TRUST FUNDS
24.60
24.60
Definitions. In this subchapter, unless the context indicates otherwise:
24.60(1)
(1) "Consortium" means an association of 2 or more of any of the following entities for the purpose of implementing, expanding or participating in a distance education or educational technology project:
24.60(1)(c)
(c) A county, if the county acts on behalf of a county library board that has adopted a resolution under
s. 24.66 (3m).
24.60(1)(d)
(d) A city, village or town, if the city, village or town acts on behalf of a municipal library board that has adopted a resolution under
s. 24.66 (3m).
24.60(1g)
(1g) "Distance education" means instruction that takes place, regardless of the location of a teacher or student, by means of telecommunications or other means of communication, including cable, instructional television fixed service, microwave, radio, satellite, computer, telephone or television.
24.60(1r)
(1r) "Educational technology" means technology used in the education or training of any person or in the administration of an elementary or secondary school or a public library.
24.60(1v)
(1v) "Federated public library system" means a federated public library system whose territory lies within 2 or more counties.
24.60(2)
(2) "Municipality" means a town, village, city, county, public inland lake protection and rehabilitation district, town sanitary district created under
s. 60.71, metropolitan sewerage district created under
s. 200.05 or
200.23, joint sewerage system created under
s. 281.43 (4), school district or technical college district.
24.60(5)
(5) "Trust funds" means the common school fund, the normal school fund, the university fund and the agricultural college fund.
24.605
24.605
Accounts in trust funds for deposit of proceeds from sale of certain lands. The board shall establish in each of the trust funds an account to which are credited the proceeds from the sale of any public lands on or after May 3, 2006, that are required by law to be deposited in the funds. Moneys credited to the accounts in the funds may only be used to invest in land under
s. 24.61 (2) (a) 10. and for the payment of expenses necessarily related to investing in land under
s. 24.61 (2) (a) 10.
24.605 History
History: 2005 a. 352.
24.61
24.61
Authorized investments and loans. 24.61(1)
(1)
Investments and loans; separate accounts. The board shall loan or invest moneys belonging to the trust funds as those moneys accumulate in the treasury. The board shall keep a separate account of all investments and loans from each fund.
24.61(2)(a)(a)
Authorized investments by board. The board may invest moneys belonging to the trust funds in the purchase of any of the following:
24.61(2)(a)2.
2. Securities issued under the provisions of the federal farm loan act of July 17, 1916, (
12 USC 641, et seq.) or the farm credit act of 1971 (
P.L. 92-181).
24.61(2)(a)4.
4. Bonds issued pursuant to law by any town, village, city, county or school district of this state.
24.61(2)(a)6.
6. Bonds of the University of Wisconsin Hospitals and Clinics Authority.
24.61(2)(a)10.
10. Land in this state, but subject to the condition established under
par. (cm).
24.61 Note
NOTE: Subd. 10m. was created as subd. 10. by
2005 Wis. Act 335 and renumbered by the revisor under s. 13.93 (1) (b).
24.61(2)(b)
(b)
Deposited with secretary of administration. All bonds, notes, and other securities purchased under
par. (a) shall be deposited with the secretary of administration.
24.61(2)(c)
(c)
Delegation of investment authority to investment board. The board may delegate to the investment board the authority to invest part or all of the moneys belonging to the trust funds. If the board delegates the authority, the investment board may invest the moneys belonging to the trust funds in any fixed income investment or fund that invests only in fixed income instruments.
24.61(2)(cm)
(cm)
Investments in land in this state. The board may not invest moneys in the purchase of any land under
par. (a) 10. unless all of the following occur:
24.61(2)(cm)1.
1. The land is within any applicable consolidation area approved by the board.
24.61(2)(cm)2.
2. The total acreage of public lands managed by the board does not exceed the total acreage of public lands managed by the board on May 3, 2006.
24.61(2)(cm)3.
3. The board determines that the purchase of the land will improve timberland management, address forest fragmentation, or increase public access to the land.
24.61(3)(a)(a)
Authorized loans. The board may loan moneys under its control or belonging to the trust funds to:
24.61(3)(a)1.
1. A school district by whatever name designated, to be used for any of the following:
24.61(3)(a)1.b.
b. Erecting and remodeling school buildings and teacherages.
24.61(3)(a)1.c.
c. Purchasing teacherages, teacherage sites, schoolhouse sites, bus garage sites, transportation vehicles, bus garages, school equipment and school playgrounds.
24.61(3)(a)1.d.
d. Refunding any indebtedness incurred for a lawful purpose within constitutional limitations.
24.61(3)(a)2.
2. A town, village, city or county as provided under
s. 67.04 or otherwise authorized by law.
24.61(3)(a)3.
3. A technical college district as provided under
s. 67.04 or otherwise authorized by law.
24.61(3)(a)4.
4. A public inland lake protection and rehabilitation district for the purposes of the exercise of its powers under
s. 33.22.
24.61(3)(a)5.
5. A town sanitary district created under
s. 60.71 for the purposes for which the district may issue its bonds under
s. 60.78.
24.61(3)(a)6.
6. A metropolitan sewerage district created under
s. 200.05, as provided under
s. 67.04 or otherwise authorized by law.
24.61(3)(a)7.
7. A metropolitan sewerage system created under
s. 200.23, as provided under
s. 67.04 or otherwise authorized by law.
24.61(3)(a)10.
10. A cooperative educational service agency representing 2 or more school districts in the area served by the agency for the purpose of conducting a distance education project by the school districts.
24.61(3)(b)
(b)
Terms; conditions. A municipality, cooperative educational service agency, or federated public library system may obtain a state trust fund loan for the sum of money, for the time and upon the conditions as may be agreed upon between the board and the borrower, subject to the limitations, restrictions, and conditions set forth in this subchapter.
24.61(3)(c)
(c)
Reserve for school districts; priority for certain school districts. 24.61(3)(c)1.1. To the extent practicable, in the 1989-90 to 1992-93 fiscal years, annually the board shall reserve an amount equal to at least 50% of the money available for loans under this subchapter for loans to school districts.
24.61(3)(c)2.
2. The board shall give first priority for loans to school districts under this subchapter to school districts that meet all of the following criteria:
24.61(3)(c)2.a.
a. The school board is subject to an order issued by the state superintendent of public instruction under
s. 115.33 (3) after December 31, 1991, regarding noncompliance with the standard under
s. 121.02 (1) (i).
24.61(3)(c)2.b.
b. The school district's equalized valuation divided by its membership in the previous school year is less than 50% of the statewide average for all school districts. In this paragraph, "equalized valuation" has the meaning given in
s. 121.004 (2) and "membership" has the meaning given in
s. 121.004 (5).
24.61(3)(c)2.c.
c. The school district's levy rate in the previous year is greater than 140% of the statewide average for all school districts.
24.61(3)(d)
(d)
Reserve for loans for educational technology and distance education projects. Subject to the priority established under
par. (c), to the extent practicable, in fiscal years 1996-97 to 2002-03, annually the board shall reserve $15,000,000 for the purposes of giving priority to loans to school districts, counties, municipalities and consortia, other than consortia that include one or more technical college districts, for educational technology and distance education projects.
24.61(4)
(4) Loan limitations. Notwithstanding
sub. (3), the board may not loan moneys to a county unless the governing body of the county demonstrates to the board's satisfaction that
s. 67.045 (1) (a),
(b),
(c),
(d),
(e) or
(f) applies.
24.61(5)
(5) Loans to consortia or cities, villages or towns served by joint library boards. Whenever a consortium applies for a loan under
sub. (3), or whenever a group of cities, villages or towns served by a joint county or municipal library board applies for a loan for an educational technology or distance education project, the board shall treat the application as a loan to each of the members of the consortium or each city, village or town served by a county or municipal library board in an amount equal to the total amount of the loan divided equally by the number of members of the consortium or the number of cities, villages and towns served by the library board, unless all members of the consortium or all cities, villages and towns served by a joint library board agree to a different arrangement specified by the members or cities, villages and towns on their applications. The procedure for application, approval and repayment of the loan by each member of a consortium or group under this subsection shall be the same as provided in this subchapter for application, approval and repayment of a loan to that member individually, except that the loan shall not be made unless all members qualify.
24.61(7)
(7) Loans to cooperative educational service agencies. Whenever a cooperative educational service agency applies for a loan under
sub. (3), the board shall treat the application as a loan to each of the school districts on behalf of which the loan is sought in an amount equal to the total amount of the loan divided equally by the number of school districts, unless the cooperative educational service agency specifies on its application a different arrangement that has been agreed to by all school districts for which the loan is sought. The board shall not make the loan unless each school district for which the loan is sought qualifies for a loan in the amount specified in this subsection, or a different amount if that amount is specified on the application. If the cooperative educational service agency fails to make a timely repayment of the principal or payment of the interest on the loan, each school district for which the loan is made is liable to repay the principal and pay the interest in the amount determined under this subsection.
24.62(1)(1) Except as authorized in
sub. (2), the board shall deduct its expenses incurred in administering investments and loans under
s. 24.61 from the gross receipts of the fund to which the interest and income of the investment or loan will be added.
24.62(2)
(2) The board may charge its expenses incurred in the sale of a state trust fund loan or participation therein under
s. 24.69 to the purchaser of the loan or participation, or may deduct the expenses from the gross receipts of the fund to which the interest and income of the loan or participation will be added, or both. If the board sells any state trust fund loan or participation therein under
s. 24.69 in any fiscal year, the board shall, no later than October 1 following that fiscal year, prepare and file in its office a report which identifies in detail the board's expenses incurred during that fiscal year that are directly attributable to the sale of state trust fund loans and participations under
s. 24.69.
24.62(3)
(3) If any land purchased under
s. 24.61 (2) (a) 10. was at the time of purchase subject to assessment or levy of a real property tax, the board shall make annual payments in lieu of property taxes from the proceeds from the sale of timber or from appropriate trust fund incomes to the appropriate local governmental unit in an amount equal to property taxes levied on the land in the year prior to the year in which the board purchased the land.
24.62 History
History: 1979 c. 34;
1981 c. 169; Stats. 1981 s. 24.62;
1989 a. 31;
2005 a. 352.
24.63
24.63
Term, amount, interest rate. 24.63(1)
(1)
Loans other than to school districts. A state trust fund loan, other than a loan to a school district, may be made for any term not exceeding 20 years and may be made payable in installments. A state trust fund loan to a municipality other than a school district shall be in an amount which does not, together with all other indebtedness of the municipality applying for the loan, exceed 5% of the valuation of the taxable property within the municipality as equalized for state purposes. If a state trust fund loan is made to pay off existing indebtedness, it may be advanced to the borrower in installments as fast as the indebtedness or the evidence of indebtedness is canceled.
24.63(2)
(2) School district loans. A state trust fund loan to a school district may be made for any time, not exceeding 20 years, as is agreed upon between the school district and the board, and for an amount which, together with all other indebtedness of that district, does not exceed its allowable indebtedness as determined under
s. 67.03 (1).
24.63(2m)
(2m) Cooperative educational service agency loans. A state trust fund loan to a cooperative educational service agency may be made for any term, not exceeding 20 years, as is agreed upon between the agency and the board, and for a total amount which, for each school district for which the loan is sought, in the proportion determined under
s. 24.61 (7), together with all other indebtedness of the school district, does not exceed the school district's allowable indebtedness under
s. 67.03 (1).
24.63(2r)
(2r) Federated public library system loans. A state trust fund loan to a federated public library system may be made for any term, not exceeding 20 years, that is agreed upon between the federated public library system and the board and may be made for a total amount that, together with all other indebtedness of the federated public library system, does not exceed the federated public library system's allowable indebtedness under
s. 43.17 (9) (b).
24.63(3)
(3) Interest rates. All state trust fund loans shall bear and draw interest at a rate not less than 2% payable annually.
24.63(4)
(4) Repayment before due date permitted. Any borrower after March 15 and prior to August 1 of any year may repay one or more installments of a state trust fund loan in advance of the due date, and all interest upon such advance payment shall thereupon terminate. The board may charge a borrower who repays one or more installments of a loan a fee to cover any administrative costs incurred by the board in originating and servicing the loan.
24.64
24.64
Reimbursements for certain administrative services. The board shall reimburse the department of administration, from the appropriation account under
s. 20.507 (1) (h), for the costs of administrative services provided by the department of administration and other state agencies to the board.
24.64 History
History: 1999 a. 9.
24.65
24.65
Date when interest and principal become due. The annual interest and installments of principal of all state trust fund loans are payable into the state treasury on or before the date specified in
s. 24.70 (4) or
24.71 (4).
24.65 History
History: 1975 c. 224;
1979 c. 221;
1981 c. 169; Stats. 1981 s. 24.65;
1987 a. 76,
378.
24.66
24.66
The application.
