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(Parenthesis ( ) Indicate Expenditure Decreases)

Duplicates/Conflicts with/Companion to/Relates to

SOURCES OF INFORMATION

SUMMARY

Synopsis of Bill

The bill appropriates $500.0 from the general fund to the State Department of Education for expenditure in FY 1999-2003 to establish an alternative education pilot program in Sandoval County. Any unexpended or unencumbered balance remaining at the end of fiscal year 2003 reverts to the GF.

Significant Issues

This pilot project would provide eighth grade programs including after school programs, summer programs, and transition programs. Highschool alternative day programs included in the bill are:

• six to eight classrooms for high school students who are not able to succeed in a conventional setting
• variety of different educational approaches and strategies
• opportunities for educational technology
• school to work approaches

Accelerated programs for highschool dropouts would be available thru the project which include:

• educational technology-based learning programs onsite or from remote locations
• opportunities for accelerated and advance learning
• links with community colleges and work force development programs
• evening programs

FISCAL IMPLICATIONS

HB 603 contains a $500,000.00 appropriations but requires that SDE request funding for the alternative education pilot in its annual agency request. This legislation would require SDE to include in the annual budget package funds for the project.

SDE is requesting that school-size formula adjustments be applied to alternative schools to assure equity. Thus, additional funds would be available to school district that desired to operate alternative schools

ADMINISTRATIVE IMPLICATIONS.

A new project would be created for SDE. SDE specifies that the current staff can handle the project if a significant number of other special projects are not approved during the session.

CONFLICT/DUPLICATION/COMPANIONSHIP/RELATIONSHIP

The bill relates to the following: HB242, HB476, HB671, SB173, SB176, SC382

TECHNICAL ISSUES

The State Board of Education (SBE) is the governing body of the public schools and develops legislative proposals every year which includes funding for special projects. SBE decides whether special projects should be funded.

The agency budget is for operational costs only. Flow through funds for school projects should not be included in the agency's budget.

SDE notes the legislation is not clear if the project includes students from Rio Rancho Schools and/or would be available to all eligible students in Sandoval County.

OTHER SUBSTANTIVE ISSUES

Money that flows through the funding formula based on the at-risk money already is intended to address the needs of students in this bill.

CF:BD/njw