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Home > Rules & Legislation > Letters from the Commissioner > Administrative Letters > Letter 32



TO:                 Superintendents of Schools

FROM:            Susan A. Gendron, Commissioner

DATE:             June 13, 2007

RE:                 Enacted General Purpose Aid for Local Schools (GPA) Funding for FY 2007-08

The enclosed subsidy printout (ED 281) for your unit(s) is based on the Chapter 240, Part C enacted budget signed by the Governor on June 7, 2007.
The amounts on the subsidy printouts (ED 281) are based on the Essential Programs and Services Model and the Mill Expectation Formula pursuant to 20-A MRSA Chapter 606-B as amended by Public Law 2007, Chapter 240.  The State share is based on the level of the funding for 2007-08 of $977,958,385, enacted into law in Chapter 240, Part C.   This represents an increase of $64 million in State aid to local schools from 2006-07 to 2007-08.
School administrative unit 2007-08 budgets and warrant articles should be based on 20-MRSA Section 15690.  Please refer to Administrative Letter #20 dated February 13, 2007, “2007-08 Budget Reporting” for procedures in reporting your unit’s 2007-08 budget information – available at the website below:

The EPS Allocations include the total of Operating Allocation, Other Subsidizable Costs, and Debt Service Costs defined as follows:

  • Operating Allocations include weighted amounts for disadvantaged students; weighted amounts for limited English proficient students; targeted funds for standards based system, technology, and kindergarten through grade two; and adjustments for isolated small schools.
  • Other Subsidizable Costs include allocations for approved gifted and talented programs; EPS special education allocation; approved vocational (CTE) educational programs; EPS transportation operating allocation; and approved bus purchases.
  • Debt Service Costs include principal and interest payments for school construction bonds or portion of bonds that are approved for subsidy; approved leases and lease-purchases; and insured value factor expenditures.

The State Share includes adjustments for debt service, per 20-A MRSA Section 15689, minimum special education based on the EPS special education model, and minimum State allocation. 
Answers to many frequently asked questions are provided in the enclosed fact sheet titled “FACT SHEET for use with the Enacted FY 2007-08 subsidy amounts – ED 281 Computation of Unit Allocation to Fund Public Schools”.

For questions regarding estimates, please contact Jim Rier, Suzan Beaudoin or Joanne Allen of the Department of Education’s School Finance and Operations by email to ,  or


Attachment:  Fact Sheet for Use with Enacted FY 2007-08 Subsidy Amounts