Under-5,000 population cities must pay the school district one half of the fines after 30 percent of the budget is reached.

• A. The city must pay the school district nothing.
• B. The school district receives all fines.
• C. The city must pay the state after 30 percent of the budget.
• D. The under-5,000 city must pay the school district one half of the fines after 30 percent of the budget is reached.

Answer: (D)

This question hinges on understanding a conditional funding rule: who pays, to whom, and when the payment happens. The rule states that cities with populations under five thousand must pay the school district half of the fines, but only after thirty percent of the budget has been reached. In other words, once that budget threshold is met, the city owes half of the fines to the school district. The payment goes to the school district, not to the state, and it is not a no-payment or full-payment arrangement. It also specifically applies to the small cities (under 5,000), not larger ones. So the option that accurately reflects this setup is the one describing a half-fines payment to the school district after the budget threshold is reached.