1. (1) As used in this section:

   1. (a) "Eligible LEA" means a school district or a charter school:

      1. (i) that is located in a county of the fourth, fifth, or sixth class, as classified under Section 17-60-104; and

      2. (ii) in which:

         1. (A) for a fiscal year other than fiscal year 2021 or 2022, at least 65% of the students enrolled in the school district or charter school qualify for free or reduced price lunch; or
         2. (B) for fiscal year 2021 or 2022, at least 65% of the students enrolled in the school district or charter school qualified for free or reduced price lunch in fiscal year 2019.

   2. (b) "Eligible school" means a school:

      1. (i) in an eligible LEA; and
      2. (ii) that the eligible LEA has provided transportation to and from for a regular school day for students for at least five years.

   3. (c) "LEA governing board" means:

      1. (i) the local school board of a school district that is an eligible LEA; or
      2. (ii) the charter school governing board of a charter school that is an eligible LEA.

2. (2) An LEA governing board may annually submit a request to the state board to receive reimbursement for an expense that:

   1. (a) the LEA governing board incurs transporting a student to or from an eligible school for the regular school day; and
   2. (b) the LEA governing board does not pay using state funding for pupil transportation described in Section 53F-2-402 or 53F-2-403.

3. (3)

   1. (a) Subject to legislative appropriations, and except as provided in Subsection (3)(b), the state board shall reimburse an LEA governing board for an expense included in a request described in Subsection (2).
   2. (b) If the legislative appropriation for this section is insufficient to fund an expense in a request received under Subsection (2), the state board may reduce an LEA governing board's reimbursement in accordance with the rules described in Subsection (4).

4. (4) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the state board shall make rules that establish:

   1. (a) requirements for information an LEA governing board shall include in a reimbursement request described in Subsection (2);
   2. (b) a deadline by which an LEA governing board shall submit a request described in Subsection (2); and
   3. (c) a formula for reducing an LEA governing board's allocation under Subsection (3).
5. (5) Nothing in this section affects a school district's allocation for pupil transportation under Sections 53F-2-402 and 53F-2-403.

Amended by Chapter 16, 2025 Special Session 1