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TCA 49-6-2305

Reserve fund

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What does this charge mean?

This statute establishes a reserve fund to ensure adequate financial resources for textbook purchases during budget shortfalls.

Penalty Details

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Penalty SummaryClassification not specified
(a) Each LEA that operates a child nutrition program may maintain a three-month reserve fund for operating expenses. The revenue for the reserve fund shall come from the unexpended balance of the program. Ask a legal question, get an answer ASAP!(b) The LEA shall project the reserve fund for the child nutrition program at its annual budgetary planning meeting. LEAs can recover indirect costs only from the reserve fund that exceeds three (3) months’ operating expenses.
View on official sourceLast verified: Feb 25, 2026

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PENDING
TCA Section49-6-2305