This bill authorizes small school districts in Iowa, specifically those with a budget enrollment of 200 students or less for each of the three most recent budget years, to utilize unencumbered and unobligated funds from the physical plant and equipment levy fund (PPEL) and the public education and recreation levy fund (PERL) for general fund purposes, excluding salaries and benefits, for a period of up to five years. The use of these funds requires the approval of at least 60 percent of voters in an election, which must be initiated by a resolution from the school district's board of directors.

Additionally, the bill allows these small school districts to adopt a new revenue purpose statement that permits the expenditure of unobligated revenues received from the secure an advanced vision for education fund (SAVE) for the same five-year period and under the same conditions. This provision aims to provide greater financial flexibility for small school districts, enabling them to address various needs while ensuring that the use of funds is subject to voter approval.

Statutes affected:
Introduced: 298.3, 39.2, 300.2