(1) There is created in the State Treasury a special fund to be designated as the “2026 Local Improvements Projects Fund.” The fund shall be maintained by the State Treasurer as a separate and special fund, separate and apart from the General Fund of the state. Monies in the fund shall be disbursed by the Department of Finance and Administration, as provided in Section 4 of Chapter 513, Laws of 2026 subject to appropriation by the Legislature. Unexpended amounts remaining in the fund at the end of a fiscal year shall not lapse into the State General Fund, but any interest earned or investment earnings on amounts in the fund shall be deposited into the State General Fund (Fund No. 2999000000). Any entity that receives monies disbursed from the fund shall deposit earned or investment earnings on amounts of such monies into the State General Fund (Fund No. 2999000000).
(2) The Department of Finance and Administration shall file biannual reports in summary form to the Legislative Budget Office on or before the fifteenth day of August and February. At a minimum, the reports shall include the latest status report from each entity that receives monies from this fund, the amount disbursed to each entity, and the target date for project completion.
(3) Any state agency, local government entity or any other entity that receives monies from this fund shall file quarterly reports with the Department of Finance and Administration on dates determined by the Department of Finance and Administration. The contents of the report shall be determined by the Department of Finance and Administration but shall include, at a minimum, a status report on the progression of the project and a target date for project completion. The final report shall include an accounting of the remaining balance of funds for which reimbursement will not be sought at project completion.