MISSISSIPPI LEGISLATURE

2023 Regular Session

To: Municipalities

By: Representatives Calvert, Smith, Stamps

House Bill 1159

(As Passed the House)

AN ACT TO AMEND SECTIONS 51-15-103, 51-15-107, 51-15-109, 51-15-113, 51-15-115 AND 51-15-117, MISSISSIPPI CODE OF 1972, TO AUTHORIZE MUNICIPALITIES LOCATED IN COUNTIES THAT ARE NOT MEMBERS OF THE PAT HARRISON WATERWAY DISTRICT TO JOIN THE DISTRICT; TO AMEND SECTION 51-15-118, TO AUTHORIZE THE GOVERNING AUTHORITIES OF A MEMBER MUNICIPALITY TO WITHDRAW THE MUNICIPALITY FROM THE DISTRICT; TO AMEND SECTIONS 51-15-119, 51-15-131, 51-15-133, 51-15-136, 51-15-139 AND 51-15-158, MISSISSIPPI CODE OF 1972, TO CONFORM TO THE PROCEEDING SECTION; TO BRING FORWARD SECTIONS 51-15-105 AND 51-15-129, MISSISSIPPI CODE OF 1972, FOR THE PURPOSE OF POSSIBLE AMENDMENT; AND FOR RELATED PURPOSES.

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

     SECTION 1.  Section 51-15-103, Mississippi Code of 1972, is amended as follows:

     51-15-103.  The Pat Harrison Waterway Commission may hereafter be organized in this state under the provisions of this article, in the manner hereafter provided for.  This water management district shall be an agency of the state and a body politic and corporate, and may be composed and is composed of the following counties, to-wit:  Clarke, Covington, Forrest, George, Greene, Jackson, Jasper, Jones, Lamar, Lauderdale, Newton, Perry, Smith, Stone, and Wayne.  In addition, a municipality located in a county that is not a member of the district may join the district as provided in this chapter.

     SECTION 2.  Section 51-15-107, Mississippi Code of 1972, is amended as follows:

     51-15-107.  The Pat Harrison Waterway Commission, acting through its members who favor bringing the counties they represent into the Pat Harrison Waterway District, or other counties having Pascagoula River, Leaf River, Chickasawhay River, or Tallahala Creek tributaries, shall petition the Chancery Court of Forrest County, Mississippi, to organize and establish the Pat Harrison Waterway District and shall set forth in the petition:

          ( * * *1a)  The counties to be included in the Pat Harrison Waterway District.  Each member of the Pat Harrison Waterway Commission, as created by virtue of Sections 51-15-1 through 51-15-9, and any county through which the Pascagoula, Leaf, and Chickasawhay Rivers and Tallahala Creek run, or other counties having tributaries to such streams or which border on said streams, may be included in the district.

          ( * * *2b)  The necessity and desirability for the developments and construction of suitable facilities.

          ( * * *3c)  A general description of the purposes of the contemplated works, and a general description of the plan.

     The petition shall be filed with as many copies as there are parties defendant.

     The Board of Water Commissioners of the State of Mississippi shall be made a party defendant, and the chancery clerk shall furnish the Board of Water Commissioners with a copy of the petition with attached exhibits.  Each county named in the petition shall be joined as a party defendant by service of process on the president of the board of supervisors thereof, and the chancery clerk shall furnish a copy of the petition to each such president.  Whenever any municipality having a population according to the most recent federal decennial census of ten thousand (10,000) or more is included in such proposed district, such municipality shall be made a party defendant.

     From and after July 1, 2023, any municipality located in a county that is not a member of the district may, by resolution spread on its minutes, request that the Pat Harrison Waterway Commission petition the Chancery Court of Forrest County, Mississippi, to modify its decree organizing the district to include the municipality as a member of the district.  The Board of Water Commissioners of the State of Mississippi shall be made a party defendant, and the chancery clerk shall furnish the Board of Water Commissioners with a copy of the petition with attached exhibits.  The municipality applying for membership shall not be made a party defendant.

     It shall not be necessary that any landowners in the counties or municipalities to be included in * * * said the proposed district be named in the petition, or be made parties defendant.  The chancellor of the Chancery Court of Forrest County, Mississippi, shall have jurisdiction of the entire waterway district for the purposes of this article.  Such jurisdiction may be exercised by the chancellor in term time or in vacation, as provided in this article.

     SECTION 3.  Section 51-15-109, Mississippi Code of 1972, is amended as follows:

     51-15-109.  The Board of Water Commissioners shall file a written answer to the petition within thirty (30) days after such service.  After the filing of the answer of the Board of Water Commissioners, and upon motion of the petitioners, the chancellor shall enter an order fixing the date for a hearing of the cause on the original petition, the exhibits, the answer of the Board of Water Commissioners, and any other answers filed or other pleadings.  The chancery clerk shall give notice of such hearing to all persons interested by posting notices thereof at the door of the courthouse of the county or counties in which the district is situated and in at least ten (10) public places in said proposed district, and also by publishing said notice at least once a week for three (3) consecutive weeks in a newspaper published in each of the counties or municipalities proposed to be included in such waterway district.  If there is no newspaper published in any such county or municipality, then it shall be sufficient to publish said notice in a newspaper having a general circulation in such county or municipality.  Such notice shall be addressed to the property owners and qualified electors of such proposed district and all other persons interested, shall state when and in what court said petition was and is filed, shall state the counties and municipalities included in such district, and shall command all such persons to appear before the Chancery Court, or the chancellor in vacation, at the Chancery Court building of Forrest County upon the date fixed by the chancellor to show cause, if any they can, why the proposed waterway district should not be organized and established as prayed for in said petition.  The date for such hearing shall not be less than twenty-one (21) days nor more than forty (40) days after the last publication of such notice.  It shall be sufficient in describing the lands to be included in the waterway district to name the counties and municipalities to be included therein in the publication or notice hereinbefore mentioned.

     If the court or chancellor finds that the notice or publication was not given as provided for in this article, it shall not thereby lose jurisdiction, but the court or chancellor shall order due publication or notice to be given and shall continue the hearing until such publication or notice shall be properly given; and the court or chancellor shall thereupon proceed as though publication or notice had been properly given in the first instance.

     On or after July 1, 2023, the procedures of this section shall apply to a petition filed under Section 51-15-107 to modify the decree organizing the district to include a municipality as a member of the district.

     SECTION 4.  Section 51-15-113, Mississippi Code of 1972, is amended as follows:

     51-15-113.  If the court or chancellor thereof finds that the proposed waterway district should be organized, a decree shall be so entered by the court which shall become final unless an election is called as hereinafter provided.  A notice as provided by the decree of the court creating such district shall be published once each week for at least three consecutive weeks in at least one newspaper having general circulation or published in each county and municipality of the district as specified in such decree, stating that the decree shall become final forty-five (45) days after its entry unless twenty percent (20%) of the qualified electors of any county or * * * counties municipality shall petition the court for an election on the question of the inclusion of such county or municipality in the district.  If there be no newspaper published in any such county or municipality, then it shall be sufficient to publish such notice in a newspaper having general circulation in said county or municipality and, in addition, to post a copy of such notice for at least twenty-one (21) days next preceding the decree becoming final at three (3) public places in such county or municipality.  The first publication of such notice shall be made in each county or municipality within ten (10) days after entry of said decree.  In the event such petition is filed by twenty percent (20%) of the qualified electors of any county or municipality, an election shall be held in such county or municipality as hereinafter provided.  The election shall be held not less than twenty-one (21) nor more than forty-five (45) days from the final date of such order, whereby the qualified electors within such county or municipality may determine if such county or municipality shall be a part of such proposed district.  The election shall be called by the board of supervisors of the county, or by the governing authorities of the municipality, and notice of the election shall be given by publishing a substantial copy of the order of the board of supervisors or the municipal governing authorities providing for the election once a week for at least three (3) consecutive weeks, in at least one (1) newspaper published in each county or municipality in which an election is to be held.  The first publication of such notice shall be made not less than twenty-one (21) days prior to the date fixed for such election.  If no newspaper is published in any such county or municipality, then such notice shall be given by publishing the same for the required time in some newspaper having a general circulation in such county or municipality and, in addition, by posting a copy of such notice for at least twenty-one (21) days next preceding such election at three (3) public places in such county or municipality.

     On or after July 1, 2023, the procedures of this section shall apply to a petition filed under Section 51-15-107 to modify the decree organizing the district to include a municipality as a member of the district.

     SECTION 5.  Section 51-15-115, Mississippi Code of 1972, is amended as follows:

     51-15-115.  Such election shall be held, as far as is practicable, in the same manner as other elections are held in counties or municipalities.  At such election, all qualified electors of such counties or municipalities may vote and the ballots used at such election shall have printed thereon the words "FOR BEING INCLUDED IN THE PAT HARRISON WATERWAY DISTRICT" and "AGAINST BEING INCLUDED IN THE PAT HARRISON WATERWAY DISTRICT," and the voter shall vote by placing a cross (x) or check (✓) mark opposite his choice on the proposition.  In any particular county or municipality, should a majority of the qualified electors voting in such election in said county or municipality vote in favor of the creation of the Pat Harrison Waterway District, or in favor of the inclusion of the county or municipality in the district, then that county or municipality shall become a part of the waterway district.  The Chancery Court of Forrest County or the chancellor thereof in vacation shall thereupon enter a final order including such county or municipality in the district.  In any particular county or municipality, should a majority of the qualified electors voting in such election in such county or municipality vote against being included in the Pat Harrison Waterway District, then that county or municipality shall not become a part of the waterway district and the said decree shall be modified accordingly.

     On or after July 1, 2023, the procedures of this section shall apply to a petition filed under Section 51-15-107 to modify the decree organizing the district to include a municipality as a member of the district.

     SECTION 6.  Section 51-15-117, Mississippi Code of 1972, is amended as follows:

     51-15-117.  Any person interested in or aggrieved by the final order of the court or the chancellor, creating the waterway district or dismissing the petition or admitting a county or municipality to the district, and who was a party to the proceedings in the Chancery Court may prosecute an appeal therefrom within ten days from the date of such decree by furnishing an appeal bond in the sum of Five Hundred Dollars ($500.00) with two (2) good and sufficient sureties, conditioned to pay all costs of the appeal in the event the decree is affirmed.  Such appeal bond shall be subject to the approval of the chancery clerk.  When the transcript of the record of the case shall be filed in the Office of the Supreme Court, the appellee having been summoned to appear and answer the appeal, ten (10) days after service of the summons on appellee or his attorney the court shall consider such case as entitled to be heard.  Any party to any proceedings in any court involving any of the provisions of this article may waive any time for filing pleadings so as to obtain an earlier hearing.

     Any appeal from such order or decree of the Chancery Court or chancellor shall be a preference case in the Supreme Court and shall be tried at the earliest moment convenient with said court.

     On or after July 1, 2023, the procedures of this section shall apply to a petition filed under Section 51-15-107 to modify the decree organizing the district to include a municipality as a member of the district.

     SECTION 7.  Section 51-15-118, Mississippi Code of 1972, is amended as follows:

     51-15-118. * * *  From and after July 1, 1999,  The board of supervisors of any county that is included in the Pat Harrison Waterway District, or the governing authorities of any municipality not located in a member county but that joined the district by petition, may elect to withdraw such county or municipality from the district.  The withdrawing county or municipality shall be responsible for paying its portion of any district bonds, contractual obligations, and any other indebtedness and liabilities of the district that are outstanding on the date of such county's or municipality's withdrawal from the district.  The withdrawing county's or municipality's portion of such liabilities, obligations and indebtedness shall be determined through an independent audit conducted by a certified public accountant.  The board of supervisors of the withdrawing county, or the governing authorities of the withdrawing municipality, shall provide the sum that is required by this section either by appropriation from any available funds of the county or by levy.  Such board of supervisors or municipal governing authorities may borrow funds as needed to satisfy the withdrawing county's or municipality's portion of the liabilities, obligations and indebtedness of the district as required herein.

     SECTION 8.  Section 51-15-119, Mississippi Code of 1972, is amended as follows:

     51-15-119.  (1)  The Pat Harrison Waterway District through its board of directors is hereby empowered:

          (a)  To develop in conjunction with the United States Army Corps of Engineers, United States Secretary of Agriculture, or with the head of any other federal or state agency as may be involved, plans for public works of improvement to make navigable or for the prevention of flood water damage, or the conservation, development, recreation, utilization and disposal of water, including the impoundment, diversion, flowage and distribution of waters for beneficial use as defined in Article 1 of this chapter, and in connection with the Oktibbeha River Basin project as authorized under Public Law 874, 87th Congress, October 23, 1962, and substantially in accordance with the recommendation of the Chief of Engineers in House Document 549 of the 87th Congress.

          (b)  To impound overflow water and the surface water of any streams in the Pat Harrison Waterway District or its tributaries within the project area, within or without the district, at the place or places and in the amount as may be approved by the Office of Land and Water Resources of the State of Mississippi, by the construction of a dam or dams, reservoir or reservoirs, work or works, plants and any other necessary or useful related facilities contemplated and described as a part of the project within and without the district, to control, store, and preserve these waters, and to use, distribute, and sell them, to construct or otherwise acquire within the project area all works, plants or other facilities necessary or useful to the project for processing the water and transporting it to cities and other facilities necessary or useful to the project for the purpose of processing the water and transporting it to cities and other facilities for domestic, municipal, commercial, industrial, agricultural and manufacturing purposes, and is hereby given the power to control open channels for water delivery purposes and water transportation.

          (c)  To acquire and develop any other available water necessary or useful to the project and to construct, acquire, and develop all facilities within the project area deemed necessary or useful with respect thereto.

          (d)  To forest and reforest and to aid in the foresting and reforesting of the project area, and to prevent and aid in the prevention of soil erosion and flood within the area; to control, store and preserve within the boundaries of the project area the waters of any streams in the area, for irrigation of lands and for prevention of water pollution.

          (e)  To acquire by condemnation all property of any kind, real, personal or mixed, or any interest therein, within or without the boundaries of the district, necessary for the project and the exercise of the powers, rights, privileges and functions conferred upon the district by this article, according to the procedure provided by law for the condemnation of lands or other property taken for rights-of-way or other purposes by railroad, telephone or telegraph companies and according to the provisions of Section 29-1-1.  For the purposes of this article the right of eminent domain of the district shall be superior and dominant to the right of eminent domain of railroad, telegraph, telephone, gas, power and other companies or corporations and shall be sufficient to enable the acquisition of county roads, state highways or other public property in the project area, and the acquisition or relocation of this property in the project area. The cost of right-of-way purchases, rerouting and elevating all other county-maintained roads affected by construction shall be borne by the water management district, and new construction shall be of equal quality as in roads existing as of June 1, 1962.  The county in which such work is done may assist in these costs if the board of supervisors desires.

     The amount and character of interest in land, other property and easements to be acquired shall be determined by the board of directors, and their determination shall be conclusive and shall not be subject to attack in the absence of manifold abuse of discretion or fraud on the part of such board in making this determination.  However * * *,:

              (i)  In acquiring lands, either by negotiation or condemnation, the district shall not acquire minerals or royalties within the project area; sand and gravel shall not be considered as minerals within the meaning of this section; and

              (ii)  No person or persons owning the drilling rights or the right to share in production shall be prevented from exploring, developing or producing oil or gas with necessary rights-of-way for ingress and egress, pipelines and other means of transporting these products by reason of the inclusion of the lands or mineral interests within the project area, whether below or above the water line, but any activities shall be under reasonable regulations by the board of directors that will adequately protect the project; and

              (iii)  In drilling and developing, these persons are hereby vested with a right to have mineral interests integrated and their lands developed in the drilling unit or units that the State Oil and Gas Board shall establish after due consideration of the rights of all owners to be included in the drilling unit.

     Moreover, when any site or plot of land is to be rented, leased or sold to any person, firm or corporation for the purpose of operating recreational facilities thereon for profit, the board shall, by resolution, specify the terms and conditions of the sale, rental or lease, and shall advertise for public bids thereon.  When these bids are received, they shall be publicly opened by the board, and the board shall thereupon determine the highest and best bid submitted and shall immediately notify the former owner of the site or plot of the amount, terms and conditions of the highest and best bid.  The former owner of the site or plot shall have the exclusive right at his option, for a period of thirty (30) days after written notice is received by the land owner of the determination of the highest and best bid by the board, to rent, lease or purchase the site or plot of land by meeting the highest and best bid and by complying with all terms and conditions of renting, leasing or sale as specified by the board.  However, the board shall not in any event rent, lease or sell to any former owner more land than was taken from the former owner for the construction of the project, or one-quarter (1/4) mile of shore line, whichever is lesser.  If this option is not exercised by the former owner within a period of thirty (30) days, the board shall accept the highest and best bid submitted.

     Any bona fide, resident householder actually living or maintaining a residence on land taken by the district by condemnation shall have the right to repurchase his former land from the board of directors for a price not exceeding the price paid for his land, plus any permanent improvements and plus the cost of condemnation.

          (f)  To require the necessary relocation of roads and highways, railroad, telephone and telegraph lines and properties, electric power lines, pipelines, and mains and facilities in the project area, or to require the anchoring or other protection of any of these, provided due compensation is first paid the owners thereof or agreement is had with the owners regarding the payment of the cost of relocation.  Further, the district is hereby authorized to acquire easements or rights-of-way in or outside of the project area for the relocation of roads, highways, railroad, telephone and telegraph lines and properties, electric power lines, pipelines, and mains and facilities, and to convey them to the owners thereof in connection with the relocation as a part of the construction of the project.  However, the directors of the district shall not close any public access road to the project existing prior to the construction of the reservoir unless the board of supervisors of the county in which the road is located agrees.

          (g)  To overflow and inundate any public lands and public property, including sixteenth section lands and in lieu lands, within the project area.

          (h)  To construct, extend, improve, maintain and reconstruct, to cause to be constructed, extended, improved, maintained and reconstructed, and to use and operate all facilities of any kind within the project area necessary or convenient to the project and to the exercise of powers, rights, privileges and functions.

          (i)  To sue and be sued in its corporate name.

          (j)  To adopt, use and alter a corporate seal.

          (k)  To make bylaws for the management and regulation of its affairs.

          (l)  To employ engineers, attorneys, who may or may not be a director, and all necessary agents and employees to properly finance, construct, operate and maintain the projects and the plants, and to pay reasonable compensation for these services; for all services in connection with the issuance of bonds as provided in this article, the attorney's fee shall not exceed one percent (1%) of the principal amount of these bonds.  For any other services, only reasonable compensation shall be paid for those services.  The board shall have the right to employ a general manager or executive director, who shall, at the discretion of the board, have the power to employ and discharge employees.  Without limiting the generality of the foregoing, it may employ fiscal agents or advisors in connection with its financing program and in connection with the issuance of its bonds.

          (m)  To make contracts and to execute instruments necessary or convenient to the exercise of the powers, rights, privileges and functions conferred upon it by this article.

          (n)  To make or cause to be made surveys and engineering investigations relating to the project, or related projects, for the information of the district to facilitate the accomplishment of the purposes for which it is created.

          (o)  To apply for and accept grants from the United States of America or from any corporation or agency created or designated by the United States of America, and to ratify and accept applications heretofore or hereafter made by voluntary associations to these agencies for grants to construct, maintain or operate any project or projects which hereafter may be undertaken or contemplated by the district.

          (p)  To do all other acts or things necessary, requisite, or convenient to the exercising of the powers, rights, privileges or functions conferred upon it by this article or any other law.

          (q)  To make such contracts in the issuance of bonds that may be necessary to ensure the marketability thereof.

          (r)  To enter into contracts with municipalities, corporations, districts, public agencies, political subdivisions of any kind, and others for any services, facilities or commodities that the project may provide.  The district is also authorized to contract with any municipality, corporation or public agency for the rental, leasing, purchase or operation of the water production, water filtration or purification, water supply and distributing facilities of the municipality, corporation or public agency upon consideration as the district and entity may agree.  Any contract may be upon any terms and for any time as the parties may agree, and it may provide that it shall continue in effect until bonds specified therein and refunding bonds issued in lieu of these bonds and all obligations are paid.  Any contract with any political subdivision shall be binding upon the political subdivisions according to its terms, and the municipalities or other political subdivisions shall have the power to enter into these contracts as in the discretion of the governing authorities thereof would be to the best interest of the people of the municipality or other political subdivisions.  These contracts may include within the discretion of the governing authorities a pledge of the full faith and credit of the political subdivisions for the performance thereof.

          (s)  To fix and collect charges and rates for any services, facilities or commodities furnished by it in connection with the project, and to impose penalties for failure to pay these charges and rates when due.

          (t)  To operate and maintain within the project area, with the consent of the governing body of any city or town located within the district, any works, plants or facilities of any city deemed necessary or convenient to the accomplishment of the purposes for which the district is created.

          (u)  Subject to the provisions of this article, from time to time to lease, sell or otherwise lawfully dispose of property of any kind, real, personal or mixed, or any interest therein within the project area or acquired outside the project area as authorized in this article, for the purpose of furthering the business of the district.

          (v)  When, in the opinion of the board of directors as shown by resolution duly passed, it shall not be necessary to the carrying on of the business of the district that the district own any lands acquired, the board shall advertise the lands for sale to the highest and best bidder for cash, and shall receive and publicly open the bids thereon.  The board shall, by resolution, determine the highest and best bid submitted for the land and shall thereupon notify the former owner, his/her heirs or devisees, by registered mail of the land to be sold and the highest and best bid received therefor, and the former owner, or his/her heirs or devisees, shall have the exclusive right at his/her or their option for a period of thirty (30) days in which to meet such highest and best bid and to purchase such property.

          (w)  To prevent or aid in the prevention of damage to person or property from the waters of the Pascagoula River or any of its tributaries.

          (x)  To acquire by purchase, lease, gift or in any other manner (otherwise than by condemnation) and to maintain, use and operate all property of any kind, real, personal or mixed, or any interest therein within the project area, within or without the boundaries of the district, necessary for the project and convenient to the exercise of the powers, rights, privileges and functions conferred upon the district by this article.

          (y)  In the purchase of or in the entering into of all lease purchase agreements for supplies, equipment, heavy equipment and the like, the directors shall in all instances comply with the provisions of law pertaining to public purchases by public bids on these supplies and equipment.

          (z)  To designate employees as peace officers with the power to make arrests for violations of regulations of the district.  The officers are authorized to carry weapons and to enforce the laws of the state within the confines of district parks and property.  Any employee so designated is required to obtain and maintain certification pursuant to Section 45-6-1 et seq.

          (aa)  To contract with persons, who are certified according to the minimum standards established by the Board on Law Enforcement Officer Standards and Training under Section 45-6-1 et seq., to serve as peace officers with the power to make arrests for violations of regulations of the district.  Such officers are authorized to carry weapons and to enforce the laws of the state within the confines of district parks and property.  All persons with which the district has contracted under this paragraph (aa) shall be independent contractors and shall not be considered as employees under Chapter 46 * * *of, Title 11, Mississippi Code of 1972.

          (bb)  To:  ( * * *ai) receive and expend funds that are made available to it under the provisions of the federal American Recovery and Reinvestment Act of 2009 (ARRA), and/or from any other source, to construct a lake and related structures and facilities in George County, Mississippi, if the funds received by the district may be used for that purpose; ( * * *bii) obtain any information and research regarding construction of the lake and related structures and facilities from the Department of Wildlife, Fisheries and Parks; and ( * * *ciii) to receive and expend any funds made available to the district from the Department of Wildlife, Fisheries and Parks for the construction of the lake and related structures and facilities.

     (2)  The board of directors shall annually prepare a five-year plan containing a prioritized list detailing the purposes, goals and projected costs of projects which it intends to implement or is in the process of implementing and shall file such plans with the clerk of the board of supervisors of each member county, and with the clerk of each member municipality, on or before July 15 of each year.

     (3)  The board of directors shall, after completion of the annual audit of the district and upon receipt of the written report thereon, file a copy of such audit with the clerk of the board of supervisors of each member county, and with the clerk of each member municipality.

     SECTION 9.  Section 51-15-131, Mississippi Code of 1972, is amended as follows:

     51-15-131.  The board of directors of the district is hereby authorized and empowered to borrow money or issue bonds of the district for the purpose of paying the cost of acquiring, owning, constructing, operating, repairing, and maintaining the projects and works specified herein, including related facilities and including all financing and financial advisory charges, interest during construction, engineering, architectural, legal, and other expenses incidental to and necessary for the foregoing or for the carrying out of any power conferred by this article.  The board of directors is authorized and empowered to borrow money and issue bonds at such times and in such amounts as shall be provided for by resolution of the board of directors, not to exceed the limitation prescribed in Section 51-15-135.  All such bonds so issued by said district shall be secured solely by a pledge of the net revenues which may now or hereafter come to the district, and by the pledge of the avails of the ad valorem tax levy provided for in Section 51-15-129.  Such bonds shall not constitute general obligations of the State of Mississippi or of the counties or municipalities comprising said district, and such bonds shall not be secured by a pledge of the full faith, credit, and resources of the state or of the counties or municipalities.  Bonds of the district shall not be included in computing any present or future debt limit of any county or municipality in the district under any present or future law.  "Revenues" as used in this article shall mean all charges, rentals, tolls, rates, gifts, grants, avails of tax levies, monies, and all other funds coming into the possession of the district by virtue of the provisions of this article, except the proceeds from the sale of bonds issued hereunder.  "Net revenues" as used in this article shall mean the revenues after payments of costs and expenses of operation and maintenance of the project and related facilities.

     SECTION 10.  Section 51-15-133, Mississippi Code of 1972, is amended as follows:

     51-15-133.  All bonds provided for by Section 51-15-131 shall be negotiable instruments within the meaning of the Uniform Commercial Code of this state, shall be lithographed or engraved and printed in two (2) or more colors to prevent counterfeiting, shall be in denominations of not less than One Hundred Dollars ($100.00) nor more than One Thousand Dollars ($1,000.00), shall be registered as issued, and shall be numbered in a regular series from one (1) upward.  Each bond shall specify on its face the purpose for which it was issued and the total amount authorized to be issued, it shall be payable to bearer, and the interest to accrue thereon shall be evidenced by proper coupons to be attached thereto.  The bonds shall not bear a greater overall maximum interest rate to maturity than that allowed in Section 75-17-101.  They shall mature annually in such amounts and at such times as shall be provided by the resolution of the board of directors.  No bond shall have a longer maturity than forty (40) years, and the first maturity date thereof shall be not more than five (5) years from the date of such bonds.  The denomination, form and place or places of payment of the bonds shall be fixed in the resolution of the board of directors of the district.  The bonds shall be signed by the president and the secretary of the board with the seal of the district affixed thereto, but the coupons may bear only the facsimile signatures of the president and secretary.  All interest accruing on such bonds so issued shall be payable semiannually, except that the first interest coupon attached to any bond may be for a period not exceeding one (1) year.

     The bonds may be called in, paid and redeemed in inverse numerical order on any interest date prior to maturity, upon not less than thirty (30) days' notice to the paying agent or agents designated in the bonds, and at such premium as may be designated in such bonds.

     All such bonds shall contain in substance a statement to the effect that they are secured solely by a pledge of the net revenues of the district, including the avails of the ad valorem tax levy provided for in Section 51-15-129, and that they do not constitute general obligations of the State of Mississippi or of the counties or municipalities comprising the district, and are not secured by a pledge of the full faith, credit and resources of the state or of the counties or municipalities.

     All the bonds as provided for herein shall be sold for not less than par value plus accrued interest at public sale in the manner provided by Section 31-19-25.  No sale shall be at a price so low as to require the payment of interest on the money received therefor at more than eleven percent (11%) per annum computed with relation to the absolute maturity of the bonds, in accordance with standard tables of bond values, excluding from such computation the amount of any premium to be paid on redemption of any bonds prior to maturity.

     This article shall be full and complete authority for the issuance of the bonds provided for herein, and no restriction or limitation otherwise prescribed by law shall apply herein.

     Notwithstanding the foregoing provisions of this section, bonds referred to hereinabove may be issued pursuant to the supplemental powers and authorizations conferred by the provisions of the Registered Bond Act, being Sections 31-21-1 through 31-21-7.

     SECTION 11.  Section 51-15-136, Mississippi Code of 1972, is amended as follows:

     51-15-136.  From and after April 6, 1995, the board of directors shall not borrow money or issue bonds of the district unless sixty percent (60%) of the entire membership of the board of directors votes in favor of such action after thirty (30) days' written notice to the chancery clerks and presidents of the boards of supervisors of the member counties, as well as to the municipal clerks and governing authorities of the member municipalities, of the date upon which such vote will be taken.  Further, the board shall not borrow money or issue bonds of the district from April 6, 1995, through February 1, 1996.

     SECTION 12.  Section 51-15-139, Mississippi Code of 1972, is amended as follows:

     51-15-139.  All bonds issued pursuant to this article shall be validated as now provided by law of Sections 31-13-1 through 31-13-11, Mississippi Code of 1972.  The services of the state's bond attorney may be employed in the preparation of such bond resolutions, forms, or proceedings as may be necessary, for which he shall be paid a reasonable fee.  Such validation proceedings shall be instituted in the Chancery Court of the county in which the principal office of the district is located, but notice of such validation proceedings shall be published at least two (2) times in a newspaper of general circulation and published in each of the counties and municipalities comprising the Pat Harrison Waterway District, the first publication of which in each case shall be made at least ten (10) days preceding the date set for the validation.

     SECTION 13.  Section 51-15-158, Mississippi Code of 1972, is amended as follows:

     51-15-158.  (1)  On or before the fifteenth day of July of each year, the board of directors of the district shall prepare and file with the clerk of the board of supervisors of each member county, and with the clerk of each member municipality, at least two (2) copies of a budget of estimated expenditures for the support, maintenance and operation of the district for the fiscal year commencing on July 1 of the succeeding year.  Such budget shall be prepared on forms prescribed and provided by the State Auditor and shall contain such information as the State Auditor may require.

     (2)  The board of directors of the district shall notify both the chancery clerk and the president of the board of supervisors of each member county, as well as the clerk of each member municipality, in writing of the date and time when any legislative committee will hold any hearing or vote relating to the budget of the district or any other matter affecting the district.  Such notice shall be served both within ten (10) days of the directors' learning of the date and time of any such action and not less than five (5) days prior to such scheduled action.

     SECTION 14.  Section 51-15-105, Mississippi Code of 1972, is brought forward as follows:

     51-15-105.  (1)  All powers of the district shall be exercised by a board of directors to be composed of the following:

          (a)  [Repealed]

          (b)  From and after January 9, 1996, the Governor shall appoint three (3) members of the Board of Directors of the Pat Harrison Waterway District from the district at large.  No more than one (1) appointment may be made by the Governor from any one (1) county in the district.  All initial appointments made pursuant to this paragraph shall be made no later than February 1, 1996, and no person appointed under this paragraph shall be an elected official or a county employee.  All appointments made pursuant to this paragraph shall be for terms of four (4) years each or until a successor is appointed and qualifies.

          (c)  From and after January 9, 1996, the board of supervisors of each county in the Pat Harrison Waterway District shall have an appointment to the board of directors of the district as follows:  the boards of supervisors of the counties of Clarke, Covington and Forrest shall each appoint a member from their respective counties for an initial term of one (1) year; the boards of supervisors of the counties of George, Greene, Jackson and Jasper shall each appoint a member from their respective counties for an initial term of two (2) years; the boards of supervisors of the counties of Jones, Lamar, Lauderdale and Newton shall each appoint a member from their respective counties for an initial term of three (3) years; and the boards of supervisors of the counties of Perry, Smith, Stone and Wayne shall each appoint a member from their respective counties for an initial term of four (4) years.  All initial appointments made pursuant to this paragraph shall be made no later than February 1, 1996, and no person appointed under this paragraph shall be an elected official or a county employee.  All appointments made pursuant to this paragraph after the initial appointments shall be for terms of four (4) years each or until a successor is appointed and qualifies.

          (d)  The directors appointed pursuant to paragraphs (b) and (c) of this subsection shall not discontinue any litigation pending on January 9, 1996, with respect to monetary payments owed to the district by any member county, and such directors shall pursue such litigation to a conclusion.

     (2)  Each director shall take and subscribe to the general oath of office required by Section 268 of the Constitution of the State of Mississippi before a chancery clerk, that he will faithfully discharge the duties of the office, which oath shall be filed with the clerk and by him preserved.

     (3)  Each director shall receive a per diem in the amount established in Section 25-3-69, Mississippi Code of 1972, for attending each day's meeting of the board and for each day spent in attending to the necessary business of the district and, in addition, he may receive reimbursement for actual and necessary expenses thus incurred, upon express authorization of the board.

     (4)  The board of directors shall annually elect from its number a president and a vice president of the district, and such other officers as in the judgment of the board are necessary.  The president shall be the chief executive officer of the district and the presiding officer of the board, and shall have the same right to vote as any other director.  The vice president shall perform all duties and exercise all powers conferred by this article upon the president when the president is absent or fails or declines to act, except the president's right to vote.  The board shall also appoint a secretary and a treasurer, who may or may not be members of the board, and it may combine those offices.  Except as otherwise provided for in this subsection, the treasurer shall give bond in the sum of not less than Fifty Thousand Dollars ($50,000.00) as set by the board of directors, and each director may be required to give bond in the sum of not less than Ten Thousand Dollars ($10,000.00) with sureties qualified to do business in this state, and the premium on such bonds shall be an expense of the district.  The condition of each bond shall be that the treasurer or director will faithfully perform all duties of his office and account for all money or other assets which shall come into his custody as treasurer or director of the district.

In lieu of the bonds required by this subsection, the board may authorize that the district purchase an equivalent amount of errors and omissions insurance for the treasurer and directors.

     (5)  Each director shall meet with the board of supervisors of the county from which he is appointed at least twice a year at reasonable times established by the board of supervisors.

     SECTION 15.  Section 51-15-129, Mississippi Code of 1972, is brought forward as follows:

     51-15-129.  In each county of the State of Mississippi which is a part of the Pat Harrison Waterway District, so long as funds are found to be necessary for the operation of the district by annual legislative approval of the district budget, the tax collector of such county shall pay into the depository selected by the water district for such purpose an amount to be determined as follows:  each county shall pay a pro rata share (not to exceed the avails of one (1) mill through September 30, 1997, and not to exceed the avails of three-fourths (3/4) mill through September 30, 2005, and not to exceed seven-eighths (7/8) mill thereafter) of the annual district budget based on the proportion that the most recent total assessed valuation of the county bears to the most recent aggregate total assessed valuation of all the counties which comprise the district; provided, however, that any county bordering on the Gulf of Mexico which by action of the board of supervisors has created and authorized a port authority and which has been paying into the port authority the avails of a two-mill levy that was established under Section 27-39-3 shall pay an amount not to exceed one-tenth (1/10) mill through September 30, 2005, and not to exceed two-tenths (2/10) mill thereafter, of the total assessed valuation of the county to the Pat Harrison Waterway District pursuant to this section and the assessed valuation of that county shall not be considered when calculating each county's pro rata share of the district's budget.  Of the amount paid by counties required to pay to the district an amount not to exceed seven-eighths (7/8) mill, an amount equivalent to the avails of one-eighth (1/8) mill shall be utilized to fund flood control, water management and other similar projects as requested by counties in the district.  Of the amount paid by counties required to pay to the district an amount not to exceed two-tenths (2/10) mill, an amount equivalent to the avails of one-tenth (1/10) mill shall be utilized to fund flood control, water management and other similar projects as requested by counties in the district.  It shall be the duty of the Pat Harrison Waterway District Board of Directors in the month of November annually upon receipt of the total assessed valuation of the member counties, certified by the Department of Revenue, to prepare a request to the board of supervisors of member counties to levy a tax using the formula herein established not to exceed the maximum number of mills authorized by this section.  Member counties shall remit their share of the district budget no later than March 1 of each year.

     SECTION 16.  This act shall take effect and be in force from and after July 1, 2023.