Minnesota Session Laws - 1989, Regular Session

  

                         Laws of Minnesota 1989 

                        CHAPTER 70-S.F.No. 1488 
           An act relating to education; authorizing a school 
          district to issue bonds when a calamity occurs and 
          establishing certain procedures for repayment of the 
          bonds. 
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
    Section 1.  [124.242] [BUILDING BONDS FOR CALAMITIES.] 
    When a building owned by a school district is substantially 
damaged by an act of God or other means beyond the control of 
the district, the district may issue general obligation bonds 
without an election to provide money immediately to carry out 
its adopted health and safety program.  Each year the district 
must pledge an attributable share of its health and safety 
revenue to the repayment of principal and interest on the 
bonds.  The pledged revenue shall be transferred to the debt 
redemption fund of the district.  The district shall submit to 
the department of education the repayment schedule for any bonds 
issued under this section.  The district shall deposit in the 
debt redemption fund all proceeds received for specific costs 
for which the bonds were issued, including but not limited to:  
    (1) insurance proceeds; 
    (2) restitution proceeds; and 
    (3) proceeds of litigation or settlement of a lawsuit. 
    Before bonds are issued, the district must submit a 
combined application to the commissioner of education for health 
and safety revenue, according to section 124.83, and requesting 
review and comment, according to section 121.15, subdivisions 6, 
7, 8, and 9.  The commissioner shall complete all procedures 
concerning the combined application within 20 days of receiving 
the application.  The publication provisions of section 121.15, 
subdivision 9, do not apply to bonds issued under this section.  
    Sec. 2.  [EFFECTIVE DATE.] 
    Section 1 is effective the day following final enactment. 
    Presented to the governor May 2, 1989 
    Signed by the governor May 3, 1989, 5:00 p.m.