SJR18 - Enables the legislature to issue bonds for education purposes
||Enables the legislature to issue bonds for education purposes
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Current Bill Summary
|LR Number:||0825S.07I ||Fiscal Note:||0825-07|
|Last Action:||03/18/03 - Hearing Conducted S Education Committee ||Journal page:|| |
|Effective Date:||Voter Approval |
SJR 18 - This proposed constitutional amendment authorizes
the General Assembly to issue one series of bonds in an amount
two billion dollars for the purpose of technology and
infrastructure upgrading, repairing, remodeling, building, and
rebuilding the elementary and secondary schools of this state.
No more than 25% of the revenue derived from the bonds may be
spent in any three-fiscal-year period.
The bonds will be for 20 years and will bear interest a rate
to be set by law. The bonds will be issued by the State board of
Fund Commissioners. The interest on the bonds will be paid by
corresponding sinking funds.
An income tax surcharge of 1/2 of one percent will be added
to the state income tax to pay for the interest on the bonds. In
the event that the income tax is insufficient to pay the
interest, a statewide property tax will be levied in the
following year to pay for such shortfall.
Any excess from the income tax surcharge will be deposited
equally into two funds. One fund will be dedicated to two
1. One-half to be used for grant programs to public schools
to promote teacher recruitment, retention, and training, and;
2. One-half to be used for grant programs to public schools
to enhance student achievement.
The monies in the other fund will be distributed to the public
schools of this state on an equal per pupil basis.
At any time when a refund is triggered by the provisions of
the Hancock Amendment, the monies to be refunded will first be
used to pay the principal and interest of the debt serviceable
during such fiscal year or any future fiscal year for which the
bonds are outstanding. The income tax surcharge will be reduced
in the next tax year to offset the additional money made
available by the Hancock refund.