Text: H08801 Text: H08803 Text: H08800 - H08899 Text: H Index Bills and Amendments: General Index Bill History: General Index
PAG LIN
1 1 Amend Senate File 2338, as amended, passed, and
1 2 reprinted by the Senate, as follows:
1 3 #1. By striking everything after the enacting
1 4 clause and inserting the following:
1 5 "Section 1. NEW SECTION. 256.24 SCHOOL
1 6 INVESTMENT PARTNERSHIPS – PILOT PROGRAM.
1 7 A school investment partnership pilot program is
1 8 established to evaluate the effectiveness of private
1 9 participation in the funding and management of school
1 10 infrastructure. The program is intended to indicate
1 11 the possibility of shifting the responsibility for the
1 12 operation and financing of school facility
1 13 construction and maintenance to the private sector,
1 14 thereby facilitating the focus of public school system
1 15 resources on enhancing the educational experience of
1 16 the schoolchildren of Iowa. The pilot program shall
1 17 allow up to six pilot projects, to be conducted as
1 18 follows:
1 19 1. Each project shall pair one or more private
1 20 investors and one or more school districts in a
1 21 partnership involving the shared utilization of school
1 22 facilities. Private investors shall finance the
1 23 construction of school facilities, based on school
1 24 district specifications, and commit to the completion
1 25 of a fully operational school facility, complete with
1 26 all classroom furnishings and school facility
1 27 equipment, by a mutually agreed-upon date. A project
1 28 may involve a collaborative association of more than
1 29 one public school in a school district, or more than
1 30 one school district collaborating for the construction
1 31 of a regional facility.
1 32 2. All projects shall, where applicable, conform
1 33 to the provisions of chapter 73A as if the school
1 34 facility constructed were a public improvement and as
1 35 if the private investors financing the school facility
1 36 construction were a school corporation.
1 37 3. The private investor shall lease the facility
1 38 back to the school district at monthly payment levels
1 39 agreed upon between the school district and the
1 40 private investor, not to exceed an amount which would
1 41 have been incurred if the school district had built
1 42 and financed the facility independently, without the
1 43 involvement of a private investor, pursuant to a lease
1 44 or lease-purchase agreement negotiated at the same
1 45 time that the agreement regarding construction of the
1 46 school facility is entered into. The lease or lease-
1 47 purchase agreement shall extend for a twenty-year
1 48 duration, with the option to continue the lease at the
1 49 end of the lease period, and also to permit the
1 50 purchase of the school facility by the school district
2 1 at the conclusion of the lease period at an agreed-
2 2 upon price. An agreed-upon purchase price shall
2 3 contain a mechanism for crediting a portion of the
2 4 lease payments remitted by the school district toward
2 5 the purchase price, as determined by the school
2 6 district and the private investor. A school district
2 7 shall be authorized to issue bonds pursuant to section
2 8 296.1 or 298.21, and to utilize the physical plant and
2 9 equipment levy pursuant to section 298.2, for the
2 10 purpose of monthly payments pursuant to the lease or
2 11 lease-purchase agreement, or in the event that the
2 12 school district exercises its option to purchase the
2 13 school facility at the conclusion of the lease period.
2 14 4. The school district shall retain control over
2 15 all decisions related to the education of students
2 16 within the school facility, including the
2 17 determination of when the facility shall and shall not
2 18 be utilized by the school district, the uses to which
2 19 the facility shall be put during periods when school
2 20 is in session, and access to the facility for after-
2 21 hours athletic practices, extracurricular activities,
2 22 staff, parent, and teacher meetings, and other school-
2 23 related events.
2 24 5. The lease or lease-purchase agreement shall
2 25 include provisions specifying which party subject to
2 26 the agreement shall determine the furnishings and
2 27 equipment to be contained in the school facility, and
2 28 what furnishings and equipment are to be provided.
2 29 All costs relating to maintenance of the school
2 30 facility and ongoing furnishings and equipment
2 31 replacement shall be the responsibility of the private
2 32 investor.
2 33 6. The private investor shall retain the right to
2 34 contract with third parties for use of the school
2 35 facility during periods when the facility is not being
2 36 utilized by the school district. The periods of
2 37 nonutilization by the school district shall be
2 38 specified in the lease or lease-purchase agreement,
2 39 together with the purposes for which the facility
2 40 shall be used by contracting third parties. If a
2 41 proposed use is determined by the school district to
2 42 be inappropriate for an educational facility used by
2 43 schoolchildren, the proposed use shall not be approved
2 44 by the school district for inclusion in the lease or
2 45 lease-purchase agreement. The school district and the
2 46 private investor shall annually review the third-party
2 47 contracts for use of the facility during periods of
2 48 nonutilization by the school district, and shall
2 49 mutually determine whether proposed contracts for the
2 50 forthcoming year shall be considered appropriate or
3 1 inappropriate for approval. The private investor
3 2 shall agree to maintain the building in the same
3 3 condition during and after use by a third party as the
3 4 facility is customarily maintained during periods of
3 5 utilization by the school district. Possible third
3 6 party contractors could include, but are not limited
3 7 to, educational enrichment organizations, civic
3 8 groups, day care facilities, religious organizations,
3 9 community colleges, and governmental units.
3 10 7. School districts may submit an application for
3 11 the pilot program to the department of education until
3 12 September 1, 2001, as follows:
3 13 a. If six or fewer school districts submit an
3 14 application for participation by September 1, 2001,
3 15 all of the applicant school districts shall be
3 16 entitled to participate in the program.
3 17 b. If more than six school districts submit an
3 18 application by September 1, 2001, the department shall
3 19 select six school districts by lot for participation.
3 20 (1) In selecting by lot, to the extent
3 21 applications are received from school districts with
3 22 actual enrollments of varying amounts as provided in
3 23 this paragraph, two schools shall be drawn which are
3 24 located in a school district with an actual enrollment
3 25 of under one thousand two hundred pupils, two schools
3 26 shall be drawn which are located in a school district
3 27 with an actual enrollment of between one thousand two
3 28 hundred and four thousand nine hundred ninety-nine
3 29 pupils, and two schools shall be drawn which are
3 30 located in a school district with an actual enrollment
3 31 of five thousand or more pupils. School districts
3 32 shall be notified of their selection by lot by October
3 33 1, 2001.
3 34 (2) If, pursuant to subsection 1, one or more of
3 35 the applications involve a collaborative association
3 36 of more than one public school in a school district,
3 37 or more than one school district collaborating for the
3 38 construction of a regional facility, at least one such
3 39 application shall be selected, regardless of the
3 40 actual enrollment of the combined schools or school
3 41 districts.
3 42 8. The department shall prepare and submit a
3 43 report to the general assembly annually by January 1,
3 44 for a five-year period beginning January 1, 2002,
3 45 regarding the status of the program. The report shall
3 46 include detailed information regarding perceived
3 47 advantages and disadvantages of the program, input
3 48 from school district personnel, students, and parents
3 49 associated with schools constructed pursuant to the
3 50 program, and private investors constructing and
4 1 maintaining the school facility."
4 2
4 3
4 4
4 5 GRUNDBERG of Polk
4 6 SF 2338.503 78
4 7 rn/as
Text: H08801 Text: H08803 Text: H08800 - H08899 Text: H Index Bills and Amendments: General Index Bill History: General Index
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