Bill > HB2025

This bill establishes the School District Impasse Recovery Fund to help school districts manage financial challenges during a state budget impasse. The fund will reimburse school entities (including school districts, intermediate units, and area career and technical schools) for eligible expenses incurred during periods when the state's annual budget has not been enacted. Eligible expenses include interest on short-term borrowing, credit line fees, penalties for deferred vendor payments, and other emergency financial measures. School entities can apply for reimbursement within 45 days of the impasse period's end, and the Department of Education will review and approve applications within 30 days. The total reimbursement cannot exceed the documented expenses, and the General Assembly must appropriate sufficient funds to cover these expenses in the following year's budget. The bill requires the Department of Education to provide aggregated expense data to key legislative leaders and specifies that the fund's money cannot be transferred or used for other purposes. The legislation aims to provide financial relief and support for school entities during state budget uncertainties, ensuring they can continue operations and meet financial obligations.

Budget and Finance

https://www.palegis.us/legislation/bills/2025/hb2025