MISSISSIPPI LEGISLATURE

1997 Regular Session

To: Finance

By: Senator(s) Bryan

AN ACT TO CREATE THE GENERAL OBLIGATION BOND PROCEEDS ANTICIPATION FUND TO PROVIDE FUNDS TO BEGIN WORK ON CAPITAL IMPROVEMENT PROJECTS THAT ARE SPECIFICALLY AUTHORIZED TO BE FINANCED BY THE ISSUANCE OF STATE GENERAL OBLIGATION BONDS PRIOR TO THE ISSUANCE OF SUCH BONDS; TO PROVIDE THAT UPON A DETERMINATION BY THE STATE BOND COMMISSION THAT IT IS ADVANTAGEOUS TO THE STATE THAT PROJECTS THAT ARE AUTHORIZED TO BE FINANCED BY THE ISSUANCE OF STATE GENERAL OBLIGATION BONDS BE BEGUN PRIOR TO THE ISSUANCE OF SUCH GENERAL OBLIGATION BONDS FOR SUCH PROJECTS, THE STATE TREASURER SHALL GRANT A NONINTEREST-BEARING LOAN FROM THE STATE TREASURER'S GENERAL FUND/SPECIAL FUND POOL TO THE GENERAL OBLIGATION BOND PROCEEDS ANTICIPATION FUND IN THE AMOUNT THAT IS DETERMINED TO BE NECESSARY BY THE STATE BOND COMMISSION; TO REQUIRE THE STATE BOND COMMISSION TO REPAY THE FUNDS BORROWED WITH THE PROCEEDS OF THE BONDS ISSUED FOR THE PROJECTS FOR WHICH SUCH FUNDS WERE USED AS SOON AS POSSIBLE; TO AMEND SECTION 27-104-27, MISSISSIPPI CODE OF 1972, TO REMOVE SUCH FUND FROM THE APPROPRIATIONS PROCESS; AND FOR RELATED PURPOSES. 

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

SECTION 1. (1) There is created in the State Treasury a special fund, separate and apart from any other fund, to be designated the General Obligation Bond Proceeds Anticipation Fund, into which shall be deposited money in the manner prescribed in this section. Money in this fund shall be used by the Department of Finance and Administration to begin work on projects that are specifically authorized to be financed by the issuance of state general obligation bonds as approved by the State Bond Commission prior to the issuance of such bonds.

(2) Upon a determination by the State Bond Commission that it is advantageous to the state that a project that is authorized to be financed by the issuance of state general obligation bonds be begun prior to the issuance of the state general obligation bonds for the project, the State Treasurer shall grant a noninterest-bearing loan from the State Treasurer's General Fund/Special Fund Pool to the General Obligation Bond Proceeds Anticipation Fund created pursuant to this section in the amount that is determined to be necessary by the State Bond Commission.

(3) The Department of Finance and Administration shall keep an accurate record of the amounts borrowed and the projects for which the money from the fund is used. The Department of Finance and Administration shall repay to the State Treasurer's General Fund/Special Fund Pool the funds borrowed pursuant to this section with the proceeds of the bonds issued for the projects for which money from the fund was used as soon as possible.

SECTION 2. Section 27-104-27, Mississippi Code of 1972, is amended as follows:

27-104-27. Notwithstanding anything in Sections 27-103-101 through 27-103-139 and 27-104-1 through 27-104-29 contained, the same shall not be construed to apply to any agency supported wholly by funds granted or allotted under any Act of Congress. * * * The State Fiscal Officer shall determine which special fund accounts in the State Treasury require an appropriation act and request an appropriation for such special fund accounts. For all other special fund accounts, * * * the State Fiscal Officer * * * shall certify that such accounts do not require an appropriation. The Legislative Budget Office shall recommend an appropriation for each special fund account existing in the State Treasury so certified as requiring an appropriation, unless exempted as hereinafter provided. In the event the Legislative Budget Committee and the State Fiscal Officer find that any state agency should not be included under the provisions of Sections 27-103-101 through 27-103-139 and 27-104-1 through 27-104-29, then the * * * committee and officer may, in their discretion, exempt such state agency from the provisions thereof. Sections 27-103-101 through 27-103-139 and 27-104-1 through 27-104-29 shall not apply to funds collected and disbursed by a state agency created and existing under the provisions of Sections 73-3-101 through 73-3-169. Sections 27-103-101 through 27-103-139 and 27-104-1 through 27-104-29 shall not apply to funds deposited into the special fund created pursuant to Section 45-9-101, or the special fund created in Section 1 of Senate Bill No. 2731, 1997 Regular Session.

The State Fiscal Officer shall not promulgate or attempt to enforce any rule, order or regulation which is not in accordance with the provisions of a legally executed trust indenture agreement; nor shall Sections 27-103-101 through 27-103-139 and 27-104-1 through 27-104-29 be construed to apply to funds collected and disbursed by a state agency under Sections 65-33-45 and 65-33-47.

SECTION 3. This act shall take effect and be in force from and after its passage.