SJR 31 -- BONDED INDEBTEDNESS OF SCHOOL DISTRICTS

SPONSOR:  Ridgeway (Flook)

COMMITTEE ACTION:  Voted "do pass" by the Special Committee on
Student Achievement and Finance by a vote of 8 to 0.

This proposed constitutional amendment raises, upon voter
approval, the allowable level of bonded indebtedness for school
districts from 15% to 20% of the value of taxable tangible
property.

FISCAL NOTE:  Estimated Cost on General Revenue Fund of $52,560
in FY 2007, $0 in FY 2008, and $0 in FY 2009.  No impact on Other
State Funds in FY 2007, FY 2008, and FY 2009.

PROPONENTS:  Supporters say that two different types of districts
are reaching their debt limit:  rural districts, where the
assessed value of the property is too low to allow new buildings
to be built; and rapidly growing districts that are undergoing a
residential building boom.  The bill does not raise taxes; but it
makes it possible for school districts to undertake projects in a
more cost effective way, instead of building in stages, which is
more costly in the long run.

Testifying for the bill were Senator Ridgeway; A. G. Edwards;
Dick Davis, Harrisburg R-VIII and Small Schools Committee of
Missouri Association of School Administrators; David McGehee,
Raymore-Peculiar Board of Education; Missouri School
Administrators Coalition; Terry Morrow, Lincoln County R-III;
Jason Hoffman; Missouri Association of School Business Officials;
Cooperating School Districts of Greater St. Louis; George K. Baum
Company; Missouri School Boards' Association; Cooperating School
Districts of Greater Kansas City; Missouri State Teachers
Association; and Missouri National Education Association.

OPPONENTS:  There was no opposition voiced to the committee.

Becky DeNeve, Senior Legislative Analyst

Missouri House of Representatives
93rd General Assembly, 2nd Regular Session
Last Updated November 29, 2006 at 9:47 am