15.1-07 School Districts
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of this title. Each school district is a body corporate. Each school district may sue
and be sued, contract, and convey any real and personal property that comes into its
possession.2.The board of education of the city of Fargo is a body corporate. It has the power to
sue and be sued and to contract with others. It possesses all the powers usual and
incidental to a body corporate.15.1-07-02. School district - Name change.1.In order for the name of a school district to be changed, the question must be placed
before and approved by a majority of the district's qualified voters at a district
election. The school board may place the question on the ballot by resolution and
shall place the question on the ballot if it receives a petition signed by qualified
electors of the district equal in number to at least one-third of those who voted at the
most recent annual school district election.2.The proposed name change must include the phrase "school district" or "public
school district" and may include no more than two additional words.3.If a majority of the district's qualified voters approve the name change, the district
must be renamed accordingly.4.The business manager of the district shall provide notification of the new name to
the county auditor, the county superintendent of schools, and the superintendent of
public instruction.15.1-07-03. District's limit of indebtedness - Resolution.1.The board of a school district may by resolution place on the ballot of any regular or
special election the question of increasing the district's limit of indebtedness, beyond
that fixed by the constitution, by five percent of the assessed valuation of all taxable
property in the district.2.The board of a school district shall place on the ballot of the next regular or special
election the question of increasing the district's limit of indebtedness, beyond that
fixed by the constitution, by five percent of the assessed valuation of all taxable
property in the district, if the board receives a petition requesting the increase and
signed by qualified electors of the district equal in number to at least one-third of
those who voted at the most recent annual school district election.15.1-07-04. District's limit of indebtedness - Election - Notice. If an election is toinclude a question regarding an increase in the school district's limit of indebtedness, the board of
the school district shall ensure that the question is clearly stated in the notice of election. If the
board calls a special election to vote on the question of increasing the district's limit of
indebtedness, the board shall publish notice of the election in the official newspaper of the
district, at least fourteen days before the date of the election.15.1-07-05.District's limit of indebtedness - Ballot.In an election to increase aschool district's limit of indebtedness, the ballots must state the question in clear and concise
language.Page No. 115.1-07-06. District's limit of indebtedness - Increase. If a majority of the votes castare in favor of increasing the school district's limit of indebtedness, the limit is raised to ten
percent of the assessed valuation of all taxable property in the district.15.1-07-07.District's limit of indebtedness - Increase - Notification of countyauditor. If a majority of the votes cast are in favor of increasing the school district's limit of
indebtedness, the president of the school board and the school district business manager shall
inform the county auditor, in writing, of the election results and of the fact that the district's limit of
indebtedness has been increased to ten percent of the assessed valuation of all taxable property
in the district.15.1-07-08. School district funds - Transfers. At the time of preparing the annualbudget, a school board, by resolution, may transfer from the general fund of the district the
amount of money, in whole or in part, by which the balance in the general fund exceeds the
amount that would be required for the general reserve fund in the ensuing fiscal year, into any
sinking funds of the district established and held for the payment of outstanding bonds.15.1-07-09. Sinking fund - Transfers - Increases. If a school board transfers moneyinto a sinking fund, the board may not consider the money to be cash on hand when computing
the budget for the ensuing fiscal year. A school board may not through transfers increase a
sinking fund to the extent that the sinking fund is greater than the amount needed to pay the
bond issue in full.15.1-07-10. Activities fund. The board of a school district shall establish an activitiesfund for the support of school-related extracurricular activities.The school district businessmanager shall deposit all receipts from extracurricular activities in the activities fund.Thebusiness manager shall submit to the school board a monthly report of receipts, expenditures,
and balances in the activities fund.15.1-07-11. Incidental revolving fund. The board of a school district may establish arevolving fund from which to pay incidental expenses. The board shall establish the amount to
be retained in the incidental fund and must draw the amount from the general fund of the district.
The school district superintendent or another school administrator designated to draw checks on
the fund shall submit a monthly report to the school board listing the checks drawn, the payee,
and the purpose for which each check was drawn.15.1-07-12.Negotiable instruments - Disbursement of moneys by businessmanager.1.a.The board of a school district may adopt policies governing the disbursement of
school district moneys by the business manager.b.The policies adopted under subdivision a may include:(1)The authorization, creation, and approval of negotiable instruments;(2)The use of credit or debit cards;(3)The payment of invoices;(4)The use of petty cash;(5)The use of electronic payments; and(6)The use of facsimile signatures.c.The policies adopted under subdivision a must include internal controls to
safeguard school district moneys.Page No. 22.If the board of a school district has not adopted policies to govern the disbursement
of school district moneys by the business manager, the business manager may
disburse moneys only by issuance of a negotiable instrument upon presentation of a
bill or invoice, the payment of which has been authorized by the president of the
school board, and only if there are sufficient moneys available for the disbursement.
Upon issuing a negotiable instrument, the business manager shall make a record of
the instrument.15.1-07-13. Negotiable instruments - Cancellation - Description in minutes. Theboard of a school district, at a regular meeting, may cancel all negotiable instruments that have
remained unpaid for one year or more. Before canceling a negotiable instrument, the board shall
enter in its minutes a brief description of the instrument, including the name of the payee, and the
number, date, and amount of each instrument to be canceled. If any party entitled to payment
appears and shows cause for the delay in presenting the instrument for payment, the board may
issue a new instrument in the amount to which the party is entitled, unless the board is barred
from so doing by the statute of limitations.15.1-07-14. Qualified elector.1.An individual who is a qualified elector of this state may:a.Vote to elect board members for the school district in which the individual
resides.b.Serve as a board member for the school district in which the individual resides.c.Serve as a judge or clerk of election for the school district in which the
individual resides.d.Serve as the business manager of a school district.2.For the purposes of elections held under this chapter, an individual residing on a
military installation is deemed to be a resident of a school district if the school district
admits students from the military installation pursuant to a contract and receives
impact aid pursuant to Public Law No. 81-874 [64 Stat. 1100; 20 U.S.C. 236 et seq.],
as amended.15.1-07-15. School district election - Violation - Penalty. An individual who willfullyviolates the provisions of this title in relation to elections is guilty of a class A misdemeanor.15.1-07-16. New district - Enumeration. The board of a school district organized afterthe annual enumeration has been taken shall proceed immediately to take the enumeration, as
provided by law, and after receipt of the enumeration by the superintendent of public instruction,
the newly organized district shall receive its share of apportioned funds.15.1-07-17. School district contracts - Conflict of interest - Penalty.1.A school board member or other school officer who has a conflict of interest in any
contract requiring the expenditure of school funds shall disclose the conflict to the
board and may not participate in any discussions or votes regarding that contract
without the consent of all other board members.2.For purposes of this section, a conflict of interest means the personal, professional,
or pecuniary interest of an individual, the individual's spouse or relative, or the
individual's business or professional associate.3.Any person who violates this section is guilty of a class A misdemeanor.Page No. 315.1-07-18. Offer of reward - Purchase of school supplies - Penalty. It is a class Amisdemeanor for any person to give or offer to a county superintendent of schools, a school
board member, or a school district employee a commission, fee, or other reward for the purchase
by the district of any textbooks, furniture, or school supplies.15.1-07-19.Reward for purchase of school supplies - Penalty.It is a class Bmisdemeanor for a county superintendent of schools, a school board member, or a school district
employee to accept a commission, fee, or other reward for the purchase by the district of any
textbooks, furniture, or school supplies.15.1-07-20. School vehicle driver - Requirements.1.a.Except as otherwise provided in this subsection, if an individual transports
students or other passengers in a school vehicle for which a commercial
driver's license is not required, the individual must:(1)Hold a North Dakota driver's license;(2)Be free from communicable diseases;(3)Be in good physical health and have normal use of both hands, both feet,
both eyes, and both ears;(4)Be of sound mental health;(5)Pass any drug and alcohol screening tests required by the school board;
and(6)Be at least twenty-one years of age, unless the board of a school district
determines that an individual not meeting this requirement can safely and
adequately perform the required duties.b.If the vehicle being used to transport students or other passengers under this
subsection is a school vehicle for which a commercial driver's license is not
required, but which is designed to seat ten to fifteen passengers, the individual
must:(1)Hold a North Dakota driver's license;(2)Meet the physical and medical requirements established for commercial
vehicle drivers;(3)Complete any annual training required by the superintendent of public
instruction; and(4)Be at least twenty-one years of age, unless the board of a school district
determines that an individual not meeting this requirement can safely and
adequately perform the required duties.2.The board of a school district may request, at any time, that a health care
professional designated by the board examine an individual to determine if the
individual meets the physical and medical requirements of subsection 1.Anyexamination costs that remain after application of the individual's insurance
coverage are the responsibility of the board.15.1-07-21. School district business manager - Duties. The business manager of aschool district shall:1.Keep a true and accurate record of all school board proceedings.Page No. 42.Hold all books and records of the district and deliver them to the business manager's
successor in office.3.Prepare and submit an annual report to the board and to the county superintendent
of schools.4.Authorize the preparation of all negotiable instruments as directed by the board.5.Perform all duties required by law.6.Perform duties required by the board.7.Keep true and accurate district financial records.8.Prepare and submit a school district financial report to the board quarterly or in the
case of a business manager for a district having only one-room or two-room schools,
to submit the report at the request of the board.9.Produce all district financial records when directed to do so by the board.10.Maintain custody of all district moneys coming into the business manager's hands.11.Pay out district moneys under the business manager's control as directed by the
board.12.Receive and maintain custody of all moneys to which the district or the board is
entitled.15.1-07-22.School district business manager - Affirmation or oath of office.Repealed by S.L. 2001, ch. 161,