§ 6-20-2209 - Study of improved reporting systems. - Arkansas Statutes

6-20-2209. Study of improved reporting systems.

(a) (1) The General Assembly finds that ensuring the provision of an adequate and equitable education to the children of the State of Arkansas requires prompt and reliable information on school finances, including, but not limited to, reports on school district expenditures and school district fund balances and interfund transfers.

(2) The General Assembly further finds that current financial accounting and reporting systems do not promptly provide the crucial information necessary to make informed decisions on matters pertaining to public education in this state.

(b) On or before November 1, 2006, the House Interim Committee on Education, the Senate Interim Committee on Education, and the Department of Education shall jointly study potential upgrades in public school district financial accounting and reporting systems that would result in the prompt availability of crucial information, including, but not limited to:

(1) The cost to the state of any potential upgrades;

(2) The time necessary to implement any upgrades; and

(3) (A) A definition of the term "unallocated balances" that will ensure uniform treatment of fund balances throughout public school districts.

(B) In studying possible definitions of the term "unallocated balances", the House Interim Committee on Education and the Senate Interim Committee on Education shall consider the amount, if any, appropriate for a public school district to maintain as a fund balance for future contingencies.

(c) In conducting the study, the House Interim Committee on Education and the Senate Interim Committee on Education shall seek the cooperation of representatives from the Arkansas Association of Educational Administrators, the Arkansas Association of School Business Officials, the Arkansas Education Association, the education service cooperatives, and the Legislative Joint Auditing Committee.

(d) On or before December 1, 2006, the House Interim Committee on Education and the Senate Interim Committee on Education shall issue a report to the Speaker of the House of Representatives and the President Pro Tempore of the Senate regarding the results of the study and the recommendations of the committees.