Bill Text: GA HB1465 | 2009-2010 | Regular Session | Introduced
NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: College Park, City of; Water and Sewer Authority; create
Spectrum: Partisan Bill (Democrat 3-0)
Status: (Vetoed) 2010-06-04 - Veto V27 [HB1465 Detail]
Download: Georgia-2009-HB1465-Introduced.html
Bill Title: College Park, City of; Water and Sewer Authority; create
Spectrum: Partisan Bill (Democrat 3-0)
Status: (Vetoed) 2010-06-04 - Veto V27 [HB1465 Detail]
Download: Georgia-2009-HB1465-Introduced.html
10 LC
37 1059
House
Bill 1465
By:
Representatives Fludd of the
66th,
Heckstall of the
62nd,
and Long of the
61st
A
BILL TO BE ENTITLED
AN ACT
AN ACT
To
create the City of College Park Water and Sewer Authority and to provide for the
membership of the authority; to confer powers upon the authority; to authorize
the issuance of revenue bonds of the authority payable from the revenues, tolls,
fees, fines, charges, and earnings of the authority, contract payments to the
authority, and other moneys pledged therefor and authorize the collection and
pledging of the revenues, tolls, fees, fines, charges, and earnings of the
authority for the payment of such revenue bonds; to authorize the execution of
resolutions and trust indentures to secure the payment of the revenue bonds of
the authority and to define the rights of the holders of such obligations; to
make the revenue bonds of the authority exempt from taxation; to fix and provide
the venue and jurisdiction of actions relating to any provisions of this Act; to
provide for the validation of bonds; to provide for an effective date; to
repeal conflicting laws; and for other purposes.
BE
IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:
SECTION
1.
Short title.
Short title.
This
Act shall be known and may be cited as the "City of College Park Water and Sewer
Authority Act."
SECTION
2.
City of College Park Water and Sewer Authority created.
City of College Park Water and Sewer Authority created.
(a)
There is hereby created a public body corporate and politic to be known as the
"City of College Park Water and Sewer Authority," which shall be deemed to be a
political subdivision of the state and a public corporation, and by that name,
style, and title such body may contract and be contracted with, sue and be sued,
implead and be impleaded, and complain and defend in all courts of law and
equity. The authority shall have perpetual
existence.
(b) The authority shall consist of five members. The mayor and the members of the city council of the City of College Park shall be the members of the authority, ex-officio. The term of office as a member shall commence upon the commencement of the term of office as mayor or a member of the city council of the City of College Park and shall terminate upon termination of such term of office. Immediately upon the passage of this Act, the members of the authority shall enter upon their duties and as soon as is practicable thereafter shall hold an organizational meeting.
(c) The members of the authority shall not be entitled to compensation for their services but shall be entitled to reimbursement for their actual expenses necessarily incurred in the performance of their duties.
(d) The mayor of the City of College Park shall serve as ex-officio chairperson of the authority, the mayor pro tempore of the City of College Park shall serve as ex-officio vice chairperson of the authority, and the city clerk of the City of College Park shall serve as ex-officio secretary of the authority.
(e) Three members of the authority shall constitute a quorum. Any action may be taken by the authority upon the affirmative vote of a majority of the members. No vacancy on the authority shall affect the requirement that three members of the authority constitute a quorum.
(f) The authority shall have the power to establish bylaws and to promulgate and adopt rules and regulations necessary or desirable for the management and operation of the authority.
(b) The authority shall consist of five members. The mayor and the members of the city council of the City of College Park shall be the members of the authority, ex-officio. The term of office as a member shall commence upon the commencement of the term of office as mayor or a member of the city council of the City of College Park and shall terminate upon termination of such term of office. Immediately upon the passage of this Act, the members of the authority shall enter upon their duties and as soon as is practicable thereafter shall hold an organizational meeting.
(c) The members of the authority shall not be entitled to compensation for their services but shall be entitled to reimbursement for their actual expenses necessarily incurred in the performance of their duties.
(d) The mayor of the City of College Park shall serve as ex-officio chairperson of the authority, the mayor pro tempore of the City of College Park shall serve as ex-officio vice chairperson of the authority, and the city clerk of the City of College Park shall serve as ex-officio secretary of the authority.
(e) Three members of the authority shall constitute a quorum. Any action may be taken by the authority upon the affirmative vote of a majority of the members. No vacancy on the authority shall affect the requirement that three members of the authority constitute a quorum.
(f) The authority shall have the power to establish bylaws and to promulgate and adopt rules and regulations necessary or desirable for the management and operation of the authority.
SECTION
3.
Definitions.
Definitions.
As
used in this Act, the term:
(1)
"Authority" means the City of College Park Water and Sewer Authority created by
this Act.
(2)
"Cost of the project" means and embraces the cost of construction; the cost of
all lands, real and personal properties, rights, easements, and franchises
acquired; the cost of buildings, improvements, materials, labor, and services
contracted for; the cost of all machinery and equipment; financing charges;
capitalized interest prior to and during construction and for six months after
completion of construction; the cost of engineering, architectural, fiscal
agents and legal expenses, plans and specifications, and other expenses
necessary or incidental to determining the feasibility or practicability of the
project; administrative expenses and such other expenses as may be necessary or
incident to the financing authorized by this Act; working capital; and all other
costs necessary to acquire, construct, add to, extend, improve, equip, operate,
and maintain the project.
(3)
"Project" means (A) systems, plants, works, instrumentalities, and properties
used or useful in connection with the obtaining of a water supply and the
conservation, treatment, distribution, disposal, and sale of water for public
and private uses and used or useful in connection with the collection,
transmission, treatment, and disposal of sewage, waste, and storm water,
together with all parts of any such system, plant, work, instrumentality, and
property and appurtenances thereto, including lands, easements, rights in land,
water rights, contract rights, franchises, approaches, dams, reservoirs,
recreational facilities adjacent to such reservoirs, generating stations, sewage
disposal plants, interceptor sewers, trunk lines and other sewer and water
mains, filtration works, pumping stations, and equipment; and (B) any
undertaking permitted by the Revenue Bond Law.
(4)
"Revenue Bond Law" means the Revenue Bond Law of the State of Georgia codified
at O.C.G.A. Title 36, Chapter 82, Article 3 or any other similar law hereinafter
enacted.
(5)
"Revenue bonds" means revenue bonds authorized to be issued pursuant to this
Act.
(6)
"Self-liquidating" means any project for which the revenues and earnings to be
derived by the authority therefrom, including but not limited to any contractual
payments with governmental or private entities and all properties used, leased,
and sold in connection therewith, together with any grants, will be sufficient
to pay the costs of operating, maintaining, and repairing the project and to pay
the principal and interest on the revenue bonds or other obligations which may
be issued for the purpose of paying the costs of the project.
(7)
"State" means the State of Georgia.
(8)
"System" means all components utilized by the authority for the purpose of
providing services, including but not limited to real property, real property
improvements, equipment, materials, structures, and facilities.
SECTION
4.
Powers.
Powers.
The
authority shall have the power:
(1)
To have a seal and alter the same at its pleasure;
(2)
To acquire by purchase, lease, gift, condemnation, or otherwise and to hold,
own, operate, maintain, lease, sell, convey, and dispose of real and personal
property of every kind and character for its corporate purposes;
(3)
To acquire in its own name by purchase, on such terms and conditions and in such
manner as it may deem proper, or by condemnation, in accordance with the
provisions of any and all existing laws applicable to the condemnation of
property for public use, real property or rights or easements therein, or
franchises necessary or convenient for its corporate purposes, and to use the
same so long as its corporate existence shall continue; and to lease or make
contracts for the use, sale, or disposition of the same in any manner it deems
to the best advantage of the authority, the authority being under no obligation
to accept and pay for any property condemned under this Act, except from the
funds provided under the authority of this Act. In any proceedings to condemn,
such orders may be made by the court having jurisdiction of the suit, action, or
proceedings as may be just to the authority and to the owners of the property to
be condemned. No property shall be acquired under the provisions of this Act
upon which any lien or encumbrance exists, unless at the time such property is
so acquired a sufficient sum of money is to be deposited in trust to pay and
redeem the fair value of such lien or encumbrance;
(4)
To combine its water, storm-water, and sewerage facilities into one system and
to operate and maintain its facilities as such;
(5)
To appoint, select, and employ officers, agents, and employees, including
engineering, architectural, and construction experts, fiscal agents, and
attorneys, and fix their respective compensation;
(6)
To make and execute with public and private persons and corporations contracts,
leases, installment sales agreements, other agreements, and instruments
necessary or convenient in connection with the acquisition, construction,
addition, extension, improvement, equipping, operation, maintenance, lease, or
sale of a project or the system. Any and all persons, firms, and corporations;
the state and any institution, department, or other agency thereof; and any
county, municipality, school district, or other political subdivision or
authority of the state are hereby authorized to enter into contracts, leases,
installment sale agreements, other agreements, or instruments with the authority
upon such terms and for such purposes as they deem advisable and as they are
authorized by law; and without limiting the generality of the foregoing, the
authority is specifically granted to municipal corporations, counties, and other
political subdivisions and to the authority to enter into contracts, lease
agreements, installment sale agreements, or other undertakings relative to the
furnishing of services and facilities by the authority to such municipal
corporations, counties, and political subdivisions for a term not exceeding 50
years;
(7)
To acquire, construct, purchase, own, equip, operate, extend, improve, lease,
and sell any project;
(8)
To exercise the powers conferred upon a "public corporation" or a "public
authority" by Article IX, Section III, Paragraph I of the Constitution of
Georgia, the authority being hereby expressly declared to be a "public
corporation" or a "public authority" within the meaning of such
Paragraph;
(9)
To pay the cost of the project with the proceeds of revenue bonds or other
obligations issued by the authority or from any grant or contribution from the
United States of America or any agency or instrumentality thereof, from the
state or any agency or instrumentality or other political subdivision thereof,
or from any other source whatsoever;
(10)
To accept gifts and bequests for its corporate purposes;
(11)
To accept loans, grants, or loans and grants of money, materials, or property of
any kind from the United States of America or any agency or instrumentality
thereof, upon such terms and conditions as the United States of America or such
agency or instrumentality may require;
(12)
To accept loans, grants, or loans and grants of money, materials, or property of
any kind from the state or any agency or instrumentality or political
subdivision thereof, upon such terms and conditions as the state or such agency
or instrumentality or political subdivision may require;
(13)
To borrow money for any of its corporate purposes and to issue revenue bonds
payable solely from funds or revenues of the authority pledged for that purpose
and to pledge and assign any of its revenues, income, rent, charges, and fees to
provide for the payment of the same and to provide for the rights of the holders
of such revenue bonds;
(14)
To exercise any power usually possessed by private corporations performing
similar functions, provided that such power is not in conflict with the
Constitution and statutes of this state; and
(15)
To do all things necessary or convenient to carry out the powers expressly given
in this Act.
SECTION
5.
Revenue bonds.
Revenue bonds.
The
authority shall have the power and is hereby authorized from time to time to
provide by resolution for the issuance of negotiable revenue bonds in the manner
provided by the Revenue Bond Law for the purpose of paying all or any part of
the cost of any one or more projects, including the cost of constructing,
reconstructing, equipping, extending, adding to, or improving any such project,
or for the purpose of refunding, as provided by this Act, any such bonds of the
authority previously issued. The principal of and interest on such revenue
bonds shall be payable solely from such part of the revenues and earnings of
such project or projects as may be designated in the resolution of the authority
authorizing the issuance of such revenue bonds. The revenue bonds of each issue
shall be issued and validated under and in accordance with the provisions of the
Revenue Bond Law.
SECTION
6.
Same; negotiability; exemption from taxation.
Same; negotiability; exemption from taxation.
All
revenue bonds issued under the provisions of this Act shall have and are hereby
declared to have all the qualities and incidents of negotiable instruments under
the negotiable instruments laws of the state. All revenue bonds, their
transfer, and the income therefrom shall be exempt from all taxation within the
state.
SECTION
7.
Credit not pledged.
Credit not pledged.
Revenue
bonds issued under the provisions of this Act shall not constitute a debt or a
pledge of the faith and credit of the State of Georgia or of the City of College
Park, but such bonds shall be payable solely from such part of the revenues and
earnings of such project or projects as may be designated in the resolution of
the authority authorizing the issuance of such bonds. The issuance of such
revenue bonds shall not directly, indirectly, or contingently obligate the State
of Georgia or the City of College Park to levy or to pledge any form of taxation
whatever for the payment thereof. No holder of any bond or receiver or trustee
in connection therewith shall have the right to enforce the payment thereof
against any property of the State of Georgia or the City of College Park nor
shall any such bond constitute a charge, lien, or encumbrance, legal or
equitable, upon any such property. All such bonds shall contain on their face a
recital setting forth substantially the foregoing provisions of this section.
The City of College Park, however, may obligate itself to pay the amounts
required under any contract entered into with the authority from funds received
from taxes to be levied and collected for that purpose and from any other source
to the extent necessary to pay the obligations contractually incurred with the
authority; and the obligation to make such payments shall constitute a general
obligation and a pledge of the full faith and credit of the City of College Park
but shall not constitute a debt of the City of College Park within the meaning
of Article IX, Section V, Paragraph I of the Constitution of Georgia; and, when
the City of College Park contracts with the authority to make such payments from
taxes to be levied for that purpose, then the obligation shall be mandatory to
levy and collect such taxes from year to year in an amount sufficient to fulfill
and comply fully with the terms of such contract.
SECTION
8.
Trust indenture as security.
Trust indenture as security.
In
the discretion of the authority, any issue of such revenue bonds may be secured
by a trust indenture by and between the authority and a corporate trustee, which
may be any trust company or bank having the powers of a trust company within or
outside of the State of Georgia. Such trust indenture may pledge or assign
fees, tolls, rents, revenues, and earnings to be received by the authority,
including the proceeds derived from the sale or lease, from time to time, of any
project. Either the resolution providing for the issuance of revenue bonds or
such trust indenture may contain such provisions for protecting and enforcing
the rights and remedies of the bondholders as may be reasonable and proper and
not in violation of law, including covenants setting forth the duties of the
authority in relation to the acquisition and construction of any project, the
maintenance, operation, repair, and insurance of any project, and the custody,
safeguarding, and application of all moneys, including the proceeds derived from
the sale or lease of any project; may provide that any project shall be acquired
and constructed under the supervision and approval of consulting engineers or
architects employed or designated by the authority and satisfactory to the
original purchasers of the bonds issued therefor; may require that the security
given by contractors and by any depository of the proceeds of the bonds or
revenues or other moneys be satisfactory to such purchasers; may contain
provisions concerning the conditions, if any, upon which additional revenue
bonds pledging all or any part of the revenues and earnings of such project or
projects may be issued; and may contain such other provisions as the authority
may deem reasonable and proper for the security of the bondholders. Such
indenture may set forth the rights and remedies of the bondholders and of the
trustee. All expenses incurred in carrying out such trust indenture may be
treated as a part of the cost of maintenance, operation, and repair of the
project affected by such indenture.
SECTION
9.
Sinking fund.
Sinking fund.
The
moneys received pursuant to an intergovernmental contract and the revenues,
fees, tolls, fines, charges, and earnings derived from any particular project or
projects, regardless of whether or not such revenues, fees, tolls, fines,
charges, and earnings were produced by a particular project for which revenue
bonds have been issued, unless otherwise pledged and allocated, may be pledged
and allocated by the authority to the payment of the principal and interest on
revenue bonds of the authority as the resolution authorizing the issuance of the
revenue bonds or the trust indenture may provide; and such funds so pledged from
whatever source received shall be set aside at regular intervals as may be
provided in the resolution or trust indenture into a sinking fund which shall be
pledged to and charged with the payment of:
(1)
The interest upon such revenue bonds as such interest shall fall
due;
(2)
The principal or purchase price of such revenue bonds as the same shall fall
due;
(3)
Any premium upon such revenue bonds retired by call or purchase;
(4)
The purchase of such revenue bonds in the open market; and
(5)
The necessary charges of any paying an agent or agents for paying principal and
interest.
The
use and disposition of such sinking fund shall be subject to such regulations as
may be provided in the resolution authorizing the issuance of the revenue bonds
or in the trust indenture, but, except as may otherwise be provided in such
resolution or trust indenture, such sinking fund shall be maintained as a trust
account for the benefit of all revenue bondholders without distinction or
priority of one over another. Subject to the provisions of the resolution
authorizing the issuance of the bonds or the trust indenture, any surplus moneys
in the sinking fund may be applied to the purchase or redemption of bonds and
any such bonds so purchased or redeemed shall forthwith be canceled and shall
not be reissued, printed, or delivered.
SECTION
10.
Refunding bonds.
Refunding bonds.
The
authority is hereby authorized to provide by resolution for the issuance of
revenue refunding bonds of the authority for the purpose of refunding any
revenue bonds issued under the provisions of this Act and then outstanding,
together with accrued interest thereon and any premium required for the payment
of such bonds prior to maturity. The issuance of such revenue bonds and all the
details thereof, the rights of the holders thereof, and the duties of the
authority with respect to the same, shall be governed by the foregoing
provisions of this Act insofar as the same may be applicable.
SECTION
11.
Validation.
Validation.
Revenue
bonds and the security therefor shall be confirmed and validated in accordance
with the procedure of the Revenue Bond Law. The petition for validation shall
also make party defendant to such action any county, municipality, school
district, or other political subdivision or authority of the state which has
contracted with the authority for services or facilities relating to the project
for which revenue bonds are to be issued and sought to be validated, and such
defendant shall be required to show cause, if any exists, why such contract or
contracts and the terms and conditions thereof should not be inquired into by
the court and the validity of the terms thereof be determined and the contract
adjudicated as security for the payment of any such bonds of the authority. The
bonds, when validated, and the judgment of validation shall be final and
conclusive regarding the validity of such bonds against the authority, and the
validity of the contract and of the terms and conditions thereof, when
validated, and the judgment of validation shall be final and conclusive against
each such other defendant if it be a party to the validation
proceeding.
SECTION
12.
Venue and jurisdiction.
Venue and jurisdiction.
Any
action to protect or enforce any rights under the provisions of this Act or any
suit or action against the authority shall be brought in the Superior Court of
Fulton County, Georgia, and any action pertaining to validation of any revenue
bonds issued under the provisions of this Act shall likewise be brought in such
court, which shall have exclusive, original jurisdiction of such
actions.
SECTION
13.
Interest of bondholders protected.
Interest of bondholders protected.
While
any of the revenue bonds issued by the authority remain outstanding, the powers,
duties, or existence of the authority or its officers, employees, or agents
shall not be diminished or impaired in any manner that will affect adversely the
interests and rights of the holders of such revenue bonds. The provisions of
this section shall be for the benefit of the authority and the holders of any
such revenue bonds and upon the issuance of such revenue bonds shall constitute
a contract with the holders of such revenue bonds.
SECTION
14.
Moneys received considered trust funds.
Moneys received considered trust funds.
All
moneys received by the authority pursuant to this Act, whether as proceeds from
the sale of revenue bonds, as grants or other contributions, or as revenue,
income, fees, and earnings, shall be deemed to be trust funds to be held and
applied solely as provided in this Act.
SECTION
15.
Purpose of the authority.
Purpose of the authority.
Without
limiting the generality of any provisions of this Act, the general purposes of
the authority are declared to be those of acquiring, constructing, equipping,
maintaining, and operating adequate water supply, treatment, and distribution
facilities; waste-water collection, treatment, and distribution facilities; and
storm-water management facilities and extending and improving such facilities as
necessary.
SECTION
16.
Rates, charges, and revenues; use.
Rates, charges, and revenues; use.
The
authority is hereby authorized to prescribe and fix rates and to revise the same
from time to time and to collect revenues, tolls, fees, fines, and charges for
the services, facilities, and commodities furnished, including leases,
concessions, or subleases of its projects, and to determine the price and terms
at and under which its projects may be sold.
SECTION
17.
Rules, regulations, service policies, and procedures for operation of projects.
Rules, regulations, service policies, and procedures for operation of projects.
It
shall be the duty of the authority to prescribe rules, regulations, service
policies, and procedures for the operation of any project or projects
constructed or acquired under the provisions of this Act and intended to be
operated by the authority, including the basis upon which water service and
facilities, sewerage service and facilities, or storm-water service and
facilities shall be furnished.
SECTION
18.
Tort immunity.
Tort immunity.
The
authority shall have the same immunity and exemption from liability for torts
and negligence as the City of College Park, and the officers, agents, and
employees of the authority, when in the performance of the work of the
authority, shall have the same immunity and exemption from liability for torts
and negligence as officers, agents, and employees of the City of College Park
when in the performance of their public duties or work of the
municipality.
SECTION
19.
Tax-exempt status of authority.
Tax-exempt status of authority.
The
properties of the authority, both real and personal, and the income derived
therefrom are declared to be public properties used for the benefit and welfare
of the people of this state and not for purposes of private or corporate benefit
and income, and such properties, the income derived therefrom, and the authority
shall be exempt from all taxes and special assessments of any city or county or
the state or any political subdivision thereof.
SECTION
20.
Effect on other governments.
Effect on other governments.
This
Act shall not and does not in any way take from the City of College Park or any
other municipality or political subdivision the authority to own, operate, and
maintain a water system, a sewerage system, or a storm-water system, or any
combination thereof, or to issue revenue bonds as provided by the Revenue Bond
Law. The foregoing sections of this Act shall be deemed to provide an
additional and alternative method for the doing of the things authorized by this
Act and shall be regarded as supplemental and additional to powers conferred by
other laws and shall not be regarded as in derogation of any powers now
existing.
SECTION
21.
Property not subject to levy and sale.
Property not subject to levy and sale.
The
property of the authority shall not be subject to levy and sale under legal
process.
SECTION
22.
Authority without taxing power.
Authority without taxing power.
The
authority shall not have the right to impose any tax on any person or
property.
SECTION
23.
Severability.
Severability.
In
the event any section, subsection, sentence, clause, or phrase of this Act shall
be declared or adjudged invalid or unconstitutional, such adjudication shall in
no manner affect the other sections, subsections, sentences, clauses, or phrases
of this Act, which shall remain of full force and effect as if the section,
subsection, sentence, clause, or phrase so declared or adjudged invalid or
unconstitutional were not originally a part hereof. The General Assembly
declares that it would have passed the remaining parts of this Act if it had
known that such part or parts hereof would be declared or adjudged invalid or
unconstitutional.
SECTION
24.
Liberal construction of Act.
Liberal construction of Act.
This
Act shall be liberally construed to effect the purposes hereof.
SECTION
25.
Effective date.
Effective date.
This
Act shall become effective upon its approval by the Governor or upon its
becoming law without such approval.
SECTION
26.
Repealer.
Repealer.
All
laws and parts of laws in conflict with this Act are repealed.