(1) The board of directors of a second-class school district shall build schoolhouses and teachers' cottages when directed by a vote of the district to do so and may purchase real property for any school district purpose. (2) The board of directors of a second-class nonhigh school district that is totally surrounded by water and serves fewer than forty students also may authorize the construction of teachers' cottages without a vote of the district using funds from the district's capital projects fund or general fund. Rental and other income from the cottages, including sale of the cottages, may be deposited, in whole or in part, into the school district's general fund, debt service fund, or capital projects fund as determined by the board of directors.
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