If a school district collects revenues beyond its allowable limits DPI must first reduce a district s general school aid, then categorical aid, and finally the school property tax levy.
State law requires that debt service taxes to repay general obligation bonds be irrepealable.
Therefore, the department recommends that the taxes levied to pay principal and interest on valid bonds or notes be made irrepealable and thus permit school districts to borrow money and issue bonds as long as the debt service is accommodated within the revenue limits.