March 13, 2001

Mr. President:

Your FINANCE COMMITTEE, to whom has been referred

has had it under consideration and reports same with recommendation that it DO PASS, amended as follows:

1. Strike all senate education committee amendments.

2. On page 3, between lines 21 and 22, insert the following new section:

"Section 2. Section 22-8-18 NMSA 1978 (being Laws 1974, Chapter 8, Section 8, as amended) is amended to read:

"22-8-18. PROGRAM COST CALCULATION--LOCAL SCHOOL BOARD RESPONSIBILITY.--

A. The total program units for the purpose of computing the program cost beginning with the 2002-2003 school year shall be calculated by multiplying the sum of the program units itemized as Paragraphs (1) through (4) [in] of this subsection by the [instruction] sum of the instructional staff training and experience index and the result of subtracting one from the classified staff training and experience index calculated as set forth in Section 22-8-24.1 NMSA 1978 and multiplying the remainder by one-tenth, and adding the program units itemized as Paragraphs (5) through (8) in this subsection. The itemized program units are as follows:

(1) early childhood education;

(2) basic education;

(3) special education, adjusted by subtracting the

units derived from membership in class D special education programs in private, nonsectarian, nonprofit training centers;

(4) bilingual multicultural education;

(5) size adjustment;

(6) at-risk program;

(7) enrollment growth or new district adjustment; and

(8) special education units derived from membership in class D special education programs in private, nonsectarian, nonprofit training centers.

B. The total program cost calculated as prescribed in Subsection A of this section includes the cost of early childhood, special, bilingual multicultural and vocational education and other remedial or enrichment programs. It is the responsibility of the local school board to determine its priorities in terms of the needs of the community served by that board. Funds generated under the Public School Finance Act are discretionary to local school boards, provided that the special program needs as enumerated in this section are met."".

Respectfully submitted,

__________ ______________________

Ben D. Altamirano, Chairman

Adopted_______________________ Not Adopted_______________________

(Chief Clerk) (Chief Clerk)

Date ________________________

The roll call vote was 6 For 0 Against

Yes: 6

No: 0

Excused: Carraro, Rawson, Tsosie, Wilson

Absent: None

S0756FC1 .138233.1