SD HB1131

Amends how school districts calculate the "general fund base percentage" used to determine allowable general fund cash balances by using the lesser of current year fall enrollment or the average of the previous two years' enrollment, rather than comparing to either of the previous two years individually

Introduces a sliding scale formula for mid-sized districts (200-600 students): the percentage equals 45 minus the product of fall enrollment multiplied by 0.025, creating a gradual transition between the 40% rate for small districts and 25% rate for large districts

Maintains the existing 40% general fund base percentage for districts with 200 or fewer students and 25% for districts with 600 or more students

Clarifies statutory definitions for "general fund base percentage" and "allowable general fund cash balance" to explicitly describe these as limits on the maximum amount a district may hold in its general fund