HB0785I-Introduced Bill Text

FIRST REGULAR SESSION

HOUSE BILL NO. 785

89TH GENERAL ASSEMBLY






INTRODUCED BY REPRESENTATIVES LOGRASSO AND ROSS (Co-sponsors).

Read 1st time February 27, 1997 and 1000 copies ordered printed.

ANNE C. WALKER, Chief Clerk

L1756.01I




AN ACT

To repeal sections 165.211, 165.221 and 165.231, RSMo 1994, relating to school finances, and to enact in lieu thereof three new sections relating to the same subject.






Be it enacted by the General Assembly of the state of Missouri, as follows:

Section A. Sections 165.211, 165.221 and 165.231, RSMo 1994, are repealed and three new sections enacted in lieu thereof, to be known as sections 165.211, 165.221 and 165.231, to read as follows:

165.211. [In six-director districts depositaries shall be selected in each odd-numbered year, except that in six-director districts other than urban districts depositaries may be selected each year.] In all seven-director districts, the school board shall select depositaries of the moneys and funds of the school district. Depositaries may be selected annually or the school district and depositary may enter into a one to five-year contract or agreement for the deposit of the district's moneys or funds at the discretion of the local board of education. Such contract or agreement may be terminated by the mutual consent of both parties at any time. The school board, in each year in which depositaries are to be selected, shall receive sealed proposals from banking institutions in the county or in adjoining counties which desire to be selected as depositaries of the moneys and funds of the school district. Notice that bids will be received shall be published by the secretary of the board at least twenty days before the date selected by the school board for the acceptance of bids in some newspaper published in the county at least five days in each week, or if there is none, then in a newspaper of general circulation within the county.

165.221. For the purpose of letting the funds the board shall divide the funds into not less than two nor more than ten equal parts. Each bidder may bid for any number of the parts, but the bid for each part shall be separate. Any banking institution in the county or in an adjoining county desiring to bid shall deliver to the secretary of the board, on or before the date selected for the acceptance of bids, a sealed bid, stating the rate of interest, or method by which the interest will be determined, that the banking institution offers to pay on one part of the funds and moneys of the school district for the term of one [year or two] to five years, as the case may be, next ensuing the date of the bid; or if the selection is made for a less term as provided in sections 165.201 to 165.291, then for the time between the date of the bid and the next regular time for the selection of depositaries, as fixed by section 165.211. Each bid shall be accompanied by a check in favor of the school district, on some solvent banking institution in the county or an adjoining county, duly certified, for not less than two thousand five hundred dollars, as a guaranty of good faith on the part of the bidder that if any of its bids are accepted by the board it will deposit the security required by law. It is a misdemeanor for the secretary of the board to directly or indirectly disclose the amount of any bid before [the selection of depositaries] all bids are opened at a public depositary bid opening.

165.231. The school board or their designee in [six-director] seven-director districts, on the date selected for the acceptance of bids, shall publicly open the bids and cause each bid to be verbally read and documented. Following discussion and clarification of bids with the financial institutions, the board of education shall cause each bid to be entered upon the records of the board and shall select from among the bidders, as depositaries of the funds and moneys of the school district, those whose bids are accepted, and shall notify each of the bidders so selected. The board may reject any and all bids. The interest upon the funds and moneys shall be computed upon the daily balances to the credit of the school district with each depositary and shall be payable by each depositary on the first day of each month to the treasurer of the school district, who shall place the same to the credit of the district. Each depositary, [on the first day of each] by at least the fifth day of the current month, shall render to the secretary of the board a statement, in writing, showing the amount of interest paid by the depositary. The secretary of the board shall return the certified checks accompanying the bids to the banking institutions whose bids which they accompanied were rejected and, upon the approval of the security provided for in sections 110.010 and 110.020, RSMo, return the certified checks accompanying the accepted bids to the banking institutions respectively, from which they were received.
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