Senate File 2177 - Introduced
SENATE FILE
BY QUIRMBACH
Passed Senate, Date Passed House, Date
Vote: Ayes Nays Vote: Ayes Nays
Approved
A BILL FOR
1 An Act relating to a school board member's interest in a school
2 district contract for the performance of services and
3 providing an exemption.
4 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
5 TLSB 5952XS 81
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PAG LIN
1 1 Section 1. Section 277.27, Code 2005, is amended to read
1 2 as follows:
1 3 277.27 QUALIFICATION.
1 4 A member of the board shall, at the time of election or
1 5 appointment, be an eligible elector of the corporation or
1 6 subdistrict. Notwithstanding any contrary provision of the
1 7 Code, a member of the board of directors of a school district
1 8 shall not receive compensation directly from the school board
1 9 unless the compensation is for part=time or temporary
1 10 employment and does not exceed the limitation set forth in
1 11 section 279.7A, subsection 2, or unless the board member is
1 12 employed as a substitute teacher in accordance with section
1 13 279.7A, subsection 4.
1 14 Sec. 2. Section 279.7A, Code 2005, is amended to read as
1 15 follows:
1 16 279.7A INTEREST IN PUBLIC CONTRACTS PROHIBITED ==
1 17 EXCEPTIONS.
1 18 1. A member of the board of directors of a school
1 19 corporation shall not have an interest, direct or indirect, in
1 20 a contract for the purchase of goods, including materials and
1 21 profits, and the performance of services for the director's
1 22 school corporation. A contract entered into in violation of
1 23 this section is void.
1 24 2. This section does not apply to contracts for the
1 25 purchase of goods or services which benefit a director, or to
1 26 compensation for part=time or temporary employment which
1 27 benefits a director, if the benefit to the director does not
1 28 exceed two thousand five hundred dollars in a fiscal year, and
1 29 contracts made by a school board, upon competitive bid in
1 30 writing, publicly invited and opened.
1 31 3. This section does not apply to a contract that is a
1 32 bond, note, or other obligation of a school corporation if the
1 33 contract is not acquired directly from the school corporation,
1 34 but is acquired in a transaction with a third party, who may
1 35 or may not be the original underwriter, purchaser, or obligee
2 1 of the contract, or to a contract in which a director has an
2 2 interest solely by reason of employment if the contract is
2 3 made by competitive bid in writing, publicly invited and
2 4 opened, or if the remuneration of employment will not be
2 5 directly affected as a result of the contract and the duties
2 6 of employment do not directly involve the procurement or
2 7 preparation of any part of the contract. The competitive bid
2 8 qualification of this section does not apply to a contract for
2 9 professional services not customarily awarded by competitive
2 10 bid.
2 11 4. This section does not apply to contracts for the
2 12 employment of a board member as a substitute teacher if the
2 13 salary specified in the board member's substitute teacher
2 14 contract is determined pursuant to the salary schedule adopted
2 15 by the board of directors of the school district or negotiated
2 16 under chapter 20.
2 17 EXPLANATION
2 18 This bill exempts a school board member who is under
2 19 contract with the school district as a substitute teacher from
2 20 the Code provision which states that a member of the board of
2 21 directors of a school corporation shall not have an interest,
2 22 direct or indirect, in a contract for the performance of
2 23 services for the director's school corporation. The salary
2 24 specified in the person's substitute teaching contract must be
2 25 as determined in the salary schedule adopted by the school
2 26 board or negotiated under Code chapter 20.
2 27 LSB 5952XS 81
2 28 kh:rj/je/5