projects authorized pursuant to the city of Rochester and the  board  of
education  of  the  city school district of the city of Rochester school
facilities modernization program act, for annual  payments  pursuant  to
any  lease,  sublease  or  other  agreement  relating  to the financing,
refinancing,  design,  construction,   reconstruction,   rehabilitation,
improvement,  furnishing  and  equipping  of, or otherwise providing for
projects  authorized  pursuant  to  the  Yonkers  city  school  district
facilities  modernization  program  act, or for lease, lease-purchase or
other annual payments to another school district or person,  partnership
or  corporation  pursuant  to  an agreement made under the provisions of
section four hundred three-b, subdivision eight of  section  twenty-five
hundred  three,  or  subdivision  six  of  section  twenty-five  hundred
fifty-four of this chapter, provided that  the  apportionment  for  such
lease  or  other  annual  payments  under the provisions of section four
hundred three-b, subdivision eight of section twenty-five hundred three,
or subdivision six of section twenty-five  hundred  fifty-four  of  this
chapter,  other  than  payments  under  a lease-purchase agreement or an
equivalent agreement, shall be based upon approved expenditures  in  the
current  year.  Approved  expenditures for capital outlays from a school
district's general  fund,  capital  fund  or  reserved  funds  that  are
incurred  on  or after July first, two thousand two, and are not aidable
pursuant to subdivision six-f of this section, shall be aidable as  debt
service under an assumed amortization established pursuant to paragraphs
e  and  j  of  this  subdivision. In any such case approved expenditures
shall be only for new construction, reconstruction, purchase of existing
structures, for site purchase and  improvement,  for  new  garages,  for
original  equipment,  furnishings,  machinery,  or  apparatus,  and  for
professional fees and other costs incidental  to  such  construction  or
reconstruction,  or  purchase  of  existing structures. In the case of a
lease or lease-purchase  agreement  entered  pursuant  to  section  four
hundred  three-b, subdivision eight of section twenty-five hundred three
or subdivision six of section twenty-five  hundred  fifty-four  of  this
chapter,  approved  expenditures  for the lease or other annual payments
shall not include  the  costs  of  heat,  electricity,  water  or  other
utilities  or  the  costs  of  operation  or  maintenance  of the leased
facility.  An  apportionment  shall  be  available  pursuant   to   this
subdivision   for   construction,   reconstruction,   rehabilitation  or
improvement in a building, or portion thereof, being leased by a  school
district  only  if  the  lease  is  for  a  term  of  at least ten years
subsequent to the date of the general  construction  contract  for  such
construction, reconstruction, rehabilitation or improvement. Each school
district  shall prepare a five year capital facilities plan, pursuant to
regulations developed by the commissioner  for  such  purpose,  provided
that in the case of a city school district in a city having a population
of  one  million  inhabitants or more, such facilities plan shall comply
with the provisions of section  twenty-five  hundred  ninety-p  of  this
chapter  and  this  subdivision.  Such  plan  shall  include, but not be
limited to, a building inventory,  and  estimated  expense  of  facility
needs,  for  new  construction,  additions, alterations, reconstruction,
major repairs, energy consumption and maintenance by school building, as
appropriate. Such  plan  shall  consider  the  incorporation  of  design
principles   and   strategies,   pursuant  to  guidance  issued  by  the
commissioner, as part of a comprehensive approach  to  provide  a  safe,
secure and healthy school environment. Such five year plan shall include

a  priority  ranking  of  projects  and shall be amended if necessary to
reflect subsequent on-site evaluations of facilities conducted by  state
supported contractors.
* NB Effective April 17, 2025
a.  For  capital  outlays for such purposes first incurred on or after
July first,  nineteen  hundred  sixty-one  and  debt  service  for  such
purposes  first  incurred  on  or  after  July  first,  nineteen hundred
sixty-two, the actual approved expenditures less  the  amount  of  civil
defense  aid  received pursuant to the provisions of section thirty-five
of chapter seven hundred eighty-four of the  laws  of  nineteen  hundred
fifty-one  as  amended  shall  be  allowed for purposes of apportionment
under this subdivision but not in excess of the  following  schedule  of
cost allowances:
(1)  For new construction and the purchase of existing structures, the
cost allowances shall be based upon the rated capacity of  the  building
or  addition and a basic per pupil allowance of up to six thousand three
hundred seventy-five dollars  adjusted  monthly  by  a  statewide  index
reflecting  changes in the cost of labor and materials since July first,
nineteen hundred ninety-two, established by the commissioner  of  labor,
modified by an annual county or multi-county labor market composite wage
rate,  established by the commissioner of labor in consultation with the
commissioner, for July first of the base year,  commencing  July  first,
nineteen hundred ninety-seven for general construction contracts awarded
on  or  after  July first, nineteen hundred ninety-eight, indexed to the
median of such county or multi-county rates,  but  not  less  than  one.
Such  base  allowance  shall  apply to a building or an addition housing
grades prekindergarten through six and shall be adjusted for a  building
or  an addition housing grades seven through nine by a factor of one and
four-tenths, for a building or an addition housing grades seven  through
twelve  by  a  factor of one and five-tenths, for a building or addition
housing special education programs by a factor of two, except that where
such building or addition is connected to,  or  such  space  is  located
within,  a  public  school  facility  housing  programs  for nondisabled
pupils, as approved by the commissioner, a  factor  of  three  shall  be
used. Rated capacity of a building or an addition shall be determined by
the  commissioner  based  on  space standards and other requirements for
building construction specified by  the  commissioner.    Such  assigned
capacity ratings shall include, in addition to those spaces used for the
instruction  of  pupils,  those spaces which are used for elementary and
secondary school libraries,  cafeterias,  prekindergarten  instructional
rooms,  teachers'  conference rooms, gymnasiums and auditoriums. For new
construction projects approved on or after July first, two thousand,  by
the voters of the school district or by the board of education of a city
school  district  in  a  city  with  more  than  one hundred twenty-five
thousand inhabitants, and/or the chancellor in a city school district in
a city having a population of one million or more, such  rated  capacity
for   new  buildings  and  additions  constructed  to  replace  existing
buildings that, in the judgment  of  the  commissioner,  have  not  been
adequately  maintained  and have not reached their projected useful life
shall be reduced by the commissioner by an amount  proportional  to  the
remaining  unused  portion of the useful life of the existing buildings,
provided however that the commissioner may waive such requirement upon a
finding that replacement  of  the  existing  building  is  necessary  to
protect  the health and safety of students or staff, that reconstruction
and modernization of the existing building would not adequately  address
such  health  and  safety  problems,  and  that  the need to replace the
building was not caused by failure to adequately maintain the  building.
If  the  commissioner  of  labor  resets  the statewide index reflecting

changes in the costs of labor and materials since July  first,  nineteen
hundred   ninety-two,   the  commissioner  shall  adopt  regulations  to
supersede the basic per pupil allowance of  up  to  six  thousand  three
hundred  seventy-five dollars to the imputed allowance in effect at that
time.
(2) Where a  school  district  has  expenditures  for  site  purchase,
grading  or  improvement  of  the site, original furnishings, equipment,
machinery or apparatus, or professional fees, or other incidental costs,
the cost allowances for new construction and the  purchase  of  existing
structures may be increased by the actual expenditures for such purposes
but  by  not  more  than  the  product  of the applicable cost allowance
established pursuant to subparagraph one of this  paragraph  and  twenty
per   centum   for   school   buildings   or  additions  housing  grades
prekindergarten through six and by not more than  the  product  of  such
cost  allowance  and  twenty-five  per  centum  for  school buildings or
additions housing grades seven through twelve and by not more  than  the
product  of  such  cost  allowance and twenty-five per centum for school
buildings or additions housing special education programs as approved by
the commissioner.
(3) Cost allowances for reconstructing or modernizing structures shall
not exceed one hundred  per  centum  of  the  cost  allowances  for  the
equivalent  new  construction  over  the  projected  useful  life of the
building, to be determined in accordance with  the  regulations  of  the
commissioner. Reconstruction projects shall reasonably meet the criteria
established  for  new construction, including but not limited to energy,
fire, personal safety and space per pupil standards.
(4) The commissioner  shall  promulgate  regulations  prescribing  the
methodology for establishing a multi-year cost allowance for the purpose
of  computation  of building aid to school districts and a procedure for
school districts to appeal the determination that  a  building  has  not
been  adequately  maintained, as required by subparagraphs one and three
of this paragraph. Such methodology shall include the development  of  a
building  replacement  cost  allowance  schedule  for the replacement of
major building systems of a building over its projected useful life  and
the  construction  of new buildings and additions for projects that have
been approved on or after July first, two thousand by the voters of  the
school  district  or by the board of education of a city school district
in a city with more than one hundred twenty-five  thousand  inhabitants,
and/or  the  chancellor  in  a  city  school district in a city having a
population of one million or more. For  purposes  of  this  subdivision,
"major  building  systems" shall mean the electrical, plumbing, heating,
ventilation and air conditioning systems, and the roof and  other  major
structural elements of a school building.
(5)   For   costs   relating   to   the   construction,   acquisition,
reconstruction or leases of any school building project conducted by  or
on behalf of a city school district in a city having a population of one
million  inhabitants  or more, where a general construction contract has
been awarded or a purchase or lease agreement was executed on  or  after
July first, two thousand four, the cost allowance for such project shall
include:  (a)  construction  and  incidental  costs where such costs are
associated with multistory construction necessitated by substandard site
sizes, site security costs, difficulties with delivery  of  construction
supplies,  increased fire resistence and fire suppression costs, and (b)
site acquisition,  environmental  remediation  and  building  demolition
costs,   provided,  however,  that  costs  which  are  eligible  for  an
apportionment pursuant to this subparagraph on or before July first, two
thousand six shall be deemed to be debt service  for  the  two  thousand
five--two  thousand  six  school  year  on  new  bonds and capital notes

aidable in July following the current year pursuant  to  clause  (b)  of
subparagraph one of paragraph f of this subdivision.
On  or before January first, two thousand nine, the commissioner shall
report to the director of the budget, the chair of  the  senate  finance
committee  and the chair of the assembly ways and means committee on the
projects which received funding  pursuant  to  the  provisions  of  this
subparagraph, and the overall implementation of this subparagraph.
(6)  Notwithstanding  any  other provision of law to the contrary, for
the purpose  of  computation  of  building  aid  for  reconstruction  or
modernizing  of  no  more  than  eight projects pursuant to chapter five
hundred thirty-three of the laws of two  thousand  fourteen,  multi-year
cost  allowances  for each project shall be established and utilized two
times  in  the  first  five-year  period.  Subsequent  multi-year   cost
allowances   shall  be  established  no  sooner  than  ten  years  after
establishment of the first maximum cost allowance authorized pursuant to
this subparagraph.
(7) Notwithstanding any other provision of law to  the  contrary,  for
the  purpose  of  computation of building aid for three new construction
projects and for the equipping of such projects authorized  pursuant  to
chapter  three  hundred  fifty-five of the laws of two thousand sixteen,
multi-year cost allowances for each project  shall  be  established  and
utilized  two times in the first five-year period. Subsequent multi-year
cost allowances shall be established no  sooner  than  ten  years  after
establishment of the first maximum cost allowance authorized pursuant to
this subparagraph.
(8)  Notwithstanding  any  other provision of law to the contrary, for
the purpose of computation  of  building  aid  for  the  renovation  and
equipping of the Syracuse Comprehensive Education and Workforce Training
Center  high school authorized for operation by the Syracuse city school
district the building aid units assigned to this project shall reflect a
building aid enrollment of one thousand  students  and  multi-year  cost
allowances  for  the project shall be established and utilized two times
in the first five-year period.  Subsequent  multi-year  cost  allowances
shall be established no sooner than ten years after establishment of the
first maximum cost allowance authorized pursuant to this subparagraph.
(9)  Notwithstanding  any  other provision of law to the contrary, for
the purpose  of  computation  of  building  aid  for  reconstruction  or
modernizing  of  no  more  than  six  projects  pursuant to chapter four
hundred sixteen of the laws of two thousand seven, as amended,  enacting
the third phase of the city of Rochester school facilities modernization
program  act,  multi-year  cost  allowances  for  each  project shall be
established and utilized  two  times  in  the  first  five-year  period.
Subsequent  multi-year  cost  allowances  shall be established no sooner
than ten years after establishment of the first maximum  cost  allowance
authorized pursuant to this subparagraph.
(10)  Notwithstanding  any other provision of law to the contrary, for
the purpose of computation  of  building  aid  for  the  renovation  and
equipping  of the Leonardo da Vinci high school authorized for operation
by the city school district of the city  of  Buffalo  the  building  aid
units  assigned  to this project shall reflect a building aid enrollment
of four hundred twenty students.
(11) Notwithstanding any other provision of law to the  contrary,  for
the  purpose  of  computation  of  building  aid  for  reconstruction or
modernizing of the STEM at Blodgett middle school, the Delaware  Primary
school,  the  Syracuse  Latin  school,  the  Lincoln  middle school, the
Roberts Pre-k-8 school,  the  Seymour  Dual  Language  Academy  and  the
Webster  elementary  school  pursuant  to  a  chapter of the laws of two
thousand twenty-one enacting the third phase of  the  city  of  Syracuse

cooperative  school  reconstruction  act, multi-year cost allowances for
each project shall be established and utilized two times  in  the  first
five-year   period.  Subsequent  multi-year  cost  allowances  shall  be
established  no  sooner  than ten years after establishment of the first
maximum cost allowance authorized pursuant to this subparagraph.
(12) Notwithstanding any other provision of law to the  contrary,  for
the   purpose   of   computation   of  building  aid  for  construction,
reconstruction or modernizing  of  no  more  than  one  project  by  the
Binghamton  city  school  district,  multi-year  cost allowances for the
project shall be  established  and  utilized  two  times  in  the  first
five-year  period.    Subsequent  multi-year  cost  allowances  shall be
established no sooner than ten years after establishment  of  the  first
maximum cost allowance authorized pursuant to this subparagraph.
b.  (1) The apportionment for school building purposes to any district
shall be determined by adding the amount of its  current  year  approved
expenditures  for lease or other annual payments under the provisions of
section four hundred three-b, subdivision eight of  section  twenty-five
hundred  three,  or  subdivision  six  of  section  twenty-five  hundred
fifty-four of this chapter, other than payments under  a  lease-purchase
agreement  or  an  equivalent  agreement, plus the amount of its current
year approved expenditures under an  assumed  amortization  for  capital
outlays for school building purposes from its general fund, capital fund
or  from  a  reserve  fund  to  the  amount of its current year approved
expenditures for debt service for such purposes and multiplying the  sum
by  its  aid  ratio. Expenditures made for computer equipment, including
original purchase and installation of  hardware,  conduit,  wiring,  and
powering  of  hardware  installations  in  computer  classrooms,  or for
building or  campuswide  local  area  network  systems  and  in-building
elements  of  other  wide area networks, including the original purchase
and  installation  of  conduit,  wiring,  and   powering   of   hardware
installations, may be included in approved expenditures for building aid
pursuant   to  this  paragraph  on  the  approval  of  the  commissioner
regardless of any minimum cost requirement that may be applied to  other
approved  expenditures pursuant to this section. Such equipment expenses
claimed for aid under this subdivision shall  not  be  claimed  for  aid
under  any  other  provisions of this chapter. Provided further that any
lead remediation expense required pursuant to section eleven hundred ten
of the public health  law,  where  such  expense  is  reimbursable  from
another  state  or  federal source, shall not be an approved expenditure
for purposes of this subdivision.
(2) Additional apportionment for  certain  school  building  projects.
(i) Eligibility. All school building projects (a) approved by the voters
of  the  school  district or (b) approved by the board of education of a
city school district in a city with more than  one  hundred  twenty-five
thousand inhabitants, and/or the chancellor in a city school district in
a  city having a population of one million or more or (c) in the case of
a construction emergency project, approved by the board of education  of
any  school district or by the chancellor in a city school district in a
city having a population of one million or more, for  projects  approved
on or after July first, nineteen hundred ninety-eight, shall be eligible
for  an  additional  apportionment  pursuant to this subparagraph to the
extent  that  expenditures  for  such  projects  are  otherwise  aidable
pursuant  to  this  subdivision,  provided  that where such projects are
leases, such projects would only be aidable pursuant to this subdivision
following the approval of the voters of the school district  if  entered
into  pursuant to section four hundred three-b of the education law, and
provided that for all such projects so approved on or after July  first,
two  thousand, expenditures directly related to swimming pools shall not

be eligible for such additional apportionment, and further provided that
for the purposes of this subdivision a  construction  emergency  project
shall  mean  a  school  construction  project  approved on or after July
first,  two  thousand,  to remediate emergency situations which arise in
public school  buildings  and  threaten  the  health  and/or  safety  of
building  occupants,  as  a  result  of  the  unanticipated discovery of
asbestos or other hazardous substances during  construction  work  on  a
school  or  significant  damage caused by a fire, snow storm, ice storm,
excessive rain, high wind, flood or  similar  catastrophic  event  which
results in the necessity for immediate repair.
(ii)  Apportionment.  The  apportionment pursuant to this subparagraph
shall equal the product of such eligible approved expenses determined in
accordance with the provisions of clause (i) of  this  subparagraph  and
this  section  and the incentive decimal computed for use in the year in
which the project was approved. The incentive decimal  shall  equal  the
positive  remainder  resulting  when  the  district's building aid ratio
selected pursuant to paragraph c of this subdivision is subtracted  from
the  enhanced  building aid ratio. The enhanced building aid ratio shall
equal the sum of the building aid ratio selected for use in the  current
year pursuant to paragraph c of this subdivision and one-tenth, computed
to  three  decimals without rounding, but not more than (a) ninety-eight
hundredths for a high need  school  district,  as  defined  pursuant  to
regulations  of  the  commissioner,  for  all  school  building projects
approved by the voters of  the  school  district  or  by  the  board  of
education of a city school district in a city with more than one hundred
twenty-five thousand inhabitants, and/or the chancellor in a city school
district  in  a  city  having a population of one million or more, on or
after July first, two thousand five, or (b) ninety-five  hundredths  for
any  other  school  building  project  or school district, nor less than
one-tenth.
c.  (1)  For  aid  payable  in  the  school  year   nineteen   hundred
ninety-three--ninety-four  and  earlier, any school district may compute
aid under the provisions of this subdivision, or under  subdivision  six
of  section thirty-six hundred one-a of this article, using the building
aid ratio computed for use in the current year or the aid ratio computed
for  use  in   any   year   commencing   with   the   nineteen   hundred
eighty-one--eighty-two school year as computed by the commissioner based
on data on file with the education department as of July first, nineteen
hundred  ninety-six,  and;  provided  that,  school  districts  who  are
eligible for aid under paragraph  f  of  subdivision  fourteen  of  this
section  may  compute aid under the provisions of this subdivision using
the aid ratio so computed for the reorganized district or the highest of
the aid ratios so computed for any of the  individual  school  districts
which existed prior to the date of the reorganized school district.
(2)  (a)  For  aid  payable  in  the  school  years  nineteen  hundred
ninety-four--ninety-five and thereafter for all school building projects
approved by the voters of  the  school  district  or  by  the  board  of
education of a city school district in a city with more than one hundred
twenty-five thousand inhabitants, and/or the chancellor in a city school
district  in  a  city having a population of one million or more, before
July first, two thousand, any school district may compute aid under  the
provisions of this subdivision using the building aid ratio computed for
use  in  the  current year or the aid ratio computed for use in any year
commencing with the nineteen hundred eighty-one--eighty-two school  year
as  such  earlier  aid  ratios are computed by the commissioner based on
data on file with the education department on or before  July  first  of
the  third  school  year following the school year in which aid is first
payable; provided that, school districts who are eligible for aid  under

paragraph  f  of  subdivision  fourteen  of this section may compute aid
under the provisions of this subdivision using the aid ratio so computed
for the reorganized district  or  the  highest  of  the  aid  ratios  so
computed  for any of the individual school districts which existed prior
to the date of the reorganized school district.
(b) For aid payable in the school years two thousand--two thousand one
and thereafter for all school building projects approved by  the  voters
of  the  school  district  or by the board of education of a city school
district in a city with  more  than  one  hundred  twenty-five  thousand
inhabitants,  and/or  the chancellor in a city school district in a city
having a population of one million or more, on or after July first,  two
thousand,  any school district shall compute aid under the provisions of
this subdivision using the sum of the  high-need  supplemental  building
aid  ratio, if any, computed pursuant to clause (c) of this subparagraph
and the greater of (i) the building aid ratio computed for  use  in  the
current  year;  or  (ii) a building aid ratio equal to the difference of
the aid ratio that was used or that would have been used to  compute  an
apportionment  pursuant  to  this  subdivision  in  the nineteen hundred
ninety-nine--two thousand school year as such aid ratio is  computed  by
the  commissioner based on data on file with the department on or before
July first of the third school year following the school year  in  which
aid  is  first  payable,  less  one-tenth;  or (iii) for all such school
building projects approved by the voters of the school  district  or  by
the  board  of  education  of a city school district in a city with more
than one hundred twenty-five thousand inhabitants, and/or the chancellor
in a city school district in a city having a population of  one  million
or  more,  on  or  after  July first, two thousand and on or before June
thirtieth, two thousand four, for any  school  district  for  which  the
pupil  wealth  ratio  is  greater than two and five-tenths in the school
year in which such school building project was approved by the voters of
the school district or by the  board  of  education  of  a  city  school
district  in  a  city  with  more  than one hundred twenty-five thousand
inhabitants, and/or the chancellor in a city school district in  a  city
having  a  population of one million or more and for which the alternate
pupil wealth ratio is less than eighty-five hundredths  in  such  school
year,  and  for all such school building projects approved by the voters
of the school district or by the board of education  of  a  city  school
district  in  a  city  with  more  than one hundred twenty-five thousand
inhabitants, and/or the chancellor in a city school district in  a  city
having  a population of one million or more, on or after July first, two
thousand five and on or before June thirtieth, two thousand  eight,  for
any  school  district  for which the pupil wealth ratio was greater than
two and five-tenths in the two thousand--two thousand  one  school  year
and for which the alternate pupil wealth ratio was less than eighty-five
hundredths  in  the  two  thousand--two  thousand  one  school year, the
additional building aid ratio; provided that, school districts  who  are
eligible  for  aid  under  paragraph  f  of subdivision fourteen of this
section may compute aid under the provisions of this  subdivision  using
the  difference  of  the  highest  of the aid ratios so computed for the
reorganized district or the highest of the aid ratios  so  computed  for
any  of  the individual school districts which existed prior to the date
of the reorganized school district less one-tenth.
(c) For aid  payable  in  the  school  years  two  thousand  five--two
thousand six and thereafter for all school building projects approved by
the voters of the school district or by the board of education of a city
school  district  in  a  city  with  more  than  one hundred twenty-five
thousand inhabitants, and/or the chancellor in city school district in a
city having a population of one million or more, on or after July first,

two thousand five, high need school districts, as  defined  pursuant  to
regulations of the commissioner, may compute aid under the provisions of
this  subdivision  using  the high-need supplemental building aid ratio,
which shall be the lesser of (A) the product, computed to three decimals
without  rounding,  of  the  greater of the building aid ratios computed
pursuant to subclauses i, ii and iii of clause (b) of this  subparagraph
multiplied   by   five   percent,  or  (B)  the  positive  remainder  of
ninety-eight one-hundredths less the greater of the building aid  ratios
computed  pursuant  to  subclauses  i,  ii and iii of clause (b) of this
subparagraph.
d. Additional apportionment of building aid for structural  inspection
of school buildings. In addition to the foregoing apportionments made to
a  school  district  under  the  provisions  of  this  subdivision,  the
commissioner is hereby authorized to apportion to any school district an
amount in accordance with this subdivision for structural inspections of
school buildings conducted pursuant to sections four hundred nine-d  and
four  hundred  nine-e  of  this  chapter  and  the  regulations  of  the
commissioner  implementing   such   sections.   The   amount   of   such
apportionment  shall equal the product of the building aid ratio defined
pursuant to paragraph c of this  subdivision  and  the  actual  approved
expenses  incurred  by  the  district  in  the base year for each school
building so inspected by a licensed architect or  licensed  professional
engineer,  provided  that  the  amount  of  such apportionment shall not
exceed the structural inspection aid ceiling. For inspections  conducted
in  the  nineteen  hundred  ninety-two--ninety-three  school  year,  the
structural inspection aid ceiling shall be  ten  thousand  dollars.  For
inspections  conducted in the nineteen hundred ninety-three--ninety-four
school year and thereafter, the inspection  aid  ceiling  shall  be  ten
thousand  dollars  plus  an  amount  computed  by  the  commissioner  in
accordance with regulations adopted for such purpose, on the basis of an
index number reflecting changes in the costs of labor and materials from
July first, nineteen hundred ninety-three.
e.   (1)   Apportionments   payable   for   the    nineteen    hundred
ninety-three--ninety-four through the two thousand one--two thousand two
school  years  to  the city school district of the city of New York. (a)
For the purposes of calculating the apportionment payable  to  the  city
school district of the city of New York pursuant to this subdivision for
the  nineteen hundred ninety-three--ninety-four through the two thousand
one--two thousand two school years, current year  approved  expenditures
for  debt service shall mean expenditures for debt service that would be
incurred during the current year based on an assumed amortization for  a
period  of  thirty  years  of  the  total approved costs relating to the
construction, acquisition, reconstruction, rehabilitation or improvement
of any school building, and based on an assumed rate of annual  interest
applied to such amortization, both to be established by the commissioner
pursuant to this subparagraph.
(b)  The  commissioner  shall  establish an assumed amortization for a
period of thirty years commencing with  the  date  of  the  award  of  a
general contract by the school construction authority of the city of New
York,  or by another body or official designated by law, relating to the
construction, acquisition, reconstruction, rehabilitation or improvement
of any school building within the city school district of  the  city  of
New  York.  Such  assumed  amortization  shall provide for equal monthly
payments of principal and interest based on an interest rate established
by the commissioner for such purpose for the school  year  during  which
such  general  contract is awarded. Such estimated average interest rate
and such actual average interest rate shall be expressed as a decimal to
five places rounded to the nearest eighth of one-one hundredth.
(c) By the first day of September of the current year the  comptroller
of  the  city of New York shall provide to the commissioner an analysis,
as prescribed by the commissioner, of the actual average  interest  rate
applied to all capital debt incurred by the city of New York and the New
York  city transitional finance authority for school purposes during the
base year and of the estimated average  interest  rate  applied  to  all
capital  debt  to  be  incurred by the city of New York and the New York
city transitional finance  authority  for  school  purposes  during  the
current  year.  Upon  approval  by  the commissioner such actual average
interest rate shall be established as the interest  rate  applicable  to
the base year for the purposes of this subparagraph and subparagraph two
of  this  paragraph,  and  such estimated average interest rate shall be
tentatively established as the interest rate applicable to  the  current
year,  except  that all apportionments of aid payable during the current
year based on such estimated average interest rate shall be recalculated
in  the  following  year  and  adjusted  as  appropriate  based  on  the
appropriate  actual  average  interest  rate  then  established  by  the
commissioner.
(d) By the first day of  November,  nineteen  hundred  ninety-six  the
chancellor  of  the  city  school district of the city of New York shall
provide to the commissioner an analysis of any outstanding debt  of  the
city  of New York which had originally been incurred by such city or its
subdivisions for capital projects related to  school  buildings  of  the
city  school  district  of  the  city  of  New  York  for  which general
construction contracts  were  awarded  prior  to  July  first,  nineteen
hundred  eighty-eight.  Such  analysis shall include the total principal
amount  borrowed,  the  total  capital  expenditures  included  in  such
principal  for  capital projects related to school buildings of the city
school district of the city of New York for which  general  construction
contracts   were   awarded   prior   to  July  first,  nineteen  hundred
eighty-eight, the ratio of  such  capital  expenditures  to  such  total
principal expressed as a decimal to five places without rounding and the
annual  principal and interest payment scheduled for each year remaining
in the amortization of such principal as of July first, nineteen hundred
ninety-six for all such borrowings reported to the department on the "SA
121 Form Building Expenses Worksheet, 1995-96 State Aid" bearing  a  run
date  of  July  tenth,  nineteen  hundred  ninety-five  which list shall
constitute the  maximum  principal  outstanding  and  eligible  for  aid
pursuant  to the provisions of this paragraph. Notwithstanding any other
provision of this subdivision, for aids payable in the nineteen  hundred
ninety-six--ninety-seven  school  year and thereafter, the approved debt
service included  in  such  principal  and  interest  payments  for  the
purposes  of  calculating  an apportionment pursuant to this subdivision
shall equal the product of: (i) five  tenths;  (ii)  the  principal  and
interest  payments  scheduled  for  the current year as reported in such
analysis; and (iii) the ratio of such capital expenditures to such total
principal as reported in such analysis.
(2) Apportionments payable for  the  two  thousand  two--two  thousand
three school year and thereafter to the city school district of the city
of New York.
(a)  For  the purposes of calculating the apportionment payable to the
city  school  district  of  the  city  of  New  York  pursuant  to  this
subdivision for the two thousand two--two thousand three school year and
thereafter,  current  year  approved expenditures for debt service shall
mean expenditures for  debt  service,  including  expenditures  for  any
lease-purchase or other annual payments under a lease-purchase agreement
or  the equivalent that are eligible for aid under the opening paragraph

of this subdivision, that would be  incurred  during  the  current  year
based on:
(i)  an  assumed  amortization  to  be established by the commissioner
pursuant to this subparagraph for a period of thirty years of the  total
approved    costs    relating    to   the   construction,   acquisition,
reconstruction, rehabilitation or improvement of any school building for
which a general construction contract was awarded on or after the  first
day of July, two thousand two, and
(ii)  an  assumed  amortization  to be established by the commissioner
pursuant to this subparagraph of any assumed unpaid  principal,  or  the
equivalent  amount  in  the  case  of  a lease-purchase agreement or its
equivalent, remaining as of the first day  of  July,  two  thousand  two
pursuant  to  subparagraph one of this paragraph. Each such amortization
shall be based on an assumed rate of annual  interest  applied  to  such
amortization  to  be  established  by  the commissioner pursuant to this
subparagraph and pursuant to clause (c)  of  subparagraph  one  of  this
paragraph.
(b)(i)  For  approved costs relating to the construction, acquisition,
reconstruction, rehabilitation or improvement of any school building for
which a general construction contract was awarded on or after the  first
day  of  July,  two  thousand  two,  the commissioner shall establish an
assumed amortization for a period of thirty years commencing on the date
of receipt by the commissioner of a certification by the  district  that
such  general  construction  contract  has  been  awarded  by the school
construction authority of the city of New York, or by  another  body  or
official  designated  by law, relating to the construction, acquisition,
reconstruction, rehabilitation or improvement  of  any  school  building
within  the  city  school district of the city of New York. Such assumed
amortization shall provide for equal semiannual  payments  of  principal
and  interest  based on an interest rate established by the commissioner
for such purpose for the school year during which such certification was
received. Such estimated average interest rate and such  actual  average
interest  rate shall be expressed as a decimal to five places rounded to
the nearest eighth of one-one hundredth.
(ii) For any assumed unpaid principal or the equivalent amount in  the
case  of  a  lease-purchase agreement or its equivalent, remaining as of
the first day of July, two thousand two pursuant to subparagraph one  of
this   paragraph,   the  commissioner  shall  establish  a  new  assumed
amortization commencing on such date  for  the  unexpired  term  of  the
original assumed amortization as of such date. Such assumed amortization
shall  provide  for  equal semiannual payments of principal and interest
based on the interest rate  applied  to  the  original  amortization  as
established  by  the  commissioner  pursuant to subparagraph one of this
paragraph. Provided, however, that, notwithstanding any provision of law
to the contrary, for aid payable in the two thousand nine--two  thousand
ten school year and thereafter, the total apportionment for such current
year  approved  expenditures  for  debt  service  shall  not  exceed the
estimated apportionment as computed based on the estimated current  year
approved  expenditures for debt service on file with the commissioner as
of the date upon which an electronic  data  file  was  created  for  the
purposes  of  compliance  with  paragraph b of subdivision twenty-one of
section three hundred five of this chapter on November fifteenth of  the
base  year,  and  the  positive remainder, if any, of such apportionment
less such estimated apportionment shall not be an apportionment  payable
in  the current year, but shall be deemed to be an apportionment payable
for debt service  on  new  bonds  and  capital  notes  aidable  in  July
following  the current year as defined in clause (b) of subparagraph one

of paragraph f of this subdivision.  Such  estimate  shall  be  done  in
consultation with the commissioner.
(3)  Apportionments  payable  to a school district other than the city
school district of the city of New York for any debt service related  to
projects approved by the commissioner on or after the later of the first
day  of  December,  two  thousand one or thirty days after the date upon
which this subparagraph shall have become a law or for any debt  service
related  to  projects  approved  by  the commissioner prior to such date
where a bond, capital note or bond anticipation note is first issued  on
or  after  such date to fund such project or for lease-purchase or other
annual payments  under  a  lease-purchase  agreement  or  an  equivalent
agreement  entered  into on or after such date that are eligible for aid
under the opening paragraph of this subdivision.
(a) For the purposes of calculating the apportionments  payable  to  a
school  district  other than the city school district of the city of New
York pursuant to this  subdivision  for  any  debt  service  related  to
projects approved by the commissioner on or after the later of the first
day  of  December,  two  thousand one or thirty days after the date upon
which this subparagraph shall have become a law, or for any debt service
related to projects approved by the  commissioner  prior  to  such  date
where  a bond, capital note or bond anticipation note is first issued on
or after such date to fund such project or for lease-purchase  or  other
annual  payments  under  a  lease-purchase  agreement  or  an equivalent
agreement entered into on or  after  the  later  of  the  first  day  of
December, two thousand one or thirty days after the date upon which this
subparagraph shall have become a law that are eligible for aid under the
opening   paragraph   of   this   subdivision,   current  year  approved
expenditures for debt service shall mean debt service or  lease-purchase
or  other  annual  payments  under  a  lease-purchase  agreement  or  an
equivalent agreement that would be  incurred  during  the  current  year
based  on  an assumed amortization to be established by the commissioner
pursuant to this subparagraph  of  the  approved  project  costs  to  be
financed related to any such approved project, for a period of:
(i) thirty years if the project is for the construction or acquisition
of a new school building,
(ii)  twenty  years  if  the  project  is  for  the construction of an
addition to a school building or for the reconstruction,  rehabilitation
or  improvement  of  a  school  building  for which a period of probable
usefulness of twenty or more years is assigned  pursuant  to  the  local
finance law, and
(iii)  fifteen  years  if  the  project  is  for  the  reconstruction,
rehabilitation or improvement of a school building for which a period of
probable usefulness of less than twenty years is  assigned  pursuant  to
the local finance law.
Provided,  however,  that, notwithstanding any provision of law to the
contrary, for aid payable in the two thousand three--two  thousand  four
school  year,  for  any  project  which is eligible for an apportionment
pursuant  to  this  subparagraph,  but  which  did  not   yet   have   a
certification  that a general construction contract had been awarded for
such project by the  district  on  file  with  the  commissioner  as  of
February   fifteenth,   two   thousand   three,  such  debt  service  or
lease-purchase or other annual payments under a lease-purchase agreement
or an equivalent agreement that would be  incurred  during  the  current
year  based  on  an  assumed  amortization  to  be  established  by  the
commissioner pursuant to this subparagraph of the approved project costs
to be financed shall not be current year approved expenditures for  debt
service, but shall be deemed to be debt service on new bonds and capital

notes  aidable in July following the current year pursuant to clause (b)
of subparagraph one of paragraph f of this subdivision.
Provided,  however,  that, notwithstanding any provision of law to the
contrary, for aid payable in the two thousand  four--two  thousand  five
school  year,  for  any  project  which is eligible for an apportionment
pursuant  to  this  subparagraph,  but  which  did  not   yet   have   a
certification  that a general construction contract had been awarded for
such project  by  or  on  behalf  of  the  district  on  file  with  the
commissioner  as  of  February  fifteenth  of  the  base year, such debt
service  or  lease-purchase   or   other   annual   payments   under   a
lease-purchase  agreement  or  an  equivalent  agreement  that  would be
incurred during the current year based on an assumed amortization to  be
established  by  the  commissioner  pursuant to this subparagraph of the
approved project costs to be financed shall not be current year approved
expenditures for debt service, but shall be deemed to be debt service on
new bonds and capital notes aidable in July following the  current  year
pursuant  to  clause  (b)  of  subparagraph  one  of paragraph f of this
subdivision.
Provided, however, that, notwithstanding any provision of law  to  the
contrary,  for aid payable in the two thousand seven--two thousand eight
school year and thereafter, for any project which  is  eligible  for  an
apportionment  pursuant to this subparagraph, but which did not yet have
a certification that a general construction contract  had  been  awarded
for  such  project  by  or  on  behalf  of the district on file with the
commissioner as of the date upon  which  an  electronic  data  file  was
created  for  the purposes of compliance with paragraph b of subdivision
twenty-one of section three hundred five of  this  chapter  on  November
fifteenth of the base year, such debt service or lease-purchase or other
annual  payments  under  a  lease-purchase  agreement  or  an equivalent
agreement that would be incurred during the current  year  based  on  an
assumed  amortization  to be established by the commissioner pursuant to
this subparagraph of the approved project costs to be financed shall not
be current year approved expenditures for debt  service,  but  shall  be
deemed to be debt service on new bonds and capital notes aidable in July
following the current year pursuant to clause (b) of subparagraph one of
paragraph f of this subdivision.
(b)   Such   assumed  amortization  for  a  project  approved  by  the
commissioner on or after the later of the first  day  of  December,  two
thousand  one  or thirty days after the date upon which this subdivision
shall have become a law and prior to the first day of July, two thousand
eleven or for any debt service  related  to  projects  approved  by  the
commissioner  prior  to  such  date  where  a bond, capital note or bond
anticipation note is first issued on or after the first day of December,
two thousand one to fund such projects,  shall  commence:  (i)  eighteen
months  after  such  approval  or  (ii)  on  the  date of receipt by the
commissioner  of  a  certification  by  the  district  that  a   general
construction contract has been awarded for such project by the district,
whichever is later, and such assumed amortization for a project approved
by  the  commissioner  on  or  after the first day of July, two thousand
eleven shall commence: (iii) eighteen months after such approval or (iv)
on the date of receipt by the commissioner of both the final certificate
of substantial completion of the project  issued  by  the  architect  or
engineer  and the final cost report for such project, whichever is later
or (v) upon the effective date of a waiver based on  a  finding  by  the
commissioner,  pursuant to a process set forth by the commissioner, that
the district is unable to submit  a  final  certificate  of  substantial
completion for the project and/or complete the final cost report because
of circumstances beyond the control of the district, which shall include

but  shall not be limited to the inability of the district to complete a
complex project within eighteen months. Such assumed amortization  shall
provide for equal semiannual payments of principal and interest based on
an  interest  rate  established  pursuant  to  subparagraph five of this
paragraph for such  purpose  for  the  school  year  during  which  such
certification  is  received. The first installment of obligations issued
by the school district in support of such projects may mature not  later
than  the  dates established pursuant to sections 21.00 and 22.10 of the
local finance law.
(c) Definitions.  For  purposes  of  this  paragraph  and  subdivision
thirty-nine  of section sixteen hundred eighty of the public authorities
law:
(i) "the state share of a school construction project" shall mean  the
product  of:  (A)  the  difference  of  the  total approved cost of such
project less the approved cost of such project to be funded pursuant  to
subdivision  six-f  of  this  section and subdivisions ten and twelve of
section thirty-six hundred forty-one of this article, multiplied by  (B)
the  building aid ratio applicable to such project pursuant to paragraph
c of this subdivision;
(ii) "the local share of a school construction project" shall mean the
difference of the total approved cost of such project, less the sum  of:
(A)  the  approved cost of such project to be funded through subdivision
six-f of this  section  and  subdivisions  ten  and  twelve  of  section
thirty-six hundred forty-one of this article, and (B) the state share of
such school construction project;
(iii)  "refinancing  costs attributable to refinancing the state share
of  a  school  construction  project   for   purposes   of   retroactive
amortization"  shall  mean  the sum of: (A) that portion of the approved
fees and other charges of refinancing, as defined in subparagraph one of
paragraph  h  of  this  subdivision,  which  are   determined   by   the
commissioner  to be reasonable in accordance with guidelines approved by
the director of the budget, and which are fixed charges  that  will  not
vary  by the amount of principal and additional principal to be refunded
and (B) the product of: (1) the total amount of such approved  fees  and
other  charges  of refinancing which are not fixed charges and which are
determined by the commissioner  to  be  reasonable  in  accordance  with
guidelines  approved  by  the  director  of  the  budget,  and  (2)  the
percentage of the principal of the refunding bond that  is  attributable
to  refinancing  of  the  state  share  of a school construction project
pursuant to subparagraph four of this paragraph, less (C) the amount  of
such approved costs included in the principal of a refunding bond issued
by the school district or by the dormitory authority of the state of New
York   to   refund   obligations  of  the  school  district  subject  to
subparagraph four of this paragraph which is necessary  to  provide  for
the  payment  of the principal, redemption premiums, and interest due on
the  refunded  obligations  of  the  school  district  to  their  stated
maturities  or  if  such  bonds  are  to  be  called,  to the call date.
Provided,  however,  that  such  expenditures  shall  be  incurred   for
refunding  bonds  issued  on or before July first, two thousand five and
that  such  expenditures  result  from  the  refunding  of   outstanding
obligations   subject  to  an  assumed  amortization  pursuant  to  this
subparagraph for facilities which were eligible for  building  aid,  and
for  which  the  annual  aid  apportionment  payable in the two thousand
two--two thousand three and/or two  thousand  three--two  thousand  four
school years for approved expenditures for debt service are subsequently
reduced as a result of the application of assumed amortization to unpaid
principal  outstanding  as  of July first, two thousand two, and further
provided that the gross dollar savings over the life of  the  obligation

shall be less than the approved fees and other charges of refinancing as
defined in subparagraph one of paragraph h of this subdivision, but only
to  the  extent  that  such  amounts  are not otherwise eligible for aid
pursuant to this subdivision;
(iv)  "additional  principal  attributable  to the refunding of bonds"
shall mean the amount of approved expenses included in the principal  of
a  refunding  bond  issued  by  the  school  district,  or issued by the
dormitory authority of the state of New York to  refund  obligations  of
the  school  district  subject  to  subparagraph four of this paragraph,
which is  necessary  to  provide  for  the  payment  of  the  principal,
redemption premiums, and interest due on the refunded obligations of the
school  district  to  their stated maturities or if such bonds are to be
called, to the call date; and
(v) "additional principal attributable to the refunding  of  bonds  to
refinance  the state share of a school construction project for purposes
of retroactive amortization" shall mean the percentage of the additional
principal attributable to the refunding of bonds that  is  necessary  to
refinance  the  state share of a school construction project pursuant to
subparagraph four of this paragraph.
(4) Apportionments payable for  the  two  thousand  two--two  thousand
three  school  year  and  thereafter to a school district other than the
city school district of the city  of  New  York  or  a  school  district
constituted  pursuant  to  chapter five hundred sixty-six of the laws of
nineteen hundred sixty-seven as amended,  for  any  debt  service  still
outstanding  as  of the first day of July, two thousand two that has not
been subject to an assumed amortization pursuant to  subparagraph  three
of this paragraph or for lease-purchase or other annual payments under a
lease-purchase  agreement or an equivalent agreement having an unexpired
term on such date.
(a) For the purposes of calculating the apportionments  payable  to  a
school  district  other than the city school district of the city of New
York pursuant to this subdivision for the two thousand two--two thousand
three school year and thereafter for any debt service still  outstanding
as  of the first day of July, two thousand two that has not been subject
to an assumed  amortization  pursuant  to  subparagraph  three  of  this
paragraph  or  for  lease-purchase  or  other  annual  payments  under a
lease-purchase agreement or an equivalent agreement having an  unexpired
term  on  such date, current year approved expenditures for debt service
shall mean debt service or lease-purchase or other annual payments under
a lease-purchase agreement or an  equivalent  agreement  that  would  be
incurred  during the current year based on an assumed amortization to be
established by the commissioner pursuant to this subparagraph of the sum
of
(i) any assumed or actual unpaid principal, or the  equivalent  amount
in  the  case of a lease-purchase agreement or its equivalent, remaining
as of the first day of July, two thousand two pursuant  to  an  existing
amortization  or  any unpaid principal of a bond anticipation note as of
the first day of July, two thousand two, plus
(ii) the approved expenditures for the refunding  of  bonds  that  are
otherwise eligible for an apportionment pursuant to this subdivision, as
such expenditures are defined in subparagraph two of paragraph g of this
subdivision,  provided that such refunding bonds are issued on or before
July first, two thousand five, less the sum  of  the  refinancing  costs
attributable  to  refinancing  the  state share of a school construction
project for purposes of retroactive  amortization  plus  the  additional
principal  attributable  to  the  refunding  of bonds, as such terms are
defined in subclauses (iii) and (iv) of clause (c) of subparagraph three
of this paragraph, for a period equal to the greater of:
(i) the remaining maximum useful life  of  the  project,  or  projects
associated with such obligation, as determined by the commissioner based
on data submitted by the school district, or
(ii)  the  remaining  term  of  the  bond,  bond anticipation note, or
lease-purchase agreement.
(b)  Such  assumed  amortization  of  any  assumed  or  actual  unpaid
principal,  or  the  equivalent  amount  in the case of a lease-purchase
agreement or its equivalent, remaining as of the first day of July,  two
thousand  two  for  a  project  that  has not been subject to an assumed
amortization pursuant to subparagraph three  of  this  paragraph,  shall
commence  on  the first day of July, two thousand two, and shall provide
for equal semiannual payments of principal  and  interest  based  on  an
interest  rate  established by the commissioner for such purpose for the
two thousand two--two thousand three school year.
(c) Any school district eligible for an apportionment pursuant to this
subparagraph shall be eligible for an additional apportionment equal  to
the  sum  of the refinancing costs attributable to refinancing the state
share of a school  construction  project  for  purposes  of  retroactive
amortization plus the additional principal attributable to the refunding
of  bonds  to refinance the state share of a school construction project
for purposes of retroactive amortization, as such terms are  defined  in
subclauses  (iii)  and  (v)  of clause (c) of subparagraph three of this
paragraph.
(d) Any school  district  that  issues  debt  after  July  first,  two
thousand  two for the funding of the approved costs of projects eligible
for an apportionment pursuant to this subparagraph shall be eligible for
an additional apportionment calculated pursuant  to  the  provisions  of
this  subdivision,  where  the  assumed amortization shall be based upon
such approved costs and the remaining useful life shall be the remaining
period over which the apportionments calculated pursuant to  clause  (a)
of this subparagraph are to be paid.
(5) (a) Calculation of interest rates for the city school districts of
the cities of Buffalo, Rochester, Syracuse and Yonkers. (i) By the first
day  of  September of the current year, or by the date prescribed by the
commissioner for the two thousand one--two thousand two school year, the
chief fiscal officer of  each  of  the  cities  of  Buffalo,  Rochester,
Syracuse  and  Yonkers shall provide to the commissioner an analysis, as
prescribed by the commissioner, of  the  actual  average  interest  rate
applied  to  all  capital  debt  incurred by such city related to school
construction purposes during the base year not including debt issued  by
the  dormitory  authority  for the benefit of any school district and of
the estimated average interest rate applied to all capital  debt  to  be
incurred by such city related to school construction purposes during the
current  year  not  including debt issued by the dormitory authority for
the benefit of  any  school  district.  Such  interest  rates  shall  be
expressed  as  a decimal to five places rounded to the nearest eighth of
one-one hundredth. Except as otherwise provided in items (ii), (iii) and
(iv) of this clause, the interest rate of such city  applicable  to  the
base  year  for  the  purposes  of this subparagraph shall be the actual
average interest rate of such city in the base year, and  the  estimated
average  interest  rate shall be tentatively established as the interest
rate of such city applicable  to  the  current  year,  except  that  all
apportionments  of  aid  payable  during  the current year based on such
estimated average interest rate shall be recalculated in  the  following
year and adjusted as appropriate based on the appropriate actual average
interest  rate  then  established  pursuant  to  this  clause  provided,
however, that in any year in which  such  city  has  not  incurred  debt
related  to  serial  bonds  or sinking fund bonds as defined in sections

21.00 and 22.10, respectively, of the  local  finance  law,  issued  for
school  construction  purposes,  the  assumed  interest  rate calculated
pursuant to  clause  (b)  of  this  subparagraph  shall  be  tentatively
established as the interest rate of such city applicable to the projects
approved   by   the   commissioner   in   such  year,  except  that  all
apportionments of aid payable based on such interest rate for each  such
project  shall  be recalculated following the submission of a final cost
report for such  project  and  adjusted  as  appropriate  based  on  the
appropriate  actual  average interest rate applicable to the debt issued
to fund such project, and provided further  that  where  such  city  has
entered  into  an agreement with the dormitory authority of the state of
New York to finance debt related to school construction that is  subject
to  subparagraph four of this paragraph or has entered into an agreement
with the dormitory authority of the state of New York for the purpose of
financing a school construction project that is subject to  subparagraph
three of this paragraph, the interest rate applicable to the obligations
issued  by  the  dormitory  authority  of the state of New York for such
purpose shall be the interest rate established for such city  applicable
to such debt.
(ii)  Notwithstanding the provisions of item (i) of this clause, where
such city has entered into an agreement  with  the  state  of  New  York
municipal  bond  bank  agency  pursuant  to  subdivision  one of section
twenty-four hundred thirty-five-a of  the  public  authorities  law  and
subdivision  (b)  of  section sixteen of chapter six hundred five of the
laws of two thousand, or an agreement with the  Erie  county  industrial
development  agency for projects described in subdivision (b) of section
sixteen of such chapter six hundred five, to finance school  renovation,
rehabilitation  or  reconstruction that is subject to subparagraph three
of this paragraph,  the  lesser  of:  (A)  the  interest  rate  actually
applicable  to  each  series of obligations originally issued to finance
each phase of project costs approved by the commissioner, by  the  state
of  New York municipal bond bank agency or by the Erie county industrial
development agency for such purpose (without regard to any refunding  of
such  obligations);  or  (B)  the  interest  rate  that  would have been
applicable to each series of obligations originally  issued  to  finance
each  phase  of project costs approved by the commissioner, by the state
of New York municipal bond bank agency (without regard to any  refunding
of  such  obligations)  if  the  project  had been financed through such
agency, as certified to the commissioner by the  executive  director  of
the  state of New York municipal bond bank agency, shall be the interest
rate established for such city applicable for  purposes  of  calculating
the  assumed  amortization  for  such approved project costs pursuant to
clause (b) of subparagraph three of this paragraph.
For projects approved by the commissioner in any school year in  which
capital  debt is incurred by either the state of New York municipal bond
bank agency or the Erie county industrial development agency  to  refund
debt  related  to school renovation, rehabilitation or reconstruction of
or on behalf of the  school  district,  where  such  school  renovation,
rehabilitation or reconstruction qualifies for apportionment pursuant to
subparagraph  three  of this paragraph, by the first day of September of
the current year, the chief fiscal officer of such city shall provide to
the commissioner an analysis, as prescribed by the commissioner, of  the
actual  average  interest  rate  applied to all capital debt incurred to
finance or refund debt related to school renovation,  rehabilitation  or
reconstruction that qualifies for apportionment pursuant to subparagraph
three  of  this paragraph by either the state of New York municipal bond
bank agency or the Erie county industrial development agency during  the
base  year  and  of  the  estimated average interest rate applied to all

capital debt incurred to  finance  or  refund  debt  related  to  school
renovation,   rehabilitation   or  reconstruction  that  is  subject  to
subparagraph three of this paragraph by either the  state  of  New  York
municipal  bond  bank  agency  or the Erie county industrial development
agency during the current year. Such interest rates shall  be  expressed
as  a  decimal  to  five places rounded to the nearest eighth of one-one
hundredth. The interest rate established for  such  city  applicable  to
projects first approved in such year shall be tentatively established as
the interest rate computed pursuant to this clause for the current year,
except  that  all  apportionments of aid payable during the current year
based on such estimated average interest rate shall be  recalculated  in
the  following year and adjusted as appropriate based on the appropriate
actual average interest rate then established pursuant  to  this  clause
and  shall be the interest rate established for such city applicable for
purposes of calculating  the  assumed  amortization  for  project  costs
approved  during the current year pursuant to clause (b) of subparagraph
three of this paragraph.
(iii) Notwithstanding the provisions of item (i) of this clause, where
such city has entered into an agreement  with  the  state  of  New  York
municipal  bond  bank  agency  pursuant  to  subdivision  one of section
twenty-four hundred thirty-five-a of  the  public  authorities  law  and
subdivision  (a)  of  section  fourteen  of the city of Syracuse and the
board of education of the city school district of the city  of  Syracuse
cooperative  school reconstruction act, or an agreement with the city of
Syracuse industrial development agency for projects authorized  pursuant
to  the  city  of Syracuse and the board of education of the city school
district of the city of Syracuse cooperative school reconstruction  act,
to  finance  school  rehabilitation or reconstruction that is subject to
subparagraph three of  this  paragraph,  the  lesser  of:  (A)  the  net
interest  cost as defined by the commissioner, applicable to each series
of obligations originally issued by the state of New York municipal bond
bank agency or the city of Syracuse industrial  development  agency  for
such  purpose,  without  regard to any refunding of such obligations; or
(B) such net interest cost, as defined by the  commissioner  that  would
have  been applicable to each series of obligations originally issued to
finance each phase of project costs approved by the commissioner, by the
state of New York municipal bond bank  agency,  without  regard  to  any
refunding  of such obligations, if the project had been financed through
such agency, as certified to the commissioner by the executive  director
of  the  state  of  New  York  municipal  bond bank agency, shall be the
interest rate established for  such  city  applicable  for  purposes  of
calculating  the  assumed  amortization  for such approved project costs
pursuant to clause (b) of subparagraph three of this paragraph.
For projects approved by the commissioner in any school year in  which
capital  debt is incurred by either the state of New York municipal bond
bank agency or the city of Syracuse  industrial  development  agency  to
refund   debt   related   to   school   renovation,   rehabilitation  or
reconstruction of or on behalf of the school district, where such school
renovation, rehabilitation or reconstruction qualifies for apportionment
pursuant to subparagraph three of this paragraph, by the  first  day  of
September  of  the  current  year, the chief fiscal officer of such city
shall provide to the commissioner an  analysis,  as  prescribed  by  the
commissioner, of the actual average interest rate applied to all capital
debt  incurred  to  finance or refund debt related to school renovation,
rehabilitation  or  reconstruction  that  qualifies  for   apportionment
pursuant  to subparagraph three of this paragraph by either the state of
New York municipal bond bank agency or the city of  Syracuse  industrial
development  agency  during  the  base year and of the estimated average

interest rate applied to all capital debt incurred to finance or  refund
debt related to school renovation, rehabilitation or reconstruction that
is  subject  to subparagraph three of this paragraph by either the state
of  New  York  municipal  bond  bank  agency  or  the  city  of Syracuse
industrial development agency during the  current  year.  Such  interest
rates  shall  be  expressed  as  a decimal to five places rounded to the
nearest eighth of one-one hundredth. The interest rate  established  for
such  city  applicable  to projects first approved in such year shall be
tentatively established as the interest rate computed pursuant  to  this
clause  for  the  current  year,  except  that all apportionments of aid
payable during the current year based on such estimated average interest
rate shall be  recalculated  in  the  following  year  and  adjusted  as
appropriate  based  on the appropriate actual average interest rate then
established pursuant to this clause  and  shall  be  the  interest  rate
established  for  such  city  applicable for purposes of calculating the
assumed amortization for project costs approved during the current  year
pursuant to clause (b) of subparagraph three of this paragraph.
(iv)  Notwithstanding the provisions of item (i) of this clause, where
such city or city school district has entered into an agreement with the
county  of  Monroe  industrial  development  agency  or  the   dormitory
authority  of the state of New York, for projects authorized pursuant to
the city of Rochester and the board of  education  of  the  city  school
district  of  the  city  of  Rochester  school  facilities modernization
program act,  to  finance  debt  related  to  school  rehabilitation  or
reconstruction  that is subject to subparagraph three of this paragraph,
the  lesser  of:  (A)  the  net  interest  cost,  as  defined   by   the
commissioner,   that  would  have  been  applicable  to  bonds  or  bond
anticipation notes issued by the county of Monroe industrial development
agency if the project had been authorized to be financed  and  had  been
financed  through  such  entity, as certified to the commissioner by the
executive director  of  the  county  of  Monroe  industrial  development
agency;  or  (B) such net interest cost, as defined by the commissioner,
that would have been applicable to  bonds  or  bond  anticipation  notes
issued  by  the state of New York dormitory authority if the project had
been authorized to be  financed  and  had  been  financed  through  such
entity,  as  certified  to the commissioner by the executive director of
the state of New York dormitory authority shall  be  the  interest  rate
established for such city applicable to such debt.
(v)  Notwithstanding  the provisions of item (i) of this clause, where
such city or city school district has entered into an agreement with the
state of New York municipal bond bank agency pursuant to subdivision one
of section twenty four hundred thirty-five-a of the  public  authorities
law  and  section  sixteen  of  the  Yonkers  city school district joint
schools construction and modernization act, or  an  agreement  with  the
city  of  Yonkers  industrial development agency for projects authorized
pursuant to the Yonkers city school district joint schools  construction
and  modernization act, to finance debt related to school rehabilitation
or reconstruction of school buildings  or  construction  of  new  school
buildings  that  is subject to subparagraph three of this paragraph, the
lesser of: (A) the net interest cost, as defined  by  the  commissioner,
applicable  to the obligations issued by the state of New York municipal
bond bank agency or the city of Yonkers  industrial  development  agency
for  such  purpose;  or  (B)  such  net interest cost, as defined by the
commissioner, that would have been applicable to  bonds  issued  by  the
state  of  New  York  municipal bond bank agency if the project had been
authorized to be financed and had been financed through such entity,  as
certified  to the commissioner by the executive director of the state of

New York  municipal  bond  bank  agency,  shall  be  the  interest  rate
established for such city applicable to such debt.
(b)  Calculation of interest rates for school districts other than the
city school districts of the cities  of  Buffalo,  Rochester,  Syracuse,
Yonkers and New York. By the first day of September of the current year,
or  by  the  date  prescribed  by  the commissioner for the two thousand
one--two thousand two school year, each school district, other than  the
city  school  districts  of  the cities of Buffalo, Rochester, Syracuse,
Yonkers and New York, shall provide to  the  commissioner  in  a  format
prescribed  by  the  commissioner  such  information as the commissioner
shall require for all capital debt  incurred  by  such  school  district
during   the   preceding  school  year  relating  to  the  construction,
acquisition, reconstruction, rehabilitation or improvement of any school
building, not including debt issued by the dormitory authority. Based on
such  reported  amortizations  and  a  methodology  prescribed  by   the
commissioner  in  regulations, the commissioner shall compute an assumed
interest rate that shall equal the average of the interest rates applied
to all such debt issued during the preceding school  year.  The  assumed
interest  rate  shall be tentatively established as the interest rate of
each such school  district  applicable  to  the  current  year  for  the
purposes  of  this  subparagraph  and shall be expressed as a decimal to
five places rounded to the nearest eighth of  one-one  hundredth  except
that  all apportionments of aid payable during the current year based on
such assumed interest rate shall be recalculated in the  following  year
and  adjusted  as  appropriate based on the appropriate assumed interest
rate then established pursuant to this clause, provided,  however,  that
where  such  school  district  has  entered  into  an agreement with the
dormitory authority of the state of New York to refinance debt issued by
such school district that  is  subject  to  subparagraph  four  of  this
paragraph  or has entered into an agreement with the dormitory authority
of the state  of  New  York  for  the  purpose  of  financing  a  school
construction  project  that  is  subject  to  subparagraph three of this
paragraph, the interest rate applicable to the obligations issued by the
dormitory authority of the state of New York for such purpose  shall  be
the  interest  rate established for each such school district applicable
to such debt.
(c) At the end of each ten year segment  of  an  assumed  amortization
established  pursuant  to  subparagraphs  two,  three  and  four of this
paragraph, or in  the  two  thousand  seventeen--two  thousand  eighteen
school  year in the case of assumed amortizations whose ten year segment
ends prior to such  school  year,  the  commissioner  shall  revise  the
remaining scheduled semiannual payments of the outstanding principal and
interest  of  such  assumed  amortization,  other  than  the outstanding
principal and  interest  of  refunding  bonds  where  the  district  can
demonstrate to the commissioner that it is precluded by state or federal
law,  rule or regulation from refinancing such outstanding principal and
interest, based on the interest rates applicable for the current year if
the difference of the interest rate  upon  which  the  existing  assumed
amortization  is  based  minus  such  interest  rate  applicable for the
current year is  equal  to  or  greater  than  one  quarter  of  one-one
hundredth.  Provided  however, in the case of assumed amortization whose
ten year segment ended prior to the two thousand seventeen--two thousand
eighteen school year the next  ten  year  segment  shall  be  deemed  to
commence  with  the two thousand seventeen--two thousand eighteen school
year. The department shall notify school districts of  projects  subject
to  the  provisions  of this clause by no later than December first next
preceding the school year in which the assumed amortization is scheduled
to be revised pursuant to this clause.
(d) Notwithstanding any other law, rule or regulation to the contrary,
any interest rate calculated under  this  subdivision  shall  take  into
account  any  federal  subsidy  payments  made  or  to  be  made  to the
applicable school district or an issuer on behalf of the school district
under the terms of a federally authorized debt instrument which have the
effect  of  reducing  the  actual  interest costs incurred by the school
district or an issuer on behalf of the school district over the life  of
such  capital  debt,  irrespective  of  any  federal government right of
set-off.
(6) Notwithstanding any other provisions of this  paragraph,  where  a
school  district can demonstrate to the satisfaction of the commissioner
extenuating circumstances that a waiver is  warranted  for  an  existing
amortization  or  an  existing  lease-purchase  agreement  or equivalent
agreement  as  of  the  first  day  of  July,  two  thousand  two,   the
commissioner  may  consult  with the dormitory authority of the state of
New York and may grant a waiver consistent with guidelines developed  in
consultation  with the director of the division of the budget and shared
with the chairs of the senate finance committee and  the  assembly  ways
and means committee, to make adjustments, including, but not limited to:
(i)  the  period  of  assumed  amortization  to  equal the period of the
existing  amortization,  (ii)  the  interest  rate   applied   to   such
amortization  to  equal  the actual average interest rate applied to the
existing amortization, and/or (iii) the annual assumed payments of  debt
service to equal the aidable payments of debt service under the existing
amortization  and  provided  further  that  where  a school district can
demonstrate to the commissioner that it is precluded by state or federal
law, rule or regulation from refinancing such outstanding principal  and
interest, clause (iii) of this subparagraph shall apply.
(7) For aid payable in the two thousand two--two thousand three school
year,  school districts shall provide, on or before the fifteenth day of
January, two thousand two, such data  as  the  commissioner  shall  deem
necessary   to   estimate   the   apportionment  payable  under  assumed
amortization pursuant to subparagraph four of this  paragraph,  in  such
form  as  the  commissioner shall determine. Such data shall be provided
for each project for which the district will make a debt service payment
that is aidable pursuant to this subdivision in the current school  year
and  for  each  project  for  which such district expects to make a debt
service payment that will be aidable pursuant to this subdivision in the
following school year.
(8) Notwithstanding any other provision of the law  to  the  contrary,
where,  during  the period of assumed amortization relating to a project
for the construction,  acquisition,  reconstruction,  rehabilitation  or
improvement  of  a  school  building,  the  school  building  is sold or
ownership is otherwise transferred to an entity other  than  the  school
district  or  city  and  such transfer results in the building no longer
being operated  by  the  school  district  as  a  public  elementary  or
secondary  school  that  is  not independent or autonomous, the district
shall, within sixty days  of  the  transfer  of  ownership,  notify  the
commissioner of such sale or transfer, and shall provide such additional
information  about the sale or transfer as the commissioner may require,
in a form prescribed by the commissioner,  and  the  commissioner  shall
re-compute  the  building aid, if any, payable for such project pursuant
to this subparagraph, except to the  extent  such  re-computation  would
conflict   with   the   provisions   of   section  twenty-seven  hundred
ninety-nine-tt of the public authorities  law.  The  commissioner  shall
deduct  the revenues received by the school district or city as a result
of such sale or transfer from the approved total project cost and, based
on such adjusted project cost, establish a new assumed amortization  for

the remaining useful life of the project under the applicable provisions
of this paragraph.
f.  (1)  As used in this subdivision and in section thirty-six hundred
nine-a of this article the following terms shall be defined as follows:
(a) "Debt service on bond anticipation notes aidable in July following
the current year" shall mean current year debt service expenditures  for
bond anticipation notes issued in the current school year.
(b)  "Debt  service  on  new  bonds  and capital notes aidable in July
following the  current  year"  shall  mean  current  year  debt  service
expenditures for bonds and/or capital notes issued in the current school
year.
(2)  Notwithstanding  any inconsistent provisions of this subdivision,
the amount of current year approved expenditure  for  debt  service  for
bond  anticipation  notes  and for bonds and capital notes issued during
the current year for school building purposes pursuant to paragraph b of
this subdivision  shall  not  be  greater  than  the  estimate  of  such
expenditures  as  reported to the commissioner by the school district on
or before November fifteenth of the current year. For aid payable in the
nineteen hundred ninety-six--ninety-seven school  year  and  thereafter,
any  excess  of  actual  expenditures  for  such  debt  service for bond
anticipation notes and such bonds or capital notes incurred in the  base
year,  within  the  limitations  imposed pursuant to paragraph i of this
subdivision, over such estimate of base year expenditures as reported to
the commissioner by the school district on or before November  fifteenth
of  the base year shall be considered approved expenditures for lease or
other annual payments under  the  provisions  of  section  four  hundred
three-b,  subdivision  eight  of  section  twenty-five hundred three, or
subdivision six  of  section  twenty-five  hundred  fifty-four  of  this
chapter,  other  than  payments  under  a lease-purchase agreement or an
equivalent agreement, for school building purposes.
(3) (a) For the purposes of  this  subparagraph  the  following  terms
shall be defined as follows:
(i)  "First  issue  date"  shall  mean  the  date  on which the school
district issued an initial obligation in the form of a bond anticipation
note, a bond or a capital note for the purpose of financing one or  more
approved  building projects for which a combined annual claim of aidable
debt service as defined in regulations of the commissioner, is submitted
to the commissioner.
(ii) "First contract date" shall mean  the  date  by  which:  (A)  the
school   district   certifies  to  the  commissioner  that  construction
activities related to  the  erection,  construction,  reconstruction  or
alteration  of a school building have commenced, or that the purchase of
a school building has been made  under  one  or  more  of  the  approved
building  projects  included  in a combined annual claim of aidable debt
service; and (B)  that  one  or  more  payments  for  such  construction
activities or purchase, including incidental costs have been made by the
school  district  in a total amount equal to or greater than ten percent
of the principal value upon which the combined annual claim  of  aidable
debt  service  is  based. Such certification shall be in a form and of a
content as prescribed by the commissioner.
(iii) "Principal value" shall mean the sum of the  original  principal
amounts of all obligations issued by the school district for the purpose
of financing one or more approved building projects for which a combined
annual  claim  of aidable debt service is submitted to the commissioner,
less any such principal that has been refinanced.
(iv) "Approved project cost" shall mean the sum  of  approved  project
costs  of  all  approved  building  projects for which a combined annual
claim of aidable debt service is submitted to the commissioner.
(v) "Final redemption date" shall mean the date by  which  the  school
district  will  have  repaid  all  principal borrowed for the purpose of
financing one or more approved building projects for  which  a  combined
annual claim of aidable debt service is submitted to the commissioner.
(b)  For  aids  payable  in  the two thousand--two thousand one school
year, and thereafter, notwithstanding  any  inconsistent  provisions  of
this  subdivision,  except  for any project to which paragraph e of this
subdivision applies, the amount of approved expenditures incurred during
the current school year for debt service for  bond  anticipation  notes,
bonds  and  capital  notes having a related first issue date on or after
July  first,  two  thousand  shall  equal  the  product  of  the  actual
expenditures  incurred  during  the current school year for debt service
for each such bond anticipation note, bond or  capital  note,  less  any
accrued   interest  or  premiums  received  by  the  district,  and  the
applicable bond percent.
(c) The applicable bond percent shall equal: (i) the quotient  of  the
approved  project cost for contracts awarded on or before June thirtieth
of the current school year divided by the principal value,  or  (ii)  if
the  first  issue  date  is  more  than  ninety  days prior to the first
contract date, the product of: (A) one minus the quotient of the  number
of days elapsed between the first issue date and the first contract date
divided  by  the number of days elapsed between the first issue date and
the final redemption date and (B) the quotient of the  approved  project
cost  for  contracts  awarded on or before June thirtieth of the current
school year divided by the  principal  value,  provided  that,  if  upon
review  of documentation submitted by a school district the commissioner
determines that the debt was issued by a city having a population of one
hundred twenty-five thousand or more,  as  part  of  a  mixed  borrowing
including  both  school purposes and other municipal purposes or, that a
school district, due to circumstances beyond its  control,  issued  bond
anticipation  notes,  bonds or capital notes more than ninety days prior
to the first contract date, the commissioner may compute the  applicable
bond  percent  pursuant  to item (i) of this clause. The applicable bond
percent shall be expressed as a decimal to five places without rounding.
g. Eligibility criteria for aid for refunding  of  bonds.  (1)  To  be
eligible  for  any apportionment of aid pursuant to this subdivision for
approved expenditures for the refunding of  bonds  to  refinance  school
construction,  reconstruction  or purchase of existing structures or for
expenditures  incidental  to  such  refunding  of  bonds  the  following
requirements shall be met:
(i)  the  refunding  shall  be in accordance with section 90.10 of the
local finance law;
(ii) the bonds to be refunded shall have been  issued  exclusively  to
finance  school  construction,  reconstruction  or  purchase of existing
structures;
(iii) the issuance of refunding bonds shall result in  a  net  present
value  savings  to  both  the  school  district and the state, provided,
however, that the gross dollar savings over the life of the  bond  shall
exceed  the approved fees and other charges of refinancing as defined in
subparagraph one of paragraph h of this subdivision, except in the  case
of  the  refunding  of bonds with unpaid principal outstanding as of the
first day of July, two thousand  two  subject  to  assumed  amortization
pursuant  to  subparagraph  four of paragraph e of this subdivision, for
facilities eligible for building aid,  and  for  which  the  annual  aid
apportionment  payable  in  the two thousand two--two thousand three and
two  thousand  three--two  thousand  four  school  years  for   approved
expenditures  for  debt  service are subsequently reduced as a result of
the application of assumed amortization to such unpaid principal; and
(iv) for any refunding of bonds for which a refunding bond  resolution
is  approved  after April first, nineteen hundred ninety-four, the board
of education or trustees shall certify that the intention of the  school
district  to  accept  proposals  for  the  refunding  of  bonds has been
announced  in at least one regular public meeting of such board and that
all such proposals received have  been  discussed  in  a  second  public
meeting  of  the  board  held  no  sooner  than fourteen days after such
announcement.
(2) For the purposes of subparagraph three of this paragraph, approved
expenditures for the refunding of bonds shall mean any  amount  included
in the principal of the refunding bond issue of a school district, or of
the  dormitory  authority of the state of New York to refund obligations
of a school district for purposes of subparagraph four of paragraph e of
this subdivision, that represents the unmatured interest on the bonds to
be refunded to and including either the date or dates such bonds were to
mature  or  the  date  or  dates  set  for  redemption  prior  to  their
maturities,  plus  the redemption premiums, if any, payable on the bonds
to be refunded on the redemption date or dates, plus the  approved  fees
and  other  charges  of  refinancing  as  defined in subparagraph one of
paragraph h of this subdivision.
(3) Approved expenditures for the refunding of  bonds  as  defined  in
subparagraph   two   of  this  paragraph  shall  be  excluded  from  the
calculation of any ratio of allowable expense to principal that  may  be
used to determine approved debt service expense.
h.  Additional  apportionment  of  building  aid for approved fees and
other charges and expenses related to the issuance of refinancing bonds.
(1) For the purposes of this subdivision approved fees and other charges
of refinancing shall include the costs and expenses  incidental  to  the
issuance  of  refunding  bonds by a school district, or by the dormitory
authority of the state of New York to refund  obligations  of  a  school
district  for  purposes  of  subparagraph  four  of  paragraph e of this
subdivision,  which  are  eligible  for  an  apportionment  pursuant  to
paragraph  g  of  this  subdivision, the costs of the development of the
refunding financial plan and of executing and performing the  terms  and
conditions of the escrow contract and all fees and charges of the escrow
holders.
(2)  Notwithstanding  any inconsistent provisions of this subdivision,
school districts shall also be eligible for an apportionment pursuant to
this subdivision in an amount equal to the product of the aid ratio used
for building aid in the current year as defined in paragraph c  of  this
subdivision  and  the  base  year  approved  fees  and  other charges of
refinancing as defined in subparagraph one of this paragraph,  but  only
to  the extent such costs and expenses are not paid from the proceeds of
the refunding bonds and are not otherwise eligible for aid  pursuant  to
this subdivision, provided however, that in the case of the refunding of
bonds  subject  to an assumed amortization pursuant to subparagraph four
of paragraph e of this subdivision for facilities  which  were  eligible
for  building  aid,  provided that such refunding bonds are issued on or
before the first day of July, two thousand five and for which the annual
aid apportionment payable in the two thousand  two--two  thousand  three
and/or  two  thousand three--two thousand four school years for approved
expenditures for debt service are subsequently reduced as  a  result  of
the  application of assumed amortization to unpaid principal outstanding
as of July first, two thousand two, and further provided that the  gross
dollar savings over the life of the bond shall be less than the approved
fees  and other charges of refinancing as defined in subparagraph one of
this paragraph, such apportionment shall be  equal  to  such  base  year
approved  fees  and other charges of refinancing, but only to the extent

such costs and expenses are not paid from the proceeds of the  refunding
bonds   and  are  not  otherwise  eligible  for  aid  pursuant  to  this
subdivision.
i.  Approved  expenditures  for  debt  service.  (1) Bond anticipation
notes.   Except as otherwise  provided  in  subparagraph  four  of  this
paragraph,  for  purposes  of the apportionment payable pursuant to this
subdivision in the nineteen hundred ninety-six--ninety-seven school year
and thereafter to a school  district  other  than  to  the  city  school
district  of  the  city  of  New  York,  except for any project to which
paragraph e of this subdivision applies, approved expenditures for  debt
service  on  bond  anticipation  notes  relating  to  the  construction,
acquisition, reconstruction, rehabilitation or improvement of any school
building,  including  but  not  limited  to  the  balance  of  principal
outstanding  as  of  July  first,  nineteen hundred ninety-six which was
funded during the nineteen hundred ninety-five--ninety-six  school  year
from  proceeds  of  the  sale  of  bond  anticipation  notes by a school
district, shall mean actual  approved  expenditures  for  principal  and
interest  related  to  the  financing  of  a school construction project
through bond anticipation notes; except that:
(i) such expenditures shall not include expenditures for principal  on
such  notes  during the first twenty-three months following the original
issuance of such notes; and
(ii) such expenditures shall not include expenditures for principal or
interest on  bond  anticipation  notes  issued  or  reissued  after  the
issuance of a certificate of substantial completion for such project, or
expenditures  for principal made during the school year in excess of the
minimum principal payment required under the local finance law.
(2) Bonds and capital notes. (i) For  purposes  of  the  apportionment
payable   pursuant   to   this   subdivision  in  the  nineteen  hundred
ninety-six--ninety-seven school year and thereafter to a school district
other than to the city school district of the city of New York, approved
expenditures for debt service on bonds,  capital  notes  and  any  other
long-term  local  obligations relating to the construction, acquisition,
reconstruction, rehabilitation or improvement of  any  school  building,
shall  mean  actual  approved  expenditures  for  principal and interest
related to the financing of a school construction project  through  such
local  obligations  except  as  provided pursuant to clause (ii) of this
subparagraph or subparagraph four of this paragraph or  paragraph  e  of
this  subdivision; provided that, to be eligible for aid on debt service
pursuant to this subdivision, such bonds, capital notes or  other  local
obligations   issued   on   or  after  August  first,  nineteen  hundred
ninety-six, or, in the case of a small city school district, on or after
November fifteenth,  nineteen  hundred  ninety-six,  shall  provide  for
substantially  level debt service or principal as defined in paragraph d
of section 21.00 of the local finance law; and
(A) be amortized  for  a  period  of  not  less  than  fifteen  years,
including any period of amortization on related bond anticipation notes,
in  the case of local obligations issued to finance new construction and
the purchase of existing structures; or
(B) be amortized for a period of not less than  ten  years,  including
any  period  of  amortization on related bond anticipation notes, in the
case  of  local  obligations  issued  to  finance  the   reconstruction,
rehabilitation or improvement of existing school buildings.
(ii)  Notwithstanding  any inconsistent provisions of this clause, any
actual principal or interest expenditures related to the issuance  of  a
local  obligation  to  finance  new construction for a term of less than
fifteen years or reconstruction for a term of less than  ten  years,  as
specified  in  clause (i) of this subparagraph, shall not be used in the

calculation of the apportionment payable pursuant to  this  subdivision,
provided,  however,  that aidable approved expenditures for debt service
shall be calculated pursuant  to  the  provisions  of  this  clause,  as
follows:
(A)  for  new  construction  and  the purchase of existing structures,
current  year  approved  expenditures  for  debt  service   shall   mean
expenditures  for  principal and interest expense that would be incurred
during the current year based on an assumed amortization for a period of
fifteen years, or the actual term of the obligation issued by the school
district, whichever is greater,  of  any  outstanding  principal  and/or
principal  payments  not  previously  aided  at the time of issue of the
obligation that represents costs approved by the commissioner  including
any  period  of  amortization  on  related bond anticipation notes. Such
assumed amortization shall commence with the date  of  the  award  of  a
general  contract  by  the  school district for such new construction or
purchase, the date the district was placed on  assumed  amortization  by
the  commissioner,  or  the  date  upon  which  the district selected an
assumed amortization pursuant to subparagraph four  of  this  paragraph,
whichever  shall  last  occur,  and shall be based on an assumed rate of
annual interest applied to  such  amortization,  as  determined  by  the
commissioner  pursuant  to  subparagraph three of this paragraph for the
month in which a general contract is awarded for such project; and
(B) for reconstruction,  rehabilitation  or  improvement  of  existing
school  buildings,  current  year approved expenditures for debt service
shall mean expenditures for principal and interest expense that would be
incurred during the current year based on an assumed amortization for  a
period  of ten years, or the actual term of the obligation issued by the
school district, whichever is  greater,  of  any  outstanding  principal
and/or  principal  payments  not  previously aided that represents costs
approved by the commissioner including any  period  of  amortization  on
related   bond  anticipation  notes.  Such  assumed  amortization  shall
commence with the date of the award of a general contract by the  school
district  for  such  new construction or purchase, the date the district
was placed on actual amortization by the commissioner, or the date  upon
which   the  district  selected  an  assumed  amortization  pursuant  to
subparagraph four of this paragraph, whichever  shall  last  occur,  and
shall  be  based  on  an assumed rate of annual interest applied to such
amortization, as determined by the commissioner pursuant to subparagraph
three of this paragraph for the month in which  a  general  contract  is
awarded for such project.
(3) By the fifteenth day of each month, beginning on August fifteenth,
nineteen  hundred  ninety-six,  the  commissioner  shall  determine  the
prevailing interest rate for the preceding month based on  a  nationally
recognized and accepted index of municipal bond yields reported for such
preceding  month,  in  accordance  with  a methodology prescribed by the
commissioner and approved by the director of the budget.
(4) Notwithstanding any other  provision  of  this  paragraph  to  the
contrary, in the case of projects eligible for an apportionment pursuant
to  subparagraph  one  of  this  paragraph  during  the nineteen hundred
ninety-six--ninety-seven school year, and projects of small city  school
districts  whether or not eligible for such an apportionment during such
school year, for the purpose of the apportionment  payable  pursuant  to
this  subdivision  or  subdivision  six-b  of  this  section  during the
nineteen hundred ninety-six--ninety-seven school year and thereafter  to
a  school district other than to the city school district of the city of
New   York,   for   the   construction,   acquisition,   reconstruction,
rehabilitation or improvement of a school building, such school district
shall  have  the  option  of  selecting  to  receive aid based on actual

expenditures pursuant to subparagraph one or clause (i) of  subparagraph
two  of  this paragraph; or based on an assumed amortization pursuant to
clause (ii) of subparagraph two of such paragraph. Such selection  shall
be  made  on  or  before  the  time  of  submission  of a project to the
commissioner for final approval or November fifteenth, nineteen  hundred
ninety-seven,  whichever  shall occur later. Provided, however, any such
school district selecting to receive aid based  on  actual  expenditures
pursuant  to  subparagraph one or clause (i) of subparagraph two of this
paragraph, but not meeting all requirements of  such  provisions,  shall
have  their  aid for debt service computed under an assumed amortization
pursuant to clause (ii) of  subparagraph  two  of  this  paragraph,  and
provided   further  that  any  adjustments  resulting  from  a  required
computation under clause (ii) of  subparagraph  two  of  this  paragraph
shall apply to the next payment due for such project.
(5) Notwithstanding any inconsistent provisions of this paragraph, for
the   purpose   of   calculating   an  apportionment  pursuant  to  this
subdivision:
(i)  current  approved  expenditures  for  debt  service  for   energy
performance contracts authorized pursuant to section 9-103 of the energy
law shall mean approved debt service incurred by a school district under
such contract during the current school year related to the financing of
such   construction,   acquisition,  reconstruction,  rehabilitation  or
improvement of any school building, provided  that  as  a  condition  of
eligibility for aid:
A.  The  amortization  period  shall not exceed the term of the energy
performance contract.
B. Any state building  aid  attributable  to  such  project  shall  be
excluded  in  determining  the cost savings under the energy performance
contract.
C. The energy  performance  contractor  shall  guarantee  recovery  of
contract  costs  from  energy  savings  realized  by the school district
during the term of the energy  performance  contract,  which  shall  not
exceed eighteen years.
(ii)  notwithstanding  any  inconsistent provisions of this paragraph,
for aid payable in the two thousand two--two thousand three school  year
and  thereafter,  approved  expenditures  for  debt  service  for energy
performance contracts shall  be  based  on  assumed  amortization  where
required by paragraph e of this subdivision.
(iii)  current  year  approved  expenditures  for debt service for the
purchase of computer equipment shall mean expenditures for principal and
interest expense incurred by a school district during the  current  year
for  financing  of  the  purchase of computer equipment eligible for aid
pursuant to paragraph b of this subdivision, provided that  the  payment
of  aid  shall be based on an assumed period of amortization which shall
equal the period of probable usefulness applicable to the acquisition of
such equipment under section 11.00 of the local finance law  and  on  an
assumed  rate  of  annual  interest  determined pursuant to subparagraph
three of this paragraph for the month in which the purchase contract was
executed; and
(iv) current year approved expenditures for debt service for any other
expenditures that are aidable pursuant to this subdivision  and  involve
an  object  or purpose for which the period of probable usefulness under
section 11.00 of the local finance law is less than ten years shall mean
expenditures for principal and interest expense  incurred  by  a  school
district during the current year for the contracting of indebtedness for
such  object or purpose, provided that the payment of aid shall be based
on an assumed period of amortization equal to such  period  of  probable
usefulness and on an assumed rate of annual interest determined pursuant

to  subparagraph  three  of  this  paragraph  for the month in which the
financing agreement was executed.
j.  Assumed  amortization  for capital outlays. For aid payable in the
two thousand three--two thousand four school year  and  thereafter,  the
apportionment to a school district for approved expenditures for capital
outlays  from  its general fund, capital fund or reserved funds pursuant
to  this  subdivision  shall  be  based  upon  an  assumed  amortization
established  pursuant  to the applicable provisions of subparagraph two,
three, or four of paragraph e of this subdivision, as modified  by  this
paragraph,  whether  or  not  the  school  district issues debt for such
expenditures. Notwithstanding any provisions of subparagraph two, three,
or four of paragraph e of this subdivision to the contrary:
(1) For approved expenditures for capital outlay incurred by the  city
school  district  of  the  city  of New York on or after July first, two
thousand  two  that  are  related  to  projects  for  which  a   general
construction  contract  was  first  awarded  by  the school construction
authority of the city of New  York,  or  by  another  body  or  official
designated  by  law,  prior  to the first day of July, two thousand two,
such amortization shall  commence  (i)  eighteen  months  after  January
first,  two  thousand  three;  or  (ii)  on  the  date of receipt by the
commissioner  of  a  certification  by  the  district  that  a   general
construction  contract  has  been awarded for such project, whichever is
later; and the quotient, calculated to the nearest whole dollar  without
rounding,  of (A) the positive remainder of the approved expenditures of
such project to be funded through capital outlay less the  total  amount
of  approved expenditures for capital outlay incurred before July first,
two thousand two, divided by (B) the positive remainder, computed to the
nearest  year  without  rounding,  of  the  new  term  of  the   assumed
amortization  established  pursuant  to  item  (ii)  of  clause  (b)  of
subparagraph two of paragraph e of this subdivision as  of  July  first,
two thousand three, less twelve months shall be deemed to be the current
year  approved  expenditures  for  debt service for the purposes of such
paragraph.
(2) Approved expenditures for capital  outlay  incurred  by  the  city
school district of the city of New York that are related to projects for
which  a general construction contract was first awarded on or after the
first  day  of  July,  two  thousand  two,  shall  be  deemed   approved
expenditures  for  debt service included in the assumed amortization for
the project  pursuant  to  subparagraph  two  of  paragraph  e  of  this
subdivision.
(3)  For approved expenditures for capital outlay incurred by a school
district other than the city school district of the city of New York  on
or  after  July  first,  two  thousand  two that are related to projects
approved by the commissioner  prior  to  the  first  day  of  July,  two
thousand  two,  such  amortization  shall  commence: (i) eighteen months
after January first, two thousand three; or (ii) on the date of  receipt
by  the  commissioner  of a certification by the district that a general
construction contract has been first awarded for  such  project  by  the
district,  whichever  is  later,  and  the  quotient,  calculated to the
nearest whole dollar without rounding, of (A) the positive remainder  of
the  approved  cost  of such project to be funded through capital outlay
less the total  amount  of  approved  expenditures  for  capital  outlay
incurred  before  July  first,  two  thousand  two,  divided  by (B) the
positive remainder, computed to the nearest year  without  rounding,  of
the  remaining  maximum  useful life of the project as determined by the
commissioner pursuant to item (i) of clause (a) of subparagraph four  of
paragraph e of this subdivision as of July first, two thousand one, less

twelve  months,  shall  be  deemed  to  be  the  current  year  approved
expenditures for debt service for the purposes of such paragraph.
(4)  Approved  expenditures  for  capital  outlay incurred by a school
district other than the city school district of the  city  of  New  York
that  are  related  to projects approved by the commissioner on or after
the first day of July,  two  thousand  two,  shall  be  deemed  approved
expenditures  for  debt  service included in an assumed amortization for
the project pursuant to  subparagraph  three  of  paragraph  e  of  this
subdivision.
k.  Final  cost  report  penalties.  (1) All acts done and proceedings
heretofore had and taken, or caused to  be  had  and  taken,  by  school
districts and by all its officers or agents relating to or in connection
with  final  building  cost  reports  required  to  be  filed  with  the
commissioner for approved building projects for which a  certificate  of
substantial  completion  was  issued  on  or after April first, nineteen
hundred ninety-five, and where a final cost report was not submitted  by
June   thirtieth  of  the  school  year  in  which  the  certificate  of
substantial completion of the project was issued  by  the  architect  or
engineer,  or  six  months after issuance of such certificate, whichever
was later,  and  all  acts  incidental  thereto  are  hereby  legalized,
validated, ratified and confirmed, notwithstanding any failure to comply
with  the  approval  and  filing  provisions of the education law or any
other law or any other  statutory  authority,  rule  or  regulation,  in
relation  to  any omission, error, defect, irregularity or illegality in
such proceedings had and taken.
(2) The commissioner is hereby directed to consider the approved costs
of the aforementioned projects as valid and proper obligations  of  such
school  districts  and  shall  not  recover  on or after July first, two
thousand thirteen any penalty arising from the late filing  of  a  final
cost  report, provided that any amounts already so recovered on or after
July first, two thousand thirteen shall be deemed a  payment  of  moneys
due  for  prior  years  pursuant  to  paragraph c of subdivision five of
section thirty-six hundred four of this part and shall be  paid  to  the
appropriate district pursuant to such provision, provided that:
(a)  such school district submitted the late or missing final building
cost report to the commissioner;
(b) such cost report is approved by the commissioner;
(c) all state funds expended by the school district, as documented  in
such  cost  report,  were properly expended for such building project in
accordance with the terms and conditions for such project as approved by
the commissioner; and
(d) the failure to submit such  report  in  a  timely  manner  was  an
inadvertent  administrative  or  ministerial  oversight  by  the  school
district, and there is no evidence of any fraudulent or  other  improper
intent by such district.
6-a.  Additional  apportionments  of building aid for school districts
educating pupils residing on Indian reservations.  In  addition  to  the
apportionments  made  to  a  school  district  under  the  provisions of
subdivision six of this section, the commissioner is  hereby  authorized
to  apportion to any school district, which the commissioner deems to be
providing educational  services  for  a  significant  number  of  pupils
residing   on  an  Indian  reservation,  an  amount  calculated  by  the
commissioner to represent the actual per  pupil  cost  within  the  cost
allowance  assigned to Indian pupils as the contribution of the state on
behalf of pupils residing on an Indian reservation.  Such  apportionment
shall be payable after approval by the commissioner of final plans for a
construction  project approved by the commissioner for such purpose. Any

such apportionment shall be made upon such terms and conditions  as  the
commissioner shall approve.
6-b.  Building  aid  for  joint  facilities.  a.  Two  or  more school
districts eligible for operating aid pursuant  to  this  section,  other
than  a  city  school  district  in  a city with one hundred twenty-five
thousand inhabitants or more, that enter into an agreement in accordance
with section one hundred nineteen-o of the  general  municipal  law  and
this  subdivision, may receive building aid pursuant to this subdivision
for approved expenditures for the construction or reconstruction of  one
or  more  single site joint facilities. To be eligible for such aid, the
general contracts for the project shall have been awarded  on  or  after
July  first,  nineteen  hundred  ninety-three, and the project and joint
agreement  shall  have  been   approved   by   the   commissioner.   For
participating  school districts in which the school budget is subject to
voter approval, the joint agreement shall be subject to voter approval.
b. To be eligible for building aid for the joint facility,  the  joint
agreement  shall designate the board of education of the school district
in which such single site joint facility will be  located  as  the  lead
district,  provided that where such facility will occupy adjoining sites
in more than one participating district any district in which a part  of
the  facility  is  situated  may  be  designated  as  the lead district.
Notwithstanding any other provision of law, the lead district  shall  be
authorized to contract indebtedness for the purpose of the joint project
pursuant to the local finance law as if the entire project was conducted
solely  by  the  lead  district. The joint agreement shall designate the
district or districts that will  operate,  maintain  and/or  manage  the
joint  facility.  The  lead district shall serve as fiscal agent for all
participating districts  for  the  purpose  of  claiming  and  receiving
building  aid  pursuant  to  subdivision  six of this section. The joint
agreement shall include a lease agreement between the lead district  and
all other participating districts whereby all parties agree to lease the
facility  for  a term not less than the period within which all bonds or
notes issued to finance the project will mature. Participating districts
shall not be eligible for an apportionment pursuant to any provision  of
this  chapter  for any lease expense incurred for the joint facility and
such expense shall not be included in the approved operating expense  of
any  such  district,  provided, however, that nothing shall prohibit the
inclusion of a district's share of the net administrative, operation and
maintenance costs of  the  joint  project  in  the  district's  approved
operating expense. The joint agreement shall provide for a credit of the
state  aid  received  by the lead district for the joint project against
the expenses of such project and shall provide a  method  of  allocating
the  net  cost  of  the  joint  facility to the participating districts,
distributing (i) the gross cost based on each district's  share  of  the
use of the facility, and (ii) the state aid based on each district's aid
ratio and use-share of the aidable expense.
c.  Upon  approval  of the joint agreement, the lead district shall be
eligible for an  apportionment  pursuant  to  subdivision  six  of  this
section  as  if  the  joint  project  was  conducted solely by such lead
district; provided,  however,  that  the  building  aid  ratio  used  in
computing  such  aid  shall  be  the  sum of the product for each of the
participating districts of the district's building  aid  ratio  selected
pursuant  to  paragraph  c  of  subdivision  six of this section for aid
payable in the current year multiplied by the district's  share  of  the
use of the facility.
d.  Where  the  lead  district  reorganizes  with  some  or  all other
districts participating in the joint agreement subsequent to approval of
the joint agreement, such reorganized district  shall  be  eligible  for

reorganization incentive aid pursuant to subparagraph one of paragraph c
as modified by paragraph i, both of subdivision fourteen of this section
for expenditures for any debt service for indebtedness outstanding after
the  effective  date  of  such reorganization that were incurred for the
financing of construction of the joint facility so long as such facility
continues to be used by such  reorganized  district,  as  if  the  joint
facility  had been constructed by the reorganized district subsequent to
reorganization.
e. Notwithstanding the provisions of section thirty-six hundred nine-a
of this article, aid for joint projects shall be paid in accordance with
a schedule established by the commissioner and approved by the  director
of the budget.
6-c.  a.  Building  aid  for  metal  detectors, and safety devices for
electrically operated partitions, room dividers and doors.  In  addition
to   the  apportionments  payable  to  a  school  district  pursuant  to
subdivision six of this section, the commissioner is  hereby  authorized
to  apportion to any school district additional building aid pursuant to
this subdivision for its approved expenditures in the base year for  the
purchase of stationary metal detectors, security cameras, safety devices
for electrically operated partitions and room dividers required pursuant
to  section  four  hundred  nine-f  of  this  chapter, or other security
devices approved  by  the  commissioner  that  increase  the  safety  of
students and school personnel, provided, however, that funds apportioned
to  school  districts  pursuant to this section shall not supplant funds
for  existing  district  expenditures  or   for   existing   contractual
obligations  of  the  district  for stationary metal detectors, security
cameras, partition and room divider safety devices, or security devices.
Portable or hand held metal detectors shall  not  be  eligible  for  aid
pursuant  to  this  subdivision.  Such  additional  aid  shall equal the
product of the building aid ratio computed for use in the  current  year
pursuant  to  paragraph  c  of  subdivision  six of this section and the
actual approved expenditures incurred in the base year pursuant to  this
subdivision, provided that the limitations on cost allowances prescribed
by  paragraph  a of subdivision six of this section shall not apply. The
commissioner shall annually prescribe a special cost allowance for metal
detectors, and security cameras, and the approved expenditures shall not
exceed such cost allowance. The commissioner shall annually prescribe  a
special  cost  allowance  for partition and room divider safety devices,
and the approved expenditures shall not exceed such cost allowance.
b. For projects approved by the  commissioner  authorized  to  receive
additional building aid pursuant to this subdivision for the purchase of
stationary  metal  detectors, security cameras or other security devices
approved by the commissioner that increase the safety  of  students  and
school  personnel,  provided  that  for  purposes of this paragraph such
other security devices shall be limited to electronic  security  systems
and  hardened  doors,  and  provided  that  for projects approved by the
commissioner on or after the first day of  July  two  thousand  thirteen
such  additional  aid  shall  equal  the product of (i) the building aid
ratio computed for use in the current year pursuant to  paragraph  c  of
subdivision  six of this section plus ten percentage points, except that
in no case shall this amount exceed one hundred percent,  and  (ii)  the
actual  approved expenditures incurred in the base year pursuant to this
subdivision, provided that the limitations on cost allowances prescribed
by paragraph a of subdivision six of this section shall not  apply,  and
provided  further  that  any projects aided under this paragraph must be
included in a district's school  safety  plan.  The  commissioner  shall
annually  prescribe  a  special  cost allowance for metal detectors, and

security cameras, and the approved expenditures shall  not  exceed  such
cost allowance.
6-e.  Additional  apportionment of building aid for building condition
surveys of school buildings. In addition to the  apportionments  payable
to  a  school  district pursuant to subdivision six of this section, the
commissioner is hereby authorized to apportion to  any  school  district
additional  building  aid  in  accordance  with this subdivision for its
approved expenses in the base year for  building  condition  surveys  of
school  buildings  that  are  conducted pursuant to this subdivision and
subdivision  four  of  section  thirty-six  hundred  forty-one  of  this
article. The amount of such apportionment shall equal the product of the
building aid ratio defined pursuant to paragraph c of subdivision six of
this  section  and the actual approved expenses incurred by the district
in the base year for each school building so  inspected,  provided  that
the amount of such apportionment shall not exceed the building condition
survey  aid  ceiling.  For  surveys  conducted  in  the nineteen hundred
ninety-eight--ninety-nine  school  year,  the  building  condition   aid
ceiling  shall  be twenty cents gross per square foot of floor area. For
surveys conducted in  the  nineteen  hundred  ninety-nine--two  thousand
school  year  and thereafter, the inspection aid ceiling shall be twenty
cents gross per square foot of floor area, plus an  amount  computed  by
the  commissioner  in  accordance  with  regulations  adopted  for  such
purpose, on the basis of an index number reflecting changes in the costs
of labor and materials from July first, nineteen hundred ninety-eight.
6-f. Additional apportionment of building aid for certain projects. a.
In addition to the apportionment payable to a school  district  pursuant
to   subdivision  six  of  this  section,  the  commissioner  is  hereby
authorized to apportion to any school district additional  building  aid
in  the  amount equal to the product of its approved expenditures in the
base year for capital outlays from the district's general fund,  capital
fund  or  reserved  funds  that are incurred on or after July first, two
thousand two for an eligible school construction project as  defined  in
paragraph  b of this subdivision, and the district's applicable building
aid ratio as defined pursuant to paragraph c of subdivision six of  this
section.  Approved  expenditures for capital outlays for eligible school
construction projects that are eligible for an apportionment pursuant to
this subdivision shall not be eligible for aid pursuant  to  subdivision
six of this section.
b.   For  the  purposes  of  this  subdivision,  an  "eligible  school
construction project" shall mean a school construction project  that  is
entirely funded from capital outlays and:
(1)  has a total project cost of one hundred thousand dollars or less;
provided however, that for any district, no more than one project  shall
be  eligible  pursuant  to this subparagraph for an apportionment within
the same school year; and/or
(2)  is  a  construction  emergency  project  to  remediate  emergency
situations  which  arise  in  public  school  buildings and threaten the
health  and/or  safety  of  building  occupants,  as  a  result  of  the
unanticipated discovery of asbestos or other hazardous substances during
construction  work  on  a school or significant damage caused by a fire,
snow storm, ice storm, excessive rain, high winds, flood  or  a  similar
catastrophic event which results in the necessity for immediate repair.
6-g.  Charter  schools  facilities aid. a. The city school district of
the city of New York,  upon  documenting  that  it  has  incurred  total
aggregate  expenses  of  forty  million  dollars  or  more  pursuant  to
subparagraph five of paragraph  (e)  of  subdivision  three  of  section
twenty-eight  hundred fifty-three of this chapter, shall be eligible for
an apportionment pursuant to this subdivision for  its  annual  approved

expenditures  for the lease of space for charter schools incurred in the
base year in accordance with  paragraph  (e)  of  subdivision  three  of
section twenty-eight hundred fifty-three of this chapter.
b. The apportionment shall equal the product of (1) the sum of:
for aid payable for expenses incurred pursuant to subparagraph five of
paragraph  (e)  of  subdivision  three  of  section twenty-eight hundred
fifty-three of this chapter where the charter school prevails on appeal,
the annual approved  expenses  incurred  by  the  city  school  district
pursuant to such subparagraph five multiplied by
(2) six-tenths.
c.   For   purposes   of   this  subdivision,  the  approved  expenses
attributable to a lease by a charter school of a  privately  owned  site
shall  be  the  lesser  of  the  actual rent paid under the lease or the
maximum cost  allowance  established  by  the  commissioner  for  leases
aidable under subdivision six of this section.
d.  Notwithstanding  any  provision  of  law  to the contrary, amounts
apportioned pursuant to this subdivision shall not be included  in:  (1)
the  allowable  growth  amount  computed  pursuant  to  paragraph  dd of
subdivision one of this  section,  (2)  the  preliminary  growth  amount
computed  pursuant  to  paragraph ff of subdivision one of this section,
and (3) the allocable growth amount computed pursuant to paragraph gg of
subdivision one of this section, and shall not be considered, and  shall
not  be  available  for  interchange  with,  general  support for public
schools.
6-h. Building aid for testing and filtering of potable  water  systems
for  lead  contamination. In addition to the apportionments payable to a
school district  pursuant  to  subdivision  six  of  this  section,  the
commissioner  is  hereby  authorized to apportion to any school district
additional building aid pursuant to this subdivision  for  its  approved
expenditures,  otherwise  ineligible  for building aid, in the base year
for the testing of potable water systems required  pursuant  to  section
eleven hundred ten of the public health law, provided that such expenses
for  testing  of potable water systems are not reimbursable from another
state  or  federal  source.  The  commissioner  is  also  authorized  to
apportion  to  any  school  district additional building aid pursuant to
this subdivision for its approved expenditures, otherwise ineligible for
building aid, in the base year for the installation  of  filters  and/or
other  effective  remedial  measures  for immediate remediation in cases
where a finding of lead contamination is made pursuant to  such  section
and  verified  by  confirmatory  sampling,  provided  that  the  cost of
installation of such filters and/or other  effective  remedial  measures
shall  be  deemed  an approved expenditure only if (i) such installation
and/or other effective remedial measures have been approved or  reviewed
by  a  professional  with  expertise  in  the field of water quality and
remediation and (ii) such cost is incurred  prior  to  July  first,  two
thousand  nineteen. Such aid shall equal the product of the building aid
ratio defined pursuant to paragraph c of subdivision six of this section
and the actual approved expenditures incurred in the base year  pursuant
to  this  subdivision.  Commencing  in  the  two  thousand nineteen--two
thousand twenty  school  year  and  every  year  thereafter,  additional
building  aid  pursuant  to  this  subdivision  shall  include  approved
expenses for testing of potable water  systems  for  lead  contamination
pursuant  to  section  eleven  hundred  ten  of  the  public health law,
provided that such expenses for testing of potable water systems are not
reimbursable from another state or federal source.
6-i.  Building  aid  and  the  New  York  state  energy  research  and
development  authority  P-12 schools: clean green schools initiative. 1.
For aid  payable  in  the  school  years  two  thousand  twenty-two--two

thousand  twenty-three  and thereafter, notwithstanding any provision of
law to the contrary, the apportionment to any district under subdivision
six, six-a, six-b, six-c, six-e, six-f, or six-h  of  this  section  for
capital outlays for school building projects for energy efficiency shall
not  exclude  grants  authorized  pursuant  to the New York state energy
research and development authority P-12  schools:  clean  green  schools
initiative   from   aidable  expenditures,  provided  that  the  sum  of
apportionments for these projects  calculated  pursuant  to  subdivision
six,  six-a,  six-b,  six-c,  six-e, six-f, or six-h of this section and
such grants shall not exceed the actual project expenditures.
2. The New York state energy research and development authority  shall
provide  a  list  of  energy  efficiency  grants  awarded to each school
district to the commissioner no later than one month prior to the end of
each calendar year and each school year. This  list  shall  include  the
capital construction project or projects funded by the grants, the award
amounts  of  each  individual project grant, the district receiving such
grants, the schools receiving such grants, the date on which  the  grant
was received, and any other information necessary for the calculation of
aid  pursuant  to subdivision six, six-a, six-b, six-c, six-e, six-f, or
six-h of this section.
7. Apportionment for pupil transportation.   a.  In  addition  to  the
foregoing  apportionment,  there  shall  be  apportioned  to  any school
district for pupil transportation, the lesser of ninety  per  centum  or
the  state  share  of  its  approved transportation expense for the base
year. The state share shall equal the sum of the transportation sparsity
adjustment and the transportation aid ratio, but not less than  six  and
one-half  percent.  The transportation aid ratio shall equal the greater
of (i) the product  of  one  and  two  hundred  sixty-three  thousandths
multiplied  by  the  state  sharing ratio, (ii) an aid ratio computed by
subtracting from one and one hundredth the  product  computed  to  three
decimals  without rounding obtained by multiplying the resident weighted
average daily attendance wealth ratio by forty-six percent,  where  such
aid  ratio  shall  be  expressed  as  a  decimal carried to three places
without rounding or (iii) excluding cities with  a  population  of  more
than  one million, an aid ratio computed by subtracting from one and one
hundredth the product computed to three decimal places without  rounding
obtained  by  multiplying  the number computed to three decimals without
rounding obtained when the quotient of  actual  valuation  of  a  school
district,  as defined in paragraph c of subdivision one of this section,
divided by the sum of the resident public  school  district  enrollment,
the  resident  nonpublic  school  district enrollment and the additional
public school enrollment of the school district for the  year  prior  to
the  base  year is divided by the statewide average actual valuation per
the sum of  such  total  resident  public  school  district  enrollment,
nonpublic  school  district  enrollment  and  additional  public  school
enrollment  of  all  school  districts  eligible  for  an  apportionment
pursuant  to  this  section  except  central  high  school  districts as
computed by  the  commissioner  using  the  latest  single  year  actual
valuation computed under paragraph c of subdivision one of this section,
by  forty-six  percent, where such ratio shall be expressed as a decimal
carried to three decimal places without  rounding.  The  computation  of
such  statewide average shall include the actual valuation of all school
districts eligible for an apportionment pursuant to this section  except
central  high  school  districts. The transportation sparsity adjustment
shall equal the quotient of: the positive remainder of twenty-one  minus
the  district's  public school enrollment for the year prior to the base
year  per  square  mile,  divided  by  three   hundred   seventeen   and
eighty-eight  hundredths.  Approved  transportation expense shall be the

sum of the approved transportation operating expense  and  the  approved
transportation  capital, debt service and lease expense of the district.
Approved transportation expense shall not be aidable pursuant to section
nineteen hundred fifty of this chapter.
b. (1) For the purposes of this apportionment, approved transportation
operating  expense  shall be the actual expenditure incurred by a school
district and approved  by  the  commissioner  (i)  for  those  items  of
transportation  operating  expense  allowable  under  subdivision one of
section thirty-six hundred twenty-three-a of this  article  for  regular
aidable  transportation  of pupils as such terms are defined in sections
thirty-six hundred twenty-one and  thirty-six  hundred  twenty-two-a  of
this  article,  and  (ii)  for  those  items of transportation operating
expense allowable under subdivision one of  section  thirty-six  hundred
twenty-three-a  of  this  article  for  the  transportation  required or
authorized pursuant to article eighty-nine of this  chapter,  and  (iii)
for  providing  monitors on school buses for students with disabilities,
and (iv) for transportation operating expenses allowable  under  section
thirty-six hundred twenty-three-a of this article for the transportation
of  homeless  children  authorized by paragraph c of subdivision four of
section thirty-two hundred nine of this chapter, provided that the total
approved cost of such transportation shall not exceed the amount of  the
total cost of the most cost-effective mode of transportation.
(2)  Notwithstanding  any  inconsistent provisions of this article, in
computing the apportionment payable to a school district in a city  with
a  population  in  excess  of  one  million inhabitants pursuant to this
subdivision,  approved  transportation  expense   for   public   service
transportation  shall  not include any expenditures to the New York City
Metropolitan Transportation Authority for public service  transportation
nor shall such expense be included in approved operating expense.
c.  For  the  purposes  of  computing  this  apportionment for the two
thousand five--two thousand six school  year  and  thereafter,  approved
transportation  capital,  debt  service,  and lease expense shall be the
amount computed based upon an assumed amortization  determined  pursuant
to  paragraph  e  of  this  subdivision for an expenditure incurred by a
school district and approved by the  commissioner  for  those  items  of
transportation  capital,  debt service and lease expense allowable under
subdivision two of section thirty-six  hundred  twenty-three-a  of  this
article  for:  (i) the regular aidable transportation of pupils, as such
terms  are  defined  in  sections  thirty-six  hundred  twenty-one   and
thirty-six hundred twenty-two-a of this article, (ii) the transportation
of  children  with  disabilities pursuant to article eighty-nine of this
chapter, and (iii) the transportation of homeless children  pursuant  to
paragraph  c  of  subdivision four of section thirty-two hundred nine of
this  chapter,  provided  that  the  total   approved   cost   of   such
transportation shall not exceed the amount of the total cost of the most
cost-effective  mode  of  transportation.  Approvable  expenses  for the
purchase of school buses shall be limited to the actual purchase  price,
or  the  expense  as  if  the  bus  were purchased under state contract,
whichever is less. If the commissioner determines that no comparable bus
was available  under  state  contract  at  the  time  of  purchase,  the
approvable expenses shall be the actual purchase price or the state wide
median  price  of  such  bus  in the most recent base year in which such
median price was established with an allowable year to year CPI increase
as defined in subdivision fourteen of section three hundred five of this
chapter; whichever is  less.  Such  median  shall  be  computed  by  the
commissioner for the purposes of this subdivision.
d.  In  determining  approved  transportation  operating  expense  for
district-owned transportation and approved transportation capital,  debt

service  and  lease  expense  pursuant  to paragraphs b, c and e of this
subdivision and part two of this article, the commissioner shall make  a
deduction  from  the total transportation expense for the transportation
of nonallowable pupils, and for that portion of the total annual mileage
of  district-owned  school  buses  that is not aidable because it is not
included in the total annual allowable mileage  as  defined  in  section
thirty-six  hundred  twenty-one  of  this  article,  provided  that such
calculations shall be made pursuant to regulations of the  commissioner,
and  further  provided  that  such  regulations  shall  provide  for  an
exclusion  of   pupil   miles   for   transportation   provided   on   a
space-available   basis   to  pupils  attending  an  approved  universal
prekindergarten program pursuant to section thirty-six hundred two-e  of
this article that does not result in additional transportation costs.
e.  In  determining  approved transportation capital, debt service and
lease expense for aid payable in the two thousand five--two thousand six
school  year  and  thereafter,  the  commissioner,  after  applying  the
provisions  of  paragraph  c  of this subdivision to such expense, shall
establish  an  assumed  amortization  pursuant  to  this  paragraph   to
determine  the  approved  capital, debt service and lease expense of the
school district that is aidable in the current year, whether or not  the
school  district  issues  debt  for  such  expenditures,  subject to any
deduction pursuant to paragraph d  of  this  subdivision.  Such  assumed
amortization  shall  be  for  a  period  of  five years, and for the two
thousand  twenty-two--two  thousand   twenty-three   school   year   and
thereafter  such  assumed amortization for zero-emission school buses as
defined in section thirty-six hundred thirty-eight of this  article  and
related  costs  pursuant  to  paragraph  f of subdivision two of section
thirty-six hundred twenty-three-a of this article shall be for a  period
of  twelve  years,  and  shall  commence  twelve months after the school
district enters into a purchase contract or lease  of  the  school  bus,
charging  station,  hydrogen fueling station, or equipment, or a general
contract for the construction, reconstruction, lease or  purchase  of  a
transportation  storage  facility  or  site  in  an amount less than ten
thousand dollars. Such assumed  amortization  shall  provide  for  equal
semiannual  payments  of  principal  and  interest  based  on an assumed
interest  rate  established  by  the  commissioner  pursuant   to   this
paragraph.  By the first day of September of the current year commencing
with the two thousand five--two thousand six school  year,  each  school
district shall provide to the commissioner in a format prescribed by the
commissioner  such information as the commissioner shall require for all
capital debt incurred by  such  school  district  during  the  preceding
school  year  for  expenses  allowable  pursuant  to  subdivision two of
section thirty-six hundred twenty-three-a of this article. Based on such
reported amortizations and a methodology prescribed by the  commissioner
in  regulations, the commissioner shall compute an assumed interest rate
that shall equal the average of the interest rates applied to  all  such
debt  issued during the preceding school year. The assumed interest rate
shall be the interest rate of each such school  district  applicable  to
the  current  year  for  the  purposes  of  this  paragraph and shall be
expressed as a decimal to five places rounded to the nearest  eighth  of
one-one hundredth.
8.  a. Program approval requirements. Any school district receiving an
additional apportionment pursuant to subdivision ten of this section for
pupils in career education  programs  or  a  payment  in  lieu  of  such
apportionment  or  having  a public excess cost aid setaside pursuant to
subdivision four of this section shall use the total funds  attributable
to  such  pupils  for  locally  administered programs for such pupils in
accordance with regulations issued by the commissioner. Such regulations

shall provide for the use of such funds in the manner determined by  the
commissioner  to be the most educationally advantageous for such pupils.
The commissioner shall require the submission of  such  reports  as  are
necessary to assure accountability for the use of such funds. A district
which  spends any part of its total annual apportionment attributable to
such pupils in an unauthorized manner in the base year  shall  have  its
current  year  apportionment  reduced by the amount of such unauthorized
expenditures in the base year.
b. District  plans  of  service.  Any  school  district  receiving  an
additional apportionment pursuant to subdivision ten of this section for
pupils  in  career  education  programs  or  a  payment  in lieu of such
apportionment or having a public excess cost aid  setaside  pursuant  to
subdivision  four  of this section shall keep on file and make available
for public inspection and review by the commissioner an acceptable  plan
of  service describing the student outcomes expected from implementation
of the proposed plan, provided that such plan may be incorporated into a
school district's district-wide comprehensive plan. The plan of  service
of  a  school district receiving an additional apportionment pursuant to
this section for pupils with disabilities shall also describe  how  such
district  intends  to ensure that all instructional materials to be used
in the schools of such district will  be  made  available  in  a  usable
alternative  format  for  each  student  with  a disability and for each
student who is a qualified individual with a  disability,  at  the  same
time  as  such  instructional  materials  are  available to non-disabled
students, provided that such  plan  may  incorporate  by  reference  the
alternative format plans developed pursuant to subdivision twenty-nine-a
of section sixteen hundred four, subdivision four-a of section seventeen
hundred  nine,  subdivision seven-a of section twenty-five hundred three
or subdivision seven-a of section twenty-five hundred fifty-four of this
chapter. Such plans shall be in a form prescribed by  the  commissioner,
and  except as heretofore provided, shall have the content prescribed by
the commissioner. The commissioner  may,  from  time  to  time,  require
amendments  of  such  plans as deemed to be necessary and appropriate to
further the educational welfare of the pupils involved.
9. Aid for conversion to full day kindergarten. School  districts  may
make  available  full day kindergarten programs for all children wishing
to attend such programs.
a. For aid payable in  the  two  thousand  seven--two  thousand  eight
school year and thereafter, school districts which provided any half-day
kindergarten  programs  or  had no kindergarten programs in the nineteen
hundred ninety-six--ninety-seven school year and in the base  year,  and
which  have  not received an apportionment pursuant to this paragraph in
any prior school year, shall be eligible for aid equal to the product of
the  district's  selected  foundation   aid   calculated   pursuant   to
subdivision  four  of this section multiplied by the positive difference
resulting  when  the  full  day  kindergarten  enrollment  of   children
attending  programs  in the district in the base year is subtracted from
such enrollment in the current year.
b. Notwithstanding the provisions of paragraph a of this  subdivision,
school  districts  that  have received an apportionment pursuant to this
subdivision  in  a  prior  school  year  shall  be   eligible   for   an
apportionment   where   the   department  grants  a  waiver  upon  cause
satisfactory  to  the  department,  including  but   not   limited   to,
satisfactory  demonstration  of significant economic hardship that would
impact the school district's ability to provide  full  day  kindergarten
for all children wishing to attend such programs. No school district may
be granted such a waiver more than once.
c.  Notwithstanding the provisions of paragraph a of this subdivision,
school districts receiving an apportionment pursuant to paragraph  a  of
this  subdivision in the two thousand eighteen--two thousand nineteen or
two thousand nineteen--two thousand twenty school year shall be eligible
for  (A)  an  apportionment  in  the  following school year equal to the
product of sixty-five percent multiplied by  the  aid  received  by  the
district pursuant to paragraph a of this subdivision in the prior school
year,  and  (B)  an apportionment in the school year after the following
year equal to the product of thirty-five percent multiplied by  the  aid
received  by the district pursuant to paragraph a of this subdivision in
the year preceding the prior year.
10. Special services aid for large city  school  districts  and  other
school  districts  which  were  not components of a board of cooperative
educational services in the base year. a. The city school  districts  of
those  cities  having  populations  in excess of one hundred twenty-five
thousand and any other school district which was not a  component  of  a
board  of  cooperative  educational  services  in the base year shall be
entitled to an apportionment under the provisions of this section.
b. Aid for career education. There shall be apportioned to  such  city
school districts and other school districts which were not components of
a  board of cooperative educational services in the base year for pupils
in grades ten through twelve in attendance in career education  programs
as  such  programs  are  defined  by  the  commissioner, subject for the
purposes of this paragraph to  the  approval  of  the  director  of  the
budget,  an amount for each such pupil to be computed by multiplying the
career education aid ratio by three thousand nine hundred dollars.  Such
aid  will  be  payable  for  weighted  pupils attending career education
programs operated by the school district and  for  weighted  pupils  for
whom   such   school  district  contracts  with  boards  of  cooperative
educational services to attend career education programs operated  by  a
board  of  cooperative  educational  services.  Weighted  pupils for the
purposes of this paragraph shall mean  the  sum  of  the  attendance  of
students  in  grades ten through twelve in career education sequences in
trade, industrial, technical, agricultural or health programs  plus  the
product  of  sixteen hundredths multiplied by the attendance of students
in grades ten through twelve in career education sequences  in  business
and  marketing as defined by the commissioner in regulations. The career
education aid ratio shall  be  computed  by  subtracting  from  one  the
product  obtained  by  multiplying  fifty-nine  percent  by the combined
wealth ratio. This aid ratio shall be expressed as a decimal carried  to
three places without rounding, but not less than thirty-six percent.
Any school district that receives aid pursuant to this paragraph shall
be  required  to use such amount to support career education programs in
the current year.
A board of education which spends less than its local funds as defined
by regulations of the commissioner for career education in the base year
during  the  current  year  shall  have  its  apportionment  under  this
subdivision reduced in an amount equal to such deficiency in the current
or  a succeeding school year, provided however that the commissioner may
waive such reduction upon determination that  overall  expenditures  per
pupil  in support of career education programs were continued at a level
equal to or greater than the level  of  such  overall  expenditures  per
pupil in the preceding school year.
c. Computer administration aid for large city school districts and any
other  school  district  which  was  not  a  component  of  a  board  of
cooperative educational services in  the  base  year.  The  city  school
districts  of  those  cities having populations in excess of one hundred
twenty-five thousand inhabitants and any other school district which was

not a component of a board of cooperative educational  services  in  the
base  year shall be eligible for an apportionment in accordance with the
provisions of this subdivision. Such districts shall be entitled  to  an
additional  apportionment  computed  by  multiplying  the  lesser of (1)
expenses for approved computer services in the  base  year  or  (2)  the
maximum  allowable expense equal to the product of sixty-two dollars and
thirty cents and the enrollment of pupils attending the  public  schools
of  such  district in the base year, by the computer expenses aid ratio.
The computer expenses aid ratio shall be computed  by  subtracting  from
one  the  product  obtained  by  multiplying fifty-one per centum by the
combined wealth ratio. This aid ratio shall be expressed  as  a  decimal
carried  to  three  places  without rounding, but shall not be less than
thirty per centum. Expenses for approved computer services in  the  base
year  up to the maximum allowable expense shall not be used to claim aid
pursuant to any other provisions of this section.
d. Aid for academic improvement. There shall be  apportioned  to  such
city  school  districts  and  other  school  districts  which  were  not
components of a board of cooperative educational services  in  the  base
year,  an  amount  per pupil for each pupil eligible for aid pursuant to
paragraph b of this subdivision to be computed by multiplying the career
education aid ratio computed  pursuant  to  such  paragraph  b  of  this
subdivision  by the sum of (1) one hundred dollars plus (2) the quotient
of one thousand dollars divided by the lesser of  one  or  the  combined
wealth ratio. Aid for academic improvement shall be unrestricted general
aid available to support any academic programs of the school district.
e.  Career  education  data  collection. Beginning in the two thousand
seventeen--two thousand eighteen  school  year  the  commissioner  shall
collect  data from school districts receiving aid under this subdivision
on the number of students in the base year that are in  grade  nine  and
enrolled  in  career  education  courses  in trade/industrial education,
technical  education,   agricultural   education,   health   occupations
education, business and marketing education, family and consumer science
education,  and  technology education programs in a manner prescribed by
the commissioner.
11. Employment Preparation Education Programs. a. School districts and
boards of cooperative educational services  (BOCES)  providing  approved
programs  shall be eligible for aid in accordance with the provisions of
this subdivision for the attendance of persons twenty-one years  of  age
or  over  who  have  not received a high school diploma or a high school
equivalency diploma recognized by New York State who  attend  employment
preparation  education  programs  provided  by  such school districts or
BOCES, which programs lead to a  high  school  diploma  or  high  school
equivalency  diploma as defined in regulations of the commissioner, even
if such persons attend regular day school classes with permission of the
board  of  education;  provided  that  such  programs  are  provided  in
accordance  with  a  plan  of  service  approved  by the commissioner in
accordance with the provisions of paragraph f of this subdivision.  Such
programs  may  operate between July first and June thirtieth of a school
year. Whenever a person enrolls in a program approved pursuant  to  this
subdivision  offered by a BOCES or in a school district other than their
district of residence, the program provider shall send a notice of  such
enrollment  to  the persons district of residence, and shall issue a new
notice if such person moves from one district to another. In  the  event
that  the cost of a program approved and provided in accordance with the
provisions of this subdivision exceeds all sources of funds, other  than
tax  levy  revenues,  which  are  available to defray such expenses, the
school district or BOCES  providing  such  program  shall  determine  an
excess  cost  per  contact  hour provided during the base year, and then

shall determine the local share of such excess  costs  for  each  school
district whose residents were served by such program by multiplying such
base  year  hours  by  the  excess cost per contact hour, and such local
share  shall  be  a  charge  against  each such district, payable within
forty-five days. Notwithstanding  the  provisions  of  section  nineteen
hundred  fifty of this chapter, a BOCES shall be authorized to provide a
program pursuant to this subdivision in the  same  manner  as  a  school
district.
a-1.   Notwithstanding   the   provisions   of  paragraph  a  of  this
subdivision, for aid payable  in  the  school  years  two  thousand--two
thousand  one  through  two  thousand  nine--two  thousand  ten, and two
thousand   eleven--two   thousand   twelve    through    two    thousand
twenty-four--two thousand twenty-five, the commissioner may set aside an
amount  not to exceed two million five hundred thousand dollars from the
funds appropriated for purposes of this subdivision for the  purpose  of
serving  persons  twenty-one  years  of  age  or older who have not been
enrolled in any school for the preceding school year, including  persons
who  have  received  a  high  school  diploma or high school equivalency
diploma but  fail  to  demonstrate  basic  educational  competencies  as
defined  in  regulation  by  the commissioner, when measured by accepted
standardized tests, and who  shall  be  eligible  to  attend  employment
preparation education programs operated pursuant to this subdivision.
b.   Employment  preparation  education  hours.  For  the  purpose  of
computing an apportionment under the provisions of this subdivision, the
employment preparation education hours  shall  be  the  total  hours  of
instruction given by a teacher to all students enrolled in such approved
programs  between July first and June thirtieth of the current year. For
nontraditional modes of  instruction,  the  commissioner  may  establish
methods  of  determining  contact hours of instruction to be counted for
state aid purposes in  accordance  with  regulations  adopted  for  such
purpose.
c.  Employment  preparation  education  aid  ceiling.  The  employment
preparation education aid ceiling for the purposes of  this  subdivision
shall  be  the statewide average expense per pupil, as computed pursuant
to subdivision five of this section for aid payable in the current year,
divided by one thousand. Such result shall be computed to  two  decimals
without rounding.
d.   Employment   preparation  education  aid  ratio.  The  employment
preparation education aid ratio for the  purposes  of  this  subdivision
shall  be  determined  by  subtracting from one the product of the pupil
wealth ratio and forty per centum. The aid ratio shall be expressed as a
decimal to three places without rounding but  shall  not  be  less  than
forty  per  centum.  In  the  case  of  a BOCES, such aid ratio shall be
determined by computing a pupil wealth ratio for  the  BOCES  using  the
aggregate  actual  valuation  and  total  wealth  pupil  units  for  all
component districts of such BOCES,  but  shall  not  be  less  than  the
greater of forty per centum or the product of eighty-five per centum and
the highest such aid ratio determined for a component school district of
such BOCES.
e.  Employment preparation education apportionment. In addition to any
other aid payable under this section, the apportionment pursuant to this
subdivision  shall  be  the  product  obtained   when   the   employment
preparation  education  hours are multiplied by the aid per contact hour
which shall equal the product of the employment preparation program  aid
ceiling  and  the employment preparation education aid ratio computed to
two decimals, rounded, as calculated based on  data  on  file  with  the
commissioner  on  May  fifteenth  of  the base year. Notwithstanding the
provisions of section  thirty-six  hundred  nine-a  of  this  part,  the

payment  of  such  apportionment shall be based upon reports required by
the commissioner for the periods ending December thirty-first, and  June
thirtieth  of  each school year; payments for the first reporting period
shall be made after April first, based on claims on file by March first,
provided   that  the  total  of  all  such  payments  shall  not  exceed
twenty-five percent of  the  amount  for  such  school  year,  with  the
approved amount of such claims reduced on a pro rata basis if necessary;
the remainder of any payments due for the first period plus any payments
due  for  the rest of the school year shall be paid after October first,
based on claims on file by September fifteenth, provided that the  total
of such payments shall not exceed the total amount of ninety-six million
dollars  ($96,000,000) for such school year, with the approved amount of
such claims reduced on a pro rata basis if necessary, provided that  the
total  of  such  payment for services provided to persons who received a
high school diploma or a high school equivalency diploma  recognized  by
New  York  state  shall  not  exceed the total amount set aside for such
purpose pursuant to paragraph a-one of  this  subdivision  in  any  such
school  year,  with  the approved amount of such claims reduced on a pro
rata basis if necessary; and aid paid pursuant to this  paragraph  shall
not  be  included in the computation of the district expenditure need as
defined in such section thirty-six hundred  nine-a  of  this  part.  The
employment  preparation  education  apportionment  for  the  city school
district of the city of New York shall be computed only for the city  as
a whole.
f.  Approved  application.  All school districts and BOCES desiring to
operate an aidable program pursuant to this subdivision  shall  complete
an   application,   including   a  budget  by  program  component.  Such
application shall be in a form prescribed by the commissioner and  shall
be  submitted  not  later than May fifteenth of each school year. Within
forty-five  days  of  such  deadline,  and  upon  evaluation   of   such
applications,  the  commissioner shall notify school districts and BOCES
of those portions of such application that will be aidable in the school
year  ahead  after  making  a  determination  that  approval   of   such
application  will  assure maximum effectiveness, geographic availability
and lack of  duplication  of  such  programs,  support  for  educational
initiatives,  and  compliance with required program and fiscal reporting
requirements. No aid shall  be  payable  pursuant  to  this  subdivision
unless the application is approved by the commissioner.
g.  No  school  district  may  receive  under  the  provisions of this
subdivision an amount which when added to all other  state  and  federal
aid   received  by  such  school  district  for  the  purposes  of  this
subdivision, including tuition paid to  the  school  district  for  such
program,  exceeds  the  entire  cost  of  such  program  in  that  year.
Notwithstanding any other provision of this section to the contrary,  in
the  event  that  the  total revenue received exceeds the entire cost of
such program, any state aid payable to the  district  in  the  following
year shall be reduced in the amount of such excess.
h.  Attendance  of  students  in  such  approved programs shall not be
included in any other attendance counts of this section  and  shall  not
generate  aid under any other provision of this section or under section
nineteen hundred fifty of this chapter.
12. Academic enhancement aid. a. A school district that  as  of  April
first of the base year has been continuously identified as a district in
need  of improvement for at least five years shall, for the two thousand
eight--two thousand nine school  year,  be  entitled  to  an  additional
apportionment equal to the positive remainder, if any, of (a) the lesser
of  fifteen  million  dollars or the product of the total foundation aid
base, as defined by paragraph j of  subdivision  one  of  this  section,

multiplied by ten percent (0.10), less (b) the positive remainder of (i)
the  sum of the total foundation aid apportioned pursuant to subdivision
four of this section and the supplemental educational improvement grants
apportioned  pursuant to subdivision eight of section thirty-six hundred
forty-one of this article, less (ii) the total foundation aid base.
b. For the two thousand nine--two thousand ten  through  two  thousand
fourteen--two  thousand fifteen school years, each school district shall
be entitled to an apportionment equal to the amount set forth  for  such
school  district  as  "EDUCATION  GRANTS, ACADEMIC EN" under the heading
"2008-09 BASE YEAR AIDS" in the school aid computer listing produced  by
the commissioner in support of the budget for the two thousand nine--two
thousand  ten  school year and entitled "SA0910", and such apportionment
shall  be  deemed  to  satisfy  the  state  obligation  to  provide   an
apportionment  pursuant  to  subdivision  eight  of  section  thirty-six
hundred forty-one of this article.
c. For the two  thousand  fifteen--two  thousand  sixteen  year,  each
school  district  shall  be  entitled  to  an apportionment equal to the
amount set forth for such  school  district  as  "ACADEMIC  ENHANCEMENT"
under  the  heading  "2014-15 ESTIMATED AIDS" in the school aid computer
listing produced by the commissioner in support of the  budget  for  the
two  thousand  fourteen--two  thousand  fifteen school year and entitled
"SA141-5", and such apportionment shall be deemed to satisfy  the  state
obligation  to provide an apportionment pursuant to subdivision eight of
section thirty-six hundred forty-one of this article.
d. For the two thousand sixteen--two thousand seventeen  school  year,
each  school district shall be entitled to an apportionment equal to the
amount set forth for such  school  district  as  "ACADEMIC  ENHANCEMENT"
under  the  heading  "2015-16 ESTIMATED AIDS" in the school aid computer
listing produced by the commissioner in support of the  budget  for  the
two  thousand  fifteen--two  thousand  sixteen  school year and entitled
"SA151-6", and such apportionment shall be deemed to satisfy  the  state
obligation  to provide an apportionment pursuant to subdivision eight of
section thirty-six hundred forty-one of this article.
e. For the two thousand seventeen--two thousand eighteen school  year,
each  school district shall be entitled to an apportionment equal to the
amount set forth for such  school  district  as  "ACADEMIC  ENHANCEMENT"
under  the  heading  "2016-17 ESTIMATED AIDS" in the school aid computer
listing produced by the commissioner in support of the  budget  for  the
two  thousand  sixteen--two  thousand seventeen school year and entitled
"SA161-7", and such apportionment shall be deemed to satisfy  the  state
obligation  to provide an apportionment pursuant to subdivision eight of
section thirty-six hundred forty-one of this article.
f. For the two thousand eighteen--two thousand nineteen  school  year,
each  school district shall be entitled to an apportionment equal to the
amount set forth for such  school  district  as  "ACADEMIC  ENHANCEMENT"
under  the  heading  "2017-18 ESTIMATED AIDS" in the school aid computer
listing produced by the commissioner in support of the  budget  for  the
two  thousand  seventeen--two thousand eighteen school year and entitled
"SA171-8", and such apportionment shall be deemed to satisfy  the  state
obligation  to provide an apportionment pursuant to subdivision eight of
section thirty-six hundred forty-one of this article.
g. For the two thousand nineteen--two  thousand  twenty  school  year,
each  school district shall be entitled to an apportionment equal to the
amount set forth for such  school  district  as  "ACADEMIC  ENHANCEMENT"
under  the  heading  "2018-19 ESTIMATED AIDS" in the school aid computer
listing produced by the commissioner in support of the  budget  for  the
two  thousand  eighteen--two  thousand nineteen school year and entitled
"SA181-9", and such apportionment shall be deemed to satisfy  the  state

obligation  to provide an apportionment pursuant to subdivision eight of
section thirty-six hundred forty-one of this article.
h.  For  the two thousand twenty--two thousand twenty-one school year,
each school district shall be entitled to an apportionment equal to  the
amount  set  forth  for  such  school district as "ACADEMIC ENHANCEMENT"
under the heading "2019-20 ESTIMATED AIDS" in the  school  aid  computer
listing  produced  by  the commissioner in support of the budget for the
two thousand nineteen--two thousand  twenty  school  year  and  entitled
"SA192-0",  and  such apportionment shall be deemed to satisfy the state
obligation to provide an apportionment pursuant to subdivision eight  of
section thirty-six hundred forty-one of this article.
* i.  For  the two thousand twenty-one--two thousand twenty-two school
year through the two  thousand  twenty-three--two  thousand  twenty-four
school  year, each school district shall be entitled to an apportionment
equal to the amount set forth for  such  school  district  as  "ACADEMIC
ENHANCEMENT"  under  the  heading "2020-21 ESTIMATED AIDS" in the school
aid computer listing produced by the  commissioner  in  support  of  the
budget  for the two thousand twenty--two thousand twenty-one school year
and entitled "SA202-1",  and  such  apportionment  shall  be  deemed  to
satisfy  the  state  obligation  to provide an apportionment pursuant to
subdivision eight  of  section  thirty-six  hundred  forty-one  of  this
article.
* NB Effective until July 1, 2024
* i.  For  the two thousand twenty-one--two thousand twenty-two school
year through the  two  thousand  twenty-four--two  thousand  twenty-five
school  year, each school district shall be entitled to an apportionment
equal to the amount set forth for  such  school  district  as  "ACADEMIC
ENHANCEMENT"  under  the  heading "2020-21 ESTIMATED AIDS" in the school
aid computer listing produced by the  commissioner  in  support  of  the
budget  for the two thousand twenty--two thousand twenty-one school year
and entitled "SA202-1",  and  such  apportionment  shall  be  deemed  to
satisfy  the  state  obligation  to provide an apportionment pursuant to
subdivision eight  of  section  thirty-six  hundred  forty-one  of  this
article.
* NB Effective July 1, 2024
13.    Youth    incarcerated   in   county   correctional   facilities
apportionment.  a. In addition to any  other  apportionment  under  this
section,  a  school  district shall be eligible for an apportionment for
current year educational services provided between July first  and  June
thirtieth to youth incarcerated in correctional facilities maintained by
a  county  or  the city of New York or in a youth shelter, as defined in
paragraph f of subdivision seven of section thirty-two  hundred  two  of
this  chapter,  pursuant  to  subdivision  seven  of  section thirty-two
hundred two of this chapter. Such apportionment shall not exceed the sum
of the following:   (i) for programs  which  operate  between  September
first  and  June  thirtieth,  the  product of the district's expense per
pupil and the number of pupils in  full-time  equivalent  attendance  as
defined  in  regulations  of  the commissioner multiplied by one hundred
twenty-five per centum plus (ii) for programs which operate between July
first and June thirtieth, the product  of  the  district's  expense  per
pupil  and  the  number  of  pupils  in full-time equivalent attendance,
multiplied by one hundred fifty per centum. Such apportionment shall  be
in  accordance  with  regulations  promulgated  by  the commissioner and
approved by the director of the budget and shall be the  lesser  of  the
amount computed pursuant to this paragraph or the actual amount expended
by  the  district  for  such  approved educational services and approved
administrative costs as reported to the commissioner provided,  however,
that  the  minimum  allocation  in any school year for a school district

providing  educational  services  to  such  children  shall  be  fifteen
thousand dollars.  The educational costs for these children shall not be
otherwise  aidable or reimbursable under any provision of law; provided,
however,  that  a  city  school district which operates an academy or an
alternative high school  at  such  a  facility,  may  elect  to  receive
applicable  aid  pursuant to other provisions of this section in lieu of
any aid under this subdivision.
b. Notwithstanding the provisions of section thirty-six hundred nine-a
of this part, the payment  of  such  apportionment  shall  be  based  on
reports  required  by  the  commissioner for the periods ending November
thirtieth, March thirty-first and June thirtieth of  each  school  year.
For  the city school district of the city of New York, computations made
pursuant to this subdivision shall be computed on a city-wide basis.
d.  The  commissioner  shall  adopt  regulations  to   implement   the
provisions of this subdivision.
14.  Limitations on the apportionment. The apportionment to any school
district during any school  year  shall  be  subject  to  the  following
provisions:
a.  District subject to reorganization. (1) No apportionments pursuant
to subdivision six of this section shall be paid to any school  district
which  is  scheduled  for  reorganization pursuant to the state plan for
school district reorganization, unless there shall have been  compliance
with this paragraph.
(2)  In order to obtain an apportionment under subdivision six of this
section for a district scheduled for reorganization and not reorganized,
such  district  shall  file  with  the  commissioner  a  formal  written
application  therefor,  (a)  showing  (i)  inadequacy or obsolescence of
present facilities, and (ii)  that  such  construction  for  which  such
apportionment  is sought would be capable of substantial educational use
by the  reorganized  district  in  case  the  reorganization  under  the
existing  plan  of  reorganization is effected, and that it will provide
more efficient and  more  economical  educational  facilities  for  such
reorganized  district  in the best educational interests of the children
in the reorganized school district or (b) showing that such district has
adopted a resolution or resolutions in accordance with sections eighteen
hundred one through eighteen hundred three of this chapter in  favor  of
such  reorganization  and  is  being  prevented from reorganizing by the
action  of  another  district  which  is  part  of  the  same  plan   of
reorganization.  The  commissioner  shall  within ninety days grant such
apportionment or deny such apportionment with leave to the  district  to
petition  for  a  formal hearing. Such hearing shall be held pursuant to
the procedures provided in subdivision three of  section  three  hundred
fourteen of this chapter.
(3)  (a)  Within  sixty  days  after such hearing is concluded and all
papers in relation thereto are submitted, the commissioner shall  render
a  preliminary  finding  recommending  whether  a  change  is warranted,
setting  forth  his  findings  and  conclusions  which  shall  be  based
exclusively  on  the evidence presented at the hearing. The commissioner
shall recommend the amendment or  confirmation  of  the  state  plan  in
accordance  with  his  preliminary  finding  by a report made by him and
entered in his office.   The commissioner shall serve  a  copy  of  such
preliminary  finding  upon  the  clerk  or in the event that there is no
clerk, the trustee or trustees of the school districts  located  in  the
affected  area  or  areas. In the event that such districts do not agree
with such preliminary findings, the school  districts  affected  by  the
terms  of  such  preliminary finding may within thirty days apply to the
chancellor of the board of regents for the appointment of a committee of
the regents to review the proposed  amendment  or  confirmation  of  the

state  plan.  In  the event that an application to the chancellor is not
made within thirty days for  the  appointment  of  a  committee  of  the
regents,  the  preliminary finding shall become an order without further
action of the commissioner.
(b)  Upon  receipt of such application, the chancellor shall appoint a
committee of three members of the regents, one of whom shall be a regent
whose judicial district includes all or part of the areas affected.  The
committee of regents shall review the proposed amendment or confirmation
of  the  state plan. In the event the committee is unable to resolve the
differences between the commissioner and such school districts, it shall
within sixty days from the date of the appointment  of  such  committee,
make  an  order  reversing,  affirming, or modifying, wholly or in part,
such preliminary finding of the commissioner and amending or  confirming
the  state  plan  setting forth the committee's findings and conclusions
which shall be based  exclusively  on  the  evidence  presented  at  the
commissioner's  hearing  and  any  additional  evidence presented at the
committee's review. The committee shall have the  discretion  to  permit
additional evidence to be presented by any party. The commissioner shall
serve  a  copy  of such order upon the clerk or in the event there is no
clerk, the trustee or trustees of the school districts  located  in  the
affected area or areas.
(c)  Such  order  of the committee of the regents shall be binding and
final and subject to review pursuant to  article  seventy-eight  of  the
civil  practice  law  and  rules.  The scope of review shall include the
question whether the determination is on the entire record supported  by
substantial evidence.
(d)  The commissioner shall establish and promulgate rules of practice
and procedures in connection with such hearings, shall provide  for  the
attendance  of  the hearing officer, regulate the course of the hearing,
fix the time for filing of briefs and other documents, provide a hearing
stenographer and for the making of a record as well as the making  of  a
full  transcript  of  all  proceedings  at  the hearing and shall at the
request of any party, school district or interested person have prepared
and furnish a copy of the transcript or any party thereof  upon  payment
of the costs therefor.
(e) School districts designated in the established plan by an order of
the  committee  of  the regents shall be made parties by the petitioning
district. Districts which may be affected by  the  proposed  change  may
join or be joined in such proceeding by the commissioner or any party.
(4)  Notwithstanding the provisions of subparagraphs one through three
of this  paragraph,  any  such  district  which  has  qualified  for  an
apportionment  for  school building purposes, under laws in effect prior
to the date this act takes effect, shall receive an apportionment  under
subdivision  six  of  this  section;  and provided, further, that no new
apportionment shall be paid and the commissioner shall not  approve  any
new expenditures for school building purposes in any such district after
such  date,  except  where  the commissioner has made a determination as
herein provided.
(5) Nothing herein provided shall prevent a school district which  has
heretofore  been  denied  an  apportionment  subsequent  to  July first,
nineteen hundred sixty-two from making an application hereunder,  except
that   any  such  apportionment  which  may  be  granted  shall  not  be
retroactive beyond July first, nineteen hundred sixty-two.
c.   Incentive   building   aid   for   reorganized   districts.   (1)
Notwithstanding  the  provisions  of  this section, whenever two or more
school districts are scheduled for reorganization  pursuant  to  section
three  hundred  fourteen  of this chapter and whenever after July first,

nineteen hundred sixty-five all such school districts  so  scheduled  do
reorganize, and
(i) whenever such proposed reorganization includes at least two school
districts, each of which maintains its own high school, or
(ii)  where  such  proposed  reorganization  includes  only one school
district maintaining its own high school, whenever  in  such  case  such
proposed reorganization, in addition to such school district maintaining
its own high school, includes at least nine other school districts, or
(iii)  whenever  such  proposed  reorganization  includes at least two
central school districts, or
(iv) where such proposed reorganization includes at least  one  school
district  maintaining  its  own  high  school  and, in addition thereto,
includes at least one school district employing eight or more  teachers,
or
(v)   where  such  proposed  reorganization  includes  a  city  school
district, and in addition thereto, includes at least seven other  school
districts, or
(vi)  where  such proposed reorganization includes at least two school
districts employing eight or more teachers forming a central high school
district pursuant to section nineteen hundred thirteen of this  chapter,
beginning  with  July  first,  nineteen  hundred sixty-five or the first
school year of operation as a reorganized district after such date, such
reorganized  school  district  shall  be  entitled  to   an   additional
apportionment  of  twenty-five  per  centum  of  the  sum  of:  (A)  its
apportionment as provided in subdivision six of  this  section  whenever
such  apportionment  is  computed on the basis of its approved base year
expenditures for capital outlay from its general, capital, or a  reserve
fund  incurred prior to July first, two thousand one, or on the basis of
its approved base year expenditures for capital outlay from its general,
capital or a reserve fund incurred in the two thousand one--two thousand
two school year and computed pursuant to subdivision six of this section
as if such expenditures were aidable under such subdivision, and current
year approved expenditures for debt service for school building purposes
and (B) its  apportionment  as  provided  in  subdivision  six  of  this
section,  the  general contracts for which shall have been awarded on or
after the date this act takes  effect  and  prior  to  July  first,  two
thousand  ten,  or  prior  to July first, two thousand twelve where such
general contracts  are  for  projects  with  complete  final  plans  and
specifications  filed  for  approval with the commissioner prior to July
first, two thousand ten, or within ten years from the effective date  of
reorganization,  whichever  is  later  as provided in subdivision six of
this section, and which said sum shall be payable  for  and  during  the
terms  of  any  indebtedness  created  for the purpose of financing such
construction or other facility as aforesaid, provided however,  that  in
no  event  may  the  total  apportionment  under  this  paragraph, under
subdivision twelve of  section  thirty-six  hundred  forty-one  of  this
article,  and  under  subdivisions six and six-f of this section for any
project exceed the product of (1) ninety-eight percent for a  high  need
school  district,  as defined pursuant to guidelines of the commissioner
for the two thousand five--two thousand six school year, for all  school
building  projects  approved  by the voters of the school district or by
the board of education of a city school district in  a  city  with  more
than one hundred twenty-five thousand inhabitants, and/or the chancellor
in  a  city school district in a city having a population of one million
or more, on or after July first, two thousand five, or  ninety-five  per
cent   for  any  other  school  building  project  or  school  district,
multiplied by (2) the sum of the base  year  approved  expenditures  for
capital  outlay  for  school  building  purposes  from the general fund,

capital  fund  or  from  a  reserve  fund,  and  current  year  approved
expenditures for debt service for such purposes for such project.
(2)  Notwithstanding  any provisions of this paragraph and paragraph d
of  this  subdivision  to  the  contrary,  the  commissioner  is  hereby
authorized,  in  addition to any other state aid apportionments to which
such district may be entitled under the provisions of this  chapter,  to
make  the  additional  reorganization incentive aid payments provided by
such paragraphs, in the amounts, and in the manner provided therein,  to
central  school  district  number  one  of  the  towns of Brookhaven and
Smithtown, Suffolk county, as if such newly  reorganized  district  were
included in the various categories of reorganization referred to in such
paragraphs.
(4)  In the event a school district is eligible for incentive building
aid and again reorganizes pursuant  to  a  new  plan  of  reorganization
established by the commissioner, and where such new reorganization shall
again  become  eligible  for  incentive building aid, no project of such
district shall be entitled to more than one such additional  twenty-five
percent  apportionment.  The  latest date provided in this paragraph for
the awarding of  general  contracts  shall  also  apply  to  any  school
district  subject  to  chapter  five hundred eighty-eight of the laws of
nineteen  hundred  sixty-six  as  amended,  notwithstanding  such   date
provided in such chapter.
d.  Incentive operating aid for reorganized districts. Notwithstanding
the provisions of paragraphs a through c of this  subdivision,  whenever
two  or  more school districts are scheduled for reorganization pursuant
to section three hundred fourteen of this chapter,  and  whenever  after
July  first,  two thousand seven, all such school districts so scheduled
do reorganize in accordance with the provisions of  such  section  three
hundred  fourteen, as amended by chapter seven hundred forty-five of the
laws of nineteen hundred sixty-five, and
(1) whenever such proposed reorganization includes at least two school
districts, each of which maintains its own high school, or
(2) where  such  proposed  reorganization  includes  only  one  school
district  maintaining  its  own  high school, whenever in such case such
proposed reorganization, in addition to such school district maintaining
its own high school, includes at least nine other school districts, or
(3) whenever  such  proposed  reorganization  includes  at  least  two
central school districts, or
(4)  where  such  proposed reorganization includes at least one school
district maintaining its own  high  school  and,  in  addition  thereto,
includes  at least one school district employing eight or more teachers,
or
(5)  where  such  proposed  reorganization  includes  a  city   school
district,  and in addition thereto, includes at least seven other school
districts, or
(6) where such reorganization includes at least two  school  districts
employing  eight or more teachers forming a central high school district
pursuant to section nineteen hundred  thirteen  of  this  chapter,  such
reorganized  district  shall be entitled to an apportionment equal to an
additional percent of the apportionment computed in accordance with  the
provisions  of  paragraph  d-1 of this subdivision; but in no case shall
the sum of such apportionment under this  paragraph  plus  the  selected
operating  aid  per pupil be more than a total of ninety-five per centum
of the year prior to the base year approved  operating  expense;  for  a
period  of  five years beginning with the first school year of operation
as a  reorganized  district  such  additional  percent  shall  be  forty
percent;  and  thereafter such additional forty percent apportionment to
such district shall be reduced by  four  percentage  points  each  year,

beginning  with  the  sixth  school  year  of operation as a reorganized
district,  and  continuing   until   such   additional   forty   percent
apportionment   is   eliminated;   provided,  however,  that  the  total
apportionment  to  such  reorganized  district, beginning with the first
school year of operation as a reorganized district, and for a period  of
fifteen  years  thereafter,  shall  be  not  less  than  the  sum of all
apportionments computed  in  accordance  with  the  provisions  of  this
paragraph  plus  the  apportionment  computed  in  accordance  with  the
provisions of paragraph d-1 of  this  subdivision  that  each  component
school  district was entitled to receive and did receive during the last
school year preceding such first year  of  operation.  In  the  event  a
school  district  is  eligible  for  incentive  operating  aid and again
reorganizes pursuant to a new plan or reorganization established by  the
commissioner,  and  where  such new reorganization is again eligible for
incentive operating aid, the newly  created  school  district  shall  be
entitled  to  receive incentive operating aid pursuant to the provisions
of this paragraph, based on all school districts included  in  any  such
reorganization, provided, however, that incentive operating aid payments
due because of any such former reorganization shall cease.
* d-1.  For  purposes  of  paragraph  d of this subdivision, "selected
operating aid per pupil" shall mean the apportionment computed  for  the
2006-07  school  year, based on data on file with the commissioner as of
the date upon which an electronic data file was created for the purposes
of compliance with paragraph b  of  subdivision  twenty-one  of  section
three  hundred  five  of  this  chapter  on  February fifteenth, as: the
product of (i) the state sharing ratio calculated pursuant to  paragraph
g  of  subdivision  three of this section and (ii) the sum of $3,900 and
the product of (a) the lesser of $8,000 or  the  expense  per  pupil  as
defined  in  subdivision  one  of  this section minus $3,900 and (b) the
greater of the quotient, computed to four decimals without rounding,  of
.075  divided  by  the  school district combined wealth ratio calculated
pursuant to paragraph c of subdivision three  of  this  section  or  7.5
percent,  but  not  less than $400, and the selected apportionment shall
mean the product of the district's total aidable pupil units  calculated
pursuant  to  subdivision two of this section and the selected operating
aid per pupil as calculated pursuant to the provisions contained herein.
* NB Effective until July 1, 2024
* d-1. For purposes of paragraph  d  of  this  subdivision,  "selected
operating  aid  per pupil" shall mean the apportionment computed for the
2006-07 school year, based on data on file with the commissioner  as  of
the date upon which an electronic data file was created for the purposes
of  compliance  with  paragraph  b  of subdivision twenty-one of section
three hundred five of  this  chapter  on  February  fifteenth,  provided
further  that  for  school  districts  which reorganize on or after July
first, two thousand twenty-four, for purposes of  paragraph  d  of  this
subdivision,  "selected  operating  aid  per pupil" shall mean the total
foundation aid base, as defined pursuant to paragraph j  of  subdivision
one  of  this  section,  calculated  as  of  the  effective  date of the
reorganization.
* NB Effective July 1, 2024
f. For school districts which  reorganize  on  or  after  July  first,
nineteen  hundred  eighty-three,  the  percent increase in apportionment
pursuant to paragraph c of this subdivision  shall  be  thirty  provided
that such school districts meet all other requirements of the provisions
of  such paragraph c. All other requirements of paragraph c shall apply.
School districts which receive an  apportionment  under  this  paragraph
shall  not  be  eligible  for an apportionment under paragraph c or e of
this subdivision.
g. Whenever a school district is dissolved and portions of such former
district are added to more than one school district,  each  such  school
district  to  which  territory  is added shall in the first year only in
which such  district  educates  pupils  from  such  former  district  be
entitled  to  an  additional  apportionment under the provisions of this
paragraph, which apportionment shall  be  computed  in  accordance  with
regulations   of   the   commissioner   under   one   of  the  following
subparagraphs:
(1) the pupils received by each such district as a result of receiving
such new territory shall be added to all of the  pupil  counts  used  to
compute operating aid for such district, or
(2)  if such receiving district is receiving aid under an option other
than formula aid for such year, the additional aid shall be computed  by
dividing  the  operating aids base for such year by the pupil count used
for computing formula operating aid such district might  otherwise  have
received,  and  by  multiplying  such result by the number of additional
pupils received from such dissolved district who are then  residents  of
such receiving district.
j.  For  school  districts  which  reorganize  on or after July first,
nineteen hundred  ninety-two,  the  percent  increase  in  apportionment
pursuant  to  paragraph  c  of this subdivision shall be thirty provided
that such school districts meet all other requirements of the provisions
of such paragraph c. All other requirements of paragraph c shall  apply.
School  districts  which  receive  an apportionment under this paragraph
shall not be eligible for an apportionment under paragraph c, e or f  of
this subdivision.
15.  Voluntary interdistrict urban-suburban transfer program aid. a. A
school district which accepts pupils from  another  school  district  in
accordance   with  a  voluntary  interdistrict  urban-suburban  transfer
program designed to reduce racial isolation which  is  approved  by  the
commissioner  in  accordance  with  regulations  adopted by him for such
purpose shall be eligible for aid pursuant to this subdivision.
b. Definitions. (1) "Transfer  pupil  count"  shall  mean  the  public
school district enrollment in the current year through such program.
(2)  "Increase  in  aid"  shall  mean  the  product  of thirty-six and
one-half percent (0.365) and the positive remainder resulting  when  the
total  foundation  aid  base  is  subtracted from the current year total
foundation aid as defined in subdivision four of this section.
(3) "Aid paid per pupil" shall mean the aid computed  in  the  current
year  pursuant  to subdivision four of this section divided by the total
aidable foundation  pupil  units  for  total  foundation  aid,  computed
pursuant to paragraph g of subdivision two of this section.
(4)  "Formula  pupil margin" shall mean the increase in aid divided by
aid paid per pupil.
(5)  "Excess  transfer  pupils"  shall  mean  the  positive  remainder
resulting  when the formula pupil margin is subtracted from the transfer
pupil count.
(6) "Per pupil aid differential" shall  mean  the  positive  remainder
resulting  when  the  aid  paid  per  pupil  for such school district is
subtracted from the aid paid per pupil for the transfer pupil's district
of residence.
c. In addition to any other aid  computed  under  this  section,  such
school  district  shall be eligible to receive, for each excess transfer
pupil, an amount equal to the selected foundation aid for such  district
computed pursuant to subdivision four of this section.
d.  For  the  purposes  of  computing  transportation  aid pursuant to
subdivision  seven  of  this  section,  the   approved   cost   of   the
transportation  of  pupils in a voluntary interdistrict transfer program

approved by  the  commissioner  shall  be  used  in  computing  approved
transportation expense.
e.  In  addition  to  any  other aid computed under this section, such
school district shall be eligible to receive an amount equal to the  per
pupil aid differential multiplied by the transfer pupil count.
16. High tax aid.  * Each school district shall be eligible to receive
a  high  tax  aid  apportionment in the two thousand eight--two thousand
nine school year, which shall equal the greater of (i) the  sum  of  the
tier 1 high tax aid apportionment, the tier 2 high tax aid apportionment
and  the  tier  3  high tax aid apportionment or (ii) the product of the
apportionment  received  by  the  school  district  pursuant   to   this
subdivision  in  the two thousand seven--two thousand eight school year,
multiplied by the due-minimum factor, which shall equal,  for  districts
with an alternate pupil wealth ratio computed pursuant to paragraph b of
subdivision three of this section that is less than two, seventy percent
(0.70),  and  for all other districts, fifty percent (0.50). Each school
district shall be eligible to receive a high tax  aid  apportionment  in
the two thousand nine--two thousand ten through two thousand twelve--two
thousand  thirteen  school years in the amount set forth for such school
district as "HIGH TAX AID" under the heading "2008-09 BASE YEAR AIDS" in
the school aid computer listing produced by the commissioner in  support
of  the  budget  for the two thousand nine--two thousand ten school year
and entitled "SA0910".   Each  school  district  shall  be  eligible  to
receive  a  high tax aid apportionment in the two thousand thirteen--two
thousand  fourteen  through  two  thousand  twenty-three--two   thousand
twenty-four  school  years  equal  to  the greater of (1) the amount set
forth for such school district as  "HIGH  TAX  AID"  under  the  heading
"2008-09  BASE YEAR AIDS" in the school aid computer listing produced by
the commissioner in support of the budget for the two thousand nine--two
thousand ten school year and entitled "SA0910" or  (2)  the  amount  set
forth  for  such  school  district  as  "HIGH TAX AID" under the heading
"2013-14 ESTIMATED AIDS" in the school aid computer listing produced  by
the  commissioner  in  support  of  the executive budget for the 2013-14
fiscal year and entitled "BT131-4".
* NB Effective until July 1, 2024
* Each school district shall be eligible to receive  a  high  tax  aid
apportionment  in the two thousand eight--two thousand nine school year,
which shall equal the greater of (i) the sum of the tier 1 high tax  aid
apportionment, the tier 2 high tax aid apportionment and the tier 3 high
tax  aid apportionment or (ii) the product of the apportionment received
by the school district pursuant to this subdivision in the two  thousand
seven--two  thousand  eight  school  year, multiplied by the due-minimum
factor, which shall equal, for districts with an alternate pupil  wealth
ratio  computed  pursuant  to  paragraph  b of subdivision three of this
section that is less than two, seventy percent (0.70), and for all other
districts, fifty percent (0.50). Each school district shall be  eligible
to  receive  a  high tax aid apportionment in the two thousand nine--two
thousand ten through two thousand twelve--two thousand  thirteen  school
years in the amount set forth for such school district as "HIGH TAX AID"
under  the  heading  "2008-09 BASE YEAR AIDS" in the school aid computer
listing produced by the commissioner in support of the  budget  for  the
two  thousand  nine--two thousand ten school year and entitled "SA0910".
Each school district shall  be  eligible  to  receive  a  high  tax  aid
apportionment  in  the  two  thousand  thirteen--two  thousand  fourteen
through two thousand twenty-four--two thousand twenty-five  school  year
equal  to  the  greater  of  (1)  the  amount  set forth for such school
district as "HIGH TAX AID" under the heading "2008-09 BASE YEAR AIDS" in
the school aid computer listing produced by the commissioner in  support

of  the  budget  for the two thousand nine--two thousand ten school year
and entitled "SA0910" or (2)  the  amount  set  forth  for  such  school
district as "HIGH TAX AID" under the heading "2013-14 ESTIMATED AIDS" in
the  school aid computer listing produced by the commissioner in support
of the executive  budget  for  the  2013-14  fiscal  year  and  entitled
"BT131-4".
* NB Effective July 1, 2024
a.  Definitions.  (1)  "Residential real property tax levy" shall mean
the  school  tax  levy  imposed  on  residential   property,   including
condominium  properties, in the year commencing in the calendar year two
years prior to the calendar year in which the base year began. The final
update of such data shall be reported by the  commissioner  of  taxation
and  finance to the commissioner by February fifteenth of the base year.
The commissioner of taxation and  finance  shall  adopt  regulations  as
appropriate  to  assure  the  appropriate collection, classification and
reporting of such data for the purposes  of  paying  state  aid  to  the
schools.
(2)  "Adjusted gross income" shall mean the adjusted gross income of a
school district as used in computation of the district's alternate pupil
wealth ratio pursuant to  paragraph  b  of  subdivision  three  of  this
section,  provided,  however, that for the computation of apportionments
pursuant to this subdivision, the adjusted gross  income  of  a  central
high  school  district  shall  not  equal  the sum of the adjusted gross
income of each of its component school districts; and provided, further,
that commencing in calendar year two thousand twenty-two, New York state
lottery and video lottery gaming individual  prizes  in  excess  of  one
million  dollars  that  when aggregated exceeds twenty-five percent of a
district's adjusted gross income shall be  excluded  from  a  district's
adjusted  gross  income  for  the year. The commissioner of taxation and
finance shall determine the amount of this exclusion based on the annual
report of New York state lottery and  video  lottery  gaming  individual
prizes  in  excess  of  one  million  dollars  produced  by  the  gaming
commission pursuant to paragraph  three  of  subdivision  c  of  section
sixteen hundred four of the tax law.
(3)  "Tax  effort  ratio"  shall  mean  the quotient of the district's
residential real property tax levy divided by  the  district's  adjusted
gross income computed to five decimals without rounding.
(4)  "Tier  1 eligible school district" shall mean any school district
in which (i) the income wealth index, as computed pursuant to  paragraph
d  of  subdivision three of this section, is less than two and one-half,
and (ii) the expense per pupil, as computed pursuant to paragraph  f  of
subdivision  one  of this section, is greater than the statewide average
expense per pupil as computed  pursuant  to  subdivision  five  of  this
section,  and  (iii)  the  tax  effort  ratio  is greater than three and
two-tenths percent (0.032). For the  two  thousand  eight--two  thousand
nine  school  year,  for  the  purpose of computing aid pursuant to this
subdivision, the statewide  average  expense  per  pupil  shall  be  ten
thousand six hundred fifty dollars.
(5)  "Tier  2 eligible school district" shall mean any school district
in which the tax effort ratio is greater than five percent.
(6) "Tier 3 eligible school district" shall mean any  school  district
in  which  (i)  the  quotient  of (a) the actual valuation of the school
district divided by its total wealth pupil units  computed  pursuant  to
subparagraph  one  of  paragraph a of subdivision three of this section,
divided by (b) the adjusted gross income of a school district divided by
its total wealth pupil units computed pursuant to  subparagraph  one  of
paragraph  b  of subdivision three of this section, is greater than four
and sixty-two hundredths (4.62), (ii) the combined wealth ratio computed

pursuant to subparagraph one of paragraph c of subdivision three of this
section is less than six, and (iii) the regional cost  index  determined
pursuant  to subparagraph two of paragraph a of subdivision four of this
section is greater than one and three-tenths (1.3).
b.  Tier  1 high tax aid apportionment. For any tier 1 eligible school
district, the tier 1 high tax aid apportionment shall be the greater  of
(1) the product of the public school district enrollment of the district
in  the base year, as computed pursuant to subparagraph two of paragraph
n of subdivision one of this section, multiplied by the product of  four
hundred  fifty dollars multiplied by the state sharing ratio, or (2) one
hundred thousand dollars.
c. Tier 2 high tax aid apportionment. For any tier 2  eligible  school
district,  the tier 2 high tax aid apportionment shall be the product of
(i) the public school district enrollment of the district  in  the  base
year,  as  computed  pursuant  to  subparagraph  two  of  paragraph n of
subdivision  one  of  this  section,  multiplied  by  (ii)  one  hundred
eighty-one   thousandths   (0.181)  multiplied  by  (iii)  the  positive
difference, if any, of the expense per pupil, as  computed  pursuant  to
paragraph  f  of  subdivision one of this section, less ten thousand six
hundred sixty dollars, multiplied by  (iv)  an  aid  ratio  computed  by
subtracting  from  one the product obtained by multiplying the alternate
pupil wealth ratio computed pursuant to subparagraph one of paragraph  b
of  subdivision  three  of  this  section  by  sixty  percent, provided,
however, that such aid ratio shall not be less  than  zero  nor  greater
than one, multiplied by (v) the regional cost index.
d.  Tier  3 high tax aid apportionment. For any tier 3 eligible school
district, the tier 3 high tax aid apportionment shall be the product  of
(i)  the  public  school district enrollment of the district in the base
year, as computed  pursuant  to  subparagraph  two  of  paragraph  n  of
subdivision  one  of this section, multiplied by (ii) fifty-two dollars,
multiplied by (iii) the regional cost index.
17. Gap elimination adjustment. a. Notwithstanding any other provision
of law to the contrary, the commissioner shall reduce  payments  due  to
each  district  for  the two thousand eleven--two thousand twelve school
year and thereafter pursuant to section  thirty-six  hundred  nine-a  of
this  article  by  an  amount  equal  to  the gap elimination adjustment
computed for such district, and  such  amount  shall  be  deducted  from
moneys  apportioned  for  the purposes of payments made pursuant to such
section thirty-six hundred nine-a and if the reduction is  greater  than
the  sum  of the amounts available for such deductions, the remainder of
the reduction shall be withheld from payments scheduled to  be  made  to
the  district  pursuant  to  section  thirty-six  hundred nine-a for the
following school year, and provided further that an amount equal to  the
amount  of  such  deduction  shall  be  deemed  to have been paid to the
district pursuant to this section for the  school  year  in  which  such
deduction  is  made. The commissioner shall compute such gap elimination
adjustment and shall provide a schedule of such reduction in payments to
the state comptroller, the director of the  budget,  the  chair  of  the
senate  finance  committee  and the chair of the assembly ways and means
committee.
b. The gap elimination adjustment for  the  two  thousand  eleven--two
thousand  twelve  school  year shall be computed as follows, based on an
updated electronic  date  file  containing  actual  and  estimated  data
relating  to apportionments due and owing during the current school year
and projections of such apportionments for the following school year  to
school districts and boards of cooperative educational services from the
general  support  for  public  schools, growth and boards of cooperative
educational services appropriations produced pursuant to paragraph b  of

subdivision  twenty-one of section three hundred five of this chapter on
February fifteenth of the base year. The gap elimination adjustment  for
a district shall equal the lesser of the district's percentage reduction
and  its  TGFE  check, provided, however, that in the case of a district
with a tax effort ratio greater than four percent (0.04) and a  combined
wealth  ratio for total foundation aid computed pursuant to subparagraph
two of paragraph c of subdivision three of this  section  that  is  less
than  one  and  five-tenths  (1.5), the gap elimination adjustment for a
district shall equal the lesser of the percentage  reduction,  the  TGFE
check  and  the  tax  effort reduction, and further provided that in the
case of a school district, other than a city school district of  a  city
having  a population in excess of one hundred twenty-five thousand, with
(A) an administrative efficiency ratio of less than one and eight-tenths
percent (0.018) and (B) an administrative expense per pupil of less than
three hundred forty-eight dollars ($348), the gap elimination adjustment
shall be reduced by an amount equal  to  the  administrative  efficiency
restoration,  and  further  provided  that,  where  applicable,  the gap
elimination adjustment shall be reduced by an amount equal to the sum of
the  needs-based  restoration  plus  the  low  wealth-high  tax   effort
restoration plus the enrollment adjustment award.
(i)  The  percentage  reduction shall be the sum of (A) the product of
the total aid for adjustment, multiplied by six and four-tenths  percent
(0.064),  and  (B)  the  product  of  four thousand four hundred dollars
($4,400) multiplied by the reduction factor, multiplied  by  the  public
school  district  enrollment  for  the  base  year  computed pursuant to
subparagraph two of paragraph n of  subdivision  one  of  this  section,
provided, however, that such percentage reduction shall not be less than
the  product  of  nine  and  one-half percent (0.095) multiplied by such
total aid for adjustment, and not more than the  product  of  twenty-one
and  four-tenths  percent  (0.214)  multiplied  by  such  total  aid for
adjustment.
(ii) The tax effort reduction shall be the product of  the  total  aid
for  adjustment,  multiplied  by  the  quotient  of twenty-three percent
(0.23) divided by the quotient of the tax effort ratio computed pursuant
to subparagraph three of paragraph a  of  subdivision  sixteen  of  this
section  divided by four and two hundred forty-seven thousandths percent
(0.04247), provided, however, that such tax effort reduction  shall  not
be  less  than the product of thirteen percent (0.13) multiplied by such
total aid for adjustment, and not more than the product of  twenty-three
percent (0.23) multiplied by such total aid for adjustment.
(iii)  The  TGFE check shall be the product of the TGFE percentage and
the total general fund expenditures of such district in the base year.
(iv) The administrative efficiency restoration shall be the product of
seventy-five dollars ($75),  multiplied  by  the  state  sharing  ratio,
multiplied by the total aidable foundation pupil units computed pursuant
to  paragraph  g  of subdivision two of this section for the purposes of
computing total foundation aid.
(v) The needs-based restoration shall be the sum of (A) the product of
the  needs-based  grant,  multiplied  by  the  public  school   district
enrollment  for  the  base year computed pursuant to subparagraph two of
paragraph n of subdivision one of such section thirty-six hundred two of
this part, plus (B) in the case of any district for which  the  quotient
of  the  Limited  English  proficient  count  for the base year computed
pursuant to paragraph o of subdivision one of this  section  divided  by
the  public  school  district  enrollment  for  the  base  year computed
pursuant to subparagraph two of paragraph n of subdivision one  of  this
section,  exceeds  thirteen percent (0.13), the product of the total aid

for adjustment  multiplied  by  seventy-five  hundredths  of  a  percent
(0.0075).
(vi)  The  low  wealth-high  tax  effort restoration shall be, for any
school district with a tax effort ratio greater than six percent  (0.06)
and  a  combined wealth ratio for total foundation aid that is less than
seven-tenths  (0.7),  the  product  of  one  hundred  dollars  ($100.00)
multiplied  by  the  public school district enrollment for the base year
computed pursuant to subparagraph two of paragraph n of subdivision  one
of this section.
(vii)  The  enrollment  adjustment  award shall be the product of five
hundred dollars ($500.00) multiplied by the enrollment increase for  any
eligible  school district. An eligible school district shall be a school
district (A) with a combined wealth ratio for total foundation aid  less
than  three  (3.0)  and  an enrollment increase greater than or equal to
forty-five, where, (B) for such school district, either  the  enrollment
increase  is  greater  than  one  percent  (0.01)  of  the public school
district enrollment for the base year or the combined wealth  ratio  for
total  foundation  aid  is  less than two (2.0). The enrollment increase
shall be as the positive  difference  of  the  estimated  public  school
district   enrollment   for   the  current  year  computed  pursuant  to
subparagraph two of paragraph n of subdivision one of this section  less
the  public  school  district  enrollment  for  the  base  year computed
pursuant to subparagraph two of paragraph n of subdivision one  of  this
section.
(viii)  For  the  purposes  of  such  computation,  (A) "total aid for
adjustment" shall mean the sum of the amounts set forth for each  school
district  as  "FOUNDATION AID", "FULL DAY K CONVERSION", BOCES + SPECIAL
SERVICES", "HIGH COST EXCESS COST", "PRIVATE EXCESS COST",  "HARDWARE  &
TECHNOLOGY",   "SOFTWARE,   LIBRARY,   TEXTBOOK",  "TRANSPORTATION  INCL
SUMMER", "OPERATING REORG  INCENTIVE",  "CHARTER  SCHOOL  TRANSITIONAL",
"ACADEMIC  ENHANCEMENT",  "HIGH  TAX  AID"  AND "SUPPLEMENTAL PUB EXCESS
COST" under the heading "2011-12  ESTIMATED  AIDS"  in  the  school  aid
computer  listing  produced  by  the  commissioner  in  support  of  the
executive budget proposal for  the  two  thousand  eleven--two  thousand
twelve school year;
(B)  "the  state  sharing  ratio"  shall  mean the state sharing ratio
computed for total foundation aid computed pursuant to  paragraph  g  of
subdivision three of this section, but not less than ten percent (0.10);
and
(C)  "reduction  factor"  shall  mean  the  product  of  the  positive
remainder of one less the three-year  average  free  and  reduced  price
lunch  percent  computed pursuant to subparagraph (ii) of paragraph p of
subdivision one of this section, multiplied by the combined wealth ratio
for total foundation  aid  computed  pursuant  to  subparagraph  two  of
paragraph  c  of  subdivision three of section thirty-six hundred two of
this part; and
(D) "needs-based grant" shall mean, (1) in  the  case  of  a  district
determined  to  be a high need school district pursuant to clause (c) of
subparagraph two of paragraph c of subdivision six of this  section  for
the  school aid computer listing produced by the commissioner in support
of the enacted budget for the two  thousand  seven--two  thousand  eight
school  year  and  entitled "SA0708", having a need-resource category of
three or four, sixty-one dollars ($61.00), and (2)  in  the  case  of  a
district  determined  to  be an average need school district pursuant to
clause (c) of subparagraph two of paragraph c of subdivision six of this
section for the school aid computer listing produced by the commissioner
in support of  the  enacted  budget  for  the  two  thousand  seven--two

thousand eight school year and entitled "SA0708", having a need-resource
category of five, fifty-four dollars ($54.00).
(E)  "administrative  efficiency ratio" shall mean the quotient of the
sum of the expenditures related to the  board  of  education,  including
expenditures  for  the  board of education, the district clerk's office,
the district meeting, auditing service, the treasurer's office, the  tax
collector's   office,   legal  services  and  the  school  census,  plus
expenditures for central administration, including expenditures for  the
chief  school  officer,  the business office, the purchasing office, the
personnel office, the records management officer, public information and
services, fees for  fiscal  agents  and  undistributed  indirect  costs,
divided  by the total expenditures charged by a district to the general,
debt service, and  special  aid  funds,  excluding  transfers  from  the
general  fund  to  the  debt  service  and  special  aid funds, based on
expenditures reported by the district for  the  school  year  two  years
prior  to  the  base  year, based on data on file for an electronic data
file used to produce the school aid computer  listing  produced  by  the
commissioner in support of the executive budget request; and
(F)  "administrative expense per pupil" shall mean the quotient of the
sum of the expenditures related to the  board  of  education,  including
expenditures  for  the  board of education, the district clerk's office,
the district meeting, auditing service, the treasurer's office, the  tax
collector's   office,   legal  services  and  the  school  census,  plus
expenditures for central administration, including expenditures for  the
chief  school  officer,  the business office, the purchasing office, the
personnel office, the records management officer, public information and
services, fees for  fiscal  agents  and  undistributed  indirect  costs,
charged  by  a  district  to  the general, debt service, and special aid
funds, based on expenditures reported by the  district  for  the  school
year  two  years  prior  to  the base year, divided by the public school
district enrollment for the base year computed pursuant to  subparagraph
two  of  paragraph n of subdivision one of this section based on data on
file for an electronic data file used to produce the school aid computer
listing produced by the commissioner in support of the executive  budget
request; and
(G) "TGFE percentage" shall mean,
(1)  in  the  case  of  a district determined to be a high-need school
district pursuant to clause (c) of subparagraph two of  paragraph  c  of
subdivision  six  of  this  section  for the school aid computer listing
produced by the commissioner in support of the enacted  budget  for  the
two   thousand  seven--two  thousand  eight  school  year  and  entitled
"SA0708",
(a) in the case of a city school district in a city with a  population
in excess of one million inhabitants, four and five hundred thirty-seven
thousandths percent (0.04537),
(b)  in the case of a city school district in a city with a population
of more than two hundred fifty thousand inhabitants and  less  than  one
million  inhabitants  according to the two thousand federal census, four
and one-tenth percent (0.041),
(c) in the case of a city school district in a city with a  population
of  more  than  two  hundred  ten thousand inhabitants and less than two
hundred fifty thousand inhabitants according to the two thousand federal
census, four and thirteen hundredths percent (0.0413),
(d) in the case of a city school district in a city with a  population
of  more than one hundred seventy thousand inhabitants and less than two
hundred ten thousand inhabitants according to the two  thousand  federal
census, five and ninety-seven hundredths percent (0.0597),
(e)  in the case of a city school district in a city with a population
of more than one hundred thousand inhabitants and less than one  hundred
seventy  thousand  inhabitants  according  to  the  two thousand federal
census, five and fifty-three hundredths percent (0.0553),
(f)  in  the  case  of  any  other  such  school  district which has a
three-year average free and reduced price  lunch  percent  greater  than
seventy-five  percent  (0.75) and which has an administrative efficiency
ratio less than one and fifty-five hundredths percent (0.0155), four and
nine hundredths percent (0.0409), and
(g) for all other such school districts, six and eight-tenths  percent
(0.068), or
(2) in the case of all other school districts, eleven percent (0.11).
d.  The  gap  elimination  adjustment  restoration  amount for the two
thousand twelve--two thousand thirteen school year for a school district
shall be computed based on data on file with the commissioner and in the
database used by the commissioner to produce an updated electronic  data
file  in  support of the enacted budget for the two thousand twelve--two
thousand thirteen state fiscal year, and shall equal the sum of (i)  the
greater of:
(A)  the  product  of (1) the product of the extraordinary needs index
multiplied  by  two  hundred  twenty-three  dollars  and  eighty  cents,
computed  to  two decimal places without rounding, multiplied by (2) the
state sharing ratio computed pursuant  to  paragraph  g  of  subdivision
three  of  this  section  multiplied  by  (3) the public school district
enrollment for the base year, calculated pursuant to subparagraph two of
paragraph n of subdivision one of this section, where the  extraordinary
needs index shall be the quotient of the extraordinary needs percent for
the district computed pursuant to paragraph w of subdivision one of this
section divided by forty-eight hundredths; or
(B) for any district with a GEA/TGFE ratio greater than one, where the
GEA/TGFE  ratio  shall be the quotient of the gap elimination adjustment
for the two thousand eleven--two thousand twelve  school  year  for  the
district divided by the total general fund expenditures of such district
in  the  base  year,  divided by the quotient of the statewide total gap
elimination adjustment for the two thousand eleven--two thousand  twelve
school year divided by total general fund expenditures in the base year,
the  product  of  (1)  the  product  of the GEA/TGFE ratio multiplied by
ninety  dollars,  computed  to  two  decimal  places  without  rounding,
multiplied by (2) the state sharing ratio computed pursuant to paragraph
g  of  subdivision  three  of  this section multiplied by (3) the public
school district enrollment for the base  year,  calculated  pursuant  to
subparagraph two of paragraph n of subdivision one of this section; or
(C) the product of two and nine hundred fifty-six one-thousandths of a
percent  (0.02956)  multiplied by the gap elimination adjustment for the
two thousand eleven--two thousand twelve school year; or
(D) the product of (1) the positive difference, if  any,  of  one  and
thirty-seven  one-hundredths  (1.37)  minus  the product of the combined
wealth ratio computed pursuant to subparagraph one  of  paragraph  c  of
subdivision  three of this section multiplied by one and one-half (1.5),
but not more than one, multiplied by  (2)  the  public  school  district
enrollment for the base year, calculated pursuant to subparagraph two of
paragraph  n  of subdivision one of this section, multiplied by (3) four
hundred seventy-three dollars and seventy cents; or
(E) for any district with a tax  effort  ratio  computed  pursuant  to
subparagraph three of paragraph a of subdivision sixteen of this section
that  is  greater  than four and four-tenths (4.4) and a combined wealth
ratio  computed  pursuant  to  subparagraph  one  of  paragraph   c   of
subdivision  three  of  this  section that is less than one and one-half

(1.5), the product of (1) the state sharing ratio computed  pursuant  to
paragraph  g  of subdivision three of this section multiplied by (2) the
public school district enrollment for the base year, calculated pursuant
to  subparagraph  two of paragraph n of subdivision one of this section,
multiplied by (3) three hundred nine dollars and thirty cents;
but shall be no greater than the product of twenty-five percent and  the
gap  elimination  adjustment  for  the two thousand eleven--two thousand
twelve school year for  the  district,  and  (ii)  the  Limited  English
proficiency  restoration  which  shall  be  apportioned  to  city school
districts  of  cities  with  a  population  in  excess  of  one  hundred
twenty-five thousand and less than one million. For any such city school
district  with a limited English proficiency ratio greater than or equal
to four  percent  and  less  than  five  percent,  the  limited  English
proficiency  restoration  shall equal the product of the limited English
proficiency restoration base multiplied by seven tenths.  For  any  such
city  school  district  with a limited English proficiency ratio greater
than  or  equal  to  five  percent,  the  limited  English   proficiency
restoration  shall  equal the product of the limited English proficiency
restoration base multiplied by two and two tenths.  For  any  such  city
school  district with a limited English proficiency ratio less than four
percent, the limited English proficiency  restoration  shall  equal  the
product  of  the limited English proficiency restoration base multiplied
by one and seventy-five hundredths.
(A) for the purposes of computations pursuant to this subparagraph (1)
"limited English proficiency ratio" shall mean the quotient of  (a)  the
product  of  the  limited English proficiency count computed pursuant to
paragraph o of subdivision one  of  this  section  multiplied  by  fifty
percent,  divided  by (b) public school district enrollment for the base
year computed pursuant to subparagraph two of paragraph n of subdivision
one of this section;
(2) "limited English proficiency  restoration  base"  shall  mean  the
product  of  the  amount  set  forth for such school district as "TOTAL"
under the heading "2011-12 BASE YEAR AIDS" in the  school  aid  computer
listing  produced  by  the commissioner in support of the enacted budget
for the 2012-13 school year and entitled "SA121-3" multiplied by  eleven
hundredths of one percent.
(e)  The  gap  elimination  adjustment  restoration amount for the two
thousand thirteen--two  thousand  fourteen  school  year  for  a  school
district  shall  be computed based on data on file with the commissioner
and in the database used by  the  commissioner  to  produce  an  updated
electronic  data  file  in  support  of  the  enacted budget for the two
thousand thirteen--two thousand fourteen state fiscal year end  entitled
"SA131-4"  and  shall  equal the greater of one hundred thousand dollars
($100,000) or the sum of:
(i) the "Tier A restoration" which shall mean the amount set forth for
such school district as "GEA RESTORATION"  under  the  heading  "2013-14
ESTIMATED  AIDS"  in  the  school  aid  computer listing produced by the
commissioner in support of the executive budget  request  submitted  for
the  two  thousand thirteen--two thousand fourteen state fiscal year and
entitled "BT131-4"; and
(ii) the "Tier B restoration" which shall mean for a district with (1)
a combined wealth ratio of less than one and seven-tenths (1.7) and  (2)
an  enrollment  per square mile which shall be the quotient, computed to
two decimals without rounding, of the public school  enrollment  of  the
school  district  on  the date enrollment was counted in accordance with
subdivision one of this section for the base year divided by the  square
miles  of  the district, as determined by the commissioner, of less than
one hundred and seventy and (3) a designation as high  need  or  average

need  pursuant  to  clause  (c)  of  subparagraph  two of paragraph c of
subdivision six of this section for  the  school  aid  computer  listing
produced  by  the  commissioner in support of the enacted budget for the
two   thousand  seven--two  thousand  eight  school  year  and  entitled
"SA0708",  or  in  the  case  of  a  reorganized  district  that  had  a
predecessor district that was so designated and (4) a tier A restoration
which  equals  less  than twenty and seven-tenths percent (0.207) of the
gap elimination adjustment for the base year, the positive difference if
any,  of  the  product  of  twenty  and  seven-tenths  percent   (0.207)
multiplied by the gap elimination adjustment for the base year minus the
tier A restoration; and
(iii)  the  "Tier  C  restoration" which shall mean for a district for
which the sum of the tier A restoration and the tier  B  restoration  is
less  than  the  product  of the gap elimination adjustment for the base
year multiplied by six percent (0.06), the positive  difference  of  the
product  of  the gap elimination adjustment for the base year multiplied
by six percent (0.06) minus the sum of the tier A  restoration  and  the
tier B restoration; and
(iv)  the  "Tier  D restoration" which shall mean for school districts
that were: (1) designated as low or average need pursuant to clause  (c)
of  subparagraph  two  of paragraph c of subdivision six of this section
for the school aid computer listing  produced  by  the  commissioner  in
support  of  the enacted budget for the two thousand seven--two thousand
eight school year and entitled "SA0708", or in the case of a reorganized
district that had a predecessor district that was so designated and  (2)
designated  as high need pursuant to the regulations of the commissioner
in the most recently available study included in the school aid computer
listing produced by the commissioner in support of  the  enacted  budget
for  the  two thousand thirteen--two thousand fourteen state fiscal year
and entitled "SA131-4" known as the 2008 need resource capacity category
code, the product of (a) the positive difference, if  any,  of  the  gap
elimination   adjustment   for   such  district  for  the  two  thousand
eleven--two thousand twelve school year minus the  product  of  six  and
eight  tenths  percent  (0.068)  multiplied  by  the  total general fund
expenditures of such district for the  two  thousand  ten--two  thousand
eleven school year, multiplied by (b) thirty-five hundredths (0.35); and
(v) the "Tier E restoration" which shall mean for districts with (1) a
quotient  of  the  positive difference of the gap elimination adjustment
for the year prior to the base year minus the gap elimination adjustment
for the base year divided by the gap elimination adjustment for the year
prior to the base year  is  less  than  seven  and  five-tenths  percent
(0.075)  and  (2) a combined wealth ratio of less than one and one-tenth
(1.10), the product of two and five-tenths percent (0.025) multiplied by
the gap elimination adjustment for the base year; and
(vi) the "Tier F restoration" which shall mean for  any  district  (1)
designated  as  high  need pursuant to clause (c) of subparagraph two of
paragraph c of subdivision six  of  this  section  for  the  school  aid
computer  listing produced by the commissioner in support of the enacted
budget for the two thousand seven--two thousand eight  school  year  and
entitled  "SA0708",  or in the case of a reorganized district that had a
predecessor district that was so designated, with (2) a  GEA/TGFE  ratio
greater  than  four and ninety-one hundredths percent (.0491), where the
GEA/TGFE ratio shall be the quotient of the gap  elimination  adjustment
for  the  base  year  for the district divided by the total general fund
expenditures of such district in the base year, the product  of  fifteen
dollars  ($15.00),  multiplied  by  the base year public school district
enrollment, as computed pursuant to paragraph n of  subdivision  one  of

this section, but not less than one hundred thousand dollars ($100,000);
and
(vii)  the  "Tier  G  restoration"  which shall mean for a city school
district of a  city  having  a  population  in  excess  of  one  hundred
twenty-five  thousand  and  less than one hundred and sixty thousand and
for city school districts of cities with populations in  excess  of  two
hundred  and  five  thousand  and  less than three hundred thousand, the
product of ten dollars ($10.00)  multiplied  by  the  base  year  public
school  district  enrollment,  as  computed  pursuant  to paragraph n of
subdivision one of this section and for a city school district of a city
having a population in excess of one hundred sixty  thousand  and  below
two  hundred thousand the product of eight dollars ($8.00) multiplied by
the base year public school district enrollment, as computed pursuant to
paragraph n of subdivision one of this section and  for  a  city  school
district  of  a  city  having  a  population of one million or more, the
product of forty-two dollars and two cents ($42.02), multiplied  by  the
base  year  public  school  district enrollment, as computed pursuant to
paragraph n of subdivision one of this section; and
(viii) the "Tier H restoration" which shall mean for  districts  other
than  for  city  school  districts  of  cities having populations of one
hundred and twenty-five thousand or more, the product  of  the  positive
difference   of   one  and  forty-three  hundredths  (1.43)  minus  such
district's regional cost index pursuant  to  subdivision  four  of  this
section,  multiplied  by five, multiplied by the three-year average free
and reduced price lunch  percent,  multiplied  by  one  hundred  dollars
($100.00) multiplied by the base year public school district enrollment,
as  computed pursuant to paragraph n of subdivision one of this section;
and
(ix) the "Tier I restoration" which shall mean for any district with a
combined wealth ratio  greater  than  one  and  one-tenth  (1.1)  and  a
three-year  average  free  and  reduced price lunch percent greater than
six-tenths (0.6), the product of one hundred and fifty dollars ($150.00)
multiplied by the  base  year  public  school  district  enrollment,  as
computed pursuant to paragraph n of subdivision one of this section; and
(x)  the  "Tier  J restoration" which shall mean for a district with a
combined wealth ratio less than one and one-tenths (1.1), the product of
(a) two  hundred  dollars  ($200.00)  multiplied  by  (b)  the  positive
difference,  if  any, of the base year public school district enrollment
less the public school district enrollment for the year four years prior
to the base year, as computed pursuant to paragraph n of subdivision one
of this section;
Provided further, notwithstanding any portion of this paragraph to the
contrary, that a district's gap elimination adjustment  restoration  for
the  two  thousand thirteen--two thousand fourteen school year shall not
exceed the product of forty-three percent (0.43) and the gap elimination
adjustment for the base year for the district.
(f) The gap elimination adjustment  restoration  amount  for  the  two
thousand  fourteen--two  thousand  fifteen  school  year  for  a  school
district shall be computed based on data on file with  the  commissioner
and  in  the  database  used  by  the commissioner to produce an updated
electronic data file in support  of  the  enacted  budget  for  the  two
thousand  fourteen--two  thousand fifteen state fiscal year and entitled
"SA141-5" and shall equal the greater of:
(i) the product of fourteen and thirteen hundredths  percent  (0.1413)
multiplied by the gap elimination adjustment for the base year or;
(ii) the positive difference of (a) the product of twenty-nine percent
(0.29) multiplied by the absolute value of the amount set forth for such
school  district  as  "GAP  ELIMINATION  ADJUSTMENT"  under  the heading

"2011-12 ESTIMATED AIDS" in the school aid computer listing produced  by
the  commissioner  in  support of the executive budget request submitted
for the two thousand eleven--two thousand twelve state fiscal  year  and
entitled  "BT111-2"  minus  (b)  the positive difference of the absolute
value of  the  amount  set  forth  for  such  school  district  as  "GAP
ELIMINATION  ADJUSTMENT"  under  the heading "2011-12 ESTIMATED AIDS" in
the school aid computer listing produced by the commissioner in  support
of   the  executive  budget  request  submitted  for  the  two  thousand
eleven--two thousand twelve state fiscal  year  and  entitled  "BT111-2"
minus the gap elimination adjustment for the base year or;
(iii) seventy thousand dollars ($70,000) or;
(iv) the sum of:
(A)  the product of the FRPL restoration amount multiplied by the base
year  public  school  district  enrollment  as  computed   pursuant   to
subparagraph  two  of  paragraph  n  of  subdivision one of this section
multiplied by the  three-year  average  free  and  reduced  price  lunch
percent,  provided  further, for the purposes of this paragraph the FRPL
restoration amount shall equal (1) for a city school district of a  city
having  a  population  in excess of one hundred twenty-five thousand and
less than one million, five dollars ($5.00) or (2)  for  a  city  school
district  of  a  city  having a population in excess of one million, one
hundred four dollars and forty cents ($104.40)  or  (3)  for  all  other
school districts forty-three dollars ($43.00); and
(B)  for  a  school  district  with  (1) a three-year average free and
reduced price lunch percent greater than sixty-five percent  (0.65)  and
(2)  base year public school district enrollment as computed pursuant to
subparagraph two of paragraph n  of  subdivision  one  of  this  section
greater  than thirty-five hundred (3,500) and for which (3) the quotient
of (a) the positive difference, if any, of the  absolute  value  of  the
amount   set   forth  for  such  school  district  as  "GAP  ELIMINATION
ADJUSTMENT" under the heading "2011-12 ESTIMATED AIDS" in the school aid
computer  listing  produced  by  the  commissioner  in  support  of  the
executive  budget  request  submitted  for  the two thousand eleven--two
thousand twelve state fiscal  year  and  entitled  "BT111-2"  minus  the
positive  difference  of  the absolute value of the amount set forth for
such school district as "GAP ELIMINATION ADJUSTMENT" under  the  heading
"2014-15  ESTIMATED AIDS" in the school aid computer listing produced by
the commissioner in support of the executive  budget  request  submitted
for  the  two  thousand fourteen--two thousand fifteen state fiscal year
and entitled "BT141-5" divided by (b) the absolute value of  the  amount
set forth for such school district as "GAP ELIMINATION ADJUSTMENT" under
the  heading "2011-12 ESTIMATED AIDS" in the school aid computer listing
produced by the commissioner in support to the executive budget  request
submitted  for the two thousand eleven--two thousand twelve state fiscal
year and entitled "BT111-2" is  less  than  sixty  percent  (0.60),  the
product  of  one hundred and forty-three dollars ($143.00) multiplied by
the base year public school district enrollment as computed pursuant  to
subparagraph two of paragraph n of subdivision one of this section; and
(C)  for a school district other than a city school district of a city
having a population in excess of one million for which the  quotient  of
(a)  the  positive difference, if any, of the limited English proficient
count for the base year minus the limited English proficient  count  for
the two thousand eight--two thousand nine school year divided by (b) the
limited  English  proficient  count  for  the  two  thousand  eight--two
thousand nine school year is  greater  than  five  percent  (0.05),  the
product  of one thousand five hundred dollars ($1,500) multiplied by the
positive difference, if any of the limited English proficient count  for
the  base  year  minus  the limited English proficient count for the two

thousand  eight--two  thousand  nine  school  year  multiplied  by  such
districts  extraordinary needs percent as computed pursuant to paragraph
w of subdivision one of this section; and
(D)  for  a  school  district  for which the quotient of the number of
persons aged five to seventeen within the school district, based on  the
most  recent  decennial  census  as  tabulated by the National Center on
Education Statistics, who were enrolled  in  public  schools  and  whose
families  had  incomes  below  the  poverty  level, divided by the total
number of person aged five to  seventeen  within  the  school  district,
based  on  such  decennial  census, who were enrolled in public schools,
computed to four decimals without  rounding  is  greater  than  eighteen
percent  (0.18),  the  product  of  four hundred and ninety-five dollars
($495) multiplied by the positive difference, if any of  the  base  year
public  school  district enrollment as computed pursuant to subparagraph
two of paragraph n of subdivision one of  this  section  minus  the  two
thousand  ten--two thousand eleven public school district enrollment, as
computed pursuant to subparagraph two of paragraph n of subdivision  one
of this section; and
(E)  for  a  school  district  for  which  (1) the quotient of the two
thousand thirteen--two  thousand  fourteen  gap  elimination  adjustment
divided by the total general fund expenditures for such district for the
base  year  exceeds  five  percent (0.05), the product of ninety dollars
($90.00) multiplied by the base year public school district  enrollment,
as  computed pursuant to paragraph n of subdivision one of this section;
and
(F) for school districts for which the quotient of non  public  school
district enrollment divided by the sum of the non public school district
enrollment  and  the  base  year  public  school  district enrollment as
computed pursuant to subparagraph two of paragraph n of subdivision  one
of  this  section  is  greater  than  twenty-five hundredths (0.25), the
product of (1) the quotient of non  public  school  district  enrollment
divided  by the sum of the non public school district enrollment and the
base year public school district  enrollment  as  computed  pursuant  to
subparagraph  two  of  paragraph  n  of  subdivision one of this section
multiplied by (2) the extraordinary needs percent as  computed  pursuant
to  paragraph w of subdivision one of this section multiplied by (3) the
base year public school district  enrollment  as  computed  pursuant  to
subparagraph  two  of  paragraph  n  of  subdivision one of this section
multiplied by (4) three hundred and fifty dollars ($350.00); and
(G) for school districts that: (1) were  designated  as  average  need
pursuant to clause (c) of subparagraph two of paragraph c of subdivision
six  of this section for the school aid computer listing produced by the
commissioner in support of the  enacted  budget  for  the  two  thousand
seven--two  thousand  eight  school year and entitled "SA0708" and (2) a
combined wealth ratio computed pursuant to subparagraph one of paragraph
c of subdivision three of this section of less than one (1.0) or  for  a
school  district  designated  as  high  need  urban-suburban pursuant to
clause (c) of subparagraph two of paragraph c of subdivision six of this
section for the school aid computer listing produced by the commissioner
in support of  the  enacted  budget  for  the  two  thousand  seven--two
thousand  eight  school  year  and  entitled  "SA0708",  the  product of
fifty-one dollars ($51.00) multiplied by the  base  year  public  school
district   enrollment  as  computed  pursuant  to  subparagraph  two  of
paragraph n of subdivision one of this section; and
(H) for a school district designated as rural high  need  pursuant  to
clause (c) of subparagraph two of paragraph c of subdivision six of this
section for the school aid computer listing produced by the commissioner
in  support  of  the  enacted  budget  for  the  two thousand seven--two

thousand eight school year and entitled "SA0708",  the  product  of  two
hundred  dollars  ($200.00)  multiplied  by  the base year public school
district  enrollment  as  computed  pursuant  to  subparagraph  two   of
paragraph n of subdivision one of this section; and
(I)  for  school  districts  that were designated as small city school
districts or central school districts whose boundaries include a portion
of a small city for the school aid  computer  listing  produced  by  the
commissioner  in  support  of  the  enacted  budget for the two thousand
fourteen--two thousand fifteen school year  and  entitled  "SA1415"  the
product  of  twenty-five  dollars  ($25.00)  multiplied by the base year
public school district enrollment as computed pursuant  to  subparagraph
two  of  paragraph  n  of subdivision one of this section and for school
districts for which the  quotient,  computed  to  two  decimals  without
rounding,  of the public school enrollment of the school district on the
date enrollment was counted in accordance with this subdivision for  the
base  year divided by the square miles of the district, as determined by
the commissioner is less than two hundred and fifty (250),  the  product
of  sixteen  dollars  ($16.00) multiplied by the base year public school
district  enrollment  as  computed  pursuant  to  subparagraph  two   of
paragraph n of subdivision one of this section; and
(J)  For  a  district  for  which  (1)  the  quotient, computed to two
decimals without rounding, of the public school enrollment of the school
district on the date enrollment was  counted  in  accordance  with  this
subdivision  for  the  base  year  divided  by  the  square miles of the
district, as determined  by  the  commissioner  is  greater  than  eight
hundred  (800)  and  (2) the tax effort ratio, as defined in subdivision
sixteen of this section is greater than  four  and  (3)  the  base  year
public  school  district enrollment as computed pursuant to subparagraph
two of paragraph n of subdivision one of this section  is  greater  than
the  two  thousand  ten--two  thousand  eleven  public  school  district
enrollment as computed pursuant to subparagraph two of  paragraph  n  of
subdivision  one  of  this section, the product of two hundred and fifty
dollars ($250.00) multiplied by the base  year  public  school  district
enrollment  as  computed  pursuant to subparagraph two of paragraph n of
subdivision one of this section, provided that  such  amount  shall  not
exceed one million dollars ($1,000,000); and
(K)  For  school districts that were: (1) designated as low or average
need pursuant to clause (c)  of  subparagraph  two  of  paragraph  c  of
subdivision  six  of  this  section  for the school aid computer listing
produced by the commissioner in support of the enacted  budget  for  the
two   thousand  seven--two  thousand  eight  school  year  and  entitled
"SA0708",  or  in  the  case  of  a  reorganized  district  that  had  a
predecessor  district  that was so designated and (2) designated as high
need pursuant to  the  regulations  of  the  commissioner  in  the  most
recently  available  study  included  in the school aid computer listing
produced by the commissioner in support of the enacted  budget  for  the
two  thousand  thirteen--two  thousand  fourteen  state  fiscal year and
entitled "SA131-4" known as the 2008  need  resource  capacity  category
code,  the  product  of  (a)  the  positive  difference,  if any, of the
absolute value of the amount set forth for such school district as  "GAP
ELIMINATION  ADJUSTMENT"  under  the heading "2011-12 ESTIMATED AIDS" in
the school aid computer listing produced by the commissioner in  support
of   the  executive  budget  request  submitted  for  the  two  thousand
eleven--two thousand twelve state fiscal  year  and  entitled  "BT111-2"
minus  the product of six and eight tenths percent (0.068) multiplied by
the total general  fund  expenditures  of  such  district  for  the  two
thousand  ten--two  thousand  eleven  school  year,  multiplied  by  (b)
fifty-five hundredths (0.55); and
(L) the amount set forth for such school district as "GEA RESTORATION"
under the heading "2014-15 ESTIMATED AIDS" in the  school  aid  computer
listing  produced by the commissioner in support of the executive budget
request submitted for the two thousand  fourteen--two  thousand  fifteen
state fiscal year and entitled "BT141-5".
Provided  further,  notwithstanding any provision of this paragraph to
the contrary, that a district's gap elimination  adjustment  restoration
for  the  two  thousand fourteen--two thousand fifteen school year shall
not exceed the product of seventy percent (0.70) and the gap elimination
adjustment for the base year for the district.
g. The gap elimination  adjustment  restoration  amount  for  the  two
thousand fifteen--two thousand sixteen school year for a school district
shall be computed based on data on file with the commissioner and in the
database  used by the commissioner to produce an updated electronic data
file in support of the enacted budget for the two thousand  fifteen--two
thousand  sixteen  state  fiscal  year  and entitled "SA151-6" and shall
equal the sum of tiers one through four plus the sum of minimums  A,  B,
and C.
(i)  "Tier  one"  shall  equal  the product of thirty dollars ($30.00)
multiplied  by  the  extraordinary  needs  count  computed  pursuant  to
paragraph  s  of  subdivision  one  of  this  section  multiplied by the
concentration factor, where the concentration factor shall be the sum of
one plus the quotient arrived at when dividing (1) the difference of the
extraordinary  needs  percent  computed  pursuant  to  paragraph  w   of
subdivision  one  of  this section less four-tenths (0.4) divided by (2)
nine hundred two  thousandths  (0.902),  provided,  however,  that  such
concentration factor shall not be less than one.
(ii)  "Tier  two" shall be the product, for districts with a change in
enrollment  of  greater  than  two  percent,  of  six  hundred   dollars
($600.00),  and  for  all  other  districts  with a change in enrollment
greater than zero but  less  than  two  percent,  five  hundred  dollars
($500.00)  multiplied  by  the change in enrollment, where the change in
enrollment shall be the positive difference, if any, of  the  base  year
public  school  district enrollment as computed pursuant to subparagraph
two of paragraph n of subdivision one of this section for the base  year
less   public   school   district   enrollment   for  the  two  thousand
thirteen--two thousand fourteen school year.
(iii) "Tier three" shall be the  product  of  twenty-two  dollars  and
fifty  cents  ($22.50)  multiplied  by  the free and reduced price lunch
percent computed pursuant to paragraph p  of  subdivision  one  of  this
section multiplied by the base year public school district enrollment as
computed  pursuant to subparagraph two of paragraph n of subdivision one
of this section for the base year.
(iv) "Tier four"  shall  be  the  product  of  three  hundred  dollars
($300.00)  multiplied  by  the limited English proficient count computed
pursuant to paragraph o of subdivision one of this section multiplied by
the extraordinary needs percent computed  pursuant  to  paragraph  w  of
subdivision one of this section multiplied by the sum of one and the LEP
growth  percent,  where  the  LEP  growth  percent shall be the quotient
arrived at by dividing the positive difference, if any, of  the  limited
English  proficient count for the base year less such count for the year
prior to the base year divided by such count for the year prior  to  the
base year.
(v)  "Minimum  A" shall be the minimum A percent multiplied by the gap
elimination adjustment for the base year, where the  minimum  A  percent
shall  be the greater of (1) for a city school district of a city having
a  population  of  one  million  or  more  twenty-nine  and   forty-five
hundredths percent (0.2945), or (2) for a city school district of a city

having a population of one hundred twenty-five thousand or more but less
than  one  million  and a combined wealth ratio of less than five-tenths
(0.5) eighty percent (0.80), or (3)  for  all  other  districts  with  a
combined  wealth  ratio less than one and eight-tenths (1.8) thirty-five
and six-tenths percent (0.356), or (4) for all  other  districts  thirty
percent (0.30).
(vi)  "Minimum  B"  shall  be for districts designated as average need
pursuant to clause (c) of subparagraph two of paragraph c of subdivision
six of this section for the school aid computer listing produced by  the
commissioner  in  support  of  the  enacted  budget for the two thousand
seven--two thousand eight school year and entitled "SA0708" and  with  a
combined  wealth  ratio  of  less  than seventy-eight hundredths (0.78),
twenty-six and fifteen hundredths percent (0.2615) multiplied by the gap
elimination adjustment for the base year.
(vii) "Minimum C" shall be  for  districts  designated  as  high  need
pursuant to clause (c) of subparagraph two of paragraph c of subdivision
six  of this section for the school aid computer listing produced by the
commissioner in support of the  enacted  budget  for  the  two  thousand
seven--two  thousand eight school year and entitled "SA0708", other than
those city school districts of a city having a population of one hundred
twenty-five thousand or more, forty-three percent (0.43)  multiplied  by
the gap elimination adjustment for the base year.
(viii)  Provided  however,  that no GEA restoration shall be more than
the product  of  ninety-eight  percent  (0.98)  multiplied  by  the  gap
elimination adjustment for the base year.
h.  The  gap  elimination adjustment for the two thousand sixteen--two
thousand seventeen school year and thereafter shall equal zero.
18. Allocable  growth  amount  apportionment.  Such  amount  shall  be
apportioned  for  a school year pursuant to a chapter of the laws of New
York enacted for the  state  fiscal  year  in  which  such  school  year
commences,  and shall be allocated to purposes including but not limited
to competitive grant awards made pursuant to subdivisions five  and  six
of  section thirty-six hundred forty-one of this article, the foundation
aid phase-in amount or other foundation aid increase allocated  pursuant
to  subdivision  four of this section and the gap elimination adjustment
restoration amount apportioned pursuant to subdivision seventeen of this
section. In the event that a chapter of the laws of New York enacted for
the state fiscal year  in  which  such  school  year  commences  is  not
enacted,  the  allocations  in  support  of subdivisions five and six of
section thirty-six hundred forty-one of this  article  shall  equal  the
allocations  in  support  of  such  awards  in  the  base  year, and the
apportionments pursuant to  subdivisions  four  and  seventeen  of  this
section  for  the  current  year shall equal the apportionments for such
subdivisions four and seventeen for the base year.
19. Pandemic adjustment. a. Notwithstanding any other provision of law
to the contrary, the commissioner shall  reduce  payments  due  to  each
district  for  the  two  thousand twenty--two thousand twenty-one school
year pursuant to section thirty-six hundred nine-a of this  part  by  an
amount  equal to the pandemic adjustment computed for such district, and
provided further that an amount equal to the amount  of  such  deduction
shall  be  deemed  to  have  been  paid to the district pursuant to this
section for the school  year  in  which  such  deduction  is  made.  The
commissioner  shall  compute such pandemic adjustment in each electronic
data file produced pursuant to subdivision twenty-one of  section  three
hundred  five  of  this chapter, based on the following information: (i)
ninety-nine and one-half percent of the funds from  the  elementary  and
secondary  emergency relief fund that are available for school districts
pursuant to the Coronavirus Aid, Relief, and Economic  Security  Act  of

2020,  and  (ii)  the  governor's emergency relief fund pursuant to such
act, provided that a schedule of such amounts shall be approved  by  the
director  of  the  budget,  and  provided further the commissioner shall
provide a schedule of such pandemic adjustment to the state comptroller,
the  director  of the budget, the chair of the senate finance committee,
and the chair of the assembly ways and means committee.
b. Notwithstanding any inconsistent provision of law to the  contrary,
where  additional  federal  and state revenues are apportioned to school
districts  with  a  pandemic  adjustment  reduction  pursuant  to   this
subdivision,  such  additional  federal  and  state  revenues  shall  be
apportioned to such school district in an amount equal to  the  pandemic
adjustment  as  computed  herein,  unless otherwise specified by federal
law.
c. The positive value of the  pandemic  adjustment  payment  reduction
shall  not  exceed  the  sum  of moneys apportioned pursuant to sections
seven hundred one, seven hundred eleven, seven hundred fifty-one,  seven
hundred  fifty-three,  thirty-six  hundred  nine-a,  thirty-six  hundred
nine-b,  thirty-six  hundred  nine-d,  thirty-six  hundred  nine-f,  and
thirty-six  hundred  nine-h  for  the  two thousand twenty--two thousand
twenty-one school year for any school district.
20. Shared services aid for school districts which are not  components
of  a  board  of  cooperative educational services supervisory district,
including large city school districts. Commencing with  aid  payable  in
the  nineteen  hundred  ninety-eight--ninety-nine  school  year,  school
districts which are not components of a board of cooperative educational
services supervisory district, including city school districts of  those
cities  having populations in excess of one hundred twenty-five thousand
inhabitants that participate in, or provide,  shared  services  for  the
purpose  of  instructional  support service as authorized by subdivision
eight-c of section nineteen hundred  fifty  of  this  chapter  shall  be
eligible   for  an  additional  apportionment  in  accordance  with  the
provisions of this paragraph. Within the amount  appropriated  for  such
purpose, such districts shall be entitled to an additional apportionment
for their expenses incurred in the base year from their participation in
or  provision  of such shared services, in an amount equal to the amount
that would be payable for such expenses if  the  services  were  aidable
shared services under subdivision five of section nineteen hundred fifty
of  this  chapter;  provided  that  in  computing such aid for such city
school districts  the  tax  rate  shall  be  determined  in  the  manner
prescribed   in   subparagraph  seven  of  paragraph  a  of  subdivision
thirty-one-a of this  section.  Such  apportionment  shall  be  paid  in
accordance  with  section  thirty-six hundred nine-a of this chapter. In
the event the appropriation for purposes of this subdivision in any year
is insufficient to pay all claims received pursuant to this subdivision,
the commissioner shall determine the  percentage  of  the  total  claims
submitted  that is represented by each district's claim on file with the
commissioner at the time of creation of each data file or fiscal  report
required by subdivision twenty-one of section three hundred five of this
chapter and shall pay such claims based on such prorated basis among all
districts  filing  such  claims  until  the  appropriation is exhausted,
provided that such prorated apportionment computed  and  payable  as  of
September  one  of the school year immediately following the school year
for which such aid is claimed shall be deemed final and not  subject  to
change.     For     aid     payable     in    the    nineteen    hundred
ninety-eight--ninety-nine school year, the aid payable pursuant to  this
subdivision  shall  not  exceed  three  million,  five  hundred thousand
dollars ($3,500,000); for the nineteen hundred ninety-nine--two thousand
school year the aid payable  pursuant  to  this  subdivision  shall  not

exceed  ten  million  dollars  ($10,000,000);  for the two thousand--two
thousand one school year the aid payable pursuant  to  this  subdivision
shall  not exceed fifteen million dollars ($15,000,000); and for the two
thousand  one--two  thousand  two  school  year  and  thereafter the aid
payable pursuant  to  this  subdivision  shall  not  exceed  twenty-five
million dollars ($25,000,000).
26-a.   Aid   for   instructional  computer  technology  expenses.  a.
Commencing    with    aid    payable    in    the    nineteen    hundred
ninety-eight--ninety-nine   school  year,  the  commissioner  is  hereby
authorized to apportion to any school  district  aid  pursuant  to  this
subdivision  for  its  approved expenditures, in excess of base year aid
received pursuant to subdivision twenty-six of  this  section,  for  the
purchase,  lease-purchase  and/or installation of instructional computer
technology equipment, including original purchase, lease-purchase and/or
installation of hardware and vendor-installed software for deployment in
classrooms or  school  libraries;  or  for  the  costs  of  an  extended
maintenance  contract for instructional computer technology equipment or
network systems for a term  not  to  exceed  the  applicable  period  of
probable usefulness, to the extent such costs would be allowable under a
state contract; provided, however, no expenses eligible for aid pursuant
to  subdivision  six  of  this section shall be aidable pursuant to this
subdivision, and provided further, no expenses aided  pursuant  to  this
subdivision shall be eligible for aid pursuant to subdivision twenty-six
of this section or section nineteen hundred fifty of this chapter.
b.  Aid  pursuant  to  this subdivision shall equal the product of the
district's instructional computer technology aid ratio and approved base
year expenditures for capital outlays and/or current  year  expenditures
for debt service and/or current year expenditures for lease purchase for
acquisition   and  installation  of  instructional  computer  technology
equipment. Notwithstanding any other provision of law to  the  contrary,
debt   service  expenses  or  obligations  due  under  a  lease-purchase
agreement executed in a prior year for instructional computer technology
equipment pursuant to this  subdivision  shall  be  ordinary  contingent
expenses.
c. The district's instructional computer technology aid ratio shall be
the greater of (i) the district's building aid ratio selected for use in
the current year pursuant to clause (b) of subparagraph two of paragraph
c  of  subdivision  six  of this section; or (ii) the district's millage
ratio equal to one minus the quotient expressed as a  decimal  to  three
places  without  rounding  of eight mills divided by the tax rate of the
local district computed upon the actual valuation of  taxable  property,
as  determined pursuant to subdivision one of this section, expressed in
mills to the nearest tenth as determined by the commissioner,  provided,
however,  that  for a city school district in a city having a population
in excess of one hundred twenty-five thousand inhabitants the  tax  rate
shall  be  computed  in  the  manner prescribed in subparagraph seven of
paragraph a of subdivision thirty-one-a of this  section,  and  provided
that  for  a  school  district  which  is included within a central high
school district or for a central  high  school  district,  such  millage
ratio shall equal one minus the quotient expressed as a decimal to three
places  without  rounding  of  three  mills  divided  by  the tax rates,
expressed  in  mills  to  the  nearest  tenth,  of  such  districts,  as
determined  by the commissioner; or (iii) thirty-six hundredths. For the
purposes of this paragraph, the tax rate for  the  central  high  school
district  shall be the amount of tax raised by the common and union free
school districts included within the central high  school  district  for
the  support  of  the central high school district divided by the actual
valuation of the central high school district. The  tax  rate  for  each

common  or union free school district shall be the amount raised for the
support of such common or union free school district, exclusive  of  the
amount  raised  for  the  central  high school district, divided by such
actual valuation of such common or union free school district.
d.  To  be  eligible  for  aid  pursuant  to  this subdivision, school
districts shall  develop  and  maintain  a  plan  for  the  use  of  the
instructional   computer   technology  equipment  funded  pursuant  this
section, which shall be in a form prescribed  by  the  commissioner  and
shall  include but shall not be limited to provision for maintenance and
repair of equipment and the provision of staff development in the use of
such technology. In addition, such plan may provide for  the  district's
participation  in the universal service discount program pursuant to the
federal telecommunications act of nineteen hundred ninety-six,  and  the
district's  participation  in  the federal technology literacy challenge
program, where  such  federal  technology  programs  are  available.  In
prescribing  the  format  for  such plans, the commissioner shall assure
that to the extent possible, districts will be able to develop a  single
plan  that  meets  the requirements of this subdivision and such federal
technology programs.  In addition, funds apportioned  pursuant  to  this
subdivision  shall  be  used  in a manner consistent with the district's
long-range facilities plan and building-level, district-wide, and  where
applicable, regional instructional and technology plans.
e.  Expenses  for  instructional  computer  technology  equipment  and
software provided through a board of  cooperative  educational  services
pursuant  to  a multi-year contract entered pursuant to section nineteen
hundred  fifty  of  this  chapter  shall  continue  to  be  aided  under
subdivision  five  of section nineteen hundred fifty of this chapter for
the duration of such contract, and shall  be  paid  in  accordance  with
applicable  provisions of section nineteen hundred fifty of this chapter
and section thirty-six hundred nine-d of this article.
f. In the event the appropriation for purposes of this subdivision  in
any  year  is  insufficient  to pay all claims received pursuant to this
subdivision, the commissioner shall  determine  the  percentage  of  the
total  claims  submitted that is represented by each district's claim on
file with the commissioner at the time of creation of each data file  or
fiscal  report  required  by  subdivision  twenty-one  of  section three
hundred five of this chapter and shall pay such  claims  based  on  such
prorated  basis  among  all  districts  filing  such  claims  until  the
appropriation is exhausted, provided that  such  prorated  apportionment
computed  and payable as of September one of the school year immediately
following the school year for which such aid is claimed shall be  deemed
final and not subject to change. For aid payable in the nineteen hundred
ninety-eight--ninety-nine  school year, the aid payable pursuant to this
subdivision shall not exceed nine million dollars ($9,000,000); for  the
nineteen  hundred  ninety-nine--two thousand school year the aid payable
pursuant to  this  subdivision  shall  not  exceed  twenty-five  million
dollars  ($25,000,000);  for  the  two thousand--two thousand one school
year the aid payable pursuant  to  this  subdivision  shall  not  exceed
fifty-seven  million  dollars  ($57,000,000);  and  for the two thousand
one--two thousand  two  school  year  and  thereafter  the  aid  payable
pursuant to this subdivision shall not exceed ninety-one million dollars
($91,000,000).
41.  Transitional  aid for charter school payments. In addition to any
other apportionment under this section, for the two thousand  seven--two
thousand  eight school year and thereafter, a school district other than
a city school district in a city having a population of one  million  or
more  shall  be  eligible for an apportionment in an amount equal to the
sum of
(a) the product of (i) the product of eighty percent multiplied by the
charter school basic tuition computed for such school district  for  the
base  year  pursuant  to  section twenty-eight hundred fifty-six of this
chapter, multiplied by (ii) the positive  difference,  if  any,  of  the
number  of  resident  pupils  enrolled in the charter school in the base
year less the number of resident pupils enrolled in a charter school  in
the  year  prior  to  the  base  year,  provided, however, that a school
district shall  be  eligible  for  an  apportionment  pursuant  to  this
paragraph  only if the number of its resident pupils enrolled in charter
schools in the base year exceeds  two  percent  of  the  total  resident
public  school  district  enrollment of such school district in the base
year or the total general fund payments made by such district to charter
schools in the base year for resident pupils enrolled in charter schools
exceeds two percent of total general fund expenditures of such  district
in the base year, plus
(b)  the product of (i) the product of sixty percent multiplied by the
charter school basic tuition computed for such school district  for  the
base  year  pursuant  to  section twenty-eight hundred fifty-six of this
chapter, multiplied by (ii) the positive  difference,  if  any,  of  the
number  of  resident  pupils  enrolled in the charter school in the year
prior to the base year less the number of resident pupils enrolled in  a
charter  school  in the year two years prior to the base year, provided,
however, that a school district shall be eligible for  an  apportionment
pursuant  to  this  paragraph  only if the number of its resident pupils
enrolled in charter schools in the year prior to the base  year  exceeds
two  percent  of the total resident public school district enrollment of
such school district in the year prior to the base  year  or  the  total
general  fund  payments  made by such district to charter schools in the
year prior to the base year for  resident  pupils  enrolled  in  charter
schools  exceeds  two  percent of the total general fund expenditures of
such district in the year prior to the base year, plus
(c) the product of (i) the product of forty percent multiplied by  the
charter  school  basic tuition computed for such school district for the
base year pursuant to section twenty-eight  hundred  fifty-six  of  this
chapter,  multiplied  by  (ii)  the  positive difference, if any, of the
number of resident pupils enrolled in the charter school in the year two
years prior to the base year less the number of resident pupils enrolled
in a charter school in the year three years  prior  to  the  base  year,
provided,  however,  that  a  school  district  shall be eligible for an
apportionment pursuant to this paragraph  only  if  the  number  of  its
resident  pupils enrolled in charter schools in the year two years prior
to the base year exceeds two percent of the total resident public school
district enrollment of such school district in the year two years  prior
to  the  base  year  or  the  total  general  fund payments made by such
district to charter schools in the year two years prior to the base year
for resident pupils enrolled in charter schools exceeds two  percent  of
the  total  general  fund  expenditures of such district in the year two
years prior to the base year.
(d) For purposes of this subdivision the number of pupils enrolled  in
a  charter  school shall not include pupils enrolled in a charter school
for which the charter was approved by  a  charter  entity  contained  in
paragraph  a  of  subdivision  three  of  section  twenty-eight  hundred
fifty-one of this chapter.