I have been banging my head against the table on this one for a week...
I have the first part, but I am looking for the answer to the second (bolded) statement:

Calculate the Z-Score to determine the percentage in specification and the percentage expected to be out of specs.

Formula: z = x - mean divided by standard deviation

Z = .025974 The chance probability is .489639

Calculate the average student score necessary for the district to retain funding. (Assume the standard deviation will not change)

Information provided.

Total Students:1000 (N = 1000)
Mean = 69.7 (u = 69.7)
Standard Deviation = 11.56

Last year, only 49% of the students scored 70% or >