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Association, and I think you all will remember that

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Mr. Haver gave not only a prepared statement, but a

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great deal of testimony upon examination by members

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of the Committee and the reporter, Mr. Sachs, and

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there were seemingly two areas of disagreement between

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the testimony that Mr. Raver gave and the statements

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made by members of the State Department of Education

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who appeared before the Committee on June 9th.

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Let me say that one of those areas of dis-

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agreement has been resolved to the Committee's satis-

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faction, and I don't think we will have to take any

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time this morning to discuss that point, I have

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reference to the question of whether or not net taxable

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ordinary income is a part: of the formula for determining

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the amount of State contributions to the basic program.

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I think it is perfectly clear from a review

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of the statutes and from a review of a pamphlet called

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Financing Education in our Time for Maryland, which

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Dr. Sensenbaugh kindly forwarded to the Chairman and

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other members of the Committee after the last hearing,

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that net taxable ordinary income is a factor which is