COMMONWEALTH OF VIRGINIA
DEPARTMENT OF EDUCATION
P.O. BOX 2120
RICHMOND, VIRGINIA 23218-2120
SUPTS. MEMO NO. 208
December 5, 2003
INFORMATIONAL
|
TO: |
Division
Superintendents |
|
FROM: |
Jo Lynne
DeMary Superintendent
of Public Instruction |
|
SUBJECT: |
Composite
Index of Local Ability-to-Pay for the 2004-2006 Biennium |
This memorandum and the attachments contain
information regarding the
Composite Index of Local Ability-to-Pay for the 2004-2006 biennium, which will
begin July 1, 2004. The 2004-2006
composite index was calculated using 2001 base-year data provided by the
Department of Taxation for adjusted gross income, taxable retail sales, and
true value of real property. The
estimates of local population for 2001 are provided by the Weldon Cooper Center
for Public Service at the University of Virginia, and the March 31, 2002,
average daily membership is taken from the data reported by school divisions to
the Department of Education.
The
Department of Education will use this composite index in calculating the state
share of applicable school division entitlements for the Governors introduced
budget for the 2004-2006 biennium.
Information regarding these entitlements will be made available to you
in late December following the release of the Governors 2004-2006 introduced
budget.
Attachment A
to this memorandum includes the composite index calculated using the total
Adjusted Gross Income (AGI) for each locality.
Attachment B shows an alternative composite index for those localities
in which three percent or more of their total AGI is derived from individuals
who are not residents of Virginia. The
alternative index in Attachment B excludes non-resident AGI data from the
composite index calculation. As
provided in the appropriation act, school divisions whose total Virginia AGI
consists of at least three percent or more from nonresident income may elect to
exclude such nonresident income from the computation of the composite index.
Each school
division that elects this option must have certified its intention to do so to
the Department of Education on or before January 1, 2004. Attachment C contains the certification form
that is to be completed and returned to the Department of Education in order to
elect the nonresident AGI exclusion option.
Only those school divisions listed in Attachment B that meet the three
percent or greater nonresident AGI requirement are eligible to submit
Attachment C to the department.
Downloadable
Excel and PDF files containing the 2004-2006 composite index for each school
division are available on the Department of Education website at:
http://www.pen.k12.va.us/VDOE/Finance/Budget/bods.html
In addition,
at the website referenced above, an Excel file will be made available that
will allow you to view the detailed calculation of your 2004-2006 composite
index. The file will display all of the
data elements used and the steps involved in the calculation of your 2004-2006
index. In addition, this file will provide
comparisons between the per pupil and per capita components of your index
relative to statewide averages. It is
anticipated that this file will be available after December 12, 2003.
If you have
questions or need additional information concerning this data, please contact
the budget office at (804) 225-2025 or by e-mail (e-mail addresses available at
http://www.pen.k12.va.us/VDOE/Finance/Budget/dir.html).
JLD/kcd
/administrators/superintendents_memos/2003/inf208a.pdf