SB219 Summary

• Authorizes county and city boards of education in Alabama to issue interest-bearing warrants for educational purposes including public school facility costs and refunding existing indebtedness, subject to prior written approval from the State Superintendent of Education.

• Warrants may be sold at public or private sale and are payable solely from designated revenues or tax proceeds lawfully available to the board, secured by pledges of ad valorem taxes, privilege/license/excise taxes, or other board revenues.

• Warrants may have maturities up to 30 years and boards may retain redemption options after 10 years; boards must execute warrants through the board president, seal, and secretary attestation.

• All warrants and accrued interest are permanently exempt from state, county, municipal, and other taxation under Alabama law and constitute legal investments for executors, administrators, trustees, and fiduciaries.

• Counties and municipalities may provide financial and other assistance to boards of education within their jurisdiction including lending money, guaranteeing indebtedness, donating/conveying property, and issuing their own debt to support board obligations for educational purposes.