What if the Legislature does not renew the appropriation for Chapter 46 in future years?
In the event that the legislature does not appropriate adequate funds for the IFA program, the statute directs the commissioner to make a transfer from the Foundation School Program (FSP) in an amount sufficient to cover the required payments of the state. This transfer is required by statute and is not subject to the discretion of the commissioner. This transfer would take place before any funds are distributed for the FSP or other state aid. The transfer would have the effect of slightly reducing the FSP distributions to all school districts in the state during the fiscal year in which the transfer takes place. Each district would be entitled to reimbursement of this FSP reduction during the following fiscal year.
