1.1 A bill for an act 1.2 relating to education finance; authorizing a school district to reauthorize a capital 1.3 projects referendum by board action; amending Minnesota Statutes 2024, section 1.4 123B.63, subdivision 3. 1.5BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 1.6 Section 1. Minnesota Statutes 2024, section 123B.63, subdivision 3, is amended to read: 1.7 Subd. 3.Capital project levy referendum.(a) A district may levy the local tax rate 1.8approved by a majority of the electors voting on the question to provide funds for an approved 1.9project. The election must take place no more than five years before the estimated date of 1.10commencement of the project. The referendum must be held on a date authorized by section 1.11205A.05, subdivision 1a. A district must meet the requirements of section 123B.71 for 1.12projects funded under this section. If a review and comment is required under section 1.13123B.71, subdivision 8, a referendum for a project not receiving a positive review and 1.14comment by the commissioner must be approved by at least 60 percent of the voters at the 1.15election. 1.16 (b) The referendum may be called by the school board and may be held: 1.17 (1) separately, before an election for the issuance of obligations for the project under 1.18chapter 475; or 1.19 (2) in conjunction with an election for the issuance of obligations for the project under 1.20chapter 475; or 1Section 1. 25-01887 as introduced01/07/25 REVISOR CR/MI SENATE STATE OF MINNESOTA S.F. No. 1460NINETY-FOURTH SESSION (SENATE AUTHORS: MAYE QUADE, Kunesh, Duckworth and Cwodzinski) OFFICIAL STATUSD-PGDATE Introduction and first reading02/17/2025 Referred to Education Finance 2.1 (3) notwithstanding section 475.59, as a conjunctive question authorizing both the capital 2.2project levy and the issuance of obligations for the project under chapter 475. Any obligations 2.3authorized for a project may be issued within five years of the date of the election. 2.4 (c) The ballot must provide a general description of the proposed project, state the 2.5estimated total cost of the project, state whether the project has received a positive or negative 2.6review and comment from the commissioner, state the maximum amount of the capital 2.7project levy as a percentage of net tax capacity, state the amount that will be raised by that 2.8local tax rate in the first year it is to be levied, and state the maximum number of years that 2.9the levy authorization will apply. 2.10 The ballot must contain a textual portion with the information required in this section 2.11and a question stating substantially the following: 2.12 "Shall the capital project levy proposed by the board of .......... School District No. .......... 2.13be approved?" 2.14 If approved, the amount provided by the approved local tax rate applied to the net tax 2.15capacity for the year preceding the year the levy is certified may be certified for the number 2.16of years, not to exceed ten, approved. 2.17 (d) If the district proposes a new capital project to begin at the time the existing capital 2.18project expires and at the same maximum tax rate, the general description on the ballot may 2.19state that the capital project levy is being renewed and that the tax rate is not being increased 2.20from the previous year's rate. An election to renew authority under this paragraph may be 2.21called at any time that is otherwise authorized by this subdivision. The ballot notice required 2.22under section 275.60 may be modified to read: 2.23 "BY VOTING YES ON THIS BALLOT QUESTION, YOU ARE VOTING TO RENEW 2.24AN EXISTING CAPITAL PROJECTS REFERENDUM THAT IS SCHEDULED TO 2.25EXPIRE." 2.26 (e) In the event a conjunctive question proposes to authorize both the capital project 2.27levy and the issuance of obligations for the project, appropriate language authorizing the 2.28issuance of obligations must also be included in the question. 2.29 (f) Notwithstanding the election requirements of this subdivision, a school board may 2.30renew an expiring capital projects referendum by board action if: 2.31 (1) the annual amount of the referendum is the same as the amount expiring; 2.32 (2) the term of the renewed capital projects referendum is no longer than the initial term 2.33approved by the voters; 2Section 1. 25-01887 as introduced01/07/25 REVISOR CR/MI 3.1 (3) the school board, having taken a recorded vote, has adopted a written resolution 3.2authorizing the renewal after holding a meeting and allowing public testimony on the 3.3proposed renewal; and 3.4 (4) the expiring capital projects referendum has not been previously renewed by board 3.5action. 3.6 (g) The resolution authorized in paragraph (f) must be adopted by the school board no 3.7later than June 15 of the year the renewed capital levy is first certified and becomes effective 3.860 days after its adoption. A referendum expires in the last fiscal year in which the 3.9referendum generates revenue for the school district. A school board may renew an expiring 3.10capital projects referendum under this subdivision not more than two fiscal years before the 3.11referendum expires. A district renewing an expiring capital projects referendum under this 3.12subdivision must submit a copy of the adopted resolution to the commissioner and to the 3.13county auditor no later than September 1 of the calendar year in which the written resolution 3.14is adopted. 3.15 (f) (h) The district must notify the commissioner of the results of the referendum. 3.16 EFFECTIVE DATE.This section is effective the day following final enactment. 3Section 1. 25-01887 as introduced01/07/25 REVISOR CR/MI