REPORT OF CONFERENCE COMMITTEE

S. B. No. 2868: MS Develop. Bank Act; revise def of term "local governmental unit" & provide that units may assume obligations subj to act's limitations.

(14) (a) If the state or any agency thereof, the institutions of higher learning of the state or any education building corporation established for institutions of higher learning, borrows funds from the bank under Section 31-25-28 or sells its securities to the bank pursuant to this act, then such local governmental unit shall certify the following to the bank prior to the issuance of bonds:

(i) The legal authority for such local governmental unit to borrow funds; and

(ii) That such local governmental unit does not intend to request an additional appropriation from the Legislature to pay debt service on the loan or for such security.

(b) If the state or any agency thereof, the institutions of higher learning of the state or any education building corporation established for institutions of higher learning, does not make the certification required under paragraph (a)(ii) of this subsection, then such local governmental unit shall not borrow funds from the bank under Section 31-25-28 or sell its securities to the bank pursuant to this act unless an appropriation by the Legislature authorizes the payment of debt service for the first year of the loan or for such security.

%%%% FURTHER AMEND line 324 by striking "July 1, 2000" and insert in lieu thereof "its passage"

TO REQUIRE CERTAIN LOCAL GOVERNMENTAL UNITS TO MAKE CERTAIN CERTIFICATIONS TO THE MISSISSIPPI DEVELOPMENT BANK PRIOR TO THE ISSUANCE OF BONDS;

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