4. Graduation decisions at certain private high schools. By the 2006-2007 2007-2008 school year, high school graduation for publicly funded students in private schools approved for tuition that enroll at least 60% publicly funded students, as determined by the previous school year's October and April average enrollment, must be determined by student achievement of the standards of the system of learning results in English language arts, health and physical education, mathematics, science and technology, and social studies, in addition to other requirements that may be established by the trustees. By the 2009-2010 school year, high school graduation for publicly funded students in private schools must be determined by student achievement of the standards of the system of learning results in all content areas of the system of learning results, in addition to other requirements as established by the trustees.

Sec. 3. 20-A MRSA §6209, sub-§3, as enacted by PL 2001, c. 454, §32, is amended to read:

3. Career preparation; foreign languages; visual and performing arts. By the end of the 2002-2003 school year, each school administrative unit shall address in the comprehensive education plan, as required in section 4502, subsection 1, how the school administrative unit will implement for all students the content areas of career preparation, foreign languages and visual and performing arts, including interim targets for partial implementation. By the end of the 2006-2007 2007-2008 school year, each local school administrative unit shall implement standards in these additional content areas of the system of learning results, contingent upon funding based on essential programs and services or its equivalent. Notwithstanding any other provision of this chapter, the commissioner is authorized to establish rules for inclusion of some portion of the standards in visual and performing arts for the graduating class of 2006-07 2007-2008.

Sec. 4. 20-A MRSA §15603, sub-§11-A, as enacted by PL 1993, c. 410, Pt. F, §13, is amended to read:

11-A. Fiscal capacity. "Fiscal capacity" means the ability of a municipality to raise property tax revenues. For each year of funding, fiscal capacity is measured as the average of the state valuation amounts for the 2 most recent years prior to the year of funding. For fiscal year 1993-94 and fiscal year 1994-95 only, if the most recent state valuation amount is less than the average of the 2 most recent state valuation amounts, the fiscal capacity of the municipality is considered to be the state