WILLIAM DONALD SCHAEFER, Governor                         Ch. 606

county does not exceed a certain amount from one fiscal year to the next; requiring
the State Board of Education to take certain actions by a certain date; specifying the
application of this Act under certain circumstances; and generally relating to the
manner in which certain compensatory education funds are allocated to the
counties of the State when certain student population shifts occur.

BY repealing and reenacting, with amendments,
Article - Education
Section 5-202(e)
Annotated Code of Maryland
(1992 Replacement Volume and 1993 Supplement)

SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF
MARYLAND, That the Laws of Maryland read as follows:

Article - Education

5-202.

(e) (1) Each county board and the Mayor and City Council of Baltimore City
shall receive from the State, in the manner and subject to the limitations under this
section, an amount for each school year to be known as the "compensatory education
funds", which shall be calculated as indicated in this subsection.

(2)     (i) For each fiscal year, the compensatory education funds program
level is the product of 25 percent of the per pupil basic current expense figure for the
current fiscal year, rounded down to the nearest dollar, and the statewide Chapter 1
eligible count for the prior fiscal year.

(ii) The amount to be provided to each county under this program is
determined as follows:

1.       For each fiscal year, the product of the Chapter 1 eligible
count for the prior fiscal year for each county and the equivalent of 25 percent of the per
pupil basic current expense figure for the current fiscal year, rounded down to the nearest
dollar.

2.       This product shall be divided by the ratio, rounded to 7
decimal places, of county wealth per county full-time equivalent enrollment to statewide
wealth per full-time equivalent enrollment.

3.       These results shall be multiplied by a factor rounded to 7
decimal places and calculated by dividing the compensatory education funds program
level by the sum of the quotients determined in paragraph (2)(ii)2 of this subsection.

(3)     (i) The compensatory education funds shall be used for expenses of
instruction except that a county must expend no less than the amount provided in
subparagraph (ii) of this paragraph to provide dedicated compensatory programs for
children with special education needs that have resulted from educationally
disadvantaged environments.

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