Superintendent of Public Instruction for permission to incur a
temporary debt for the purpose of providing funds for current
expenses and debt service and shall present to the State
Superintendent of Public Instruction, or his agent, such
financial statements or reports as he may require to give him
adequate facts relative to the necessity of such increase in
indebtedness. The State Superintendent of Public Instruction is
hereby authorized, after due examination of the need of such
school district, either to refuse or grant permission to such
school district to borrow additional funds for current expenses
and debt service beyond the amount permitted by the provisions
of section six hundred forty (640) of this act. In case of
approval, he shall designate the maximum length of the term and
shall set a maximum limit of the total amount of such temporary
indebtedness that such school district may incur during the
fiscal year in addition to all temporary indebtedness for other
purposes outstanding at the time of such approval.
* * *
Section 640. Borrowing in Anticipation of Current Revenue
and Expenses.--School districts may borrow money in anticipation
of current revenues and expenses, to an amount not exceeding
such anticipated available current revenues after subtracting
anticipated expenses, which shall be pledged for the payment of
such loan or loans, and issue notes or other form of obligation,
executed by the president of the board of school directors and
attested by the secretary of the board under the seal of the
school district, securing such loans. Such notes, or other form
of obligation, shall mature and be payable during the current
fiscal year in which such money is borrowed. No such borrowing
shall constitute an increase of indebtedness within the meaning
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