create the community-based providers methodology supplement fund, create the target teacher salary supplement fund, and provide for the transfer of certain unobligated cash balances to the fund.

HB 1251 creates two new state funds: the "target teacher salary supplement fund" (administered by the Department of Education) and the "community-based providers methodology supplement fund" (administered by the Department of Human Services). The bill directs that unspent state funds from the previous fiscal year - after a portion is placed in a budget reserve - be split equally (30% each) into these two new funds. These funds will directly support increases in teacher salaries and provider rates for community-based services, as specified in existing law. The transfers occur automatically each year through the state's budget process, with expenditures requiring annual legislative approval.