12-1663.   Expenditures of federal aid by publicagencies; expenditures of grants, gifts and other income by school districts;budget requirements, exceptions.(a) Where any public agency receives federal aid through any federalagencyfor any purpose to be used alone or with funds of the public agency, suchfederal aid may be expended without regard to budget limitations and over,above or outside the budget, and such expenditures shall not be chargedagainst the budget of the current or any other budget year of the publicagency. Where a public agency spends from budgeted funds andlater isreimbursed by federal aid, such expenditure from budgeted funds shall be areimbursed expense and if received after the budget year, shall increasethe current budget to the same amount unless the budget had anticipated andincluded the reimbursement as income.

      (b)   In addition to the requirements of subsection (a), a school districtshall include all revenues and expenditures, including, but not limited to,federal aid and other grants, gifts and miscellaneous income, in all budgetdocuments prepared by the school district, including documents submitted to thedepartment of education. In order to account for such revenues and expendituresseparately, each school district shall budget for federal aid and other grantsand gifts, other than scholarships, received, which funds shall not be subjectto limitations on the expenditure of moneys in such funds.

      History:   L. 1967, ch. 422, § 2;L. 2003, ch. 116, § 23; July 1.