SECTION 1. Section 4 of chapter 62 of the General Laws, as appearing in the 2014 Official Edition, is hereby amended by striking out, in line 7, the figure “5.95” and inserting in place thereof the following figure:- 12.

SECTION 2. Section 2 of chapter 70 of the General Laws, as appearing in the 2014 Official Edition, is hereby amended by striking out the definition of “Assumed in-school special education enrollment”, and inserting in place thereof the following definition:-

“Assumed in-school special education enrollment”, 4 per cent of total foundation enrollment in a district not counting vocational or preschool enrollment, plus 5 per cent of vocational enrollment.

SECTION 3. Section 2 of said chapter 70, as so appearing, is hereby amended by striking out the definition of “Assumed tuitioned-out special education enrollment”, and inserting in place thereof the following definition:-

“Assumed tuitioned-out special education enrollment”, 4 times the statewide foundation budget per-pupil amount less the statewide foundation budget per-pupil amount plus out-of-district special education cost rate; provided, that effective for state fiscal year 2017 such value shall become the base rate and shall be increased by the positive difference by a percentage amount equal to the percentage rise in the United States Consumer Price Index for January first of that year over the level of said Index for January first of the previous year.

SECTION 4. Section 2 of said chapter 70, as so appearing, is hereby amended by striking out the definition of “Foundation benefits”, and inserting in place thereof the following definition:-

“Foundation benefits”, the amount allotted within a district’s foundation budget for the purchase of retired employee health insurance, employee benefits and other insurance in any fiscal year. The foundation benefits shall be the sum of the following:

(a) $4,320 multiplied by the wage adjustment factor multiplied by the sum of the foundation teaching staff, the foundation support staff, the foundation assistants, the foundation principals, the foundation clerical staff, the foundation health care staff, the foundation central office professional staff and the foundation custodial staff; plus

(b) $460 multiplied by the sum of the foundation teaching staff, the foundation support staff, the foundation assistants, the foundation principals, the foundation clerical staff, the foundation health care staff, the foundation central office professional staff and the foundation custodial staff; plus

(c) $230 multiplied by the foundation vocational staff; plus

(d) the fiscal year per capita cost of retired employee health insurance; provided that if there is a conflict between the language of this clause and any other general or special law the addition of this benefit shall control.

SECTION 5. Section 2 of said chapter 70, as so appearing, is hereby amended by inserting after the definition of “Professional development allotment” the following definition:-

“Employee health insurance”, the average group insurance commission rate adjusted by any increase in such rate; provided, that the group insurance commission shall annually, on or before June 30, provide the department with data necessary for the determination of such rate or any increase thereof.

SECTION 6. (a) Notwithstanding subsection (ff) of section 89 of chapter 71 of the General Laws or any other general or special law or rule or regulation to the contrary, each commonwealth charter school provided for in said section 89 shall agree with the department of elementary and secondary education upon a target number of students which is the expected need of the local community for that charter school and is at or under the physical capacity of the school building.

(b) Each commonwealth charter school shall receive all of its funding from the commonwealth, in an amount equal to the statewide average per-pupil expenditure in the previous school year times the target number of students agreed upon for that school. In each year, the school shall receive $500 extra for each student enrolled above the target number, and $500 less for the number of students below the target number which are enrolled in that year. No money shall be transferred from districts or district schools, as those terms are defined in said section 89 of said chapter 71, to commonwealth charter schools. District school funding and budgets shall in no way be affected by the number of students residing in that district who attend charter schools.

(c) State reimbursement to district schools shall sunset after the 2017-2018 school year.