Short-Term Notes
The Board, as it deems necessary, may adopt a resolution authorizing the borrowing of money for school purposes. Tax receipts may be pledged and committed for the repayment of such loans.
The aggregate amount of all such loans outstanding at any one time shall not exceed 75% of the total property tax revenue collected by the Board in the previous year. Such loans shall be payable on or before December 31 of the calendar year in which the loan was made. The Board shall not incur in any one calendar year an aggregate of loans, contracts, notes, or other obligations for current expenses in excess of the total anticipated revenue for such calendar year.
The resolution authorizing the borrowing of funds shall state the amount of money to be borrowed, the length of time the money is to be used, the interest rate to be paid, the purpose for which the money is to be borrowed, and from whom the money is to be borrowed.
After the resolution has been adopted by the Board, the Board Chair and the Superintendent shall execute a note or notes in the name of the Board consistent with the resolution.
Legal References
- Ga. Const. Art. IX, ยง V, Para. V — Temporary loans authorized (Lexis)
- O.C.G.A. 20-02-0390 — Power of county boards (Lexis)
- O.C.G.A. 20-02-0391 — Loan resolution (Lexis)
- O.C.G.A. 20-02-0396 — Use of borrowed money (Lexis)