TITLE XV
EDUCATION
Chapter 195-C
SCHOOL BUILDING AUTHORITY-STATE GUARANTEE
Section 195-C:1
195-C:1 School Building Authority. –
I. There shall be a school building authority, referred to in this chapter as the authority, consisting of the state treasurer, the commissioner of education, the state fire marshal or designee, and 3 other members appointed by the governor, one of whom shall have expertise in education, one of whom shall have expertise in finance, and one of whom shall have expertise in building construction or engineering, with the advice and consent of the council, for terms of 3 years and until their successors are appointed and qualify. The governor shall designate one of said members as chairman. In case of vacancy among the appointive members of the authority, the governor, with the advice and consent of the council, shall fill the same for the unexpired term. The appointive members of the authority shall receive as compensation for their services, while actually engaged in the business of the authority, the sum of $8 per day plus their necessary subsistence expenses. The appointive members of the authority shall be paid mileage at the state employees rate, plus necessary travel expenses, only when performing activities at the request of the state board of education.
II. It shall be the duty of the authority to consider and investigate all applications of school districts for awards of state guarantees with respect to borrowings authorized by such districts for school projects of not less than $100,000 involving the construction, enlargement or alteration of school buildings, and to make a written report on each application to the governor and council. If the authority finds that a school project will be of public use and benefit and that the amount of the authorized borrowing appears to be within the financial means and available resources of the school district making the application, the authority may include in its report a recommendation that a state guarantee be awarded on a split issue basis with respect to a specific amount of the bonds or notes of the district or that a state guarantee be awarded on a declining balance basis with respect to a specific percentage of each of such bonds or notes. In determining what amount or percentage to recommend under the provisions of this chapter, the authority shall consider the need for the project in comparison with the need for other projects throughout the state and the capacity of the state to guarantee indebtedness within the limits contained in this chapter.
III. The authority may make reasonable procedural rules and regulations and prescribe forms to be used in its proceedings. The authority may also establish from time to time schedules of service charges to be paid by districts which issue bonds or notes guaranteed by the state pursuant to this chapter, but no charge shall exceed 1/10 of one percent of the principal amount of the bonds or notes which are issued and with respect to which the state guarantee is applicable. The charge to a district shall not be payable until after the bonds or notes on which the charge is based have been issued, and such charge may be paid from the proceeds of the bonds or notes including premiums, but exclusive of accrued interest. Service charges shall be paid to the state treasurer and shall be credited to the account of the authority. Such account shall not lapse and shall be available to the authority as a continuing fund subject to expenditure for the use of the authority pursuant to votes thereof.
IV. (a) The authority shall advise the state board of education by investigating matters concerning school facilities referred to them by the state board of education. Such matters shall include, but shall not be limited to, standards for school building construction pursuant to RSA 21-N:9, II(c), safety standards related to school buildings, financing of school construction projects, award of high performance school construction grants, and any other specific concerns about particular school buildings that have been brought to the attention of the state board of education.
(b) The authority shall seek the assistance and expertise of state and local agencies and private entities as may be necessary.
Source. 1967, 154:1. 1970, 51:7. 1985, 240:1, eff. Aug. 3, 1985. 2008, 289:1, 2, eff. Aug. 26, 2008. 2012, 275:7, eff. Aug. 18, 2012. 2023, 35:3, eff. July 1, 2023.
Section 195-C:2
195-C:2 State Guarantee. –
Upon the receipt of a report from the authority containing a recommendation that bonds or notes of a school district should be guaranteed by the state, the governor with the advice and consent of the council may award an unconditional state guarantee with respect to such bonds or notes in accordance with the authority's recommendation or in some lesser amount or percentage, or on the alternative basis of guarantee, as the best interests of the state may require. The full faith and credit of the state are and shall be pledged for any such guarantees, and the total outstanding amount of the principal of and interest on such bonds and notes which has been guaranteed by the state under this section shall at no time exceed $95,000,000. The governor, with the advice and consent of the council, is authorized to draw a warrant for such a sum out of any money in the treasury not otherwise appropriated, for the purpose of honoring any guarantee awarded under this section. In the event that any state funds shall be so used, the state may recover the amount thereof as provided in RSA 530.
Source. 1967, 154:1. 1970, 51:8. 1971, 294:1. 1985, 240:2. 1986, 172:1. 1987, 191:1. 1999, 335:1, eff. Jan. 1, 2000. 2008, 49:2, eff. July 1, 2008. 2009, 144:200, eff. July 1, 2009.
Section 195-C:3
195-C:3 Definition and Limit of Split Issue Guarantee. –
An award of a state guarantee on a split-issue basis under RSA 195-C:2 shall specify the face amount of the bonds or notes which shall comprise the guarantee portion of the total authorized borrowing, and such guarantee shall be applicable with respect to that amount of the bonds or notes and interest on such bonds or notes. The guaranteed portion of the total authorized borrowing shall not exceed 75 percent thereof. Bonds or notes bearing a state guarantee awarded on a split-issue basis shall be offered and sold at public sale, after such advertisement as the school board deems appropriate, as a separate and distinct issue from any issue of bonds or notes which are not guaranteed by the state. All state guaranteed bonds or notes issued to finance a particular project shall be made payable no later than the payment date of the last maturing unguaranteed bond or note which is issued to finance the same project. The bonds or notes comprising the guaranteed portion of an authorized borrowing and the bonds or notes comprising the unguaranteed portion of an authorized borrowing may be issued from time to time, provided that the guaranteed portion which shall have been issued at any time shall not exceed 3 times the unguaranteed portion which shall then have been issued. The state's guarantee shall be evidenced on each guaranteed bond or note by an endorsement signed by the state treasurer in substantially the following form:
The State of New Hampshire hereby unconditionally guarantees the payment of the whole of the principal and interest of the within (bond) (note) and for the performance of such guarantee the full faith and credit of the State are pledged.
State Treasurer
Source. 1967, 154:1. 1970, 51:9. 1985, 240:3, eff. Aug. 3, 1985.
Section 195-C:4
195-C:4 Definition and Limit of Declining Balance Guarantee. –
An award of a state guarantee on a declining balance basis under RSA 195-C:2 shall specify the percentage of the guarantee, and such guarantee shall be applicable in such percentage with respect to any amount of a bond, note or coupon comprising the authorized borrowing which the issuing district is unable to pay or refuses to pay upon the presentation of such bond, note or coupon. Such percentage shall not be more than 75 percent. The bonds or notes comprising an authorized borrowing guaranteed on a declining balance basis may be issued from time to time and may be sold at public or private sale. The state's guarantee shall be evidenced on each bond or note by an endorsement signed by the state treasurer in substantially the following form:
The State of New Hampshire hereby unconditionally guarantees the payment of ... percent of any amount of the principal of or the interest on this (bond) (note) which the issuer of this (bond) (note) is unable to pay or refuses to pay upon presentation, and for the performance of such guarantee the full faith and credit of the State are pledged.
State Treasurer
Source. 1967, 154:1. 1970, 51:10. 1985, 240:4, eff. Aug. 3, 1985.
Section 195-C:5
195-C:5 Repealed by 1985, 240:6, eff. Aug. 3, 1985. –