Bill Text: MS SB2799 | 2013 | Regular Session | Introduced
Bill Title: Bonds; require certain information to be made public prior to issuance.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Failed) 2013-02-05 - Died In Committee [SB2799 Detail]
Download: Mississippi-2013-SB2799-Introduced.html
MISSISSIPPI LEGISLATURE
2013 Regular Session
To: Accountability, Efficiency, Transparency; Finance
By: Senator(s) Collins
Senate Bill 2799
AN ACT TO REQUIRE THAT CERTAIN INFORMATION BE MADE AVAILABLE TO THE PUBLIC BEFORE EITHER HOUSE OF THE LEGISLATURE MAY TAKE A VOTE ON THE PASSAGE OF LEGISLATION THAT AUTHORIZES THE ISSUANCE OF BONDS; TO PROVIDE THAT NOTICES, RESOLUTIONS OR ORDERS REQUIRED BY LAW TO BE PUBLISHED BEFORE BONDS MAY BE ISSUED ON BEHALF OF ANY POLITICAL SUBDIVISION MUST CONTAIN CERTAIN ADDITIONAL INFORMATION; TO AMEND SECTIONS 17-17-107, 19-9-11, 21-33-307, 57-3-11 AND 59-7-113, MISSISSIPPI CODE OF 1972, TO DELETE LANGUAGE THAT PROVIDES THAT SUCH NOTICES, RESOLUTIONS OR ORDERS DO NOT HAVE TO BE PUBLISHED IF THE POLITICAL SUBDIVISION DECIDES TO HOLD AN ELECTION ON THE ISSUANCE OF BONDS; AND FOR RELATED PURPOSES.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:
SECTION 1. Before either house of the Legislature may take a vote on the passage of legislation that authorizes the issuance of bonds, the Legislative Budget Office shall prepare and make available to the public a statement or note which shall include the following:
(a) The estimated total principal and interest payments if all of the bonds proposed to be authorized were issued;
(b) The estimated principal and interest payments to be made by each fiscal year over all years that the proposed bonds would be expected to be outstanding;
(b) The total bonded indebtedness owed by the state at the time the note was prepared and the associated total principal and interest payments scheduled to be made for that outstanding debt in each fiscal year listed under paragraph (b) of this section;
(c) An estimate of the legal fees and other issuance costs for the bonds proposed;
(d) The net amount expected to be available to be expended for the purpose of the bonds;
(e) If the bond is designated for acquisition of land and/or construction of one (1) or more buildings, an estimate of the expenses to operate the proposed building, facility, park or other outdoor area for each of the first ten (10) years. Operating expenses shall include furnishing the building, paying employees and contractors to staff, clean, maintain and guard the building and grounds, the cost of utilities, and the cost to insure the building against fire and casualty.
(2) The estimate required by subsection (1)(a) and (b) of this section shall be calculated under the assumption that the bonds are not redeemed or refunded prior to their stated maturities. Amounts included in the estimate as payment of interest on variable rate bonds shall be the maximum amounts of interest that may be payable during each fiscal year, after taking into account any credits permitted in the related indenture or other instrument against the amount of such interest for each fiscal year.
(3) As used in this section "bond" means bonds, notes or certificates of indebtedness of any kind issued or entered into on behalf of the State of Mississippi.
SECTION 2. (1) Notices, resolutions or orders required by law to be published before bonds may be issued on behalf of any political subdivision shall, in addition to any other information, include the following:
(a) The estimated total principal and interest payments if all of the bonds authorized in the notice were issued;
(b) The estimated principal and interest payments to be made by each fiscal year over all years that the proposed bonds would be expected to be outstanding;
(c) The total bonded indebtedness owed by the political subdivision at the time the notice is published and the associated total principal and interest payments scheduled to be made for that outstanding debt in each fiscal year listed under paragraph (b) of this subsection;
(d) An estimate of the legal fees and other issuance costs for the bonds proposed;
(e) The net amount expected to be available to be expended for the purpose for which the bonds are issued;
(f) If the bonds are authorized to be issued for acquisition of land and/or construction of one or more buildings or facilities, an estimate of the expenses to operate the proposed building, facility, park or other outdoor area for each of the first ten (10) years. Operating expenses shall include furnishing the building, paying employees and contractors to staff, clean, maintain and guard the building and grounds, the cost of utilities, and the cost to insure the building against fire and casualty.
(2) The estimates required by subsection (1)(a) and (b) of this section shall be calculated under the assumption that the bonds are not redeemed or refunded prior to their stated maturities. Amounts included in the disclosure as payment of interest on variable rate bonds shall be the maximum amounts of interest that may be payable during each fiscal year, after taking into account any credits permitted in the related indenture or other instrument against the amount of such interest for each fiscal year.
(3) As used in this section:
(a) "Bonds" means bonds, notes or certificates of indebtedness of any kind issued or entered into on behalf of any political subdivision of this state.
(b) "Political subdivision" means municipality, county, road district, school district, drainage district, utility district, fire district, solid waste authority, regional solid waste authority, housing authority, regional housing authority, county cooperative service district, or similar political subdivision of this state that is authorized by law to issue bonds.
SECTION 3. Section 17-17-107, Mississippi Code of 1972, is amended as follows:
17-17-107. Before issuing
any revenue bonds hereunder, the governing body of any municipality shall adopt
a resolution declaring its intention to so issue, stating the amount of bonds
proposed to be issued, the purpose for which the bonds are to be issued, and
the date upon which the governing body proposes to direct the issuance of such
bonds. Such resolution shall be published once a week for at least three (3)
consecutive weeks in at least one (1) newspaper published in the county in
which such municipality is located. The first publication of such resolution
shall be made not less than twenty-one (21) days prior to the date fixed in
such resolution for the issuance of the bonds and the last publication shall be
made not more than seven (7) days prior to such date. If no newspaper be
published in such county, then such notice shall be given by publishing the
resolution for the required time in some newspaper having a general circulation
in such county, and, in addition, by posting a copy of such resolution for at
least twenty-one (21) days next preceding the date fixed therein at three (3)
public places in such county. If twenty percent (20%) or fifteen hundred
(1500), whichever is less, of the qualified electors of the municipality shall
file a written protest against the issuance of such bonds on or before the date
specified in such resolution, then an election on the question of the issuance
of such bonds shall be called and held as herein provided. If no such protest
be filed, then such bonds may be issued without an election at any time within
a period of two (2) years after the date specified in the above-mentioned
resolution. However, the governing body of such municipality, in its
discretion, may nevertheless call an election on the question of the issuance
of the bonds * * *.
SECTION 4. Section 19-9-11, Mississippi Code of 1972, is amended as follows:
19-9-11. Before issuing any
bonds for any of the purposes enumerated in Sections 19-9-1 * * * and 19-9-3, the board of supervisors
shall adopt a resolution declaring its intention so to do, stating the amount
of bonds proposed to be issued and the purpose for which the bonds are to be
issued, and the date upon which the board proposes to direct the issuance of
such bonds. Such resolution shall be published once a week for at least three
(3) consecutive weeks in at least one (1) newspaper published in such county.
The first publication of such resolution shall be made not less than twenty-one
(21) days prior to the date fixed in such resolution for the issuance of the
bonds, and the last publication shall be made not more than seven (7) days
prior to such date. If no newspaper be published in such county, then such
notice shall be given by publishing the resolution for the required time in
some newspaper having a general circulation in such county and, in addition, by
posting a copy of such resolution for at least twenty-one (21) days next
preceding the date fixed therein at three (3) public places in such county. If
twenty percent (20%), or fifteen hundred (1500), whichever is less, of the
qualified electors of the county, supervisors district, or road district, as
the case may be, shall file a written protest against the issuance of such
bonds on or before the date specified in such resolution, then an election on
the question of the issuance of such bonds shall be called and held as is
provided in Sections 19-9-13 * * * and 19-9-15. If no such protest be
filed, then such bonds may be issued without an election on the question of the
issuance thereof, at any time within a period of two (2) years after the date
specified in the above-mentioned resolution. However, the board of
supervisors, in its discretion, may nevertheless call an election on such
question * * *.
SECTION 5. Section 21-33-307, Mississippi Code of 1972, is amended as follows:
21-33-307. Before issuing
any bonds for any of the purposes enumerated in Section 21-33-301, the
governing authority of the issuing municipality shall adopt a resolution
declaring its intention so to do, stating the amount of bonds proposed to be
issued and the purpose for which the bonds are to be issued, and the date upon
which the aforesaid authority proposes to direct the issuance of such bonds.
Such resolution shall be published once a week for at least three (3)
consecutive weeks in at least one (1) newspaper published in such
municipality. The first publication of such resolution shall be made not less
than twenty-one (21) days prior to the date fixed in such resolution for the
issuance of the bonds, and the last publication shall be made not more than
seven (7) days prior to such date. If no newspaper be published in such
municipality, then such notice shall be given by publishing the resolution for
the required time in some newspaper having a general circulation in such
municipality and, in addition, by posting a copy of such resolution for at least
twenty-one (21) days next preceding the date fixed therein at three (3) public
places in such municipality. The publication of the resolution may be made as
provided in Section 21-17-19. If ten percent (10%) of the qualified electors
of the municipality, or fifteen hundred (1500), whichever is the lesser, shall
file a written protest against the issuance of such bonds on or before the date
specified in such resolution, then an election on the question of the bonds
shall be called and held as is provided in Section 21-33-309. Notice of such
election shall be signed by the clerk of the municipality and shall be
published once a week for at least three (3) consecutive weeks in at least one
(1) newspaper published in such municipality. The first publication of such
notice shall be made not less than twenty-one (21) days prior to the date fixed
for such election, and the last publication shall be made not more than seven
(7) days prior to such date. If no newspaper is published in such
municipality, then such notice shall be given by publishing the same for the
required time in some newspaper having a general circulation in such
municipality and published in the same or an adjoining county and, in addition,
by posting a copy of such notice for at least twenty-one (21) days next
preceding such election at three (3) public places in such municipality. If no
protest be filed, then such bonds may be issued without an election on the
question of the issuance thereof, at any time within a period of two (2) years
after the date specified in the above-mentioned resolution. However, the
governing authority of any municipality in its discretion may nevertheless call
an election on such question * * *.
Under no circumstances shall any municipality exceed the bond limit as set by statute for municipalities.
SECTION 6. Section 57-3-11, Mississippi Code of 1972, is amended as follows:
57-3-11. Before issuing any
bonds hereunder the governing body, as hereinbefore defined, of any
municipality, as hereinbefore defined, shall adopt a resolution declaring its
intention so to do stating the amount of bonds proposed to be issued, the
purpose for which the bonds are to be issued, and the date upon which the
governing body proposes to direct the issuance of such bonds. Such resolution
shall be published once a week for at least three (3) consecutive weeks in at
least one (1) newspaper published in the county in which such municipality is
located. The first publication of such resolution shall be made not less than
twenty-one (21) days prior to the date fixed in such resolution for the
issuance of the bonds and the last publication shall be made not more than
seven (7) days prior to such date. If no newspaper be published in such
county, then such notice shall be given by publishing the resolution for the
required time in some newspaper having a general circulation in such county,
and, in addition, by posting a copy of such resolution for at least twenty-one
(21) days next preceding the date fixed therein at three (3) public places in
such county. If twenty per centum (20%) of the qualified electors of the
municipality shall file a written protest against the issuance of such bonds on
or before the date specified in such resolution, then an election on the
question of the issuance of such bonds shall be called and held as herein
provided. If no such protest be filed, then such bonds may be issued without
an election on the question of the issuance thereof, at any time within a
period of two (2) years after the date specified in the above-mentioned
resolution. However, the governing body of such municipality, in its
discretion, may nevertheless call an election on such question * * *.
SECTION 7. Section 59-7-113, Mississippi Code of 1972, is amended as follows:
59-7-113. Before issuing
any bonds for any of the purposes herein enumerated, the board of supervisors
shall adopt a resolution declaring its intention so to do, stating the amount
of bonds proposed to be issued and the purpose for which the bonds are to be issued,
and the date upon which the board proposes to direct the issuance of such
bonds. Such resolution shall be published once a week for at least three (3)
consecutive weeks in at least one (1) newspaper published in such county. The
first publication of such resolution shall be made not less than twenty-one
(21) days prior to the date fixed in such resolution for the issuance of the
bonds, and the last publication shall be made not more than seven (7) days
prior to such date. If no newspaper be published in such county, then such
notice shall be given by publishing the resolution for the required time in
some newspaper having a general circulation in such county and, in addition, by
posting a copy of such resolution for at least twenty-one (21) days next preceding
the date fixed therein at three (3) public places in such county. If twenty
percent (20%) of the qualified electors of the county shall file a written
protest against the issuance of such bonds on or before the date specified in
such resolution, then an election on the question of the issuance of such bonds
shall be called and held as is herein provided. If no such protest be filed,
then such bonds may be issued without an election on the question of the
issuance thereof, at any time within a period of two (2) years after the date
specified in the above-mentioned resolution. However, the board of
supervisors, in its discretion, may nevertheless call an election on such
question * * *.
SECTION 8. This act shall take effect and be in force from and after July 1, 2013.
