P. O. BOX 2120
July 16, 1999


TO: Division Superintendents
FROM: Paul D. Stapleton
Superintendent of Public Instruction
SUBJECT: School Health Incentive Fund Grant

The 1998 General Assembly, as part of the Appropriation 
Act, created the school health incentive fund grants by 
providing additional funding of approximately $1.4 million 
in each year of the 1998-2000 budget. This funding is for 
an incentive-based account to increase the number of state-
supported nurse hours by 0.523 hours for an estimated 
number of students eligible for the federal free lunch 
program.  This payment is in addition to the 0.954 hours 
funded in Basic Aid for school nurses and is adjusted for 
the composite index.  The budget language from the 1999 
Appropriation Act governing this grant is attached as 
Appendix A.

In accordance with provisions of the Appropriation Act, 
division grant amounts for fiscal year 2000 are prorated 
based on the actual school nurse expenditures in fiscal 
year 1997 as a percentage of state and local SOQ school 
nurse funding in fiscal year 1997.  Projected grant amounts 
for fiscal year 2000 are attached as Appendix B.

To receive this funding, school divisions are required to 
submit a grant application to be reviewed by their School 
Health Advisory Boards describing how the funds would be 
used and certify that the division is utilizing its current 
fiscal year 1997 SOQ funding for nursing services.  The 
intent of the General Assembly for the use of these funds 
is to increase the amount or quality of nursing services 
provided directly to students.

The application forms for these grants are attached as 
Appendix C. Applications must be submitted to the 
Department of Education by August 13, 1999.  The final 
selection process will be completed by September 1,1999. 
You will be notified via fax of your application approval 
and grant award.  If you have any questions or need 
additional information, please call Gwen Smith, school 
health specialist at 804-786-8671 or fax 804-371-8796, e-


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