The proposed bill would amend current statutes by requiring school district governing boards to hire an independent municipal advisor on a contingency fee basis before calling an election to issue school district bonds. This advisor must be registered and in good standing with the U.S. Securities and Exchange Commission. The advisor's responsibilities would include assisting with the election process and advising on the issuance of bonds if the election is successful. Additionally, the advisor would be required to act in the best interests of the school district and would only receive compensation if the voters authorize the bond issuance.

Furthermore, the bill outlines specific duties for the independent municipal advisor, such as preparing informational pamphlets for the bond election and advising on various aspects of bond issuance to ensure effective borrowing costs. It also prohibits the advisor from colluding in the selection of other professionals or from purchasing or underwriting any bonds for which they served as an advisor. Importantly, the bill states that a school district is not obligated to hire an advisor if they cannot find a qualified candidate after reasonable efforts.

Statutes affected:
Introduced Version: 15-492
House Engrossed Version: 15-492
Senate Engrossed Version: 15-492