SB-0870, As Passed Senate, June 7, 2012

SUBSTITUTE FOR

SENATE BILL NO. 870

     A bill to amend 2005 PA 92, entitled

"School bond qualification, approval, and loan act,"

by amending section 6 (MCL 388.1926).

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

     Sec. 6. The state treasurer shall may prequalify bonds of a

school district if the state treasurer determines all of the

following:

     (a) The issuance of additional qualified bonds will not

prevent the school district from repaying its outstanding qualified

loans on the earlier of the dates described in section 9.

     (b) The form of the ballot conforms with the requirements of

this act.

     (c) If the school district has owed a balance on outstanding

qualified loans in the 5 years immediately preceding the date of

the application for prequalification of bonds, the proposed bond

issue will not result in additional qualified loans being made

earlier than 5 years after the balance was fully repaid.