Transportation Operating 76,147,845

Bus Purchases (including lease-purchases) 10,000,000

Program Cost Total 336,839,607

Less percentage reduction pursuant

to the Maine Revised Statutes,

Title 20-A, section 15603,

subsection 26-A, paragraph F (10,071,504)

Adjusted Program Cost Total 326,768,103

____________

Foundation Total - Combined Adjusted Operating

and Program Cost $1,340,604,442

Sec. N-7. Foundation subsidy indexes. This section establishes mill rates pursuant to the Maine Revised Statutes, Title 20-A, chapter 606 as follows: operating cost millage, 8.96 mills; program millage limit, 1.35 mills.

Sec. N-8. Foundation reduction percentages. This section establishes reduction percentages as follows: program cost reduction percentage, 2.99%; transportation operating reduction percentage, 2.99%.

Sec. N-9. Foundation appropriation. The foundation appropriation provided for general purpose aid for local schools for the fiscal year beginning July 1, 2004 and ending June 30, 2005 is calculated as follows:

2004-05 2004-05

TOTAL STATE

Foundation Total - Combined Adjusted

Operating and Program Cost $1,340,604,442 $633,772,413

Minimum State Subsidy 2,256,924 2,256,924

______________ ____________

ADJUSTED FOUNDATION ALLOCATION

TOTAL $1,342,861,366 $636,029,337

Sec. N-10. Debt service allocation. The debt service allocation of state and local funds for fiscal year 2004-05 for the purposes listed in this section is as follows:

2004-05

TOTAL