Current Status BillNumber: 870 Ratification Number: 258 Act Number: 258 Introducing Body: Senate Subject: General obligation bonds of Clarendon County School District No. 1View additional legislative information at the LPITS web site.
(A258, R258, S870)
AN ACT TO AUTHORIZE THE BOARD OF TRUSTEES OF SCHOOL DISTRICT NO. 1 OF CLARENDON COUNTY TO ISSUE GENERAL OBLIGATION BONDS OF THE DISTRICT IN AN AMOUNT NOT EXCEEDING TWO HUNDRED THOUSAND DOLLARS FOR CERTAIN PURPOSES; TO PRESCRIBE THE CONDITIONS UNDER WHICH THE BONDS MAY BE ISSUED AND THE PURPOSES FOR WHICH THE PROCEEDS MAY BE EXPENDED; AND TO MAKE PROVISION FOR THE PAYMENT OF THE BONDS.
Be it enacted by the General Assembly of the State of South Carolina:
Findings
SECTION 1. The General Assembly finds that School District No. 1 of Clarendon County will, in the current 1986-87 fiscal year, experience a revenue shortfall. There presently exists no statutory authorization for the school district to incur bonded indebtedness to fund an operating deficit. The General Assembly has determined to authorize the board of trustees of the school district to issue general obligation bonds of the school district to fund the deficit in the amount of not exceeding two hundred thousand dollars.
Bonds authorized
SECTION 2. For the purpose of funding the 1986-87 deficit of the school district, the board may on or before July 1, 1987, issue, without an election, general obligation bonds of the school district, in an amount of not exceeding two hundred thousand dollars.
Maturity
SECTION 3. All bonds issued pursuant to this act must mature in annual series or installments as the board prescribes. The final maturity of the bonds must be no more than five years from the date they are issued.
Forms
SECTION 4. The bonds issued pursuant to this act must be in the form of fully registered bonds or notes payable to or upon the order of the registered owner, upon conditions as the board may prescribe.
Denomination
SECTION 5. The bonds issued pursuant to this act must be in a denomination and must be made payable at a place, within or without the State, as the board prescribes.
Interest
SECTION 6. Bonds issued pursuant to this act must bear interest at a rate determined by the board within the limitations of Section 11-9-350 of the 1976 Code.
Execution
SECTION 7. The bonds must be executed in a manner as the board prescribes by resolution.
Sale
SECTION 8. Bonds issued pursuant to this act must be sold at a price of not less than par and accrued interest to the date of their respective
deliveries. Bonds authorized by this act may be sold at public or private sale upon the terms prescribed by the board.
Tax
SECTION 9. For payment of the principal of and interest on all bonds issued pursuant to this act, as they respectively mature, and for the creation of a sinking fund as may be necessary therefor, the full faith, credit, and taxing power of the school district must be irrevocably pledged, and there must be levied annually by the auditor of Clarendon County, and collected by the treasurer of Clarendon County, in the same manner as county taxes are levied and collected, a tax without limit on all taxable property in the school district sufficient to pay the principal of and interest on the bonds as they respectively mature and to create a sinking fund as may be necessary therefor.
Tax exemption
SECTION 10. The principal of and interest on bonds issued pursuant to this act have the tax exemption prescribed by Section 12-1-60 of the 1976 Code.
Proceeds
SECTION 11. The proceeds derived from the sale of any bonds issued pursuant to this act must be paid to the Treasurer of Clarendon County, to be deposited in the Bond Account Fund for the school district and must be expended and made use of by the board as follows:
(1) Any accrued interest must be applied to the payment of the first installment of interest to become due on the bonds.
(2) Any premium must be applied to the payment of the first installment of principal of the bonds.
(3) The remaining proceeds must be used to defray the costs of issuing bonds authorized by this act and to fund the 1986-87 deficit of the school district, or a portion of the deficit.
(4) If any balance remains, it must be held by the Treasurer of Clarendon County in a special fund and used to effect the retirement of these bonds.
Powers
SECTION 12. The powers and authorizations conferred upon the board by this act are in addition to all other powers and authorizations previously vested in the board and may be availed of pursuant to action taken at any regular or special meeting of the board by a resolution to take effect immediately upon its adoption.
No conditions required
SECTION 13. No election is prescribed as a condition precedent to the issuance of the bonds and no action other than that prescribed in this act needs to be taken to effect the issuance of the bonds. No approval of any other public agency including the Clarendon County Board of Education is required for any action taken pursuant to the authorizations of this act.
Time effective
SECTION 14. This act takes effect upon approval by the Governor.
Approved the 30th day of June, 1987.