P.O. BOX 2120

February 9, 2001

TO: Division Superintendents
FROM: Jo Lynne DeMary
Superintendent of Public Instruction
SUBJECT: Changes to the 2000-2002 Biennial Budget Proposed by the Senate and the House of Delegates


On Sunday, February 4, 2001, the Senate Finance and House Appropriations Committees adopted changes to the 2000-2002 biennial budget as amended by Governor Gilmore (reference Informational Superintendent's Memorandum No. 223, dated December 22, 2000). These changes were later adopted by the full membership of the House of Delegates and the Senate. The changes affect fiscal years 2001 and 2002. Fiscal year 2001 began on July 1, 2000, and ends on June 30, 2001. Fiscal year 2002 begins on July 1, 2001, and ends on June 30, 2002.

In his introduced budget, the Governor proposed several new initiatives, as well as technical revisions to the Standards of Quality and other related accounts. The budget proposed by Governor Gilmore is the base against which the House of Delegates and the Senate made changes.

The attachments enclosed provide information on the changes adopted by the House and the Senate. Unless specifically noted in the attached sheets, the proposals contained in the budget approved last year by the Governor and the General Assembly will continue with only technical adjustments for enrollment and participation levels or changes in unit costs. Please note that these attachments include the Standards of Quality, Incentive-based, and Categorical accounts. The attachments for this memo include:

Attachment A Ė- A detailed summary of changes proposed by the Senate and the House of Delegates to the Governorís introduced budget (HB1600/SB800).

Attachment B -- Locality specific printouts showing the funding proposed by the Senate for fiscal years 2001 and 2002.

Attachment C -- Locality specific printouts showing the funding proposed by the House of Delegates for fiscal years 2001 and 2002.

In addition to the above attachments, two downloadable Excel files were created to assist divisions in calculating projected state entitlements and local matches for Direct Aid programs. Attachment D to this memorandum provides detailed instructions for accessing these Excel files. The Excel files are located on the departmentís website and may be downloaded from the following address:

Please note that the recommendations proposed by the House of Delegates and the Senate are not final. A Conference Committee will make final recommendations after differences between the House and Senate proposals have been resolved. The Conference Committee's recommendations will be presented to each chamber around the third week in February for consideration.

Final action by each chamber will occur before adjournment, which is scheduled for February 24, 2001. After final actions have been taken, the department will provide you with additional information concerning the budget, via a regulatory superintendentís memorandum. After adjournment, the budget will be presented to the Governor to be signed and will be enacted upon his signing.

If you have any questions, or need additional information, please contact Daniel S. Timberlake, assistant superintendent for finance, or budget office staff
at (804) 225-2025.