FINAL BILL REPORT
SHB 3036
This analysis was prepared by non-partisan legislative staff for the use of legislative members in their deliberations. This analysis is not a part of the legislation nor does it constitute a statement of legislative intent. |
C 241 L 10
Synopsis as Enacted
Brief Description: Requiring a public meeting before a school district contracts for nonvoter-approved debt.
Sponsors: House Committee on Education (originally sponsored by Representatives Quall, Kenney and Santos).
House Committee on Education
Senate Committee on Early Learning & K-12 Education
Background:
School districts, like other government entities, possess authority to issue two general classifications of debt: nonvoter-approved and voter-approved. Districts may borrow or issue debt without a vote of the voters for the following purposes:
purchasing real or personal property or property rights;
purchasing sites for buildings or athletic facilities;
improving energy efficiency of school buildings; and
making structural changes and additions to school facilities.
A district's nonvoter-approved indebtedness is limited to an amount not exceeding three-eighths of 1 percent of the value of the taxable property in the district. Any debt above that limit must be approved by the voters in the district. Nonvoter-approved debt is paid from existing revenue sources because it does not provide the district additional taxing authority.
Summary:
Before issuing nonvoter-approved bonds in excess of $250,000, a school district must hold a public hearing on the proposal. In advance of the public hearing, the district must publish notice, at least one time each week for two consecutive weeks, in a newspaper of general circulation in the district or in a newspaper of general circulation in the county or counties in which the district is located. The last notice may be published no later than seven days immediately before the meeting.
The notice must indicate:
the date, time, and place of the meeting;
the purpose and amount of the bonds;
the type, terms, and conditions of the bonds;
the means identified for repayment; and
that any person may appear at the hearing and comment on the topic of issuing such bonds.
The public notice and hearing requirements do not apply to any refinancing or refunding of bonds. The act applies prospectively only.
Votes on Final Passage:
House | 96 | 0 | |
Senate | 46 | 0 |
Effective: | June 10, 2010 |