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Senate File 2089

Partial Bill History

Bill Text

PAG LIN
  1  1    Section 1.  Section 422E.1, subsection 2, Code Supplement
  1  2 2003, is amended to read as follows:
  1  3    2.  The maximum rate of tax shall be one percent.  The tax
  1  4 shall be imposed without regard to any other local sales and
  1  5 services tax authorized in chapter 422B, and is repealed at
  1  6 the expiration of a period of ten years of imposition or a
  1  7 shorter period as provided in the ballot proposition or as
  1  8 otherwise provided in this chapter.  However, all local option
  1  9 sales and services taxes for school infrastructure purposes
  1 10 are repealed December 31, 2022.
  1 11    Sec. 2.  Section 422E.3, subsection 1, Code Supplement
  1 12 2003, is amended to read as follows:
  1 13    1.  If a majority of those voting on the question of
  1 14 imposition of a local sales and services tax for school
  1 15 infrastructure purposes favors imposition of the tax, the tax
  1 16 shall be imposed by the county board of supervisors within the
  1 17 county pursuant to section 422E.2, at the rate specified for a
  1 18 ten-year duration on the gross receipts taxed by the state
  1 19 under chapter 422, division IV until the date of repeal
  1 20 specified on the ballot.
  1 21    Sec. 3.  Section 422E.3A, subsection 2, paragraph b,
  1 22 subparagraph (4), Code Supplement 2003, is amended by striking
  1 23 the subparagraph.
  1 24    Sec. 4.  Section 422E.4, unnumbered paragraph 1, Code
  1 25 Supplement 2003, is amended to read as follows:
  1 26    The board of directors of a school district shall be
  1 27 authorized to issue negotiable, interest-bearing school bonds,
  1 28 without election, and utilize tax receipts derived from the
  1 29 sales and services tax for school infrastructure purposes and
  1 30 the supplemental school infrastructure amount distributed
  1 31 pursuant to section 422E.3A, subsection 2, paragraph "b", for
  1 32 principal and interest repayment.  Proceeds of the bonds
  1 33 issued pursuant to this section shall be utilized solely for
  1 34 school infrastructure needs as school infrastructure is
  1 35 defined in section 422E.1, subsection 3.  Issuance of bonds
  2  1 pursuant to this section shall be permitted only in a district
  2  2 which has imposed a local sales and services tax for school
  2  3 infrastructure purposes pursuant to section 422E.2.  The
  2  4 provisions of sections 298.22 through 298.24 shall apply
  2  5 regarding the form, rate of interest, registration,
  2  6 redemption, and recording of bond issues pursuant to this
  2  7 section, with the exception that the maximum period during
  2  8 which principal on the bonds is payable shall not exceed the
  2  9 date of repeal stated on the ballot proposition.  Bonds issued
  2 10 under this section may be sold at public sale as provided in
  2 11 chapter 75 without notice and hearing as provided in section
  2 12 73A.l2.  Bonds may bear dates, bear interest at rates not
  2 13 exceeding that permitted by chapter 74A, mature in one or more
  2 14 installments, be in registered form, carry registration and
  2 15 conversion privileges, be payable as to principal and interest
  2 16 at times and places, be subject to terms of redemption prior
  2 17 to maturity with or without premium, and be in one or more
  2 18 denominations, all as provided by the resolution of the board
  2 19 of directors authorizing their issuance.  The resolution may
  2 20 also prescribe additional provisions, terms, conditions, and
  2 21 covenants which the board of directors deems advisable,
  2 22 including provisions for creating and maintaining reserve
  2 23 funds, the issuance of additional bonds ranking on a parity
  2 24 with such bonds and additional bonds junior and subordinate to
  2 25 such bonds, and that such bonds shall rank on a parity with or
  2 26 be junior and subordinate to any bonds which may be then
  2 27 outstanding.  Bonds may be issued to refund outstanding and
  2 28 previously issued bonds under this section.  Local option
  2 29 sales and services tax revenue bonds are a contract between
  2 30 the school district and holders, and the resolution issuing
  2 31 the bonds and pledging local option sales and services tax
  2 32 revenues to the payment of principal and interest on the bonds
  2 33 is a part of the contract.  Bonds issued pursuant to this
  2 34 section shall not constitute indebtedness within the meaning
  2 35 of any constitutional or statutory debt limitation or
  3  1 restriction, and shall not be subject to any other law
  3  2 relating to the authorization, issuance, or sale of bonds.  
  3  3                           EXPLANATION
  3  4    This bill amends Code chapter 422E relating to the local
  3  5 option sales and services tax for school infrastructure
  3  6 purposes.  The bill strikes the provision that restricts the
  3  7 duration of the tax to 10 years.  The bill strikes the
  3  8 provision that states that under the distribution formula a
  3  9 school district is not to receive more than the guaranteed
  3 10 school infrastructure amount which is $575, subject to
  3 11 adjustment by the general assembly.  The bill also rewrites
  3 12 the bonding authority of the board of directors of a school
  3 13 district so that it mirrors, to a large extent, the authority
  3 14 set out for city and county revenue bonds under the local
  3 15 option sales and services tax imposed under Code chapter 422B.  
  3 16 LSB 5764XS 80
  3 17 mg/sh/8
     

Text: SF02088                           Text: SF02090
Text: SF02000 - SF02099                 Text: SF Index
Bills and Amendments: General Index     Bill History: General Index

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