HF 329

as introduced - 85th Legislature (2007 - 2008) Posted on 12/15/2009 12:00am

A bill for an act
relating to education finance; authorizing intermediate school districts to engage
in certain short-term borrowing; amending Minnesota Statutes 2006, sections
126C.50; 126C.52, by adding a subdivision.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

Minnesota Statutes 2006, section 126C.50, is amended to read:

126C.50 TAX AND AID ANTICIPATION BORROWING; DEFINITIONS.

School district as used in sections 126C.50 to 126C.56 means any school district in
the state of Minnesota, new text begin including an intermediate school district, new text end however organized and
wherever located.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 2.

Minnesota Statutes 2006, section 126C.52, is amended by adding a subdivision
to read:

new text begin Subd. 3. new text end

new text begin Intermediate school districts. new text end

new text begin (a) The board of any intermediate school
district may borrow money in the manner and subject to the limitations set forth in
sections 126C.50 to 126C.56 in anticipation of receipt of:
new text end

new text begin (1) state aids for schools as defined in Minnesota Statutes;
new text end

new text begin (2) federal school aids to be distributed by or through the department; and
new text end

new text begin (3) membership fees and tuition payments from its member school districts.
new text end

new text begin (b) The aggregate of the intermediate school district's borrowings under this
subdivision shall never exceed 75 percent of the certified aids, fees, and tuition payments
listed in paragraph (a) which are receivable by the intermediate school district in the
fiscal year in which the money is borrowed.
new text end

new text begin (c) The intermediate school district must submit its estimated membership fees
and tuition payment receipts to the commissioner of education in a manner and form
approved by the commissioner. At the commissioner's discretion, the estimated amount
of membership fees and tuition payment receipts may be reduced. The commissioner
must then certify the aids, fees, and tuition payments for the purpose of determining the
maximum amount of the intermediate school district's borrowings for any year.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end