Elements of the state plan:
• All school units must work with other units to reorganize and consolidate administration.
• If expansion is impractical, the unit must look at its own structure to cut costs.
• All new districts must try to meet a 2,500-student benchmark for urban areas and 1,200 for rural. Offshore islands and tribal schools are exempt.
• Legislative intent is to have no more than 80 school districts.
• Reorganization plans are subject to a referendum vote.
• Districts that choose not to reorganize by July 2009 could face penalties, including a loss of minimum state subsidies or an increase in mill rates.
• The plan is expected to book $36.5 million in savings.
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