(a) School districts with less than $75,000 total funding available from all consolidated application sources must enter into a cooperative program. Any district receiving consolidated application funds on January 1, 1978, and which was not then required to enter into a cooperative is exempt from this requirement. Where the cooperative administrative agency is a county office of education, and the participating district is a direct service district, changes may be made only for those services that are in addition to those that are provided as direct services.
(b) Each cooperative shall annually execute a formal agreement with each participating district regarding levels and types of services and amounts to be changed for those services.