The Honorable David A. Millage

*1 You have requested an opinion of the Attorney General concerning the possible conversion of a special education school into an elementary education facility. You have indicated that if the special education school is converted to an elementary facility, the children who are currently educated at the special education school will be integrated into schools throughout the school district in the least restrictive environment which is available for each child.

*1 Specifically you have asked the following questions:

*1 In May and December of 1975 the voters of the Davenport Community School District defeated a school bond proposal calling for the building and furnishing of a new special education building for handicapped students and for a new elementary school building. However, in August of 1976 the voters of the district passed a referendum calling for the building and furnishing of a new special education building. The question considered by the voters was as follows:

*1 As a result of the successful referendum, bonds were issued, and the funds received from the sale of the bonds were used to build the Truman School for the Severely and Profoundly Handicapped. The last bond payment was made by the district in June of 1992.

*2 The affairs of each school corporation are to be conducted by the school board consistent with the powers given to the corporation by law. Iowa Code §§ 274.1, 274.7 (1991). We find no statutory provision which would prevent the Davenport School Board from now authorizing the Truman School to be used as an elementary school building. The bonded indebtedness on the Truman School building has been fully paid. The fact that a school building was constructed with bond proceeds from bonds issued for a particular purpose should not permanently restrict the use of the building. Cf. Barclay v. School Township of Wapsinonoc, 157 Iowa 181, 138 N.W. 395, 397 (1912) (taxpayer had no vested right to have a school building used for the purpose for which it was constructed when voters had directed the disposition of the building.) The needs of a school district can be expected to change substantially over time, and the useful life of a school building is likely to span several changes in circumstances. Based upon the facts which you have presented, it is our opinion that the Davenport School Board may now authorize the use of the Truman School as an elementary school facility.¹

*2 You have also inquired as to whether the Davenport School Board had the power to change the use of the Truman School to an elementary education facility prior to paying the bonds in full when the bonds were issued for the particular purpose of building a school for handicapped children. Under Iowa's statutory scheme both the school board and the voters have powers related to the disposition and acquisition of school buildings. The school board may sell, lease, or dispose of a schoolhouse which belongs to the district. Iowa Code § 297.22 (1991). The school board may also dispose of funds from the sale of a schoolhouse without a vote of the electorate provided that the funds are used to acquire additional school sites or for the erection or repair of schoolhouses. Iowa Code § 279.41. Indebtedness for the purpose of purchasing, building and repairing schoolhouses must, however, be approved by the voters. Iowa Code § 296.1. The purpose of a bond issue must be stated. Iowa Code § 296.2. The voters may also direct the sale, lease or other disposition of any schoolhouse and the purpose for which the proceeds will be used. Iowa Code § 278.1(2). Iowa Code section 296.13 restricts the use to which bond proceeds and the proceeds of taxes certified to pay principal and interest on bonded indebtedness may be applied unless the electors authorize the proceeds to be used for a different purpose. While no specific statute directly addresses the question of changing the use of a school building, surely the legislature intended that if a school board has the authority to sell or dispose of school buildings it also inherently has the authority to decide how a school building is used.

*2 The Iowa Supreme Court has not construed these sections in the context of the question which you have raised, but it is our opinion that a school board may direct that a building constructed with bond proceeds be used for an alternative educational purpose in order to meet the changing needs of the district. Cf. Silverman v. Board of Education of Millburn Township, 134 N.J Super. 253, 339 A.2d 233, 237-38, (aff'd 136 N.J. Super. 344 A.2d 611 (1975)). (The court allowed a school board to change the use of the facility prior to completing bond payments where the purpose of the bond issue had been fulfilled and changed circumstances supported the different use.) Whether circumstances render the Truman School unsuitable or unnecessary for the education of handicapped children and more suitable for another purpose is for the local school board to determine. A court would not likely reverse the exercise of a school board's discretion in the absence of some showing of fraud, arbitrary action or abuse of discretion. Carson v. State, 240 Iowa 1178, 38 N.W.2d 168, 176 (Iowa 1949). Electors dissatisfied with the decision of the school board may express their dissatisfaction at the next school board election.²

*3 You have also asked whether state or federal law prohibits the use of a segregated facility to educate handicapped children. Both state and federal law generally require that a school district meet each child's educational needs within the least restrictive environment available. See 20 U.S.C.A. § 1412(3)-(5) (West Supp. 1992); Iowa Code § 281.2(3) (1991). This standard is clearly expressed in Iowa Code § 282.2(3) which provides in part:

*3 Accordingly, applicable laws do not prohibit the use of separate facilities for the education of handicapped children, but do require that each child's needs be considered and that each child be educated in the least restrictive environment available which is appropriate for that child.