INFORMATIONAL

  The total 1997-98 adjustment to Basic Aid Payments for each
  school division's share of the cost of educating their
  children in state mental retardation facilities (MR) and in
  state mental health hospitals (MH) is attached.  The
  Department of Education will make this adjustment on the May
  15, 1998, EDI. In addition, adjustments will also be made for
  the summer Governor's Schools and Foreign Language Academies,
  Electronic Classroom, and tuition for the Deaf/Blind Schools
  (as stated in Informational Supts. Memo No. 160 dated
  September 27, 1996).  These adjustments, however, are not
  included in the attachment.

  Please note that the data used to calculate the adjustment to
  Basic Aid and the actual transfer to the Department of Mental
  Health and Mental Retardation and to the Division of Special
  Education are based on enrollment data for the 1996-97 school
  year.  This action is in accordance with language contained in
  Item 140 C (2) (d) of Chapter 924 (1997 Virginia Acts of
  Assembly), dated April 30, 1997.

  In order to maintain proper accounting for the funds involved,
  it is necessary for each school division to note, in its
  Annual School Report submission, the gross receipt of Basic
  School Aid funds under line 2402020 (Basic School Aid).  The
  sum extended under subject provisions should be reported in
  the Function of Instruction, appropriately accounted for under
  the respective program(s).

  If you have questions, please call Mrs. June F. Eanes, Budget
  Director, at (804) 225-2060, or Mrs. Leigh H. Williams, Budget
  Analyst, at (804) 225-2031.      

  RTL:lw
  Attachments: A hard copy of this memo and its attachments
               will be sent to the superintendent's office.