Rep. Stallworth offered the following concurrent resolution:

House Concurrent Resolution No. 69.

A concurrent resolution to memorialize the Detroit Public School District to place before city voters, at the next general or special election, a proposal to approve the issuance of bonds by the city school district in an amount not to exceed $1.5 billion for school infrastructure improvements.

Whereas, Quality education is the key to giving our children the tools to succeed in a competitive and globalizing job market. Students must not only learn the basics to graduate from high school, but must be equipped with the learning skills to adapt over a lifetime of changing opportunities and challenges. Our children will compete with the world’s best, and we owe them the highest quality education; and

Whereas, Dedicated teachers, administrators, and support staff are working every day to meet our expectations and send our young people into the world with the knowledge to succeed. Yet factors beyond the control of teachers, parents, and students can undermine their best efforts. Our students and educators need a healthy, safe, and secure environment conducive to learning in order to do their best. Our schools must be equipped with the latest technology to give our kids the chance they need to improve themselves and prepare for the future. Unfortunately, decades of falling behind in infrastructure maintenance and improvements handicap our children and educators; and

Whereas, We urge City of Detroit leaders to place on the ballot at the next general or special election a proposal to approve the issuance by the school district of bonds in an amount not to exceed $1.5 billion (1,500,000,000.00 dollars) over six years. This revenue will be available to the City of Detroit's Infrastructure Custodian for capital expenditures for site acquisition and development, equipment acquisition, permanent improvements for existing school buildings, and the construction of new buildings for pupils in the school district; and

Whereas, The school district's elected board shall determine that it is necessary for the authorized capital project described by the custodian and approved by the State of Michigan Department of Treasury, as amended from time to time by the custodian and approved by the Department of Treasury and the school district, that the project will contribute positively to the health, safety, security, and welfare of the pupils of the school district; and

Whereas, The school district shall determine that it is necessary to issue a series of bonds to which the full faith and credit and unlimited ad valorem taxing power of the school district are pledged in the amount not to exceed $350,000,000.00 from the $1,500,000,000.00 of bonds authorized to be issued by a majority of qualified electors, to finance the project and to pay expenses incident to the issuance of the bond series; and

Whereas, The school district shall determine that selling the bonds pursuant to a negotiated sale will best allow the school district the flexibility to react to changes in the market conditions at the time of sale and to structure the bond issue to provide the lowest cost to the taxpayers; and

Whereas, Prior to the issuance of the bond series, the school district might make expenditures with respect to the project from the general fund of the school district or other available monies of the school district, and the school district reasonably expects to be reimbursed for such expenditures from the proceeds of the bond series; and

Whereas, The school district shall ensure that the project shall be completed within a period of time not exceeding three years from the date of issuance of the bond series; and

Whereas, The bonds shall be issued in such a manner as to take full advantage of the provisions of Article IX, Section 16, of the Constitution of the State of Michigan of 1963 and legislation implementing said provisions, particularly Public Act 108 of 1961, as amended, so that the bonds shall be eligible to participate in the State of Michigan School Bond Loan Fund Program and therefore shall be issued as “Qualified Bonds” under Act 108; and

Whereas, Under the provisions of Public Act 451 of 1976, as amended, and under Public Act 34 of 2001, as amended, the school district is authorized to provide funds to finance its capital projects, to issue its bonds, and to pledge the full faith and credit of the school district for the repayment thereof and to levy ad valorem taxes on all taxable property in the school district without limitation as to rate or amount to pay the principal of and interest on such bonds when authorized by a vote of a majority of qualified electors of the school district; now, therefore, be it

Resolved by the House of Representatives (the Senate concurring), That we memorialize the Detroit Public School District to place before city voters, at the next general or special election, a proposal to approve the issuance of bonds by the Detroit Public School District in an amount not to exceed $1.5 billion for the purposes of making capital expenditures for site acquisition and development, equipment acquisition, permanent improvements for existing school buildings and the construction of fiber optic infrastructure, and new school buildings for pupils in the Detroit Public School District; and be it further

Resolved, That copies of this resolution be transmitted to officials of the Detroit Public School District, the Director of the Michigan Department of Treasury, and the Governor of Michigan.

R0570'04