2005 Regular Session
To: Local and Private; Finance
By: Senator(s) Williamson
AN ACT TO AUTHORIZE THE NESHOBA COUNTY BOARD OF SUPERVISORS TO ISSUE GENERAL OBLIGATION BONDS FOR THE PURPOSE OF CONSTRUCTING, EXPANDING, RENOVATING AND IMPROVING THE NESHOBA COUNTY HOSPITAL AND NURSING HOME; TO PROVIDE FOR A TAX UPON GROSS PROCEEDS OF SALES IN NESHOBA COUNTY, WHICH SHALL BE EXPENDED BY THE BOARD OF SUPERVISORS TO RETIRE THE BONDS; TO PROVIDE THAT THE TAX SHALL BE COLLECTED BY THE STATE TAX COMMISSION AND PAID TO NESHOBA COUNTY; TO PROVIDE THAT THE BONDS SHALL NOT BE ISSUED AND THE TAX SHALL NOT BE IMPOSED UNLESS APPROVED AT AN ELECTION HELD IN THE COUNTY ON THAT QUESTION; AND FOR RELATED PURPOSES.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:
SECTION 1. The Board of Supervisors of Neshoba County is authorized to issue from time to time general obligation bonds of the county in an aggregate principal amount not to exceed Twenty Million Dollars ($20,000,000.00) for the purpose of acquiring, constructing, repairing, equipping, remodeling, enlarging, expanding or improving the Neshoba County Hospital and Nursing Home, payment of interest on the bonds, establishment of reserves to secure those bonds and payment of expenses incident to the issuance of those bonds. The term "bonds," as used in this act, means and includes bonds, refunding bonds, notes or certificates of participation. The full faith and credit of the county shall be irrevocably pledged for the payment of the principal of and interest on the bonds. Bonds issued under this act shall be subject to the provisions of Sections 19-9-19, 19-9-21 and 19-9-23, Mississippi Code of 1972.
SECTION 2. Beforethe board of supervisors issues any bonds authorized under this act, except refunding bonds, and the tax authorized by this act is imposed, the issuance of the bonds and the imposition of the tax must be approved at an election held in the county by at least sixty percent (60%) of the electors voting in the election on the question of the issuance of the bonds and the imposition of the tax. The election shall be held in the manner now provided by law for the holding of special county elections, upon at least three (3) weeks' notice thereof by publication of the proposition at least once a week for three (3) consecutive weeks in some newspaper published in the county or having general circulation in the county.
SECTION 3. Bonds issued under this act shall not be deemed indebtedness for purposes of determining any statutory or constitutional limitation on indebtedness.
SECTION 4. Bonds issued under this act shall be submitted for validation under Section 31-13-1 et seq., Mississippi Code of 1972.
SECTION 5. Bonds issued under this act may be refunded at any time and from time to time by the county under an authorizing resolution of the board of supervisors, directing the issuance of refunding bonds in accordance with the Mississippi Bond Refinancing Act, Section 31-27-1 et seq., Mississippi Code of 1972, or as otherwise authorized by law.
SECTION 6. In the manner provided by this act and only upon the issuance of bonds provided for in Section 1 of this act, there shall be levied, assessed and collected from every person, firm, corporation or other entity engaged in the sale of property or services as those terms are defined in Section 27-65-1 et seq., Mississippi Code of 1972, in Neshoba County, Mississippi, a sales tax equal to seventy-five one hundredths of one percent (0.75%) of the gross proceeds of sales within Neshoba County that are subject to the payment of sales tax as set forth in Section 27-65-1 et seq., Mississippi Code of 1972. Persons, firms, corporations or other entities liable for the tax imposed in this section shall add the additional tax to the cost of each sales transaction and, so far as practicable, collect the amount of the tax due from the person receiving the goods or services at the time of payment thereof.
SECTION 7. The tax authorized by Section 6 of this act shall not apply to the following:
(a) Retail sales of farm tractors when made to farmers for agricultural purposes;
(b) Tangible personal property to electric power associations for use in the ordinary and necessary operation of their generating or distribution systems;
(c) Sales of manufacturing machinery or manufacturing machine parts when made to a manufacturer or custom processor for plant use only when the machinery and machine parts will be used exclusively and directly within this state in manufacturing a commodity for sale, rental or processing for a fee;
(d) Sales of materials for use in track and track structures to a railroad whose rates are fixed by the Mississippi Public Service Commission;
(e) The sales of machinery, machinery parts and/or equipment to an operator or lessee of publicly owned port facilities as set forth in Chapter 9, Title 59, Mississippi Code of 1972, when that machinery, machine parts and/or equipment is to be located on and used exclusively and directly in the operation of that publicly owned port facilities;
(f) The sales of automobiles and light trucks (ten thousand (10,000) pounds or less);
(g) The sales of trucks (greater than ten thousand (10,000) pounds), aircraft, farm implements, logging equipment, pulpwood equipment, tree farming equipment, poultry equipment, semitrailers and mobile homes;
(h) Construction contracts that are subject to the sales tax set forth in Section 27-65-21, Mississippi Code of 1972;
(i) Retail sales of limestone, sand, gravel, dirt, coal, lignite and other mineral products or natural resources except oil, natural gas, salt and forest products;
(j) Sales at wholesale of sand, gravel, dirt, clay and limestone;
(k) The sales to public utilities as set forth in Section 27-65-19, Mississippi Code of 1972;
(l) The sales of motor vehicles by individuals as set forth in Section 27-65-201, Mississippi Code of 1972.
SECTION 8. (1) The tax authorized by this act shall be paid to the State Tax Commission, or its successor, on a form to be prescribed by the commission, in the same manner that state sales taxes are compiled, collected and paid; and the full enforcement provisions of all other provisions of the Mississippi Sales Tax Law shall apply as necessary to the implementation and administration of this act.
(2) The State Treasurer shall pay all of those funds to the Board of Supervisors of Neshoba County, and those funds may be used for the purposes authorized by this act.
(3) On or before the fifteenth day of the month following the month in which collected, the proceeds of the tax shall be paid by the commission to the Board of Supervisors of Neshoba County for the expenditure as authorized in this act.
(4) The tax shall be levied, assessed and collected until any and all bonds issued under this act have been paid in full, and upon occurrence of same, the tax shall be discontinued.
SECTION 9. The Board of Supervisors of Neshoba County shall deposit the funds paid to it as authorized by Section 8(2) and (3) of this act into a special fund in the county treasury. Monies in the special fund shall be expended by the board of supervisors to pay the principal of and interest on not more than Twenty Million Dollars ($20,000,000.00) of general obligation bonds issued by the county for the purpose of defraying the costs of acquiring, constructing, repairing, equipping, remodeling, enlarging, expanding or improving the Neshoba County Hospital and Nursing Home, as authorized by this act.
SECTION 10. The avails of the tax provided for in this act shall be used solely for the payment of the principal of, redemption premium, if any, and interest on the bonds, and for the payment of expenses of issuance thereof, or reserve funds therefor. To the extent that the proceeds of the special sales tax and any other amounts that may from time to time be available for the payment of the principal of, redemption premium, if any, and interest on the bonds, including any available revenues of the project, are not sufficient for those purposes, the board of supervisors shall levy a special ad valorem tax upon all the taxable property within the county, which shall be sufficient, together with other monies available for that purpose, to provide for the payment of the principal of, redemption premium, if any, and interest on those bonds according to the terms thereof.
SECTION 11. This act shall be liberally construed for the purposes set forth in this act, the power granted by this act shall be deemed to be full and complete authority for the issuance of bonds under this act, and shall be construed as additional, cumulative and supplemental to any power granted to Neshoba County by any general or local private act of the Legislature.
SECTION 12. This act shall take effect and be in force from and after its passage.