The proposed bill, designated as sHB7239, establishes the District Repair and Improvement Program (DRIP) to provide financial assistance to public school operators (PSOs) for minor capital repairs, improvements, and maintenance of school facilities. The program aims to reduce the need for extensive renovations and ensure that school buildings are safe and well-maintained for students and educators. The bill defines eligible recipients, including local and regional boards of education, regional educational service centers, state charter schools, and certain interdistrict magnet school operators. It specifies that grants can only be used for district repair and improvement projects, which encompass construction, renovation, and compliance improvements for health and safety standards.

To fund the DRIP program, the bill authorizes the issuance of up to $60 million in general obligation bonds, with $30 million allocated for fiscal years 2026 and 2027. It creates a nonlapsing District Repair and Improvement Account to hold the necessary funds and outlines a specific allocation formula for distributing funds, with 20% allocated equally among PSOs and the remaining 80% based on student enrollment and grand list percentages. The bill mandates that PSOs submit annual reports detailing their expenditures and maintain records for at least three years. Additionally, it prohibits the use of allocated funds for local matching requirements or for projects under the Department of Administrative Services’ school construction grant program, while also including new legal language regarding the allocation process and deleting references to previous funding mechanisms. The effective date for the bill is set for July 1, 2025.