APPROVED CHAPTER
JUNE 15, 2021 213
BY GOVERNOR PUBLIC LAW
STATE OF MAINE
_____
IN THE YEAR OF OUR LORD
TWO THOUSAND TWENTY-ONE
_____
H.P. 876 - L.D. 1198
An Act Authorizing an Increase to the Maximum Annual Fund Balance for
Public School Districts
Be it enacted by the People of the State of Maine as follows:
Sec. 1. 20-A MRSA §15689-B, sub-§6, as amended by PL 2009, c. 571, Pt. XXX,
§1, is further amended to read:
6. Balance of allocations. Notwithstanding any other law, general operating fund
balances at the end of a school administrative unit's fiscal year must be carried forward to
meet the unit's needs in the next year or over a period not to exceed 3 years. Unallocated
balances in excess of 3% 5% of the previous fiscal year's school budget must be used to
reduce the state and local share of the total allocation for the purpose of computing state
subsidy. School boards may carry forward unallocated balances in excess of 3% 5% of the
previous year's school budget and disburse these funds in the next year or over a period not
to exceed 3 years. For fiscal years 2008-09, 2009-10, 2010-11, 2011-12, 2012-13, 2013-
14 and 2014-15 only, the carry-forward of a school administrative unit's unallocated
balances is not limited to 3% of the previous fiscal year's school budget. For fiscal years
2021-22, 2022-23, 2023-24 and 2024-25 only, unallocated balances in excess of 9% of the
previous fiscal year's school budget must be used to reduce the state and local share of the
total allocation for the purpose of computing state subsidy and school boards may carry
forward unallocated balances in excess of 9% of the previous fiscal year's school budget
and disburse these funds in the next year or over a period not to exceed 3 years.
Page 1 - 130LR0605(04)


Statutes affected:
Bill Text LD 1198, HP 876: 20-A.15689
Bill Text ACTPUB , Chapter 213: 20-A.15689