The proposed bill would update current statutes concerning the management of financial records in school districts by introducing new provisions and modifying existing language. Specifically, it would require the State Board of Education (SBE) to consult with the Arizona Department of Education (ADE) if a school district fails to correct a Uniform System of Financial Records (USFR) deficiency within 90 days of notice from the Auditor General (OAG). The SBE would then direct ADE to provide a list of approved training programs, which the school district must implement within 30 days. Additionally, if deficiencies are not rectified within 18 months, the SBE would notify the governing board that the superintendent is ineligible for performance-based pay, and the governing board would be prohibited from holding override or bond elections until the issues are resolved.

The bill also modifies existing language regarding budget override elections, clarifying that a school district cannot order an override election if it has unresolved deficiencies. It establishes a maximum budget increase limit of ten percent of the school district's revenue control limit. The updates aim to enhance accountability and ensure compliance with financial management standards, thereby improving the overall financial practices of school districts.

Statutes affected:
Introduced Version: 15-272, 15-302, 15-481, 15-491, 16-204, 15-905, 42-12003, 42-12001, 15-422, 15-423, 15-424, 15-426, 15-403, 15-947, 15-482, 15-949, 15-971, 15-447, 15-271
House Engrossed Version: 15-272, 15-302, 15-481, 15-491, 15-341, 16-204, 15-905, 42-12003, 42-12001, 15-422, 15-423, 15-424, 15-426, 15-403, 15-947, 15-482, 15-949, 15-971, 15-447, 15-271
Senate Engrossed Version: 15-272, 15-302, 15-481, 15-491, 15-341, 16-204, 15-905, 42-12003, 42-12001, 15-422, 15-423, 15-424, 15-426, 15-403, 15-947, 15-482, 15-949, 15-971, 15-447, 15-271