Updates to the Reorganization Law

1
Updates to the Reorganization Law
Per Public Law, 2000, chapter 668, as enacted by
L.D. 2323, passed by the Legislature April 18,
2008

• Susan A. Gendron, Commissioner
• Maine Department of Education
• May 2008

2
NOT passed by the Legislature

• Waiver for units with fewer than 1,000 students
• Charter communities exemption from budget
  validation referendum requirement
• Exemption from referendum requirement if budget
  is less than 5 over EPS
• Withdrawal from a CSD or SAD
• Exemption for low population density

3
Key Changes to the Reorganization Law

• Removal of financial barriers
• Isolated, rural communities
• Alternative organizational structure
• Transitional powers duties of initial RSU board

4
Removal of Financial Barriers

• Minimum special education subsidy
• Units that receive the minimum special education
  subsidy will retain their eligibility when they
  join a regional school unit

5
Removal of Financial Barriers

• Allow local cost-sharing agreements
• Cost-sharing agreements may be based on
• Number of resident pupils in each town
• Property fiscal capacity of each member
  municipality
• Any combination of these and/or other factors.
• Reorganization plans must include a process for
  amending the cost-sharing formula

6
Removal of Financial Barriers

• Raising 2 mills for education
• Requirement removed

7
Isolated, Rural Communities

• Allow isolated, rural units to serve 1,200 or
  fewer students but not less than 1,000, if
• Comprised of 3 or more school administrative
  units OR
• Member municipalities of proposed RSU are
  surrounded by approved RSUs and there are no
  other SAUs to join OR
• Member municipalities of proposed RSU include 2
  or more isolated small schools (defined in law)

8
Alternative Organizational Structure (AOS)

• An AOS is treated as one unit for the purposes
  of
• Calculating Essential Programs and Services (EPS)
• State subsidy
• Required state and federal reporting

9
Alternative Organizational Structure (AOS)

• Consolidation of
• system administration
• special education administration
• transportation administration
• administration of business functions
• Core curriculum
• Consistent school policies, school calendar, and
  a plan for consistent collective bargaining
  agreements

10
Alternative Organizational Structure (AOS)

• Plan may include a collaborative agreement
• Plan must include an interlocal agreement
• Plan must include procedures for K-12 budget
  approval
• The budget validation referendum for all members
  of the AOS must be conducted on the same day

11
Other Substantive Changes to the Law

• Core functions of RSU board
• Local school committees
• Budget process
• Penalties
• School property
• Deadlines

12
RSU Board Core Functions

• These responsibilities cannot be delegated
• Employment of superintendent
• Performance of business functions
• Special education administration
• Transportation
• Core curriculum
• Budget
• Reporting
• Employment
• School Calendar
• Adoption of policies

13
Local School Committees

• May be authorized by reorganization plan or RSU
  board
• May delegate duties, functions not reserved for
  RSU board
• May propose (local voters must approve) raising
  additional funds for local school(s) over and
  above RSU approved budget
• Law now allows for high schools, too

14
Budget Process

• All RSUs and all other SAUs must
• Prepare school budgets showing the 11 cost
  centers
• Hold a regional school unit budget meeting
• Hold a budget validation referendum
• Retroactivity SADs and CSDs will be approved
  for either using 6 or 11 cost centers for 2008-09
  budgets

15
Penalties for Non-conforming Units

• Beginning in 2009-10, the local mill expectation
  is increased by 2
• Other penalties remain unchanged

16
School Property

• Clarification of original law
• Municipalities may retain ownership of school
  property
• The reorganization plan must include the clear
  allocation of responsibilities for management,
  maintenance, etc.

17
Changes to Deadlines

• SAUs have until January 30, 2009 to hold a
  referendum on their reorganization plan
• Was November 4, 2008
• Commissioner must report on the status of
  implementation and make recommendations on
  proposed legislation to the Education Committee
  by December 15, 2008
• Was January 31, 2009