(1) Annually the department shall reduce each school district’s state aid payment under s. 121.08, or other state aid payments, if necessary, by an amount calculated as follows: (a) Determine the number of pupils counted in the school district’s membership who are attending the Challenge Academy program under s. 321.03 (1) (c). (b) Multiply the result under par. (a) by the lesser of the following: 1. The amount determined by the department of military affairs under s. 321.03 (1) (c) 1. 2. The amount determined for the school district under s. 121.91 (2m) (e) 3. for the current school year. (2) From the appropriation under s. 20.255 (2) (ac), annually the department of public instruction shall pay to the department of military affairs an amount equal to the sum of the reductions under sub. (1). The department of public instruction shall ensure that the aid adjustment under sub. (1) does not affect the amount determined to be received by a school district as state aid under s. 121.08 or for any other purpose.
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