Be it enacted by the Legislature of the State of Arizona:
Section 1. Section 15-249.02, Arizona Revised Statutes, is amended to read:
15-249.02. Education learning and accountability fund; appropriation; subaccounts
A. The education learning and accountability fund is established consisting of legislative appropriations and fees collected from universities and community college districts in support of the education learning and accountability system for public education. The department of education shall administer the fund. Monies in the fund are exempt from the provisions of section 35‑190 relating to lapsing of appropriations. All monies deposited in the fund for fiscal year 2011‑2012 are appropriated for use in fiscal year 2011‑2012 and fiscal year 2012‑2013. Monies in the fund may only be used for the purposes prescribed in section 15‑249 and are subject to the requirements for review by the joint legislative budget committee prescribed in that section.
B. The general fund subaccount is established within the education learning and accountability fund consisting of appropriations from the state general fund that are deposited into the fund. Monies in the subaccount are continuously appropriated.
C. The university and community college fee subaccount is established within the education learning and accountability fund consisting of fees collected from universities and community college districts that are deposited into the fund. Monies in the subaccount are subject to legislative appropriation.
Sec. 2. Repeal
Title 15, chapter 12, article 2, Arizona Revised Statutes, is repealed.
Sec. 3. Section 15-1446, Arizona Revised Statutes, is amended to read:
15-1446. Lease‑purchase agreements
A. A district board may enter into lease or lease‑purchase agreements for real property, including buildings and improvements to the property.
B. Lease or lease‑purchase agreements authorized by subsection A of this section or section 15‑1444, subsection A, paragraph 11 shall not create an obligation of payment by the district under the terms of the lease or lease‑purchase agreement for periods longer than fifteen years.
C. Notwithstanding subsection B of this section, a district board may enter into lease agreements for real property, including buildings and improvements to the property, that obligate the district for more than fifteen years if such agreements are with an Indian tribe, involve land owned or controlled by the federal government or by a joint powers airport authority organized under title 28, chapter 25, article 8 or involve real property that is owned by a nongovernmental nonprofit corporation and that is offered for lease in an amount not to exceed one thousand dollars per year to a community college district for purposes of expanding health care education programs.
D. B. The amount of outstanding indebtedness due to acquisition of real property by lease‑purchase for each district shall not exceed two million five hundred thousand dollars in any one year and fifteen million dollars in the aggregate. A district board may pledge tuitions, fees, rentals and other charges to any payments due under lease‑purchase agreements.
E. Notwithstanding subsection D of this section, periodic payments and any option payments for acquisition of real property by lease‑purchase are restricted to payment from capital outlay funds.
F. Districts that acquire real property by lease‑purchase are not entitled to receive monies pursuant to section 15‑1463 pertaining to the specific real property acquired by lease‑purchase.
G. C. Notwithstanding any other law, payments on lease or lease‑purchase agreements entered into pursuant to subsection A of this section or section 15‑1444, subsection A, paragraph 11 are obligations of the district within the meaning of the constitutional limit against indebtedness set out in article IX, section 8, Constitution of Arizona.
Sec. 4. Section 15-1472, Arizona Revised Statutes, is amended to read:
15-1472. Community college district workforce development accounts
A. Each community college district shall establish a separate workforce development account to receive only tax revenues authorized pursuant to section 42‑5029, subsection E, paragraph 3. Each community college district board shall approve the expenditure of these monies in accordance with section 15‑1461 and consistent with subsection B of this section.
B. Monies received pursuant to subsection A of this section shall be expended for workforce development and job training purposes. These expenditures may include:
1. Partnerships with businesses and educational institutions.
2. Additional faculty for improved and expanded classroom instruction and course offerings.
3. Technology, equipment and technology infrastructure for advanced teaching and learning in classrooms or laboratories.
4. Student services such as assessment, advisement and counseling for new and expanded job opportunities.
5. The purchase, lease or lease‑purchase of real property, for new construction, remodeling or repair of buildings or facilities on real property.
C. The state treasurer shall transfer monies under this section into each district's workforce development account by the fifteenth day of each month. The state treasurer shall also allocate and distribute any pooled interest earnings earned from revenues authorized in section 42‑5029, subsection E, paragraph 3 to each district in accordance with the method prescribed in subsection D, paragraph 2 of this section.
D. Revenues authorized for community college districts in section 42‑5029, subsection E, paragraph 3 shall be distributed by the state in the following manner:
1. For thirteen fiscal years beginning in fiscal year 2001‑2002, the state treasurer shall allocate one million dollars per fiscal year for the purpose of bringing this state into compliance with the matching capital requirements prescribed in section 15‑1463. The state treasurer shall distribute the monies authorized in this subsection to each district in the order in which each campus qualified for funding pursuant to section 15‑1463.
2. After the monies have been paid each year to the eligible districts pursuant to paragraph 1 of this subsection, the state treasurer shall distribute monies from the workforce development fund to each community college district in the following manner:
(a) Each district shall receive the sum of two hundred thousand dollars. This subdivision does not apply to a community college tuition financing district established pursuant to section 15‑1409.
(b) After each district has
received the payments prescribed in subdivision (a) of this paragraph, the
remainder of monies in the fund shall be distributed to each district according
to each district's full‑time equivalent student enrollment percentage of
the total statewide audited full‑time equivalent student enrollment in
the preceding fiscal year prescribed in section 15‑1466.01. The
percentage distribution under this subdivision shall be adjusted annually on
October 1 of each year.
E. Revenues received by community college districts shall not be used by the legislature to supplant or reduce any state aid authorized in this chapter or supplant any proceeds from the sale of bonds authorized in this article and article 5 of this chapter.
F. Monies received under this section shall not be considered to be local revenues for purposes of article IX, section 21, Constitution of Arizona.
G. Each community college district or community college that is owned, operated or chartered by a qualifying Indian tribe on its own Indian reservation shall submit a report once every two years of its workforce development plan activities and the expenditures authorized in this section to the governor, president of the senate, speaker of the house of representatives, joint legislative budget committee and Arizona commerce authority by December 1 of every even‑numbered year. The report shall include the purpose and goals for which the workforce development monies were expended by each district or community college together with a general accounting of the expenditures authorized in subsection B of this section. A copy of the final report shall also be provided to the secretary of state. For the purposes of this subsection, "qualifying Indian tribe" has the same meaning prescribed in section 42‑5031.01.
Sec. 5. Section 15-1483, Arizona Revised Statutes, is amended to read:
15-1483. Issuance of bonds
A. The board for and on behalf of an institution is authorized from time to time to issue negotiable bonds for the purpose of acquiring a project or projects. The bonds shall be authorized by resolution of the board. The bonds may be issued in one or more series, bear such date or dates, be in such denomination or denominations, mature at such time or times, not exceeding forty years from the respective dates thereof, mature in such amount or amounts, bear interest at such rate or rates, as determined by the board, payable semiannually, be in such form either coupon or registered, carry such registration privileges, be executed in such manner, be payable in such medium of payment, at such place or places, and be subject to such term of redemption, with or without premium, as such resolution or other resolutions may provide. The bonds may be sold at not less than par at either public or private sale. The bonds shall be fully negotiable within the meaning and for all the purposes of title 47, chapter 3.
B. Before the issuance of bonds that do not require voter approval, a district shall submit information regarding the planned projects that will be funded with the bond proceeds to the joint committee on capital review for review.