124th MAINE LEGISLATURE
		LD 977		LR 1933(01)
	An Act To Repeal the School District Consolidation Laws
	Preliminary Fiscal Impact Statement for Original Bill
	Sponsor: Initiated Bill
	Committee: Education and Cultural Affairs
	Fiscal Note Required: Yes
Preliminary Fiscal Impact Statement
			2009-10	2010-11	Projections 2011-12	Projections 2012-13
Net Cost (Savings)
	General Fund		$37,351,286	$38,202,896	$38,787,400	$39,380,847
Appropriations/Allocations
	General Fund		$37,351,286	$38,202,896	$38,787,400	$39,380,847
Referendum Costs		Month/Year	Election Type	Question	Length
		Nov-09	General	Initiated Bill	Standard
	The Secretary of State's budget includes sufficient funds to accommodate one ballot of average length for the general election in November.  If the number or size of the referendum questions requires production and delivery of a second ballot, an additional appropriation of $107,250 may be required.
Fiscal Detail and Notes
	This is an initiated bill.  Unless enacted without change during the First Regular Session of the 124th Legislature, this bill and any competing bills must be submitted to the voters at the next statewide election.
	If enacted, or approved by the voters, this legislation will increase the total state and local cost of K-12 public education by approximately $67,911,430 in fiscal year 2009-10 and $69,459,811 in fiscal year 2010-11 in order to restore funding that was reduced to certain cost components within essential programs and services (EPS) to recognize savings that were anticipated to be achieved as a result of the consolidation of school administrative units.  Beginning in the 2008-2009 school year, Public Law 2007, c.240, Part XXXX reduced the system administration cost component of essential programs and services (EPS) by 50% and the operation and maintenance of plant, special education, and transportation cost components of EPS by 5% each.  The fiscal year 2009-10 and 2010-11 estimates are based on the projected cost to state and local governments of $66,397,565 in fiscal year 2008-09 increased by average growth in the State's real personal income of 2.28% for the 2010-2011 biennium and 1.53% for the 2012-2013 biennium.
	The General Purpose Aid for Local Schools program within the Department of Education will require additional General Fund appropriations $37,351,286 in fiscal year 2009-10 and $38,202,896 in fiscal year 2010-11 for the State's share of restoring the funds.  The increased costs to local towns and municipalities associated with funding the local share is estimated to be $30,560,143 in fiscal year 2009-10 and $31,256,915 in fiscal year 2010-11, or approximately 0.3 mills each year.