HF 5253

as introduced - 93rd Legislature (2023 - 2024) Posted on 04/08/2024 07:34pm

A bill for an act
relating to education finance; authorizing a school district to reauthorize a capital
projects referendum by board action; amending Minnesota Statutes 2022, section
123B.63, subdivision 3.

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

Section 1.

Minnesota Statutes 2022, section 123B.63, subdivision 3, is amended to read:

Subd. 3.

Capital project levy referendum.

(a) A district may levy the local tax rate
approved by a majority of the electors voting on the question to provide funds for an approved
project. The election must take place no more than five years before the estimated date of
commencement of the project. The referendum must be held on a date authorized by section
205A.05, subdivision 1a. A district must meet the requirements of section 123B.71 for
projects funded under this section. If a review and comment is required under section
123B.71, subdivision 8, a referendum for a project not receiving a positive review and
comment by the commissioner must be approved by at least 60 percent of the voters at the
election.

(b) The referendum may be called by the school board and may be held:

(1) separately, before an election for the issuance of obligations for the project under
chapter 475; or

(2) in conjunction with an election for the issuance of obligations for the project under
chapter 475; or

(3) notwithstanding section 475.59, as a conjunctive question authorizing both the capital
project levy and the issuance of obligations for the project under chapter 475. Any obligations
authorized for a project may be issued within five years of the date of the election.

(c) The ballot must provide a general description of the proposed project, state the
estimated total cost of the project, state whether the project has received a positive or negative
review and comment from the commissioner, state the maximum amount of the capital
project levy as a percentage of net tax capacity, state the amount that will be raised by that
local tax rate in the first year it is to be levied, and state the maximum number of years that
the levy authorization will apply.

The ballot must contain a textual portion with the information required in this section
and a question stating substantially the following:

"Shall the capital project levy proposed by the board of .......... School District No. ..........
be approved?"

If approved, the amount provided by the approved local tax rate applied to the net tax
capacity for the year preceding the year the levy is certified may be certified for the number
of years, not to exceed ten, approved.

(d) If the district proposes a new capital project to begin at the time the existing capital
project expires and at the same maximum tax rate, the general description on the ballot may
state that the capital project levy is being renewed and that the tax rate is not being increased
from the previous year's rate. An election to renew authority under this paragraph may be
called at any time that is otherwise authorized by this subdivision. The ballot notice required
under section 275.60 may be modified to read:

"BY VOTING YES ON THIS BALLOT QUESTION, YOU ARE VOTING TO RENEW
AN EXISTING CAPITAL PROJECTS REFERENDUM THAT IS SCHEDULED TO
EXPIRE."

(e) In the event a conjunctive question proposes to authorize both the capital project
levy and the issuance of obligations for the project, appropriate language authorizing the
issuance of obligations must also be included in the question.

new text begin (f) Notwithstanding the election requirements of this subdivision, a school board may
renew an expiring capital projects referendum by board action if:
new text end

new text begin (1) the annual amount of the referendum is the same as the amount expiring;
new text end

new text begin (2) the term of the renewed capital projects referendum is no longer than the initial term
approved by the voters;
new text end

new text begin (3) the school board, having taken a recorded vote, has adopted a written resolution
authorizing the renewal after holding a meeting and allowing public testimony on the
proposed renewal; and
new text end

new text begin (4) the expiring capital projects referendum has not been previously renewed by board
action.
new text end

new text begin (g) The resolution authorized in paragraph (f) must be adopted by the school board by
June 15 of any calendar year and becomes effective 60 days after its adoption. A referendum
expires in the last fiscal year in which the referendum generates revenue for the school
district. A school board may renew an expiring capital projects referendum under this
subdivision not more than two fiscal years before the referendum expires. A district renewing
an expiring capital projects referendum under this subdivision must submit a copy of the
adopted resolution to the commissioner and to the county auditor no later than September
1 of the calendar year in which the written resolution is adopted.
new text end

deleted text begin (f) deleted text end new text begin (h) new text end The district must notify the commissioner of the results of the referendum.

new text begin EFFECTIVE DATE. new text end

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