§ 15140 School District Bond Sales

This law explains how schools and community colleges can sell bonds to get money for big projects. It also says how long they have to pay the money back and how much interest they can charge.

Key Takeaways

•Schools and community colleges can sell bonds to get money for big projects.
•They can't charge more than 8% interest on these bonds.
•They have up to 25 years to pay back the money.
•The school board decides how much money they need and when they will pay it back.
•The county helps manage the money and taxes for these bonds.

Example

A school district wants to build a new school building.

The school district can sell bonds to get the money for the building. They have to follow rules about how much interest they can charge and how long they have to pay the money back.

(a) Bonds of a school district or community college district shall be offered for sale by the board of supervisors of the county, the county superintendent of which has jurisdiction over the district, or the community college district governing board, where appropriate, as soon as possible following receipt of a resolution duly adopted by the governing board of the school district or community college district. The resolution shall prescribe the total amount of bonds to be sold. The resolution may also prescribe the maximum acceptable interest rate, not to exceed 8 percent, and the time or times when the whole or any part of the principal of the bonds shall be payable, which shall not be more than 25 years from the date of the bonds. (b) Notwithstanding subdivision (a) or another provision of this chapter, the board of supervisors of any county may provide by resolution that the governing board of any school district or community college district over which the county superintendent of schools has jurisdiction, and which has not received a qualified or negative certification in its most recent interim report, may issue and sell bonds on its own behalf pursuant to this chapter without further action of the board of supervisors or officers of that county or of any other county in which a portion of the school district or community college district is located. The county shall levy and collect taxes, pay bonds, and hold bond proceeds and tax funds pursuant to this chapter for the bonds issued and sold pursuant to this subdivision. (c) Whenever the governing board of a school district or community college district issues bonds or refunding bonds payable from ad valorem taxes the governing board shall transmit the authorizing resolution and debt service schedule, including the debt service schedule for the bonds to be refunded, to the county auditor and county treasurer in sufficient time to permit the county to establish tax rates and necessary funds or accounts for the bonds. (Amended by Stats. 1999, Ch. 667, Sec. 6. Effective January 1, 2000.)

This law explains how schools and community colleges can sell bonds to get money for big projects. It also says how long they have to pay the money back and how much interest they can charge.

Key Takeaways

•Schools and community colleges can sell bonds to get money for big projects.
•They can't charge more than 8% interest on these bonds.
•They have up to 25 years to pay back the money.
•The school board decides how much money they need and when they will pay it back.
•The county helps manage the money and taxes for these bonds.

Example

A school district wants to build a new school building.

The school district can sell bonds to get the money for the building. They have to follow rules about how much interest they can charge and how long they have to pay the money back.

Key Takeaways

Example

Key Terms

References

§ 15140 School District Bond Sales

Key Takeaways

Example

Key Terms

References

Key Takeaways

Example

Key Terms

Related Statutes

References

Key Takeaways

Example

Key Terms

Related Statutes

References