Senate Amendments to House Bill No. 1

 

TO THE CLERK OF THE HOUSE:

 

THIS IS TO INFORM YOU THAT THE SENATE HAS ADOPTED THE AMENDMENTS SET OUT BELOW:

 

 

AMENDMENT NO. 1

 

Amend by striking all after the enacting clause and inserting in lieu thereof the following:

 


SECTION 1. Section 27-67-31, Mississippi Code of 1972, is amended as follows:

27-67-31. All administrative provisions of the sales tax law, and amendments thereto, including those which fix damages, penalties and interest for failure to comply with the provisions of said sales tax law, and all other requirements and duties imposed upon taxpayer, shall apply to all persons liable for use taxes under the provisions of this article. The commissioner shall exercise all power and authority and perform all duties with respect to taxpayers under this article as are provided in said sales tax law, except where there is conflict, then the provisions of this article shall control.

The commissioner may require transportation companies to permit the examination of waybills, freight bills, or other documents covering shipments of tangible personal property into this state.

On or before the fifteenth day of each month, the amount received from taxes, damages and interest under the provisions of this article during the preceding month shall be paid and distributed as follows:

(a) On or before July 15, 1994, through July 15, 2000, and each succeeding month thereafter, two and two hundred sixty-six one-thousandths percent (2.266%) of the total use tax revenue collected during the preceding month under the provisions of this article shall be deposited in the School Ad Valorem Tax Reduction Fund created pursuant to Section 37-61-35. On or before August 15, 2000, and each succeeding month thereafter, two and two hundred sixty-six one-thousandths percent (2.266%) of the total use tax revenue collected during the preceding month under the provisions of this chapter shall be deposited into the School Ad Valorem Tax Reduction Fund created under Section 37-61-35 until such time that the total amount deposited into the fund during a fiscal year equals Four Million Dollars ($4,000,000.00). Thereafter, the amounts diverted under this paragraph (a) during the fiscal year in excess of Four Million Dollars ($4,000,000.00) shall be deposited into the Education Enhancement Fund created under Section 37-61-33 for appropriation by the Legislature as other education needs and shall not be subject to the percentage appropriation requirements set forth in Section 37-61-33.

(b) On or before July 15, 1994, and each succeeding month thereafter, nine and seventy-three one-thousandths percent (9.073%) of the total use tax revenue collected during the preceding month under the provisions of this article shall be deposited into the Education Enhancement Fund created pursuant to Section 37-61-33.

(c) On or before July 15, 1997, and on or before the fifteenth day of each succeeding month thereafter, the revenue collected under the provisions of this article imposed and levied as a result of Section 27-65-17(2) and the corresponding levy in Section 27-65-23 on the rental or lease of private carriers of passengers and light carriers of property as defined in Section 27-51-101 shall be deposited into the Motor Vehicle Ad Valorem Tax Reduction Fund created pursuant to Section 27-51-105.

(d) On or before July 15, 1997, and on or before the fifteenth day of each succeeding month thereafter and after the deposits required by paragraphs (a) and (b) of this section are made, the remaining revenue collected under the provisions of this article imposed and levied as a result of Section 27-65-17(1) and the corresponding levy in Section 27-65-23 on the rental or lease of private carriers of passengers and light carriers of property as defined in Section 27-51-101 shall be deposited into the Motor Vehicle Ad Valorem Tax Reduction Fund created pursuant to Section 27-51-105.

(e) On or before August 15, 2019, and each succeeding month thereafter through July 15, 2020, three and three-fourths percent (3-3/4%) of the total use tax revenue collected during the preceding month under the provisions of this article shall be deposited into the special fund created in Section 2(1) of this act. On or before August 15, 2020, and each succeeding month thereafter through July 15, 2021, seven and one-half percent (7-1/2%) of the total use tax revenue collected during the preceding month under the provisions of this article shall be deposited into the special fund created in Section 2(1) of this act. On or before August 15, 2021, and each succeeding month thereafter through July 15, 2022, eleven and one-fourth percent (11-1/4%) of the total use tax revenue collected during the preceding month under the provisions of this article shall be deposited into the special fund created in Section 2(1) of this act. On or before August 15, 2022, and each succeeding month thereafter, fifteen percent (15%) of the total use tax revenue collected during the preceding month under the provisions of this article shall be deposited into the special fund created in Section 2(1) of this act.

(f) On or before August 15, 2019, and each succeeding month thereafter through July 15, 2020, three and three-fourths percent (3-3/4%) of the total use tax revenue collected during the preceding month under the provisions of this article shall be deposited into the special fund created in Section 2(2) of this act. On or before August 15, 2020, and each succeeding month thereafter through July 15, 2021, seven and one-half percent (7-1/2%) of the total use tax revenue collected during the preceding month under the provisions of this article shall be deposited into the special fund created in Section 2(2) of this act. On or before August 15, 2021, and each succeeding month thereafter through July 15, 2022, eleven and one-fourth percent (11-1/4%) of the total use tax revenue collected during the preceding month under the provisions of this article shall be deposited into the special fund created in Section 2(2) of this act. On or before August 15, 2022, and each succeeding month thereafter, fifteen percent (15%) of the total use tax revenue collected during the preceding month under the provisions of this article shall be deposited into the special fund created in Section 2(2) of this act.

(g) On or before August 15, 2019, and each succeeding month thereafter through July 15, 2020, Four Hundred Sixteen Thousand Six Hundred Sixty-six Dollars and Sixty-seven Cents ($416,666.67) or one and one-fourth percent (1-1/4%) of the total use tax revenue collected during the preceding month under the provisions of this article, whichever is the greater amount, shall be deposited into the Local System Bridge Replacement and Rehabilitation Fund created in Section 65-37-13. On or before August 15, 2020, and each succeeding month thereafter through July 15, 2021, Eight Hundred Thirty-three Thousand Three Hundred Thirty-three Dollars and Thirty-four Cents ($833,333.34) or two and one-half percent (2-1/2%) of the total use tax revenue collected during the preceding month under the provisions of this article, whichever is the greater amount, shall be deposited into the Local System Bridge Replacement and Rehabilitation Fund created in Section 65-37-13. On or before August 15, 2021, and each succeeding month thereafter through July 15, 2022, One Million Two Hundred Fifty Thousand Dollars ($1,250,000.00) or three and three-fourths percent (3-3/4%) of the total use tax revenue collected during the preceding month under the provisions of this article, whichever is the greater amount, shall be deposited into the Local System Bridge Replacement and Rehabilitation Fund created in Section 65-37-13. On or before August 15, 2022, and each succeeding month thereafter, One Million Six Hundred Sixty-six Thousand Six Hundred Sixty-six Dollars and Sixty-seven Cents ($1,666,666.67) or five percent (5%) of the total use tax revenue collected during the preceding month under the provisions of this article, whichever is the greater amount, shall be deposited into the Local System Bridge Replacement and Rehabilitation Fund created in Section 65-37-13.

( * * *(e)h) The remainder of the amount received from taxes, damages and interest under the provisions of this article shall be paid into the General Fund of the State Treasury by the commissioner.

SECTION 2. (1) (a) There is hereby created a special fund in 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 monies deposited therein under Section 27-67-31(e) and monies from any other source designated for deposit into such fund. Monies in the fund shall be expended by the Department of Revenue to provide funds to assist municipalities in this state in paying costs associated with (i) repair, maintenance and/or reconstruction of roads, streets and bridges in municipalities and (ii) repair, maintenance and/or other improvements to water infrastructure and sewer infrastructure. 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.

(b) (i) Subject to the provisions of this paragraph (b) and Section 4 of this act, funds provided to municipalities under this subsection (1) shall be allocated and distributed to municipalities as follows:

1. Three Million Dollars ($3,000,000.00) shall be allocated to all municipalities in equal shares, and

2. The remainder of the funds allocated as follows:

a. One-half (1/2) shall be allocated to municipalities based on the proportion that the population of a municipality according to the most recent federal decennial census bears to the total population of all municipalities in the state according to the most recent federal decennial census, and

b. One-half (1/2) shall be allocated to municipalities based on the proportion that the amount of sales tax revenue distributed to a municipality during the preceding fiscal year under Section 27-65-75(1)(a) bears to the total amount of sales tax revenue distributed to all municipalities during the preceding fiscal year under Section 27-65-75(1)(a).

The Department of Revenue shall distribute funds under this subsection (1) on a semiannual basis with distributions being made in the months of January and July.

(ii) In order to be eligible to receive the full amount of funds allocated for distribution to a municipality during a year under this subsection (1), the municipality must have expended an amount not less than the amount of base expenditures during the previous municipal fiscal year for the purposes described in paragraph (a) of this subsection (1). If a municipality fails to expend such required amount, then the amount of funds allocated for distribution to the municipality shall be reduced by the percentage by which the municipality failed to expend the amount of base expenditures. For the purposes of this subsection (1), "base expenditures" means the average annual expenditures made by a municipality for purposes described in paragraph (a) of this subsection (1) for the five-year period beginning October 1, 2013, and ending September 30, 2018. However, for the purposes of calculating the average annual expenditures for such five-year period, the year within the period with the highest annual expenditures for such purposes and the year within the period with the lowest annual expenditures for such purposes shall be excluded when calculating the average annual expenditures for the five-year period. Expenditure of the proceeds of bonds issued by a municipality for the purposes described in paragraph (a) of this subsection (1) shall not be considered when calculating the base period. Beginning July 1, 2020, and each succeeding July 1 thereafter, the amount of the base expenditures shall be adjusted and compounded annually by increasing or decreasing such amount by a percentage amount equal to the United States inflation rate for the previous calendar year ending on December 31 as certified by the Department of Revenue. The United States inflation rate for a calendar year shall be the Consumer Price Index for the calendar year for urban consumers as calculated by the Bureau of Labor Statistics of the United States Department of Labor.

(c) The Department of Revenue and the Department of Audit shall have all powers necessary to ensure the proper implementation of this subsection (1).

(2) (a) There is hereby created a special fund in 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 monies deposited therein under Section 27-67-31(f) and monies from any other source designated for deposit into such fund. Monies in the fund shall be expended by the Department of Revenue to provide funds to assist counties in this state in paying costs associated with the repair, maintenance and/or reconstruction of roads, streets and bridges in counties. 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.

(b) (i) Subject to the provisions of this paragraph (b) and Section 4 of this act, funds provided to counties under this subsection (2) shall be allocated and distributed to counties in the following proportions:

1. One-third (1/3) shall be allocated to all counties in equal shares,

2. One-third (1/3) shall be allocated to counties based on the proportion that the total number of rural road miles in a county bears to the total number of rural road miles in all counties of the state, and

3. One-third (1/3) shall be allocated to counties based on the proportion that the rural population of a county bears to the total rural population in all counties of the state, according to the latest federal decennial census.

The Department of Revenue shall distribute funds under this subsection (2) on a semiannual basis with distributions being made in the months of January and July. Rural road miles and rural road population in the counties shall be determined in the same manner as they are determined for the purposes of the distribution formula in Section 65-9-3.

(ii) From and after July 1, 2020, of the funds allocated for distribution to a county during a year under this subsection (2), the maximum amount of such funds that may be distributed to the county during that year shall not exceed the amount of county funds expended by the county during the previous county fiscal year for purposes described in paragraph (a) of this subsection (2). Expenditure of the proceeds of bonds issued by a county to pay costs associated with the repair, maintenance and/or reconstruction of roads, streets and bridges shall not be considered when determining the amount of county funds expended by the county during the previous county fiscal year.

(c) The Department of Revenue and the Department of Audit shall have all powers necessary to ensure the proper implementation of this subsection (2).

SECTION 3. Section 65-37-15, Mississippi Code of 1972, is amended as follows:

65-37-15. Notwithstanding any other provisions of this chapter, when all deficient bridges of a county which have a sufficiency rating of less than fifty (50) have been replaced or are under contract for replacement or rehabilitation, then monies in the Local System Bridge Replacement and Rehabilitation Fund created under Section 65-37-13, that are allocated to a particular county may be expended for (a) the purpose of paying the principal, interest and debt service on any bonds, notes or obligations issued or incurred by that county before the effective date of this chapter for the purpose of replacing or rehabilitating any bridge or drainage-related structure on any highway, road or street under the jurisdiction of that county, (b) on bridges in the State Aid Road System, or (c) if bridges in the State Aid Road System of that county are in sufficient repair, such monies may be utilized for the repair of roads on the State Aid Road System or local system roads, upon presentation to the State Aid Engineer of a resolution duly adopted and entered on the minutes of the board of supervisors of such county requesting such expenditure and reciting in the resolution such information as may be necessary for the State Aid Engineer to determine that the county is eligible for expenditure of funds under the provisions of this section.

SECTION 4. When any governing board of a political subdivision of the state or the governing board of a municipality must physically close a bridge or bridges under its jurisdiction in order for the state, a political subdivision of the state and/or a municipality of the state to receive or continue to receive federal transportation funding, the Mississippi Department of Transportation shall direct by written notice such governing board to physically close the bridge or bridges within sixty (60) days of the receipt of such notice. The governing board shall retain jurisdiction of such bridge or bridges and is responsible for all costs associated with the closed bridge or bridges, including closure and maintenance costs. Any such bridge or bridges shall remain closed until the bridge is able to be reopened in a condition that does not reduce the amount that the state, a political subdivision of the state and/or a municipality of the state shall receive or continue to receive in federal transportation funding. Any political subdivision of the state or municipality of the state whose governing board fails to comply with the directive provided under this section shall not be eligible for funding provided under Section 2 of this act and shall remain ineligible until the governing board is in compliance with such directive.

SECTION 5. (1) For the purposes of this section, the term "electric vehicle" means a vehicle that is powered solely by an electric motor drawing current from rechargeable batteries, fuel cells, or other portable sources of electrical current, is manufactured primarily for use on public streets, roads and highways, and is required to have a license tag under Section 27-19-1 et seq., for operation on public streets, roads and highways.

(2) (a) There is imposed an annual tax on each electric vehicle, which shall be in addition to any other taxes for which the vehicle is liable. The tax shall be paid to the county tax collector at the same time and in the same manner as the annual highway privilege tax is paid. The amount of the tax shall be One Hundred Fifty Dollars ($150.00).

(b) Beginning July 1, 2021, and each succeeding July 1 thereafter, the rate of the tax imposed under this section and in effect at the end of the preceding state fiscal year shall be adjusted by increasing the tax by a percentage amount equal to the United States inflation rate for the previous calendar year ending on December 31 as certified by the Department of Finance and Administration. The United States inflation rate for a calendar year shall be the Consumer Price Index for the calendar year for urban consumers as calculated by the Bureau of Labor Statistics of the United States Department of Labor. In adjusting the amount of the tax, amounts equal to or greater than Fifty Cents (50) shall be rounded to the next highest whole dollar.

(3) The tax collector shall have a special designation for electric vehicles in the vehicle records of the tax collector's office so that the owners of electric vehicles will be provided with the proper forms for paying the tax imposed by this section.

(4) The tax collector shall remit the proceeds of the tax collected under this section to the Department of Revenue, and the department shall apportion the proceeds of the tax among the various purposes specified in Section 27-5-101 for gasoline and diesel fuel taxes in the same proportion that those taxes were apportioned for those purposes during the previous state fiscal year and such funds shall be used solely for the repair and maintenance of roads, streets and bridges.

(5) The Department of Revenue shall have all of the power and authority that it has for enforcement of the motor vehicle privilege tax laws (Section 27-19-1 et seq.) to enforce the provisions of this section. The Commissioner of Revenue may adopt any rules or regulations that he deems necessary for the proper administration of this section.

SECTION 6. (1) For the purposes of this section, the term "hybrid vehicle" means a vehicle that utilizes more than one (1) form of onboard energy to achieve propulsion, is manufactured primarily for use on public streets, roads and highways, and is required to have a license tag under Section 27-19-1 et seq., for operation on public streets, roads and highways.

(2) (a) There is imposed an annual tax on each hybrid vehicle, which shall be in addition to any other taxes for which the vehicle is liable. The tax shall be paid to the county tax collector at the same time and in the same manner as the annual highway privilege tax is paid. The amount of the tax shall be Seventy-five Dollars ($75.00).

(b) Beginning July 1, 2021, and each succeeding July 1 thereafter, the rate of the tax imposed under this section and in effect at the end of the preceding state fiscal year shall be adjusted by increasing the tax by a percentage amount equal to the United States inflation rate for the previous calendar year ending on December 31 as certified by the Department of Finance and Administration. The United States inflation rate for a calendar year shall be the Consumer Price Index for the calendar year for urban consumers as calculated by the Bureau of Labor Statistics of the United States Department of Labor. In adjusting the amount of the tax, amounts equal to or greater than Fifty Cents (50) shall be rounded to the next highest whole dollar.

(3) The tax collector shall have a special designation for hybrid vehicles in the vehicle records of the tax collector's office so that the owners of hybrid vehicles will be provided with the proper forms for paying the tax imposed by this section.

(4) The tax collector shall remit the proceeds of the tax collected under this section to the Department of Revenue, and the department shall apportion the proceeds of the tax among the various purposes specified in Section 27-5-101 for gasoline and diesel fuel taxes in the same proportion that those taxes were apportioned for those purposes during the previous state fiscal year and such funds shall be used solely for the repair and maintenance of roads, streets and bridges.

(5) The Department of Revenue shall have all of the power and authority that it has for enforcement of the motor vehicle privilege tax laws (Section 27-19-1 et seq.) to enforce the provisions of this section. The Commissioner of Revenue may adopt any rules or regulations that he deems necessary for the proper administration of this section.

SECTION 7. Section 1, Chapter 479, Laws of 2015, is amended as follows:

Section 1. (1) As used in this section, 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.

(c) "Commission" means the State Bond Commission.

(2) (a) (i) A special fund, to be designated the "2015 Mississippi Deficient Bridge and State Aid Road Supplemental 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.

(ii) Monies deposited into the fund shall be disbursed as follows:

1. Eighteen Million Dollars ($18,000,000.00) shall be utilized by the Department of Transportation to construct a bridge extending the I-20 South Frontage Road, running parallel to Old Highway 27, over the railroad in Vicksburg, Mississippi.

2. Twenty Million Dollars ($20,000,000.00) shall be deposited into the State Aid Road Fund.

3. The remainder shall be utilized, in the discretion of the Mississippi Transportation Commission, to pay the costs of repair, rehabilitation, replacement, construction and/or reconstruction of the bridges on state maintained highways that are on a list of deficient bridges compiled by the Mississippi Department of Transportation as of July 1, 2015. Bridges on the list will be determined based on National Bridge Inspection Standards set by the Federal Highway Administration. In expending the funds authorized in this item 3, the Mississippi Transportation Commission should give preference to bridges within and approaching those counties in this state where legal gaming is being conducted or is authorized.

(b) Amounts deposited into such special fund shall be disbursed to pay the costs of the projects described in paragraph (a) of this subsection. Promptly after the commission has certified, by resolution duly adopted, that the projects described in paragraph (a) of this subsection 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 this section, in accordance with the proceedings authorizing the issuance of such bonds and as directed by the commission.

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

(3) For the purpose of providing for the payment of the principal of and interest upon bonds issued under this section, there is created a special bond sinking fund in the State Treasury. The special bond sinking fund shall consist of the monies deposited into the fund under Section 75-76-129, Mississippi Code of 1972, and such other amounts as may be paid into such fund by appropriation or other authorization by the Legislature. Except as otherwise provided in this section, monies in the special bond sinking fund shall be used to pay the debt service requirements of the bonds issued under this section. If the special bond sinking fund has a balance in excess of the amount needed to pay the next maximum annual debt service requirement of the bonds issued under this section, the excess monies may be transferred into the Gaming Counties State Assisted Infrastructure Fund created in Section 65-39-17, Mississippi Code of 1972. Unexpended amounts remaining in the special bond sinking 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 special bond sinking fund shall be deposited into such sinking fund.

(4) (a) The commission, at one time, or from time to time, may declare by resolution the necessity for issuance of revenue bonds of the State of Mississippi to provide funds for all costs incurred or to be incurred for the purposes described in subsection (2) of this section, to provide funds for the Emergency Road and Bridge Repair Fund created in Section 8 of this act and/or to provide funds for the 2018 Transportation and Infrastructure Improvements Fund created in Section 9 of this act. Upon the adoption of a resolution by the Mississippi Transportation Commission, declaring the necessity for the issuance of any part or all of the revenue bonds authorized by this subsection, the Mississippi Transportation 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, determine the appropriate method for sale of the bonds, advertise for and accept bids or negotiate the sale of the bonds, 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 this section shall not exceed * * * Two Hundred Million Dollars ($200,000,000.00) Five Hundred Million Dollars ($500,000,000.00); however, of the additional bonds authorized under this section, as amended by this act, not more than Two Hundred Fifty Million Dollars ($250,000,000.00) of such bonds may be issued for the purpose of providing funds for the Emergency Road and Bridge Repair Fund created in Section 8 of this act, and not more than Fifty Million Dollars ($50,000,000.00) of such bonds may be issued for the purpose of providing funds for the 2018 Transportation and Infrastructure Improvements Fund created in Section 9 of this act.

(b) Any investment earnings on amounts deposited into the special fund created in subsection (2) of this section shall be used to pay debt service on bonds issued under this section, in accordance with the proceedings authorizing issuance of such bonds.

(5) The principal of and interest on the bonds authorized under this section shall be payable in the manner provided in this subsection. 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 (20) 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.

(6) The bonds authorized by this section 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.

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

(8) The commission shall act as issuing agent for the bonds authorized under this section, prescribe the form of the bonds, determine the appropriate method for sale of the bonds, advertise for and accept bids or negotiate the sale of the bonds, 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 this section from the proceeds derived from the sale of such bonds. The commission may sell such bonds on sealed bids at public sale or may negotiate the sale of the bonds for such price as it may determine to be for the best interest of the State of Mississippi. All interest accruing on such bonds so issued shall be payable semiannually or annually.

If such bonds are sold by sealed bids at public sale, notice of the sale 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, selected by the commission.

The commission, when issuing any bonds under the authority of this section, 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.

(9) The bonds issued under the provisions of this section shall be revenue bonds of the state, the principal of and interest on which shall be payable solely from and shall be secured by the special bond sinking fund created in subsection (3) of this section. The bonds shall never constitute an indebtedness of the state within the meaning of any state constitutional provision or statutory limitation, and shall never constitute or give rise to a pecuniary liability of the state, or a charge against its general credit or taxing powers, and such fact shall be plainly stated on the face of each such bond. The bonds shall not be considered when computing any limitation of indebtedness of the state. All bonds issued under the authority of this section and all interest coupons applicable thereto shall be construed to be negotiable instruments, despite the fact that they are payable solely from a specified source.

(10) Except as otherwise provided in this section, upon the issuance and sale of bonds under the provisions of this section, the commission shall transfer the proceeds of any such sale or sales to the special fund created in subsection (2) of this section. The proceeds of such bonds shall be disbursed solely upon the order of the Mississippi Transportation Commission under such restrictions, if any, as may be contained in the resolution providing for the issuance of the bonds. Upon the issuance and sale of the additional bonds authorized under this section, as amended by this act, the commission shall transfer not more than Fifty Million Dollars ($50,000,000.00) of the proceeds of any such sale to the 2018 Transportation and Infrastructure Improvements Fund created in Section 9 of this act and shall transfer not more than Two Hundred Fifty Million Dollars ($250,000,000.00) of the proceeds of any such sale to the Emergency Road and Bridge Repair Fund created in Section 8 of this act.

(11) The bonds authorized under this section 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 this section. Any resolution providing for the issuance of bonds under the provisions of this section 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.

(12) The bonds authorized under the authority of this section 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.

(13) Any holder of bonds issued under the provisions of this section 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 this section, or under such resolution, and may enforce and compel performance of all duties required by this section to be performed, in order to provide for the payment of bonds and interest thereon.

(14) All bonds issued under the provisions of this section 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.

(15) Bonds issued under the provisions of this section and income therefrom shall be exempt from all taxation in the State of Mississippi.

(16) The proceeds of the bonds issued under this section shall be used solely for the purposes herein provided, including the costs incident to the issuance and sale of such bonds.

(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 this section; 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.

(18) This section shall be deemed to be full and complete authority for the exercise of the powers herein granted, but this section shall not be deemed to repeal or to be in derogation of any existing law of this state.

SECTION 8. (1) There is created in the State Treasury a special fund to be known as the "Emergency Road and Bridge Repair Fund," into which shall be deposited money appropriated by the Legislature or otherwise made available in any manner, and funds from any other source designated for deposit into such fund. 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 money deposited into the fund shall be under the direction of the Mississippi Department of Transportation, and such funds shall be paid by the Mississippi Department of Transportation upon warrants issued by the Department of Finance and Administration.

(2) Money in the fund shall be utilized by the Mississippi Department of Transportation, with the advice of the Emergency Road and Bridge Repair Fund Advisory Board, to provide funding for emergency repairs to roads, streets and highways in this state and emergency bridge repairs on public roads, streets and highways in this state, as determined by a unanimous vote of the Mississippi Transportation Commission. However, before the expenditure of money in the fund, the department shall promulgate rules and regulations as authorized in subsection (3) of this section.

(3) (a) There is created the Emergency Road and Bridge Repair Fund Advisory Board which shall consist of the following members:

(i) The President and Chief Executive Officer of the Mississippi Economic Council;

(ii) The President and Chief Executive Officer of the Mississippi Manufacturers Association;

(iii) The President of the Mississippi Farm Bureau Federation;

(iv) The President of the Mississippi Poultry Association;

(v) The President of the Mississippi Trucking Association;

(vi) The Executive Director of the Mississippi Association of Supervisors;

(vii) The Executive Director of the Mississippi Municipal League;

(viii) The Executive Vice President of the Mississippi Cattlemen's Association;

(ix) The Executive Director of the Mississippi Loggers Association; and

(x) The Executive Director of the American Council of Engineering Companies-Mississippi.

(b) The Governor shall appoint the chairman of the board and the board shall elect such other officers as it considers necessary from among its members.

(c) A majority of the members of the board shall constitute a quorum for the conduct of meetings and all actions of the board shall be by a majority vote. No compensation, per diem or mileage expense shall be provided board members.

(d) The Governor's office shall provide any necessary administrative support to the board.

(e) The board shall meet at least quarterly to conduct business.

(f) The board shall provide nonbinding advice to the Department of Transportation regarding the expenditure of money in the Emergency Road and Bridge Repair Fund.

(4) The Mississippi Department of Transportation shall have all powers necessary to implement and administer the program established under this section, and the department shall promulgate rules and regulations, in accordance with the Mississippi Administrative Procedures Law, necessary for the implementation of this section.

SECTION 9. A special fund, to be designated the "2018 Transportation and Infrastructure Improvements Fund," is created within the State Treasury, which shall consist of funds made available by the Legislature in any manner and funds from any other source designated for deposit into such fund. 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. Monies deposited into the fund shall be expended, upon appropriation by the Legislature, for infrastructure projects and/or other projects that are economically beneficial that are otherwise provided by law to be funded by monies in this fund.

SECTION 10. Section 49-17-407, Mississippi Code of 1972, is amended as follows:

49-17-407. (1) (a) An environmental protection fee of Four-tenths of One Cent (4/10 of 1) per gallon is hereby levied upon any bonded distributor, as defined by Sections 49-17-401 through 49-17-433, who sells or delivers motor fuels to a retailer or user in this state.

(b) Every person, other than a bonded distributor, who shall purchase or acquire motor fuels within this state on which the environmental protection fee has not accrued, shall be liable for the environmental protection fee.

(c) The environmental protection fee shall be imposed only one (1) time on motor fuels sold in the state.

(d) The environmental protection fee shall be collected by the * * *State Tax Commission Department of Revenue and shall be designated separately from the excise taxes on fuels.

(e) Any person liable for the environmental protection fee shall be subject to the same requirements and penalties as distributors under the provisions of the Mississippi Special Fuel Tax Law.

(f) Any person liable for the environmental protection fee shall file a report and remit any fees due at the same time provided for filing reports under Section 27-55-523, on forms prescribed by the * * *State Tax Commission Department of Revenue.

(g) The * * *State Tax Commission Department of Revenue is hereby authorized and empowered to promulgate all rules and regulations necessary for the administration of the environmental protection fee.

(2) (a) On or before the fifteenth day of each month the environmental protection fees collected during the previous month shall be deposited into the Mississippi Groundwater Protection Trust Fund established in Section 49-17-405. When the unobligated balance in the fund reaches or exceeds Ten Million Dollars ($10,000,000.00), the administrator of the fund shall notify in writing the * * *State Tax Commission Department of Revenue no later than the twenty-fifth day of the month * * * to abate the environmental protection fee. The abatement to revise the distribution of the environmental protection fee and the Department of Revenue shall deposit the fee into the State Highway Fund. Such distribution shall become effective on the last day of the month succeeding the month in which such notice was given. All environmental protection fees accrued shall be reported and paid.

(b) When the fund balance is reduced below Six Million Dollars ($6,000,000.00), the fee shall again be * * *imposed at the rate of Four‑tenths of One Cent (4/10 of 1) per gallon deposited into the Mississippi Groundwater Protection Trust Fund until such time as the fund shall reach or exceed Ten Million Dollars ($10,000,000.00). The administrator of the fund shall notify, no later than the twenty-fifth day of the month, the * * *State Tax Commission Department of Revenue to * * *reimpose deposit the environmental protection fee * * *.The imposition of the fee into the Mississippi Groundwater Protection Trust Fund and such distribution shall become effective on the first day of the second month succeeding the month in which the notice to * * *reimpose deposit the fee into the fund was given.

(3) This fund shall be used for the purposes set forth in Sections 49-17-401 through 49-17-435 and for no other governmental purposes, nor shall any portion hereof ever be available to borrow from by any branch of government; it being the intent of the Legislature that this fund and its increments shall remain intact and inviolate. Any interest earned on monies in this fund shall remain in this fund.

(4) Monies held in the fund established under Sections 49-17-401 through 49-17-435 shall be used only at an active site and shall be disbursed in accordance with the commission requirements and as follows:

(a) Payments shall be made to any third party who brings a third-party claim against any owner of an underground storage tank and the commission as trustee of the Mississippi Groundwater Protection Trust Fund and who obtains a final judgment in such action which is valid and enforceable in this state against such parties. Payment shall be paid to the third party upon filing by such party an application with the department attaching the original or a certified copy of the final judgment.

(b) Payments shall be made in reasonable amounts to approved response action contractors and other parties involved in the site study and cleanup. Payment shall be made to the party incurring the costs by filing of a sworn application with the department indicating the fair and reasonable value of the costs of site rehabilitation, subject to the regulations and limitations as set by the department.

(5) Payments from the fund are limited as follows:

(a) For cleanup purposes, a maximum of One Million Five Hundred Thousand Dollars ($1,500,000.00) may be disbursed from the fund for any one (1) site, per confirmed release occurrence.

(b) For third-party judgments, a maximum of One Million Dollars ($1,000,000.00) may be disbursed from the fund for any one (1) site, per confirmed release occurrence.

(c) Nothing in Sections 49-17-401 through 49-17-435 shall establish or create any liability or responsibility on the part of the department or the State of Mississippi to pay any cleanup costs or third-party claims if the fund created herein is insufficient to do so.

(6) Monies held in the fund established under Sections 49-17-401 through 49-17-435 shall not be used for purchases of equipment needed to assist in cleanup operations.

(7) Nothing in Sections 49-17-401 through 49-17-435 shall serve to limit any recovery against an owner of an underground storage tank in excess of the fund payment limits established under this section.

(8) Substantial compliance shall in no way be construed to be an absolute defense to civil liability.

SECTION 11. Section 75-76-129, Mississippi Code of 1972, is amended as follows:

[Through June 30, 2028, this section shall read as follows:]

75-76-129. (1) On or before the last day of each month all taxes, fees, interest, penalties, damages, fines or other monies collected by the Department of Revenue during that month under the provisions of this chapter, with the exception of (a) the local government fees imposed under Section 75-76-195, and (b) an amount equal to Three Million Dollars ($3,000,000.00) of the revenue collected pursuant to the fee imposed under Section 75-76-177(1)(c), and (c) the revenue collected pursuant to the fee imposed under Section 75-76-177(1)(c) as a result of wagers on sporting events shall be paid by the Department of Revenue to the State Treasurer to be deposited in the State General Fund. The local government fees shall be distributed by the Department of Revenue pursuant to Section 75-76-197.

(2) An amount equal to Three Million Dollars ($3,000,000.00) of the revenue collected during that month pursuant to the fee imposed under Section 75-76-177(1)(c) shall be deposited by the Department of Revenue into the bond sinking fund created in Section 1(3) of Chapter 479, Laws of 2015.

(3) Revenue collected pursuant to the fee imposed under Section 75-76-177(1)(c) as a result of wagers on sporting events shall be deposited into the State Highway Fund to be used solely for the repair and maintenance of highways and bridges of the State of Mississippi. This revenue shall be used first for matching funds made available to the state for such purposes pursuant to any federal highway infrastructure program implemented after September 1, 2018.

[From and after July 1, 2028, this section shall read as follows:]

75-76-129. On or before the last day of each month all taxes, fees, interest, penalties, damages, fines or other monies collected by the Department of Revenue during that month under the provisions of this chapter, with the exception of (a) the local government fees imposed under Section 75-76-195, and (b) an amount equal to Three Million Dollars ($3,000,000.00) of the revenue collected pursuant to the fee imposed under Section 75-76-177(1)(c) shall be paid by the Department of Revenue to the State Treasurer to be deposited in the State General Fund. The local government fees shall be distributed by the Department of Revenue pursuant to Section 75-76-197. An amount equal to Three Million Dollars ($3,000,000.00) of the revenue collected during that month pursuant to the fee imposed under Section 75-76-177(1)(c) shall be deposited by the Department of Revenue into the bond sinking fund created in Section 1(3) of Chapter 479, Laws of 2015.

SECTION 12. Section 19-11-27, Mississippi Code of 1972, is amended as follows:

19-11-27. No board of supervisors of any county shall expend from, or contract an obligation against, the budget estimates for road and bridge construction, maintenance and equipment, made and published by it during the last year of the term of office of such board, between the first day of October and the first day of the following January, a sum exceeding one-fourth (1/4) of such item of the budget made and published by it, except in cases of emergency. The clerk of any county is prohibited from issuing any warrant contrary to the provisions of this section. No board of supervisors nor any member thereof shall buy any machinery or equipment in the last six (6) months of their or his term unless or until he has been elected at the general election of that year. The provisions of this section shall not apply to expenditures during calendar year 2019 on deficient bridges in the State Aid Road System or the Local System Road Program that have a sufficiency rating of less than fifty (50) or to a contract, lease or lease-purchase contract executed pursuant to the bidding requirements in Section 31-7-13 and approved by a unanimous vote of the board. Such unanimous vote shall include a statement indicating the board's proclamation that the award of the contract is essential to the efficiency and economy of the operation of the county government.

SECTION 13. The Department of Audit shall conduct and/or enter into contracts for a performance audit of any projects under the Mississippi Department of Transportation. In addition to other factors, the audit shall assess the effect of engineering fees on projects and whether the fees are excessive. The performance audit shall be completed by not later than December 31, 2019. The Department of Audit shall be reimbursed for all expenses of the audit by the Mississippi Department of Transportation. If the Department of Audit enters into a contract with a private entity for the audit required under this section, the department shall ensure that such entity is adequately experienced with auditing other state departments of transportation or similar departments or agencies.

SECTION 14. This act shall be known and may be cited as the Mississippi Infrastructure Modernization Act of 2018.

SECTION 15. Sections 5 and 6 of this act shall take effect and be in force from and after October 1, 2018, the remainder of this act shall take effect and be in force from and after its passage.


Further, amend by striking the title in its entirety and inserting in lieu thereof the following:

 


AN ACT TO CREATE THE MISSISSIPPI INFRASTRUCTURE MODERNIZATION ACT OF 2018; TO AMEND SECTION 27-67-31, MISSISSIPPI CODE OF 1972, TO PROVIDE THAT A PORTION OF STATE USE TAX REVENUE SHALL BE DEPOSITED INTO SPECIAL FUNDS IN THE STATE TREASURY AND USED TO ASSIST MUNICIPALITIES AND COUNTIES IN PAYING COSTS ASSOCIATED WITH REPAIR, MAINTENANCE AND RECONSTRUCTION OF ROADS, STREETS AND BRIDGES; TO PROVIDE THAT A PORTION OF STATE USE TAX REVENUE SHALL BE DEPOSITED INTO THE LOCAL SYSTEM BRIDGE REPLACEMENT AND REHABILITATION FUND; TO AMEND SECTION 65-37-15, MISSISSIPPI CODE OF 1972, TO AUTHORIZE FUNDS IN THE LOCAL SYSTEM BRIDGE REPLACEMENT AND REHABILITATION FUND TO BE USED FOR LOCAL BRIDGES IN CERTAIN CIRCUMSTANCES; TO REQUIRE THE MISSISSIPPI DEPARTMENT OF TRANSPORTATION TO DIRECT BY WRITTEN NOTICE ANY LOCAL GOVERNING BOARDS TO CLOSE ANY BRIDGE UNDER ITS JURISDICTION THAT MUST BE CLOSED TO PREVENT THE REDUCTION IN FEDERAL TRANSPORTATION FUNDING TO THE STATE; TO IMPOSE AN ANNUAL TAX ON ELECTRIC VEHICLES AND HYBRID VEHICLES IN ADDITION TO ANY OTHER TAXES FOR WHICH THE VEHICLES ARE LIABLE; TO PROVIDE THAT THE TAX ON ELECTRIC VEHICLES AND HYBRID VEHICLES SHALL BE PAID TO THE COUNTY TAX COLLECTOR AT THE SAME TIME AND IN THE SAME MANNER AS THE ANNUAL HIGHWAY PRIVILEGE TAX IS PAID; TO PROVIDE THAT THE TAX COLLECTOR SHALL REMIT THE PROCEEDS OF THE TAXES TO THE DEPARTMENT OF REVENUE AND THAT THE DEPARTMENT SHALL APPORTION THE PROCEEDS OF THE TAXES AMONG THE VARIOUS PURPOSES SPECIFIED FOR GASOLINE AND DIESEL FUEL TAXES IN THE SAME PROPORTION THAT THOSE TAXES WERE APPORTIONED FOR THOSE PURPOSES DURING THE PREVIOUS STATE FISCAL YEAR; TO AMEND SECTION 1, CHAPTER 479, LAWS OF 2015, TO AUTHORIZE THE ISSUANCE OF ADDITIONAL REVENUE BONDS UNDER SUCH LAW AND TO PROVIDE THAT THE PROCEEDS OF THE ADDITIONAL BONDS SHALL BE DEPOSITED INTO THE EMERGENCY ROAD AND BRIDGE REPAIR FUND AND THE 2018 TRANSPORTATION AND INFRASTRUCTURE IMPROVEMENTS FUND CREATED IN THIS ACT; TO CREATE IN THE STATE TREASURY A SPECIAL FUND TO BE KNOWN AS THE "EMERGENCY ROAD AND BRIDGE REPAIR FUND"; TO PROVIDE THAT MONEY IN THE FUND SHALL BE UTILIZED BY THE MISSISSIPPI DEPARTMENT OF TRANSPORTATION, WITH THE ADVICE OF THE EMERGENCY ROAD AND BRIDGE REPAIR FUND ADVISORY BOARD; TO PROVIDE FUNDING FOR EMERGENCY REPAIRS TO ROADS, STREETS AND HIGHWAYS IN THIS STATE AND EMERGENCY BRIDGE REPAIRS ON PUBLIC ROADS, STREETS AND HIGHWAYS IN THIS STATE; TO CREATE THE EMERGENCY ROAD AND BRIDGE REPAIR FUND ADVISORY BOARD AND PROVIDE FOR ITS MEMBERSHIP; TO PROVIDE THAT THE EMERGENCY ROAD AND BRIDGE REPAIR FUND ADVISORY BOARD SHALL PROVIDE NONBINDING ADVICE TO THE DEPARTMENT OF TRANSPORTATION REGARDING THE EXPENDITURE OF MONEY IN THE EMERGENCY ROAD AND BRIDGE REPAIR FUND; TO CREATE IN THE STATE TREASURY A SPECIAL FUND TO BE KNOWN AS THE "2018 TRANSPORTATION AND INFRASTRUCTURE IMPROVEMENTS FUND"; TO PROVIDE THAT MONIES IN THE FUND SHALL BE FOR INFRASTRUCTURE PROJECTS AND/OR OTHER PROJECTS THAT ARE ECONOMICALLY BENEFICIAL THAT ARE OTHERWISE PROVIDED BY LAW TO BE FUNDED BY MONIES IN THIS FUND; TO AMEND SECTION 49-17-407, MISSISSIPPI CODE OF 1972, TO DELETE THE PROVISION THAT PROVIDES FOR THE ABATEMENT OF THE ENVIRONMENTAL PROTECTION FEE LEVIED ON BONDED DISTRIBUTORS OF MOTOR FUEL WHEN THE UNOBLIGATED BALANCE IN THE MISSISSIPPI GROUNDWATER PROTECTION TRUST FUND REACHES OR EXCEEDS $10,000,000.00; TO PROVIDE THAT WHEN THE UNOBLIGATED BALANCE IN THE MISSISSIPPI GROUNDWATER PROTECTION TRUST FUND REACHES OR EXCEEDS $10,000,000.00, THE DEPARTMENT OF REVENUE SHALL DEPOSIT THE REVENUE DERIVED FROM THE ENVIRONMENTAL PROTECTION FEE INTO THE STATE HIGHWAY FUND; TO AMEND SECTION 75-76-129, MISSISSIPPI CODE OF 1972, TO REQUIRE FEES COLLECTED THROUGH DECEMBER 31, 2028, UNDER THE GAMING CONTROL ACT AS A RESULT OF WAGERS ON SPORTING EVENTS SHALL BE DEPOSITED INTO THE STATE HIGHWAY FUND TO BE USED SOLELY FOR THE REPAIR AND MAINTENANCE OF STATE HIGHWAYS; TO AMEND SECTION 19-11-27, MISSISSIPPI CODE OF 1972, TO ALLOW COUNTY BOARDS OF SUPERVISORS TO EXPEND MONIES DURING 2019 ON DEFICIENT BRIDGES OF THE COUNTY IN THE STATE AID ROAD SYSTEM OR THE LOCAL SYSTEM ROAD PROGRAM THAT HAVE A SUFFICIENCY RATING OF LESS THAN FIFTY DURING THE LAST TERM OF OFFICE OF SUCH BOARDS; TO REQUIRE THE DEPARTMENT OF AUDIT TO AUDIT OR ENTER INTO CONTRACTS FOR A PERFORMANCE AUDIT OF ANY PROJECTS UNDER THE MISSISSIPPI DEPARTMENT OF TRANSPORTATION; AND FOR RELATED PURPOSES.


 

SS36\HB1A.4J

 

Liz Welch

Secretary of the Senate