§ 101029 School Facilities Bond Funds

This law says any extra money that comes from selling bonds—like premiums and interest—must stay in the school facilities fund, but it can be moved to the main state fund to help pay the interest on those bonds.

Key Takeaways

•Money from bond premiums and interest must stay in the School Facilities Fund.
•That money can be moved to the General Fund.
•When moved, it counts as a credit that reduces the cost of paying bond interest.

Example

A state school sells bonds and gets $5 million in extra interest and premium payments.

The $5 million stays in the School Facilities Fund, but the state can transfer it to the General Fund to lower the amount it has to spend on paying bond interest.

All money deposited in the 2006 State School Facilities Fund, that is derived from premium and accrued interest on bonds sold shall be reserved in the fund and shall be available for transfer to the General Fund as a credit to expenditures for bond interest. (Added by Stats. 2006, Ch. 35, Sec. 16. Approved in Proposition 1D at the November 7, 2006, election.)

Key Takeaways

•Money from bond premiums and interest must stay in the School Facilities Fund.
•That money can be moved to the General Fund.
•When moved, it counts as a credit that reduces the cost of paying bond interest.

Example

A state school sells bonds and gets $5 million in extra interest and premium payments.

The $5 million stays in the School Facilities Fund, but the state can transfer it to the General Fund to lower the amount it has to spend on paying bond interest.

Key Takeaways

Example

Key Terms

References

§ 101029 School Facilities Bond Funds

Key Takeaways

Example

Key Terms

References

Key Takeaways

Example

Key Terms

Related Statutes

References

Key Takeaways

Example

Key Terms

Related Statutes

References