SF 1399

as introduced - 88th Legislature (2013 - 2014) Posted on 03/15/2013 09:41am

A bill for an act
relating to capital investment; appropriating money for school buildings and
facilities renovation in Hibbing; authorizing the sale and issuance of school bonds.

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

Section 1. new text begin HIBBING SCHOOL DISTRICT NO. 701.
new text end

new text begin Subdivision 1. new text end

new text begin Authorization. new text end

new text begin Independent School District No. 701, Hibbing, may
issue bonds in an aggregate principal amount not exceeding $9,800,000, in addition to any
bonds already issued or authorized, to provide funds to design, construct, equip, furnish,
remodel, rehabilitate, and acquire land for school facilities and buildings, or to abate,
remove, and dispose of asbestos, polychlorinated biphenyls, or petroleum as defined
in Minnesota Statutes, section 115C.02, and to make repairs related to the abatement,
removal, or disposal of these substances. The board may spend the proceeds of the bond
sale for those purposes and any architect, engineer, and legal fees incidental to those
purposes or the sale. The bond shall be authorized, issued, sold, executed, and delivered
in the manner provided by Minnesota Statutes, chapter 475, including submission of the
proposition to the electors under Minnesota Statutes, section 475.58. After authorization
by the electors under Minnesota Statutes, section 475.58, a resolution of the board
levying taxes for the payment of bonds and interest on them and pledging the proceeds
of the levies for the payment of the bonds and interest on them shall be deemed to be in
compliance with the provisions of Minnesota Statutes, chapter 475, with respect to the
levying of taxes for their payment.
new text end

new text begin Subd. 2. new text end

new text begin Appropriation. new text end

new text begin There is annually appropriated from the distribution of
taconite production tax revenues to the taconite environmental protection fund pursuant
to Minnesota Statutes, section 298.28, subdivision 11, and to the northeast Minnesota
economic protection trust pursuant to Minnesota Statutes, section 298.28, subdivisions 9
and 11, in equal shares, an amount sufficient to pay when due 80 percent of the principal
and interest on the bonds issued pursuant to subdivision 1. If the annual distribution to the
northeast Minnesota economic protection trust is insufficient to pay its share after fulfilling
any obligations of the trust under Minnesota Statutes, section 298.225 or 298.293, the
deficiency shall be appropriated from the taconite environmental protection fund.
new text end

new text begin Subd. 3. new text end

new text begin District obligations. new text end

new text begin Bonds issued under authority of this section shall
be the general obligations of the school district, for which its full faith and credit and
unlimited taxing powers shall be pledged. If there are any deficiencies in the amount
received pursuant to subdivision 2, they shall be made good by general levies, not subject
to limit, on all taxable properties in the district in accordance with Minnesota Statutes,
section 475.64. If any deficiency levies are necessary, the school board may effect a
temporary loan or loans on certificates of indebtedness issued in anticipation of the levies
to meet payments of principal or interest on the bonds due or about to become due.
new text end

new text begin Subd. 4. new text end

new text begin District levy. new text end

new text begin The school board shall by resolution levy on all property in
the school district subject to the general ad valorem school tax levies, and not subject to
taxation under Minnesota Statutes, sections 298.23 to 298.28, a direct annual ad valorem
tax for each year of the term of the bonds in amounts that, if collected in full, will produce
the amounts needed to meet when due 20 percent of the principal and interest payments on
the bonds. A copy of the resolution shall be filed, and the necessary taxes shall be extended,
assessed, collected, and remitted in accordance with Minnesota Statutes, section 475.61.
new text end

new text begin Subd. 5. new text end

new text begin Levy limitations. new text end

new text begin Taxes levied pursuant to this section shall be disregarded
in the calculation of any other tax levies or limits on tax levies provided by other law.
new text end

new text begin Subd. 6. new text end

new text begin Bonding limitations. new text end

new text begin Bonds may be issued under authority of this section
notwithstanding any limitations upon the indebtedness of a district, and those amounts
shall not be included in computing the indebtedness of a district for any purpose, including
the issuance of subsequent bonds and the incurring of subsequent indebtedness.
new text end

new text begin Subd. 7. new text end

new text begin Termination of appropriation. new text end

new text begin The appropriation authorized in
subdivision 2 shall terminate upon payment or maturity of the last of those bonds.
new text end

Sec. 2. new text begin LOCAL APPROVAL; EFFECTIVE DATE.
new text end

new text begin This section is effective upon approval by the Independent School District No. 701
school board and compliance with Minnesota Statutes, section 645.021.
new text end