Bill > S1082

This bill allows regional school districts, which are entities formed by multiple towns to share educational resources, to establish "stabilization funds." These funds act as a savings account for the district, and can be funded by including up to five percent of the previous year's apportioned costs in the annual budget, or a larger amount if approved by the director of accounts, a state official overseeing municipal finance. Member towns have 60 days to approve the fund's establishment, and if they don't act, they are considered to have approved it. The total amount in the fund cannot exceed five percent of the combined equalized valuations, which represent the assessed value of property in the member towns. The fund can be used for purposes for which the district can borrow money or other district needs approved by the director of accounts, and requires a two-thirds vote of the regional district school committee to access. The treasurer of the regional school district will manage the fund, and its balance and transactions must be reported annually to the member municipalities.