Starting July 1, 2026, qualifying school districts and nonvirtual public charter schools may use state funding more flexibly if they meet academic, audit, and charter-related conditions.
School districts that meet demanding academic and financial standards may decide how to use their state funding and skip listed state reports without losing money. Continued flexibility depends on yearly audits and academic performance.
Nonvirtual charter schools that meet listed academic and other requirements may choose how to use state funding and avoid certain reports, but audits and charter status can end that flexibility.
An eligible school district may spend its allocated state funding, including discretionary, categorical, and salary funds, as it decides best serves its students and schools. The option covers school districts that meet the academic and financial requirements in the new provision. The district must meet one of the listed performance measures in each of three academic areas: statewide test results, early reading results, and graduation or college-and-career readiness results. For each of the previous three fiscal years, the district must provide the required clean financial audit evidence. Participating districts are excused from listed state reporting requirements without a penalty or funding reduction. The state education department may revoke eligibility after certain audit failures or after the district fails the academic requirements for at least two years. The provision applies on and after July 1, 2026. Spending flexibility continues from year to year unless eligibility is revoked.
An eligible public charter school may spend its allocated state funding as it decides best serves its students and school, without changing its charter or performance certificate. The provision covers public charter schools that are not virtual schools and that meet the requirements listed in Idaho Code section 33-5218(2)(b), (e), and (g). Participating schools are excused from state reporting requirements that are not federally required or needed for public-school financial purposes. The state education department may revoke eligibility after certain audit failures, failure to meet the referenced academic requirements for at least two years, or charter revocation, nonrenewal, or conditional renewal. The provision applies on and after July 1, 2026. Spending flexibility continues from year to year unless eligibility is revoked.
No hearings or votes scheduled.