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SENATE DOCKET, NO. 2110 FILED ON: 1/20/2023
SENATE . . . . . . . . . . . . . . No. 1304
The Commonwealth of Massachusetts
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PRESENTED BY:
Edward J. Kennedy
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To the Honorable Senate and House of Representatives of the Commonwealth of Massachusetts in General
Court assembled:
The undersigned legislators and/or citizens respectfully petition for the adoption of the accompanying bill:
An Act providing for reserve funds for school districts.
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PETITION OF:
NAME:DISTRICT/ADDRESS :Edward J. KennedyFirst Middlesex 1 of 2
SENATE DOCKET, NO. 2110 FILED ON: 1/20/2023
SENATE . . . . . . . . . . . . . . No. 1304
By Mr. Kennedy, a petition (accompanied by bill, Senate, No. 1304) of Edward J. Kennedy for
legislation to provide for reserve funds for school districts. Municipalities and Regional
Government.
The Commonwealth of Massachusetts
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In the One Hundred and Ninety-Third General Court
(2023-2024)
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An Act providing for reserve funds for school districts.
Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority
of the same, as follows:
1 SECTION 1. Chapter 40 of the General Laws, as appearing in the 2020 Official Edition,
2is hereby amended by inserting after Section 13, the following new section:
3 "Section 13E1/2. Any school district which accepts this section, by a majority vote of the
4school committee and a majority vote of the legislative body or, in the case of a regional school
5district by a majority vote of the legislative bodies in a majority of the member communities of
6the district, may establish and appropriate or transfer money to a reserve fund to be utilized in the
7upcoming fiscal years, to pay, without further appropriation, for any and all unanticipated or
8unbudgeted costs. The balance in such reserve fund shall not exceed 10 per cent of the annual net
9school spending of the school district.
10 Funds shall only be distributed from the reserve funds after a majority vote of the school
11committee and a majority vote of the board of selectman or city council, or, in the case of a 2 of 2
12regional school district by a majority vote of the board of selectmen or city council in a majority
13of the member communities of the district.
14 The district treasurer may invest the monies in the manner authorized in section 54 of
15chapter 44 and any interest earned thereon shall be credited to and become part of the fund."
16 Notwithstanding any general or special law to the contrary, the money held in this reserve
17fund shall not be used against the required contributions by municipalities towards net school
18spending.