For what purpose can internal funds not be spent?

Internal funds are allocations within a school system that are typically generated from various sources such as fundraising or specific grants. These funds are intended to support the school’s educational activities and initiatives outside of the general budget.

The choice regarding services covered by the district budget highlights a key principle: internal funds should not be utilized for expenses that are already accounted for in the district's main budget. This ensures that internal funds are reserved for additional or supplementary needs that may not be financially supported by the district’s regular funding channels.

This distinguishes internal fund usage from areas like personal school supplies, field trips, and community outreach programs, as these often require additional funding sources beyond the standard budget allocations, making them appropriate uses of internal funds. Thus, spending internal funds on services that the district budget already covers would lead to inefficiencies and misallocation of resources.