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S1482..........................................................by EDUCATION SCHOOL DISTRICT FACILITY FINANCING - Amends and adds to existing law to authorize school districts and the State Board of Education to enter into agreements with the Idaho State Building Authority to provide school buildings on a matching fund basis. 02/21 Senate intro - 1st rdg - to printing 02/22 Rpt prt - to Educ
|||| LEGISLATURE OF THE STATE OF IDAHO |||| Fifty-fifth Legislature Second Regular Session - 2000 IN THE SENATE SENATE BILL NO. 1482 BY EDUCATION COMMITTEE 1 AN ACT 2 RELATING TO SCHOOL DISTRICT FACILITY FINANCING; AMENDING SECTION 33-301, IDAHO 3 CODE, TO CLARIFY THE AUTHORITY OF A SCHOOL DISTRICT TO LEASE REAL AND PER- 4 SONAL PROPERTY; AMENDING SECTION 33-601, IDAHO CODE, TO CLARIFY THE 5 AUTHORITY OF A SCHOOL DISTRICT TO LEASE REAL AND PERSONAL PROPERTY; AMEND- 6 ING SECTION 33-905, IDAHO CODE, TO ESTABLISH PURPOSES OF THE SCHOOL DIS- 7 TRICT BUILDING ACCOUNT FOR SCHOOL CONSTRUCTION AND RELATED FINANCING PUR- 8 POSES, TO AUTHORIZE THE STATE BOARD OF EDUCATION TO CONTRACT WITH SCHOOL 9 DISTRICTS TO MATCH FUNDS IN THE ACCOUNT, TO AUTHORIZE THE STATE BOARD OF 10 EDUCATION TO CONTRACT WITH THE IDAHO STATE BUILDING AUTHORITY TO SECURE 11 FINANCING AND TO MAKE TECHNICAL CORRECTIONS; AMENDING CHAPTER 9, TITLE 33, 12 IDAHO CODE, BY THE ADDITION OF A NEW SECTION 33-905A, IDAHO CODE, TO CRE- 13 ATE THE SCHOOL FACILITY LOTTERY FUND AND TO PROVIDE DISTRIBUTIONS FROM THE 14 FUND; AMENDING SECTION 33-1111, IDAHO CODE, TO AUTHORIZE THE SALE OF 15 SCHOOL DISTRICT BONDS TO THE IDAHO STATE BUILDING AUTHORITY; AMENDING SEC- 16 TION 67-6402, IDAHO CODE, TO FURTHER DEFINE TERMS; AMENDING SECTION 17 67-6404, IDAHO CODE, TO STATE FINDINGS OF THE LEGISLATURE CONCERNING 18 SCHOOL BUILDINGS AND OTHER INSTRUCTIONAL FACILITIES; AMENDING SECTION 19 67-6409, IDAHO CODE, TO CLARIFY THE AUTHORITY OF THE IDAHO STATE BUILDING 20 AUTHORITY TO CONVEY REAL OR PERSONAL PROPERTY; AMENDING SECTION 67-6410, 21 IDAHO CODE, TO PROVIDE THAT PRIOR APPROVAL BY THE LEGISLATURE IS NOT 22 REQUIRED FOR A SCHOOL BUILDING OR RELATED EDUCATIONAL FACILITY; AND AMEND- 23 ING SECTION 67-7434, IDAHO CODE, TO REVISE DISTRIBUTION OF THE LOTTERY 24 PROCEEDS. 25 Be It Enacted by the Legislature of the State of Idaho: 26 SECTION 1. That Section 33-301, Idaho Code, be, and the same is hereby 27 amended to read as follows: 28 33-301. SCHOOL DISTRICTS BODIES CORPORATE. Each school district, now or 29 hereafter established, when validly organized and existing, is declared to be 30 a body corporate and politic, and in its corporate capacity may sue and be 31 sued and may acquire, lease, hold and convey real and personal property neces- 32 sary to its establishment, extension and existence. It shall have authority to 33 issue negotiable coupon bonds and incur such other debt, in the amounts and 34 manner, as provided by law. 35 SECTION 2. That Section 33-601, Idaho Code, be, and the same is hereby 36 amended to read as follows: 37 33-601. REAL AND PERSONAL PROPERTY -- ACQUISITION, USE OR DISPOSAL OF 38 SAME. The board of trustees of each school district shall have the following 39 powers and duties: 40 1. To rent or lease to or from others, school buildings or other property 41 used, or to be used, for school purposes. 2 1 2. To contract for the construction, repair, or improvement of any real 2 property, or the acquisition, purchase or repair of any equipment, or other 3 personal property necessary for the operation of the school district. 4 Except for the purchase of curricular materials as defined in section 5 33-118A, Idaho Code, no such contract shall be executed which entails the 6 expenditure of fifteen thousand dollars ($15,000) or more without notice first 7 being given by publishing twice in the manner required by subsections g. and 8 h. of section 33-402, Idaho Code, unless in cooperation with the division of 9 purchasing or cooperative agency established pursuant to chapter 23, title 67, 10 and/or sections 33-315 through 33-318, Idaho Code. The board of trustees may 11 let the contract to the lowest responsible bidder, or reject any bid, or 12 reject all bids and publish notice for bids, as before. If, thereafter, no 13 satisfactory bid is received, the board may proceed under its own direction, 14 subject to the approval of the state board of education. 15 3. To designate and purchase any real property necessary for school pur- 16 poses or in the operation of the district, the provisions of subsection 2. of 17 this section notwithstanding, or remove any building, or dispose of any real 18 property. The board of trustees shall determine the size of the site necessary 19 for school purposes. The site shall be located within the incorporated limits 20 of any city within the district; provided, however, that if the board finds 21 that it is not in the best interests of the electors and the students of the 22 district to locate the site within the incorporated limits of a city, the 23 board, by duly adopted resolution setting forth the reasons for its finding, 24 may designate a site located elsewhere within the district. In elementary 25 school districts, except upon removal for highway purposes, a site may be des- 26 ignated or changed only after approval of two-thirds (2/3) or more of the 27 electors voting at the annual meeting. 28 4. (a) To convey, except as provided by (b) of this subsection, by deed, 29 bill of sale, or other appropriate instrument, all of the estate and 30 interest of the district in any property, real or personal. In elementary 31 school districts, except such conveyance as is authorized by subsection 6. 32 of this section, any of the transactions authorized in this subsection 33 shall be subject to the approval of two-thirds (2/3) or more of the elec- 34 tors voting at the annual meeting. 35 Prior to such sale or conveyance, the board shall have the property 36 appraised by three (3) disinterested residents of the district, which 37 appraisal shall be entered in the records of the board of trustees. The 38 property may be sold at public auction or by sealed bids, as the board of 39 trustees shall determine, to the highest bidder. Such property may be sold 40 for cash or for such terms and conditions as the board of trustees shall 41 determine for a period not exceeding ten (10) years, with the annual rate 42 of interest on all deferred payments not less than seven percent (7%) per 43 annum. The title to all property sold on contract shall be retained in 44 the name of the school district until full payment has been made by the 45 purchaser, and title to all property sold under a note and mortgage or 46 deed of trust shall be transferred to the purchaser at the point of sale 47 under the terms and conditions of the mortgage or deed of trust as the 48 board of trustees shall determine. Notice of the time and the conditions 49 of such sale shall be published twice, and proof thereof made, in accor- 50 dance with subsections g. and h. of section 33-402, Idaho Code, except 51 that when the appraised value of the property is less than five hundred 52 dollars ($500), one (1) single notice by publication shall be sufficient 53 and the property shall be sold by sealed bids. 54 The board of trustees may accept the highest bid, may reject any bid, 55 or reject all bids. If the real property was donated to the school dis- 3 1 trict the board may, within a period of one (1) year from the time of the 2 appraisal, sell the property without additional advertising or bidding. 3 Otherwise, the board of trustees must have new appraisals made and again 4 publish notice for bids, as before. If, thereafter, no satisfactory bid is 5 made and received, the board may proceed under its own direction to sell 6 and convey the property. In no case shall any real property of the school 7 district be sold for less than its appraisal. 8 The board of trustees may sell personal property, with an estimated 9 value of less than five hundred dollars ($500), without appraisal, by 10 sealed bid or at public auction, provided that there has been not less 11 than one (1) published advertisement prior to the sale of said property. 12 (b) Real and personal property may be exchanged hereunder for other prop- 13 erty if the consideration received by said school district shall be deemed 14 adequate by the board of trustees, provided, however, that aside from the 15 provisions of this paragraph hereof, any school district may by a vote of 16 one-half (1/2) plus one (1) of the members of the full board of trustees, 17 by resolution duly adopted, authorize the lease, transfer or conveyance of 18 any real or personal property owned by such school district to the govern- 19 ment of the United States, any city, county, the state of Idaho, the Idaho 20 state building authority, any hospital district organized under chapter 21 13, title 39, Idaho Code, any other school district, any library district, 22 any community college district, or any recreation district, with or with- 23 out any consideration accruing to the school district, when in the judg- 24 ment of the board of trustees it is for the interest of such school dis- 25 trict that said transfer or conveyance be made. 26 5. To enter into contracts with any city located within the boundaries of 27 the school district for the joint purchase, construction, development, mainte- 28 nance and equipping of playgrounds, ball parks, swimming pools, and other rec- 29 reational facilities upon property owned either by the school district or the 30 city. 31 6. To convey rights-of-way and easements for highway, public utility, and 32 other purposes over, upon or across any school property and, when necessary to 33 the use of such property for any such purpose, to authorize the removal of 34 school buildings to such new location, or locations, as shall be determined by 35 the board of trustees, and such removal shall be made at no cost or expense to 36 the school district. 37 7. To authorize the use of any school building of the district as a com- 38 munity center, or for any public purpose, and to establish a policy of 39 charges, if any, to be made for such use. 40 8. To exercise the right of eminent domain under the provisions of chap- 41 ter 7, title 7, Idaho Code, for any of the uses and purposes provided in sec- 42 tion 7-701, Idaho Code. 43 9. If there is a great public calamity, such as an extraordinary fire, 44 flood, storm, epidemic, or other disaster, or if it is necessary to do emer- 45 gency work to prepare for national or local defense, or it is necessary to do 46 emergency work to safeguard life, health or property, the board of trustees 47 may pass a resolution declaring that the public interest and necessity demand 48 the immediate expenditure of public money to safeguard life, health or prop- 49 erty. Upon adoption of the resolution, the board may expend any sum required 50 in the emergency without compliance with this section. 51 SECTION 3. That Section 33-905, Idaho Code, be, and the same is hereby 52 amended to read as follows: 53 33-905. SCHOOL DISTRICT BUILDING ACCOUNT -- PAYMENTS TO ACCOUNT -- MONEYS 4 1 APPROPRIATED TO STATE BOARD -- APPLICATION FOR MONEYS -- PAYMENTS TO DISTRICTS2 FROM ACCOUNT -- REPORTS ON APPLICATIONS -- USES OF MONEYS. (1 .) The state of 3 Idaho, recognizing its responsibility to establish and maintain a general, 4 uniform and thorough system of public, free common schools, in an effort to 5 partially fulfill this responsibility, hereby creates and establishes the 6 school district building account in the state treasury. The school district 7 building account shall have paid into it such appropriations or revenues as 8 may be provided by law. 9 (2 .) Moneys in the school district building account are hereby appropri- 10 ated to and may be expended by the state board of education at any time for 11 the purposes provided in this section, any provision of chapter 35, title 67, 12 Idaho Code, or chapter 36, title 67, Idaho Code, notwithstanding. 13 (3 .) (a) As to any moneys in the account other than lottery dividends14 distributed pursuant to subsection 4. of this section,Commencing July 1, 15 2000, the board of trustees of any school district may apply to the state 16 board of education to receive a payment or payments or to have a payment 17 made on its behalf from the school district building account ; provided, a18 district demonstrates to the state board of education that it has a sub-19 stantial and serious need based upon the district's classroom student-20 teacher ratios, past efforts to levy for such construction, physical con-21 dition of existing structures, and the total assessed market value of the22 district, all of which shall be further defined by actual need criteria23 established by the state board of educationfor school construction and 24 related planning, administrative and financing purposes. For projects 25 undertaken after July 1, 2000, the board shall establish appropriate cri- 26 teria governing need, space, cost and use of facilities to qualify for 27 state funding participation in school district construction. Only that 28 portion of the project which qualifies according to the criteria will 29 qualify for state matching funds; provided that this restriction shall not 30 limit the school district from committing additional funds derived from 31 local funding sources for a project or any portion of a project which does 32 not qualify for state participation. 33 (b) When an application for moneys from the account is approved by the 34 state board of education, the state board shall inform the school district 35 that the application has been approved, citing the amount approved for 36 payment and an estimate of the time when the payment can actually be made 37 to or on behalf of the school district. 38 (4 .) By not later than August 31, moneys in the account pursuant to dis-39 tribution from section 67-7434, Idaho Code, the lottery dividends and interest40 earned thereon, shall be distributed to each of the several school districts,41 in the proportion that the average daily attendance of that district for the42 previous school year bears to the total average daily attendance of the state43 during the previous school year. For the purposes of this subsection 4. only,44 the Idaho school for the deaf and blind shall be considered a school district,45 and shall receive a distribution based upon the average daily attendance of46 the school. Average daily attendance shall be calculated as provided in sec-47 tion 33-1002 4. (5.), Idaho CodeA school district may apply for, and the 48 state board may approve, payment or payments from the account to match school 49 district funds to pay existing indebtedness incurred for school facilities in 50 the district which may be funded to the same extent as a proposed project on 51 the remaining indebtedness outstanding. 52 (5) The state board shall have authority to contract with a school dis- 53 trict to match school district funds in the amount of twenty percent (20%) 54 state funds to eighty percent (80%) school district funds for existing indebt- 55 edness or new projects authorized by the board. Upon a finding by the state 5 1 board of education that it is advantageous to do so, the board may contract 2 with the Idaho state building authority to secure all or part of the financing 3 necessary for a school project or projects authorized by the board, and commit 4 the current and future appropriations in the school district building account 5 to this purpose. 6 5.(6) All payments from the school district building account shall be 7 paid out directly to the school district in warrants drawn by the state con- 8 troller upon presentation of proper vouchers from the state board of education 9 or, when a project has been approved for financing by the Idaho state building 10 authority, paid out to the authority. Pending payments out of the school dis- 11 trict building account, the moneys in the account shall be invested by the 12 state treasurer in the same manner as provided under section 67-1210, Idaho 13 Code, with respect to other idle moneys in the state treasury. Interest earned 14 on the investments shall be returned to the school district building account. 15 6.(7) Payments from the school district building account received by a 16 school district may be used by the school district for the purposes authorized17 in section 33-1102, Idaho Codeas set forth herein. 18 7.(8) (a) By not later than December 1, each school district shall report 19 to the state department of education the projects on which moneys received 20 from the school district building account were expended. The state depart- 21 ment of education shall transmit a summary of such reports to the legisla- 22 ture by not later than January 15 of the following year. 23 (b) By not later than December 1, each school district shall report to 24 the state department of education the planned uses for the moneys received 25 from the school district building account. The state department of educa- 26 tion shall transmit a summary of the reports to the legislature by not 27 later than January 15 of the following year. 28 SECTION 4. That Chapter 9, Title 33, Idaho Code, be, and the same is 29 hereby amended by the addition thereto of a NEW SECTION, to be known and des- 30 ignated as Section 33-905A, Idaho Code, and to read as follows: 31 33-905A. SCHOOL FACILITIES -- LOTTERY PROCEEDS. (1) The state of Idaho, 32 recognizing its unique responsibility to appropriately expend the proceeds of 33 the state lottery establishes the school facility lottery fund in the agency 34 asset fund. The school facility lottery fund shall have paid into it such 35 appropriations or revenues as may be provided by law. 36 (2) By not later than August 31 of each year, moneys in the fund shall be 37 distributed to each of the several school districts, in the proportion that 38 the average daily attendance of that district for the previous school year 39 bears to the total average daily attendance of the state during the previous 40 school year. Average daily attendance shall be calculated as provided in sec- 41 tion 33-1002 5., Idaho Code. This distribution shall be made as provided 42 herein, the provisions of chapter 35, title 67, Idaho Code, or chapter 36, 43 title 67, Idaho Code, notwithstanding. 44 (3) All payments from the school facility lottery fund shall be paid out 45 directly to the school district in warrants drawn by the state controller upon 46 presentation of proper vouchers from the state board of education. Pending 47 payments out of the school facility lottery fund, the moneys in the fund shall 48 be invested by the state treasurer in the same manner as provided under sec- 49 tion 67-1210, Idaho Code, with respect to other idle moneys in the state trea- 50 sury. Interest earned on the investments shall be returned to the school 51 facility lottery fund. 52 (4) Payments from the school facility lottery fund received by the school 53 district may be used by the school district for the purposes of maintenance, 6 1 repair and improvement of school facilities. 2 SECTION 5. That Section 33-1111, Idaho Code, be, and the same is hereby 3 amended to read as follows: 4 33-1111. SALE OF BONDS. The board of trustees shall give notice of its 5 intent to sell a bond issue. 6 The notice shall be published once in a newspaper published in this state, 7 at least one (1) week prior to the day bids are opened. Said notice shall 8 describe the issue of bonds; shall state that the board of trustees will 9 receive sealed bids until a specified day and hour; and that said bids will be 10 opened at a regular or special meeting of the board at a time and place to be 11 named in the notice. Said notice may require such deposits of forfeits as the 12 board may deem necessary. 13 At the meeting held at the time and place named in the notice, the board 14 of trustees shall open the bids, and may sell the same to whomever shall make 15 the bid most advantageous to the school district, and the deposits of the 16 unsuccessful bidders shall thereupon be returned to them. Should the success- 17 ful bidder fail or refuse to tender payment of the amount required for the 18 purchase of the issue within ten (10) days after tender to him of the executed 19 bonds and a certified copy of the bond proceedings, his deposit shall be for- 20 feited; and the board may in its judgment accept the bid next most advanta- 21 geous, or readvertise the issue as before. 22 The board of trustees may reject any or all bids, and sell the bonds to 23 the Idaho state building authority or at private sale when this is found to be 24 in the best interest of the district. 25 No school bond shall at any time be sold at less than its par value. 26 SECTION 6. That Section 67-6402, Idaho Code, be, and the same is hereby 27 amended to read as follows: 28 67-6402. DEFINITIONS. As used in this chapter the following words and 29 terms have the following meanings, unless a different meaning clearly appears 30 from the context: 31 (a) "Authority" means the Idaho state building authority created and 32 established pursuant to section 67-6403, Idaho Code. 33 (b) "Bonds," "notes" or "bond anticipation notes" and "other obligations" 34 mean any bonds, notes, debentures, interim certificates or other evidences of 35 financial indebtedness, respectively, issued by the state building authority 36 pursuant to this chapter. 37 (c) "Federal government" means the United States of America, or any 38 agency or instrumentality, corporate or otherwise of the United States of 39 America. 40 (d) "Facility" means any work or undertaking, whether new construction or 41 rehabilitation, which is designed and financed pursuant to the provisions of 42 this act and designed for use as an office building, laboratory, library, din- 43 ing room, school building or other instructional facility, motor vehicle park- 44 ing, storage or service facility or for any other use by any state body and 45 all other real or personal properties which are necessary, convenient, or 46 desirable appurtenances, such as but not limited to streets, sewers, utili- 47 ties, parks, site preparation, landscaping, and such equipment which may be 48 necessary to constitute a fully equipped and modern officebuilding as the 49 authority determines to be necessary or convenient to accomplish the purposes 50 of this act. 51 (e) "Municipality" means any city, municipal corporation, or other polit- 7 1 ical subdivision of this state. 2 (f) "Real property" means all lands, including improvements and fixtures 3 thereon, and property of any nature appurtenant thereto, or used in connection 4 therewith, and every estate, interest and right, legal or equitable, therein, 5 including terms of years and liens by way of judgment, mortgage or otherwise 6 and the indebtedness secured by such liens. 7 (g) "State" means the state of Idaho. 8 (h) "State body" means any department, board, commission, or agency of 9 the state of Idaho or any school district in the state. 10 SECTION 7. That Section 67-6404, Idaho Code, be, and the same is hereby 11 amended to read as follows: 12 67-6404. DECLARATION OF POLICY. It is hereby declared: 13 (a) the functions of government have multiplied many times since the 14 admission of the state of Idaho into the union in 1890; 15 (b) in view of the many increased functions of government, it is neces- 16 sary that proper provision of office space and related facilities for the many 17 departments, agencies and commissions of state government and its instrumen- 18 talities be provided; many such state governmental bodies are inadequately 19 provided with the necessary office space and related facilities; 20 (c) it is to the economic benefit of the citizens of the state of Idaho 21 to provide sufficient office space and the necessary related facilities for 22 such state governmental bodies and thus provide a more efficient and more eco- 23 nomical operation of state government. 24 It is further declared that in order to provide for a fully adequate sup- 25 ply of governmental facilities at costs that state government can afford, the 26 legislature finds it necessary to create and establish a state building 27 authority for the purpose of constructing and operating such facilities to 28 meet the needs of the state government. 29 It is hereby further declared to be necessary and in the public interest 30 that such state building authority provide for predevelopment costs, temporary 31 financing, land development expenses, construction and operation of governmen- 32 tal facilities for rental to state government. 33 It is further declared that it is in the public interest and a benefit to 34 the citizens of the state that adequate school buildings and other instruc- 35 tional facilities necessary for educational purposes, authorized by the board 36 of trustees of a school district and funded as provided by law through an 37 election or otherwise, and authorized by the Idaho state board of education 38 for funding as provided in section 33-905, Idaho Code, are provided to the 39 citizens in the most timely and cost efficient manner. 40 It is hereby further declared that the foregoing are public purposes and 41 uses for which public moneys may be borrowed, expended, advanced, loaned, or 42 granted, and that such activities serve a public purpose in improving or 43 otherwise benefiting the people of this state; that the necessity of enacting 44 the provisions hereinafter set forth is in the public interest and is hereby 45 so declared as a matter of express legislative determination. 46 SECTION 8. That Section 67-6409, Idaho Code, be, and the same is hereby 47 amended to read as follows: 48 67-6409. GENERAL POWERS OF THE AUTHORITY. The authority is hereby 49 granted, has and may exercise all powers necessary or appropriate to carry out 50 and effectuate its corporate purposes, including, without limitation, the 51 following: 8 1 (a) sue and be sued in its own name; 2 (b) have an official seal and to alter the same at pleasure; 3 (c) have perpetual succession; 4 (d) maintain an office at such place or places within this state as it 5 may designate; 6 (e) adopt and from time to time amend and repeal by-laws and rules and 7 regulations, not inconsistent with this chapter, to carry into effect the 8 powers and purposes of the authority and the conduct of its business; 9 (f) make and execute contracts and all other instruments necessary or 10 convenient for the exercise of its powers and functions; 11 (g) acquire real or personal property, or any interest therein, on either 12 a temporary or long term basis in the name of the authority by gift, purchase, 13 transfer, foreclosure, lease or otherwise including rights or easements; hold, 14 sell, assign, lease, encumber, mortgage or otherwise dispose of any real or 15 personal property, or any interest therein, or mortgage interest owned by it 16 or under its control, custody or in its possession and release or relinquish 17 any right, title, claim, lien, interest, easement or demand however acquired, 18 including any equity or right of redemption in property foreclosed by it and 19 to do any of the foregoing by public sale, with such public bidding as shall 20 be required by the provisions of any other law; 21 (h) to lease or rent any lands, buildings, structures, facilities or 22 equipment from private parties to effectuate the purposes of this act; 23 (i) to enter into agreements or other transactions with and accept grants 24 and the cooperation of the United States or any agency thereof or of the state 25 of Idaho or any agency or governmental subdivision thereof in furtherance of 26 the purposes of this act, including but not limited to the development, main- 27 tenance, operation and financing of any facility and to do any and all things 28 necessary in order to avail itself of such aid and cooperation; 29 (j) to receive and accept aid or contributions from any source of money, 30 property, labor or other things of value, to be held, used and applied to 31 carry out the purposes of this act subject to such conditions upon which such 32 grants and contributions may be made, including, but not limited to, gifts or 33 grants from any department or agency of the United States or this state for 34 any purpose consistent with this act; 35 (k) to employ architects, engineers, attorneys, accountants, building 36 construction and financial experts and such other advisors, consultants and 37 agents as may be necessary in its judgment and to fix their compensation; 38 (l) to procure insurance against any loss in connection with its property 39 and other assets in such amounts and from such insurers as it deems desirable; 40 (m) to invest any funds not needed for immediate use or disbursement, 41 including any funds held in reserve, in: 42 (1) bonds, notes and other obligations of the United States or any agency 43 or instrumentality thereof and other securities secured by such bonds, 44 notes or other obligation; 45 (2) money market funds which are insured or the assets of which are lim- 46 ited to obligations of the United States or any agency or instrumentality 47 thereof; 48 (3) time certificates of deposit and savings accounts; 49 (4) commercial paper which, at the time of its purchase, is rated in the 50 highest category by a nationally recognized rating service; and 51 (5) property or securities in which the state treasurer may invest funds 52 in the state treasury pursuant to section 67-1210, Idaho Code. 53 (n) to borrow money and issue bonds and notes or other evidences of 54 indebtedness thereof as hereinafter provided; 55 (o) to the extent permitted under its contract with the holders of bonds, 9 1 notes and other obligations of the authority to consent to any modification of 2 any contract, lease or agreement of any kind to which the authority is a 3 party; 4 (p) to manage or operate real and personal property, in the state, take 5 assignments of leases and rentals, proceed with foreclosure actions, or take 6 any other action necessary or incidental to the performance of its corporate 7 duties; 8 (q) to make and enter into all contracts and agreements necessary or 9 incidental to the performance of its duties and the execution of its powers 10 under this chapter; 11 (r) to plan, carry out, acquire, lease and operate facilities and to pro- 12 vide for the construction, reconstruction, improvement, alteration or repair 13 of any facility or part thereof; 14 (s) to sell, lease, rent or sublease to any state body, any facility or 15 any space embraced in any facility constructed or leased under this act, to 16 establish and revise the rents or charges therefor and to do any other acts 17 necessary to the management and operation of its facilities; 18 (t) to purchase bonds, notes and other obligations of any school district 19 of the state of Idaho; 20 (u) to convey, with or without consideration, any real or personal prop- 21 erty to any state body; and 22 (v) to do any act necessary or convenient to the exercise of the powers 23 herein granted or reasonably implied therefrom. 24 SECTION 9. That Section 67-6410, Idaho Code, be, and the same is hereby 25 amended to read as follows: 26 67-6410. PROCEDURE PRIOR TO FINANCING BUILDING DEVELOPMENTS OR BUILDING 27 PROJECTS. Notwithstanding any other provision of this act, the authority is 28 not empowered to finance any facility pursuant to section 67-6409, Idaho Code, 29 unless: 30 (a) Prior approval by the legislature has been given by concurrent reso- 31 lution authorizing a state body to have the authority provide a specific 32 facility; 33 (b) A state body has entered into an agreement with the authority for the 34 authority to provide a facility; 35 (c) Prior approval by the legislature pursuant to subsection (a) of this 36 section is not required where the facility is a school building or related 37 education facility, to be financed by the authority, after approval by the 38 state board of education and the board of trustees of the school district as 39 provided in section 33-905, Idaho Code; 40 (d) The authority finds that the building development or building project 41 to be assisted pursuant to the provisions of this act, will be of public use 42 and will provide a public benefit. 43 SECTION 10. That Section 67-7434, Idaho Code, be, and the same is hereby 44 amended to read as follows: 45 67-7434. LOTTERY DIVIDENDS. Annually, on July 1, the lottery shall trans- 46 fer one-half (1/2)one-third (1/3) but not less than six million dollars 47 ($6,000,000) of its net income to the permanentschool district building 48 account and the remaining balance of net income shall be divided one-half 49 (1/2) of its net incometo the school district building accountfacility lot- 50 tery fund and one-half (1/2) to the permanent building fund, after reserving 51 sufficient moneys to ensure the continuation of the lottery, as determined by 10 1 the director and commission. 2 A one (1) time allotment of two hundred thousand dollars ($200,000) of the 3 lottery's first year dividends shall be allocated and used by the permanent 4 building fund advisory council for the construction of a Vietnam veterans 5 memorial in the state.
STATEMENT OF PURPOSE RS 10039 The purpose of this legislation is to finance public school facilities at a 20% state - 80% local match. Allows State Treasurer to invest funds in the state treasury for bonds, notes and other obligations of any school district in the State of Idaho. FISCAL IMPACT Establishes that not less than $6 million will be transferred annually from the lottery to the school district building account. Contact: Senator Gary L Schroeder Idaho Senate Phone 332-1321 STATEMENT OF PURPOSE/FISCAL IMPACT S 1482