A. The department shall make supplemental distributions only for the following purposes:

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(1)     to pay the out-of-state tuition of students subject to the Compulsory School Attendance Law [N.M. Stat. Ann. Chapter 22, Article 12] who are attending school out-of-state because school facilities are not reasonably available in the school district of their residence;

(2)     to make emergency distributions to school districts or state-chartered charter schools in financial need, but no money shall be distributed to any school district or state-chartered charter school having cash and invested reserves, or other resources or any combination thereof, equaling five percent or more of the school district’s or

state-chartered charter school’s operational budget;

(3)     to make program enrichment distributions in the amount of actual program expense to school districts and state-chartered charter schools for the purpose of providing specific programs to meet particular educational requirements that cannot otherwise be financed;

(4)     a special vocational education distribution to area vocational schools or state-supported schools with department-approved vocational programs to reimburse those schools for the cost of vocational education programs for those students subject to the Compulsory School Attendance Law who are enrolled in such programs; and

(5)     to make emergency capital outlay distributions to school districts or state- chartered charter schools that have experienced an unexpected capital outlay emergency demanding immediate attention.

B. The department shall account for all supplemental distributions and shall make full reports to the governor, legislative education study committee and legislative finance committee of payments made as authorized in Subsection A of this section.

C. The department may divert any unused or unneeded balances in any of the distributions made under the supplementary distribution authority to make any other distribution made pursuant to the same authority.