Bill Text: MI HB5437 | 2013-2014 | 97th Legislature | Introduced
Bill Title: Education; financing; permissible use of sinking funds; expand to include school bus purchasing. Amends sec. 1212 of 1976 PA 451 (MCL 380.1212).
Spectrum: Partisan Bill (Democrat 6-0)
Status: (Introduced - Dead) 2014-04-17 - Printed Bill Filed 03/28/2014 [HB5437 Detail]
Download: Michigan-2013-HB5437-Introduced.html
HOUSE BILL No. 5437
March 27, 2014, Introduced by Reps. Kosowski, Barnett, Brunner, Smiley, LaVoy and Zemke and referred to the Committee on Education.
A bill to amend 1976 PA 451, entitled
"The revised school code,"
by amending section 1212 (MCL 380.1212), as amended by 2003 PA
299.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
1 Sec. 1212. (1) If approved by the school electors of the
2 school district, the board of a school district may levy a tax of
3 not to exceed 5 mills on the state equalized valuation taxable
4 value of the real and personal property of the school district
5 each year for a period of not to exceed 20 years, for the purpose
6 of creating a sinking fund to be used for the purchase of real
7 estate for sites for, and the construction or repair of, school
8 buildings. Beginning on the effective date of the amendatory act
1 that added this sentence, a sinking fund may also be used for
2 purchasing school busses. The sinking fund tax levy is subject to
3 the 15 mill tax limitation provisions of section 6 of article IX
4 of the state constitution of 1963 and the property tax limitation
5 act, 1933 PA 62, MCL 211.201 to 211.217a.
6 (2) A school district that levies a sinking fund tax under
7 this section shall have an independent audit of its sinking fund
8 conducted annually, including a review of the uses of the sinking
9 fund, and shall submit the audit report to the department of
10 treasury. If the department of treasury determines from the audit
11 report that the sinking fund has been used for a purpose other
12 than those authorized for the sinking fund under this section,
13 the school district shall repay the misused funds to the sinking
14 fund from the school district's operating funds and shall not
15 levy a sinking fund tax under this section after the date the
16 department of treasury makes that determination.
17 (3) (2) The
proposition of levying a sinking fund tax shall
18 be submitted to the school electors of the school district at a
19 regular or special school election.
20 (4) (3) The
question of levying taxes for the purpose of
21 creating a sinking fund shall be by ballot in substantially the
22 following form:
23 "Shall _______________________________ levy ________ mills
24 (legal name of school district)
25 to create a sinking fund for the purpose of ____________________
26 ________________________________________________________________
1 for a period of _____ years?
2 Yes ( )
3 No ( )".
4 (5) (4) For
the purposes of this section, millage approved
5 by the school electors before December 1, 1993 for which the
6 authorization has not expired is considered to be approved by the
7 school electors.
