School district special reserve funds.

13LSO-0286.L1

FISCAL NOTE

The fiscal impacts, in the form of potential increased revenues to the School Foundation Program and/or potential decreased expenditures from the School Foundation Program, are indeterminable.

If any school district still has a special reserve fund after July 15, 2015, the funds remaining in the special reserve fund becomes part of the operating balance when computing the cash reserves pursuant to W.S. 21-13-313(e).  If the remaining balance increases the operating balance in excess of fifteen (15) percent of the prior school year’s foundation guarantee amount, the amount greater than fifteen (15) percent will be counted as local revenue and will either 1) increase the recapture amount paid by school districts to the State, thus increasing revenue to the School Foundation Program Account or 2) reduce the entitlement amount paid to school districts, thus decreasing expenditures from the School Foundation Program Account.

However, it is unknown what amount, if any, will be counted as part of a school district's operating balance and if that amount will increase the operating balance in excess of fifteen (15) percent of the prior school year’s foundation guarantee amount.  Thus, the potential revenue increase and/or the potential

expenditure decrease are indeterminable. 

Prepared by:   Matt Willmarth, LSO   Phone: 777-3563