2006 Regular Session
To: Ways and Means
By: Representative Nicholson, Arinder
AN ACT TO AMEND CHAPTER 529, LAWS OF 1985, TO AUTHORIZE THE NEWTON AND SCOTT DEVELOPMENT DISTRICT TO DISSOLVE; TO PROVIDE FOR THE DISPOSITION OF ANY SURPLUS FUNDS OF THE DISTRICT; AND FOR RELATED PURPOSES.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:
SECTION 1. Chapter 529, Laws of 1985, is amended as follows:
Section 1. As used in this act, the following terms shall have the following meanings:
(a) "Bonds" shall mean the General Obligation Industrial Bonds dated July 1, 1969, issued by the district in the aggregate principal amount of Four Hundred Fifty Thousand Dollars ($450,000.00);
(b) "District" shall mean the Newton and Scott Development District composed of Supervisors District No. 3 of Newton County, Mississippi, and Supervisors District No. 5 of Scott County, Mississippi;
(c) "Governing body" shall mean the board of commissioners of the district;
(d) "Project" shall mean one or more parcels of real property and any buildings or other improvements located thereon within Newton County or Scott County for lease to one or more industrial enterprises;
(e) "Surplus funds" shall mean the amount of money retained by the district after payment by the district of the amount required to be paid to the paying agent in connection with the redemption of the bonds together with any amounts earned from the investment of the amounts so paid.
Section 2. It is hereby determined and declared that in order to promote the well-being and prosperity of the people of Newton County and Scott County, the district should be authorized to utilize the surplus funds as provided herein; and the district, Newton County and Scott County should be authorized to take such action as provided herein.
Section 3. The district is hereby authorized to use the surplus funds for one or more of the following purposes:
(a) To acquire one or more projects;
(b) In connection with the acquisition of any project, to execute and deliver one or more promissory notes not to exceed in the aggregate Seventy-five Thousand Dollars ($75,000.00), which notes shall be payable solely from rental payments in connection with the lease of such project;
(c) As security for the payment of any notes executed and delivered in connection with the acquisition of a project, to grant one or more deeds of trust on the project;
(d) To lease projects to one or more industrial enterprises at rental rates to be determined by the governing body; such leases may include options to purchase such project at a purchase price determined by the governing body;
(e) Until the surplus funds are used to defray the cost of the acquisition of one or more projects, to invest the surplus funds as the governing body shall determine;
(f) To pay expenses of the members of the governing body in connection with any meetings held for the purpose of determining the disposition of the surplus funds and in connection with the acquisition and disposition of projects; and
(g) To pay reasonable fees and expenses for attorneys, consultants and accountants in connection with the disposition of the surplus funds and in connection with the acquisition and disposition of projects.
Section 4. Any rental payments or other payments received by the district under any lease agreement entered into pursuant to this act which are not required for the repayment of notes of the district executed and delivered in connection with the acquisition of the project shall be deposited into the general funds of Newton County and Scott County on an equal basis.
Section 5. In connection with the acquisition of a project, the district may accept donations from any source. The district may grant deeds of trust on all or any portion of a project in connection with the acquisition thereof but may not pledge the full faith and credit of the district or of either Newton County or Scott County, or any portion thereof, to secure any debt incurred in connection with any project.
Section 6. If, upon the termination of any lease agreement pertaining to a project, title to such project reverts to the district, the district shall transfer such title to the county in which such project is located; and, thereafter, such project may be used for any lawful purpose or sold in the manner provided for sales of county property.
Section 7. (1) The Newton and Scott Development District is authorized, in the discretion of the boards of supervisors of Newton and Scott Counties, to dissolve itself. The acts of the district and of the boards of supervisors in dissolving the district are hereby ratified, confirmed and validated.
(2) Upon the dissolution of the district, any surplus funds that the district may have on deposit shall be disposed of as follows: fifty percent (50%) of the surplus funds shall be transferred to the Board of Supervisors of Newton County to be used exclusively for the benefit of Supervisors District No. 3 of Newton County, and fifty percent (50%) of the surplus funds shall be transferred to the Board of Supervisors of Scott County to be used exclusively for the benefit of Supervisors District No. 5 of Scott County.
SECTION 2. This act shall take effect and be in force from and after its passage.