MISSISSIPPI LEGISLATURE

1999 Regular Session

To: Finance

By: Senator(s) Moffatt, Robertson, Dickerson, Lee, Hewes, Gollott

AN ACT TO AUTHORIZE THE ISSUANCE OF GRANT ANTICIPATION NOTES OR BONDS TO DEFRAY THE COST OF CONSTRUCTING THE HIGH RISE BRIDGE ON U.S. HIGHWAY 90 OVER THE PASCAGOULA RIVER WITHIN THE CITY LIMITS OF PASCAGOULA IN THE AMOUNT OF $30,000,000.00; TO GRANT THE STATE BOND COMMISSION CERTAIN ADDITIONAL POWERS WITH REGARD TO SUCH NOTES OR BONDS; TO PROVIDE THAT THE DEBT SERVICE FOR SUCH NOTES OR BONDS SHALL BE PAID FROM ANY LEGALLY AVAILABLE FUNDS, INCLUDING FEDERAL AID GRANT REIMBURSEMENTS DESIGNATED FOR SUCH PROJECT; TO CREATE THE "HIGH RISE BRIDGE AT PASCAGOULA TRUST FUND" INTO WHICH SHALL BE DEPOSITED ALL FEDERAL AID GRANT REIMBURSEMENTS SPECIFICALLY DESIGNATED FOR SUCH PROJECT; TO PROVIDE THAT MONEY IN SUCH FUND SHALL BE UTILIZED TO PAY THE DEBT SERVICE ON SUCH NOTES OR BONDS; TO PROVIDE THAT AMOUNTS NOT NEEDED TO DEFRAY THE DEBT SERVICE ON SUCH NOTES OR BONDS SHALL BE TRANSFERRED TO THE STATE HIGHWAY FUND; TO AMEND SECTION 27-104-27, MISSISSIPPI CODE OF 1972, TO EXEMPT THE HIGH RISE BRIDGE AT PASCAGOULA TRUST FUND FROM THE REQUIREMENT OF AN APPROPRIATION; AND FOR RELATED PURPOSES.

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

SECTION 1. (1) At any time when federal revenue designated to defray the cost of constructing the high rise bridge on U.S. Highway 90 over the Pascagoula River within the city limits of the City of Pascagoula, Mississippi (High Rise Bridge at Pascagoula), is insufficient to fund the construction priorities of such bridge as they are scheduled, the State Bond Commission, upon receipt of a resolution from the Mississippi Transportation Commission requesting the same, is hereby authorized to issue grant anticipation notes or bonds in the aggregate principal amount not to exceed Thirty Million Dollars ($30,000,000.00) in order to provide funds in such amounts as may be deemed necessary. Such bonds shall mature not more than five (5) years from the date of issuance.

(2) In order to provide for, and in connection with the issuance of such notes or bonds, the State Bond Commission is hereby authorized in the name and on behalf of the state to enter into agreements with any banks, trust companies, investment banking firms or other institutions or persons in the United States having the power to enter the same:

(a) To purchase or underwrite an issue or series of issues of notes or bonds;

(b) To appoint or act as issuing and paying agent or agents with respect to such notes or bonds; and

(c) To do such other acts as may be necessary or appropriate to provide for the payment, when due, of the principal of and interest on such notes or bonds.

Such agreements may provide for the compensation of any purchasers or underwriters of the notes or bonds by the payment of a fixed fee or commission at the time of issuance thereof, and for all other costs and expenses, including fees for agreements related to such notes or bonds and paying agent costs. Costs and expenses of issuance may be paid from the proceeds of the notes or bonds.

(3) At or prior to delivery of the notes or bonds, the State Bond Commission shall determine the principal amounts, dates of issue, interest rate or rates, rates of discount, denominations and all other terms and conditions relating to the issuance. The State Treasurer shall perform all acts and things necessary to pay or cause to be paid, when due, all principal of and interest on the notes or bonds all subject to the authorization and direction of the State Bond Commission.

(4) Such notes or bonds evidencing such borrowing to defray the cost of constructing the High Rise Bridge at Pascagoula shall be funded and retired by the revenue from any and all legally available funds, including, but not limited to, federal aid grant reimbursements which are hereby pledged for this purpose, which is intended to be a priority use for such pledged funds for so long as any notes or bonds are outstanding. Such revenues shall be deposited into the High Rise Bridge at Pascagoula Trust Fund for the repayment of the debt service of the notes or bonds in accordance with subsection (5).

(5) There is created in the State Treasury a special fund designated as the "High Rise Bridge at Pascagoula Trust Fund" into which shall be deposited any and all federal aid grant reimbursements specifically designated for the construction of the High Rise Bridge at Pascagoula. Except as otherwise provided in this section, money in the fund shall be utilized to pay the debt service requirements of the notes or bonds issued under this act. Unexpended amounts in the fund at the end of a fiscal year shall not lapse into the State General Fund, and any interest earned on amounts in the fund shall be deposited to the credit of the fund. Money in the fund may not be used or expended for any other purpose except as authorized under this subsection. The State Treasurer shall disburse money from the fund for the purposes authorized under this subsection. At such time as the amount of money in the fund is sufficient to satisfy all the debt service requirements of the notes or bonds issued under this section, the State Treasurer shall transfer the excess amount in the fund to the State Highway Fund.

(6) Any state laws authorizing the imposition or distribution of federal reimbursements designated for the High Rise Bridge at Pascagoula or that affect such federal reimbursements pledged for the payment of the notes or bonds issued under this section, shall not be amended or repealed or otherwise directly or indirectly modified so as to impair such notes or bonds unless such notes or bonds have been discharged in full or provisions have been made for a full discharge or defeasance.

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 Auditor of Public Accounts and after July 1, 1986, 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 Auditor of Public Accounts, or the State Fiscal Officer after July 1, 1986, 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 said committee and officer may, in their discretion, exempt said 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, the special fund created pursuant to Section 69-37-39 or the special fund created pursuant to Section 1 of Senate Bill No. 3192, 1999 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.