(3)__The reconfiguration plan must be designed to provide for its full implementation within a 5-year period; and

(4)__No annual distribution of supplemental school subsidy provided on a transitional basis under this section may be authorized unless the reconfiguration plan is being implemented on schedule and the appropriate legislative body or bodies have annually validated their original endorsement of the plan.

10. Planning grants.__The review panel established pursuant to subsection 5 may award eligible applicants a planning grant, in an amount not to exceed $10,000, to support technical assistance and facilitation needed for development of a proposal for one or more qualifying actions potentially eligible for funding under subsections 6 to 9.__The review panel may award a planning grant under this subsection prior to adoption of rules required under subsection 11.

11.__Rulemaking.__No later than January 1, 2006, the department shall adopt rules governing the schedule for submission and action on competitive grant proposals submitted pursuant to subsections 6 and 7, related submission and information requirements including, but not limited to, information that an applicant must provide to demonstrate significant cost savings, the methodology for determining such significant cost savings, the methodology for estimating anticipated return on investment of fund proceeds through issuance of grants and criteria for scoring and prioritizing among grant proposals.__The department may adopt any rules necessary for the administration of the fund.__Rules adopted pursuant to this subsection are routine technical rules as defined in Title 5, chapter 375, subchapter 2-A.

Sec. 16. 30-A MRSA c. 230 is enacted to read:

CHAPTER 230

FUND FOR THE EFFICIENT DELIVERY

OF LOCAL AND REGIONAL SERVICES