Sec. 1. 20-A MRSA §5021, sub-§8, as enacted by PL 1999, c. 439, §1, is amended to read:

8. Reimbursement for students enrolled in equivalent instruction programs. A school administrative unit is entitled to receive state subsidy for any student who receives instruction through one or more on-site academic courses from a public school but is not a full-time student. A school administrative unit that sends any tuition student to another school administrative unit or to a private school approved pursuant to chapter 219 is also entitled to receive state subsidy under this subsection. The rate of reimbursement must be established in increments of 0.25 full-time equivalent status up to 1.0 full-time equivalent status based on the average amount of time per day that a student receives on-site academic services from a public school. School administrative units shall keep an accurate count of the number of students receiving on-site academic services and shall include the full-time equivalency status of these students in the annual count of students attending school in accordance with section 6004. A student enrolled in an equivalent instruction program at home who does not receive instruction through on-site academic courses is included in the funding formula for the school administrative unit in which that student resides as equal to .25 of a full-time regular student for funding purposes.

Sec. 2. 20-A MRSA §5021, sub-§9 is enacted to read:

9.__Examination of students enrolled in equivalent instruction programs.__A student enrolled in an equivalent instruction program, including home instruction, is required to participate in the Maine Educational Assessment exams.

Sec. 3. 20-A MRSA §15605, sub-§2, ķA, as enacted by PL 1983, c. 859, Pt. G, §§2 and 4, is amended to read:

A. The foundation per pupil operating rate shall be is the summary of actual local operating costs of all school administrative units of the base year adjusted to the year prior to the year of allocation divided by the average total resident pupils in sections 5104 and 6004 educated at public expense in kindergarten to grade 12 on April 1st and October 1st of the calendar year prior to the year of allocation.

(1) The elementary foundation per pupil operating rate shall be is the summary of actual local operating costs of all school administrative units of the base year adjusted to the year prior to the year of allocation