MISSISSIPPI LEGISLATURE

1999 Regular Session

To: Public Utilities; Finance

By: Senator(s) Hamilton, Canon, Turner, Jackson

AN ACT TO CREATE THE GOLDEN TRIANGLE REGIONAL COMMUNICATIONS AUTHORITY; TO AUTHORIZE CERTAIN LOCAL GOVERNMENTAL AUTHORITIES TO CREATE A REGIONAL AUTHORITY TO PROVIDE FOR AND MEET THE EMERGENCY COMMUNICATIONS NEEDS OF THE REGION; TO CREATE A BOARD OF COMMISSIONERS OF THE AUTHORITY AND PROVIDE ITS POWERS AND DUTIES; TO AUTHORIZE THE AUTHORITY TO PROMULGATE ALL REASONABLE RULES AND REGULATIONS REGARDING THE OPERATION OF THE AUTHORITY, ITS FACILITIES AND SERVICES AREA; TO AUTHORIZE THE AUTHORITY TO ISSUE BONDS AS SHALL BE NECESSARY TO PROVIDE SUFFICIENT FUNDS FOR ACHIEVING ANY OF ITS CORPORATE PURPOSES; TO EXEMPT THE AUTHORITY FROM ANY TAX OR ASSESSMENT ON ANY PROPERTY OWNED BY IT, OR UPON THE INCOME THEREFROM; AND FOR RELATED PURPOSES.

WHEREAS, many changes are now occurring in the field of telecommunications affecting the ability of local governmental agencies to maintain and operate necessary modern communications equipment for law enforcement, public safety, health and welfare; and

WHEREAS, it is important that local governmental agencies, law enforcement, emergency agencies and public and co-operative utilities have the ability and capability to communicate efficiently and effectively using equipment of superior performance and broad compatibility between users in times of emergencies, natural disasters and other times of public needs; and

WHEREAS, legislation is needed to provide for local governments to develop an area-wide communications network capable of providing digital, fiber optic, coaxial and/or copper conductor with necessary electricity, converter and other plants, infrastructure and equipment necessary or appropriate to receive, transmit, broadcast and communicate voice and data within the area of the Golden Triangle Planning and Development District and among the governmental agencies, departments, hospitals, utilities and other entities which serve the public in times of emergencies; NOW, THEREFORE,

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

SECTION 1. The purpose of this act is to authorize governing bodies in the service area to create a regional authority to provide for and meet the emergency communications needs of the region with the establishment, implementation and operation of a regional emergency communications system to provide communication services to police, fire departments, local government agencies, hospitals, public or co-operative utilities, airports, special emergency services and other entities that benefit the public safety and interest and to provide for the siting, acquisition, construction and operation of a regional communications network.

SECTION 2. (1) The Golden Triangle Communications Authority may hereinafter be created under authority of this act and in the manner hereinafter provided. Those political subdivisions eligible to become members of the authority are those political subdivisions who are located, in whole or in part, within the Golden Triangle Planning and Development District. Once created, the authority shall be an agency of the state and a body politic and corporate.

(2) Two (2) or more political subdivisions may, by resolution of each, create a public body, corporate and politic, to be known as the Regional Communication Authority which shall be authorized to exercise its functions upon the issuance by the Secretary of State of a certificate of incorporation. The governing body of each political subdivision that is a member of the authority shall, pursuant to its resolution, appoint one (1) person as a commissioner of the authority.

(3) The membership of the authority may be increased from time to time to serve one or more additional political subdivisions if each additional political subdivision and each of the members then included in the regional authority and the commissioners of the regional authority, respectively, adopt a resolution consenting thereto.

(4) A regional authority may be decreased if each of the members then included in the regional authority and the commissioners of the regional authority consent to the decrease and make provision for the withdrawal of any member. However, if the regional authority has any obligations, bonds or any other indebtedness outstanding, no withdrawal shall be effected unless the withdrawing member shall first pay an amount to pay to the authority its pro rata share of any obligation or indebtedness then outstanding.

SECTION 3. Once created as provided herein the authority may:

(a) Study, evaluate and determine the communications needs of the region and the requirements for the creation of a regional communications network.

(b) Plan, acquire, purchase and/or construct, own, operate and maintain, lease, in whole or in part, a telecommunications system within the area composed of the jurisdiction of the members of the authority and other entities who may declare their intent to participate, and contract with the authority comprised of:

(i) Fiber optic, coaxial and/or copper conductors with necessary electronics, connections and other plant and equipment necessary or appropriate to receive, transmit, broadcast and communicate voice and data; and

(ii) Employ such other means or instruments of communications as the governing authorities, in their discretion, may select to accomplish.

(c) Plan and determine the best use of the communications system for the receipt, transmission, broadcast or communication of voice and data for communications by and among, from or to, law enforcement, emergency agencies, departments and agencies of local government, and the public offices of other governments, public entities, utilities, airports, hospitals, education entities and other public service entities.

(d) Provide access to the communications system to one or more public agencies, or other users or consumers of emergency communications services, and to provide any lawful communications service the governing authorities may deem appropriate.

SECTION 4. Whenever used in the act, the following words and terms shall have the following respective meanings unless a different meaning clearly appears from the context:

(a) "Board" means the board of directors of the authority.

(b) "Bonds" means either revenue bonds, general obligation bonds, bond anticipation notes or other types of debt instruments issued by the authority unless the reference to bonds clearly indicates "revenue bonds," "general obligation bonds," "bond anticipation notes" or such other forms of debt instruments.

(c) "Service area" means that area composed of the geographical area of the counties which are members of the Golden Triangle Planning and Development District.

(d) "Facilities" means any plant, structure, building, improvement, land or any other real or personal property of the authority or used or useful in providing emergency communication service under the act.

(e) "Governing body" means the elected or duly appointed officials constituting the governing body of a municipality or county.

(f) "Person" means any natural person, corporation, association, public or co-operative utility, governmental unit, public agency, political subdivision or any other group acting as a unit, and the plural as well as the singular.

(g) "Project" means any facility, to provide emergency communication service, together with all real property required for construction, maintenance and operation of the facility, together with all buildings, and other supporting land and facilities, structures or improvements of whatever kind required or useful for construction, maintenance and operation of emergency communication system.

(h) "Public agency" means:

(i) Any department, board, commission, institution or other agency or instrumentality of the state;

(ii) Any city, town, county, political subdivision, school district, public or co-operative utility or other district created or existing under the laws of the State of Mississippi or any public agency of any such city, town, county, political subdivision or district;

(iii) Any department, commission, agency or instrumentality of the United States of America; and

(iv) Any other state of the United States of America which may be cooperating with respect to location of the project within the state, or any agency thereof.

(v) Any public or private agency determined by the governing body of the member and the board of the authority to provide a necessary general public service to the population of the services areas.

(i) "Services area" means the area within the counties that are members of the Golden Triangle Planning and Development District.

SECTION 5. (1) All powers of the authority shall be vested in a board of commissioners which will exercise all powers of the authority.

The board shall consist of an appointee of the governing body of each member of the authority. Appointments shall be for four (4) years and a plan for staggered terms shall be determined by the initial board, such that as near as possible only one-third (1/3) of the board shall have their term end each year.

(a) After the initial term, the commissioner shall serve a term of four (4) years, and for such period thereafter until a successor shall be duly appointed and qualified.

(b) Each member of the board shall be eligible for reappointment. All vacancies shall be filled by appointment in the same manner, provided that any person appointed to fill a vacancy shall serve only for the unexpired term. Any commissioner may be removed at any time prior to the expiration of the member's term of office for misfeasance, malfeasance or willful neglect of duty, as determined by the appointing political subdivision or a majority of the board. Before assuming office, each commissioner shall take and subscribe to the constitutional oath of office before a chancery clerk, and a record of such oath shall be filed with the Secretary of State. The board shall annually select a chairman and vice-chairman.

(2) The board may employ such personnel and appoint and prescribe the duties of such officers as the board deems necessary or advisable, including a general manager and a secretary of the authority or the board may contract with a person, or public or private entity to serve as a systems administrator. The systems administrator or the general manager shall have a minimum of five (5) years' experience in management and communications. The general manager may also serve as secretary and shall be a person of good moral character and of proven ability as an administrator with a minimum of five (5) years' experience in management and communications. The general manager or systems administrator shall administer, manage and direct the affairs and business of the authority, subject to the policies, control and direction of the board. The general manager or systems administrator and any director not bonded in another capacity shall give bond executed by a surety company or companies authorized to do business in the respective states in the penal sum of no less than Fifty Thousand Dollars ($50,000.00), as determined by the board payable to the authority conditioned upon the faithful performance of his duties and the proper accounting for all funds. The board may require any of its employees to be bonded. The cost of any bond required by this section or by the board shall be paid from funds of the authority. The secretary shall keep a record of the proceedings of the authority and shall be custodian of all books, documents and papers filed with the authority, the minute book or journal, and the official seal. The secretary may make copies of all minutes and other records and documents of the authority and certify under the seal of the authority that such copies are true and accurate copies, and all persons dealing with the authority may rely upon such certification.

(3) Regular meetings of the board shall be held as set forth in its bylaws, rules or regulations. Additional meetings of the board shall be held at the call of the chairman or general manager, or systems administrator, whenever any three (3) members of the board so request.

(4) Members of the board shall not receive any compensation, but may receive reimbursement for actual and necessary expenses incurred or per diem in lieu thereof.

(5) The board shall prepare a budget for the authority for each fiscal year at least sixty (60) days prior to the beginning of each fiscal year, which shall be from October 1, to September 30 of each year.

SECTION 6. From and after its creation, the authority shall be a public corporation, body politic with all the rights and powers now or hereafter conferred as may be deemed necessary to carry out the purposes of the act including the following:

(a) To maintain an office at a place or places within either state.

(b) To sue and be sued in its own name.

(c) To adopt and use a corporate seal.

(d) To employ or contract with a general manager, systems administrator, architects, engineers, attorneys, accountants, construction and financial experts and such other advisors, managers, consultants and agents as may be necessary in its judgment and to fix and pay their compensation.

(e) To make, adopt, enforce, amend and repeal bylaws and rules and regulations for the management of its business and affairs for the use, maintenance and operation of the authority, any of the facilities and any other of its properties.

(f) To borrow money and to issue bonds, notes and other evidence of indebtedness for any of its purposes and to provide for and secure the payment thereof and to provide for the rights of the holders thereof.

(g) To invest any monies of the authority, including proceeds from the sale of any bonds subject to any agreements with bondholders, on such terms and in such manner as the authority deems proper.

(h) To exercise any one or more of the powers, rights and privileges under the act either alone or jointly or in common with one or more other public or private parties. In any such exercise of such powers, rights and privileges jointly or in common with others for the development, construction, operation and maintenance of facilities within the authority or the provider of facility services within the service area. The authority may enter into an agreement or agreements with respect to any such facility with the other party or parties, public or private, participating therein including development agreements and operating agreement. An agreement may contain such terms, conditions and provisions, consistent with this section, as the parties thereto shall deem to be in their best interest, including, but not limited to, provisions for the construction, operation and maintenance of such facilities by any one or more party of the parties to such agreement.

(i) To provide the services of any facility or project within the service area to any political subdivision, public agency, department or utility with the service area and as determined by the board any public service agency and/or private nonprofit public service entity providing necessary public services; provided, however, the authority has obtained any required governmental approval for such service.

(j) To make such applications and enter into such contracts for financial assistance as may be appropriate under applicable federal or state law.

(k) To apply for, accept and utilize grants, gifts, donations and other funds or aid from any source for any purpose contemplated by the act, and to comply, subject to the provisions of this act, with the terms and conditions thereof.

(l) To acquire by purchase, lease, gift, investment, trade, exchange or in other manner, including eminent domain as may be authorized under the act, or obtain options to acquire, and to own, maintain, use, operate and convey any and all property of any kind, real, personal or mixed or easement therein or any interest or estate therein, within the service area reasonably necessary for the project or any facility related to the project.

(m) To make or cause to be made such examinations, studies and surveys as may be reasonably necessary to the planning, design, construction and operation of the project.

(n) To enter into a development agreement with any public agency or person for the development of the service area, facility property, facility or any portion thereof upon such terms as the parties might agree to carry out the purposes of the act.

(o) To enter into contracts with any person or public agency including, but not limited to, in furtherance of any of the purposes authorized by this act upon such consideration as the authority and such person or public agency may agree. Any such contract may extend over any period of time, notwithstanding any rule of law to the contrary, may be upon such terms as the parties thereto shall agree, and may provide that it shall continue in effect until bonds specified therein, refunding bonds issued in lieu of such bonds, and all other obligations specified therein are paid or terminated. Any such contract shall be binding upon the parties thereto according to its terms. Such contracts may include an agreement to reimburse a party to such contract for any assistance provided to the authority in the acquisition of real property to the project or the development of any facility related to the project.

(p) To establish and maintain reasonable rates and charges for the use of any facility with the service area owned or operated by the authority, or services provided by the authority and from time to time to adjust such rates and to impose penalties for failure to pay such rates and charges when due.

SECTION 7. The authority may adopt and promulgate all reasonable rules and regulations regarding the operation of the authority, its facilities and services area, and the specifications and standards relating to the construction, operation and maintenance of any facility, provided such are in compliance with FCC regulations.

SECTION 8. (1) The authority is empowered and authorized, from time to time, to issue bonds in such principal amounts as shall be necessary to provide sufficient funds for achieving any of its corporate purposes, including without limiting the generality of the foregoing, the financing of the acquisition, construction, improvement of facilities or any combination thereof, the payment of interest on bonds of the authority, establishment of reserves to secure such bonds, expenses incident to the issuance of such bonds, including bond insurance and to the implementation of programs or projects, and any other capital expenditures but not operating costs of the authority incident to or necessary or convenient to carry out its corporate purposes and powers.

(2) The authority may issue such types of bonds or notes as it may determine, subject only to any agreement with the holders of particular bonds, including bonds as to which the principal and interest are payable exclusively from all or a portion of the revenues derived from one or more facilities pursuant to the contract entered into by public agencies, and other persons, or any combination of any of the foregoing, or which may be secured by a pledge or any grant, subsidy or contribution from any public agency or other person, or a pledge of an income or revenues, funds or monies of the authority from any source whatsoever.

(3) Bonds shall be authorized by a resolution or resolutions of the board. Such bonds shall bear such date or dates, mature at such time or times (either serially, term or a combination thereof), bear interest at such rate or rates, be in such denomination or denominations, be in such registered form, carry such conversion or registration privileges, have such rank or priority, be executed in such manner and by such officers, be payable from such sources in such medium of payment at such place or places within or without the State of Mississippi, provided that one (1) such place shall be within the State of Mississippi, be subject to such terms of redemption prior to maturity, all as may be provided by resolution or resolutions of the compact.

(4) Any bonds of the authority may be sold at such price or prices, at public or private sale, in such manner and at such times as may be determined by the authority to be in the public interest, and the authority may pay all expenses, premiums, fees and commissions which it may deem necessary and advantageous in connection with the issuance and sale thereof.

(5) Any pledge of earnings, revenues or other monies made by the authority shall be valid and binding from the time the pledge is made and the earnings, revenues or other monies so pledged and thereafter received by the authority shall immediately be subject to the lien of such pledge without any physical delivery thereof or further act. The lien of any such pledge shall be valid and binding as against all parties having claims of any kind in tort, contract or otherwise against the authority irrespective of whether such parties have notice thereof. Neither the resolution nor any other instrument by which a pledge is created need to be recorded.

(6) Neither the board members nor any person executing the bonds shall be personally liable on the bonds or be subject to any personal liability or accountability by reason of the issuance thereof.

(7) Whenever any bonds shall have been signed by the officers designated by resolution of the authority to sign the bonds who were in office at the time of such signing but who may have ceased to be such officers prior to the sale and delivery of such bonds, or who may not have been in office on the date such bonds may bear, the manual or facsimile signatures of such officers upon such bonds and the coupons appertaining thereto, shall nevertheless be valid and sufficient for all purposes and have the same effect as if the person so officially executing such bonds had remained in office until the delivery of the same to the purchaser or had been in office on the date such bonds may bear.

(8) The bonds issued by the authority shall be limited obligations of such authority. The principal, interest and redemption premium, if any, shall be payable solely out of the monies to be derived by the authority. Revenue bonds and interest coupons issued under authority of this act shall never constitute an indebtedness of the State of Mississippi or any county or municipality within the meaning of any state constitutional provision or statutory limitation and shall never constitute nor give rise to a pecuniary liability of a county or municipality or the State of Mississippi, or a charge against its general credit or taxing powers, and such fact shall be plainly stated on the face of each bond.

SECTION 9. (1) Pending the issuance of revenue bonds by the authority, the board is hereby authorized to make temporary borrowings not to exceed two (2) years in anticipation of the issue of bonds in order to provide funds in such amounts as may, from time to time, be deemed advisable prior to the issue of bonds. To provide for such temporary borrowings, the authority

may enter into any purchase, loan or credit agreement, or agreements or other agreement or agreements with any banks or trust companies or other lending institutions, investment banking firms or persons in the United States having power to enter into the same.

(2) All temporary borrowings made under this section shall be evidenced by notes of the authority which shall be issued, from time to time, for such amounts, in such form and in such denominations and subject to terms and conditions of sale and issue, prepayment or redemption and maturity, rate or rates of interest and time of payment of interest as the board shall authorize and direct. Such authorization and direction may provide for the subsequent issuance of replacement notes to refund, upon issuance thereof, such notes, and may specify such other terms and conditions with respect to the notes and replacement notes thereby authorized for issuance as the board may determine and direct.

SECTION 10. The authority may issue refunding bonds for the purpose of paying any of its bonds at or prior to maturity or upon acceleration or redemption. Refunding bonds may be issued at such time prior to the maturity or redemption of the refunded bonds as the authority deems to be in the public interest. The refunding bonds may be issued in sufficient amounts to pay or provide the principal of the bonds being refunded, together with any redemption premium thereof, any interest accrued or to accrue to the date of payment of such bonds, the expenses of issue of the refunding bonds, the expenses of redeeming the bonds being refunded, and such reserves for debt service or other capital or current expenses from the proceeds of such refunding bonds as may be required by the resolution, trust indenture or other security instruments.

SECTION 11. The authority shall have power in the issuance of its bonds to:

(1) Covenant to charge rates, fees and charges sufficient to meet operating and maintenance expenses, renewals and replacements, principal and debt service on bonds, creation and maintenance of any reserves required by a bond resolution, trust indenture or other security instrument and to provide for any margins or coverages over and above debt service on the bonds deemed desirable for the marketability of the bonds.

(2) Covenant as to the mortgage or pledge of or the grant of a security interest in any real or personal property and all or any part of the revenues from any facilities or any revenue-producing contract or contracts made by the compact with any person to secure the payment of bonds, subject to such agreements with the holders of bonds as may then exist.

(3) Make all other covenants and to do any and all such acts and things as may be necessary or convenient or desirable in order to secure its bonds, or in the absolute discretion of the authority tend to make the bonds more marketable, notwithstanding that such covenants, acts or things may not be enumerated herein; it being the intention hereof to give the authority power to do all things in the issuance of bonds and in the provisions for security thereof which are not inconsistent with the Constitution of the State of Mississippi.

(4) Execute all instruments necessary or convenient in the exercise of the powers herein granted in the performance of covenants or duties, which may contain such covenants and provisions, as any purchaser of the bonds of the authority may reasonably require.

SECTION 12. (1) The exercise of the powers granted by this act will be in all respects for the benefit of the people of the states for their well-being and prosperity and for the improvement of public safety and health, and the authority shall not be required to pay any tax or assessment on any property owned by the authority or the authority upon the income therefrom.

(2) Any bonds issued by the authority under the act, their transfer and the income therefrom shall at all times be free from taxation by the State of Mississippi or any unit of local government or other instrumentality of the state, except for inheritance and gift taxes.

SECTION 13. (1) For the purpose of attaining the objectives of the act, any county, municipality or other unit of local government, public corporation, agency or instrumentality of the State of Mississippi, a county or municipality or person may, upon terms and with or without consideration, as it may determine, do any or all of the following:

(a) Lend, contribute or donate money or property to the authority or perform services for the benefit thereof;

(b) Donate, sell, convey, transfer, lease, option or grant upon such terms as the parties may agree, without the necessity of authorization at any election of qualified voters, any property of any kind; and

(c) Do any and all things, whether or not specifically authorized in this section, not otherwise prohibited by law, that are necessary or convenient to aid and cooperate with any authority in attaining the objectives of the act.

SECTION 14. Contracts for acquisition, purchase, construction and/or installation of a project shall be effected in the manner prescribed by law for public contracts.

SECTION 15. For the purpose of aiding in the planning, design, undertaking carrying out of the project or any facility related to the project, any public agency within the service area is authorized and empowered upon such terms, with or without consideration, as it may determine:

(a) To enter into agreements, which may extend over any period, with the authority respecting action to be taken by such public agency with respect to the acquisition, planning, construction, improvement, operations, maintenance or funding of emerging communications services or any facility for such purpose, and which agreements may include (i) the appropriation or payment of funds to the authority or to a trustee in amounts which shall be sufficient to enable the authority to defray any designated portion or percentage of the expenses of administering, planning, designing, constructing, acquiring, improving, operating and maintaining the project or any facility related to the project, and (ii) the furnishing of emergency communication services in connection with the facilities of the authority.

SECTION 16. The authority is authorized to acquire property, real, personal or mixed, within or without its territorial limits, in fee simple or any lesser interest or estate, by purchase, gift, devise or lease, on such terms and conditions as the board may deem necessary or desirable, and by condemnation, all provided that the board determines that the use or ownership of such property is necessary in the furtherance of a designated lawful purpose authorized under the provisions of this act, and amendments thereto; easements or rights-of-way with or without restrictions within the limits of the authority; to make purchase money mortgages and deed trusts and other forms of encumbrance on any property acquired by the authority and to purchase property subject to purchase money mortgages or other encumbrances.

SECTION 17. To exercise the power of eminent domain for the particular purpose of the acquisition of property and easements, designated by plan to sufficiently accommodate the location of the specific facilities, and such requirements related directly thereto pursuant to the provisions of applicable state law. provided, however, prior to the exercise of this power the Board of Commissioners shall enter on its minutes the determination of the need to use the power of eminent domain to the acquisition of a part of the total acreage involved, not to exceed twenty-five percent (25%), and the board shall so specify in its minutes, which shall be the authority's evidence of authority to use the power of eminent domain as above specifically defined.

SECTION 18. This act shall take effect and be in force from and after July 1, 1999.