The bill establishes a new section in Chapter 16-7.1 of the General Laws, creating a high-cost special education fund to support municipalities facing excess costs associated with special education students. This fund will enable participating municipalities to pool their financial resources through voluntary contributions. The fund will be managed by the office of the general treasurer, who is responsible for investing and maximizing the contributions to generate income to help defray the expenses related to high-cost special education.

Awards from the fund will be determined by the Department of Elementary and Secondary Education based on specific district needs and criteria developed by the department. Municipalities must have contributed to the fund in the previous fiscal year to be eligible for awards, with the initial contribution required to equal the municipality's high-cost special education expenses from the prior year. The act aims to provide financial assistance to municipalities dealing with extraordinary costs associated with special education services and will take effect upon passage.