Bill > HB3275

This bill modifies provisions related to how school districts manage their money, specifically focusing on four main funds: the Teachers' Fund, Incidental Fund, Capital Projects Fund, and Debt Service Fund. It clarifies how money from various sources, including taxes, state aid, tuition, and donations, should be allocated to these funds. The bill also establishes rules for transferring money between these funds, allowing for flexibility in certain situations, such as using incidental funds for capital projects or transferring surplus debt service funds to the teachers' fund. Importantly, starting in the 2027-28 school year, any interest earned on money in these funds must be used to supplement teacher salaries, and the Capital Projects Fund will be capped, with excess funds also going towards teacher salaries. The bill also permits school districts to invest surplus funds in various secure options and specifies that interest earned from these investments will also supplement teacher salaries. Finally, it sets an effective date of July 1, 2027, for these changes.

https://house.mo.gov/Bill.aspx?bill=HB3275&year=2026&code=R