(a) The Department of Education shall calculate a base cost per student. For the 2007-2008 school year, the base cost per student shall be eight thousand three dollars ($8,003), increased by the 2008-2009 index.

(b) The Department of Education shall determine an adequacy target for each school district by calculating the sum of the following:

(1) A base cost determined by calculating the product of the base cost per student and the school district's modified ADM.

(2) A poverty supplement determined by calculating the product of:

(i) the base cost per student;

(ii) the number of students enrolled in the school district on October 31 of the funding year who were eligible for free or reduced price meals under the school lunch program; and

(iii) forty-three one-hundredths (.43).

(3) A district size supplement determined by calculating the maximum of zero and the product of:

(i) the base cost per student;

(ii) the school district's funding year average daily membership; and

(iii) the sum of four hundred eighty-three one-thousandths (.483) and the product of the natural logarithm of the school district's funding year average daily membership and negative five one-hundredths (-.05);

(4) An English language learner supplement determined by calculating the product of:

(i) the base cost per student;

(ii) the number of enrolled students identified as limited English proficient in the funding year in the school district; and

(iii) the sum of three and seven hundred fifty-three one-thousandths (3. 753) and the product of the natural logarithm of the school district's funding year average daily membership and negative twenty-three one-hundredths (-.23), provided that such amount shall be no less than one and forty-eight one-hundredths (1.48) and no greater than two and forty-three one-hundredths (2.43).

(5) An adjustment for geographic price differences calculated as follows:

(i) Add the amounts under paragraphs (1), (2), (3) and (4).

(ii) Multiply:

(A) the sum under subparagraph (i); by

(B) the school district's location cost metric.

(iii) Subtract:

(A) the sum under subparagraph (i); from

(B) the product under subparagraph (ii).

(c)(1) The Department of Education shall determine a State funding target for each school district by calculating the product of:

(i) the difference between the school district's adequacy target determined under subsection (b) and its actual spending for the funding year, or zero, whichever is greater;

(ii) the school district's market value/income aid ratio for the school year in which funding occurs; and

(iii) the lesser of one (1) and the school district's funding year equalized millage divided by the equalized millage that represents the seventy-fifth percentile of the equalized millage of all school districts in the funding year.

(2) (Reserved).

(d) The Commonwealth shall pay to each school district a basic education funding allocation for the 2007-2008 school year which shall consist of the following:

(1) An amount equal to the basic education funding allocation for the 2006-2007 school year under sections 2502.13(m), 2502.47 and 2504.4(a.3).^{1}

(2) If a school district has been declared a Commonwealth partnership school district under Article XVII-B,^{2} an amount equal to four million dollars ($4,000,000).

(3)(i) For a school district with 2006-2007 equalized millage that is greater than or equal to 24.7, which represents the eightieth percentile of the equalized millage of all school districts as of the effective date of this section, for the 2007-2008 school year, sixteen and seventy-five one hundredths percent (16.75%) of the State funding target determined under subsection (c).

(ii) For a school district with 2006-2007 equalized millage that is less than 24.7, which represents the eightieth percentile of the equalized millage of all school districts as of the effective date of this section, for the 2007-2008 school year, ten percent (10%) of the State funding target determined under subsection (c).

(e) The Department of Education shall provide additional funding for the 2007-2008 school year to any school district where the amount determined under subsection (d)(3) provides an amount less than three percent (3%) of the amount determined under subsection (d)(1). The amount of additional funding shall be the amount required so that the sum of subsection (d)(3) and this subsection equals three percent (3%) of the amount provided under subsection (d)(1).

Credits

1949, March 10, P.L. 30, No. 14, art. XXV, § 2502.48, added 2008, July 9, P.L. 846, No. 61, § 30, retroactive effective July 1, 2008. Amended 2011, June 30, P.L. 112, No. 24, § 34, effective July 1, 2011.