As used in this part:

1. (1) “Capital outlay expenditures” means land, land improvements, buildings, infrastructure, and equipment having a:

   1. (A) Unit value of one thousand dollars ($1,000) or more; and
   2. (B) Life expectancy of more than one (1) year;
2. (2) “Declining balance” means the current-year expenditures exceeding current-year revenues;
3. (3) “Education service cooperative” means intermediate service units in the state’s elementary and secondary education system established by the State Board of Education pursuant to The Education Service Cooperative Act of 1985, Arkansas Code § 6-13-1001 et seq.;
4. (4) “Fiscal integrity” means the education service cooperative’s ability to comply completely, accurately, and timely with financial management, accounting, auditing, and reporting procedures required by state or federal law, rules, and regulations; and
5. (5) “Material” means that the act, omission, or violation jeopardizes the fiscal integrity of the education service cooperative.

Codification Notes: This section as promulgated prior to codification into the Code of Arkansas Rules contained the following at the end of the section: "Source: Ark. Code Ann. § 6-13-1027".