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3912Ratification Number: 557Act Number: 609Introducing Body: HouseSubject: Authorize the Board of Trustees of School District No. 4 in Marion County to borrow not exceeding two hundred seventy-five thousand dollars, for the purpose of constructing, improving, and repairing schools and school buildings in the district
(A609, R557, H3912)
AN ACT TO AUTHORIZE THE BOARD OF TRUSTEES OF SCHOOL DISTRICT NO. 4 IN MARION COUNTY TO BORROW NOT EXCEEDING TWO HUNDRED SEVENTY-FIVE THOUSAND DOLLARS, FOR THE PURPOSE OF CONSTRUCTING, IMPROVING, AND REPAIRING SCHOOLS AND SCHOOL BUILDINGS IN THE DISTRICT, AND TO PROVIDE FOR THE METHOD OF PAYMENT OF THE LOAN AND INTEREST BY THE BOARD.
Be it enacted by the General Assembly of the State of South Carolina:
Board may borrow
SECTION 1. The Board of Trustees of School District No. 4 in Marion County may borrow, not exceeding two hundred seventy-five thousand dollars, for the purpose of constructing, improving, or repairing schools and school buildings in Marion School District No. 4 of Marion County. The loan must be secured by a note to be executed by a majority of the board of trustees of the district, and shall bear the least interest available from a bank doing business in Marion County. The note must be made payable at a date the board may determine, not to exceed twenty years from the date of issuance.
SECTION 2. Prior to the issuance of the note, notice must be given to all of the banks in Marion County, to permit them to purchase the note, if they desire.
Board may refinance indebtedness
SECTION 3. The board of trustees may refinance any portion of the outstanding indebtedness due on the note at any time and from time to time within the twenty-year period by the issuance of new notes. The new notes shall mature not later than twenty years from the date of the original issuance.
SECTION 4. In order to provide for the repayment of the loan and interest there is levied an annual tax upon all of the taxable property of School District No. 4, sufficient to pay all interest and the note as they become due. The principal and interest may be paid annually. When the loan is paid the tax levied for this purpose shall cease. It is the duty of the auditor of Marion County to levy the special tax annually on all of the taxable property of the school district, and the duty of the county treasurer to collect the tax levied as other taxes are collected by law and to pay the principal and interest on the note as they become due, according to their terms. The full faith and credit and taxing power of School District No. 4 are irrevocably pledged for the payment of the note and interest.
Board to give consideration
SECTION 5. The Board of Trustees of School District No. 4 shall give consideration to applying to the payment of the amounts due on the note from time to time so much of the funds as may be made available to School District No. 4 by the State Department of Education, or any other agency of the State of South Carolina, after July 1, 1986. When the funds are applied to the payment of the principal and interest any tax authorized to be levied in this act must be reduced accordingly.
Amount borrowed must be deposited with county
SECTION 6. The amount borrowed must be deposited with the county treasurer of Marion County to the credit of Marion School District No. 4 to be expended upon warrants or orders of the proper school officials for the purposes mentioned in this act.
SECTION 7. This act shall take effect upon approval by the Governor.