Minnesota Legislature
HF 786
as introduced - 90th Legislature (2017 - 2018) Posted on 02/02/2017 01:28pm
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A bill for an act
relating to education finance; authorizing additional early repayments of maximum
effort capital loans; amending Laws 2011, First Special Session chapter 11, article
4, section 8, as amended.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
Section 1.
Laws 2011, First Special Session chapter 11, article 4, section 8, as amended
by Laws 2016, chapter 189, article 30, section 22, is amended to read:
Sec. 8. EARLY REPAYMENT.
(a) A school district that received a maximum effort capital loan prior to January 1,
1997, may repay the full outstanding original principal on its capital loan prior to July 1,
2012, and the liability of the district on the loan is satisfied and discharged and interest on
the loan ceases.
(b) A school district with an outstanding capital loan balance that received a maximum
effort capital loan prior to January 1, deleted text begin 2007deleted text end new text begin 2008new text end , may repay to the commissioner of education
by deleted text begin November 30, 2016deleted text end new text begin July 1, 2018new text end , the full outstanding original principal on its capital
loan and the liability of the district on the loan is satisfied and discharged and interest on
the loan ceases.
new text begin
(c) For loans repaid after July 1, 2012, the amount to be repaid equals the full outstanding
original principal less any interest amounts paid by the school district to the state over the
course of the loan.
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