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(a) In addition to other bonding authority, with approval of the commissioner, a district may
issue general obligation bonds for certain capital projects under this section. The bonds must be
used only to make capital improvements including:
(1) under section 126C.10, subdivision 14, total operating capital revenue uses specified in
clauses (4), (6), (7), (8), (9), and (10);
(2) the cost of energy modifications;
(3) improving disability accessibility to school buildings; and
(4) bringing school buildings into compliance with life and safety codes and fire codes.
(b) Before a district issues bonds under this subdivision, it must publish notice of the
intended projects, the amount of the bond issue, and the total amount of district indebtedness.
(c) A bond issue tentatively authorized by the board under this subdivision becomes finally
authorized unless a petition signed by more than 15 percent of the registered voters of the district
is filed with the school board within 30 days of the board's adoption of a resolution stating the
board's intention to issue bonds. The percentage is to be determined with reference to the number
of registered voters in the district on the last day before the petition is filed with the board. The
petition must call for a referendum on the question of whether to issue the bonds for the projects
under this section. The approval of 50 percent plus one of those voting on the question is required
to pass a referendum authorized by this section.
(d) The bonds must be paid off within ten years of issuance. The bonds must be issued in
compliance with chapter 475, except as otherwise provided in this section. A tax levy must be
made for the payment of principal and interest on the bonds in accordance with section 475.61.
The sum of the tax levies under this section and section 123B.61 for each year must not exceed
the limit specified in section 123B.61. The levy for each year must be reduced as provided in
section 123B.61. A district using an excess amount in the debt redemption fund to retire the bonds
shall report the amount used for this purpose to the commissioner by July 15 of the following
fiscal year. A district having an outstanding capital loan under section 126C.69 or an outstanding
debt service loan under section 126C.68 must not use an excess amount in the debt redemption
fund to retire the bonds.
(e) Notwithstanding paragraph (d), bonds issued by a district within the first five years
following voter approval of a combination according to section 123A.37, subdivision 2, must be
paid off within 20 years of issuance. All the other provisions and limitation of paragraph (d) apply.
History: 1993 c 224 art 5 s 11; 1Sp1995 c 3 art 5 s 6; 1996 c 412 art 5 s 4; 1Sp1997 c 4 art
4 s 10; 1998 c 397 art 7 s 38,164; art 11 s 3; 2002 c 379 art 1 s 44; 2005 c 56 s 1