EDUCATION – Amends existing law to revise provisions regarding the deposit and distribution of earnings reserve funds.

This Idaho bill (H 740) revises how investment earnings from state land grant endowment funds are managed and distributed to support public schools. It requires annual distribution of excess earnings reserve funds to school district income funds or permanent endowments, with public school funding specifically tied to per-pupil attendance (using average daily attendance data). The bill also clarifies that these funds can be used for administrative costs related to managing endowment assets. It directly affects Idaho's public school districts by changing the mechanism for distributing education-related investment earnings. The changes take effect July 1, 2026.