SB-0954 Summary

• Amends the State School Aid Act of 1979 to revise deficit elimination plan requirements for school districts and intermediate districts receiving state aid.

• Department of Education may withhold state aid payments from districts with existing deficits, deficits in the most recently completed fiscal year, or projected deficits, until an approved deficit elimination plan is submitted.

• Requires the Department of Treasury to consult with the Department of Education, district chief administrative officers, and intermediate superintendents when administering enhanced deficit elimination plans for districts in severe financial condition.

• Defines three key terms: "deficit elimination plan," "deficit fund balance," and "enhanced deficit elimination plan" for purposes of implementing deficit oversight procedures.

• Ties effectiveness to concurrent passage of Senate Bills 951, 952, and 957 of the 97th Legislature.