The lawsuit alleged that the state's funding system is "irrational" and discriminates against rural and poor children.
Despite reports and evidence that show abysmal conditions in BIE schools, little has been done to improve conditions.
The three districts hope to attract and retain teachers and boost teacher professional development by switching to a shortened week.
The extension is part of a 'doc fix' bill that also reauthorizes or extends several programs that serve children.
An Ohio State University study finds that rural youth suicide rates are nearly double those of urban areas due to isolation and lack of access to mental health care.
Several rural districts have taken money from general funds to cover the transportation aid gap.
Most of the new state funds would go to urban districts, while decreasing funding to rural districts.
Schools near national forest land rely on the act to provide consistent revenue.
The report found that there is an enrollment threshold at which small schools are no longer financially and academically viable.
In rural Colorado, 23 percent of children live in poverty, compared to 17 percent statewide.