INFORMATIONAL

Estimates of unadjusted and adjusted Average Daily Membership (ADM) for the current 
year (Fiscal Year 2000) have been revised based on actual September 30, 1999, Fall 
Membership.  These revised estimates represent a decrease in unadjusted ADM of 5,551 
students from the estimates contained in the 1998-2000 Appropriation Act (Chapter 935).  
The Sales Tax estimate used to compute Basic Aid has been increased to $734,100,000 
for fiscal year 2000.  The estimated sales tax distributions used to compute Basic 
Aid have been adjusted for the 1999 school age census.

Based on these revisions, estimated entitlements for fiscal year 2000 for all ADM 
driven accounts have been recomputed.  These estimates, along with the revised 
information for other accounts, are provided on the attached distribution sheet.

These revised entitlements are estimates and cannot be finalized until the actual 
March 31, 2000, ADM is reported.  While we have confidence in the accuracy of our 
projections of total ADM for the state, experience has shown that the accuracy of 
our projections for individual localities may vary.  When localities believe that 
they have more accurate projections of their March 31 ADM, they are encouraged to 
substitute their estimates for those provided in this document.

Several additional changes are reflected on the individualized distribution sheets.  
They are:

1. The per pupil amount for state lottery funds has been increased to $196 per pupil. 
2. An additional account has been added to distribute prior year excess lottery revenue 
   for the state's share of $4.70 per pupil based on adjusted ADM.  These funds are 
   to be matched by the local government, based on the composite index of local ability-
   to-pay. The same guidelines apply to these funds as to other lottery funds.

3. The Lottery Hold Harmless account has been reduced by the amount received through 
   the prior year lottery revenue.

Questions may be directed to Mr. Daniel S. Timberlake, assistant superintendent for 
finance, or Ms. June F. Eanes, budget director, at (804) 225-2025.

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