ARIZONA HOUSE OF REPRESENTATIVES

Fifty-fifth Legislature

First Regular Session

House: WM DP 9-1-0-0

HB 2432: community colleges; lease-purchase agreements; indebtedness.

Sponsor:  Representative Bolick, LD 20

Caucus & COW

Overview

Increases the maximum number of years school district boards may lease or lease-purchase land. Establishes new outstanding indebtedness thresholds due to acquiring real property by lease-purchases based on county population.

History

Under current law, a district board may not enter a lease or lease-purchase agreement for land for a duration exceeding 15 years unless the agreement:

1)   Is with an Indian tribe;

2)   Is with land owned or controlled by the federal government;

3)   Is with land owned or controlled by a joint powers airport authority; or

4)   Involves real property owned by a nongovernmental nonprofit corporation — that will lease to a community college for less than $1,000 per year — for the purpose of expanding healthcare education programs (A.R.S § 15-1446).

Provisions

1.   ☐ Prop 105 (45 votes) ☐ Prop 108 (40 votes) ☐ Emergency (40 votes) ☐ Fiscal NoteIncreases the maximum length that district boards may lease or lease-purchase land from 15 to 20 years. (Sec. 1)

2.   Caps the outstanding indebtedness limits for acquiring real property by lease-purchase for districts. In a county with a population:

a)   Less than 750,000, the district board may not spend more than $2,500,000 in one year and $15,000,000 in the aggregate; or

b)   Of 750,000 or more, the district board may not spend more than $25,000,000 in one year and $50,000,000 in the aggregate. (Sec. 1)

3.   Makes technical and conforming changes. (Sec. 1)

 

 

 

 

 

 

---------- DOCUMENT FOOTER ---------

                                HB 2432

Initials __NM/VP__        Page 0   Caucus & COW

 

---------- DOCUMENT FOOTER ---------