§ 57532 Merged District Trust Funds

• •If a school district merges with another, any money or property set aside for a special purpose (like building a new playground) must still be used for that same purpose.
• •The money or property can only be used for something else if the original purpose is officially canceled or finished, following the rules.
• •This rule makes sure that special funds or items aren’t just used for anything after a merger.

Imagine two small school districts merge into one. The first district had saved $50,000 specifically to build a new science lab.

Even after the merger, that $50,000 can’t be used for something else, like buying new school buses, unless the plan to build the science lab is officially canceled or completed. The money has to stay for the science lab unless the rules say otherwise.