ID S1146

Board of trustees must hold a public meeting to receive input on solutions before declaring a financial emergency.

Board may declare a financial emergency if state department of education certifies one or more conditions are met: base salary multipliers reduced by 1.5% or more, minimum instructional salary reduced by 1.5% or more, or total general fund money per support unit reduced by more than 3%.

Board may alternatively declare emergency if property tax revenue reduction exceeds 5.5% of prior year general fund budget or general fund decreased by at least 3.5% due to funding decrease or natural disaster, with state department certification that unrestricted general fund balance is below 5.5%.

Upon declaration, board gains power to reopen salary and benefits compensation aspects of negotiated agreements and may impose its last best offer after good faith negotiations if no agreement is reached.

Financial emergency is effective for only one fiscal year and cannot be declared for a second consecutive year unless qualified by additional reductions meeting the specified conditions.