SENATE FLOOR SUBSTITUTE FOR

SENATE BILL 6

51st legislature - STATE OF NEW MEXICO - second session, 2014

AN ACT

RELATING TO PUBLIC SCHOOLS; MAKING LOCALLY AND STATE-CHARTERED CHARTER SCHOOLS ELIGIBLE TO RECEIVE A PRORATED SHARE OF EDUCATION TECHNOLOGY EQUIPMENT PURCHASED THROUGH ISSUANCE OF EDUCATIONAL TECHNOLOGY NOTES.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:

     SECTION 1. Section 6-15A-1 NMSA 1978 (being Laws 1997, Chapter 193, Section 1) is amended to read:

     "6-15A-1. SHORT TITLE.--[Sections 1 through 16 of this act] Chapter 6, Article 15A NMSA 1978 may be cited as the "Education Technology Equipment Act"."

     SECTION 2. Section 6-15A-3 NMSA 1978 (being Laws 1997, Chapter 193, Section 3, as amended) is amended to read:

     "6-15A-3. DEFINITIONS.--As used in the Education Technology Equipment Act:

          A. "debt" means an obligation payable from ad valorem property tax revenues or the general fund of a school district and that may be secured by the full faith and credit of a school district and a pledge of its taxing powers;

          B. "department" means the public education department;

          [B.] C. "education technology equipment" means tools used in the educational process that constitute learning and administrative resources and may include:

                (1) closed-circuit television systems, educational television and radio broadcasting, cable television, satellite, copper and fiber-optic transmission, computer, network connection devices, digital communications equipment (voice, video and data) servers, switches, portable media such as discs and drives to contain data for electronic storage and playback, software licenses or other technologies and services, maintenance, equipment and computer infrastructure information, techniques and tools used to implement technology in schools and related facilities; and

                (2) improvements, alterations and modifications to, or expansions of, existing buildings or personal property necessary or advisable to house or otherwise accommodate any of the tools listed in Paragraph (1) of this subsection;

          D. "eligible charter school" means a locally chartered or state-chartered charter school located within the geographic boundaries of a school district that timely provides the necessary information to identify the lease-purchase education technology equipment for use in the charter school to be included in the local school board resolution for lease-purchase of education technology equipment;

          [C.] E. "lease-purchase arrangement" means a financing arrangement constituting debt of a school district pursuant to which periodic lease payments composed of principal and interest components are to be paid to the holder of the lease-purchase arrangement and pursuant to which the owner of the education technology equipment may retain title to or a security interest in the equipment and may agree to release the security interest or transfer title to the equipment to the school district for nominal consideration after payment of the final periodic lease payment. "Lease-purchase arrangement" also means any debt of the school district incurred for the purpose of acquiring education technology equipment pursuant to the Education Technology Equipment Act whether designated as a general obligation lease, note or other instrument evidencing a debt of the school district;

          [D.] F. "local school board" means the governing body of a school district; and

          [E.] G. "school district" means an area of land established as a political subdivision of the state for the administration of public schools and segregated geographically for taxation and bonding purposes."

     SECTION 3. A new section of the Education Technology Equipment Act is enacted to read:

     "[NEW MATERIAL] CHARTER SCHOOLS--RECEIPT OF EDUCATION TECHNOLOGY EQUIPMENT.--After July 1, 2014, a school district that assumes debt under the provisions of the Education Technology Equipment Act shall provide, to each eligible charter school in the school district, education technology equipment equal in value to an amount based upon the debt prorated by the number of students enrolled in the school district and eligible charter schools as reported on the first reporting date of the prior school year; provided that, in the case of an approved eligible charter school that had not commenced classroom instruction in the prior school year, the estimated full-time-equivalent enrollment in the first year of instruction, as shown in the approved charter school application, shall be used to determine the amount, subject to adjustment after the first reporting date."

     SECTION 4. EFFECTIVE DATE.--The effective date of the provisions of this act is July 1, 2014.

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