Senate File 2324 - Introduced SENATE FILE BY COMMITTEE ON EDUCATION (SUCCESSOR TO SF 2177) 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 employment as a 2 substitute teacher in a school district. 3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 4 TLSB 5952SV 81 5 kh/je/5 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 the employment of a 2 12 board member as a substitute teacher if the salary specified 2 13 for the board member's substitute teacher employment is 2 14 determined pursuant to the salary schedule adopted by the 2 15 board of directors of the school district or negotiated under 2 16 chapter 20. 2 17 EXPLANATION 2 18 This bill exempts a school board member who is employed by 2 19 a school district as a substitute teacher and paid a salary 2 20 determined under the school district's salary schedule from 2 21 Code provisions which state that a member of the board of 2 22 directors of a school corporation shall not have an interest, 2 23 direct or indirect, in a contract for the performance of 2 24 services for the director's school corporation, and which 2 25 state that a board member shall not receive compensation 2 26 directly from the school board. 2 27 LSB 5952SV 81 2 28 kh:rj/je/5