(a) When a public school district is returned to local control or removed from fiscal distress status, the Division of Elementary and Secondary Education:
(1) Shall monitor the fiscal operations and accounts of the public school district for a period of three (3) years;
(2) Shall provide support to the public school district regarding maintaining fiscal integrity and best financial management practices; and
(3) May impose various reporting requirements on the public school district.
(b) A public school district that is returned to local control shall:
(1) Comply with all monitoring and reporting requirements established by the division and the State Board of Education, including without limitation review of the public school district's budget and approval for staffing;
(2) Not incur any debt without prior written approval of the division; and
(3) Use Arkansas Legislative Audit to conduct an annual audit.
Structure Arkansas Code
Subtitle 2 - Elementary and Secondary Education Generally
Subchapter 19 - Arkansas Fiscal Assessment and Accountability Program
§ 6-20-1904. Indicators of fiscal distress
§ 6-20-1905. Notification and appeal
§ 6-20-1906. Classification of fiscal distress status
§ 6-20-1908. Fiscal distress plan
§ 6-20-1909. Division fiscal distress actions
§ 6-20-1910. State board actions
§ 6-20-1912. Fiscal support and monitoring