Relates to reserve funds to ensure compliance with the tax cap in future school years

This bill (S 299) allows school districts with a combined wealth ratio of 35% or less to create a reserve fund. The fund can cover expenses that would otherwise push the district over its tax levy limit without needing voter approval. Districts must return unused funds to the general budget within four years if they’re not needed for future tax-compliant spending. It directly affects low-wealth school districts seeking to manage budget constraints under existing tax cap rules.