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S1496aa........................................................by EDUCATION
SCHOOL FACILITIES - Amends and adds to existing law to require abatement of
unsafe and unhealthy conditions in public school facilities; to provide a
mechanism for the abatement of the unsafe and unhealthy conditions; to
provide that a school district shall have the power to enter into
agreements with and execute notes or other obligations payable to the Idaho
State Building Authority for the financing of school facilities and to
provide the effect of the notes or other obligations; to provide for
certification from the school district of certain facts; to provide that
moneys in the School Plant Facilities Reserve Fund may be used to repay
notes; to revise for what the moneys in the School District Building
Account may be utilized; to provide that it is in the public interest to
allow the State Building Authority to provide school facilities; to
authorize the State Building Authority to make loans to school districts
for the purpose of financing any school facility; to provide clarifying
language regarding state facilities; to provide that the authority shall
not be required to obtain prior legislative approval for the financing of
any school facility; and to provide requirements for the financing of a
school facility.
02/21 Senate intro - 1st rdg - to printing
02/22 Rpt prt - to Educ
03/06 Rpt out - to 14th Ord
03/07 Ret'd to Educ
03/10 Rpt out - to 14th Ord
03/15 Rpt out amen - to engros
03/16 Rpt engros - 1st rdg - to 2nd rdg as amen
03/17 2nd rdg - to 3rd rdg as amen
03/20 3rd rdg as amen - FAILED - 13-22-0
AYES--Andreason, Burtenshaw, Cameron, Darrington, Frasure, Hawkins,
Keough, Lee, Noh, Richardson, Riggs, Schroeder, Wheeler
NAYS--Boatright, Branch, Bunderson, Crow, Danielson, Davis, Deide,
Dunklin, Geddes, Ingram, Ipsen, King-Barrutia, McLaughlin, Parry,
Risch, Sandy, Sorensen, Stegner, Stennett, Thorne, Whitworth,
Williams
Absent and excused--None
Floor Sponsor - Riggs, Schroeder
Filed with Secretary of the Senate
S1496
|||| LEGISLATURE OF THE STATE OF IDAHO ||||
Fifty-fifth Legislature Second Regular Session - 2000
IN THE SENATE
SENATE BILL NO. 1496, As Amended
BY EDUCATION COMMITTEE
1 AN ACT
2 RELATING TO THE PROVISION OF SCHOOL FACILITIES; AMENDING CHAPTER 16, TITLE 33,
3 IDAHO CODE, BY THE ADDITION OF A NEW SECTION 33-1613, IDAHO CODE, TO
4 REQUIRE ABATEMENT OF UNSAFE AND UNHEALTHY CONDITIONS IN PUBLIC SCHOOL
5 FACILITIES AND TO PROVIDE THE MECHANISM FOR SUCH ABATEMENT; AMENDING CHAP-
6 TER 11, TITLE 33, IDAHO CODE, BY THE ADDITION OF A NEW SECTION 33-1126,
7 IDAHO CODE, TO PROVIDE THAT A SCHOOL DISTRICT SHALL HAVE THE POWER TO
8 ENTER INTO AGREEMENTS WITH AND EXECUTE NOTES OR OTHER OBLIGATIONS PAYABLE
9 TO THE IDAHO STATE BUILDING AUTHORITY FOR THE FINANCING OF SCHOOL FACILI-
10 TIES, TO PROVIDE THE EFFECT OF NOTES OR OTHER OBLIGATIONS AND TO PROVIDE
11 FOR CERTIFICATION FROM THE SCHOOL DISTRICT TO THE BUILDING AUTHORITY OF
12 CERTAIN FACTS; AMENDING SECTION 33-901, IDAHO CODE, TO PROVIDE THAT MONEYS
13 IN THE SCHOOL PLANT FACILITIES RESERVE FUND MAY BE USED TO REPAY NOTES OR
14 OTHER OBLIGATIONS ISSUED TO THE STATE BUILDING AUTHORITY AND TO MAKE A
15 TECHNICAL CORRECTION; AMENDING SECTION 33-905, IDAHO CODE, TO REVISE FOR
16 WHAT THE MONEYS IN THE SCHOOL DISTRICT BUILDING ACCOUNT MAY BE UTILIZED
17 AND TO MAKE A TECHNICAL CORRECTION; AMENDING SECTION 67-6402, IDAHO CODE,
18 TO FURTHER DEFINE TERMS; AMENDING SECTION 67-6404, IDAHO CODE, TO PROVIDE
19 THAT IT IS IN THE PUBLIC INTEREST TO ALLOW THE STATE BUILDING AUTHORITY TO
20 PROVIDE SCHOOL FACILITIES AND TO MAKE TECHNICAL CORRECTIONS; AMENDING SEC-
21 TION 67-6409, IDAHO CODE, TO PROVIDE CLARIFYING LANGUAGE REGARDING A STATE
22 FACILITY AND TO AUTHORIZE THE STATE BUILDING AUTHORITY TO MAKE LOANS TO
23 SCHOOL DISTRICTS FOR THE PURPOSE OF FINANCING ANY SCHOOL FACILITY AND TO
24 MAKE TECHNICAL CORRECTIONS; AMENDING SECTION 67-6410, IDAHO CODE, TO PRO-
25 VIDE CLARIFYING LANGUAGE REGARDING STATE FACILITIES, TO PROVIDE THAT THE
26 AUTHORITY SHALL NOT BE REQUIRED TO OBTAIN PRIOR LEGISLATIVE APPROVAL FOR
27 THE FINANCING OF ANY SCHOOL FACILITY AND TO PROVIDE REQUIREMENTS FOR THE
28 FINANCING OF A SCHOOL FACILITY; DECLARING AN EMERGENCY, PROVIDING RETROAC-
29 TIVE APPLICATION AND PROVIDING THE EFFECT ON CERTAIN LOTTERY MONEYS.
30 Be It Enacted by the Legislature of the State of Idaho:
31 SECTION 1. That Chapter 16, Title 33, Idaho Code, be, and the same is
32 hereby amended by the addition thereto of a NEW SECTION, to be known and des-
33 ignated as Section 33-1613, Idaho Code, and to read as follows:
34 33-1613. SAFE PUBLIC SCHOOL FACILITIES REQUIRED. (1) Definition. As used
35 in this section, "public school facilities" means the physical plant of
36 improved or unimproved real property owned or operated by a school district,
37 including school buildings, administration buildings, playgrounds, athletic
38 fields, etc., used by schoolchildren or school district personnel in the nor-
39 mal course of providing a general, uniform and thorough system of public, free
40 common schools, but does not include areas, buildings or parts of buildings
41 closed from or not used in the normal course of providing a general, uniform
42 and thorough system of public, free common schools. The aspects of a safe
43 environment conducive to learning as provided by section 33-1612, Idaho Code,
2
1 that pertain to the physical plant used to provide a general, uniform and
2 thorough system of public, free common schools are hereby defined as those
3 necessary to comply with the safety and health requirements set forth in this
4 section.
5 (2) Inspection. It is the duty of the board of trustees of every school
6 district at least once in every school year to require an independent inspec-
7 tion of the district's school facilities to determine whether those school
8 facilities comply with codes addressing safety and health standards for facil-
9 ities, including electrical, plumbing, mechanical, elevator, fire safety,
10 boiler safety, life safety, structural, snow loading, and sanitary codes,
11 adopted by or pursuant to the Idaho building code advisory act, chapter 41,
12 title 39, Idaho Code, adopted by the state fire marshal, adopted by generally
13 applicable local ordinances, or adopted by rule of the state board of educa-
14 tion and applicable to school facilities. The inspection shall be done pursu-
15 ant to section 39-4130, Idaho Code, or by an independent inspector profession-
16 ally qualified to conduct inspections under the applicable code. The results
17 of the inspection shall be presented to the board of trustees for their review
18 and consideration.
19 (3) Abatement required -- Reporting. The board of trustees shall, in
20 their sole discretion, accept or reject the results of the inspection in whole
21 or in part and in so doing shall identify any unsafe or unhealthy conditions
22 in the district. The board of trustees shall require that the unsafe or
23 unhealthy conditions be abated and shall instruct the district's personnel to
24 take necessary steps to abate unsafe or unhealthy conditions. The board of
25 trustees must issue a report in the same school year in which the inspections
26 are made declaring whether any unsafe or unhealthy conditions identified have
27 not been abated. The state board of education may, by rule, provide for uni-
28 form reporting of unsafe and unhealthy conditions and for uniform reporting of
29 abatement or absence of abatement of unsafe and unhealthy conditions.
30 (4) Costs of and plan of abatement. If the school district can abate all
31 unsafe or unhealthy conditions identified with the funds available to the dis-
32 trict, it shall do so, and it need not separately account for the costs of
33 abatement nor segregate funds expended for abatement. If the school district
34 cannot abate all unsafe or unhealthy conditions identified with the funds
35 available to it, the board of trustees shall direct that a plan of abatement
36 be prepared. The plan of abatement shall provide a timetable that shall begin
37 no later than the following school year and that shall provide for abatement
38 with all deliberate speed of unsafe and unhealthy conditions identified. The
39 district shall immediately begin to implement its plan of abatement and must
40 separately account for its costs of abatement of unsafe and unhealthy condi-
41 tions and separately segregate funds for the abatement of unsafe and unhealthy
42 conditions as required by subsection (5) of this section.
43 (5) Special provisions for implementation of plan of abatement.
44 (a) Notwithstanding any other provisions of law concerning expenditure of
45 lottery moneys distributed to the school district, all lottery moneys pro-
46 vided to the school district for a school year in which the school dis-
47 trict cannot abate unsafe or unhealthy conditions identified and not
48 legally encumbered to other uses at the time and all lottery moneys for
49 following school years shall be segregated and expended exclusively for
50 abatement of unsafe and unhealthy conditions identified until all of the
51 unhealthy and unsafe conditions identified are abated, provided, if the
52 school district has obtained a loan from the Idaho state building author-
53 ity, under the provisions of section 33-1126, Idaho Code, the conditions
54 of the loan shall determine the use of the district's lottery moneys dur-
55 ing the term of the loan.
3
1 (b) If the lottery moneys referred to in paragraph (a) of this subsection
2 will, in the board of trustees' estimation, be insufficient to abate the
3 unsafe and unhealthy conditions identified, the plan of abatement shall
4 identify additional sources of funds to complete the abatement of the
5 unsafe and unhealthy conditions. The board of trustees may choose from
6 among the following sources, or from other sources of its own identifica-
7 tion, but the plan of abatement must identify sufficient sources of funds
8 for abatement.
9 (i) If the school district is not levying under chapter 8, title
10 33, Idaho Code, at the maximum levies allowed by law for levies that
11 may be imposed by a board of trustees without an election, the board
12 of trustees may increase any of those levies as allowed by law for
13 the school year following the school year in which it was unable to
14 abate unsafe or unhealthy conditions identified.
15 (ii) If the school district is levying under chapter 8, title 33,
16 Idaho Code, at the maximum levies allowed by law for levies that may
17 be imposed by the board of trustees without an election; or, if after
18 increasing those levies to the maximum levies allowed by law for
19 levies that may be imposed by the board of trustees without an elec-
20 tion, there will still be insufficient funds to abate unsafe or
21 unhealthy conditions identified, the school district, after giving
22 notice and conducting a hearing, may declare a health and safety
23 financial emergency and may then apply for a loan from the Idaho
24 state building authority as provided in section 33-1126, Idaho Code,
25 to obtain funds to abate the unsafe or unhealthy conditions identi-
26 fied.
27 (iii) Upon the declaration of a health and safety financial emer-
28 gency, which results in a reduction in force, freezing of any sala-
29 ries, or suspension of any contracts, the payments to the school dis-
30 trict under the foundation program of chapter 10, title 33, Idaho
31 Code, and in particular the staff allowance under that chapter, shall
32 not be correspondingly reduced during the duration of the financial
33 emergency to a level less than what the staff allowance would have
34 been without the reduction in force, frozen salaries or suspended
35 contracts.
36 (c) All costs of abatement for a program implementing plans of abatement
37 under subsection (5) of this section must be separately accounted for and
38 documented with regard to abatement of each unsafe or unhealthy condition
39 identified. Funds obtained under section 33-1126, Idaho Code, must be used
40 exclusively to abate unsafe or unhealthy conditions identified. Funds
41 obtained pursuant to section 33-1126, Idaho Code, in excess of funds nec-
42 essary to abate unsafe or unhealthy conditions identified must be returned
43 as provided in section 33-1126, Idaho Code. Return of these funds shall be
44 judicially enforceable as provided in section 33-1126, Idaho Code.
45 SECTION 2. That Chapter 11, Title 33, Idaho Code, be, and the same is
46 hereby amended by the addition thereto of a NEW SECTION, to be known and des-
47 ignated as Section 33-1126, Idaho Code, and to read as follows:
48 33-1126. OBLIGATIONS PAYABLE TO IDAHO STATE BUILDING AUTHORITY. (1) Any
49 school district having declared a health and safety financial emergency as
50 described in section 33-1613, Idaho Code, shall have the power to enter into
51 agreements with, and execute notes or other obligations payable to, the Idaho
52 state building authority for the financing of any school facilities as defined
53 in the Idaho state building authority act, chapter 64, title 67, Idaho Code.
4
1 The notes or other obligations shall be authorized by a resolution of the
2 school district, shall bear such date or dates and shall mature at such times
3 as such resolution may provide, not exceeding twenty (20) years from the date
4 of issuance. The notes or other obligations shall bear interest at such rates
5 as the resolution shall provide and as shall be agreed upon with the Idaho
6 state building authority.
7 (2) Notes or other obligations issued under this section shall constitute
8 a general obligation of the school district payable from any of its lawful
9 funds. The provisions of sections 33-1103 through 33-1114, Idaho Code, shall
10 not apply to school district notes or other obligations issued under this sec-
11 tion unless the Idaho state building authority shall require compliance with
12 any or all of such provisions.
13 (3) Prior to financing any improvements to a school facility that shall
14 be health and safety improvements and which the school district proposes to
15 undertake without first obtaining the approval of the percentage of votes of
16 the school district that would be required for the issuance of bonds of the
17 school district under section 33-1103, Idaho Code, the school district shall
18 certify to the authority that the improvements shall constitute an ordinary
19 and necessary expense under section 3, article VIII, of the constitution of
20 the state of Idaho.
21 SECTION 3. That Section 33-901, Idaho Code, be, and the same is hereby
22 amended to read as follows:
23 33-901. SCHOOL PLANT FACILITIES RESERVE FUND. The board of trustees of
24 any school district may create and establish a school plant facilities reserve
25 fund by resolution adopted at any regular or special meeting of the board. All
26 moneys for said fund accruing from taxes levied under section 33-804, Idaho
27 Code, together with interest accruing from the investment of any moneys in
28 the fund and any moneys allowed for depreciation of school plant facilities as
29 are appropriated from the general fund of the district, shall be credited by
30 the treasurer to the school plant facilities reserve fund.
31 Disbursements from said fund may be made from time to time as the board of
32 trustees may determine, for purposes authorized in section 33-1102, Idaho
33 Code, and for lease and lease purchase agreements for such purposes and to
34 repay loans from commercial lending institutions or to repay notes or other
35 obligations issued to the Idaho state building authority extended to pay for
36 the construction of school plant facilities, but no expenditure for remodeling
37 existing buildings shall be authorized and made unless the estimated cost
38 thereof shall exceed five thousand dollars ($5,000). Lease purchase agreements
39 shall not extend beyond the period designated for any existing school plant
40 facilities reserve fund levy. Expenditures may also be made from this fund for
41 participation by the school district in any local improvement district in
42 which the school district may be situate, but any such participation shall not
43 create a lien upon any of the property owned by the school district.
44 Should any school district having a balance in its school plant facilities
45 reserve fund be consolidated with one (1) or more school districts to form a
46 new school district, the moneys in such fund shall be used to retire any bonds
47 issued by it and outstanding at the time of the consolidation. If there are no
48 bonds outstanding, any balance in its school plant facilities reserve fund
49 shall accrue to the new district to be added to or to create and establish a
50 school plant facilities reserve fund.
51 Should any school district having a balance in its school plant facilities
52 reserve fund be divided so as to create two (2) or more new districts the said
53 fund may be used to retire any bonds issued by it and outstanding at the time
5
1 of the division, or the said fund may be divided among the new school dis-
2 tricts, as may be approved by the electors at the time of the division. If the
3 fund is divided among the new districts, a school plant facilities reserve
4 fund is thereby created and established for each district.
5 The board of trustees of any school district having a school plant facili-
6 ties reserve fund created and established under any of the provisions of this
7 section, may discontinue the same by resolution adopted at any regular meeting
8 of the board. Upon such discontinuance, any balance in the fund shall be used
9 to retire any outstanding bonds, if any; otherwise, the balance may be trans-
10 ferred to the general fund of the district.
11 Moneys in the school plant facilities reserve fund being held for future
12 use may be invested in the manner of section 57-127, Idaho Code.
13 A detailed financial report of the operations in and the condition of the
14 school plant facilities reserve fund shall be included in the annual report of
15 each district. Forms for such reporting shall be provided by the state board
16 of education. Such report shall be published as provided by law for the publi-
17 cation of annual reports of school districts.
18 SECTION 4. That Section 33-905, Idaho Code, be, and the same is hereby
19 amended to read as follows:
20 33-905. SCHOOL DISTRICT BUILDING ACCOUNT -- PAYMENTS TO ACCOUNT -- MONEYS
21 APPROPRIATED TO STATE BOARD -- APPLICATION FOR MONEYS -- PAYMENTS TO DISTRICTS
22 -- REPORTS ON APPLICATIONS -- USES OF MONEYS. 1. The state of Idaho, recogniz-
23 ing its responsibility to establish and maintain a general, uniform and thor-
24 ough system of public, free common schools, in an effort to partially fulfill
25 this responsibility, hereby creates and establishes the school district build-
26 ing account in the state treasury. The school district building account shall
27 have paid into it such appropriations or revenues as may be provided by law.
28 2. Moneys in the school district building account are hereby appropriated
29 to and may be expended by the state board of education at any time for the
30 purposes provided in this section, any provision of chapter 35, title 67,
31 Idaho Code, or chapter 36, title 67, Idaho Code, notwithstanding.
32 3. (a) As to any moneys in the account other than lottery dividends dis-
33 tributed pursuant to subsection 4. of this section, the board of trustees
34 of any school district may apply to the state board of education to
35 receive a payment or payments from the school district building account;
36 provided, a district demonstrates to the state board of education that it
37 has a substantial and serious health and safety need based upon the
38 district's classroom student-teacher ratios certified attestation and
39 demonstration of unsafe facilities, past efforts to levy for such con-
40 struction or repairs, physical condition of existing structures, and the
41 total assessed market value of the district, all of which shall be further
42 defined by actual need criteria established by the state board of educa-
43 tion.
44 (b) When an application for moneys from the account is approved by the
45 state board of education, the state board shall inform the school district
46 that the application has been approved, citing the amount approved for
47 payment and an estimate of the time when the payment can actually be made
48 to the school district.
49 4. By not later than August 31, moneys in the account pursuant to distri-
50 bution from section 67-7434, Idaho Code, the lottery dividends and interest
51 earned thereon, shall be distributed to each of the several school districts,
52 in the proportion that the average daily attendance of that district for the
53 previous school year bears to the total average daily attendance of the state
6
1 during the previous school year. For the purposes of this subsection 4. only,
2 the Idaho school for the deaf and blind shall be considered a school district,
3 and shall receive a distribution based upon the average daily attendance of
4 the school. Average daily attendance shall be calculated as provided in sec-
5 tion 33-1002 45., Idaho Code.
6 5. All payments from the school district building account shall be paid
7 out directly to the school district in warrants drawn by the state controller
8 upon presentation of proper vouchers from the state board of education. Pend-
9 ing payments out of the school district building account, the moneys in the
10 account shall be invested by the state treasurer in the same manner as pro-
11 vided under section 67-1210, Idaho Code, with respect to other idle moneys in
12 the state treasury. Interest earned on the investments shall be returned to
13 the school district building account.
14 6. Payments from the school district building account received by a
15 school district may be used by the school district for the purposes authorized
16 in section 33-1102, Idaho Code.
17 7. (a) By not later than December 1, each school district shall report to
18 the state department of education the projects on which moneys received
19 from the school district building account were expended. The state depart-
20 ment of education shall transmit a summary of such reports to the legisla-
21 ture by not later than January 15 of the following year.
22 (b) By not later than December 1, each school district shall report to
23 the state department of education the planned uses for the moneys received
24 from the school district building account. The state department of educa-
25 tion shall transmit a summary of the reports to the legislature by not
26 later than January 15 of the following year.
27 SECTION 5. That Section 67-6402, Idaho Code, be, and the same is hereby
28 amended to read as follows:
29 67-6402. DEFINITIONS. As used in this chapter the following words and
30 terms have the following meanings, unless a different meaning clearly appears
31 from the context:
32 (a) "Authority" means the Idaho state building authority created and
33 established pursuant to section 67-6403, Idaho Code.
34 (b) "Bonds," "notes" or "bond anticipation notes" and "other obligations"
35 mean any bonds, notes, debentures, interim certificates or other evidences of
36 financial indebtedness, respectively, issued by the state building authority
37 pursuant to this chapter.
38 (c) "Federal government" means the United States of America, or any
39 agency or instrumentality, corporate or otherwise of the United States of
40 America.
41 (d) "School facility" means any work or undertaking, whether new con-
42 struction or rehabilitation, which is financed pursuant to the provisions of
43 this act and is designed and used as a building, structure, improvement or
44 equipment of every kind, nature and description which may be required or con-
45 venient for the purposes of a school district including, without limiting the
46 generality of the foregoing, any of the facilities or improvements for which a
47 school district may incur bonded indebtedness under section 33-1102, Idaho
48 Code.
49 (e) "School district" means any school district, including a specially
50 chartered district organized and existing under chapter 3, title 33, Idaho
51 Code.
52 (f) "State fFacility" means any work or undertaking, whether new con-
53 struction or rehabilitation, which is designed and financed pursuant to the
7
1 provisions of this act and designed for use as an office building, laboratory,
2 library, dining room, instructional facility, motor vehicle parking, storage
3 or service facility or for any other use by any state body and all other real
4 or personal properties which are necessary, convenient, or desirable appurte-
5 nances, such as but not limited to streets, sewers, utilities, parks, site
6 preparation, landscaping, and such equipment which may be necessary to consti-
7 tute a fully equipped and modern office building as the authority determines
8 to be necessary or convenient to accomplish the purposes of this act.
9 (eg) "Municipality" means any city, municipal corporation, or other
10 political subdivision of this state.
11 (fh) "Real property" means all lands, including improvements and fix-
12 tures thereon, and property of any nature appurtenant thereto, or used in con-
13 nection therewith, and every estate, interest and right, legal or equitable,
14 therein, including terms of years and liens by way of judgment, mortgage or
15 otherwise and the indebtedness secured by such liens.
16 (gi) "State" means the state of Idaho.
17 (hj) "State body" means any department, board, commission, or agency of
18 the state of Idaho.
19 SECTION 6. That Section 67-6404, Idaho Code, be, and the same is hereby
20 amended to read as follows:
21 67-6404. DECLARATION OF POLICY. It is hereby declared:
22 (a) tThe functions of government have multiplied many times since the
23 admission of the state of Idaho into the union in 1890;
24 (b) iIn view of the many increased functions of government, it is neces-
25 sary that proper provision of office space and related facilities for the many
26 departments, agencies and commissions of state government and its instrumen-
27 talities be provided; many such state governmental bodies are inadequately
28 provided with the necessary office space and related facilities;
29 (c) iIt is to the economic benefit of the citizens of the state of Idaho
30 to provide sufficient office space, school facilities and the necessary
31 related facilities for such state governmental bodies and school districts and
32 thus provide a more efficient and more economical operation of state govern-
33 ment and the public schools.
34 It is further declared that in order to provide for a fully adequate sup-
35 ply of governmental facilities at costs that state government can afford, the
36 legislature finds it necessary to create and establish a state building
37 authority for the purpose of constructing and operating such facilities to
38 meet the needs of the state government.
39 It is hereby further declared to be necessary and in the public interest
40 that such state building authority provide for predevelopment costs, temporary
41 financing, land development expenses, construction and operation of governmen-
42 tal facilities for rental to state government.
43 It is hereby further declared that the foregoing are public purposes and
44 uses for which public moneys may be borrowed, expended, advanced, loaned, or
45 granted, and that such activities serve a public purpose in improving or
46 otherwise benefiting the people of this state; that the necessity of enacting
47 the provisions hereinafter set forth is in the public interest and is hereby
48 so declared as a matter of express legislative determination.
49 SECTION 7. That Section 67-6409, Idaho Code, be, and the same is hereby
50 amended to read as follows:
51 67-6409. GENERAL POWERS OF THE AUTHORITY. The authority is hereby
8
1 granted, has and may exercise all powers necessary or appropriate to carry out
2 and effectuate its corporate purposes, including, without limitation, the fol-
3 lowing:
4 (a) sue and be sued in its own name;
5 (b) have an official seal and to alter the same at pleasure;
6 (c) have perpetual succession;
7 (d) maintain an office at such place or places within this state as it
8 may designate;
9 (e) adopt and from time to time amend and repeal by-laws bylaws and
10 rules, and regulations, not inconsistent with this chapter, to carry into
11 effect the powers and purposes of the authority and the conduct of its busi-
12 ness;
13 (f) make and execute contracts and all other instruments necessary or
14 convenient for the exercise of its powers and functions;
15 (g) acquire real or personal property, or any interest therein, on either
16 a temporary or long-term basis in the name of the authority by gift, purchase,
17 transfer, foreclosure, lease or otherwise including rights or easements; hold,
18 sell, assign, lease, encumber, mortgage or otherwise dispose of any real or
19 personal property, or any interest therein, or mortgage interest owned by it
20 or under its control, custody or in its possession and release or relinquish
21 any right, title, claim, lien, interest, easement or demand however acquired,
22 including any equity or right of redemption in property foreclosed by it and
23 to do any of the foregoing by public sale, with such public bidding as shall
24 be required by the provisions of any other law;
25 (h) to lease or rent any lands, buildings, structures, facilities or
26 equipment from private parties to effectuate the purposes of this act;
27 (i) to enter into agreements or other transactions with and accept grants
28 and the cooperation of the United States or any agency thereof or of the state
29 of Idaho or any agency or governmental subdivision thereof in furtherance of
30 the purposes of this act, including, but not limited to, the development,
31 maintenance, operation and financing of any facility and to do any and all
32 things necessary in order to avail itself of such aid and cooperation;
33 (j) to receive and accept aid or contributions from any source of money,
34 property, labor or other things of value, to be held, used and applied to
35 carry out the purposes of this act subject to such conditions upon which such
36 grants and contributions may be made, including, but not limited to, gifts or
37 grants from any department or agency of the United States or this state for
38 any purpose consistent with this act;
39 (k) to employ architects, engineers, attorneys, accountants, building
40 construction and financial experts and such other advisors, consultants and
41 agents as may be necessary in its judgment and to fix their compensation;
42 (l) to procure insurance against any loss in connection with its property
43 and other assets in such amounts and from such insurers as it deems desirable;
44 (m) to invest any funds not needed for immediate use or disbursement,
45 including any funds held in reserve, in:
46 (1) bonds, notes and other obligations of the United States or any agency
47 or instrumentality thereof and other securities secured by such bonds,
48 notes or other obligation;
49 (2) money market funds which are insured or the assets of which are lim-
50 ited to obligations of the United States or any agency or instrumentality
51 thereof;
52 (3) time certificates of deposit and savings accounts;
53 (4) commercial paper which, at the time of its purchase, is rated in the
54 highest category by a nationally recognized rating service; and
55 (5) property or securities in which the state treasurer may invest funds
9
1 in the state treasury pursuant to section 67-1210, Idaho Code.
2 (n) to borrow money and issue bonds and notes or other evidences of
3 indebtedness thereof as hereinafter provided;
4 (o) to the extent permitted under its contract with the holders of bonds,
5 notes and other obligations of the authority to consent to any modification of
6 any contract, lease or agreement of any kind to which the authority is a
7 party;
8 (p) to manage or operate real and personal property, in the state, take
9 assignments of leases and rentals, proceed with foreclosure actions, or take
10 any other action necessary or incidental to the performance of its corporate
11 duties;
12 (q) to make and enter into all contracts and agreements necessary or
13 incidental to the performance of its duties and the execution of its powers
14 under this chapter;
15 (r) to plan, carry out, acquire, lease and operate facilities and to pro-
16 vide for the construction, reconstruction, improvement, alteration or repair
17 of any facility or part thereof;
18 (s) to sell, lease, rent or sublease to any state body, any state facil-
19 ity or any space embraced in any facility constructed or leased under this
20 act, to establish and revise the rents or charges therefor and to do any other
21 acts necessary to the management and operation of its facilities;
22 (t) to make loans to school districts for the purpose of financing any
23 school facility;
24 (u) to do any act necessary or convenient to the exercise of the powers
25 herein granted or reasonably implied therefrom.
26 SECTION 8. That Section 67-6410, Idaho Code, be, and the same is hereby
27 amended to read as follows:
28 67-6410. PROCEDURE PRIOR TO FINANCING BUILDING DEVELOPMENTS OR BUILDING
29 PROJECTS. Notwithstanding any other provision of this act, the authority is
30 not empowered to finance any state facility pursuant to section 67-6409, Idaho
31 Code, unless:
32 (a) Prior approval by the legislature has been given by concurrent reso-
33 lution authorizing a state body to have the authority provide a specific
34 facility;
35 (b) A state body has entered into an agreement with the authority for the
36 authority to provide a facility;
37 (c) The authority finds that the building development or building project
38 to be assisted pursuant to the provisions of this act, will be of public use
39 and will provide a public benefit. The authority shall not be required to
40 obtain prior legislative approval for the financing of any school facility.
41 Prior to financing any improvements to a school facility that shall be health
42 and safety improvements, the authority shall require the school district and
43 the superintendent of public instruction to certify that the improvements
44 shall constitute an ordinary and necessary expense under section 3, article
45 VIII of the constitution of the state of Idaho.
46 SECTION 9. An emergency existing therefor, which emergency is hereby
47 declared to exist, this act shall be in full force and effect on and after its
48 passage and approval, and retroactively to January 1, 2000; provided however,
49 this act shall not apply to any expenditure of lottery moneys during the
50 1999-2000 school year that were legally encumbered before the time of passage
51 and approval of this act.
AS1496
|||| LEGISLATURE OF THE STATE OF IDAHO ||||
Fifty-fifth Legislature Second Regular Session - 2000
Moved by Riggs
Seconded by Keough
IN THE SENATE
SENATE AMENDMENT TO S.B. NO. 1496
1 AMENDMENT TO THE BILL
2 On page 1 of the printed bill, delete lines 36 through 43 and delete
3 pages 2 through 10 and insert:
4 "SECTION 1. That Chapter 16, Title 33, Idaho Code, be, and the same is
5 hereby amended by the addition thereto of a NEW SECTION, to be known and des-
6 ignated as Section 33-1613, Idaho Code, and to read as follows:
7 33-1613. SAFE PUBLIC SCHOOL FACILITIES REQUIRED. (1) Definition. As used
8 in this section, "public school facilities" means the physical plant of
9 improved or unimproved real property owned or operated by a school district,
10 including school buildings, administration buildings, playgrounds, athletic
11 fields, etc., used by schoolchildren or school district personnel in the nor-
12 mal course of providing a general, uniform and thorough system of public, free
13 common schools, but does not include areas, buildings or parts of buildings
14 closed from or not used in the normal course of providing a general, uniform
15 and thorough system of public, free common schools. The aspects of a safe
16 environment conducive to learning as provided by section 33-1612, Idaho Code,
17 that pertain to the physical plant used to provide a general, uniform and
18 thorough system of public, free common schools are hereby defined as those
19 necessary to comply with the safety and health requirements set forth in this
20 section.
21 (2) Inspection. It is the duty of the board of trustees of every school
22 district at least once in every school year to require an independent inspec-
23 tion of the district's school facilities to determine whether those school
24 facilities comply with codes addressing safety and health standards for facil-
25 ities, including electrical, plumbing, mechanical, elevator, fire safety,
26 boiler safety, life safety, structural, snow loading, and sanitary codes,
27 adopted by or pursuant to the Idaho building code advisory act, chapter 41,
28 title 39, Idaho Code, adopted by the state fire marshal, adopted by generally
29 applicable local ordinances, or adopted by rule of the state board of educa-
30 tion and applicable to school facilities. The inspection shall be done pursu-
31 ant to section 39-4130, Idaho Code, or by an independent inspector profession-
32 ally qualified to conduct inspections under the applicable code. The results
33 of the inspection shall be presented to the board of trustees for their review
34 and consideration.
35 (3) Abatement required -- Reporting. The board of trustees shall, in
36 their sole discretion, accept or reject the results of the inspection in whole
37 or in part and in so doing shall identify any unsafe or unhealthy conditions
38 in the district. The board of trustees shall require that the unsafe or
39 unhealthy conditions be abated and shall instruct the district's personnel to
40 take necessary steps to abate unsafe or unhealthy conditions. The board of
41 trustees must issue a report in the same school year in which the inspections
2
1 are made declaring whether any unsafe or unhealthy conditions identified have
2 not been abated. The state board of education may, by rule, provide for uni-
3 form reporting of unsafe and unhealthy conditions and for uniform reporting of
4 abatement or absence of abatement of unsafe and unhealthy conditions.
5 (4) Costs of and plan of abatement. If the school district can abate all
6 unsafe or unhealthy conditions identified with the funds available to the dis-
7 trict, it shall do so, and it need not separately account for the costs of
8 abatement nor segregate funds expended for abatement. If the school district
9 cannot abate all unsafe or unhealthy conditions identified with the funds
10 available to it, the board of trustees shall direct that a plan of abatement
11 be prepared. The plan of abatement shall provide a timetable that shall begin
12 no later than the following school year and that shall provide for abatement
13 with all deliberate speed of unsafe and unhealthy conditions identified. The
14 district shall immediately begin to implement its plan of abatement and must
15 separately account for its costs of abatement of unsafe and unhealthy condi-
16 tions and separately segregate funds for the abatement of unsafe and unhealthy
17 conditions as required by subsection (5) of this section.
18 (5) Special provisions for implementation of plan of abatement.
19 (a) Notwithstanding any other provisions of law concerning expenditure of
20 lottery moneys distributed to the school district, all lottery moneys pro-
21 vided to the school district for a school year in which the school dis-
22 trict cannot abate unsafe or unhealthy conditions identified and not
23 legally encumbered to other uses at the time and all lottery moneys for
24 following school years shall be segregated and expended exclusively for
25 abatement of unsafe and unhealthy conditions identified until all of the
26 unhealthy and unsafe conditions identified are abated, provided, if the
27 school district has obtained a loan from the Idaho state building author-
28 ity, under the provisions of section 33-1126, Idaho Code, the conditions
29 of the loan shall determine the use of the district's lottery moneys dur-
30 ing the term of the loan.
31 (b) If the lottery moneys referred to in paragraph (a) of this subsection
32 will, in the board of trustees' estimation, be insufficient to abate the
33 unsafe and unhealthy conditions identified, the plan of abatement shall
34 identify additional sources of funds to complete the abatement of the
35 unsafe and unhealthy conditions. The board of trustees may choose from
36 among the following sources, or from other sources of its own identifica-
37 tion, but the plan of abatement must identify sufficient sources of funds
38 for abatement.
39 (i) If the school district is not levying under chapter 8, title
40 33, Idaho Code, at the maximum levies allowed by law for levies that
41 may be imposed by a board of trustees without an election, the board
42 of trustees may increase any of those levies as allowed by law for
43 the school year following the school year in which it was unable to
44 abate unsafe or unhealthy conditions identified.
45 (ii) If the school district is levying under chapter 8, title 33,
46 Idaho Code, at the maximum levies allowed by law for levies that may
47 be imposed by the board of trustees without an election; or, if after
48 increasing those levies to the maximum levies allowed by law for
49 levies that may be imposed by the board of trustees without an elec-
50 tion, there will still be insufficient funds to abate unsafe or
51 unhealthy conditions identified, the school district, after giving
52 notice and conducting a hearing, may declare a health and safety
53 financial emergency and may then apply for a loan from the Idaho
54 state building authority as provided in section 33-1126, Idaho Code,
55 to obtain funds to abate the unsafe or unhealthy conditions identi-
3
1 fied.
2 (iii) Upon the declaration of a health and safety financial emer-
3 gency, which results in a reduction in force, freezing of any sala-
4 ries, or suspension of any contracts, the payments to the school dis-
5 trict under the foundation program of chapter 10, title 33, Idaho
6 Code, and in particular the staff allowance under that chapter, shall
7 not be correspondingly reduced during the duration of the financial
8 emergency to a level less than what the staff allowance would have
9 been without the reduction in force, frozen salaries or suspended
10 contracts.
11 (c) All costs of abatement for a program implementing plans of abatement
12 under subsection (5) of this section must be separately accounted for and
13 documented with regard to abatement of each unsafe or unhealthy condition
14 identified. Funds obtained under section 33-1126, Idaho Code, must be used
15 exclusively to abate unsafe or unhealthy conditions identified. Funds
16 obtained pursuant to section 33-1126, Idaho Code, in excess of funds nec-
17 essary to abate unsafe or unhealthy conditions identified must be returned
18 as provided in section 33-1126, Idaho Code. Return of these funds shall be
19 judicially enforceable as provided in section 33-1126, Idaho Code.
20 SECTION 2. That Chapter 11, Title 33, Idaho Code, be, and the same is
21 hereby amended by the addition thereto of a NEW SECTION, to be known and des-
22 ignated as Section 33-1126, Idaho Code, and to read as follows:
23 33-1126. OBLIGATIONS PAYABLE TO IDAHO STATE BUILDING AUTHORITY. (1) Any
24 school district having declared a health and safety financial emergency as
25 described in section 33-1613, Idaho Code, shall have the power to enter into
26 agreements with, and execute notes or other obligations payable to, the Idaho
27 state building authority for the financing of any school facilities as defined
28 in the Idaho state building authority act, chapter 64, title 67, Idaho Code.
29 The notes or other obligations shall be authorized by a resolution of the
30 school district, shall bear such date or dates and shall mature at such times
31 as such resolution may provide, not exceeding twenty (20) years from the date
32 of issuance. The notes or other obligations shall bear interest at such rates
33 as the resolution shall provide and as shall be agreed upon with the Idaho
34 state building authority.
35 (2) Notes or other obligations issued under this section shall constitute
36 a general obligation of the school district payable from any of its lawful
37 funds. The provisions of sections 33-1103 through 33-1114, Idaho Code, shall
38 not apply to school district notes or other obligations issued under this sec-
39 tion unless the Idaho state building authority shall require compliance with
40 any or all of such provisions.
41 (3) Prior to financing any improvements to a school facility that shall
42 be health and safety improvements and which the school district proposes to
43 undertake without first obtaining the approval of the percentage of votes of
44 the school district that would be required for the issuance of bonds of the
45 school district under section 33-1103, Idaho Code, the school district shall
46 certify to the authority that the improvements shall constitute an ordinary
47 and necessary expense under section 3, article VIII, of the constitution of
48 the state of Idaho.
49 SECTION 3. That Section 33-901, Idaho Code, be, and the same is hereby
50 amended to read as follows:
51 33-901. SCHOOL PLANT FACILITIES RESERVE FUND. The board of trustees of
4
1 any school district may create and establish a school plant facilities reserve
2 fund by resolution adopted at any regular or special meeting of the board. All
3 moneys for said fund accruing from taxes levied under section 33-804, Idaho
4 Code, together with interest accruing from the investment of any moneys in
5 the fund and any moneys allowed for depreciation of school plant facilities as
6 are appropriated from the general fund of the district, shall be credited by
7 the treasurer to the school plant facilities reserve fund.
8 Disbursements from said fund may be made from time to time as the board of
9 trustees may determine, for purposes authorized in section 33-1102, Idaho
10 Code, and for lease and lease purchase agreements for such purposes and to
11 repay loans from commercial lending institutions or to repay notes or other
12 obligations issued to the Idaho state building authority extended to pay for
13 the construction of school plant facilities, but no expenditure for remodeling
14 existing buildings shall be authorized and made unless the estimated cost
15 thereof shall exceed five thousand dollars ($5,000). Lease purchase agreements
16 shall not extend beyond the period designated for any existing school plant
17 facilities reserve fund levy. Expenditures may also be made from this fund for
18 participation by the school district in any local improvement district in
19 which the school district may be situate, but any such participation shall not
20 create a lien upon any of the property owned by the school district.
21 Should any school district having a balance in its school plant facilities
22 reserve fund be consolidated with one (1) or more school districts to form a
23 new school district, the moneys in such fund shall be used to retire any bonds
24 issued by it and outstanding at the time of the consolidation. If there are no
25 bonds outstanding, any balance in its school plant facilities reserve fund
26 shall accrue to the new district to be added to or to create and establish a
27 school plant facilities reserve fund.
28 Should any school district having a balance in its school plant facilities
29 reserve fund be divided so as to create two (2) or more new districts the said
30 fund may be used to retire any bonds issued by it and outstanding at the time
31 of the division, or the said fund may be divided among the new school dis-
32 tricts, as may be approved by the electors at the time of the division. If the
33 fund is divided among the new districts, a school plant facilities reserve
34 fund is thereby created and established for each district.
35 The board of trustees of any school district having a school plant facili-
36 ties reserve fund created and established under any of the provisions of this
37 section, may discontinue the same by resolution adopted at any regular meeting
38 of the board. Upon such discontinuance, any balance in the fund shall be used
39 to retire any outstanding bonds, if any; otherwise, the balance may be trans-
40 ferred to the general fund of the district.
41 Moneys in the school plant facilities reserve fund being held for future
42 use may be invested in the manner of section 57-127, Idaho Code.
43 A detailed financial report of the operations in and the condition of the
44 school plant facilities reserve fund shall be included in the annual report of
45 each district. Forms for such reporting shall be provided by the state board
46 of education. Such report shall be published as provided by law for the publi-
47 cation of annual reports of school districts.
48 SECTION 4. That Section 33-905, Idaho Code, be, and the same is hereby
49 amended to read as follows:
50 33-905. SCHOOL DISTRICT BUILDING ACCOUNT -- PAYMENTS TO ACCOUNT -- MONEYS
51 APPROPRIATED TO STATE BOARD -- APPLICATION FOR MONEYS -- PAYMENTS TO DISTRICTS
52 -- REPORTS ON APPLICATIONS -- USES OF MONEYS. 1. The state of Idaho, recogniz-
53 ing its responsibility to establish and maintain a general, uniform and thor-
5
1 ough system of public, free common schools, in an effort to partially fulfill
2 this responsibility, hereby creates and establishes the school district build-
3 ing account in the state treasury. The school district building account shall
4 have paid into it such appropriations or revenues as may be provided by law.
5 2. Moneys in the school district building account are hereby appropriated
6 to and may be expended by the state board of education at any time for the
7 purposes provided in this section, any provision of chapter 35, title 67,
8 Idaho Code, or chapter 36, title 67, Idaho Code, notwithstanding.
9 3. (a) As to any moneys in the account other than lottery dividends dis-
10 tributed pursuant to subsection 4. of this section, the board of trustees
11 of any school district may apply to the state board of education to
12 receive a payment or payments from the school district building account;
13 provided, a district demonstrates to the state board of education that it
14 has a substantial and serious health and safety need based upon the
15 district's classroom student-teacher ratios certified attestation and
16 demonstration of unsafe facilities, past efforts to levy for such con-
17 struction or repairs, physical condition of existing structures, and the
18 total assessed market value of the district, all of which shall be further
19 defined by actual need criteria established by the state board of educa-
20 tion.
21 (b) When an application for moneys from the account is approved by the
22 state board of education, the state board shall inform the school district
23 that the application has been approved, citing the amount approved for
24 payment and an estimate of the time when the payment can actually be made
25 to the school district.
26 4. By not later than August 31, moneys in the account pursuant to distri-
27 bution from section 67-7434, Idaho Code, the lottery dividends and interest
28 earned thereon, shall be distributed to each of the several school districts,
29 in the proportion that the average daily attendance of that district for the
30 previous school year bears to the total average daily attendance of the state
31 during the previous school year. For the purposes of this subsection 4. only,
32 the Idaho school for the deaf and blind shall be considered a school district,
33 and shall receive a distribution based upon the average daily attendance of
34 the school. Average daily attendance shall be calculated as provided in sec-
35 tion 33-1002 45., Idaho Code.
36 5. All payments from the school district building account shall be paid
37 out directly to the school district in warrants drawn by the state controller
38 upon presentation of proper vouchers from the state board of education. Pend-
39 ing payments out of the school district building account, the moneys in the
40 account shall be invested by the state treasurer in the same manner as pro-
41 vided under section 67-1210, Idaho Code, with respect to other idle moneys in
42 the state treasury. Interest earned on the investments shall be returned to
43 the school district building account.
44 6. Payments from the school district building account received by a
45 school district may be used by the school district for the purposes authorized
46 in section 33-1102, Idaho Code.
47 7. (a) By not later than December 1, each school district shall report to
48 the state department of education the projects on which moneys received
49 from the school district building account were expended. The state depart-
50 ment of education shall transmit a summary of such reports to the legisla-
51 ture by not later than January 15 of the following year.
52 (b) By not later than December 1, each school district shall report to
53 the state department of education the planned uses for the moneys received
54 from the school district building account. The state department of educa-
55 tion shall transmit a summary of the reports to the legislature by not
6
1 later than January 15 of the following year.
2 SECTION 5. That Section 67-6402, Idaho Code, be, and the same is hereby
3 amended to read as follows:
4 67-6402. DEFINITIONS. As used in this chapter the following words and
5 terms have the following meanings, unless a different meaning clearly appears
6 from the context:
7 (a) "Authority" means the Idaho state building authority created and
8 established pursuant to section 67-6403, Idaho Code.
9 (b) "Bonds," "notes" or "bond anticipation notes" and "other obligations"
10 mean any bonds, notes, debentures, interim certificates or other evidences of
11 financial indebtedness, respectively, issued by the state building authority
12 pursuant to this chapter.
13 (c) "Federal government" means the United States of America, or any
14 agency or instrumentality, corporate or otherwise of the United States of
15 America.
16 (d) "School facility" means any work or undertaking, whether new con-
17 struction or rehabilitation, which is financed pursuant to the provisions of
18 this act and is designed and used as a building, structure, improvement or
19 equipment of every kind, nature and description which may be required or con-
20 venient for the purposes of a school district including, without limiting the
21 generality of the foregoing, any of the facilities or improvements for which a
22 school district may incur bonded indebtedness under section 33-1102, Idaho
23 Code.
24 (e) "School district" means any school district, including a specially
25 chartered district organized and existing under chapter 3, title 33, Idaho
26 Code.
27 (f) "State fFacility" means any work or undertaking, whether new con-
28 struction or rehabilitation, which is designed and financed pursuant to the
29 provisions of this act and designed for use as an office building, laboratory,
30 library, dining room, instructional facility, motor vehicle parking, storage
31 or service facility or for any other use by any state body and all other real
32 or personal properties which are necessary, convenient, or desirable appurte-
33 nances, such as but not limited to streets, sewers, utilities, parks, site
34 preparation, landscaping, and such equipment which may be necessary to consti-
35 tute a fully equipped and modern office building as the authority determines
36 to be necessary or convenient to accomplish the purposes of this act.
37 (eg) "Municipality" means any city, municipal corporation, or other
38 political subdivision of this state.
39 (fh) "Real property" means all lands, including improvements and fix-
40 tures thereon, and property of any nature appurtenant thereto, or used in con-
41 nection therewith, and every estate, interest and right, legal or equitable,
42 therein, including terms of years and liens by way of judgment, mortgage or
43 otherwise and the indebtedness secured by such liens.
44 (gi) "State" means the state of Idaho.
45 (hj) "State body" means any department, board, commission, or agency of
46 the state of Idaho.
47 SECTION 6. That Section 67-6404, Idaho Code, be, and the same is hereby
48 amended to read as follows:
49 67-6404. DECLARATION OF POLICY. It is hereby declared:
50 (a) tThe functions of government have multiplied many times since the
51 admission of the state of Idaho into the union in 1890;
7
1 (b) iIn view of the many increased functions of government, it is neces-
2 sary that proper provision of office space and related facilities for the many
3 departments, agencies and commissions of state government and its instrumen-
4 talities be provided; many such state governmental bodies are inadequately
5 provided with the necessary office space and related facilities;
6 (c) iIt is to the economic benefit of the citizens of the state of Idaho
7 to provide sufficient office space, school facilities and the necessary
8 related facilities for such state governmental bodies and school districts and
9 thus provide a more efficient and more economical operation of state govern-
10 ment and the public schools.
11 It is further declared that in order to provide for a fully adequate sup-
12 ply of governmental facilities at costs that state government can afford, the
13 legislature finds it necessary to create and establish a state building
14 authority for the purpose of constructing and operating such facilities to
15 meet the needs of the state government.
16 It is hereby further declared to be necessary and in the public interest
17 that such state building authority provide for predevelopment costs, temporary
18 financing, land development expenses, construction and operation of governmen-
19 tal facilities for rental to state government.
20 It is hereby further declared that the foregoing are public purposes and
21 uses for which public moneys may be borrowed, expended, advanced, loaned, or
22 granted, and that such activities serve a public purpose in improving or
23 otherwise benefiting the people of this state; that the necessity of enacting
24 the provisions hereinafter set forth is in the public interest and is hereby
25 so declared as a matter of express legislative determination.
26 SECTION 7. That Section 67-6409, Idaho Code, be, and the same is hereby
27 amended to read as follows:
28 67-6409. GENERAL POWERS OF THE AUTHORITY. The authority is hereby
29 granted, has and may exercise all powers necessary or appropriate to carry out
30 and effectuate its corporate purposes, including, without limitation, the fol-
31 lowing:
32 (a) sue and be sued in its own name;
33 (b) have an official seal and to alter the same at pleasure;
34 (c) have perpetual succession;
35 (d) maintain an office at such place or places within this state as it
36 may designate;
37 (e) adopt and from time to time amend and repeal by-laws bylaws and
38 rules, and regulations, not inconsistent with this chapter, to carry into
39 effect the powers and purposes of the authority and the conduct of its busi-
40 ness;
41 (f) make and execute contracts and all other instruments necessary or
42 convenient for the exercise of its powers and functions;
43 (g) acquire real or personal property, or any interest therein, on either
44 a temporary or long-term basis in the name of the authority by gift, purchase,
45 transfer, foreclosure, lease or otherwise including rights or easements; hold,
46 sell, assign, lease, encumber, mortgage or otherwise dispose of any real or
47 personal property, or any interest therein, or mortgage interest owned by it
48 or under its control, custody or in its possession and release or relinquish
49 any right, title, claim, lien, interest, easement or demand however acquired,
50 including any equity or right of redemption in property foreclosed by it and
51 to do any of the foregoing by public sale, with such public bidding as shall
52 be required by the provisions of any other law;
53 (h) to lease or rent any lands, buildings, structures, facilities or
8
1 equipment from private parties to effectuate the purposes of this act;
2 (i) to enter into agreements or other transactions with and accept grants
3 and the cooperation of the United States or any agency thereof or of the state
4 of Idaho or any agency or governmental subdivision thereof in furtherance of
5 the purposes of this act, including, but not limited to, the development,
6 maintenance, operation and financing of any facility and to do any and all
7 things necessary in order to avail itself of such aid and cooperation;
8 (j) to receive and accept aid or contributions from any source of money,
9 property, labor or other things of value, to be held, used and applied to
10 carry out the purposes of this act subject to such conditions upon which such
11 grants and contributions may be made, including, but not limited to, gifts or
12 grants from any department or agency of the United States or this state for
13 any purpose consistent with this act;
14 (k) to employ architects, engineers, attorneys, accountants, building
15 construction and financial experts and such other advisors, consultants and
16 agents as may be necessary in its judgment and to fix their compensation;
17 (l) to procure insurance against any loss in connection with its property
18 and other assets in such amounts and from such insurers as it deems desirable;
19 (m) to invest any funds not needed for immediate use or disbursement,
20 including any funds held in reserve, in:
21 (1) bonds, notes and other obligations of the United States or any agency
22 or instrumentality thereof and other securities secured by such bonds,
23 notes or other obligation;
24 (2) money market funds which are insured or the assets of which are lim-
25 ited to obligations of the United States or any agency or instrumentality
26 thereof;
27 (3) time certificates of deposit and savings accounts;
28 (4) commercial paper which, at the time of its purchase, is rated in the
29 highest category by a nationally recognized rating service; and
30 (5) property or securities in which the state treasurer may invest funds
31 in the state treasury pursuant to section 67-1210, Idaho Code.
32 (n) to borrow money and issue bonds and notes or other evidences of
33 indebtedness thereof as hereinafter provided;
34 (o) to the extent permitted under its contract with the holders of bonds,
35 notes and other obligations of the authority to consent to any modification of
36 any contract, lease or agreement of any kind to which the authority is a
37 party;
38 (p) to manage or operate real and personal property, in the state, take
39 assignments of leases and rentals, proceed with foreclosure actions, or take
40 any other action necessary or incidental to the performance of its corporate
41 duties;
42 (q) to make and enter into all contracts and agreements necessary or
43 incidental to the performance of its duties and the execution of its powers
44 under this chapter;
45 (r) to plan, carry out, acquire, lease and operate facilities and to pro-
46 vide for the construction, reconstruction, improvement, alteration or repair
47 of any facility or part thereof;
48 (s) to sell, lease, rent or sublease to any state body, any state facil-
49 ity or any space embraced in any facility constructed or leased under this
50 act, to establish and revise the rents or charges therefor and to do any other
51 acts necessary to the management and operation of its facilities;
52 (t) to make loans to school districts for the purpose of financing any
53 school facility;
54 (u) to do any act necessary or convenient to the exercise of the powers
55 herein granted or reasonably implied therefrom.
9
1 SECTION 8. That Section 67-6410, Idaho Code, be, and the same is hereby
2 amended to read as follows:
3 67-6410. PROCEDURE PRIOR TO FINANCING BUILDING DEVELOPMENTS OR BUILDING
4 PROJECTS. Notwithstanding any other provision of this act, the authority is
5 not empowered to finance any state facility pursuant to section 67-6409, Idaho
6 Code, unless:
7 (a) Prior approval by the legislature has been given by concurrent reso-
8 lution authorizing a state body to have the authority provide a specific
9 facility;
10 (b) A state body has entered into an agreement with the authority for the
11 authority to provide a facility;
12 (c) The authority finds that the building development or building project
13 to be assisted pursuant to the provisions of this act, will be of public use
14 and will provide a public benefit. The authority shall not be required to
15 obtain prior legislative approval for the financing of any school facility.
16 Prior to financing any improvements to a school facility that shall be health
17 and safety improvements, the authority shall require the school district and
18 the superintendent of public instruction to certify that the improvements
19 shall constitute an ordinary and necessary expense under section 3, article
20 VIII of the constitution of the state of Idaho.
21 SECTION 9. An emergency existing therefor, which emergency is hereby
22 declared to exist, this act shall be in full force and effect on and after its
23 passage and approval, and retroactively to January 1, 2000; provided however,
24 this act shall not apply to any expenditure of lottery moneys during the
25 1999-2000 school year that were legally encumbered before the time of passage
26 and approval of this act.".
27 CORRECTION TO TITLE
28 On page 1 of the printed bill, delete lines 2 through 34 and insert:
29 "RELATING TO THE PROVISION OF SCHOOL FACILITIES; AMENDING CHAPTER 16, TITLE
30 33, IDAHO CODE, BY THE ADDITION OF A NEW SECTION 33-1613, IDAHO CODE, TO
31 REQUIRE ABATEMENT OF UNSAFE AND UNHEALTHY CONDITIONS IN PUBLIC SCHOOL
32 FACILITIES AND TO PROVIDE THE MECHANISM FOR SUCH ABATEMENT; AMENDING CHAP-
33 TER 11, TITLE 33, IDAHO CODE, BY THE ADDITION OF A NEW SECTION 33-1126,
34 IDAHO CODE, TO PROVIDE THAT A SCHOOL DISTRICT SHALL HAVE THE POWER TO
35 ENTER INTO AGREEMENTS WITH AND EXECUTE NOTES OR OTHER OBLIGATIONS PAYABLE
36 TO THE IDAHO STATE BUILDING AUTHORITY FOR THE FINANCING OF SCHOOL FACILI-
37 TIES, TO PROVIDE THE EFFECT OF NOTES OR OTHER OBLIGATIONS AND TO PROVIDE
38 FOR CERTIFICATION FROM THE SCHOOL DISTRICT TO THE BUILDING AUTHORITY OF
39 CERTAIN FACTS; AMENDING SECTION 33-901, IDAHO CODE, TO PROVIDE THAT MONEYS
40 IN THE SCHOOL PLANT FACILITIES RESERVE FUND MAY BE USED TO REPAY NOTES OR
41 OTHER OBLIGATIONS ISSUED TO THE STATE BUILDING AUTHORITY AND TO MAKE A
42 TECHNICAL CORRECTION; AMENDING SECTION 33-905, IDAHO CODE, TO REVISE FOR
43 WHAT THE MONEYS IN THE SCHOOL DISTRICT BUILDING ACCOUNT MAY BE UTILIZED
44 AND TO MAKE A TECHNICAL CORRECTION; AMENDING SECTION 67-6402, IDAHO CODE,
45 TO FURTHER DEFINE TERMS; AMENDING SECTION 67-6404, IDAHO CODE, TO PROVIDE
46 THAT IT IS IN THE PUBLIC INTEREST TO ALLOW THE STATE BUILDING AUTHORITY TO
47 PROVIDE SCHOOL FACILITIES AND TO MAKE TECHNICAL CORRECTIONS; AMENDING SEC-
48 TION 67-6409, IDAHO CODE, TO PROVIDE CLARIFYING LANGUAGE REGARDING A STATE
49 FACILITY AND TO AUTHORIZE THE STATE BUILDING AUTHORITY TO MAKE LOANS TO
50 SCHOOL DISTRICTS FOR THE PURPOSE OF FINANCING ANY SCHOOL FACILITY AND TO
51 MAKE TECHNICAL CORRECTIONS; AMENDING SECTION 67-6410, IDAHO CODE, TO PRO-
52 VIDE CLARIFYING LANGUAGE REGARDING STATE FACILITIES, TO PROVIDE THAT THE
10
1 AUTHORITY SHALL NOT BE REQUIRED TO OBTAIN PRIOR LEGISLATIVE APPROVAL FOR
2 THE FINANCING OF ANY SCHOOL FACILITY AND TO PROVIDE REQUIREMENTS FOR THE
3 FINANCING OF A SCHOOL FACILITY; DECLARING AN EMERGENCY, PROVIDING RETROAC-
4 TIVE APPLICATION AND PROVIDING THE EFFECT ON CERTAIN LOTTERY MONEYS.".
STATEMENT OF PURPOSE
RS10176
This legislation will establish both an opportunity and a requirement for Idaho's
school districts to address Health and Safety problems for Idaho school facilities.
This initiative is designed to provide an additional tool for all Idaho public school
districts to correct the backlog of health and safety deficiencies.
The purpose of this bill is to require each school district to identify and abate
unsafe and unhealthy conditions in school district buildings.
After a school district has received an objective professional opinion regarding a
building deficiency, if the problem cannot be solved with lottery funds or local
levy funds, that district would then have guaranteed access to funds from the
Idaho State Building Authority.
Individual school districts would then contract directly with the State Building
Authority to repay the loan over 20 years.
FISCAL NOTE
Fiscal Impact - ZERO
CONTACT: Senator Jack Riggs 332-1341
Senator Gary Schroeder 332-1321
AMENDED REVISED AMENDED REVISED AMENDED
STATEMENT OF PURPOSE/ FISCAL NOTE Bill No. S1496