View Daily Data Tracking History
View Bill Text
View Statement of Purpose / Fiscal Impact
HJR006.....................................................by STATE AFFAIRS
PUBLIC SCHOOL PERMANENT ENDOWMENT FUND - Proposing an amendment to the
Constitution of the State of Idaho to change the name of the Public School
Fund to the Public School Permanent Endowment Fund; to provide that the
Public School Permanent Endowment Fund shall include proceeds from the sale
of school lands and amounts allocated from the Public School Earnings
Reserve Fund; to provide an exception that proceeds from the sale of school
lands may be deposited into a Land Bank Fund to be used to acquire other
lands within the state for the benefit of endowment beneficiaries and to
provide if those proceeds are not used to acquire other lands within a time
provided by the legislature, the proceeds of the sale shall be deposited
into the Public School Permanent Endowment Fund along with earnings on the
proceeds and to change the word "disposal" to "sale" in reference to the
disposition of certain lands.
02/09 House intro - 1st rdg - to printing
02/10 Rpt prt - to St Aff
02/20 Rpt out - rec d/p - to 2nd rdg
02/23 2nd rdg - to 3rd rdg
02/25 3rd rdg - PASSED - 62-8-0
AYES -- Alltus, Barraclough, Bell, Bieter, Bivens, Black(15),
Black(23), Boe, Bruneel, Callister, Campbell, Chase, Clark, Crane,
Crow, Cuddy, Deal, Denney, Ellsworth, Field(13), Field(20), Gagner,
Geddes, Gould, Hadley, Hansen, Henbest, Hornbeck, Jaquet, Jones(9),
Jones(22), Jones(20), Judd, Kellogg, Kempton, Kjellander, Kunz, Lake,
Linford, Mader, Marley, McKague, Meyer, Miller, Mortensen, Newcomb,
Pischner, Pomeroy, Reynolds, Richman, Ridinger, Robison, Stevenson,
Stone, Stubbs, Tilman, Tippets, Trail, Watson, Wheeler, Zimmermann,
Mr Speaker
NAYS -- Barrett, Kendell, Loertscher, Sali, Schaefer, Stoicheff,
Taylor, Wood
Absent and excused -- None
Floor sponsor - Deal
Title apvd - to Senate
02/26 Senate intro - 1st rdg - to St Aff
03/11 Rpt out - rec d/p - to 2nd rdg
03/12 2nd rdg - to 3rd rdg
03/17 3rd rdg - PASSED - 27-6-2
AYES--Andreason, Boatright, Branch, Bunderson, Burtenshaw, Cameron,
Crow, Danielson, Darrington, Deide, Geddes, Ingram, Ipsen, Keough,
King, Lee, McLaughlin, Noh, Richardson, Riggs, Risch, Sandy,
Sorensen, Sweeney, Thorne, Twiggs, Wheeler
NAYS--Dunklin, Hawkins, Parry, Schroeder, Stennett, Whitworth
Absent and excused--Frasure, Hansen
Floor Sponsor - Danielson, Bunderson
Title apvd - to House
03/18 To enrol
03/18 Rpt enrol - Sp signed
03/19 Pres signed - to Sec of State
HJR006|||| LEGISLATURE OF THE STATE OF IDAHO |||| Fifty-fourth Legislature Second Regular Session - 1998IN THE HOUSE OF REPRESENTATIVES HOUSE JOINT RESOLUTION NO. 6 BY STATE AFFAIRS COMMITTEE 1 A JOINT RESOLUTION 2 PROPOSING AMENDMENTS TO SECTION 4, ARTICLE IX, AND SECTION 8, ARTICLE IX, OF 3 THE CONSTITUTION OF THE STATE OF IDAHO, RELATING TO THE PUBLIC SCHOOL PER- 4 MANENT ENDOWMENT FUND AND ENDOWMENT LANDS, TO CHANGE THE NAME OF THE PUB- 5 LIC SCHOOL FUND TO THE PUBLIC SCHOOL PERMANENT ENDOWMENT FUND, TO PROVIDE 6 THAT THE PUBLIC SCHOOL PERMANENT ENDOWMENT FUND SHALL INCLUDE PROCEEDS 7 FROM THE SALE OF SCHOOL LANDS AND AMOUNTS ALLOCATED FROM THE PUBLIC SCHOOL 8 EARNINGS RESERVE FUND, TO PROVIDE THAT PROCEEDS FROM THE SALE OF SCHOOL 9 LANDS MAY BE DEPOSITED INTO A LAND BANK FUND TO BE USED TO ACQUIRE OTHER 10 LANDS WITHIN THE STATE, TO PROVIDE THAT IF PROCEEDS ARE NOT USED TO 11 ACQUIRE OTHER LANDS WITHIN A TIME PROVIDED BY THE LEGISLATURE THE PROCEEDS 12 SHALL BE DEPOSITED INTO THE PUBLIC SCHOOL PERMANENT ENDOWMENT FUND ALONG 13 WITH EARNINGS AND TO CHANGE THE WORD DISPOSAL TO THE WORD SALE IN THE CON- 14 TEXT OF THE DISPOSITION OF ENDOWMENT LANDS; STATING THE QUESTION TO BE 15 SUBMITTED TO THE ELECTORATE; DIRECTING THE LEGISLATIVE COUNCIL TO PREPARE 16 THE STATEMENTS REQUIRED BY LAW; AND DIRECTING THE SECRETARY OF STATE TO 17 PUBLISH THE AMENDMENT AND ARGUMENTS AS REQUIRED BY LAW. 18 Be It Resolved by the Legislature of the State of Idaho: 19 SECTION 1. That Section 4, Article IX, of the Constitution of the State 20 of Idaho be amended to read as follows: 21 SECTION 4. PUBLIC SCHOOL PERMANENT ENDOWMENT FUND 22 DEFINED. The public school permanent endowment fund of 23 the state shall consist of the proceeds from the sale of 24 such lands as have heretofore been granted, or may hereafter be 25 granted, to the state by the general government, known as school 26 lands, and those granted in lieu of such; lands acquired by gift or 27 grant from any person or corporation under any law or grant of the 28 general government; and of all other grants of land or money made to 29 the state from the general government for general educational pur- 30 poses, or where no other special purpose is indicated in such grant; 31 all estates or distributive shares of estates that may escheat to the 32 state; all unclaimed shares and dividends of any corporation incorpo- 33 rated under the laws of the state;andall other grants, 34 gifts, devises, or bequests made to the state for general educational 35 purposes ; and amounts allocated from the public school earnings 36 reserve fund. Provided however, that proceeds from the sale of school 37 lands may be deposited into a land bank fund to be used to acquire 38 other lands within the state for the benefit of endowment beneficia- 39 ries. If those proceeds are not used to acquire other lands within a 40 time provided by the legislature, the proceeds shall be deposited 41 into the public school permanent endowment fund along with any earn- 42 ings on the proceeds . 2 1 SECTION 2. That Section 8, Article IX, of the Constitution of the State 2 of Idaho be amended to read as follows: 3 SECTION 8. LOCATION AND DISPOSITION OF PUBLIC LANDS. It shall 4 be the duty of the state board of land commissioners to provide for 5 the location, protection, sale or rental of all the lands heretofore, 6 or which may hereafter be granted to or acquired by the state by or 7 from the general government, under such regulations as may be pre- 8 scribed by law, and in such manner as will secure the maximum 9 long - term financial return to the institution to which 10 granted or to the state if not specifically granted; provided, that 11 no state lands shall be sold for less than the appraised price. No 12 law shall ever be passed by the legislature granting any privileges 13 to persons who may have settled upon any such public lands, subse- 14 quent to the survey thereof by the general government, by which the 15 amount to be derived by the sale, or other disposition of such lands, 16 shall be diminished, directly or indirectly. The legislature shall, 17 at the earliest practicable period, provide by law that the general 18 grants of land made by congress to the state shall be judiciously 19 located and carefully preserved and held in trust, subject to20disposalsale at public auction for the use and 21 benefit of the respective object for which said grants of land were 22 made, and the legislature shall provide for the sale of said lands 23 from time to time and for the sale of timber on all state lands and 24 for the faithful application of the proceeds thereof in accordance 25 with the terms of said grants; provided, that not to exceed one hun- 26 dred sections of state lands shall be sold in any one year, and to be 27 sold in subdivisions of not to exceed three hundredand28 twenty acres of land to any one individual, company or corporation. 29 The legislature shall have power to authorize the state board of land 30 commissioners to exchange granted or acquired lands of the state on 31 an equal value basis for other lands under agreement with the United 32 States, local units of government, corporations, companies, individu- 33 als, or combinations thereof. 34 SECTION 3. The question to be submitted to the electors of the State of 35 Idaho at the next general election shall be as follows: 36 "Shall Section 4, Article IX, and Section 8, Article IX, of the Constitu- 37 tion of the State of Idaho be amended as follows: 38 1. To change the name of the Public School Fund to the Public School Per- 39 manent Endowment Fund; 40 2. To provide that the Public School Permanent Endowment Fund shall 41 include proceeds from the sale of school lands and amounts allocated from the 42 Public School Earnings Reserve Fund; 43 3. To provide an exception that proceeds from the sale of school lands 44 may be deposited into a Land Bank Fund to be used to acquire other lands 45 within the state for the benefit of endowment beneficiaries, but if those pro- 46 ceeds are not used to acquire other lands within a time provided by the legis- 47 lature the proceeds of the sale shall be deposited into the Public School Per- 48 manent Endowment Fund along with earnings on the proceeds; and 49 4. To change the word disposal to sale in reference to the disposition of 50 certain lands?". 51 SECTION 4. The Legislative Council is directed to prepare the statements 3 1 required by Section 67-453, Idaho Code, and file the same. 2 SECTION 5. The Secretary of State is hereby directed to publish this pro- 3 posed constitutional amendment and arguments as required by law.
REPRINT REPRINT REPRINT REPRINT REPRINT REPRINT REPRINT REPRINT REPRINT REPRINT
STATEMENT OF PURPOSE
RS 07948
This legislation is recommended by the Legislative Council Interim Committee on
Endowment Fund Investment Reform. This legislation is a joint resolution proposing amendments
to Sections 4 and 8, Article IX, of the Constitution of the State of Idaho.
Section 4 defines what is now known as the Public School Fund. The amendments change the
name of the fund to the Public School Permanent Endowment Fund. The amendments clarify that "the
proceeds of such lands" means the proceeds "from the sale" of the lands when describing one ingredient
in the fund. This change is intended to resolve conflicts regarding the meaning of the word "proceeds"
when used in this context. The amendments allow money from certain sources to be deposited into the
Public School Permanent Endowment Fund from the Public School Earnings Reserve Fund, which acts
as a repository for earnings from the investment of moneys in the Public School Permanent Endowment
Fund.
This legislation also provides that the proceeds from the sale of school lands may be deposited
into a Land Bank Fund to be used to acquire other lands within the state for the benefit of the
beneficiaries of the endowment. If the proceeds are not used to buy other lands within a time specified
by the Legislature, the proceeds shall be deposited into the Public School Permanent Endowment Fund
along with any earnings on those proceeds.
Section 8 addresses the location and disposition of school lands. The amendments merely
change the word "disposal" to the word "sale" when the word is used describe the disposition of school
lands at public auctions. This change will remove ambiguity caused by the use of the word "disposal."
FISCAL NOTE
These changes will not increase the financial impact on the General Fund or on local
government. The creation of a land bank will allow the State Board of Land Commissioners more
management flexibility. Presently, if land is sold, the proceeds must be deposited in the Public School
Permanent Endowment Fund. Under the proposed change, the State Board of Land Commissioners
would be able to use the sale proceeds to reinvest in other lands, thereby maintaining the existing land
base. This election would permit the State Board of Land Commissioners to invest sale proceeds in the
type of investments that produce the greatest rate of return to the endowment beneficiaries.
CONTACTS:
Representative William W. "Bill" Deal
House of Representatives
(208) 332-1000
STATEMENT OF PURPOSE/FISCAL NOTE
Senator Judi Danielson Michael McConnell
Senate Legislative Services
(208) 332-1000 (208) 334-2475
HJR6