MISSISSIPPI LEGISLATURE

1997 Regular Session

To: Local and Private Legislation; Ways and Means

By: Representative McCoy

House Bill 1879

(As Passed the House)

AN ACT TO AUTHORIZE THE TOWN OF RIENZI, MISSISSIPPI, TO CONSTRUCT, ACQUIRE AND EXPAND A GAS TRANSMISSION AND GAS DISTRIBUTION SYSTEM WITHIN THE TOWN AND UP TO TEN MILES BEYOND THE TOWN'S CORPORATE LIMITS; TO AUTHORIZE THE GOVERNING AUTHORITIES TO ISSUE REVENUE BONDS FOR SUCH PURPOSES; AND FOR RELATED PURPOSES. 

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:

SECTION 1. (1) Notwithstanding any provisions of Section 21-27-39, Mississippi Code of 1972, to the contrary, the governing authorities of the Town of Rienzi, Mississippi, in their discretion, may construct, acquire, expand, operate and maintain a gas transmission and gas distribution system within the corporate limits of the town and for a distance not to exceed ten (10) miles from the corporate limits of the town. Whenever such gas service is furnished to any consumer residing outside the corporate limits of the Town of Rienzi, the consumer may not be charged at a rate greater than twice the rate charged for the same service within the corporate limits of the Town of Rienzi.

(2) Except as otherwise provided for in this act, Sections 21-27-11 through 21-27-69, Mississippi Code of 1972, which govern municipally-owned utilities, apply with respect to the gas transmission and gas distribution system authorized to be constructed, acquired, expanded, operated and maintained under this act and to the issuance of bonds pursuant to this act.

(3) The governing authorities of the Town of Rienzi may issue revenue bonds in an aggregate principal amount not to exceed Five Hundred Thousand Dollars ($500,000.00), in accordance with Sections 21-27-11 through 21-27-69, Mississippi Code of 1972, for the purpose of constructing, acquiring and expanding a gas transmission and gas distribution system pursuant to this act.

(4) Before the issuance of any bonds under the authority of this act, the governing authorities of the town shall adopt a resolution declaring their intention to do so and shall publish notice of their intention to issue such revenue bonds in a local newspaper pursuant to Section 21-27-43, Mississippi Code of 1972. No election will be required for the issuance of the revenue bonds unless a sufficient protest is received in accordance with Section 21-27-43, Mississippi Code of 1972. However, the governing authorities, in their discretion, may call an election on the proposition of the bond issue, in which event, it shall not be necessary to publish notice of their intention to issue the revenue bonds.

(5) This act, without regard to any statute not referenced in the act, shall be full and complete authority for the issuance of bonds under this act and shall be construed as an additional and alternative method for the issuance of such bonds. All powers necessary to be exercised in order to carry out the provisions of this act are conferred on the governing authorities of the Town of Rienzi.

(6) (a) Bonds issued under this act and the income from such bonds shall be exempt from all State of Mississippi taxation, excepting inheritance and gift taxes.

(b) Bonds issued under this act shall be legal investments for commercial banks, savings and loan associations and insurance companies organized under the laws of the State of Mississippi.

(7) Bonds issued under this act shall be submitted to validation as provided by Title 31, Chapter 13, Mississippi Code of 1972, and to that end, the town clerk shall be directed to make up a transcript of all legal papers and proceedings relating to the bonds and to certify and forward the same to the state's bond attorney for the institution of validation proceedings.

(8) The authority conferred by this act shall not be construed as an exemption from the provisions of Section 77-3-1 et seq., Mississippi Code of 1972, as to the requirements for obtaining a Certificate of Public Convenience and Necessity, the jurisdiction of the Public Service Commission to regulate rates of any other provisions of that law.

SECTION 2. This act shall take effect and be in force from and after its passage.