THE STATE EDUCATION DEPARTMENT / THE UNIVERSITY OF THE STATE OF NEW YORK / ALBANY, NY 12234

 

TO:	EMSC-VESID Committee
FROM:	Jean C. Stevens
SUBJECT:	Petition of the Elmira City School District for Consent to Exceed the Constitutional Debt Limit
DATE:	August 24, 2006
STRATEGIC GOAL:	Goal 2
AUTHORIZATION(S):

 

SUMMARY

 

Issue for Consent

 

          Should the Regents consent to allow the Elmira City School District to increase the indebtedness of the school district under the provisions of the State Constitution and the Local Finance Law?

 

Reason(s) for Consideration

 

          Required by Article 8, Section 4, Paragraph (h) of the State Constitution and by Local Finance Law section 104.00(c).

 

Proposed Handling

 

          The petition for consent will come before the Regents EMSC-VESID Committee in September for action. 

 

Procedural History

 

          The Board of Regents is required to give consent for such petitions prior to the petition being forwarded to the State Comptroller for final consideration.  The EMSC-VESID Committee has discussed and acted upon similar requests in the past from school districts seeking to exceed their debt limit and is familiar with the guidelines and procedures for granting consent.     

Background Information

 

          The Department received a petition from the Board of Education of the Elmira City School District seeking consent of the Board of Regents to an increase in the indebtedness of the Elmira City School District.  The State Constitution requires that any increase in the constitutional limit on local indebtedness for a school district wholly or partly within a city of less than 125,000 inhabitants receive: (1) the approving vote of 60 percent or more of the duly qualified voters; (2) the consent of the Regents; and (3) the consent of the State Comptroller.  It appears from the records of the State Education Department that the School District lies within the City of Elmira.  The documentation supporting the petition verifies that more than 60 percent of duly qualified voters approved the increase at the annual election held on May 16, 2006.  The increase in indebtedness will be used to undertake the purchase of school buses, vans and station wagons to provide student transportation.  Staff has reviewed the petition and supporting documentation and recommend that the requested consent be granted.

 

Recommendation

 

          VOTED:  That the Board of Regents hereby gives consent to the issuance of bonds and/or bond anticipation notes by the Board of Education of the Elmira City School District in an amount not to exceed $615,000 to purchase school buses, vans and station wagons; and the issuance of such bonds and/or bond anticipation notes in excess of the constitutional debt limit of said school district.

 

Timetable for Implementation

 

          Upon approval by the Board of Regents, the petition will be forwarded to the State Comptroller for final consideration.