MISSISSIPPI LEGISLATURE

2004 3rd Extraordinary Session

To: Ways and Means

By: Representative Watson

House Bill 2

AN ACT TO AUTHORIZE THE ISSUANCE OF STATE GENERAL OBLIGATION BONDS FOR THE PURPOSE OF MAKING CAPITAL IMPROVEMENTS FOR INSTITUTIONS OF HIGHER LEARNING, STATE AGENCIES AND COMMUNITY AND JUNIOR COLLEGES; TO PROVIDE FOR THE ISSUANCE OF STATE GENERAL OBLIGATION BONDS FOR THE AYERS SETTLEMENT CAPITAL IMPROVEMENTS FUND; TO AUTHORIZE PREPLANNING OF CERTAIN FACILITIES; TO AUTHORIZE THE ISSUANCE OF $20,000,000.00 IN STATE GENERAL OBLIGATION BONDS TO PROVIDE FUNDS FOR THE LOCAL SYSTEM BRIDGE REPLACEMENT AND REHABILITATION FUND; TO AMEND SECTION 65-37-13, MISSISSIPPI CODE OF 1972, TO PROVIDE THAT THE LEGISLATURE SHALL NOT BE REQUIRED TO APPROPRIATE FUNDS DURING THE 2004 REGULAR SESSION TO BE DEPOSITED INTO THE LOCAL SYSTEM BRIDGE REPLACEMENT AND REHABILITATION FUND; TO AMEND SECTIONS 3 THROUGH 18, CHAPTER 541, LAWS OF 2001, AS AMENDED BY CHAPTER 540, LAWS OF 2002, AS AMENDED BY CHAPTER 519, LAWS OF 2003, TO INCREASE THE AMOUNT OF STATE GENERAL OBLIGATION BONDS THAT MAY BE ISSUED FOR THE PURPOSE OF PROVIDING FUNDS FOR THE BUILDING FUND FOR THE ARTS; TO AMEND SECTION 39-11-13, MISSISSIPPI CODE OF 1972, TO REVISE THE PURPOSES FOR WHICH MONIES IN THE BUILDING FUND FOR THE ARTS MAY BE USED AND TO AUTHORIZE GRANTS FROM SUCH FUND FOR CERTAIN PROJECTS; TO AUTHORIZE THE ISSUANCE OF STATE GENERAL OBLIGATION BONDS TO PROVIDE FUNDS TO THE MISSISSIPPI MUSEUM OF ART FOR ACQUISITION OF LAND, PLANNING AND SITE PREPARATION FOR A FACILITY FOR THE MISSISSIPPI MUSEUM OF ART IN JACKSON, MISSISSIPPI; TO AUTHORIZE THE ISSUANCE OF STATE GENERAL OBLIGATION BONDS FOR THE PURPOSE OF PROVIDING ADDITIONAL FUNDS FOR THE MISSISSIPPI COMMUNITY HERITAGE PRESERVATION GRANT FUND; TO AMEND SECTION 39-5-145, MISSISSIPPI CODE OF 1972, TO REVISE THE MANNER IN WHICH GRANT FUNDS FOR A PROJECT IN THE CITY OF AMORY SHALL BE DISBURSED; TO PROVIDE THAT CERTAIN AMOUNTS IN THE COMMUNITY HERITAGE PRESERVATION GRANT FUND SHALL BE UTILIZED AS GRANTS FOR RESTORATION OF CERTAIN STRUCTURES AND FOR THE ACQUISITION AND PRESERVATION OF CERTAIN CIVIL WAR BATTLEFIELDS; TO AUTHORIZE THE DEPARTMENT OF FINANCE AND ADMINISTRATION TO SELL AND CONVEY CERTAIN PROPERTY IN THE CITY OF JACKSON, MISSISSIPPI, TO THE BOARD OF TRUSTEES OF THE MISSISSIPPI MUSEUM OF ART; TO REPEAL SECTION 3, CHAPTER 554, LAWS OF 2004, WHICH AUTHORIZED THE DEPARTMENT OF FINANCE AND ADMINISTRATION TO CONVEY CERTAIN PROPERTY IN JACKSON, MISSISSIPPI, TO THE BOARD OF TRUSTEES OF THE MISSISSIPPI MUSEUM OF ART; TO AUTHORIZE THE ISSUANCE OF STATE GENERAL OBLIGATION BONDS TO PROVIDE FUNDS FOR THE SUPPLEMENTARY RURAL FIRE TRUCK FUND; TO CREATE A SUPPLEMENTARY RURAL FIRE TRUCK ACQUISITION ASSISTANCE PROGRAM TO BE ADMINISTERED BY THE DEPARTMENT OF INSURANCE FOR THE PURPOSE OF ASSISTING COUNTIES AND MUNICIPALITIES IN THE ACQUISITION OF FIRE TRUCKS; TO CREATE THE SUPPLEMENTARY RURAL FIRE TRUCK FUND; TO AUTHORIZE THE ISSUANCE OF STATE GENERAL OBLIGATION BONDS TO PROVIDE FUNDS TO THE TOWN OF SHERMAN, MISSISSIPPI, FOR THE PURPOSE OF MAKING INFRASTRUCTURE IMPROVEMENTS, AND TO PROVIDE FUNDS TO THE CENTREVILLE DOWNTOWN DEVELOPMENT AUTHORITY FOR THE PURPOSE OF COMPLETING THE CAMP VAN DORN MUSEUM IN CENTREVILLE, MISSISSIPPI; TO AUTHORIZE THE ISSUANCE OF STATE GENERAL OBLIGATION BONDS IN THE AMOUNT OF $1,200,000.00 TO PROVIDE FUNDS TO ASSIST WAYNE COUNTY, CLARKE COUNTY AND LAUDERDALE COUNTY, AND MUNICIPALITIES LOCATED WITHIN SUCH COUNTIES, IN PAYING COSTS ASSOCIATED WITH CONSTRUCTION AND IMPROVEMENT OF RAILROAD LINES LOCATED IN SUCH COUNTIES AND WHICH CONSTITUTE PART OF A COOPERATIVE PLAN OF SUCH COUNTIES FOR THE IMPROVEMENT OF RAIL TRANSPORTATION; AND FOR RELATED PURPOSES.

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

SECTION 1. As used in Sections 1 through 21 of this act, the following words shall have the meanings ascribed herein unless the context clearly requires otherwise:

(a) "Accreted value" of any bond means, as of any date of computation, an amount equal to the sum of (i) the stated initial value of such bond, plus (ii) the interest accrued thereon from the issue date to the date of computation at the rate, compounded semiannually, that is necessary to produce the approximate yield to maturity shown for bonds of the same maturity.

(b) "State" means the State of Mississippi.

SECTION 2. (1) (a) A special fund, to be designated as the "2004-2005 IHL and State Agencies Capital Improvements Fund," is created within the State Treasury. The fund shall be maintained by the State Treasurer as a separate and special fund, separate and apart from the General Fund of the state. Unexpended amounts remaining in the fund at the end of a fiscal year shall not lapse into the State General Fund, and any interest earned or investment earnings on amounts in the fund shall be deposited into such fund.

(b) Monies deposited into the fund shall be disbursed, in the discretion of the Department of Finance and Administration, to pay the costs of capital improvements, renovation and/or repair of existing facilities, furnishings and/or equipping facilities for public facilities for agencies or their successors as hereinafter described:

NAME PROJECT AMOUNT

ALLOCATED

INSTITUTIONS OF HIGHER LEARNING................. $107,160,000.00

Alcorn State University......................... $ 12,600,000.00

Design, construction,

furnishing and equipping of

a new dining facility ....... $12,600,000.00

Delta State University.......................... $ 6,830,000.00

Repair and renovation of campus

buildings and facilities, repair,

renovation, replacement

and improvement of campus

infrastructure and purchase of

furniture and equipment ..... $ 2,830,000.00

Repair and renovation of

Bailey, Kethley and

Union Halls ................. $ 4,000,000.00

Jackson State University........................ $ 12,000,000.00

Continuation of Phase II

of the Lynch

Street Corridor

Project to include

utilities, landscaping,

irrigation and plaza

removal, land acquisition,

site improvements and repair

and renovation of campus

buildings and facilities, repair,

renovation, replacement

and improvement of campus

infrastructure and purchase

of furniture and

equipment ................... $ 2,000,000.00

Repair and renovation of the

Charles Moore Building....... $ 10,000,000.00

Mississippi University for Women................. $ 8,000,000.00

Repair and renovation

of Poindexter Hall .......... $ 7,000,000.00

Furnishing and equipping

of Martin Hall and

South Callaway Hall

and general repair and

renovation .................. $ 1,000,000.00

Mississippi State University.................... $ 17,000,000.00

Phase II of repair and renovation

and furnishing and equipping

of Colvard Student Union .... $ 7,000,000.00

Phase I of repair and

renovation of Harned Hall ... $ 6,000,000.00

Repair and renovation of campus

buildings and facilities, repair,

renovation, replacement

and improvement of campus

infrastructure .............. $ 4,000,000.00

Mississippi State University/Division of Agriculture,

Forestry and Veterinary Medicine.............. $ 5,300,000.00

Phase II construction and

furnishing and equipping of

a new building for the

Department of Agricultural and

Biological Engineering ...... $ 4,750,000.00

Repair and renovation of

Veterinary Medicine

facilities .................. $ 550,000.00

Mississippi Valley State University............. $ 7,750,000.00

Phase I of design, construction,

furnishing and equipping a

wellness center ............. $ 7,000,000.00

Repair and renovation of campus

buildings and facilities, repair,

renovation, replacement

and improvement of campus

infrastructure .............. $ 750,000.00

University of Mississippi....................... $ 13,250,000.00

Repair and renovation of campus

buildings and facilities,

repair, renovation, replacement

and improvement of campus

infrastructure and purchase of

furniture and equipment ..... $ 9,000,000.00

Repair and renovation of the

Old Chemistry Building ...... $ 4,000,000.00

Purchase of furniture and equipment

at the Institutions of Higher

Learning Center at

Southaven, Mississippi ...... $ 250,000.00

University Medical Center....................... $ 1,980,000.00

Repair and renovation of campus

buildings and facilities,

repair, renovation, replacement

and improvement of campus

infrastructure and purchase of

furniture and equipment ..... $ 1,980,000.00

University of Southern Mississippi.............. $ 12,000,000.00

Repair and renovation of campus

buildings and facilities; repair,

renovation, replacement

and improvement of campus

infrastructure; purchase of

furniture, equipment and

property; construction of

buildings and facilities; and

land acquisition ............ $ 8,000,000.00

Phase III of repair and renovation

of Reed Green Coliseum ...... $ 4,000,000.00

University of Southern Mississippi/

Gulf Park Campus.............................. $ 6,500,000.00

Phase II of construction, furnishing

and equipping of a health and

science building ............ $ 6,000,000.00

Repair and renovation of campus

buildings and facilities,

repair, renovation, replacement

and improvement of campus

infrastructure and purchase

of furniture and equipment .. $ 500,000.00

University of Southern Mississippi/

Gulf Coast Research Laboratory................ $ 3,950,000.00

Design, construction, furnishing

and equipping of a

research office/laboratory

facility at the Cedar

Point Campus ................ $ 3,700,000.00

Repair and renovation of campus

buildings and facilities, repair,

renovation, replacement

and improvement of campus

infrastructure and purchase of

furniture and equipment ..... $ 250,000.00

STATE AGENCIES.................................. $ 74,100,000.00

Department of Agriculture and Commerce.......... $ 4,070,000.00

Repair, renovation, demolition,

improvement and upgrade of

facilities and

infrastructure............... $ 2,000,000.00

Phase II of the relocation

of the Mississippi Farmers

Central Market to the State

Fairgrounds ................. $ 1,600,000.00

Roof repairs and necessary heating

and air conditioning system

modifications to the Heritage

Building at the Jim Buck Ross

Mississippi Agriculture and

Forestry Museum.............. $ 470,000.00

Department of Finance and Administration........ $ 45,600,000.00

Construction, furnishing and

equipping of a parking facility

and cafeteria adjacent to

the Sillers Building ........ $16,000,000.00

Tenant build-out, information

technology and furnishing and

equipping of the Sillers

Building..................... $ 3,000,000.00

Plazas, demolition, landscaping,

furnishing and equipping and

related items for occupancy of

the new Gartin justice facility

and the pedestrian mall and

green space located in the Sillers

Building block............... $ 6,000,000.00

Property acquisition, demolition

and site improvement in

the vicinity of

the Capitol Complex ......... $ 2,000,000.00

Planning and acquisition of property,

construction of facilities,

furnishing, equipping and

relocation of the State Tax

Commission and/or Mississippi

Department of Environmental

Quality ..................... $ 8,000,000.00

Roofing repairs, repair and/or

replacement of window and

weatherization at the

Robert E. Lee Building....... $ 3,000,000.00

General repairs and renovations

at the 101 Capitol

Centre Building.............. $ 2,000,000.00

Construction of additions to,

and general repairs and

renovations of, the Department

of Rehabilitation Services

Building..................... $ 3,000,000.00

Preplanning for projects listed

in subsection (5) of this

section...................... $ 2,600,000.00

Department of Corrections....................... $ 2,500,000.00

Repair and renovation of existing

facilities, infrastructure

repair and expansions and

furnishing and equipping

of facilities ............... $ 2,500,000.00

Department of Wildlife, Fisheries and Parks..... $ 3,000,000.00

Construction of minor new facilities,

additions to, and repair and renovation of

existing facilities and

furnishing and equipping

of facilities, repair to

dams, spillways and

other infrastructure ........ $ 3,000,000.00

Mississippi Schools for the Deaf and Blind...... $ 1,500,000.00

Continuation of renovations to

the Mississippi School for

the Deaf, Dormitory A

including furniture and

equipment; enhancements to

Phases II and III to include

audio and video communication,

furniture, equipment, lockers

and signage ................. $ 1,500,000.00

Department of Information and

Technology Services........................... $ 1,800,000.00

Phase II of installation of

communications infrastructure

and related equipment at the

Capitol Complex, the Education

and Research Center campus

and other state buildings

and connections between such

locations; preplanning for

a cooperative data center;

and delivery system and data

warehouse infrastructure for

geographic information/remote

sensing data ................ $ 1,800,000.00

Department of Human Services.................... $ 7,000,000.00

Design, construction, furnishing

and equipping of an academic,

administration, cafeteria

and counseling center building

at the Columbia Training

School and/or Oakley

Training School ............. $ 4,000,000.00

General repairs and renovations,

furnishing and equipping of

facilities and site work at

the Columbia Training School

and the Oakley Training

School ...................... $ 3,000,000.00

Mississippi Industries for the Blind............ $ 2,000,000.00

Phase I of a complete reuse plan

and construction, furnishing

and equipping of the Mississippi

Industries for the Blind Facility

and State Records Center at

the old Farmers' Market

location in Jackson ......... $ 2,000,000.00

Mississippi National Guard...................... $ 1,430,000.00

Provide matching funds to the

National Guard for

construction of readiness

center in Monticello,

Mississippi ................. $ 1,430,000.00

State Fire Academy.............................. $ 200,000.00

Repair of control tower, general

repairs and renovations and

additions to the classroom

building .................... $ 200,000.00

Mississippi Authority for Educational Television$ 5,000,000.00

Necessary upgrade to television

and radio system ............ $ 5,000,000.00

TOTAL........................................... $181,260,000.00

(2) (a) Amounts deposited into such special fund shall be disbursed to pay the costs of projects described in subsection (1) of this section. If any monies in such special fund are not used within four (4) years after the date the proceeds of the bonds authorized under Sections 1 through 21 of this act are deposited into the special fund, then the agency or institution of higher learning for which any unused monies are allocated under subsection (1) of this section shall provide an accounting of such unused monies to the commission. Promptly after the commission has certified, by resolution duly adopted, that the projects described in subsection (1) of this section shall have been completed, abandoned, or cannot be completed in a timely fashion, any amounts remaining in such special fund shall be applied to pay debt service on the bonds issued under Sections 1 through 21 of this act, in accordance with the proceedings authorizing the issuance of such bonds and as directed by the commission.

(b) Monies in the special fund may be used to reimburse reasonable actual and necessary costs incurred by the Department of Finance and Administration, acting through the Bureau of Building, Grounds and Real Property Management, in administering or providing assistance directly related to a project described in subsection (1) of this section. An accounting of actual costs incurred for which reimbursement is sought shall be maintained for each project by the Department of Finance and Administration, Bureau of Building, Grounds and Real Property Management. Reimbursement of reasonable actual and necessary costs for a project shall not exceed two percent (2%) of the proceeds of bonds issued for such project. Monies authorized for a particular project may not be used to reimburse administrative costs for unrelated projects.

(3) The Department of Finance and Administration, acting through the Bureau of Building, Grounds and Real Property Management, is expressly authorized and empowered to receive and expend any local or other source funds in connection with the expenditure of funds provided for in this section. The expenditure of monies deposited into the special fund shall be under the direction of the Department of Finance and Administration, and such funds shall be paid by the State Treasurer upon warrants issued by such department, which warrants shall be issued upon requisitions signed by the Executive Director of the Department of Finance and Administration, or his designee.

(4) Any amounts allocated to an agency or institution of higher learning that are in excess of that needed to complete the projects at such agency or institution of higher learning that are described in subsection (1) of this section may be used for general repairs and renovations at the agency or institution of higher learning to which such amount is allocated.

(5) The Department of Finance and Administration, acting through the Bureau of Building, Grounds and Real Property Management, is authorized to preplan the following projects:

(a) Psychiatric receiving units at the Mississippi State Hospital;

(b) Additions to the client bed facility at the South Mississippi State Hospital;

(d) Repair and renovation of Dansby Hall at Jackson State University;

(e) Repair and renovation of the Wise Center at Mississippi State University/Division of Agriculture,

Forestry and Veterinary Medicine;

(f) Repair and renovation of the Carpenter Administration Building at Mississippi Valley State University;

(g) A new College of Business facility at the University of Southern Mississippi;

(h) Repair and renovation of Hardy Hall at the University of Southern Mississippi/Gulf Park Campus; and

(i) An oceanographic support facility at the University of Southern Mississippi/Stennis Space Center.

The projects authorized in this subsection shall be in addition to the projects authorized in subsection (1) of this section.

SECTION 3. (1) (a) A special fund, to be designated as the "2004-2005 Community and Junior Colleges Capital Improvements Fund" is created within the State Treasury. The fund shall be maintained by the State Treasurer as a separate and special fund, separate and apart from the General Fund of the state. Unexpended amounts remaining in the fund at the end of a fiscal year shall not lapse into the State General Fund, and any interest earned or investment earnings on amounts in the fund shall be deposited to the credit of the fund. Monies in the fund may not be used or expended for any purpose except as authorized under this act.

(b) Monies deposited into the fund shall be disbursed, in the discretion of the Department of Finance and Administration, to pay the costs of acquisition of real property, construction of new facilities, addition to or renovation of existing facilitiesand equipping and furnishing facilities including, but not limited to, furniture, technology equipment and infrastructure, for community and junior college campuses as recommended by the State Board for Community and Junior Colleges. The amount to be expended at each community and junior college is as follows:

Coahoma.................................... $ 1,943,536.00

Copiah-Lincoln............................. 2,284,063.00

East Central............................... 2,098,028.00

East Mississippi........................... 2,477,067.00

Hinds...................................... 4,224,959.00

Holmes..................................... 2,474,245.00

Itawamba................................... 2,707,639.00

Jones...................................... 3,038,137.00

Meridian................................... 2,403,774.00

Mississippi Delta.......................... 2,409,257.00

Mississippi Gulf Coast..................... 4,057,769.00

Northeast Mississippi...................... 2,402,963.00

Northwest Mississippi...................... 3,133,399.00

Pearl River................................ 2,400,893.00

Southwest Mississippi...................... 1,944,271.00

GRAND TOTAL................................ $ 40,000,000.00

(2) Amounts deposited into such special fund shall be disbursed to pay the costs of projects described in subsection (1) of this section. If any monies in such special fund are not used within four (4) years after the date the proceeds of the bonds authorized under Sections 1 through 21 of this act are deposited into the special fund, then the community college or junior college for which any such monies are allocated under subsection (1) of this section shall provide an accounting of such unused monies to the commission. Promptly after the commission has certified, by resolution duly adopted, that the projects described in subsection (1) shall have been completed, abandoned, or cannot be completed in a timely fashion, any amounts remaining in such special fund shall be applied to pay debt service on the bonds issued under Sections 1 through 21 of this act, in accordance with the proceedings authorizing the issuance of such bonds and as directed by the commission.

SECTION 4. (1) (a) A special fund, to be designated as the "2004-2005 Ayers Settlement Agreement Capital Improvements Fund," is created within the State Treasury. The fund shall be maintained by the State Treasurer as a separate and special fund, separate and apart from the General Fund of the state. Unexpended amounts remaining in the fund at the end of a fiscal year shall not lapse into the State General Fund, and any interest earned or investment earnings on amounts in the fund shall be deposited to the credit of the fund. Monies in the fund may not be used or expended for any purpose except as authorized under this section.

(b) Monies deposited into the fund shall constitute Ayers bond revenues to be disbursed by the Department of Finance and Administration to pay the costs of capital improvements at Alcorn State University, Jackson State University and Mississippi Valley State University as recommended by the Board of Trustees of State Institutions of Higher Learning in order to comply with the Settlement Agreement in the case of Ayers v. Musgrove.

(2) Amounts deposited into such special fund shall be disbursed to pay the costs of projects described in subsection (1) of this section.

(4) It is the intent of the Legislature that not less than ten percent (10%) of the amounts authorized to be expended in this section shall be expended with small business concerns owned and controlled by socially and economically disadvantaged individuals. The term "socially and economically disadvantaged individuals" shall have the meaning ascribed to such term under Section 8(d) of the Small Business Act (15 USCS, Section 637(d)) and relevant subcontracting regulations promulgated pursuant thereto; except that women shall be presumed to be socially and economically disadvantaged individuals for the purposes of this subsection.

SECTION 5. (1) (a) A special fund, to be designated as the "2004-2005 Bureau of Buildings Discretionary Fund," is created within the State Treasury. The fund shall be maintained by the State Treasurer as a separate and special fund, separate and apart from the General Fund of the state. Unexpended amounts remaining in the fund at the end of a fiscal year shall not lapse into the State General Fund, and any interest earned or investment earnings on amounts in the fund shall be deposited to the credit of the fund. Monies in the fund may not be used or expended for any purpose except as authorized under this section.

(b) Monies deposited into the fund shall be disbursed by the Department of Finance and Administration, to pay the costs of:

(i) Correction of structural, environmental and weatherization problems, required site protection, repair of finishes, completion of furnishing and equipping of the Mississippi Valley State University Administration Building and the Greenville Higher Education Center and temporary relocation of occupants of such buildings;

(ii) Site improvements, general weatherization, demolition and roofing, environmental, mechanical, electrical and structural repairs required for state-owned facilities, and repair and renovation of state-owned facilities necessary for compliance with the Americans with Disabilities Act; and

(iii) Completion of previously authorized projects.

(c) In addition to other amounts required to be deposited into the fund, any settlement or award of damages paid to the state as a result of disputes arising out of the construction of Mississippi Valley State University Administration Building or the Greenville Higher Education Center, shall be deposited into the fund.

(2) Amounts deposited into such special fund shall be disbursed to pay the costs of projects described in subsection (1) of this section.

(3) The expenditure of monies deposited into the special fund shall be under the direction of the Department of Finance and Administration, and such funds shall be paid by the State Treasurer upon warrants issued by such department, which warrants shall be issued upon requisitions signed by the Executive Director of the Department of Finance and Administration, or his designee.

SECTION 6. (1) The commission, at one time, or from time to time, may declare by resolution the necessity for issuance of general obligation bonds of the State of Mississippi to provide funds for all costs incurred or to be incurred for the purposes described in Sections 2, 3 and 5 of this act. Upon the adoption of a resolution by the Department of Finance and Administration, declaring the necessity for the issuance of any part or all of the general obligation bonds authorized by this section, the Department of Finance and Administration shall deliver a certified copy of its resolution or resolutions to the commission. Upon receipt of such resolution, the commission, in its discretion, may act as the issuing agent, prescribe the form of the bonds, advertise for and accept bids, issue and sell the bonds so authorized to be sold and do any and all other things necessary and advisable in connection with the issuance and sale of such bonds. Except as otherwise provided in Section 7 of this act, the total amount of bonds issued under Sections 1 through 21 of this act shall not exceed Two Hundred Thirty-five Million Two Hundred Sixty Thousand Dollars ($235,260,000.00). No bonds shall be issued under this section after July 1, 2008.

(2) The proceeds of the bonds issued pursuant to this act shall be deposited into the following special funds in not more than the following amounts:

(a) The 2004-2005 State Agencies Capital Improvements Fund created pursuant to Section 2 of this act....................... $181,260,000.00.

(b) The 2004-2005 Community and Junior Colleges Capital Improvements Fund created pursuant to Section 3

of this act.................................... $ 40,000,000.00.

(c) The 2004-2005 Bureau of Buildings Discretionary Fund created pursuant to Section 5 of this act....................... $ 14,000,000.00.

(3) Any investment earnings on amounts deposited into the special funds created in Sections 2, 3 and 5 of this act shall be used to pay debt service on bonds issued under Sections 1 through 21 of this act, in accordance with the proceedings authorizing issuance of such bonds.

SECTION 7. (1) The United States District Court for the Northern District of Mississippi having approved the Settlement Agreement in the case of Ayers v. Musgrove and on notification that such agreement has become final and effective according to its terms including, but not limited to, the exhaustion of all rights to appeal, the commission, at one time, or from time to time, shall declare by resolution the necessity for issuance of general obligation bonds of the State of Mississippi to provide funds for all costs incurred or to be incurred for the purposes described in Section 4 of this act. Upon the adoption of a resolution by the Department of Finance and Administration declaring the necessity for the issuance of any part or all of the general obligation bonds authorized by this section, the Department of Finance and Administration shall deliver a certified copy of its resolution or resolutions to the commission. Upon receipt of such resolution, the commission, in its discretion, may act as the issuing agent, prescribe the form of the bonds so authorized to be sold and do any and all other things necessary and advisable in connection with the issuance and sale of such bonds. The total amount of bonds issued pursuant to this section shall not exceed Thirty Million Dollars ($30,000,000.00).

(2) The proceeds of the bonds issued pursuant to this section shall be deposited into the special fund created in Section 4 of this act. Any investment earnings on amounts deposited into the special fund created in Section 4 of this act shall be used to pay debt service on bonds issued under Sections 1 through 21 of this act, in accordance with the proceedings authorizing the issuance of such bonds.

SECTION 8. The principal of and interest on the bonds authorized under Sections 1 through 21 of this act shall be payable in the manner provided in this section. Such bonds shall bear such date or dates, be in such denomination or denominations, bear interest at such rate or rates (not to exceed the limits set forth in Section 75-17-101, Mississippi Code of 1972), be payable at such place or places within or without the State of Mississippi, shall mature absolutely at such time or times not to exceed twenty-five (25) years from date of issue, be redeemable before maturity at such time or times and upon such terms, with or without premium, shall bear such registration privileges, and shall be substantially in such form, all as shall be determined by resolution of the commission.

SECTION 9. The bonds authorized by Sections 1 through 21 of this act shall be signed by the chairman of the commission, or by his facsimile signature, and the official seal of the commission shall be affixed thereto, attested by the secretary of the commission. The interest coupons, if any, to be attached to such bonds may be executed by the facsimile signatures of such officers. Whenever any such bonds shall have been signed by the officials designated to sign the bonds who were in office at the time of such signing but who may have ceased to be such officers before the sale and delivery of such bonds, or who may not have been in office on the date such bonds may bear, the signatures of such officers upon such bonds and coupons shall nevertheless be valid and sufficient for all purposes and have the same effect as if the person so officially signing such bonds had remained in office until their delivery to the purchaser, or had been in office on the date such bonds may bear. However, notwithstanding anything herein to the contrary, such bonds may be issued as provided in the Registered Bond Act of the State of Mississippi.

SECTION 10. All bonds and interest coupons issued under the provisions of Sections 1 through 21 of this act have all the qualities and incidents of negotiable instruments under the provisions of the Uniform Commercial Code, and in exercising the powers granted by Sections 1 through 21 of this act, the commission shall not be required to and need not comply with the provisions of the Uniform Commercial Code.

SECTION 11. The commission shall act as the issuing agent for the bonds authorized under Sections 1 through 21 of this act, prescribe the form of the bonds, advertise for and accept bids, issue and sell the bonds so authorized to be sold, pay all fees and costs incurred in such issuance and sale, and do any and all other things necessary and advisable in connection with the issuance and sale of such bonds. The commission is authorized and empowered to pay the costs that are incident to the sale, issuance and delivery of the bonds authorized under Sections 1 through 21 of this act from the proceeds derived from the sale of such bonds. The commission shall sell such bonds on sealed bids at public sale, and for such price as it may determine to be for the best interest of the State of Mississippi, but no such sale shall be made at a price less than par plus accrued interest to the date of delivery of the bonds to the purchaser. All interest accruing on such bonds so issued shall be payable semiannually or annually; however, the first interest payment may be for any period of not more than one (1) year.

Notice of the sale of any such bonds shall be published at least one time, not less than ten (10) days before the date of sale, and shall be so published in one or more newspapers published or having a general circulation in the City of Jackson, Mississippi, and in one or more other newspapers or financial journals with a national circulation, to be selected by the commission.

The commission, when issuing any bonds under the authority of Sections 1 through 21 of this act, may provide that bonds, at the option of the State of Mississippi, may be called in for payment and redemption at the call price named therein and accrued interest on such date or dates named therein.

SECTION 12. The bonds issued under the provisions of Sections 1 through 21 of this act are general obligations of the State of Mississippi, and for the payment thereof the full faith and credit of the State of Mississippi is irrevocably pledged. If the funds appropriated by the Legislature are insufficient to pay the principal of and the interest on such bonds as they become due, then the deficiency shall be paid by the State Treasurer from any funds in the State Treasury not otherwise appropriated. All such bonds shall contain recitals on their faces substantially covering the provisions of this section.

SECTION 13. Upon the issuance and sale of bonds under the provisions of Sections 1 through 21 of this act, the commission shall transfer the proceeds of any such sale or sales to the special funds created in Sections 2, 3, 4 and 5 of this act in the amounts provided for in Sections 6(2) and 7 of this act. The proceeds of such bonds shall be disbursed solely upon the order of the Department of Finance and Administration under such restrictions, if any, as may be contained in the resolution providing for the issuance of the bonds.

SECTION 14. The bonds authorized under Sections 1 through 21 of this act may be issued without any other proceedings or the happening of any other conditions or things other than those proceedings, conditions and things which are specified or required by Sections 1 through 21 of this act. Any resolution providing for the issuance of bonds under the provisions of Sections 1 through 21 of this act shall become effective immediately upon its adoption by the commission, and any such resolution may be adopted at any regular or special meeting of the commission by a majority of its members.

SECTION 15. The bonds authorized under the authority of Sections 1 through 21 of this act may be validated in the Chancery Court of the First Judicial District of Hinds County, Mississippi, in the manner and with the force and effect provided by Chapter 13, Title 31, Mississippi Code of 1972, for the validation of county, municipal, school district and other bonds. The notice to taxpayers required by such statutes shall be published in a newspaper published or having a general circulation in the City of Jackson, Mississippi.

SECTION 16. Any holder of bonds issued under the provisions of Sections 1 through 21 of this act or of any of the interest coupons pertaining thereto may, either at law or in equity, by suit, action, mandamus or other proceeding, protect and enforce any and all rights granted under Sections 1 through 21 of this act, or under such resolution, and may enforce and compel performance of all duties required by Sections 1 through 21 of this act to be performed, in order to provide for the payment of bonds and interest thereon.

SECTION 17. All bonds issued under the provisions of Sections 1 through 21 of this act shall be legal investments for trustees and other fiduciaries, and for savings banks, trust companies and insurance companies organized under the laws of the State of Mississippi, and such bonds shall be legal securities which may be deposited with and shall be received by all public officers and bodies of this state and all municipalities and political subdivisions for the purpose of securing the deposit of public funds.

SECTION 18. Bonds issued under the provisions of Sections 1 through 21 of this act and income therefrom shall be exempt from all taxation in the State of Mississippi.

SECTION 19. The proceeds of the bonds issued under Sections 1 through 21 of this act shall be used solely for the purposes herein provided, including the costs incident to the issuance and sale of such bonds.

SECTION 20. The State Treasurer is authorized, without further process of law, to certify to the Department of Finance and Administration the necessity for warrants, and the Department of Finance and Administration is authorized and directed to issue such warrants, in such amounts as may be necessary to pay when due the principal of, premium, if any, and interest on, or the accreted value of, all bonds issued under Sections 1 through 21 of this act; and the State Treasurer shall forward the necessary amount to the designated place or places of payment of such bonds in ample time to discharge such bonds, or the interest thereon, on the due dates thereof.

SECTION 21. Sections 1 through 21 of this act shall be deemed to be full and complete authority for the exercise of the powers herein granted, but Sections 1 through 21 of this act shall not be deemed to repeal or to be in derogation of any existing law of this state.

SECTION 22. As used in Sections 22 through 37 of this act, the following words shall have the meanings ascribed herein unless the context clearly requires otherwise:

(a) "Accreted value" of any bonds means, as of any date of computation, an amount equal to the sum of (i) the stated initial value of such bond, plus (ii) the interest accrued thereon from the issue date to the date of computation at the rate, compounded semiannually, that is necessary to produce the approximate yield to maturity shown for bonds of the same maturity.

(b) "State" means the State of Mississippi.

SECTION 23. (1) The Department of Finance and Administration, at one time, or from time to time, may declare by resolution the necessity for issuance of general obligation bonds of the State of Mississippi to provide funds for the Local System Bridge Replacement and Rehabilitation Fund created under Section 65-37-13. Upon the adoption of a resolution by the Department of Finance and Administration, declaring the necessity for the issuance of any part or all of the general obligation bonds authorized by this section, the Department of Finance and Administration shall deliver a certified copy of its resolution or resolutions to the commission. Upon receipt of such resolution, the commission, in its discretion, may act as the issuing agent, prescribe the form of the bonds, advertise for and accept bids, issue and sell the bonds so authorized to be sold and do any and all other things necessary and advisable in connection with the issuance and sale of such bonds. The total amount of bonds issued under Sections 22 through 37 of this act shall not exceed Twenty Million Dollars ($20,000,000.00).

(2) The proceeds of bonds issued pursuant to Sections 22 through 37 of this act shall be deposited into the Local System Bridge Replacement and Rehabilitation Fund created under Section 65-37-13. Any investment earnings on bonds issued pursuant to Sections 22 through 37 of this act shall be used to pay debt service on bonds issued under Sections 22 through 37 of this act, in accordance with the proceedings authorizing issuance of such bonds.

SECTION 24. The principal of and interest on the bonds authorized under Sections 22 through 37 of this act shall be payable in the manner provided in this section. Such bonds shall bear such date or dates, be in such denomination or denominations, bear interest at such rate or rates (not to exceed the limits set forth in Section 75-17-101, Mississippi Code of 1972), be payable at such place or places within or without the State of Mississippi, shall mature absolutely at such time or times not to exceed twenty-five (25) years from date of issue, be redeemable before maturity at such time or times and upon such terms, with or without premium, shall bear such registration privileges, and shall be substantially in such form, all as shall be determined by resolution of the commission.

SECTION 25. The bonds authorized by Sections 22 through 37 of this act shall be signed by the chairman of the commission, or by his facsimile signature, and the official seal of the commission shall be affixed thereto, attested by the secretary of the commission. The interest coupons, if any, to be attached to such bonds may be executed by the facsimile signatures of such officers. Whenever any such bonds shall have been signed by the officials designated to sign the bonds who were in office at the time of such signing but who may have ceased to be such officers before the sale and delivery of such bonds, or who may not have been in office on the date such bonds may bear, the signatures of such officers upon such bonds and coupons shall nevertheless be valid and sufficient for all purposes and have the same effect as if the person so officially signing such bonds had remained in office until their delivery to the purchaser, or had been in office on the date such bonds may bear. However, notwithstanding anything herein to the contrary, such bonds may be issued as provided in the Registered Bond Act of the State of Mississippi.

SECTION 26. All bonds and interest coupons issued under the provisions of Sections 22 through 37 of this act have all the qualities and incidents of negotiable instruments under the provisions of the Uniform Commercial Code, and in exercising the powers granted by Sections 22 through 37 of this act, the commission shall not be required to and need not comply with the provisions of the Uniform Commercial Code.

SECTION 27. The commission shall act as the issuing agent for the bonds authorized under Sections 22 through 37 of this act, prescribe the form of the bonds, advertise for and accept bids, issue and sell the bonds so authorized to be sold, pay all fees and costs incurred in such issuance and sale, and do any and all other things necessary and advisable in connection with the issuance and sale of such bonds. The commission is authorized and empowered to pay the costs that are incident to the sale, issuance and delivery of the bonds authorized under Sections 22 through 37 of this act from the proceeds derived from the sale of such bonds. The commission shall sell such bonds on sealed bids at public sale, and for such price as it may determine to be for the best interest of the State of Mississippi, but no such sale shall be made at a price less than par plus accrued interest to the date of delivery of the bonds to the purchaser. All interest accruing on such bonds so issued shall be payable semiannually or annually; however, the first interest payment may be for any period of not more than one (1) year.

The commission, when issuing any bonds under the authority of Sections 22 through 37 of this act, may provide that bonds, at the option of the State of Mississippi, may be called in for payment and redemption at the call price named therein and accrued interest on such date or dates named therein.

SECTION 28. The bonds issued under the provisions of Sections 22 through 37 of this act are general obligations of the State of Mississippi, and for the payment thereof the full faith and credit of the State of Mississippi is irrevocably pledged. If the funds appropriated by the Legislature are insufficient to pay the principal of and the interest on such bonds as they become due, then the deficiency shall be paid by the State Treasurer from any funds in the State Treasury not otherwise appropriated. All such bonds shall contain recitals on their faces substantially covering the provisions of this section.

SECTION 29. Upon the issuance and sale of bonds under the provisions of Sections 22 through 37 of this act, the commission shall transfer the proceeds of any such sale or sales to the Local System Bridge Replacement and Rehabilitation Fund created in Section 65-37-13. The proceeds of such bonds shall be disbursed solely upon the order of the Department of Finance and Administration under such restrictions, if any, as may be contained in the resolution providing for the issuance of the bonds.

SECTION 30. The bonds authorized under Sections 22 through 37 of this act may be issued without any other proceedings or the happening of any other conditions or things other than those proceedings, conditions and things which are specified or required by Sections 22 through 37 of this act. Any resolution providing for the issuance of bonds under the provisions of Sections 22 through 37 of this act shall become effective immediately upon its adoption by the commission, and any such resolution may be adopted at any regular or special meeting of the commission by a majority of its members.

SECTION 31. The bonds authorized under the authority of Sections 22 through 37 of this act may be validated in the Chancery Court of the First Judicial District of Hinds County, Mississippi, in the manner and with the force and effect provided by Chapter 13, Title 31, Mississippi Code of 1972, for the validation of county, municipal, school district and other bonds. The notice to taxpayers required by such statutes shall be published in a newspaper published or having a general circulation in the City of Jackson, Mississippi.

SECTION 32. Any holder of bonds issued under the provisions of Sections 22 through 37 of this act or of any of the interest coupons pertaining thereto may, either at law or in equity, by suit, action, mandamus or other proceeding, protect and enforce any and all rights granted under Sections 22 through 37 of this act, or under such resolution, and may enforce and compel performance of all duties required by Sections 22 through 37 of this act to be performed, in order to provide for the payment of bonds and interest thereon.

SECTION 33. All bonds issued under the provisions of Sections 22 through 37 of this act shall be legal investments for trustees and other fiduciaries, and for savings banks, trust companies and insurance companies organized under the laws of the State of Mississippi, and such bonds shall be legal securities which may be deposited with and shall be received by all public officers and bodies of this state and all municipalities and political subdivisions for the purpose of securing the deposit of public funds.

SECTION 34. Bonds issued under the provisions of Sections 22 through 37 of this act and income therefrom shall be exempt from all taxation in the State of Mississippi.

SECTION 35. The proceeds of the bonds issued under Sections 22 through 37 of this act shall be used solely for the purposes therein provided, including the costs incident to the issuance and sale of such bonds.

SECTION 36. The State Treasurer is authorized, without further process of law, to certify to the Department of Finance and Administration the necessity for warrants, and the Department of Finance and Administration is authorized and directed to issue such warrants, in such amounts as may be necessary to pay when due the principal of, premium, if any, and interest on, or the accreted value of, all bonds issued under Sections 22 through 37 of this act; and the State Treasurer shall forward the necessary amount to the designated place or places of payment of such bonds in ample time to discharge such bonds, or the interest thereon, on the due dates thereof.

SECTION 37. Sections 22 through 37 of this act shall be deemed to be full and complete authority for the exercise of the powers therein granted, but Sections 22 through 37 of this act shall not be deemed to repeal or to be in derogation of any existing law of this state.

SECTION 38. Section 65-37-13, Mississippi Code of 1972, is amended as follows:

65-37-13. (1) There is created in the State Treasury a special fund to be designated as the "Local System Bridge Replacement and Rehabilitation Fund." The fund shall consist of such monies as the Legislature appropriates pursuant to subsection (2) of this section and such other monies as the Legislature may designate for deposit in the fund. Monies in the fund may be expended upon legislative appropriation in accordance with the provisions of Sections 65-37-1 through 65-37-15.

(2) (a) During each regular legislative session held in calendar years 1995, 1996, 1997 and 1998, if the official General Fund revenue estimate for the succeeding fiscal year for which appropriations are being made reflects a growth in General Fund revenues of three percent (3%) or more for that succeeding fiscal year, then the Legislature shall appropriate Twenty-five Million Dollars ($25,000,000.00) from the State General Fund for deposit into the Local System Bridge Replacement and Rehabilitation Fund.

(b) During the regular legislative session held in calendar year 1999, if the official General Fund revenue estimate for the succeeding fiscal year for which appropriations are being made reflects a growth in General Fund revenues of two percent (2%) or more for the succeeding fiscal year, then the Legislature shall appropriate Ten Million Dollars ($10,000,000.00) from the State General Fund for deposit into the Local System Bridge Replacement and Rehabilitation Fund.

(c) Except as otherwise provided in this paragraph (c), during each regular legislative session held in calendar years 2001 through 2008, if the official General Fund revenue estimate for the succeeding fiscal year for which appropriations are being made reflects a growth in General Fund revenues of two percent (2%) or more for the succeeding fiscal year, then the Legislature shall appropriate Twenty Million Dollars ($20,000,000.00) from the State General Fund for deposit into the Local System Bridge Replacement and Rehabilitation Fund. However, during the regular legislative sessions held in calendar years 2003 and 2004, the Legislature shall not be required to appropriate funds for deposit into the Local System Bridge Replacement and Rehabilitation Fund.

(3) Such monies as are deposited in the fund under the provisions of this section may be expended upon requisition therefor by the State Aid Engineer in accordance with the provisions of Sections 65-37-1 through 65-37-15. The Office of State Aid Road Construction shall be entitled to reimbursement from monies in the fund, upon requisitions therefor by the State Aid Engineer, for the actual expenses incurred by the office in administering the provisions of the local system bridge replacement and rehabilitation program. Unexpended amounts remaining 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.

(4) Monies in the Local System Bridge Replacement and Rehabilitation Fund shall be allocated and become available for distribution to counties in accordance with the formula prescribed in Section 65-37-4 beginning January 1, 1995, on a project-by-project basis. Monies in the Local System Bridge Replacement and Rehabilitation Fund may not be used or expended for any purpose except as authorized under Sections 65-37-1 through 65-37-15.

(5) Monies in the Local System Bridge Replacement and Rehabilitation Fund may be credited to a county in advance of the normal accrual to finance certain projects, subject to the approval of the State Aid Engineer and subject further to the following limitations:

(a) That the maximum amount of such monies that may be advanced to any county shall not exceed ninety percent (90%) of the funds estimated to accrue to such county during the remainder of the term of office of the board of supervisors of such county;

(b) That no advance credit of funds will be made to any county when the unobligated balance in the Local System Bridge Replacement and Rehabilitation Fund is less than One Million Dollars ($1,000,000.00); and

(c) That such advance crediting of funds be effected by the State Aid Engineer at the time of the approval of the plans and specifications for the proposed projects.

It is the intent of this provision to utilize to the fullest practicable extent the balance of monies in the Local System Bridge Replacement and Rehabilitation Fund on hand at all times.

SECTION 39. Sections 3 through 18, Chapter 541, Laws of 2001, as amended by Chapter 540, Laws of 2002, as amended by Chapter 519, Laws of 2003, is amended as follows:

Section 3. As used in Sections 3 through 18 of this act, the following words shall have the meanings ascribed herein unless the context clearly requires otherwise:

(b) "State" means the State of Mississippi; and

Section 4. (1) The Mississippi Arts Commission, at one time, or from time to time, may declare by resolution the necessity for issuance of general obligation bonds of the State of Mississippi to provide funds for the grant program authorized in Section 2 of this act. Upon the adoption of a resolution by the Mississippi Arts Commission, declaring the necessity for the issuance of any part or all of the general obligation bonds authorized by this section, the Mississippi Arts Commission shall deliver a certified copy of its resolution or resolutions to the commission. Upon receipt of such resolution, the commission, in its discretion, may act as the issuing agent, prescribe the form of the bonds, advertise for and accept bids, issue and sell the bonds so authorized to be sold and do any and all other things necessary and advisable in connection with the issuance and sale of such bonds. The total amount of bonds issued under Sections 3 through 18 of this act shall not exceed Seventeen Million Two Hundred Thousand Dollars ($17,200,000.00).

(2) The proceeds of bonds issued pursuant to Sections 3 through 18 of this act shall be deposited into the Building Fund for the Arts created pursuant to Section 2 of this act. Any investment earnings on bonds issued pursuant to Sections 3 through 18 of this act shall be used to pay debt service on bonds issued under Sections 3 through 18 of this act, in accordance with the proceedings authorizing issuance of such bonds.

Section 5. The principal of and interest on the bonds authorized under Sections 3 through 18 of this act shall be payable in the manner provided in this section. Such bonds shall bear such date or dates, be in such denomination or denominations, bear interest at such rate or rates (not to exceed the limits set forth in Section 75-17-101, Mississippi Code of 1972), be payable at such place or places within or without the State of Mississippi, shall mature absolutely at such time or times not to exceed twenty-five (25) years from date of issue, be redeemable before maturity at such time or times and upon such terms, with or without premium, shall bear such registration privileges, and shall be substantially in such form, all as shall be determined by resolution of the commission.

Section 6. The bonds authorized by Sections 3 through 18 of this act shall be signed by the chairman of the commission, or by his facsimile signature, and the official seal of the commission shall be affixed thereto, attested by the secretary of the commission. The interest coupons, if any, to be attached to such bonds may be executed by the facsimile signatures of such officers. Whenever any such bonds shall have been signed by the officials designated to sign the bonds who were in office at the time of such signing but who may have ceased to be such officers before the sale and delivery of such bonds, or who may not have been in office on the date such bonds may bear, the signatures of such officers upon such bonds and coupons shall nevertheless be valid and sufficient for all purposes and have the same effect as if the person so officially signing such bonds had remained in office until their delivery to the purchaser, or had been in office on the date such bonds may bear. However, notwithstanding anything herein to the contrary, such bonds may be issued as provided in the Registered Bond Act of the State of Mississippi.

Section 7. All bonds and interest coupons issued under the provisions of Sections 3 through 18 of this act have all the qualities and incidents of negotiable instruments under the provisions of the Uniform Commercial Code, and in exercising the powers granted by Sections 3 through 18 of this act, the commission shall not be required to and need not comply with the provisions of the Uniform Commercial Code.

Section 8. The commission shall act as the issuing agent for the bonds authorized under Sections 3 through 18 of this act, prescribe the form of the bonds, advertise for and accept bids, issue and sell the bonds so authorized to be sold, pay all fees and costs incurred in such issuance and sale, and do any and all other things necessary and advisable in connection with the issuance and sale of such bonds. The commission is authorized and empowered to pay the costs that are incident to the sale, issuance and delivery of the bonds authorized under Sections 3 through 18 of this act from the proceeds derived from the sale of such bonds. The commission shall sell such bonds on sealed bids at public sale, and for such price as it may determine to be for the best interest of the State of Mississippi, but no such sale shall be made at a price less than par plus accrued interest to the date of delivery of the bonds to the purchaser. All interest accruing on such bonds so issued shall be payable semiannually or annually; however, the first interest payment may be for any period of not more than one (1) year.

The commission, when issuing any bonds under the authority of Sections 3 through 18 of this act, may provide that bonds, at the option of the State of Mississippi, may be called in for payment and redemption at the call price named therein and accrued interest on such date or dates named therein.

Section 9. The bonds issued under the provisions of Sections 3 through 18 of this act are general obligations of the State of Mississippi, and for the payment thereof the full faith and credit of the State of Mississippi is irrevocably pledged. If the funds appropriated by the Legislature are insufficient to pay the principal of and the interest on such bonds as they become due, then the deficiency shall be paid by the State Treasurer from any funds in the State Treasury not otherwise appropriated. All such bonds shall contain recitals on their faces substantially covering the provisions of this section.

Section 10. Upon the issuance and sale of bonds under the provisions of Sections 3 through 18 of this act, the commission shall transfer the proceeds of any such sale or sales to the special fund created in Section 2 of this act. Except as otherwise provided in Section 2 of this act, the proceeds of such bonds shall be disbursed solely upon the order of the Department of Finance and Administration under such restrictions, if any, as may be contained in the resolution providing for the issuance of the bonds.

Section 11. The bonds authorized under Sections 3 through 18 of this act may be issued without any other proceedings or the happening of any other conditions or things other than those proceedings, conditions and things which are specified or required by Sections 3 through 18 of this act. Any resolution providing for the issuance of bonds under the provisions of Sections 3 through 18 of this act shall become effective immediately upon its adoption by the commission, and any such resolution may be adopted at any regular or special meeting of the commission by a majority of its members.

Section 12. The bonds authorized under the authority of Sections 3 through 18 of this act may be validated in the Chancery Court of the First Judicial District of Hinds County, Mississippi, in the manner and with the force and effect provided by Chapter 13, Title 31, Mississippi Code of 1972, for the validation of county, municipal, school district and other bonds. The notice to taxpayers required by such statutes shall be published in a newspaper published or having a general circulation in the City of Jackson, Mississippi.

Section 13. Any holder of bonds issued under the provisions of Sections 3 through 18 of this act or of any of the interest coupons pertaining thereto may, either at law or in equity, by suit, action, mandamus or other proceeding, protect and enforce any and all rights granted under Sections 3 through 18 of this act, or under such resolution, and may enforce and compel performance of all duties required by Sections 3 through 18 of this act to be performed, in order to provide for the payment of bonds and interest thereon.

Section 14. All bonds issued under the provisions of Sections 3 through 18 of this act shall be legal investments for trustees and other fiduciaries, and for savings banks, trust companies and insurance companies organized under the laws of the State of Mississippi, and such bonds shall be legal securities which may be deposited with and shall be received by all public officers and bodies of this state and all municipalities and political subdivisions for the purpose of securing the deposit of public funds.

Section 15. Bonds issued under the provisions of Sections 3 through 18 of this act and income therefrom shall be exempt from all taxation in the State of Mississippi.

Section 16. The proceeds of the bonds issued under Sections 3 through 18 of this act shall be used solely for the purposes therein provided, including the costs incident to the issuance and sale of such bonds.

Section 17. The State Treasurer is authorized, without further process of law, to certify to the Department of Finance and Administration the necessity for warrants, and the Department of Finance and Administration is authorized and directed to issue such warrants, in such amounts as may be necessary to pay when due the principal of, premium, if any, and interest on, or the accreted value of, all bonds issued under Sections 3 through 18 of this act; and the State Treasurer shall forward the necessary amount to the designated place or places of payment of such bonds in ample time to discharge such bonds, or the interest thereon, on the due dates thereof.

Section 18. Sections 3 through 18 of this act shall be deemed to be full and complete authority for the exercise of the powers therein granted, but Sections 3 through 18 of this act shall not be deemed to repeal or to be in derogation of any existing law of this state.

SECTION 40. Section 39-11-13, Mississippi Code of 1972, is amended as follows:

39-11-13. (1) (a) A special fund, to be designated as the "Building Fund for the Arts" is created within the State Treasury. The fund shall be maintained by the State Treasurer as a separate and special fund, separate and apart from the General Fund of the state. The fund shall consist of any money designated for deposit therein from any source, including, but not limited to, any state general obligation bonds issued for the purposes described in this section. Unexpended amounts remaining in the fund at the end of a fiscal year shall not lapse into the State General Fund, and investment earnings on amounts in the fund shall be deposited into such fund.

(b) Money deposited into the fund shall be disbursed as follows:

(i) Except as otherwise provided in this paragraph, in the discretion of the Mississippi Arts Commission, to provide grants to nonprofit organizations that are qualified as tax exempt under Section 501(c)(3) of the Internal Revenue Code and units of local government to pay the costs of:

1. Repair, upgrading, expansion, renovation or enhancement of existing buildings and facilities for the presentation, teaching or exhibition of the arts in any and all of its forms and furniture, equipment and/or technology for such buildings or facilities; or

2. Construction of new buildings and facilities for the presentation, teaching or exhibition of the arts in any and all of its forms and furniture, equipment and/or technology for such buildings or facilities.

(ii) Three Hundred Fifty Thousand Dollars ($350,000.00) shall be allocated and disbursed as grant funds as follows:

1. Three Hundred Thousand Dollars ($300,000.00) shall be allocated and disbursed as grant funds to the Yoknapatawpha Arts Council to pay the costs of capital improvements, repairing, renovating, restoring, rehabilitating, preserving, furnishing and equipping the old City of Oxford Power Plant for its use as a community arts center.

2. Fifty Thousand Dollars ($50,000.00) shall be allocated and disbursed as grant funds to the Brookhaven Little Theatre, Inc., for the purpose of constructing an amphitheatre in a racial minority city ward located within the city limits of Brookhaven, Mississippi.

(c) The entity to which such grants are made under paragraph (b)(i) of this subsection shall provide matching funds from local, federal or private sources equal to forty percent (40%) of the proposed project cost in order to be eligible for a grant under this section.

* * *

(2) (a) Amounts deposited into such special fund shall be disbursed to pay the costs of projects described in subsection (1) of this section. If any monies in the special fund are derived from proceeds of bonds issued under Sections 3 through 18 of Laws, 2001, Chapter 541, as amended by Laws, 2002, Chapter 540, as amended by Laws, 2003, Chapter 519, as amended by House Bill No. ____, 2004 Third Extraordinary Session, and are not used within four (4) years after the date such bond proceeds are deposited into the special fund, then the Mississippi Arts Commission shall provide an accounting of such unused monies to the State Bond Commission.

(b) Monies in the special fund which are derived from proceeds of bonds issued after April 9, 2002, may be used to reimburse reasonable actual and necessary costs incurred by the Mississippi Arts Commission in providing assistance directly related to a project described in subsection (1) of this section for which grant funds are provided under this section from the use of proceeds of such bonds. Reimbursement may be made only until such time as the project is completed. An accounting of actual costs incurred for which reimbursement is sought shall be maintained for each project by the Mississippi Arts Commission. Reimbursement of reasonable actual and necessary costs for a project shall not exceed three percent (3%) of the proceeds of bonds issued for such project. Monies authorized for a particular project may not be used to reimburse administrative costs for unrelated projects. This paragraph (b) shall be repealed from and after July 1, 2005.

(3) The Mississippi Arts Commission is expressly authorized and empowered to receive and expend any local or other source funds in connection with the expenditure of funds provided for in this section. The expenditure of money deposited into the special fund shall be under the direction of the Mississippi Arts Commission, and such funds shall be paid by the State Treasurer upon warrants issued by the Department of Finance and Administration upon request of the Mississippi Arts Commission, which warrants shall be issued upon requisitions signed by the Executive Director of the Mississippi Arts Commission or his or her designee.

(4) The Mississippi Arts Commission shall adopt necessary rules and regulations to govern the administration of the program described in subsection (1) of this section including, but not limited to, rules and regulations governing applications for grants and rules and regulations providing for the distribution of grant funds. The Mississippi Arts Commission shall comply with the provisions of the Mississippi Administrative Procedures Law.

SECTION 41. As used in Sections 41 through 57 of this act, the following words shall have the meanings ascribed herein unless the context clearly requires otherwise:

(b) "State" means the State of Mississippi; and

SECTION 42. (1) (a) A special fund, to be designated as the "Mississippi Museum of Art Fund" is created within the State Treasury. The fund shall be maintained by the State Treasurer as a separate and special fund, separate and apart from the General Fund of the state. Unexpended amounts remaining in the fund at the end of a fiscal year shall not lapse into the State General Fund, and any interest earned or investment earnings on amounts in the fund shall be deposited into such fund.

(b) Monies deposited into the fund shall be disbursed, in the discretion of the Department of Finance and Administration, for the purpose of providing funds to the Mississippi Museum of Art to pay the costs of acquisition of land, planning, design and site preparation for a facility for the Mississippi Museum of Art in Jackson, Mississippi.

(2) Amounts deposited into such special fund shall be disbursed to pay the costs of the projects described in subsection (1) of this section. Promptly after the commission has certified, by resolution duly adopted, that the projects described in subsection (1) of this section shall have been completed, abandoned, or cannot be completed in a timely fashion, any amounts remaining in such special fund shall be applied to pay debt service on the bonds issued under Sections 41 through 57 of this act, in accordance with the proceedings authorizing the issuance of such bonds and as directed by the commission.

(3) The Department of Finance and Administration is expressly authorized and empowered to receive and expend any local or other source funds in connection with the expenditure of funds provided for in this section. The expenditure of monies deposited into the special fund shall be under the direction of the Department of Finance and Administration, and such funds shall be paid by the State Treasurer upon warrants issued by the Department of Finance and Administration.

SECTION 43. (1) The Department of Finance and Administration, at one time, or from time to time, may declare by resolution the necessity for issuance of general obligation bonds of the State of Mississippi to provide funds for all costs incurred or to be incurred for the purposes described in Section 4 of this act. Upon the adoption of a resolution by the Department of Finance and Administration, declaring the necessity for the issuance of any part or all of the general obligation bonds authorized by this section, the Department of Finance and Administration shall deliver a certified copy of its resolution or resolutions to the commission. Upon receipt of such resolution, the commission, in its discretion, may act as the issuing agent, prescribe the form of the bonds, advertise for and accept bids, issue and sell the bonds so authorized to be sold and do any and all other things necessary and advisable in connection with the issuance and sale of such bonds. The total amount of bonds issued under Sections 41 through 57 of this act shall not exceed Two Million Dollars ($2,000,000.00).

(2) The proceeds of bonds issued pursuant to Sections 41 through 57 of this act shall be deposited into the special fund created pursuant to Section 42 of this act. Any investment earnings on bonds issued pursuant to Sections 41 through 57 of this act shall be used to pay debt service on bonds issued under Sections 41 through 57 of this act, in accordance with the proceedings authorizing issuance of such bonds.

SECTION 44. The principal of and interest on the bonds authorized under Sections 41 through 57 of this act shall be payable in the manner provided in this section. Such bonds shall bear such date or dates, be in such denomination or denominations, bear interest at such rate or rates (not to exceed the limits set forth in Section 75-17-101, Mississippi Code of 1972), be payable at such place or places within or without the State of Mississippi, shall mature absolutely at such time or times not to exceed twenty-five (25) years from date of issue, be redeemable before maturity at such time or times and upon such terms, with or without premium, shall bear such registration privileges, and shall be substantially in such form, all as shall be determined by resolution of the commission.

SECTION 45. The bonds authorized by Sections 41 through 57 of this act shall be signed by the chairman of the commission, or by his facsimile signature, and the official seal of the commission shall be affixed thereto, attested by the secretary of the commission. The interest coupons, if any, to be attached to such bonds may be executed by the facsimile signatures of such officers. Whenever any such bonds shall have been signed by the officials designated to sign the bonds who were in office at the time of such signing but who may have ceased to be such officers before the sale and delivery of such bonds, or who may not have been in office on the date such bonds may bear, the signatures of such officers upon such bonds and coupons shall nevertheless be valid and sufficient for all purposes and have the same effect as if the person so officially signing such bonds had remained in office until their delivery to the purchaser, or had been in office on the date such bonds may bear. However, notwithstanding anything herein to the contrary, such bonds may be issued as provided in the Registered Bond Act of the State of Mississippi.

SECTION 46. All bonds and interest coupons issued under the provisions of Sections 41 through 57 of this act have all the qualities and incidents of negotiable instruments under the provisions of the Uniform Commercial Code, and in exercising the powers granted by Sections 41 through 57 of this act, the commission shall not be required to and need not comply with the provisions of the Uniform Commercial Code.

SECTION 47. The commission shall act as the issuing agent for the bonds authorized under Sections 41 through 57 of this act, prescribe the form of the bonds, advertise for and accept bids, issue and sell the bonds so authorized to be sold, pay all fees and costs incurred in such issuance and sale, and do any and all other things necessary and advisable in connection with the issuance and sale of such bonds. The commission is authorized and empowered to pay the costs that are incident to the sale, issuance and delivery of the bonds authorized under Sections 41 through 57 of this act from the proceeds derived from the sale of such bonds. The commission shall sell such bonds on sealed bids at public sale, and for such price as it may determine to be for the best interest of the State of Mississippi, but no such sale shall be made at a price less than par plus accrued interest to the date of delivery of the bonds to the purchaser. All interest accruing on such bonds so issued shall be payable semiannually or annually; however, the first interest payment may be for any period of not more than one (1) year.

The commission, when issuing any bonds under the authority of Sections 41 through 57 of this act, may provide that bonds, at the option of the State of Mississippi, may be called in for payment and redemption at the call price named therein and accrued interest on such date or dates named therein.

SECTION 48. The bonds issued under the provisions of Sections 41 through 57 of this act are general obligations of the State of Mississippi, and for the payment thereof the full faith and credit of the State of Mississippi is irrevocably pledged. If the funds appropriated by the Legislature are insufficient to pay the principal of and the interest on such bonds as they become due, then the deficiency shall be paid by the State Treasurer from any funds in the State Treasury not otherwise appropriated. All such bonds shall contain recitals on their faces substantially covering the provisions of this section.

SECTION 49. Upon the issuance and sale of bonds under the provisions of Sections 41 through 57 of this act, the commission shall transfer the proceeds of any such sale or sales to the special fund created in Section 42 of this act. The proceeds of such bonds shall be disbursed solely upon the order of the Department of Finance and Administration under such restrictions, if any, as may be contained in the resolution providing for the issuance of the bonds.

SECTION 50. The bonds authorized under Sections 41 through 57 of this act may be issued without any other proceedings or the happening of any other conditions or things other than those proceedings, conditions and things which are specified or required by Sections 41 through 57 of this act. Any resolution providing for the issuance of bonds under the provisions of Sections 41 through 57 of this act shall become effective immediately upon its adoption by the commission, and any such resolution may be adopted at any regular or special meeting of the commission by a majority of its members.

SECTION 51. The bonds authorized under the authority of Sections 41 through 57 of this act may be validated in the Chancery Court of the First Judicial District of Hinds County, Mississippi, in the manner and with the force and effect provided by Chapter 13, Title 31, Mississippi Code of 1972, for the validation of county, municipal, school district and other bonds. The notice to taxpayers required by such statutes shall be published in a newspaper published or having a general circulation in the City of Jackson, Mississippi.

SECTION 52. Any holder of bonds issued under the provisions of Sections 41 through 57 of this act or of any of the interest coupons pertaining thereto may, either at law or in equity, by suit, action, mandamus or other proceeding, protect and enforce any and all rights granted under Sections 41 through 57 of this act, or under such resolution, and may enforce and compel performance of all duties required by Sections 41 through 57 of this act to be performed, in order to provide for the payment of bonds and interest thereon.

SECTION 53. All bonds issued under the provisions of Sections 41 through 57 of this act shall be legal investments for trustees and other fiduciaries, and for savings banks, trust companies and insurance companies organized under the laws of the State of Mississippi, and such bonds shall be legal securities which may be deposited with and shall be received by all public officers and bodies of this state and all municipalities and political subdivisions for the purpose of securing the deposit of public funds.

SECTION 54. Bonds issued under the provisions of Sections 41 through 57 of this act and income therefrom shall be exempt from all taxation in the State of Mississippi.

SECTION 55. The proceeds of the bonds issued under Sections 41 through 57 of this act shall be used solely for the purposes therein provided, including the costs incident to the issuance and sale of such bonds.

SECTION 56. The State Treasurer is authorized, without further process of law, to certify to the Department of Finance and Administration the necessity for warrants, and the Department of Finance and Administration is authorized and directed to issue such warrants, in such amounts as may be necessary to pay when due the principal of, premium, if any, and interest on, or the accreted value of, all bonds issued under Sections 41 through 57 of this act; and the State Treasurer shall forward the necessary amount to the designated place or places of payment of such bonds in ample time to discharge such bonds, or the interest thereon, on the due dates thereof.

SECTION 57. Sections 41 through 57 of this act shall be deemed to be full and complete authority for the exercise of the powers therein granted, but Sections 41 through 57 of this act shall not be deemed to repeal or to be in derogation of any existing law of this state.

SECTION 58. As used in Sections 58 through 73 of this act, the following words shall have the meanings ascribed herein unless the context clearly requires otherwise:

(b) "State" means the State of Mississippi.

SECTION 59. (1) The commission, at one time, or from time to time, may declare by resolution the necessity for issuance of general obligation bonds of the State of Mississippi to provide funds for the Mississippi Community Heritage Preservation Grant Fund created pursuant to Section 39-5-145, Mississippi Code of 1972. Upon the adoption of a resolution by the Department of Finance and Administration, declaring the necessity for the issuance of any part or all of the general obligation bonds authorized by this section, the Department of Finance and Administration shall deliver a certified copy of its resolution or resolutions to the commission. Upon receipt of such resolution, the commission, in its discretion, may act as the issuing agent, prescribe the form of the bonds, advertise for and accept bids, issue and sell the bonds so authorized to be sold and do any and all other things necessary and advisable in connection with the issuance and sale of such bonds. The total amount of bonds issued under Sections 58 through 73 of this act shall not exceed Three Million Dollars ($3,000,000.00). No bonds authorized under Sections 58 through 73 of this act shall be issued after July 1, 2008.

(2) The proceeds of bonds issued pursuant to Sections 58 through 73 of this act shall be deposited into the Mississippi Community Heritage Preservation Grant Fund created pursuant to Section 39-5-145, Mississippi Code of 1972. Any investment earnings on bonds issued pursuant to Sections 58 through 73 of this act shall be used to pay debt service on bonds issued under Sections 58 through 73 of this act, in accordance with the proceedings authorizing issuance of such bonds.

SECTION 60. The principal of and interest on the bonds authorized under Sections 58 through 73 of this act shall be payable in the manner provided in this section. Such bonds shall bear such date or dates, be in such denomination or denominations, bear interest at such rate or rates (not to exceed the limits set forth in Section 75-17-101, Mississippi Code of 1972), be payable at such place or places within or without the State of Mississippi, shall mature absolutely at such time or times not to exceed twenty-five (25) years from date of issue, be redeemable before maturity at such time or times and upon such terms, with or without premium, shall bear such registration privileges, and shall be substantially in such form, all as shall be determined by resolution of the commission.

SECTION 61. The bonds authorized by Sections 58 through 73 of this act shall be signed by the chairman of the commission, or by his facsimile signature, and the official seal of the commission shall be affixed thereto, attested by the secretary of the commission. The interest coupons, if any, to be attached to such bonds may be executed by the facsimile signatures of such officers. Whenever any such bonds shall have been signed by the officials designated to sign the bonds who were in office at the time of such signing but who may have ceased to be such officers before the sale and delivery of such bonds, or who may not have been in office on the date such bonds may bear, the signatures of such officers upon such bonds and coupons shall nevertheless be valid and sufficient for all purposes and have the same effect as if the person so officially signing such bonds had remained in office until their delivery to the purchaser, or had been in office on the date such bonds may bear. However, notwithstanding anything herein to the contrary, such bonds may be issued as provided in the Registered Bond Act of the State of Mississippi.

SECTION 62. All bonds and interest coupons issued under the provisions of Sections 58 through 73 of this act have all the qualities and incidents of negotiable instruments under the provisions of the Uniform Commercial Code, and in exercising the powers granted by Sections 58 through 73 of this act, the commission shall not be required to and need not comply with the provisions of the Uniform Commercial Code.

SECTION 63. The commission shall act as the issuing agent for the bonds authorized under Sections 58 through 73 of this act, prescribe the form of the bonds, advertise for and accept bids, issue and sell the bonds so authorized to be sold, pay all fees and costs incurred in such issuance and sale, and do any and all other things necessary and advisable in connection with the issuance and sale of such bonds. The commission is authorized and empowered to pay the costs that are incident to the sale, issuance and delivery of the bonds authorized under Sections 58 through 73 of this act from the proceeds derived from the sale of such bonds. The commission shall sell such bonds on sealed bids at public sale, and for such price as it may determine to be for the best interest of the State of Mississippi, but no such sale shall be made at a price less than par plus accrued interest to the date of delivery of the bonds to the purchaser. All interest accruing on such bonds so issued shall be payable semiannually or annually; however, the first interest payment may be for any period of not more than one (1) year.

The commission, when issuing any bonds under the authority of Sections 58 through 73 of this act, may provide that bonds, at the option of the State of Mississippi, may be called in for payment and redemption at the call price named therein and accrued interest on such date or dates named therein.

SECTION 64. The bonds issued under the provisions of Sections 58 through 73 of this act are general obligations of the State of Mississippi, and for the payment thereof the full faith and credit of the State of Mississippi is irrevocably pledged. If the funds appropriated by the Legislature are insufficient to pay the principal of and the interest on such bonds as they become due, then the deficiency shall be paid by the State Treasurer from any funds in the State Treasury not otherwise appropriated. All such bonds shall contain recitals on their faces substantially covering the provisions of this section.

SECTION 65. Upon the issuance and sale of bonds under the provisions of Sections 58 through 73 of this act, the commission shall transfer the proceeds of any such sale or sales to the Mississippi Community Heritage Preservation Grant Fund created in Section 39-5-145, Mississippi Code of 1972, and the proceeds of such bonds shall be disbursed for the purposes provided in Section 39-5-145.

SECTION 66. The bonds authorized under Sections 58 through 73 of this act may be issued without any other proceedings or the happening of any other conditions or things other than those proceedings, conditions and things which are specified or required by Sections 58 through 73 of this act. Any resolution providing for the issuance of bonds under the provisions of Sections 58 through 73 of this act shall become effective immediately upon its adoption by the commission, and any such resolution may be adopted at any regular or special meeting of the commission by a majority of its members.

SECTION 67. The bonds authorized under the authority of Sections 58 through 73 of this act may be validated in the Chancery Court of the First Judicial District of Hinds County, Mississippi, in the manner and with the force and effect provided by Chapter 13, Title 31, Mississippi Code of 1972, for the validation of county, municipal, school district and other bonds. The notice to taxpayers required by such statutes shall be published in a newspaper published or having a general circulation in the City of Jackson, Mississippi.

SECTION 68. Any holder of bonds issued under the provisions of Sections 58 through 73 of this act or of any of the interest coupons pertaining thereto may, either at law or in equity, by suit, action, mandamus or other proceeding, protect and enforce any and all rights granted under Sections 58 through 73 of this act, or under such resolution, and may enforce and compel performance of all duties required by Sections 58 through 73 of this act to be performed, in order to provide for the payment of bonds and interest thereon.

SECTION 69. All bonds issued under the provisions of Sections 58 through 73 of this act shall be legal investments for trustees and other fiduciaries, and for savings banks, trust companies and insurance companies organized under the laws of the State of Mississippi, and such bonds shall be legal securities which may be deposited with and shall be received by all public officers and bodies of this state and all municipalities and political subdivisions for the purpose of securing the deposit of public funds.

SECTION 70. Bonds issued under the provisions of Sections 58 through 73 of this act and income therefrom shall be exempt from all taxation in the State of Mississippi.

SECTION 71. The proceeds of the bonds issued under Sections 58 through 73 of this act shall be used solely for the purposes therein provided, including the costs incident to the issuance and sale of such bonds.

SECTION 72. The State Treasurer is authorized, without further process of law, to certify to the Department of Finance and Administration the necessity for warrants, and the Department of Finance and Administration is authorized and directed to issue such warrants, in such amounts as may be necessary to pay when due the principal of, premium, if any, and interest on, or the accreted value of, all bonds issued under Sections 58 through 73 of this act; and the State Treasurer shall forward the necessary amount to the designated place or places of payment of such bonds in ample time to discharge such bonds, or the interest thereon, on the due dates thereof.

SECTION 73. Sections 58 through 73 of this act shall be deemed to be full and complete authority for the exercise of the powers therein granted, but Sections 58 through 73 of this act shall not be deemed to repeal or to be in derogation of any existing law of this state.

SECTION 74. Section 39-5-145, Mississippi Code of 1972, is amended as follows:

39-5-145. (1) A special fund, to be designated the "Mississippi Community Heritage Preservation Grant Fund," is created within the State Treasury. The fund shall be maintained by the State Treasurer as a separate and special fund, separate and apart from the General Fund of the state. The fund shall consist of any monies designated for deposit therein from any source, including proceeds of any state general obligation bonds issued under Sections 39-5-143 and 39-5-145, Sections 22 through 36 of Laws, 2001, Chapter 541, Sections 1 through 16 of Laws, 2002, Chapter 543, * * * Sections 1 through 16 of Laws of 2003, Chapter 509, and Sections 58 through 73 of House Bill No._____, 2004 Third Extraordinary Session. Unexpended amounts remaining in the fund at the end of a fiscal year shall not lapse into the State General Fund and any interest earned or investment earnings on amounts in the fund shall be deposited into the fund. The expenditure of monies deposited into the fund shall be under the direction of the Department of Finance and Administration, based upon recommendations of the Board of Trustees of the Department of Archives and History, and such funds shall be paid by the State Treasurer upon warrants issued by the Department of Finance and Administration. Monies deposited into such fund shall be allocated and disbursed according to the provisions of this section. If any monies in the special fund are derived from proceeds of bonds issued under this chapter, Sections 1 through 16 of Laws, 2002, Chapter 543, * * * Sections 1 through 16 of Laws, 2003, Chapter 509, and/or Sections 58 through 73 of House Bill No. ____, 2004 Third Extraordinary Session, and are not used within four (4) years after the date such bond proceeds are deposited into the special fund, then the Department of Finance and Administration shall provide an accounting of such unused monies to the State Bond Commission.

(2) Monies deposited into the fund shall be allocated and disbursed as follows:

(a) Nineteen Million One Hundred Forty-three Thousand Dollars ($19,143,000.00) shall be allocated and disbursed as grants on a reimbursable basis through the Department of Finance and Administration, based upon the recommendations of the Board of Trustees of the Department of Archives and History, to assist county governments, municipal governments, school districts and nonprofit organizations that have obtained Section 501(c)(3) tax-exempt status from the United States Internal Revenue Service in helping pay the costs incurred in preserving, restoring, rehabilitating, repairing or interpreting (i) historic county courthouses, (ii) historic school buildings, and/or (iii) other historic properties identified by certified local governments. Where possible, expenditures from the fund shall be used to match federal grants or other grants that may be accessed by the Department of Archives and History, other state agencies, county governments or municipal governments, school districts or nonprofit organizations that have obtained Section 501(c)(3) tax-exempt status from the United States Internal Revenue Service. Any properties, except those described in paragraphs (b) and (d) of this subsection, receiving monies pursuant to this section must be designated as "Mississippi Landmark" properties prior to selection as projects for funding under the provisions of this section.

(b) Two Hundred Fifty Thousand Dollars ($250,000.00) shall be allocated and disbursed as grant funds to the Amory Regional Museum in Amory, Mississippi, to pay the costs of capital improvements, repair, renovation, furnishing and/or equipping of the museum. The Department of Finance and Administration is directed to transfer Two Hundred Fifty Thousand Dollars ($250,000.00) from the fund to the City of Amory on or before June 30, 2005, and the city shall place the funds into an escrow account. The city may expend the funds from the account only in an amount equal to matching funds that are provided from any source other than the state for the project. As the funds are withdrawn from the escrow account, the city shall certify to the Department of Finance and Administration the amount of the funds that have been withdrawn and that the funds that have been withdrawn are in an amount equal to matching funds required by this paragraph.

(c) One Hundred Thousand Dollars ($100,000.00) shall be allocated and disbursed as grant funds to the Jacinto Foundation, Inc., to pay the costs of capital improvements, repairing, renovating, restoring, rehabilitating, preserving, furnishing and/or equipping the courthouse and related facilities in Jacinto, Mississippi.

(d) Four Hundred Twenty-five Thousand Dollars ($425,000.00) shall be allocated and disbursed as grant funds to the Oxford-Lafayette County Heritage Foundation to pay the costs of capital improvements, repairing, renovating, restoring, rehabilitating, preserving, furnishing, equipping and/or acquiring the L.Q.C. Lamar Home in Oxford, Mississippi.

(e) Seventy-five Thousand Dollars ($75,000.00) shall be allocated and disbursed as grant funds to the City of Columbus, Mississippi Federal/State Programs Department to pay the costs of capital improvements, repairing, renovating, restoring, rehabilitating, preserving, reconstructing, furnishing and/or equipping the Queen City Hotel in Columbus, Mississippi.

(f) One Million Dollars ($1,000,000.00) shall be allocated and disbursed as grant funds to the Town of Wesson, Mississippi, to pay the costs of restoration and renovation of the Old Wesson School.

(g) One Hundred Thousand Dollars ($100,000.00) shall be allocated and disbursed as grant funds to pay the costs of repair, restoration, renovation, furnishing and equipping of the Old Fulton Grammar School in Itawamba County, Mississippi.

(h) Two Hundred Fifty Thousand Dollars ($250,000.00) shall be allocated and disbursed as grant funds to Monroe County, Mississippi, to pay the costs of repair, restoration, renovation, furnishing and equipping of the Monroe County Courthouse.

(i) Two Thousand Five Hundred Dollars ($2,500.00) shall be allocated and disbursed as grant funds to pay the costs of repair, restoration, renovation, furnishing and equipping of the Old Howell School Building in George County, Mississippi.

(j) Two Thousand Five Hundred Dollars ($2,500.00) shall be allocated and disbursed as grant funds to pay the costs of repair, restoration, renovation, furnishing and equipping of the Old Bexley School Building in George County, Mississippi.

(k) Two Thousand Five Hundred Dollars ($2,500.00) shall be allocated and disbursed as grant funds to pay the cost of repair, restoration, renovation, furnishing and equipping of the Old Vernal School House in George County, Mississippi.

(l) Five Hundred Thousand Dollars ($500,000.00) shall be allocated and disbursed to the Friends of the Seige and Battle of Corinth, Inc., for the acquisition and preservation of Civil War Battlefields in the Corinth area.

(m) Monies in the Mississippi Community Heritage Preservation Grant Fund which are derived from proceeds of bonds issued under Sections 1 through 16 of Laws, 2002, Chapter 543, Sections 1 through 16 of Laws, 2003, Chapter 509, and/or Sections 58 through 73 of House Bill No. ____, 2004 Third Extraordinary Session, may be used to reimburse reasonable, actual and necessary costs incurred by the Mississippi Department of Archives and History in providing assistance directly related to a project described in paragraph (a) of this subsection for which funding is provided under this section. Reimbursement may be made only until such time as the project is completed. An accounting of actual costs incurred for which reimbursement is sought shall be maintained for each project by the Mississippi Department of Archives and History. Reimbursement of reasonable, actual and necessary costs for a project shall not exceed three percent (3%) of the proceeds of bonds issued for such project. Monies authorized for a particular project may not be used to reimburse administrative costs for unrelated projects.

(3) The Board of Trustees of the Department of Archives and History shall receive and consider proposals from county governments, municipal governments, school districts and nonprofit organizations that have obtained Section 501(c)(3) tax-exempt status from the United States Internal Revenue Service for projects associated with the preservation, restoration, rehabilitation, repair or interpretation of (a) historic courthouses, (b) historic school buildings and/or (c) other historic properties identified by certified local governments. Proposals shall be submitted in accordance with the provisions of procedures, criteria and standards developed by the board. The board shall determine those projects to be funded and may require matching funds from any applicant seeking assistance under this section. This subsection shall not apply to projects described in subsection (2)(b), (2)(c), (2)(d), (2)(e), (2)(f), (2)(g), (2)(h), (2)(i), (2)(j), (2)(k) and (2)(l) of this section.

(4) The Department of Archives and History shall publicize the Community Heritage Preservation Grant program described in this section on a statewide basis, including the publication of the criteria and standards used by the department in selecting projects for funding. The selection of a project for funding under the provisions of this section shall be made solely upon the deliberate consideration of each proposed project on its merits. The board shall make every effort to award the grants in a manner that will fairly distribute the funds in regard to the geography and cultural diversity of the state. This subsection shall not apply to projects described in subsection (2)(b), (2)(c), (2)(d), (2)(e), (2)(f), (2)(g), (2)(h), (2)(i), (2)(j), (2)(k) and (2)(l) of this section.

(5) With regard to any project awarded funding under this section, any consultant, planner, architect, engineer, exhibit contracting firm, historic preservation specialist or other professional hired by a grant recipient to work on any such project shall be approved by the board before their employment by the grant recipient.

(6) Plans and specifications for all projects initiated under the provisions of this section shall be approved by the board before the awarding of any contracts. The plans and specifications for any work involving "Mississippi Landmark" properties shall be developed in accordance with "The Secretary of the Interior's Standards for the Treatment of Historic Properties."

SECTION 75. (1) The Department of Finance and Administration may sell and convey to the Board of Trustees of the Mississippi Museum of Art two (2) parcels of property fronting the north side of Riverside Drive in Jackson, Hinds County, Mississippi, and the south side of Woodrow Wilson Avenue in Jackson, Hinds County, Mississippi, and lying north and east and northwest of the property owned by the Salvation Army, the property being more particularly described as follows:

Parcel A

A certain parcel of land being situated in the Northwest 1/4 of the Northeast 1/4 of Section 35, T6N-R1E, City of Jackson, Hinds County, Mississippi, and being more particularly described as follows:

Commence at an iron pin marking the Point of Intersection of the North right-of-way line of Riverside Drive with the East right-of-way line of Murrah Drive (as both are now laid out and improved); run thence North 89 degrees 47 minutes 20 seconds East along said North right-of-way line of Riverside Drive for a distance of 700.00 feet to the Southwest corner of a 5.964 acre tract of land (Belhaven College); leaving said North right-of-way line of Riverside Drive, run thence North 00 degrees 09 minutes 00 seconds West along the West line of said 5.964 acre tract for a distance of 650.00 feet to the Northwest corner thereof; run thence North 89 degrees 47 minutes 20 seconds East along the North line of said 5.964 acre tract for a distance of 40.68 feet to a set 1/2" iron pin being the POINT OF BEGINNING of the parcel of land herein described; from said POINT OF BEGINNING and leaving said North line of a 5.964 acre tract, run thence North 30 degrees 25 minutes 33 seconds East for a distance of 334.09 feet to a set 1/2" iron pin on the South right-of-way line of Woodrow Wilson Drive (Interstate Highway 55, Ramp "D", Project I-IF-55-2(31)96); run thence South 78 degrees 57 minutes 13 seconds East along said South right-of-way line of Woodrow Wilson Drive for a distance of 45.46 feet to a set 1/2" iron pin being the Point of Curvature of a 9.56412 degree curve bearing to the right having a central angle of 14 degrees 32 minutes 19 seconds and a radius of 599.07 feet; run thence along said South right-of-way line of Woodrow Wilson Drive and along the arc of said curve an arc length of 152.01 feet; said curve having a chord bearing of South 71 degrees 44 minutes 16 seconds East and a chord distance of 151.60 feet to an existing 1/2" iron pin marking the Northeast corner of a 10.707 acre tract of land (Belhaven College); leaving said South right-of-way line of Woodrow Wilson Drive and the arc of said curve, run thence South 00 degrees 12 minutes 40 seconds East along the West line of said 10.707 acre tract for a distance of 230.54 feet to an existing 1/2" iron pin marking the Northwest corner of the aforesaid 5.964 acre tract of land; run thence South 89 degrees 47 minutes 20 seconds West along the North line of said 5.964 acre tract for a distance of 358.63 feet to the POINT OF BEGINNING, containing 1.703 acres, more or less.

Parcel B

A certain parcel of land being situated in the North 1/2 of the Northeast 1/4 of Section 35, T6N-R1E, City of Jackson, Hinds County, Mississippi, and being more particularly described as follows:

Commence at an existing iron pin marking the Point of Intersection of the North right-of-way line of Riverside Drive with the East right-of-way line of Murrah Drive (as both are now laid out and improved); run thence North 89 degrees 47 minutes 20 seconds East along said North right-of-way line of Riverside Drive for a distance of 1,476.70 feet to the Southeast corner of the Salvation Army property as described in deed recorded in Deed Book 2076 at Page 490 in the office of the Chancery Clerk of Hinds County at Jackson, Mississippi; said point further being the POINT OF BEGINNING of the parcel of land herein described; from said POINT OF BEGINNING and leaving said North right-of-way line of Riverside Drive, run thence North 00 degrees 12 minutes 40 seconds West along the East line of said Salvation Army property for a distance of 500.00 feet to the Northeast corner thereof; leaving said East line of the Salvation Army property, run thence South 89 degrees 47 minutes 20 seconds West along the North line of said Salvation Army property for a distance of 375.00 feet to the Northwest corner thereof; leaving said North line of the Salvation Army property, run thence North 00 degrees 12 minutes 40 seconds West for a distance of 380.59 feet to a point on the South right-of-way line of Woodrow Wilson Avenue (according to the plans for Federal Aid Project Number I-IG-55-2(31)(96); said point also being on the arc of a 9.56412 degree curve bearing to the right having a central angle of 11 degrees 28 minutes 50 seconds and a radius of 599.07 feet; run thence along the arc of said 9.56412 degree curve bearing to the left an arc length of 120.04 feet; said curve having a chord bearing of South 58 degrees 44 minutes 38 seconds East and a chord distance of 119.84 feet to the Point of Tangency of said curve; run thence South 53 degrees 00 minutes 11 seconds East for a distance of 400.06 feet; run thence South 55 degrees 03 minutes 09 seconds East for a distance of 157.78 feet to the Point of Curvature of a 7.24163 degree curve bearing to the left having a central angle of 12 degrees 57 minutes 59 seconds and a radius of 791.20 feet; run thence along the said 7.24163 degree curve bearing to the left arc length of 179.05 feet; said curve having a chord bearing of South 65 degrees 29 minutes 11 seconds East and a chord distance of 178.67 feet to the Point of Tangency of said curve; run thence South 75 degrees 55 minutes 12 seconds East for a distance of 157.78 feet; run thence South 77 degrees 58 minutes 10 seconds East for a distance of 166.56 feet; run thence South 74 degrees 57 minutes 08 seconds East for a distance of 187.53 feet; run thence South 35 degrees 48 minutes 13 seconds East for a distance of 235.88 feet; run thence south 43 degrees 11 minutes 54 seconds East for a distance of 130.00 feet to the Point of Intersection of said South right-of-way line of Woodrow Wilson Avenue with the aforesaid North right-of-way line of Riverside Drive; leaving said South right-of-way line of Woodrow Wilson Avenue, run thence South 89 degrees 47 minutes 20 seconds West along said North right-of-way line of Riverside Drive for a distance of 1,059.64 feet to the POINT OF BEGINNING, containing 10.707 acres, more or less.

The Department of Finance and Administration may have the parcels of property surveyed in order to determine the specific legal description, but the total property conveyed shall not exceed thirteen (13) acres.

(2) The sale and conveyance authorized in this section may be made on such terms and conditions agreed upon by the Department of Finance and Administration and the Board of Trustees of the Mississippi Museum of Art to be in the best interests of both parties.

(3) Any funds received by the State of Mississippi for the conveyance of the real property described in subsection (1) of this section shall be deposited into the State General Fund.

(4) The State of Mississippi shall retain all mineral rights to the real property sold pursuant to this section.

SECTION 76. Section 3, Chapter 554, Laws of 2004, which authorizes the Department of Finance and Administration to sell and convey certain parcels of property in Jackson, Mississippi, to the Board of Trustees of the Mississippi Museum of Art, is repealed.

SECTION 77. As used in Sections 77 through 92 of this act, the following words shall have the meanings ascribed herein unless the context clearly requires otherwise:

(a) "Accreted value" of any bonds means, as of any date of computation, an amount equal to the sum of (i) the stated initial value of such bonds, plus (ii) the interest accrued thereon from the issue date to the date of computation at the rate, compounded semiannually, that is necessary to produce the approximate yield to maturity shown for bonds of the same maturity.

(b) "State" means the State of Mississippi.

SECTION 78. (1) The Department of Finance and Administration, at one time, or from time to time, may declare by resolution the necessity for issuance of general obligation bonds of the State of Mississippi to provide funds for the Supplementary Rural Fire Truck Fund created in Section 93 of House Bill No. ____, 2004 Third Extraordinary Session. Upon the adoption of a resolution by the Department of Finance and Administration, declaring the necessity for the issuance of any part or all of the general obligation bonds authorized by this section, the Department of Finance and Administration shall deliver a certified copy of its resolution or resolutions to the commission. Upon receipt of such resolution, the commission, in its discretion, may act as the issuing agent, prescribe the form of the bonds, advertise for and accept bids, issue and sell the bonds so authorized to be sold and do any and all other things necessary and advisable in connection with the issuance and sale of such bonds. The total amount of bonds issued under Sections 94 through 109 of this act shall not exceed Fifteen Million Dollars ($15,000,000.00). No bonds authorized under Sections 77 through 92 of this act shall be issued after July 1, 2008.

(2) The proceeds of bonds issued pursuant to Sections 77 through 92 of this act shall be deposited into the Supplementary Rural Fire Truck Fund created in Section 93 of House Bill No. ____, 2004 Third Extraordinary Session. Any investment earnings on bonds issued pursuant to Sections 77 through 92 of this act shall be used to pay debt service on bonds issued under Sections 77 through 92 of this act, in accordance with the proceedings authorizing issuance of such bonds.

SECTION 79. The principal of and interest on the bonds authorized under Sections 77 through 92 of this act shall be payable in the manner provided in this section. Such bonds shall bear such date or dates, be in such denomination or denominations, bear interest at such rate or rates (not to exceed the limits set forth in Section 75-17-101, Mississippi Code of 1972), be payable at such place or places within or without the State of Mississippi, shall mature absolutely at such time or times not to exceed twenty-five (25) years from date of issue, be redeemable before maturity at such time or times and upon such terms, with or without premium, shall bear such registration privileges, and shall be substantially in such form, all as shall be determined by resolution of the commission.

SECTION 80. The bonds authorized by Sections 77 through 92 of this act shall be signed by the chairman of the commission, or by his facsimile signature, and the official seal of the commission shall be affixed thereto, attested by the secretary of the commission. The interest coupons, if any, to be attached to such bonds may be executed by the facsimile signatures of such officers. Whenever any such bonds shall have been signed by the officials designated to sign the bonds who were in office at the time of such signing but who may have ceased to be such officers before the sale and delivery of such bonds, or who may not have been in office on the date such bonds may bear, the signatures of such officers upon such bonds and coupons shall nevertheless be valid and sufficient for all purposes and have the same effect as if the person so officially signing such bonds had remained in office until their delivery to the purchaser, or had been in office on the date such bonds may bear. However, notwithstanding anything herein to the contrary, such bonds may be issued as provided in the Registered Bond Act of the State of Mississippi.

SECTION 81. All bonds and interest coupons issued under the provisions of Sections 77 through 92 of this act have all the qualities and incidents of negotiable instruments under the provisions of the Uniform Commercial Code, and in exercising the powers granted by Sections 77 through 92 of this act, the commission shall not be required to and need not comply with the provisions of the Uniform Commercial Code.

SECTION 82. The commission shall act as the issuing agent for the bonds authorized under Sections 77 through 92 of this act, prescribe the form of the bonds, advertise for and accept bids, issue and sell the bonds so authorized to be sold, pay all fees and costs incurred in such issuance and sale, and do any and all other things necessary and advisable in connection with the issuance and sale of such bonds. The commission is authorized and empowered to pay the costs that are incident to the sale, issuance and delivery of the bonds authorized under Sections 77 through 92 of this act from the proceeds derived from the sale of such bonds. The commission shall sell such bonds on sealed bids at public sale, and for such price as it may determine to be for the best interest of the State of Mississippi, but no such sale shall be made at a price less than par plus accrued interest to the date of delivery of the bonds to the purchaser. All interest accruing on such bonds so issued shall be payable semiannually or annually; however, the first interest payment may be for any period of not more than one (1) year.

The commission, when issuing any bonds under the authority of Sections 77 through 92 of this act, may provide that bonds, at the option of the State of Mississippi, may be called in for payment and redemption at the call price named therein and accrued interest on such date or dates named therein.

SECTION 83. The bonds issued under the provisions of Sections 77 through 92 of this act are general obligations of the State of Mississippi, and for the payment thereof the full faith and credit of the State of Mississippi is irrevocably pledged. If the funds appropriated by the Legislature are insufficient to pay the principal of and the interest on such bonds as they become due, then the deficiency shall be paid by the State Treasurer from any funds in the State Treasury not otherwise appropriated. All such bonds shall contain recitals on their faces substantially covering the provisions of this section.

SECTION 84. Upon the issuance and sale of bonds under the provisions of Sections 77 through 92 of this act, the commission shall transfer the proceeds of any such sale or sales to the Supplementary Rural Fire Truck Fund created in Section 93 of House Bill No. ____, 2004 Third Extraordinary Session. The proceeds of such bonds shall be disbursed solely upon the order of the Department of Finance and Administration under such restrictions, if any, as may be contained in the resolution providing for the issuance of the bonds.

SECTION 85. The bonds authorized under Sections 77 through 92 of this act may be issued without any other proceedings or the happening of any other conditions or things other than those proceedings, conditions and things which are specified or required by Sections 77 through 92 of this act. Any resolution providing for the issuance of bonds under the provisions of Sections 77 through 92 of this act shall become effective immediately upon its adoption by the commission, and any such resolution may be adopted at any regular or special meeting of the commission by a majority of its members.

SECTION 86. The bonds authorized under the authority of Sections 77 through 92 of this act may be validated in the Chancery Court of the First Judicial District of Hinds County, Mississippi, in the manner and with the force and effect provided by Chapter 13, Title 31, Mississippi Code of 1972, for the validation of county, municipal, school district and other bonds. The notice to taxpayers required by such statutes shall be published in a newspaper published or having a general circulation in the City of Jackson, Mississippi.

SECTION 87. Any holder of bonds issued under the provisions of Sections 77 through 92 of this act or of any of the interest coupons pertaining thereto may, either at law or in equity, by suit, action, mandamus or other proceeding, protect and enforce any and all rights granted under Sections 77 through 92 of this act, or under such resolution, and may enforce and compel performance of all duties required by Sections 77 through 92 of this act to be performed, in order to provide for the payment of bonds and interest thereon.

SECTION 88. All bonds issued under the provisions of Sections 77 through 92 of this act shall be legal investments for trustees and other fiduciaries, and for savings banks, trust companies and insurance companies organized under the laws of the State of Mississippi, and such bonds shall be legal securities which may be deposited with and shall be received by all public officers and bodies of this state and all municipalities and political subdivisions for the purpose of securing the deposit of public funds.

SECTION 89. Bonds issued under the provisions of Sections 77 through 92 of this act and income therefrom shall be exempt from all taxation in the State of Mississippi.

SECTION 90. The proceeds of the bonds issued under Sections 77 through 92 of this act shall be used solely for the purposes therein provided, including the costs incident to the issuance and sale of such bonds.

SECTION 91. The State Treasurer is authorized, without further process of law, to certify to the Department of Finance and Administration the necessity for warrants, and the Department of Finance and Administration is authorized and directed to issue such warrants, in such amounts as may be necessary to pay when due the principal of, premium, if any, and interest on, or the accreted value of, all bonds issued under Sections 77 through 92 of this act; and the State Treasurer shall forward the necessary amount to the designated place or places of payment of such bonds in ample time to discharge such bonds, or the interest thereon, on the due dates thereof.

SECTION 92. Sections 77 through 92 of this act shall be deemed to be full and complete authority for the exercise of the powers therein granted, but Sections 77 through 92 of this act shall not be deemed to repeal or to be in derogation of any existing law of this state.

SECTION 93. (1) There is established a supplementary rural fire truck acquisition assistance program to be administered by the Department of Insurance for the purpose of assisting counties and municipalities in the acquisition of fire trucks. The supplementary rural fire truck acquisition assistance program is in addition to the rural fire truck acquisition assistance program established in Section 17-23-1 or any other program by which counties and municipalities acquire fire trucks.

(2) There is created in the State Treasury a special fund to be designated as the "Supplementary Rural Fire Truck Fund" which shall consist of funds appropriated or otherwise made available by the Legislature in any manner and funds from any other source designated for deposit into such fund. Monies in the fund shall be used for the purpose of assisting counties and municipalities in the acquisition of fire trucks. Unexpended amounts remaining 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.

(3) (a) A county that meets the requirements provided herein may receive an amount of not more than Fifty Thousand Dollars ($50,000.00) per fire truck. Monies distributed under this section shall be expended only for the purchase of new fire trucks and such trucks must meet the National Fire Protection Association (NFPA) standards in the 1900 series.

(b) The board of supervisors of the county shall submit its request for the receipt of monies to the Department of Insurance. A committee composed of the Commissioner of Insurance, the State Fire Coordinator, the Director of the Rating Bureau and the Director of the State Fire Academy shall review the requests by the boards of supervisors and shall determine whether the county or municipality for which the board of supervisors has requested a truck meets the requirements of eligibility under this section.

(i) A county or municipality must pledge to set aside or dedicate each year as matching funds, for a period not to extend over ten (10) years, local funds in an amount equal to or not less than one-tenth (1/10) of the amount of monies for which it is requesting distribution from the Supplementary Rural Fire Truck Fund, which pledged monies may be derived from local ad valorem tax authorized by law or from any other funds available to the county or municipality, except for those funds received by municipalities or counties from the Municipal Fire Protection Fund or the County Volunteer Fire Department Fund, as defined in Sections 83-1-37 and 83-1-39.

(ii) A municipality must provide adequate documentation of its contract with the county that requires the municipality to provide fire protection in rural areas. The term "rural areas" means any area within the county located outside the boundaries of an incorporated municipality or any incorporated municipality with a population of two thousand five hundred (2,500) or less.

(d) The Department of Insurance shall maintain an accurate record of all monies distributed to counties and municipalities and the number of fire trucks purchased and the cost for each fire truck, such records to be kept separate from other records of the Department of Insurance; notify counties and municipalities of the supplementary rural fire truck acquisition assistance program and the requirements for them to become eligible to participate; adopt and promulgate such rules and regulations as may be necessary and desirable to implement the provisions of this act; and file with the Legislature a report detailing how monies made available under this chapter were distributed and spent during the preceding portion of the fiscal year in each county and municipality, the number of fire trucks purchased, the counties and municipalities making such purchases and the cost of each fire truck purchased.

SECTION 94. As used in Sections 94 through 111 of this act, the following words shall have the meanings ascribed herein unless the context clearly requires otherwise:

(b) "State" means the State of Mississippi.

SECTION 95. (1) (a) A special fund to be designated as the "2004 Town of Sherman Infrastructure Improvement Fund" is created within the State Treasury. The fund shall be maintained by the State Treasurer as a separate and special fund, separate and apart from the General Fund of the state. Unexpended amounts remaining in the fund at the end of a fiscal year shall not lapse into the State General Fund, and any interest earned or investment earnings on amounts in the fund shall be deposited to the credit of the fund. Monies in the fund may not be used or expended for any purpose except as authorized under this section.

(b) Monies deposited into the fund shall be disbursed by the Department of Finance and Administration to the Town of Sherman, Mississippi, to pay the costs of improvements to highways, streets and other roadways, sewer systems, water systems and other infrastructure projects.

(2) Amounts deposited into such special fund shall be disbursed by the Department of Finance and Administration to pay the costs of projects described in subsection (1) of this section.

(3) Such funds shall be paid by the State Treasurer to the Town of Sherman, Mississippi, upon warrants issued by the Department of Finance and Administration, which warrants shall be issued upon requisitions signed by the Executive Director of the Department of Finance and Administration, or his designee.

SECTION 96. (1) (a) A special fund to be designated as the "Camp Van Dorn Museum Fund" is created within the State Treasury. The fund shall be maintained by the State Treasurer as a separate and special fund, separate and apart from the General Fund of the state. Unexpended amounts remaining in the fund at the end of a fiscal year shall not lapse into the State General Fund, and any interest earned or investment earnings on amounts in the fund shall be deposited to the credit of the fund. Monies in the fund may not be used or expended for any purpose except as authorized under this section.

(b) Monies deposited into the fund shall be disbursed by the Department of Finance and Administration to the Centreville Downtown Development Authority to pay the costs of completing construction, furnishing and equipping the Camp Van Dorn Museum in Centreville, Mississippi.

(2) Amounts deposited into such special fund shall be disbursed by the Department of Finance and Administration to pay the costs of projects described in subsection (1) of this section.

(3) Such funds shall be paid by the State Treasurer to the Centreville Downtown Development Authority upon warrants issued by the Department of Finance and Administration, which warrants shall be issued upon requisitions signed by the Executive Director of the Department of Finance and Administration, or his designee.

SECTION 97. (1) The commission, at one time, or from time to time, may declare by resolution the necessity for issuance of general obligation bonds of the State of Mississippi to provide funds for all costs incurred or to be incurred for the purposes described in Sections 94 and 111 of this act. Upon the adoption of a resolution by the Department of Finance and Administration, declaring the necessity for the issuance of any part or all of the general obligation bonds authorized by this section, the Department of Finance and Administration shall deliver a certified copy of its resolution or resolutions to the commission. Upon receipt of such resolution, the commission, in its discretion, may act as the issuing agent, prescribe the form of the bonds, advertise for and accept bids, issue and sell the bonds so authorized to be sold and do any and all other things necessary and advisable in connection with the issuance and sale of such bonds. The total amount of bonds issued under Sections 94 through 111 of this act shall not exceed Three Million Three Hundred Fifty Thousand Dollars ($3,350,000.00). No bonds shall be issued under this section after July 1, 2008.

(2) The proceeds of the bonds issued pursuant to Sections 94 through 111 of this act shall be deposited into the following special funds in not more than the following amounts:

(a) The Town of Sherman Infrastructure Improvement Fund created pursuant to Section 95 of this act......................... $ 3,000,000.00.

(b) The Camp Van Dorn Museum Fund created pursuant to Section 96 of this act............................................ $ 350,000.00.

(3) Any investment earnings on amounts deposited into the special funds created in Sections 95 and 96 of this act shall be used to pay debt service on bonds issued under Sections 94 through 111 of this act, in accordance with the proceedings authorizing issuance of such bonds.

SECTION 98. The principal of and interest on the bonds authorized under Sections 94 through 111 of this act shall be payable in the manner provided in this section. Such bonds shall bear such date or dates, be in such denomination or denominations, bear interest at such rate or rates (not to exceed the limits set forth in Section 75-17-101, Mississippi Code of 1972), be payable at such place or places within or without the State of Mississippi, shall mature absolutely at such time or times not to exceed twenty-five (25) years from date of issue, be redeemable before maturity at such time or times and upon such terms, with or without premium, shall bear such registration privileges, and shall be substantially in such form, all as shall be determined by resolution of the commission.

SECTION 99. The bonds authorized by Sections 94 through 111 of this act shall be signed by the chairman of the commission, or by his facsimile signature, and the official seal of the commission shall be affixed thereto, attested by the secretary of the commission. The interest coupons, if any, to be attached to such bonds may be executed by the facsimile signatures of such officers. Whenever any such bonds shall have been signed by the officials designated to sign the bonds who were in office at the time of such signing but who may have ceased to be such officers before the sale and delivery of such bonds, or who may not have been in office on the date such bonds may bear, the signatures of such officers upon such bonds and coupons shall nevertheless be valid and sufficient for all purposes and have the same effect as if the person so officially signing such bonds had remained in office until their delivery to the purchaser, or had been in office on the date such bonds may bear. However, notwithstanding anything herein to the contrary, such bonds may be issued as provided in the Registered Bond Act of the State of Mississippi.

SECTION 100. All bonds and interest coupons issued under the provisions of Sections 94 through 111 of this act have all the qualities and incidents of negotiable instruments under the provisions of the Uniform Commercial Code, and in exercising the powers granted by Sections 94 through 111 of this act, the commission shall not be required to and need not comply with the provisions of the Uniform Commercial Code.

SECTION 101. The commission shall act as the issuing agent for the bonds authorized under Sections 94 through 111 of this act, prescribe the form of the bonds, advertise for and accept bids, issue and sell the bonds so authorized to be sold, pay all fees and costs incurred in such issuance and sale, and do any and all other things necessary and advisable in connection with the issuance and sale of such bonds. The commission is authorized and empowered to pay the costs that are incident to the sale, issuance and delivery of the bonds authorized under Sections 94 through 111 of this act from the proceeds derived from the sale of such bonds. The commission shall sell such bonds on sealed bids at public sale, and for such price as it may determine to be for the best interest of the State of Mississippi, but no such sale shall be made at a price less than par plus accrued interest to the date of delivery of the bonds to the purchaser. All interest accruing on such bonds so issued shall be payable semiannually or annually; however, the first interest payment may be for any period of not more than one (1) year.

The commission, when issuing any bonds under the authority of Sections 94 through 111 of this act, may provide that bonds, at the option of the State of Mississippi, may be called in for payment and redemption at the call price named therein and accrued interest on such date or dates named therein.

SECTION 102. The bonds issued under the provisions of Sections 94 through 111 of this act are general obligations of the State of Mississippi, and for the payment thereof the full faith and credit of the State of Mississippi is irrevocably pledged. If the funds appropriated by the Legislature are insufficient to pay the principal of and the interest on such bonds as they become due, then the deficiency shall be paid by the State Treasurer from any funds in the State Treasury not otherwise appropriated. All such bonds shall contain recitals on their faces substantially covering the provisions of this section.

SECTION 103. Upon the issuance and sale of bonds under the provisions of Sections 94 through 111 of this act, the commission shall transfer the proceeds of any such sale or sales to the special funds created in Sections 95 and 96 of this act in the amounts provided for in Section 97 of this act. The proceeds of such bonds shall be disbursed solely upon the order of the Department of Finance and Administration under such restrictions, if any, as may be contained in the resolution providing for the issuance of the bonds.

SECTION 104. The bonds authorized under Sections 94 through 111 of this act may be issued without any other proceedings or the happening of any other conditions or things other than those proceedings, conditions and things which are specified or required by Sections 94 through 111 of this act. Any resolution providing for the issuance of bonds under the provisions of Sections 94 through 111 of this act shall become effective immediately upon its adoption by the commission, and any such resolution may be adopted at any regular or special meeting of the commission by a majority of its members.

SECTION 105. The bonds authorized under the authority of Sections 94 through 111 of this act may be validated in the Chancery Court of the First Judicial District of Hinds County, Mississippi, in the manner and with the force and effect provided by Chapter 13, Title 31, Mississippi Code of 1972, for the validation of county, municipal, school district and other bonds. The notice to taxpayers required by such statutes shall be published in a newspaper published or having a general circulation in the City of Jackson, Mississippi.

SECTION 106. Any holder of bonds issued under the provisions of Sections 94 through 111 of this act or of any of the interest coupons pertaining thereto may, either at law or in equity, by suit, action, mandamus or other proceeding, protect and enforce any and all rights granted under Sections 94 through 111 of this act, or under such resolution, and may enforce and compel performance of all duties required by Sections 94 through 111 of this act to be performed, in order to provide for the payment of bonds and interest thereon.

SECTION 107. All bonds issued under the provisions of Sections 94 through 111 of this act shall be legal investments for trustees and other fiduciaries, and for savings banks, trust companies and insurance companies organized under the laws of the State of Mississippi, and such bonds shall be legal securities which may be deposited with and shall be received by all public officers and bodies of this state and all municipalities and political subdivisions for the purpose of securing the deposit of public funds.

SECTION 108. Bonds issued under the provisions of Sections 94 through 111 of this act and income therefrom shall be exempt from all taxation in the State of Mississippi.

SECTION 109. The proceeds of the bonds issued under Sections 94 through 111 of this act shall be used solely for the purposes herein provided, including the costs incident to the issuance and sale of such bonds.

SECTION 110. The State Treasurer is authorized, without further process of law, to certify to the Department of Finance and Administration the necessity for warrants, and the Department of Finance and Administration is authorized and directed to issue such warrants, in such amounts as may be necessary to pay when due the principal of, premium, if any, and interest on, or the accreted value of, all bonds issued under Sections 94 through 111 of this act; and the State Treasurer shall forward the necessary amount to the designated place or places of payment of such bonds in ample time to discharge such bonds, or the interest thereon, on the due dates thereof.

SECTION 111. Sections 94 through 111 of this act shall be deemed to be full and complete authority for the exercise of the powers herein granted, but Sections 94 through 111 of this act shall not be deemed to repeal or to be in derogation of any existing law of this state.

SECTION 112. As used in Sections 112 through 128 of this act, the following words shall have the meanings ascribed herein unless the context clearly requires otherwise:

(b) "State" means the State of Mississippi.

SECTION 113. (1) (a) A special fund, to be designated as the "Wayne, Clarke and Lauderdale Counties Railroad Lines Improvements Fund" is created within the State Treasury. The fund shall be maintained by the State Treasurer as a separate and special fund, separate and apart from the General Fund of the state. Unexpended amounts remaining in the fund at the end of a fiscal year shall not lapse into the State General Fund, and any interest earned or investment earnings on amounts in the fund shall be deposited into such fund.

(b) Monies deposited into the fund shall be disbursed, in the discretion of the Mississippi Development Authority, to assist Wayne County, Clarke County and Lauderdale County, and municipalities located within such counties, in paying costs associated with construction and improvement of railroad lines and related facilities located in such counties and which constitute part of a cooperative plan of such counties for the improvement of rail transportation.

(c) Monies in the special fund may be used to reimburse reasonable actual and necessary costs incurred by the Mississippi Development Authority in providing assistance related to a project for which funding is provided under Sections 112 through 128 of this act. The Mississippi Development Authority shall maintain an accounting of actual costs incurred for each project for which reimbursements are sought. Reimbursements under this paragraph (c) shall not exceed Fifteen Thousand Dollars ($15,000.00) in the aggregate. Reimbursements under this paragraph (c) shall satisfy any applicable federal tax law requirements.

(2) Amounts deposited into such special fund shall be disbursed to pay the costs of the projects described in subsection (1) of this section. Promptly after the commission has certified, by resolution duly adopted, that the projects described in subsection (1) of this section shall have been completed, abandoned, or cannot be completed in a timely fashion, any amounts remaining in such special fund shall be applied to pay debt service on the bonds issued under Sections 112 through 128 of this act, in accordance with the proceedings authorizing the issuance of such bonds and as directed by the commission.

SECTION 114. (1) The commission, at one time, or from time to time, may declare by resolution the necessity for issuance of general obligation bonds of the State of Mississippi to provide funds for all costs incurred or to be incurred for the purposes described in Section 113 of this act. Upon the adoption of a resolution by the Mississippi Development Authority, declaring the necessity for the issuance of any part or all of the general obligation bonds authorized by Sections 112 through 128 of this section, the Mississippi Development Authority shall deliver a certified copy of its resolution or resolutions to the commission. Upon receipt of such resolution, the commission, in its discretion, may act as the issuing agent, prescribe the form of the bonds, advertise for and accept bids, issue and sell the bonds so authorized to be sold and do any and all other things necessary and advisable in connection with the issuance and sale of such bonds. The total amount of bonds issued under Sections 112 through 128 of this act shall not exceed One Million Two Hundred Thousand Dollars ($1,200,000.00); provided, however, that not more than Six Hundred Thousand Dollars ($600,000.00) may be issued in any fiscal year.

(2) Any investment earnings on amounts deposited into the special fund created in Section 113 of this act shall be used to pay debt service on bonds issued under Sections 112 through 128 of this act, in accordance with the proceedings authorizing issuance of such bonds.

SECTION 115. The principal of and interest on the bonds authorized under Sections 112 through 128 of this act shall be payable in the manner provided in this section. Such bonds shall bear such date or dates, be in such denomination or denominations, bear interest at such rate or rates (not to exceed the limits set forth in Section 75-17-101, Mississippi Code of 1972), be payable at such place or places within or without the State of Mississippi, shall mature absolutely at such time or times not to exceed twenty-five (25) years from date of issue, be redeemable before maturity at such time or times and upon such terms, with or without premium, shall bear such registration privileges, and shall be substantially in such form, all as shall be determined by resolution of the commission.

SECTION 116. The bonds authorized by Sections 112 through 128 of this act shall be signed by the chairman of the commission, or by his facsimile signature, and the official seal of the commission shall be affixed thereto, attested by the secretary of the commission. The interest coupons, if any, to be attached to such bonds may be executed by the facsimile signatures of such officers. Whenever any such bonds shall have been signed by the officials designated to sign the bonds who were in office at the time of such signing but who may have ceased to be such officers before the sale and delivery of such bonds, or who may not have been in office on the date such bonds may bear, the signatures of such officers upon such bonds and coupons shall nevertheless be valid and sufficient for all purposes and have the same effect as if the person so officially signing such bonds had remained in office until their delivery to the purchaser, or had been in office on the date such bonds may bear. However, notwithstanding anything herein to the contrary, such bonds may be issued as provided in the Registered Bond Act of the State of Mississippi.

SECTION 117. All bonds and interest coupons issued under the provisions of Sections 112 through 128 of this act have all the qualities and incidents of negotiable instruments under the provisions of the Uniform Commercial Code, and in exercising the powers granted by Sections 112 through 128 of this act, the commission shall not be required to and need not comply with the provisions of the Uniform Commercial Code.

SECTION 118. The commission shall act as the issuing agent for the bonds authorized under Sections 112 through 128 of this act, prescribe the form of the bonds, advertise for and accept bids, issue and sell the bonds so authorized to be sold, pay all fees and costs incurred in such issuance and sale, and do any and all other things necessary and advisable in connection with the issuance and sale of such bonds. The commission is authorized and empowered to pay the costs that are incident to the sale, issuance and delivery of the bonds authorized under Sections 112 through 128 of this act from the proceeds derived from the sale of such bonds. The commission shall sell such bonds on sealed bids at public sale, and for such price as it may determine to be for the best interest of the State of Mississippi, but no such sale shall be made at a price less than par plus accrued interest to the date of delivery of the bonds to the purchaser. All interest accruing on such bonds so issued shall be payable semiannually or annually; however, the first interest payment may be for any period of not more than one (1) year.

The commission, when issuing any bonds under the authority of Sections 112 through 128 of this act, may provide that bonds, at the option of the State of Mississippi, may be called in for payment and redemption at the call price named therein and accrued interest on such date or dates named therein.

SECTION 119. The bonds issued under the provisions of Sections 112 through 128 of this act are general obligations of the State of Mississippi, and for the payment thereof the full faith and credit of the State of Mississippi is irrevocably pledged. If the funds appropriated by the Legislature are insufficient to pay the principal of and the interest on such bonds as they become due, then the deficiency shall be paid by the State Treasurer from any funds in the State Treasury not otherwise appropriated. All such bonds shall contain recitals on their faces substantially covering the provisions of this section.

SECTION 120. Upon the issuance and sale of bonds under the provisions of Sections 112 through 128 of this act, the commission shall transfer the proceeds of any such sale or sales to the special fund created in Section 113 of this act. The proceeds of such bonds shall be disbursed solely upon the order of the Mississippi Development Authority under such restrictions, if any, as may be contained in the resolution providing for the issuance of the bonds.

SECTION 121. The bonds authorized under Sections 112 through 128 of this act may be issued without any other proceedings or the happening of any other conditions or things other than those proceedings, conditions and things which are specified or required by Sections 112 through 128 of this act. Any resolution providing for the issuance of bonds under the provisions of Sections 112 through 128 of this act shall become effective immediately upon its adoption by the commission, and any such resolution may be adopted at any regular or special meeting of the commission by a majority of its members.

SECTION 122. The bonds authorized under the authority of Sections 112 through 128 of this act may be validated in the Chancery Court of the First Judicial District of Hinds County, Mississippi, in the manner and with the force and effect provided by Chapter 13, Title 31, Mississippi Code of 1972, for the validation of county, municipal, school district and other bonds. The notice to taxpayers required by such statutes shall be published in a newspaper published or having a general circulation in the City of Jackson, Mississippi.

SECTION 123. Any holder of bonds issued under the provisions of Sections 112 through 128 of this act or of any of the interest coupons pertaining thereto may, either at law or in equity, by suit, action, mandamus or other proceeding, protect and enforce any and all rights granted under Sections 112 through 128 of this act, or under such resolution, and may enforce and compel performance of all duties required by Sections 112 through 128 of this act to be performed, in order to provide for the payment of bonds and interest thereon.

SECTION 124. All bonds issued under the provisions of Sections 112 through 128 of this act shall be legal investments for trustees and other fiduciaries, and for savings banks, trust companies and insurance companies organized under the laws of the State of Mississippi, and such bonds shall be legal securities which may be deposited with and shall be received by all public officers and bodies of this state and all municipalities and political subdivisions for the purpose of securing the deposit of public funds.

SECTION 125. Bonds issued under the provisions of Sections 112 through 128 of this act and income therefrom shall be exempt from all taxation in the State of Mississippi.

SECTION 126. The proceeds of the bonds issued under Sections 112 through 128 of this act shall be used solely for the purposes herein provided, including the costs incident to the issuance and sale of such bonds.

SECTION 127. The State Treasurer is authorized, without further process of law, to certify to the Department of Finance and Administration the necessity for warrants, and the Department of Finance and Administration is authorized and directed to issue such warrants, in such amounts as may be necessary to pay when due the principal of, premium, if any, and interest on, or the accreted value of, all bonds issued under Sections 112 through 128 of this act; and the State Treasurer shall forward the necessary amount to the designated place or places of payment of such bonds in ample time to discharge such bonds, or the interest thereon, on the due dates thereof.

SECTION 128. Sections 112 through 128 of this act shall be deemed to be full and complete authority for the exercise of the powers herein granted, but Sections 112 through 128 of this act shall not be deemed to repeal or to be in derogation of any existing law of this state.

SECTION 129. This act shall take effect and be in force from and after its passage.