HF 2192 (LSB 5527YH (4) 91)

HOUSE FILE 2192

BY  DIEKEN and FETT

A BILL FOR

An Act relating to bond election requirements and limitations applicable to school districts.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:

    Section 1.  Section 75.1, subsection 1, Code 2026, is amended to read as follows:
   1.  a.  When a proposition to authorize an issuance of bonds by a county, township, school corporation that is not a school district, city, or by any local board or commission, is submitted to the electors, such proposition shall not be deemed carried or adopted, anything in the statutes to the contrary notwithstanding, unless the vote in favor of such authorization is equal to at least sixty percent of the total vote cast for and against said proposition at said election. All elections on such proposition shall be held on the date specified in section 39.2, subsection 4, paragraph “d”.
   b.  When a proposition to authorize an issuance of bonds by a school district is submitted to the electors, such proposition shall not be deemed carried or adopted, anything in the statutes to the contrary notwithstanding, unless the vote in favor of such authorization is equal to at least eighty percent of the total vote cast for and against said proposition at said election. All elections on such proposition shall be held on the date specified in section 39.2, subsection 4, paragraph “d”. When a proposition to authorize an issuance of bonds by a school district has been submitted to the electors under this subsection and the proposal fails to gain approval by the required percentage of votes, another proposal submitted to the electors under this subsection on or after July 1, 2026, shall not be submitted to the electors for a period of four years from the date of such failed regular or special election and may only be submitted on a date specified in section 39.2, subsection 4, paragraph “d”.
    Sec. 2.  Section 296.3, Code 2026, is amended to read as follows:
   296.3  Election called.
   1.  Within ten days of receipt of a petition filed under section 296.2, the president of the board of directors shall call a meeting of the board. The meeting shall be held within thirty days after the petition was received. At the meeting, the board shall call the election, fixing the time of the election as required by section 39.2, subsection 4, paragraph “d”. However, if the board determines by unanimous vote that the proposition or propositions requested by a petition to be submitted at an election are grossly unrealistic or contrary to the needs of the school district, no election shall be called. If more than one petition has been received by the time the board meets to consider the petition triggering the meeting, the board shall act upon the petitions in the order they were received at the meeting called to consider the initial petition. The decision of the board may be appealed to the state board of education as provided in chapter 290. The president shall notify the county commissioner of elections of the time of the election.
   2.  Before calling an election under this section, the board of directors of a school district shall designate and deposit in one or more funds of the school district an amount equal to or greater than fifty percent of the total cost of the project or purpose for which the bonds are proposed to be issued. The amount so deposited and designated shall be used solely for the project or purpose unless the proposition of issuing the bonds fails at election or the proposal to issue the bonds is abandoned by the board of directors.
    Sec. 3.  Section 296.6, Code 2026, is amended to read as follows:
   296.6  Bonds.
   If the vote in favor of the issuance of such bonds is equal to at least sixty percent of the total vote cast for and against said proposition at said election meets the applicable vote requirement under section 75.1, the board of directors shall issue the same and make provision for payment thereof.
EXPLANATION
The inclusion of this explanation does not constitute agreement with
the explanation’s substance by the members of the general assembly.
   This bill makes changes relating to election requirements and limitations for the issuance of bonds by a school district.
   The bill requires that a proposition to authorize the issuance of bonds by a school district receive the affirmative vote of at least 80 percent of the total votes cast for and against the proposition at the election. The bill retains the existing requirement that propositions to authorize the issuance of bonds by a county, city, school corporation that is not a school district, township, or other local board or commission receive the affirmative vote of at least 60 percent of the total votes cast for and against the proposition.
   Under the bill, if a school district submits a bond proposition under Code section 75.1 that fails to gain approval of the voters, the school district is then prohibited from submitting another bond proposal to voters for a period of four years.
   As a condition of and prior to calling an election for the issuance of bonds under Code chapter 296, the bill requires the school district to designate and deposit in one or more funds of the school district an amount equal to or greater than 50 percent of the total cost of the project or purpose for which the bonds are proposed to be issued. The amount so deposited and designated shall be used solely for the project or purpose unless the proposition of issuing the bonds fails at election or the proposal to issue bonds is abandoned by the school board.
   The bill makes a corresponding change in Code section 296.6.