AGO 81-037.

• Case Date: April 06, 1981
• Court: North Dakota

North Dakota Attorney General Opinions 1981. AGO 81-037. OPINION 81-37Date Issued: April 6, 1981 (AGO 81-37) Requested by: Arne F. Boyum, Rolette County State's Attorney- QUESTION PRESENTED - Whether a school district is authorized to become custodian of the school district's building fund.- ATTORNEY GENERAL'S OPINION - It is my opinion that a school district is authorized to become custodian of the school district's building fund. - ANALYSIS - Section 57-15-17(1)(c) of the North Dakota Century Code, concerning disposition of the building fund tax, states as follows:

Such funds shall be paid out by the custodian thereof only upon order of the school board, signed by the president and the clerk of said school district, and such order must recite upon its face the purpose for which such payment is made.

This section does not state who can be the custodian of a school district's building fund. However, section 57-15-17(1)(a), N.D.C.C., does provide that the school building fund "shall be deposited, held, or invested in the same manner as the sinking funds of such school district . . ." (Emphasis supplied). Section 21-03-40, N.D.C.C., states as follows:

21-03-40. SINKING FUNDS - CUSTODIAN. The county treasurer shall be custodian of each sinking fund for the payment of bonds issued by each taxing district within the county except in case of any city or park district which upon the passage of a resolution by the school board chooses to have its clerk be custodian of such sinking fund. In the case of any city or park district having a population of more than one thousand, or a school district approving a resolution as provided in this section, the city auditor, park district treasurer, or school district clerk of the respective city, park district, or school district shall be custodian of each of its sinking funds.

This section provides that a school...