This bill mandates that Type I school districts and charter schools establish a citizen budget oversight committee to assist in monitoring their financial positions. The committee will serve as an advisory body to the respective boards of education or trustees, with responsibilities that include reviewing monthly revenues and expenditures, providing analyses and recommendations on budgetary matters, and making information requests to the board. The committee must consist of at least five members, including parents, educators, and community members, with a requirement that at least two members possess expertise in financial statements.

Additionally, the bill outlines the selection process for committee members, which involves a designated selection committee that evaluates applications and presents candidates for approval by the board. Each new member is required to complete a training program developed by the Department of Education within the first two months of their term, covering essential topics related to budgeting and reporting. The act is set to take effect immediately and will apply to the first full school year following its enactment.