HB 1234-1_ Filed 01/26/2004, 10:49 Crawford


Text Box


    PREVAILED      Roll Call No. _______
    FAILED        Ayes _______
    WITHDRAWN        Noes _______
    RULED OUT OF ORDER


[

HOUSE MOTION ____

]

MR. SPEAKER:

    I move that House Bill 1234 be amended to read as follows:

SOURCE: Page 4, line 19; (04)MO123401.4. -->     Page 4, line 19, reset in roman "their school building construction".
    Page 4, line 20, after "technology" insert " programs (as defined in IC 21-1-5-3) under IC 21-1-5 and".
    Page 4, line 28, delete "IC 21-1-5;" and insert "IC 21-1-5 and".
    Page 4, between lines 39 and 40, begin a new paragraph and insert:
SOURCE: IC 21-1-5-1; (04)MO123401.4. -->     "SECTION 4. IC 21-1-5-1 IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2004]: Sec. 1. This chapter applies to school corporations organized and formed through reorganization under IC 20-4-1, IC 20-4-5, or IC 20-4-8 (as defined in IC 20-5-1-3) and school townships under IC 20-2-8. However, if a school corporation or school township sustains loss by fire, wind, cyclone, or other disaster, of all or a major portion of its school building or school buildings, sections 4 and section 9 of this chapter do does not apply.".
SOURCE: Page 5, line 3; (04)MO123401.5. -->     Page 5, line 3, after "chapter." insert " The maximum aggregate amount of advances that:
        (1) are made under this chapter after June 30, 2004, for school building construction programs; and
        (2) are outstanding at any time;
may not exceed thirty million dollars ($30,000,000).
".
    Page 5, line 3, beginning with "The Indiana" begin a new paragraph and insert:
    " (b)".
    Page 5, line 5, delete "section" and insert " chapter for educational technology programs".
    Page 5, line 6, strike "(b)" and insert " (c)".
    Page 5, line 22, after "activities." insert " After June 30, 2004, the term does not include a school corporation or school township that is described in subdivision (2) or (3).".
    Page 5, line 23, strike "(c)" and insert " (d)".
    Page 5, between lines 27 and 28, begin a new paragraph and insert:
SOURCE: IC 21-1-5-4; (04)MO123401.6. -->     "SECTION 6. IC 21-1-5-4 IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2004]: Sec. 4. (a) To qualify for an advance under this chapter, the school corporation or school township is required to establish a capital projects fund under IC 21-2-15. However, the Indiana state board of education, after consulting with the department of education and the budget agency, may waive or modify this requirement upon a showing of good cause by the school corporation or school township.
    (b) No advance to a school corporation or a school township for any school building construction program may exceed the greater of:
        (1) fifteen million dollars ($15,000,000); or
        (2) the product of fifteen thousand dollars ($15,000) multiplied by the number of pupils accommodated as a result of the school construction building program. However, if a school corporation or school township has sustained loss by fire, wind, cyclone, or other disaster, this limitation may be waived by the Indiana state board of education after consulting with the department of education and the budget agency.
    (c) Advances made before July 1, 2004, for educational technology programs are without limitation in amount other than the availability of funds in the common school fund for this purpose and the ability of the school corporation or school township desiring an advance to pay the advance in accordance with the terms of the advance. This subsection expires July 1, 2004.
SOURCE: IC 21-1-5-5; (04)MO123401.7. -->     SECTION 7. IC 21-1-5-5 IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2004]: Sec. 5. (a) Money advanced to school corporations or school townships for school building construction programs may be advanced for periods not exceeding twenty-five (25) years, and the school corporations or school townships to which money is advanced shall be required to pay interest on the advance. For advances made before July 1, 1993, the Indiana state board of education may provide, either before an advance is made or before an advance is fully paid, that no payment of the advance may be prepaid by more than six (6) months. For advances made beginning July 1, 1993, for school building construction programs, the Indiana state board of education may provide that the advances are prepayable at any

time. The state board of finance created by IC 4-9.1-1 shall periodically establish the rate or rates of interest payable on advances for school building construction programs as long as:
        (1) the established interest rate or rates do not exceed seven and one-half percent (7.5%); and
        (2) the interest rate or rates on advances made to school corporations or school townships with advances outstanding on July 1, 1993, bearing interest at seven and one-half percent (7.5%) or more shall not exceed four percent (4%).
    (b) Money advanced made before July 1, 2004, to school corporations or school townships for educational technology programs may be for periods not exceeding five (5) years and the school corporations or school townships to which advances are made shall be required to pay interest on the advances. Advances made before July 1, 2004, for educational technology programs may be prepaid at any time. The state board of finance shall establish periodically the rate or rates of interest payable on advances for educational technology programs as long as the established interest rate or rates:
        (1) are not less than one percent (1%); and
        (2) do not exceed four percent (4%).
This subsection expires July 1, 2009.
    (c) To assure timely payment of advances in accordance with their terms, the state is authorized in its sole discretion to withhold from funds due to school corporations and school townships to which advances are made amounts necessary to pay the advances and the interest on the advances in accordance with their respective terms. The terms of the advances shall be established by the Indiana state board of education after consulting with the department of education and upon the approval of the budget agency in advance of the time the respective advances are made. However, in the case of school corporations or school townships with advances outstanding on July 1, 1993, the withholding may be adjusted to conform with this chapter. To the extent available, funds shall first be withheld from the distribution of state school tuition support. However, if this distribution is not available or is inadequate, funds may be withheld from the distribution of other state funds to the school corporation or school township to which the advance is made.

SOURCE: IC 21-1-5-9; (04)MO123401.8. -->     SECTION 8. IC 21-1-5-9 IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2004]: Sec. 9. (a) Priority of advances for school building construction programs shall be made to school corporations and school townships which have the least amount of adjusted assessed valuation per pupil in average daily attendance.
    (b) Priority of advances made before July 1, 2004, for educational technology programs shall be on whatever basis the Indiana state board of education, after consulting with the department of education and the

budget agency, periodically determines. This subsection expires July 1, 2004.

SOURCE: IC 21-1-5-10; (04)MO123401.9. -->     SECTION 9. IC 21-1-5-10 IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2004]: Sec. 10. A school corporation or school township to which an advance is made for an educational technology program before July 1, 2004, may annually levy a tax in the capital projects fund or the debt service fund to produce an amount equal to the amount deducted in the current year from the distribution of state school tuition support to pay the advance, together with the interest on the advance. The amount received from the tax shall be transferred from the capital projects fund or the debt service fund, as applicable, to the general fund.".
    Renumber all SECTIONS consecutively.
    (Reference is to HB 1234 as printed January 23, 2004.)

________________________________________

Representative Crawford


MO123401/DI 51     2004