2015 Oregon Revised Statutes
Volume : 09 - Education and Culture
Chapter 327 - State Financing of Elementary and Secondary Education
Section 327.660

[1963 c.570 §2; 1965 c.100 §41; 1983 c.740 §100; repealed by 1985 c.388 §3]

Note: Sections 18 and 19, chapter 107, Oregon Laws 2014, provide:

Sec. 18. (1) As used in this section, "financially troubled school district" means a school district that:

(a) Has an accumulated negative balance for the general fund of the school district; and

(b) Does not have reserve funds that are sufficient to bring the balance of the general fund of the school district to a positive balance.

(2) A financially troubled school district may request the Department of Education to provide financial assistance to the school district as provided by this section.

(3) Upon receiving a request for financial assistance from a financially troubled school district, the department shall review the school district’s financial condition and the causes that led to the school district’s financial situation.

(4)(a) If the department agrees with the request made by a financially troubled school district for financial assistance, the department may recommend to the Superintendent of Public Instruction that financial assistance be provided to the school district.

(b) The Superintendent of Public Instruction may provide financial assistance to a financially troubled school district by entering into an agreement with the school district to make a loan to the school district. A loan made as provided by this paragraph:

(A) May not exceed $400,000;

(B) Shall be interest free;

(C) Must be repaid within four years after entering into the agreement or by December 31, 2018, whichever is earlier; and

(D) Must be repaid from amounts that otherwise would have been distributed to the school district from the State School Fund.

(5) The Superintendent of Public Instruction shall transfer to the State School Fund any amounts repaid by a financially troubled school district for a loan made under this section.

(6) A school district that receives financial assistance under this section shall submit quarterly financial reports to the department for review until the loan is repaid in full.

(7) The Superintendent of Public Instruction, on recommendation of the department, may order changes in the financial policies of the school district until the loan is repaid in full. [2014 c.107 §18]

Sec. 19. Section 18 of this 2014 Act is repealed on December 31, 2018. [2014 c.107 §19]