HOUSE BILL No. 4444


     March 8, 2001, Introduced by Reps. Sheltrown, Dennis, Vear, Rivet, Spade, Neumann and Lemmons and referred to the
Committee on Appropriations.


        A bill to amend 1976 PA 451, entitled

   "The revised school code,"

   by amending section 629 (MCL 380.629), as amended by 1997

   PA 152.

               THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

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           Sec. 629.  (1) An intermediate school board may borrow,

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      subject to the municipal finance act, 1943 PA 202, MCL 131.1 to

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      139.3, sums of money on terms the intermediate school board con-

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      siders necessary for 1 or more of the following purposes:

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           (a) For temporary purposes for which the intermediate school

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      board may give notes of the intermediate school district.  The

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      intermediate school board shall not borrow a sum that exceeds the

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      amount that has been voted by the intermediate school board or

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      the school electors of the intermediate school district.




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           (b) To purchase sites for buildings; to purchase, erect,

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      complete, remodel, improve, furnish, refurnish, equip, or reequip

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      buildings and facilities the board is authorized to acquire,

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      including, but not limited to, general administrative, vocation-

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      al, or special education buildings or facilities, or parts of

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      those buildings or facilities, or additions to those buildings or

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      facilities, and prepare, develop, or improve sites for those

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      buildings or facilities; to purchase and install information

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      technology systems, together with the equipment and software, as

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      are necessary for programs conducted by the intermediate school

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      district under section 627(2); and to issue and sell bonds of the

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      intermediate school district in the form and on the terms the

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      INTERMEDIATE SCHOOL board considers advisable.

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           (2) An intermediate school board shall not borrow money or

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      issue bonds for a term longer than 30 years or, except as other-

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      wise provided in this subsection, for a sum which, together with

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      the total outstanding bonded indebtedness of the intermediate

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      school district, exceeds 1/9 of 1% of the state equalized valua-

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      tion of the taxable property within the district, unless the

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      question of borrowing the money or issuing bonds is submitted

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      first to a vote of the INTERMEDIATE school electors of the inter-

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      mediate school district held under sections 661 and 662 and

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      approved by the majority of the registered school electors voting

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      on the question.  HOWEVER, IF THE INTERMEDIATE SCHOOL DISTRICT IS

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      AMONG THE 10 INTERMEDIATE SCHOOL DISTRICTS WITH THE LOWEST STATE

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      EQUALIZED VALUATION OF THE TAXABLE PROPERTY WITHIN THE

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      INTERMEDIATE SCHOOL DISTRICT, THE INTERMEDIATE SCHOOL BOARD MAY



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      BORROW MONEY AND ISSUE BONDS FOR A SUM THAT DOES NOT EXCEED 3% OF

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      THE STATE EQUALIZED VALUATION OF THE TAXABLE PROPERTY WITHIN THE

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      INTERMEDIATE SCHOOL DISTRICT WITHOUT A VOTE OF THE INTERMEDIATE

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      SCHOOL ELECTORS. Regardless of the amount of outstanding bonded

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      indebtedness of the intermediate school district, a vote of the

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      INTERMEDIATE school electors is not necessary in order to issue

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      bonds for a purpose described in section 1274a or to issue bonds

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      under section 11i of the state school aid act of 1979, MCL

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      388.1611i.  Money may be borrowed and bonds may be issued for the

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      purposes stated in this section in an amount equal to that pro-

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      vided by part 17.  For the purposes of this subsection, bonds

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      authorized by vote of the INTERMEDIATE school electors for spe-

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      cial education facilities under part 30 and for area

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      vocational-technical education facilities under sections 681 to

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      690 and bonds issued under section 11i of the state school aid

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      act of 1979, MCL 388.1611i, shall not be included in computing

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      the total outstanding bonded indebtedness of an intermediate

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      school district.

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           (3) Not later than 30 days after receipt of notice that the

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      question of issuing bonds under this section to purchase and

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      install information technology systems as are necessary for a

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      cooperative program under section 627(2) will be submitted to the

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      INTERMEDIATE school electors of the intermediate school district,

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      the board of a constituent  school  district by resolution may

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      elect not to participate in the cooperative program and not to

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      conduct an election on the question within the constituent

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       school  district.



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