MISSISSIPPI LEGISLATURE

1997 Regular Session

To: Local and Private Legislation; Ways and Means

By: Representatives Henderson (9th), Miller

House Bill 1889

(As Sent to Governor)

AN ACT TO AMEND CHAPTER 1010, LOCAL AND PRIVATE LAWS OF 1995, TO CHANGE THE QUALIFICATIONS FOR SERVING AS A MEMBER OF THE BOARD OF COMMISSIONERS OF THE DIAMOND LAKES UTILITIES AND IMPROVEMENTS DISTRICT; TO AUTHORIZE THE LEVYING, UNDER CERTAIN CIRCUMSTANCES, OF AN AD VALOREM TAX ON ALL TAXABLE PROPERTY IN THE GEOGRAPHICAL LIMITS OF THE DIAMOND LAKES UTILITIES AND IMPROVEMENTS DISTRICT WITHIN TUNICA COUNTY TO PROVIDE FOR THE PAYMENT OF BONDS ISSUED BY SAID DISTRICT; TO PROVIDE THAT BONDS ISSUED BY SAID DISTRICT MAY BE SECURED BY A PLEDGE OF REVENUES OF SAID DISTRICT, SPECIAL ASSESSMENTS OR TAX REVENUES, OR ANY COMBINATION OF THE FOREGOING; TO AUTHORIZE THE ADDITION OF PROPERTY TO SAID DISTRICT BY ORDER OF THE BOARD OF SUPERVISORS OF TUNICA COUNTY UPON WRITTEN CONSENT OF ONE HUNDRED PERCENT OF THE OWNERS OF THE PROPERTY TO BE SO ADDED; AND FOR RELATED PURPOSES. 

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

SECTION 1. Chapter 1010, Local and Private Laws of 1995, is amended as follows:

Section 1. For the purposes of this act, the following words and phrases shall have the meanings ascribed in this section unless the context clearly indicates otherwise:

(a) "Board of commissioners" or "commissioners" means the Board of Commissioners of the Diamond Lakes Utilities and Improvements District.

(b) "Board of supervisors" means the Board of Supervisors of Tunica County, Mississippi.

(c) "County" means Tunica County, Mississippi.

(d) "District" means the Diamond Lakes Utilities and Improvements District.

Section 2. The Legislature finds that a certain area situated within Tunica County, Mississippi, which is more particularly described in paragraph (c) of this section, has inadequate water supply facilities, sewer facilities, gas utility facilities, fire protection facilities, storm drainage systems and roadways and streets, including curbing, gutters, street lights, irrigation, landscaping and sidewalks, serving that area for the purposes of casino, resort and other commercial development. The purpose of this act is to authorize the incorporation of this area as a utilities and improvements district, which shall be known as "Diamond Lakes Utilities and Improvements District," in accordance with the following procedures:

(a) A petition for the incorporation of the district may be submitted to the Board of Supervisors of Tunica County, which petition must be signed by the owners of no less than seventy-five percent (75%) of the land within the boundaries of the proposed district on a square footage basis. The petition shall include: (1) a statement for the necessity for the service or services to be supplied by the proposed district; (2) the proposed corporate name for the district; (3) an estimate of the cost of the acquisition or construction of the facilities to be operated by the district, which estimate, however, shall not serve as a limitation upon the financing of improvements or extensions to the facilities; and (4) an estimate by the petitioner or petitioners of the cost of noncasino development within the district, which estimate shall include an itemized breakdown of the type or nature of each project, the cost of each project and a projected time table for completion of each project. The petition shall be signed in person by the petitioner and accompanied by a sworn statement of the person or persons circulating the petition, who shall state under oath that he or they witnessed the signature of each petitioner, that each signature is the signature of the person it purports to be, and that to the best of his or their knowledge, each petitioner (which may be a corporation), at the time of signing, was an owner of real property within the proposed district.

(b) If the board of supervisors determines that the establishment of the district is in the best interest of Tunica County, and that, based upon criteria established by the board, the reasonably anticipated total noncasino development cost of the land and improvements to be acquired and constructed in the district will be at least Fifty Million Dollars ($50,000,000.00), of which total amount not more than thirty percent (30%) is the cost of land, the board of supervisors, upon the filing of the petition, shall fix a time and place for a public hearing upon the question of the public convenience and necessity of the incorporation of the proposed district. If the board of supervisors elects to fix a time and place for a hearing, the date fixed for the hearing shall be not more than sixty (60) days after the filing of the petition. The date, place and notice of the hearing shall be set forth in a notice to be signed by the clerk of the board of supervisors of the county. The notice shall be published in a newspaper having a general circulation within Tunica County once a week for at least three (3) consecutive weeks before the date of the hearing. The first publication shall be made not less than twenty-one (21) days before the date of the hearing, and the last publication shall be made not more than seven (7) days before the date of the hearing. If, following the public hearing, the board of supervisors finds that: (1) public convenience and necessity require the creation of the district; (2) creation of the district is economically sound and desirable; and (3) it is reasonably anticipated that the total noncasino development cost of the land and improvements to be acquired and constructed in the district will be at least Fifty Million Dollars ($50,000,000.00), of which total amount not more than thirty percent (30%) is the cost of the land, the board of supervisors shall adopt a resolution making those findings and creating the district.

(c) If the district is created in accordance with the procedures established in this section, the district shall be composed initially of the following described property:

A tract of land situated in Sections 3, 4, 5, 6, 7 and 8, Township 3 South, Range 10 West, Tunica County, Mississippi, described as follows:

Commencing at the intersection of the Westerly right-of-way line of Mississippi State Highway No. 61 (said Westerly right-of-way line being 75 feet Northwesterly of and parallel to the centerline of said highway) and the North line of said Section 3, being the "Point of Beginning" of the tract herein described; thence South 45N 33' 26" West along the said Westerly right-of-way line of State Highway No. 61 for 599.99 feet, to a concrete monument found at the Northeast corner of the State of Mississippi property; thence North 44N 23' 01" West, along the Northeast boundary of the State of Mississippi property and the Northwesterly extension thereof, for 410.81 feet; thence South 89N 51' 00" West for 4,214.83 feet to a point on the East line of the Northwest 1/4 of said Section 4; thence South 00N 01' 55" East for 2,486.79 feet to the Southeast corner of the Northwest 1/4 of said Section 4; thence North 89N 57' 07" West for 2,638.94 feet to the Southwest corner of the Northwest 1/4 of said Section 4; thence South 00N 00' 59" East, along the East line of said Section 5, for 1,179.58 feet to a point on the East line of said Section 5; thence Westerly along a line parallel with the South line of said Section 5 for 2,400.00 feet; thence Southerly along a line parallel with the East line of said Section 5 for 726.00 feet; thence Easterly along a line parallel with the South line of said Section 5 for 2,400.00 feet to the East line of said Section 5; thence South 00N 00' 59" East, along the East line of said Section 5, for 726.00 feet to the Southeast corner of said Section 5; thence South 00N 11' 20" East, along the East line of said Section 8 for 1,906.69 feet; thence North 89N 52' 40" West for 28.86 feet; thence South 21N 04' 47" West for 81.43 feet; thence South 10N 38' 49" West for 185.22 feet to the Northwesterly right-of-way line of Mississippi State Highway No. 61; thence South 45N 32' 25" West, along said right-of-way line, for 503.75 feet; thence South 44N 25' 59" East, along said right-of-way line, for 10.00 feet; thence South 45N 34' 01" West, along said right-of-way line, for 400.00 feet; thence North 44N 25' 59" West, along said right-of-way line, for 25 feet; thence South 45N 34' 01" West, along said right-of-way line, for 1,917.36 feet; thence North 89N 10' 37" West for 707.53 feet; thence South 00N 49' 23" West for 45.07 feet; thence North 89N 10' 31" West for 1,129.97 feet; thence North 44N 14' 47" West for 1,612.08 feet; thence along a tangential curve to the left having a radius of 2,671.83 feet, an arc length of 646.06 feet (chord North 51N 09' 38" West 644.49 feet) to a point; thence North 00N 06' 35" West for 2,593.14 feet to a point on the South line of said Section 6; thence North 89N 47' 57" West, along the South line of said Section 6, for 879.08 feet; thence South 31N 57' 41" West for 2,875.09 feet; thence North 00N 03' 33" West for 188.60 feet; thence North 31N 57' 41" East for 2,653.28 feet, to the South line of said Section 6; thence North 89N 47' 57" West, along the South line of said Section 6, for 1,111.46 feet, to the Southeasterly boundary of the levee right-of-way of the Board of Levee Commissioners for the Yazoo-Mississippi Delta Levee District; thence North 46N 34' 41" East, along said levee right-of-way, for 230.60 feet; thence North 42N 05' 41" East, along said levee right-of-way, for 720.60 feet; thence North 36N 00' 41" East, along said levee right-of-way, for 158.60 feet; thence North 32N 04' 41" East, along said levee right-of-way, for 247.00 feet; thence North 34N 08' 20" East, along said levee right-of-way, for 636.00 feet; thence North 34N 35' 41" East, along said levee right-of-way, for 3,328.00 feet; thence North 29N 05' 41" East, along said levee right-of-way, for 1,104.70 feet to the North line of said Section 5; thence South 89N 48' 01" East, along the North line of said Section 5, for 3,960.38 feet to the Northeast corner of said Section 5; thence South 89N 59' 57" East, along the North line of said Section 4, for 2,638.40 feet to the Northeast corner of the Northwest 1/4 of said Section 4; thence South 89N 55' 35" East, along the North line of said Section 4, for 2,640.00 feet to the Northeast corner of said Section 4; thence South 89N 55' 35" East, along the North line of said Section 3, for 2,290.29 feet to the Point of Beginning; consisting of 1,274.25 acres, more or less.

Section 3. From and after the date of the adoption of the resolution by the board of supervisors creating the district, the district shall be a public corporation in perpetuity under its corporate name and in that name, shall be a body politic and corporate with power of perpetual succession. The powers of the district, except as provided otherwise in this act, shall be vested in and exercised by a board of commissioners consisting of three (3) members appointed by the board of supervisors. The members of the board of commissioners shall be qualified electors of Tunica County, at least twenty-five (25) years of age and of sound and disposing mind and judgment. For the purpose of this act, an individual will be considered a qualified elector of the county if he is employed by a corporation or other entity which owns property located within the district. Upon their initial appointment, one (1) of the commissioners shall be appointed for a term of two (2) years; one (1) for a term of four (4) years; and one (1) for a term of six (6) years. Any vacancy occurring on the board of commissioners shall be filled by the board of supervisors at any regular meeting of the board of supervisors. The board of supervisors shall have the authority to fill all unexpired terms of any commissioner or commissioners. Notwithstanding the appointive authority granted in this section to the board of supervisors, its legal and actual responsibilities, authority and function, subsequent to the creation of the district, except as otherwise provided in this act, shall be specifically limited to the appointive function, and the operation, management, subsequent possible addition to or annexation, abolition or dissolution of the district, and all other matters in connection therewith, shall be vested solely and only in the board of commissioners to the specific exclusion of the board of supervisors. The abolition, dissolution or termination of any district shall be accomplished only by unanimous resolution of the board of commissioners. However, the board of commissioners shall have no power, jurisdiction or authority to abolish, dissolve or terminate the district while the district has any outstanding indebtedness of any kind or character.

Section 4. The board of commissioners shall organize by electing one (1) of its members as chairman and another as vice chairman. The chairman shall preside at all meetings of the board and shall act as the chief executive officer of the board of commissioners. The vice chairman shall act in the absence or disability of the chairman. The board of commissioners also shall elect and fix the compensation of a secretary-treasurer who may or may not be a member of the board of commissioners. The secretary-treasurer shall keep all minutes and records of the board and shall keep safely all funds of the district. The secretary-treasurer shall be required to execute a bond, payable to the district, in a sum and with such surety as shall be fixed and approved by the board of commissioners. The terms of all officers of the board of commissioners shall be for one (1) year from and after date of election and shall run until their respective successors are appointed and qualified. The board of commissioners shall adopt an official seal with which to attest the official acts and records of the board and district.

Section 5. Every qualified elector, as described under Section 3 of this act, of Tunica County of good reputation, being at least twenty-five (25) years of age and of sound and disposing mind and judgment, shall be eligible to hold the office of commissioner.  * * * Each person appointed as a commissioner, before entering upon the discharge of the duties of his office, shall be required to execute a bond payable to the State of Mississippi in the penal sum of Ten Thousand Dollars ($10,000.00) conditioned that he will faithfully discharge the duties of his office; each bond shall be approved by the clerk of the board of supervisors and filed with the clerk. Each commissioner shall take and subscribe to an oath of office before the clerk of the board of supervisors that he will faithfully discharge the duties of the office of commissioner, which oath also shall be filed with the clerk and by him preserved with the official bond. The commissioners appointed and qualified shall be compensated for their services for each regular or special meeting of the board of commissioners attended at a rate fixed by the board of supervisors and shall be reimbursed for all expenses necessarily incurred in the discharge of their official duties.

Section 6. The district shall have the powers enumerated in the resolution of the board of supervisors creating the district, which shall be limited to constructing, acquiring, reconstructing, improving, bettering or extending roadways and streets, including curbing, gutters, street lights, irrigation, landscaping and sidewalks, and facilities for a water, sewer, gas utility, fire protection or storm drainage system, or any combination thereof, and to conduct and operate the facilities and to contract with any municipality, county or other governmental entity, or with any person, firm or corporation for a supply of water, gas or other services required incident to the operation and maintenance of the system. As long as the district continues to furnish any of the utility services which it is authorized to furnish in and by the resolution by which it was created, as the resolution may be supplemented from time to time under Section 7 of this act, it shall be the sole public corporation empowered to furnish those services within the district. (However, any utility serving any portion of the district previously certificated by the Mississippi Public Service Commission shall continue to serve the certificated area under the terms of its existing certificate unless such certificate is cancelled, sold, transferred or otherwise disposed of pursuant to Section 77-3-1 et seq., Mississippi Code 1972.)

Section 7. Any area adjacent to the district which is situated within Tunica County and not within the corporate boundaries of any municipality existing on the effective date of House Bill No. 1889, 1997 Regular Session, may be added to the district by order of the board of supervisors of Tunica County upon the written consent of one hundred percent (100%) of the owners of real property to be so added. Any area adjacent to the district which is situated within Tunica County may be annexed to and become a part of the district by the same procedure as prescribed in Section 2 of this act for the original creation of the district.  * * * The petition for any annexation must be signed by the owners of no less than seventy-five percent (75%) of the land to be annexed into the district, computed on a square foot basis. Any service enumerated in Section 6 of this act not authorized in the resolution of the board of supervisors creating the district may be added to the services authorized to be provided by the district by the same procedure as prescribed in Section 2 of this act for the original creation of the district. None of the territory lying within the district shall be subject to annexation by any city, town or village unless all of the territory of the district be so annexed, in which event the city, town or village shall assume the operation and maintenance of the facilities of the district and all obligations of the district with respect to the payment of any outstanding bonds of the district and all other contractual obligations of the district.

Section 8. (1) The district may issue bonds to provide funds for constructing, acquiring, reconstructing, improving, bettering or extending the facilities to provide the services that the district is authorized to provide pursuant to this act, and for acquiring land for those purposes. The bonds shall be payable primarily from the revenues of the facilities and, if so provided for in the proceedings authorizing the bonds, the bonds shall be payable also from special assessments levied pursuant to Section 13 of this act. In addition, if so provided for in the proceedings authorizing the bonds and agreed to by resolution of the board of supervisors authorizing the board of commissioners to make such pledge, the bonds shall be payable also from the avails of the ad valorem tax levy provided for in paragraph (2) of this section, or from any combination of moneys from the revenues, special assessments and tax levies. The bonds may be issued without an election being held upon the question of their issuance and without the publication of any notice of intention to issue the bonds. The board of commissioners shall issue bonds of the district by resolution spread upon the minutes of the board. The bonds shall contain those covenants and provisions, be executed, bear interest at the rate or rates not to exceed fourteen percent (14%) per annum, be in the denomination or denominations, be payable, both as to principal and interest, at the place or places, and mature at the time or times not exceeding thirty-five (35) years from their date, as determined by the board of commissioners and set forth in the resolution pursuant to which the bonds are issued; however, any such bonds which are secured by a pledge of special assessments in addition to a pledge of revenues shall mature at such time or times not exceeding the time period over which such special assessments are payable, as determined by the board of commissioners pursuant to Section 15 of this act. Any provisions of the general laws to the contrary notwithstanding, any bonds and interest coupons issued pursuant to the authority of this act shall possess all of the qualities of negotiable instruments, and the bonds, premium, if any, and interest thereon shall be exempt from all state, county, municipal and other taxation under the laws of the State of Mississippi. Any bonds issued pursuant to the authority of this act may be refunded in the manner provided in this act upon a finding by the board of commissioners that such refunding is in the public interest, and bonds for the betterment, improvement or extension of roadways, streets or other facilities of the district may be included with the refunding bonds. The bonds may be sold without the necessity of advertising for bids therefor, and may be sold by negotiated private sale and on those terms, conditions and covenants agreed to by and between the issuing authority and the purchasers of the bonds.

(2) If provided in the proceedings authorizing the issuance of the bonds and agreed to by resolution of the board of supervisors authorizing the board of commissioners to make the pledge, then when there are insufficient revenues accruing from the operation of the district or insufficient revenues received from special assessments authorized under this act, or from both together, according to the provisions made in the proceedings authorizing the issuance of such bonds, to meet the interest and/or principal payments when due on any bonds issued under the authority of this act, then, upon certification of that fact by the board of commissioners to the board of supervisors, the board of supervisors shall levy an ad valorem tax on all taxable property within the geographical limits of the district, which tax, together with any other moneys available for such purpose, shall be sufficient to provide for the payment of the principal of and interest on such bonds as the same falls due, and, if so provided in the proceedings for the issuance of such bonds, to replenish any reserve fund established for such bonds.

(3) Notwithstanding any other provision of this act, no taxes or special assessments will be imposed by the district or Tunica County on property of the Yazoo-Mississippi Delta Levee District in connection with the issuance of bonds by the district; however, the district and Tunica County may levy taxes and impose special assessments on the leasehold interests of private entities in real property included in property owned by the Yazoo-Mississippi Delta Levee District and on any personal property of such private entities located on property owned by the Yazoo-Mississippi Delta Levee District. Such taxes and special assessments shall be applied in the manner set forth in the proceedings pertaining to the taxes and special assessments, consistent with the provisions of this act.

Section 9. The district shall be vested with all the powers necessary and requisite, which are capable of being delegated by the Legislature for the accomplishment of the purpose for which the district is created. No enumeration of powers in this act shall be construed to impair or limit any general grant of power contained in this act nor to limit any grant of power or powers of the same class or classes as those enumerated. The district is empowered to do all acts necessary, proper or convenient in the exercise of the powers granted under this act.

Section 10. (1) The district, acting by and through the board of commissioners, shall have the following, among other, powers:

(a) To sue and be sued;

(b) To acquire by purchase, gift, devise, or lease and to hold and dispose of real and personal property of every kind within or without the district, including franchise rights; however, the sale, assignment, lease or transfer of any certificate of public convenience and necessity or utility property shall be subject to Section 77-3-23, Mississippi Code of 1972;

(c) To make and enter into contracts, conveyances, mortgages, deeds of trust, bonds, leases or contracts for financial advisory services;

(d) To incur debts, to borrow money, to issue negotiable bonds, and to provide for the rights of the holders thereof;

(e) To fix, maintain, collect and revise rates and charges for the services rendered by or through the facilities of the district, which rates and charges shall not be subject to review or regulation by the Mississippi Public Service Commission except in those instances where a city operating similar services would be subject to regulation and review; however, the district shall obtain a certificate of convenience and necessity from the Mississippi Public Service Commission for operating utility systems under the commission's jurisdiction;

(f) To pledge all or any part of its revenues to the payment of its debt obligations, including, but not limited to, revenues from the district's operations, revenues from special assessments and tax revenues;

(g) To make such covenants in connection with the issuance of bonds or to secure the payment of bonds that a private business corporation can make under the general laws of the state;

(h) To use any right-of-way, easement or other similar property rights or any material or equipment necessary or convenient in connection with the acquisition, improvement, operation or maintenance of the facilities of the district held by the state or any political subdivision thereof; however, the governing body of the political subdivision shall consent to the use;

(i) To enter into agreements with state and federal agencies for loans, grants and aid, and other forms of assistance, including, but not limited to, participation of the sale and purchase of bonds, and to enter into agreements with state agencies, federal agencies and political subdivisions of the State of Mississippi pertaining to matters relating to the operation of any services of the district authorized under this act, and such state agencies and political subdivisions of the State of Mississippi may so contract with the Diamond Lakes Utilities and Improvements District;

(j) To be deemed to have the same status as counties and municipalities with respect to payment of sales taxes on purchases made by the districts for district purposes;

(k) To sell to any municipality in the county, under those terms, conditions and covenants that may be imposed or required by the district, part or all of the utility system or systems within the district; however, * * * in the event of a sale of all of the system or systems, the municipality shall assume all obligations of the district as a condition precedent to the sale;

(l) To contract with any municipality in the county for the operation, maintenance and extension of any utility system or systems or storm drainage systems in the district by the municipality, or with the county for the operation, maintenance and extension of any roadway or street, or for the dedication thereof, upon those terms, conditions and covenants that may be agreed upon between the municipality or the county and the district;

(m) To contract with the United States of America, or any agency of the United States of America, the State of Mississippi, or any political subdivision of the State of Mississippi, or any agency, commission, authority, board or other entity thereof, or any municipality or municipalities, for any of the additional purposes authorized by Section 12 of this act;

(n) To contract with any person, partnership, corporation or other entity for the operation and maintenance, including billing services, of any property or facilities of the district, upon those terms, conditions, and covenants that may be agreed upon by the contracting parties; and

(o) To contract with any person, partnership, corporation or other entity pursuant to which the party may acquire, by construction or otherwise, all or any part of a water and/or sewer system with private funds in advance of the issuance of bonds by the district, and the party may be reimbursed by the district for the costs upon the issuance and delivery of bonds and upon conveyance of the water and/or sewer facilities to the district.

(2) The board of supervisors of the county may, upon petition by the commissioners, exercise the power of eminent domain on behalf of the district wherever and whenever public necessity and convenience so requires.

Section 11. If the district includes water or sewer facilities, or both, the board of supervisors, where it finds unhealthy or unsanitary or deleterious conditions existing because of inadequate or contaminated water supplies or lack of approved septic tanks or because of high water tables, or inadequate drainage or inadequate provisions for disposal of sewage, may require, by order or resolution, all dwellings and buildings within the district that are within reasonable proximity to the systems to be connected to the water and sewer systems of the district. Any person, firm or corporation within the district declining or refusing to connect to the district water and/or sewer system after the adoption by the board of supervisors of an order or resolution under this section shall be guilty of a misdemeanor and subject to a fine not to exceed One Hundred Dollars ($100.00), to be imposed by any court of competent jurisdiction. Each day that any dwelling or building remains unconnected to the district water and/or sewer system shall constitute a separate offense. After the adoption of an order or resolution under this section, it shall be unlawful for any dwelling or building to be constructed within the district, unless, where it is feasible to do so, provision is made to connect the building or dwelling to the district water and/or sewer system, and the drilling of private wells to provide water for human consumption and the construction of outhouses, cesspools and septic tanks may be declared to be unlawful and punishable as a misdemeanor as provided in this section.

Section 12. In addition to the purposes specified under Section 8(1) of this act, the district may issue bonds of the district in the manner provided in Section 8 for any or all of the following purposes:

(a) To refund the outstanding * * * bonds of the district upon a finding by the board of commissioners that such refunding is in the public interest;

(b) To improve, better or extend roadways and streets, including curbing, gutters, street lights, irrigation, landscaping and sidewalks, and the water, sewer or gas utility system or systems and fire protection system or storm drainage systems of the district;

(c) To purchase or acquire part or all of the utility system or systems and fire protection system of any other district or municipality located in whole or in part in the county, including part or all of the system or systems within the corporate boundaries of any municipality;

(d) To provide for the payment of the principal, premium and interest on the outstanding * * * bonds of any other district or municipality in connection with the purchase of any facilities of the district or municipality, and to purchase or acquire the outstanding * * * bonds of any other district or municipality;

 * * *

(e) To purchase or acquire part or all of any privately owned utility system or systems;

(f) To enter into cooperative agreements with the state or federal government, or both (reference to the state or federal government as used in this paragraph shall include any agency of the state or federal government); to obtain financial assistance in the form of loans or grants as may be available from the state or federal government, or both * * *; and to execute and deliver at private sale notes or bonds as evidence of the indebtedness in the form and subject to the terms and conditions as may be imposed by the state or federal government, or both; and to pledge the income and revenues of the district, or the income and revenues from any part of the area embraced in the district (which revenues in either instance shall include, but not be limited to, revenues from special assessments and tax revenues) in payment thereof; and the state may enter into such agreements with the district;

(g) To purchase or acquire part or all of any utility system or systems located in whole or in part in the county owned by the United States of America, or any agency of the United States of America, or the State of Mississippi, or any political subdivision of the State of Mississippi, or any agency, commission, authority, board or other entity thereof, and to provide for the following in connection with the purchase of such system or systems:

(i) If any outstanding bonds to be purchased, acquired or refunded by the district, by the terms of the bonds, mature without option of prior payment after the maturity date of the district bonds to be issued or mature on specified dates, but with the option reserved to call in, pay and redeem the bonds on a date subsequent to the maturity date of the district bonds to be issued, and the holder or holders of those outstanding revenue bonds are numerous, cannot be immediately located or will not accept district bonds to be issued in exchange for and upon surrender and cancellation of a like amount of the outstanding bonds, then the district, in its discretion, may sell district bonds and deposit with a trustee to be designated in the resolution issuing the district bonds an amount sufficient to redeem all such outstanding county, district or municipal bonds, together with accrued interest and any premium required for the redemption on the earliest call date or on the maturity date of noncallable bonds. The deposits shall be a trust fund and shall be used for no purpose other than the redemption of the outstanding bonds, the payment of interest thereon as the bonds mature and come due and the payment of any premium required for redemption of the bonds on their callable or maturity date or dates. If any of the outstanding bonds are subject to call for redemption, the district, the issuance of district bonds therefor, shall exercise the right or call and shall call the outstanding bonds for redemption on the earliest possible call date.

(ii) The district may direct, by resolution, that the trust fund be invested in bonds, notes, certificates or other obligations of or guaranteed by the United States of America and maturing or being redeemable at or before the time when the funds will be needed for the redemption of the outstanding bonds. For the purpose of determining the adequacy of the deposits, the maturity value or redemption value of all the investments and the interest accruing thereon to maturity or call date shall be considered as cash on hand. The district may make covenants and do any acts that may be necessary, convenient and desirable in order to secure the bonds to make the bonds more marketable, notwithstanding that those covenants or acts may not be enumerated or expressly authorized in this act. It is the intention of the Legislature to give the governing authority of the district, in issuing the bonds, the power to do all things required or necessary in the issuance of the bonds and for their execution which is not inconsistent with this act and the Constitution of the State of Mississippi.

(iii) The district bonds authorized in this section may be issued concurrently and in combination with bonds issued to provide funds for any of the purposes authorized by this act. In the issuance of bonds under this section, a sufficient sum may be added to the principal amount of the bonds to provide for the payment of all reserves, interest, expenses, premiums, fees and commissions deemed necessary or advantageous incident to the issuance and delivery or exchange of the bonds, and to provide for the payment, into a reserve fund, of a sum not exceeding the maximum annual principal and interest requirements of the bonds as a reserve for the bonds.

Section 13. The board of commissioners, in its discretion, may exercise the powers set forth in this act at the cost of the property owners in the district. The board of commissioners may levy and collect special assessments on properties located in the district and may either issue negotiable special improvement bonds of the district or pledge the receipts from the special assessments to secure the payment of the principal of premium, if any, and interest on any bonds authorized pursuant to this act. Any special assessments shall be levied and collected in the manner authorized in Sections 21-41-1 through 21-41-53, Mississippi Code of 1972, except to the extent otherwise provided for in this act. The board of commissioners may secure bonds of the district solely from the receipts from special assessments, or may pledge such receipts in addition to the pledge of revenues of the district or the receipts from any tax levy authorized in this act, or from any combination of moneys from the special assessments, revenues and tax levies.

Section 14. Bonds issued pursuant to this act shall be payable as to principal and interest solely from the sources authorized by this act. Any bonds secured by a pledge of the special assessments authorized in Section 13 shall mature at any time or times, not exceeding twenty (20) years from the date of the bonds, and may be in fully registered form or in bearer form, as determined by the board of commissioners.

Section 15. All special assessments levied under this act shall be payable in equal annual installments over a period not in excess of twenty (20) years, as determined by the board of commissioners, with interest from the date of the confirmation of the assessment at a rate, to be fixed by the board of commissioners, which will produce sufficient funds for the payment of all or a specified portion of the principal and interest on the bonds as they mature and accrue and for fees and expenses for a paying agent or trustee, or both, for the bonds. The amount to be paid pursuant to such special assessments may be limited by the board of commissioners to the amounts needed for the purposes specified in this section. Any property owner who shall not have taken an appeal from the assessment, upon failure to pay the assessment in full within thirty (30) days from the date of confirmation, shall be deemed to have elected to pay the assessment in installments as provided in this section, and he shall be deemed to have admitted the legality of the assessment, and the right to contest the validity of the assessment shall be waived. The installments of the assessment shall be due and payable at the same time that the annual real property tax becomes due and payable, commencing with the first county tax levy which is payable after the expiration of thirty (30) days from the date of confirmation of the assessment.

Section 16. The resolution declaring the intent of the board of commissioners to proceed with the special improvements authorized by this act may direct that all of the expenses of the property or facilities of the district, or such part of the expenses that the board of commissioners shall charge upon the properties in the district, shall be assessed according to the frontage rule or area rule, as outlined in this section. Bonds may be issued for one or more projects, and the area and method of assessment for each project shall be specified in the resolution declaring the intent of the board of commissioners of the district to proceed with that project.

The resolution declaring the intent of the board of commissioners to proceed with the special improvements shall: (a) define the area to be benefited by each improvement, with each improvement being designated as a project; (b) fix the amount or percentage of the charge to be levied upon the property benefited; (c) designate the minimum and maximum number of years between the date of the bonds and the maturity of those bonds; (d) delineate the method of determining the amount of special assessments to be levied on each lot or parcel of land; and (e) designate the minimum and maximum number of equal annual installments that the board of commissioners may later allow for the payment of assessments with interest on those assessments.

If the board of commissioners determines that the front foot rule is the most equitable method of distributing the cost among the properties, then the resolution shall direct that the cost to be assessed against each lot or parcel of land shall be determined by dividing the entire cost to be assessed by the total number of front feet of real property abutting upon the utility easement, street, railroad or public or private right-of-way on which the project is located and which will be subject to such special assessment, and multiplying the quotient by the total number of front feet in any particular lot or parcel of land fronting on the utility easement, street, railroad or public or private right-of-way on which the project is located. The result of this formula shall be assessed against each lot or parcel of land for the owner's part of the cost of the entire improvement to be paid through special assessments.

If the board of commissioners determines that the area rule is the most equitable method of distributing the cost among the properties, then the resolution shall direct that the cost to be assessed against each lot or parcel of land shall be determined by dividing the entire cost to be assessed by the total number of acres or square feet in the area being benefited and which is subject to such special assessment, and multiplying the quotient by the total number of acres or square feet in any particular lot or parcel of land. The result of this formula shall be assessed against each lot or parcel of land for the owner's part of the cost of the entire improvement to be paid through special assessments.

Section 17. If the owners of a majority of the front footage of the property to be assessed under the front foot rule, or if the owners of a majority of the area of the property to be assessed under the area rule, as described in Section 16, file a written protest objecting to the assessments authorized under this act and in Section 21-41-7, Mississippi Code of 1972, then the board of commissioners shall not proceed with the special assessment.

Section 18. This act, without reference to any other statute, shall be deemed to be full and complete authority for the creation of the district, and this act, including the provisions of Sections 21-41-1 through 21-41-53, Mississippi Code of 1972, which are not in direct conflict with the provisions of, shall be deemed to be full and complete authority for the issuance of bonds by the district and shall be construed as additional and alternative methods therefor. All powers necessary to be exercised in order to carry out the provisions of this act are hereby conferred. No proceedings shall be required for the creation of the district or for the issuance of the bonds other than those provided for and required in this act. Any municipality or district or other entity located in whole or in part in Tunica County, Mississippi, is authorized to sell part or all of its water, sewer, or gas or storm drainage system to the district. All the necessary powers to be exercised by the board of supervisors of the county and the board of commissioners of the district, and the governing authorities of any municipality or district that determines to sell part or all of its water, sewer or gas system to the district in order to carry out this act are hereby conferred.

Section 19. Any bonds issued under this act may be submitted to validation under the provisions of Chapter 13, Title 31, Mississippi Code of 1972.

Section 20. The district shall have its financial records and books audited annually by the State Department of Audit. Additionally, the district shall have its financial records and books audited annually, within a period of six (6) months after the close of its fiscal year, by a certified public accountant. The audit shall be performed in accordance with generally accepted auditing standards and the financial statements shall be prepared in accordance with generally accepted accounting principles. The audit report shall include supplemental schedules of expenditures for (travel, salaries, legal, audit, etc.) showing for each individual expenditure: (1) to whom the expenditure was made; (2) the expenditure amount; and (3) an explanation of why the expenditure was made. The audit report shall be published, within thirty (30) days after being received, in at least one (1) newspaper having general circulation in the county where the district is located.

Section 21. This act shall be liberally construed for the purposes set out in the act, the powers hereby granted being additional, cumulative and supplemental to any power granted to Tunica County, Mississippi, or any municipality or district therein by any general or local act of the Legislature.

Section 22. If any provision of this act shall be held to be invalid by any court of competent jurisdiction, the remainder of this act shall not be affected by that determination.

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