Presented by a bipartisan working group consisting of members from the Legislature’s Education and Appropriations committees, the rural caucus, leadership and interested parties.

Timeline: Affected districts must pose a ballot question next January. Districts that vote not to consolidate at that point have until July 1, 2009, to avoid penalties.

Districts not required to consolidate must submit a report by December on how they will achieve “administrative savings.”

The fiscal 2009 budget must reflect a $36.5 million savings from administrative reorganization, and districts that have not consolidated will be penalized.

Number of districts: About 80

Size of school administrative units: Rural districts, a population of less than 100 per square mile, must have at least 1,200 students. Urban districts must have at least 2,500 students.

Governance: “Flexible and not prescribed,”each unit will be governed by an executive board assisted by local school communities.

Plan B

Presented by the rural caucus, about 45 legislators from rural areas.

Timeline: Districts that are ready can vote in January and take effect in July 2008. The absolute deadline is a vote in June 2008 for July 2009 implementation.

Beginning in fiscal 2009, the budget will reflect a $36.5 million savings in administrative costs.

What to do with “high performing and administratively efficient districts” that are not required to consolidate has not been determined.

Number of districts: No maximum number

Size of districts: Same as Plan A.

Governance: School administrative units and “Super Unions”

Similarities between the two reports

Issues that have not been addressed: education in the unorganized territories, incentives and penalties.

Collaboration to achieve the $36.5 million savings could come from transportation costs, preparation of payrolls, bookkeeping, purchasing equipment, supplies, food and fuel.

Schools will retain local control, but must keep a transparent budget. A two-third vote of new school boards will be required to close a school.

Island and tribal schools will be exempt.