The resolution SCR1042 authorizes school districts in Arizona to exceed the aggregate expenditure limitation (AEL) for the fiscal year 2026-2027. The AEL, established by the Arizona Constitution, restricts local revenue expenditures for school districts to a level adjusted for inflation and enrollment based on FY 1980 spending, plus an additional 10 percent. This resolution allows school districts to utilize local revenues beyond this limit, provided it receives approval from at least two-thirds of the members in both the Senate and the House of Representatives.

The resolution does not anticipate any fiscal impact on the state General Fund. It is designed to provide school districts with greater flexibility in managing their budgets and addressing financial needs that may arise in the upcoming fiscal year. The effective date of this authorization is contingent upon the required legislative approval, ensuring that the decision reflects a consensus among lawmakers.