1. (a) For each district, the state’s share of the foundation education aid calculated pursuant to § 16-7.2-3(a) shall use a calculation that considers a district’s revenue-generating capacity and concentration of high-need students. The calculation is the square root of the sum of the state share ratio for the community calculation, pursuant to § 16-7-20, squared plus the district’s percentage of students in grades PK-6 in poverty status squared, divided by two.

   If this calculation results in a state share ratio that is less than the state share ratio for the community calculated pursuant to § 16-7-20(a) and that district’s poverty status percentage as defined in § 16-7.2-3(a)(2) is greater than fifty percent (50%), the state share ratio shall be equal to the state share ratio for the community calculated pursuant to § 16-7-20(a).

2. (b) For purposes of determining the state’s share, school district student data used in this calculation shall include charter school and state school students. These ratios are used in the permanent foundation education aid formula calculation described in § 16-7.2-5.
3. (c) There shall be a poverty loss stabilization fund for districts that experience a decline in the state share ratio calculated pursuant to subsection (a) of this section from the prior year of more than 2.0 percent (2%). The amount shall be equal to fifty percent (50%) of the difference in the amount of permanent foundation education aid received pursuant to § 16-7.2-3 received in the prior year.

History of Section.
P.L. 2010, ch. 124, § 4; P.L. 2010, ch. 125, § 4; P.L. 2013, ch. 501, § 23; P.L. 2016, ch. 142, art. 11, § 2; P.L. 2023, ch. 79, art. 8, § 2, effective June 16, 2023.