A. The teacher cost index for each school district or charter school shall be calculated in accordance with instructions issued by the department. The teacher cost index for a school district in its first year of operations is 1.0. The teacher cost index for a school district or charter school in its second or subsequent year of operations is the greater of 1.0 or the average of the licensure-experience factors of all full-time-equivalent teachers on the school district's or charter school's payroll in October of that year who are assigned classroom teaching responsibilities. The licensure-experience factor of a teacher corresponds to the teacher's licensure level and years of experience and is as follows:
B. Beginning in 2021, the department, legislative education study committee staff and legislative finance committee staff shall jointly prepare and submit a report by November 1 of each year to the governor, the legislative education study committee and the legislative finance committee that includes:
(1) data on the relationship of licensure-experience factors to actual teacher costs;
(2) an analysis of the relationships among a teacher's licensure level, educational attainment, years of experience and salary; and
(3) recommended changes, if any, to this section of the Public School Finance Act.
C. As used in this section:
(1) "licensure level" is the teaching licensure level as defined in the School Personnel Act [Chapter 22, Article 10A NMSA 1978]; and
(2) "years of experience" is as defined by department rule.