A. 7814 2
two thousand ten, making appropriations for the support of government,
plus the school district's gap elimination adjustment for two thousand
eleven--two thousand twelve as computed pursuant to a chapter of the
laws of two thousand eleven, making appropriations for the support of
the local assistance budget, including support for general support for
public schools, divided by the total aid for adjustment computed pursu-
ant to a chapter of the laws of two thousand eleven, making appropri-
ations for the local assistance budget, including support for general
support for public schools. Provided, further, that such amount shall
be expended to support and maintain allowable programs and activities
approved in the two thousand nine--two thousand ten school year or to
support new or expanded allowable programs and activities in the current
year. PROVIDED, HOWEVER, THAT THE GAP ELIMINATION ADJUSTMENT SHALL NOT
BE APPLIED TO ANY PORTION OF FUNDS RECEIVED THROUGH INCENTIVE OPERATING
AID PURSUANT TO SECTION THIRTY-SIX HUNDRED TWO OF THIS CHAPTER.
S 2. Paragraph cc of subdivision 1 of section 3602 of the education
law, as added by section 25 of part A of chapter 58 of the laws of 2011,
is amended to read as follows:
cc. "Gap elimination adjustment percentage" shall mean the quotient of
the gap elimination adjustment amount set forth for each 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 enacted budget for the two thousand eleven--two thousand
twelve school year and entitled "SA111-2", divided by the statewide
total of all such gap elimination adjustment amounts set forth for all
districts in such school aid computer listing. PROVIDED, HOWEVER, THAT
THE GAP ELIMINATION ADJUSTMENT SHALL NOT BE APPLIED TO ANY PORTION OF
FUNDS RECEIVED THROUGH INCENTIVE OPERATING AID PURSUANT TO THIS SECTION.
S 3. Subdivision 17 of section 3602 of the education law, as added by
section 37 of part A of chapter 58 of the laws of 2011, is amended to
read as follows:
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. PROVIDED HOWEVER, THAT THE GAP ELIMINATION ADJUSTMENT SHALL
NOT BE APPLIED TO ANY PORTION OF FUNDS RECEIVED THROUGH INCENTIVE OPER-
ATING AID PURSUANT TO THIS SECTION.
b. The gap elimination adjustment for the two thousand eleven--two
thousand twelve school year shall be computed as follows, PROVIDED
HOWEVER, THAT THE GAP ELIMINATION ADJUSTMENT SHALL NOT BE APPLIED TO ANY
PORTION OF FUNDS RECEIVED THROUGH INCENTIVE OPERATING AID PURSUANT TO
A. 7814 3
THIS SECTION, based on an updated electronic [date] DATA 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 cooper-
ative 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 popu-
lation in excess of one hundred twenty-five thousand, with (A) an admin-
istrative 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 restora-
tion, 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 adjust-
ment.
(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 enroll-
A. 7814 4
ment for the base year computed pursuant to subparagraph two of para-
graph 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 pursu-
ant 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) multi-
plied 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 subpara-
graph 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 execu-
tive 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 remain-
der of one less the three-year average free and reduced price lunch
percent computed pursuant to subparagraph (ii) of paragraph p of subdi-
vision 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
A. 7814 5
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 thou-
sand 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 expendi-
tures for central administration, including expenditures for the chief
school officer, the business office, the purchasing office, the person-
nel 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 gener-
al 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 expendi-
tures for central administration, including expenditures for the chief
school officer, the business office, the purchasing office, the person-
nel 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
A. 7814 6
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).
c. The gap elimination adjustment for the two thousand twelve--two
thousand thirteen school year and thereafter shall be equal to the gap
elimination adjustment for the base year, plus, in any year in which the
preliminary growth amount exceeds the allowable growth amount, the prod-
uct of the gap elimination adjustment percentage for such district and
the positive difference, if any, between the preliminary growth amount
less the allowable growth amount, as computed pursuant to subdivision
one of this section, and less the product of the gap elimination adjust-
ment percentage for such district and the gap elimination adjustment
restoration amount, if any, allocated pursuant to subdivision eighteen
of this section. PROVIDED, HOWEVER, THAT THE GAP ELIMINATION ADJUSTMENT
SHALL NOT BE APPLIED TO ANY PORTION OF FUNDS RECEIVED THROUGH INCENTIVE
OPERATING AID PURSUANT TO THIS SECTION.
S 4. This act shall take effect immediately; provided, however, that
the amendments to section 3602 of the education law made by section two
of this act shall take effect on the same date and in the same manner as
section 25 of part A of chapter 58 of the laws of 2011, takes effect;
provided, further, that the amendments to section 3602 of the education
law made by section three of this act shall take effect on the same date
and in the same manner as section 37 of part A of chapter 58 of the laws
of 2011, takes effect.