| 4.__Adjustment for new state funding.__If the State provides |
| net new funds to a school administrative unit for existing |
| services funded in whole or in part by assessments, other than |
| required state mandate funds pursuant to Title 30-A, section 5685 |
| that do not displace current assessment-funded expenditures, the |
| school administrative unit shall lower its assessment limit in |
| that year in an amount equal to the net new funds.__For purposes |
| of this section, "net new funds" includes, but is not limited to, |
| any additional state subsidies provided to the school district |
| related to implementation of the goal of 55% state funding of |
| kindergarten to grade 12 education costs pursuant to the School |
| Finance Act of 2003 set forth in chapter 606-C and includes the |
| net of any additional local costs or additional state subsidies |
| resulting from implementation of the essential programs and |
| services model set forth in chapter 606-B, and "net new funds" |
| means the amount of subsidy received by the unit from the State |
| in that fiscal year, with respect to services funded in whole or |
| in part by assessment, less the following product:__the amount of |
| such subsidy received in the prior fiscal year multiplied by an |
| adjustment factor.__The adjustment factor equals:__one plus the |
| income growth factor defined in subsection 3 plus the annual |
| property growth factor as defined in subsection 1 for member |
| municipalities.__In the event a school administrative unit |
| receives net new funds in any fiscal year for which its |
| assessment limit has not been adjusted as provided in this |
| subsection, the school administrative unit shall adjust its |
| assessment limit in the following year in an amount equal to the |
| net new funds. |
