**Appendix B**

**Glossary of ECS
Terms**

**Adjusted equalized net grand list (AENGL)**
is a measure of town property wealth (equalized net grant list) adjusted for per
capita and household income.

**Average mastery percentage** is the average
of a town's three most recent mastery percentages (i.e., the total number of
mastery tests with scores below the remedial assistance standard set by the
state education department divided by the total number of tests taken each
examination year).

**Base aid** is one of the main components of
the ECS grant formula and means the amount calculated by multiplying the per
pupil cost of a minimally adequate education (foundation) times the measures of
educational need in a town (total need students) and local ability to pay (base
aid ratio).

**Base aid ratio** is the factor in the ECS
formula for computing the level of state support a town will receive on a per
pupil basis given its ability to pay.

**Base revenue** refers to a town's prior
year ECS payment excluding any density supplement.

**Cap** refers to a provision enacted by the
legislature that sets a ceiling on the annual increase in a town's ECS grant
payment. The present cap varies with a town's wealth up to a maximum allowable
increase of 6 percent.

**Cap supplement** refers to additional aid
provided on a proportional basis to towns entitled to larger increases
than permitted under current cap provisions in FY 02 and FY 03.

**Density** **supplement **is an
additional payment made under the ECS grant program to towns with higher than
average population density.

**Entitlement aid **refers to the amount of
annual ECS funding a town actually receives; a town's final grant payment after
all components of the formula are calculated and all special adjustments are
applied.

**Equalized net grand lis**t** (ENGL)**
means the average of a town's net grand lists for two, three, and four years
prior to the fiscal year in which an ECS grant is to be paid, which have been
equalized by the Office of Policy and Management to reflect each town's taxable
real and personal property at 100 percent fair market value.

**Formula aid **refers to the amount of
funding a town is targeted to received under the ECS formula __before__ any
special adjustments are applied and __excluding__ any density supplement; it
is the sum of a town's base aid, supplemental aid and regional bonus, if any.

**Foundation** means the amount of money on a
per pupil basis established by the state as the minimum necessary to provide an
adequate education for an average student.

**Hold harmless** refers to provisions
enacted by the legislature to ensure towns do not suffer an ECS aid decrease
from one year to the next.

**LEP count** means the number of
children in a town with limited English proficiency who are __not__ served by
mandatory bilingual education programs.

**Mastery count** is the total number of
resident students in a town times its average mastery percentage (see above
definition).

**Minimum Expenditure Requirement (MER)**
refers to the state mandated lower limit for regular program education spending
by a school district.

**Need students** means the sum of the number
of resident students of the town for the school year, weighted for three student
characteristics generally recognized to increase educational need - poverty,
remedial level performance on standardized proficiency tests, and limited
English proficiency.

**Regional bonus** means an additional
payment under the ECS formula made to towns that are members of regional school
district.

**Regular program expenditures** is a measure
of a town's total current educational expenditures excluding special education
costs and payments made with state and federal grant funds except for ECS grants
and federal impact aid.

**Resident student count **means children
enrolled at a town's expense in public school grades pre-kindergarten through
12, weighted to take into account an extended school year and tuition free
summer school and giving sending and receiving districts shared credit (half
each) for pupils who participate in the statewide interdistrict ("OPEN
Choice") program.

**Special adjustments **refers to the various
provisions enacted by the legislature to limit the amount a town's ECS grant can
change from year to year regardless of the funding amount computed under basic
formula components.

**State guaranteed wealth level (SGWL) **is
amount of local wealth, established by the state, at or above which towns are
deemed able to pay for all educational costs without state support and below
which the state will pay a town a portion of the funds needed to provide an
adequate education.

**Stoploss** refers to provisions enacted by
the legislature that establish a maximum amount a town's ECS grant can decrease
from year to year.

**Supplemental aid** means additional
financial assistance provided to towns based on their proportions of children
who are poor or who perform at the remedial level on state mastery tests.

**Target aid** is another term for formula
aid.

**TFA count **means the number of children in
a town aged 5 through 17 who are eligible for the Temporary Family Assistance (TFA)
program.

**Town wealth **is a measure of ability to
pay for education based on a town's income-adjusted property wealth (AENGL, see
above definition) and its total and student population.