House File 564 H-1191 Amend House File 564 as follows: 1 1. Page 8, after line 14 by inserting: 2 < DIVISION ___ 3 ENERGY MANAGEMENT IMPROVEMENTS 4 Sec. ___. Section 273.3, Code 2017, is amended by 5 adding the following new subsection: 6 NEW SUBSECTION . 20A. Be authorized to implement an 7 energy management improvement as provided in section 8 279.48A. 9 Sec. ___. Section 279.48, subsection 2, Code 2017, 10 is amended to read as follows: 11 2. The total of scheduled annual payments of 12 principal or interest due and payable from current 13 budgeted receipts or future budgeted receipts with 14 respect to all loan agreements authorized under this 15 section , section 279.48A, or section 285.10, subsection 16 7 , paragraph “b” , must not exceed ten percent of the 17 last authorized budget of the school corporation. 18 Sec. ___. NEW SECTION . 279.48A Energy management 19 improvements —— implementation. 20 1. The board of directors of a school corporation 21 may implement an energy management improvement, as 22 defined in section 473.19 and identified in an energy 23 analysis done in conjunction with a municipal utility, 24 and may negotiate and enter into a loan agreement 25 and issue a note to pay for the energy management 26 improvement, subject to the following terms and 27 procedures: 28 a. The note must mature within ten years, or the 29 useful life of the energy management improvement, 30 whichever is less. 31 b. The note may bear interest at a rate to be 32 determined by the board of directors in the manner 33 provided in section 74A.3, subsection 1, paragraph “a” . 34 Chapter 75 is not applicable. 35 -1- HF564.1412 (1) 87 gh/jh 1/ 3 #1.
c. The board of directors shall provide for the 1 form of the agreement and note. 2 d. Principal and interest on the note may be 3 payable from available funds as provided in section 4 298A.2, 298A.4, 298A.9, or 298A.10, or available 5 revenues as provided in chapter 423F, for each year of 6 a period of up to ten years. 7 2. The total of scheduled annual payments of 8 principal or interest due and payable from current 9 budgeted receipts or future budgeted receipts with 10 respect to all loan agreements authorized under this 11 section, section 279.48, or section 285.10, subsection 12 7, paragraph “b” , must not exceed ten percent of the 13 last authorized budget of the school corporation. 14 3. Before entering into a loan agreement for an 15 energy management improvement, the school corporation 16 must publish a notice, including a statement of the 17 amount and purpose of the agreement, at least once in 18 a newspaper of general circulation within the school 19 corporation at least ten days before the meeting at 20 which the loan agreement is to be approved. 21 4. This section shall not preclude a school 22 corporation from obtaining a loan, lease, or other 23 method of alternative financing under the energy loan 24 program created in section 479.19 to implement energy 25 management improvements or energy analyses in addition 26 to entering into a loan agreement as provided in this 27 section. 28 Sec. ___. Section 279.53, Code 2017, is amended to 29 read as follows: 30 279.53 Loan proceeds. 31 The proceeds of loans issued to school districts 32 pursuant to section 279.48 , 279.48A, 279.52 , or 473.20 33 shall be deposited into either the general fund of a 34 school district or the physical plant and equipment 35 -2- HF564.1412 (1) 87 gh/jh 2/ 3
levy fund. The board of directors shall expend the 1 amount of the principal and interest due each year 2 to maturity from the same fund into which the loan 3 proceeds were deposited. > 4 2. By renumbering as necessary. 5 ______________________________ NIELSEN of Johnson -3- HF564.1412 (1) 87 gh/jh 3/ 3 #2.