MISSISSIPPI LEGISLATURE
2012 Regular Session
To: Transportation; Ways and Means
By: Representative Johnson
AN ACT TO AUTHORIZE THE STATE BOND COMMISSION, AFTER RECEIVING A RESOLUTION BY THE MISSISSIPPI DEPARTMENT OF TRANSPORTATION, TO ISSUE CERTAIN BONDS FOR THE PURPOSE OF ACQUIRING RAILROADS IN THE STATE; TO AMEND SECTION 65-1-2, MISSISSIPPI CODE OF 1972, TO CONFORM TO THE PROVISIONS OF THIS ACT; TO BRING FORWARD SECTION 11-27-81, MISSISSIPPI CODE OF 1972, WHICH LISTS PERSONS ELIGIBLE TO USE QUICK-TAKE EMINENT DOMAIN, FOR PURPOSES OF POSSIBLE AMENDMENT; TO BRING FORWARD SECTION 19-27-17, MISSISSIPPI CODE OF 1972, WHICH PROVIDES THE POWERS OF LOCAL AND REGIONAL RAILROAD AUTHORITIES, FOR PURPOSES OF POSSIBLE AMENDMENT; TO BRING FORWARD SECTIONS 31-17-101, 31-17-103, 31-17-123 AND 31-17-125, MISSISSIPPI CODE OF 1972, WHICH REGARD THE STATE BOND COMMISSION, FOR PURPOSES OF POSSIBLE AMENDMENT; TO BRING FORWARD SECTION 65-1-8, MISSISSIPPI CODE OF 1972, WHICH PROVIDES THE POWERS AND DUTIES OF THE MISSISSIPPI TRANSPORTATION COMMISSION, FOR PURPOSES OF POSSIBLE AMENDMENT; TO BRING FORWARD SECTIONS 77-9-521 THROUGH 77-9-527, MISSISSIPPI CODE OF 1972, WHICH PROVIDE THE PROCEDURES FOR WHEN A RAIL CARRIER ABANDONS A RAILROAD, FOR PURPOSES OF POSSIBLE AMENDMENT; AND FOR RELATED PURPOSES.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:
SECTION 1. For purposes of Sections 1 through 16 of this act, the following words and terms shall have the following meanings, unless the context clearly indicates otherwise:
(1) "Department" means the Mississippi Department of Transportation.
(2) "Commission" means the State Bond Commission.
(3) "Director" means the Executive Director of the Mississippi Department of Transportation.
(4) "Railroad" includes, but shall not be limited to, tracks, spurs, switches, terminal, terminal facilities, road beds, rights—of—way, bridges, stations, railroad cars, locomotives, or other vehicles constructed for operation over railroad tracks, crossing signs, lights, signals, storage, administration and repair buildings, and all structures and equipment which are necessary for the operation of the railroad.
SECTION 2. The department shall have the following powers and duties in regard to Sections 1 through 16 of this act:
(1) The power of a body corporate, including the power to sue and be sued, to make contracts and to adopt and use a common seal and alter it as may be deemed expedient;
(2) To acquire by purchase or donation and to own, rent,
lease, mortgage, and dispose of such property, real or personal,
as he may deem proper to carry out the purposes and provisions of
Sections 1 through 16 of this act, all or any of them;
(3) To operate, maintain, and control the tracks and
equipment transferred to the department by any other person;
(4) To acquire, construct, maintain, equip and operate
connecting, switching, terminal or other railroads;
(5) To exercise the power of eminent domain by and in the
name of the department; and
(6) To do all things necessary and required to accomplish the purposes of Sections 1 through 16 of this act.
SECTION 3. In addition to the powers and duties of the
department as specified by Section 2 of this act, when it shall appear that the acquisition, by purchase, construction, condemnation or donation, and operation of additional connecting, switching, terminal or other railroads are desirable in the public interest to promote and foster economic growth and development, the director may, with the approval of the commission, extend the department's operations, provided, that if such extension includes extension of mainline trackage, the common carrier railroads operating in the state shall have declined to agree to provide such facilities within six (6) months after having been requested to do so by the department and the commission and provided the financing for such extensions is approved by the commission according to the provisions of Sections 1 through 16 of this act.
SECTION 4. All tracks, spurs, switches, terminals, terminal
facilities, road beds, rights-of-way, bridges, stations, railroad
cars, locomotives, or other vehicles constructed for operation
over railroad tracks, crossing signs, lights, signals, storage,
and all associated structures and equipment which are necessary
for the operation of any railroad located on any applicable
federal military installation or applicable federal facility may not be transferred without the prior approval of the department.
SECTION 5. All bonds issued by the commission under authority of Sections 1 through 16 of this act shall be limited obligations of the department, the principal of and interest on which shall be payable solely out of the revenues derived from the operation of the railroads authorized by Sections 1 through 16 of this act which the bonds are issued to finance. Bonds and interest coupons issued under authority of Sections 1 through 16 of this act shall not constitute an indebtedness of the State of Mississippi, or any political subdivision thereof, within the meaning of any state constitutional provision or statutory limitation and shall not constitute nor give rise to a pecuniary liability of the same or a charge against the general credit of the commission or the department or against the full faith, credit or taxing power of the State of Mississippi, or a political subdivision thereof, and such fact shall be plainly stated on the face of each bond. Such bonds may be executed and delivered at any time as a single issue or from time to time as several issues, may be in such form and denominations, may be of such tenor, may be in registered or bearer form either as to principal or interest or both, may be payable in such installments and at such time or times not exceeding forty (40) years from their date, may be subject to such terms of redemption, may be payable at such place or places, may bear interest at such rate or rates payable at such place or places and evidenced in such manner, and may contain such provisions not inconsistent herewith, all of which shall be provided in the proceedings of the commission authorizing the bonds. Any bonds issued under the authority of Sections 1 through 16 of this act may be sold at public or private sale at such price and in such manner and from time to time as may be determined by the commission to be most advantageous, and the commission may pay, as a part of the cost of acquiring any railroad and necessary equipment, and out of the bond proceeds, all expenses, premiums and commissions which the commission may deem necessary or advantageous in connection with the authorization, sale and issuance thereof. All bonds issued under the authority of Sections 1 through 16 of this act except registered bonds, registered otherwise than to bearer and all interest coupons appurtenant thereto shall be construed to be negotiable instruments, despite the fact that they are payable solely from a specified source. The proceedings authorizing the issuance of bonds may provide for the issuance, in the future, of further bonds on a parity with those initially issued, but such proceedings shall preclude the issuance of bonds or any obligations of any sort secured by a lien prior to the lien
of the bonds or bonds afterwards issued on a parity with the
bonds.
Pending the issuance of bonds, bond anticipation notes may be
issued, and to the end that a vehicle be provided therefor, the
provisions of applicable law, as now or hereafter amended, shall be applicable to such bond anticipatory borrowing.
SECTION 6. The principal of and interest on any bonds
issued under the authority of Sections 1 through 16 of this act shall be secured by a pledge of the revenues from which such bonds shall be payable, may be secured by a trust indenture covering all or any part of the railroad and necessary equipment from which the revenues so pledged are derived. The proceedings under which such bonds are authorized to be issued or any such trust indenture may contain any agreements and provisions customarily contained in instruments securing bonds, including, without limiting the generality of the foregoing, provisions respecting the fixing and collection of revenues for any railroad covered by such proceedings or trust indenture, the maintenance and insurance of the railroad and necessary equipment, the creation and maintenance of special funds from the revenues of the railroad, and the rights and remedies available in the event of default to the bondholders or to the trustee under trust indenture, all as the commission shall deem advisable and as shall not be in conflict with the provisions of Sections 1 through 16 of this act; provided, however, that in making any such agreements or provisions, the commission shall not have the power to obligate itself or the department except with respect to the railroad and necessary equipment and the application of the revenues therefrom, and shall not have the power to incur a pecuniary liability or a charge upon its general credit or against the full faith, credit or taxing power of the State of Mississippi or any political subdivision thereof. The proceedings authorizing any bonds hereunder and any trust indenture securing such bonds may provide that, in the event of default in payment of the principal of or the interest on such bonds or in the performance of any agreement contained in such proceedings or trust indenture, such payment and performance may be enforced by mandamus or by the appointment of a receiver in equity with power to charge and collect revenues and to apply the revenues from the railroad in accordance with such proceedings or the provisions of such trust indenture. Any such trust indenture may provide also that in the event of default in payment or the violation of any agreement contained in the trust indenture, it may be foreclosed by proceedings at law or in equity, and may provide that any trustee under the trust indenture or the holder of any of the bonds secured thereby may become the purchaser at any foreclosure sale, if he is the highest bidder. No breach of any such agreement shall impose any pecuniary liability upon the commission or department or any charge upon its general credit or against the full faith, credit or taxing power of the State of Mississippi, or any political subdivision thereof. The trustee or trustees under any trust indenture, or any depository specified by such trust indenture, may be such persons or corporations as the director shall designate, notwithstanding that they may be nonresidents of Mississippi or incorporated under the laws of the United States or the laws of other states of the United States.
SECTION 7. Contracts for the construction of any railroad, or the purchase of any necessary equipment, may be let on such terms and under such conditions as the director shall prescribe and may be let with or without advertisement or call for bids therefor. However, after the acquisition by construction of the railroad has been completed and the railroad has been placed into service the provisions of state bid laws shall apply.
SECTION 8. Prior to undertaking the acquisition of any railroad and necessary equipment, the director shall find: that the acquisition of the railroad and necessary equipment is desirable in the public interest to promote and foster economic growth and development; that the common carrier railroads operating in the state shall have declined to agree to provide such railroad and necessary equipment within six (6) months after having been requested to do so by the department and the commission; that the acquisition of the railroad and necessary equipment will give rise to no pecuniary liability of the department or a charge against its general credit or a charge against the full faith, credit or taxing power of the State of Mississippi or any political subdivision thereof; the amount of bonds required to finance the acquisition of the railroad and necessary equipment; the amount necessary in each year to pay the principal and interest on the bonds proposed to be issued to finance the acquisition of the railroad and necessary equipment; the amount necessary to be paid each year into any reserve funds which the director may deem it advisable to establish in connection with the retirement of the proposed bonds and the operation and maintenance of the railroad and necessary equipment; the estimated cost of maintaining the railroad and necessary equipment in good repair and keeping them properly insured. The determinations and findings of the director required to be made above shall be set forth in the proceedings under which the proposed bonds are to be issued, and the director shall certify in writing such determinations and findings to the commission before the issuance of such bonds.
SECTION 9. The commission shall have the power to provide that the bond proceeds shall be disbursed by the trustee bank or banks during construction upon the estimate, order or certificate of the designated construction engineer and the authorized representative of the department. In making such agreements or provisions the commission shall not have the power to obligate the department except with respect to the railroad and necessary equipment and the application of the revenues therefrom, and shall not have the power to incur a pecuniary liability or a charge upon the general credit of the department or against the full faith, credit or taxing power of the State of Mississippi or a political subdivision thereof.
SECTION 10. The books and financial records of any
additional acquisition authorized under Sections 1 through 16 of this act by the director shall be kept separate and apart from the presently existing books and records of the department.
SECTION 11. The proceeds from the sale of any bonds issued
under authority of Sections 1 through 16 of this act shall be applied only for the purpose for which the bonds were issued; provided, however, that any premium and accrued interest received in any such sale shall be applied to the payment of the principal of or the interest on the bonds sold; and provided, further, that if for any reason any portion of the proceeds shall not be needed for the purpose for which the bonds were issued, such unneeded portion of the proceeds shall be applied to the payment of the principal of or the interest on the bonds. The cost of acquiring any railroad or necessary equipment shall be deemed to include the following: the actual cost of the construction of any part of the railroad which may be constructed, including architects' and engineers' fees; the purchase price of any part of railroad or necessary equipment that may be acquired by purchase; all expenses in connection with the authorization, sale and issuance of the bonds to finance such acquisition; and the interest on the bonds for a reasonable time prior to construction, during construction and for not exceeding one (1) year after completion of the construction.
SECTION 12. Any bonds issued hereunder and at any time outstanding may at any time and from time to time be refunded by the commission, but only with the approval of the director being first obtained, by the issuance of its refunding bonds in such amount as the commission may deem necessary but not exceeding an amount sufficient to refund the principal of the bonds to be refunded, together with any unpaid interest thereon and any premiums, expenses and commissions necessary to be paid in connection therewith. Any such refunding may be effected whether the bonds to be refunded have matured or shall thereafter mature, either by sale of the refunding bonds and the application of the proceeds for the payment of the bonds to be refunded, or by exchange of the refunding bonds for the bonds to be refunded thereby; provided, that the holders of any bonds to be refunded shall not be compelled without their consent to surrender their bonds for payment or exchange prior to the date on which they are payable, or, if they are called for redemption prior to the date on which they are by their terms subject to redemption. All refunding bonds issued under the authority of Sections 1 through 16 of this act shall be payable in the same manner and under the same terms and conditions as are herein granted for the issuance of bonds.
SECTION 13. It shall be lawful for all executors, administrators, guardians, committees and other fiduciaries to invest any monies in their hands in bonds issued under the provisions of Sections 1 through 16 of this act.
SECTION 14. The bonds authorized by Sections 1 through 16 of this act and the income therefrom, all trust indentures executed as security therefor, and all railroads and necessary equipment so long as owned by the department and the revenue derived therefrom shall be exempt from all taxation in the State of Mississippi; and all trust indentures made according to the provisions of Sections 1 through 16 of this act shall be exempt from all taxation in the State of Mississippi.
SECTION 15. (1) No bonds shall be issued by the commission according to the provisions of Sections 1 through 16 of this act until the resolution of the director for the issuance of the bonds has been received by the commission. Whenever the director shall make resolution to issue bonds according to the provisions of Sections 1 through 16 of this act, he shall file a resolution with the commission setting forth:
(a) A brief description of the railroad and necessary equipment proposed to be acquired and its anticipated effect upon the economy of the area in which the railroad is to be located and of the areas adjacent thereto;
(b) A reasonable estimate of the cost of the acquisition of the railroad and necessary equipment; and
(c) A general summary of the terms and conditions of the trust indenture.
(2) Upon the filing of the resolution, the commission shall, as soon as practicable, make such independent investigation as it deems advisable, and if it finds that the acquisition of the railroad and necessary equipment is intended to promote the purposes of Sections 1 through 16 of this act and is reasonably anticipated to effect such result, it shall be authorized to approve the acquisition of the railroad and necessary equipment and at any time following such approval and the issuance of bonds by the commission, the director may proceed with the acquisition and financing of the railroad and necessary equipment. Notice of the approval of the acquisition of the railroad and necessary equipment by the commission shall be published at least once a week for three (3) consecutive weeks by the commission in a newspaper having general circulation in the county or counties where the railroad is to be located.
Any interested party may, within twenty (20) days after the date of the publication of such notice, but not afterwards, challenge the validity of such approval by action de novo in the chancery court in any county where the railroad is to be located.
SECTION 16. In accordance with the requirements of Title
49, United States Code, Section 10102(17), and other provisions of
federal laws governing the operation of common carrier railroads,
unless such requirements or any part of them are waived by the
Interstate Commerce Commission in accordance with Section 10505 of the Interstate Commerce Act (49 U.S. Code Section 10505), the department shall hold title to, disburse and account for assets and revenues received by it from whatever source. All such funds shall be on deposit with and maintained in separate accounts by the State Treasurer.
SECTION 17. Section 65-1-2, Mississippi Code of 1972, is amended as follows:
65-1-2. (1) There is hereby created the Mississippi Department of Transportation, which shall include the following offices:
(a) Office of Administrative Services.
(b) Office of Highways.
(c) Office of State Aid Road Construction.
(d) Office of Intermodal Planning.
(e) Office of Enforcement.
(2) Each office shall be composed of such bureaus as deemed necessary by the executive director of the department.
(3) The department is designated as the single state agency to receive and expend any funds made available by the United States Department of Transportation or any agency of the federal government for transportation purposes and to cooperate with federal, state, interstate and local agencies, organizations and persons performing activities relating to transportation. This subsection shall not apply to motor carrier safety assistance program funds made available by the federal government to the Public Service Commission.
(4) The powers, duties and responsibilities of the State Highway Department with respect to the construction and maintenance of the state highway system are transferred to the Mississippi Department of Transportation.
(5) The powers, duties and responsibilities of the Mississippi Development Authority with respect to aeronautics are transferred to the Mississippi Department of Transportation.
(6) The powers, duties and responsibilities of the State Tax Commission with respect to the weighing of motor vehicles along the highways of this state at inspection stations and by means of portable scales are transferred to the Mississippi Department of Transportation.
(7) The powers, duties and responsibilities of the Mississippi Development Authority with respect to transportation matters, except with respect to ports, are transferred to the Mississippi Department of Transportation.
(8) The powers, duties and responsibilities of the State Aid Engineer and the Office of State Aid Road Construction are transferred to the Mississippi Department of Transportation.
(9) All powers, duties and responsibilities of the Public Service Commission with regard to railroads, except rate-making authority, are transferred to the Mississippi Department of Transportation. The Mississippi Transportation Commission may perform any act and issue any rule, regulation or order which the commission is permitted to do by the Federal Railroad Safety Act of 1970 (45 USCS et seq.). A copy of any new rule, regulation or order passed by the Mississippi Transportation Commission shall be furnished to members of the Transportation Committees of the Mississippi House of Representatives and the Mississippi Senate. Individuals, corporations or companies affected by the order, rule or regulation shall be notified in accordance with the Mississippi Administrative Procedures Law.
(10) All records, personnel, property and unexpended balances of appropriations, allocation or other funds of all those agencies, boards, commissions, departments, offices, bureaus and divisions that are transferred by Laws, 1992, Chapter 496 shall be transferred to the Mississippi Department of Transportation. The transfer of segregated or special funds shall be made in such a manner that the relation between program and revenue source as provided by law shall be retained.
(11) From and after January 1, 1993, and until January 1, 1994, the Mississippi Department of Transportation and the Mississippi Transportation Commission shall be exempt from State Personnel Board procedures for the purpose of the employment, promotion, realignment, demotion, reprimand, suspension, termination, reallocation, reassignment, transfer, moving or relocation of personnel of all those agencies, boards, commissions, departments, offices, bureaus and divisions whose duties and responsibilities are transferred by Laws, 1992, Chapter 496 to the Mississippi Department of Transportation.
(12) The Mississippi Department of Transportation shall have the powers and duties prescribed in Section 2 of this act in regard to Sections 1 through 16 of this act.
SECTION 18. Section 11-27-81, Mississippi Code of 1972, is brought forward as follows:
11-27-81. The right of immediate possession pursuant to Sections 11-27-81 through 11-27-89, Mississippi Code of 1972, may be exercised only:
(a) By the State Highway Commission for the acquisition of highway rights-of-way only;
(b) By any county or municipality for the purpose of acquiring rights-of-way to connect existing roads and streets to highways constructed or to be constructed by the State Highway Commission;
(c) By any county or municipality for the purpose of acquiring rights-of-way for widening existing roads and streets of such county or municipality; provided, however, that said rights-of-way shall not displace a property owner from his dwelling or place of business;
(d) By the boards of supervisors of any county of this state for the acquisition of highway or road rights-of-way in connection with a state-aid project designated and approved in accordance with Sections 65-9-1 through 65-9-31, Mississippi Code of 1972;
(e) By the Mississippi Wayport Authority for the purposes of acquiring land and easements for the Southeastern United States Wayport Project as authorized by Sections 61-4-1 through 61-4-13, Mississippi Code of 1972;
(f) By any county, municipality or county utility authority created under the Mississippi Gulf Region Utility Act, Section 49-17-701 et seq., for the purpose of acquiring rights-of-way for water, sewer, drainage and other public utility purposes; provided, however, that such acquisition shall not displace a property owner from his dwelling or place of business. A county utility authority should prioritize utilizing easements within ten (10) feet of an existing right-of-way when economically feasible. A county utility authority may not exercise the right to immediate possession under this paragraph after July 1, 2013. Provisions of this paragraph (f) shall not apply to House District 109;
(g) By any county authorized to exercise the power of eminent domain under Section 19-7-41 for the purpose of acquiring land for construction of a federal correctional facility or other federal penal institution;
(h) By the Mississippi Major Economic Impact Authority for the purpose of acquiring land, property and rights-of-way for a project as defined in Section 57-75-5(f)(iv)1 or any facility related to the project as provided in Section 57-75-11(e)(ii);
(i) By the boards of supervisors of any county of this state for the purpose of constructing dams or low-water control structures on lakes or bodies of water under the provisions of Section 19-5-92;
(j) By the board of supervisors of any county of this state for the purpose of acquiring land, property and/or rights-of-way for any project the board of supervisors, by a duly adopted resolution, determines to be related to a project as defined in Section 57-75-5(f)(iv). The board of supervisors of a county may not exercise the right to immediate possession under this paragraph (j) after July 1, 2003;
(k) By a regional economic development alliance created under Section 57-64-1 et seq., for the purpose of acquiring land, property and/or rights-of-way within the project area and necessary for any project such an alliance, by a duly adopted resolution, determines to be related to a project as defined in Section 57-75-5(f)(xxi). An alliance may not exercise the right to immediate possession under this paragraph (k) after July 1, 2012; or
(l) By the board of supervisors of any county of this state for the purpose of acquiring or clearing title to real property, property and/or rights-of-way within the project site and necessary for any project such board of supervisors, by a duly adopted resolution, determines to be related to a project as defined in Section 57-75-5(f)(xxii). A county may not exercise the right to immediate possession under this paragraph (l) after July 1, 2012.
SECTION 19. Section 19-29-17, Mississippi Code of 1972, is brought forward as follows:
19-29-17. An authority shall have all the powers necessary or convenient to carry out the purposes of this chapter (excluding the power to levy and collect taxes or special assessments, unless otherwise specified in the chapter) including, but not limited to, the power:
(a) To sue and be sued, to have a seal, and to have perpetual succession;
(b) To make and from time to time amend and repeal bylaws, rules and regulations not inconsistent with this chapter, to carry into effect the powers and purposes of this authority;
(c) To maintain a principal office, and if necessary, regional offices at locations within its boundaries;
(d) To employ an executive director, secretary, technical experts, superintendents and other such officers, agents, employees, permanent or temporary, as may be required by or beneficial to the authority, and to determine their qualifications, duties and compensation; and to retain or contract with consulting engineers, financial consultants, accountants, attorneys and such other consultants and independent contractors as are necessary in its judgement to carry out the provisions of this chapter and to also fix the compensation thereof;
(e) To engage in research and development with respect to railroads;
(f) To plan, establish, acquire, construct, enlarge, reconstruct, improve, operate, maintain, replace, repair, extend, improve, regulate and protect railroad properties and facilities within its boundaries. For such purposes, an authority may acquire such properties or any interest therein by purchase, gift, lease, devise, eminent domain proceedings or otherwise, provided it shall not have the power to condemn property owned or used by a railroad unless the federal government has authorized the abandonment of the railroad line;
(g) To make the use and services of the railroad properties and facilities available to others in the furtherance of the purposes of this chapter and upon such terms and conditions as the governing body of the authority shall deem proper. In so doing, the authority shall have the power to lease same to others upon such terms and conditions as the authority may determine unless specifically provided for herein;
(h) To receive and accept contributions, grants or other financial assistance from the federal government, the state or any political subdivision thereof, including the county and others, to be used in the furtherance of the purposes of this chapter;
(i) To purchase, rent, lease or otherwise acquire any and all kinds of property, both real and personal, whether or not subject to deeds of trust, mortgages, liens, charges or other encumbrances, for the authority, which, in the judgment of its governing bodies, is necessary or convenient to carry out the purposes of this chapter;
(j) To acquire property which is suitable for use by industries requiring access to any railroad track owned, operated or subsidized by the authority;
(k) To establish schedules of tolls, fees, rates, charges and rentals for the use of the railroad properties and facilities and to charge, alter and collect such tolls, fees, rates, charges and rentals in carrying out the provisions of the chapter; and
(l) To make contracts and execute instruments containing such covenants, terms and conditions as in the judgment of the governing body may be necessary, proper or advisable for the purpose of obtaining grants, loans or other financial assistance from any federal or state agency for or in the aid of the acquisition or improvement of the railroad properties and facilities herein provided; to make all other contracts and execute all other instruments including, without limitation, licenses, long- and short-term leases, mortgages and deeds of trust and other agreements relating to the railroad property and facilities within its boundaries, and the construction, operation, maintenance, repair and improvement thereof as in the judgment of the governing body may be necessary, proper or advisable for the furtherance of the purposes of this chapter and the full exercise of the powers herein granted; and to carry out and perform the covenants, terms and conditions of all such contracts or instruments.
In addition to the general and special powers conferred in this section or elsewhere in this chapter, the authority is authorized to exercise such powers as are necessarily incidental to the exercise of such general and special powers.
SECTION 20. Section 31-17-101, Mississippi Code of 1972, is brought forward as follows:
31-17-101. There is hereby created a commission to be known as as the "State Bond Commission" (hereinafter referred to as the "commission"), which shall consist of the Governor, Attorney General and Treasurer of the State of Mississippi. The Governor shall act as chairman of the commission, the Attorney General shall act as secretary of the commission, and the State Treasurer shall be treasurer of the commission. The successive incumbents in the Offices of Governor, Attorney General and State Treasurer shall succeed their predecessors as members of the commission upon assumption of their duties and the completion of their oaths of office. The powers of the commission shall be vested in and exercised by a majority of the members of the commission. The commission may delegate to one or more of its members, or to its officers, agents and employees, such powers and duties as it may deem proper, and may adopt rules for the conduct of its business.
SECTION 21. Section 31-17-103, Mississippi Code of 1972, is brought forward as follows:
31-17-103. (1) For the purposes of offsetting any temporary cash flow deficiencies in the General Fund and to maintain a working balance in the General Fund, the commission is authorized at any time and from time to time to borrow money in an aggregate principal amount not to exceed seven and one-half percent (7-1/2%) of the total appropriation made by the State Legislature from the General Fund for the fiscal year in which such deficiency or deficiencies occur, issuing therefor notes as authorized hereunder. Notes may be issued from time to time as the proceeds thereof are needed. The notes shall be authorized by the commission and shall have such terms and details as may be provided by resolution of the commission; provided, however, each resolution of the commission authorizing notes shall:
(a) Describe the need for the proceeds of the notes to be issued; and
(b) Specify the principal amount of the notes or maximum principal amount of the notes which may be outstanding at any one (1) time, the rate or rates of interest or maximum rate of interest or interest rate formula (to be determined in the manner specified in the resolution authorizing the notes) to be incurred through the issuance of such notes, and the maturity date or maximum maturity date of the notes, which maturity date or maximum maturity date shall not extend beyond the last day of the third month following the end of the fiscal year in which the notes were issued.
(2) The commission may also provide in any authorizing resolution for the form of the notes (either fully registered form, bearer form or registered as to principal only form), denominations, place or places of payment (either within or without the State of Mississippi), registration provisions, exchange privileges and manner of execution (including the use of facsimile signatures and a facsimile of the seal of the State of Mississippi). Subject to the limitations contained in this section and the standards and limitations prescribed in the authorizing resolution, the commission, in its discretion, may provide for the notes to be issued and sold, in whole or in part, from time to time, and may delegate to the State Treasurer the power to determine the time or times of sale, the amounts, the maturities, the rate or rates of interest, and such other terms and details of the notes, as may be deemed appropriate by the commission, or the State Treasurer in the event of such delegation. The commission may also provide in the resolution authorizing the issuance of notes, in its discretion, but subject to the limitations contained in this section, (a) for the employment of one or more persons or firms to assist the commission in the sale of the notes, (b) for the appointment of one or more banks or trust companies, either within or without the State of Mississippi, as depository for safekeeping, and as agent for the delivery and payment, of the notes, (c) for the refunding of the notes, from time to time, without further action by the commission, unless and until the commission revokes such authority to refund, provided that in no event shall any refunding note be issued with a maturity date later than the last day of the third month following the end of the fiscal year in which the notes to be refunded were issued, (d) for the rating of the notes by one or more nationally recognized rating agencies, and (e) for such other terms and conditions as the commission may deem appropriate. In connection with the issuance and sale of notes as provided in this section, the commission may arrange for lines of credit with any bank, firm or person for the purpose of providing an additional source of repayment for notes issued pursuant to this section. Amounts drawn on such lines of credit may be evidenced by negotiable or nonnegotiable notes or other evidences of indebtedness, containing such terms and conditions as the commission may authorize in the resolution approving the same. The commission is authorized to pay all cost of issuance of the notes, including, without limitation, rating agency fees, printing costs, legal fees, bank or trust company fees, cost to employ persons or firms to assist in the sale of the notes, line of credit fees and charges and all other amounts related to the costs of issuing the notes from amounts available therefor in the General Fund or from the proceeds of the notes, in the discretion of the commission.
SECTION 22. Section 31-17-123, Mississippi Code of 1972, is brought forward as follows:
31-17-123. (1) The intent of the Legislature is to authorize borrowing funds under the provisions of Sections 31-17-101 through 31-17-123 to offset any temporary cash flow deficiencies and should not be construed to authorize the borrowing of any funds in an amount that cannot be repaid during the fiscal year in which the funds are borrowed.
(2) (a) Notwithstanding any provision of this chapter to the contrary, in the event that the State Fiscal Officer and the State Treasurer make a determination that (i) state-source special funds are not sufficient to cover deficiencies in the General Fund, (ii) the State of Mississippi is unable to repay special fund borrowing within the fiscal year in which it was borrowed, or (iii) state-source funds are insufficient for disaster support and/or assistance purposes due to Hurricanes Katrina and/or Rita; and that the State Bond Commission makes a determination that such deficiency, inability to repay, or insufficiency is the result of a state of emergency within the State of Mississippi, the State Bond Commission is authorized to obtain a line of credit, in an amount not to exceed Five Hundred Million Dollars ($500,000,000.00), from a commercial lender, investment banking group or a consortium of either, or both. The length of indebtedness under this subsection shall not extend past five (5) years following the origination of the line of credit. The line of credit shall be authorized and approved by the State Bond Commission and shall have such terms and details as may be provided by resolution of the State Bond Commission. Loan proceeds shall be received and disbursed by the State Treasurer and deposited into the Disaster Recovery Fund, a special fund hereby created in the State Treasury, and shall be used to cover deficiencies in the General Fund, to repay special fund borrowing and/or to cover any insufficiency in disaster support and/or assistance. Monies remaining in the Disaster Recovery Fund at the end of a fiscal year shall not lapse into the State General Fund, but shall remain in the Disaster Recovery Fund and any interest earned or investment earnings on amounts in the Disaster Recovery Fund shall remain in the fund.
(b) As security for the repayment of the principal and interest on the line of credit provided for in paragraph (a) of this subsection, the full faith, credit and resources of the State of Mississippi are hereby irrevocably pledged.
(c) Upon approval of the State Fiscal Officer, the Director of the Mississippi Emergency Management Agency is authorized to use amounts from the line of credit to match federal funds, and for personnel, call-back wages, base and overtime wages, travel, per diem and other out-of-pocket expenses incurred as a result of Hurricanes Katrina and/or Rita.
(d) This subsection (2) shall be complete authority for the borrowing authorized hereunder and shall not be subject to the limitations provided in the other provisions of this chapter or otherwise under state law.
(e) The State Treasurer shall notify the Legislative Budget Office and the State Department of Finance and Administration of each transfer into and out of the Disaster Recovery Fund on a quarterly basis.
SECTION 23. Section 31-17-125, Mississippi Code of 1972, is brought forward as follows:
31-17-125. This chapter, without reference to any other statute, shall be deemed to be full and complete authority for the borrowing of money and funds in the manner and for the purposes authorized hereunder, and none of the restrictions, requirements, conditions or limitations of law applicable to the issuance or sale of notes or other evidences of indebtedness or the making of any arrangements authorized hereunder shall apply and all powers necessary to be exercised in order to carry out the provision of this chapter are hereby conferred.
SECTION 24. Section 65-1-8, Mississippi Code of 1972, is brought forward as follows:
65-1-8. (1) The Mississippi Transportation Commission shall have the following general powers, duties and responsibilities:
(a) To coordinate and develop a comprehensive, balanced transportation policy for the State of Mississippi;
(b) To promote the coordinated and efficient use of all available and future modes of transportation;
(c) To make recommendations to the Legislature regarding alterations or modifications in any existing transportation policies;
(d) To study means of encouraging travel and transportation of goods by the combination of motor vehicle and other modes of transportation;
(e) To take such actions as are necessary and proper to discharge its duties pursuant to the provisions of Laws, 1992, Chapter 496, and any other provision of law;
(f) To receive and provide for the expenditure of any funds made available to it by the Legislature, the federal government or any other source.
(2) In addition to the general powers, duties and responsibilities listed in subsection (1) of this section, the Mississippi Transportation Commission shall have the following specific powers:
(a) To make rules and regulations whereby the Transportation Department shall change or relocate any and all highways herein or hereafter fixed as constituting a part of the state highway system, as may be deemed necessary or economical in the construction or maintenance thereof; to acquire by gift, purchase, condemnation or otherwise, land or other property whatsoever that may be necessary for a state highway system as herein provided, with full consideration to be given to the stimulation of local public and private investment when acquiring such property in the vicinity of Mississippi towns, cities and population centers;
(b) To enforce by mandamus, or other proper legal remedies, all legal rights or rights of action of the Mississippi Transportation Commission with other public bodies, corporations or persons;
(c) To make and publish rules, regulations and ordinances for the control of and the policing of the traffic on the state highways, and to prevent their abuse by any or all persons, natural or artificial, by trucks, tractors, trailers or any other heavy or destructive vehicles or machines, or by any other means whatsoever, by establishing weights of loads or of vehicles, types of tires, width of tire surfaces, length and width of vehicles, with reasonable variations to meet approximate weather conditions, and all other proper police and protective regulations, and to provide ample means for the enforcement of same. The violation of any of the rules, regulations or ordinances so prescribed by the commission shall constitute a misdemeanor. No rule, regulation or ordinance shall be made that conflicts with any statute now in force or which may hereafter be enacted, or with any ordinance of municipalities. A monthly publication giving general information to the boards of supervisors, employees and the public may be issued under such rules and regulations as the commission may determine;
(d) To give suitable numbers to highways and to change the number of any highway that shall become a part of the state highway system. However, nothing herein shall authorize the number of any highway to be changed so as to conflict with any designation thereof as a U.S. numbered highway. Where, by a specific act of the Legislature, the commission has been directed to give a certain number to a highway, the commission shall not have the authority to change such number;
(e) (i) To make proper and reasonable rules, regulations, and ordinances for the placing, erection, removal or relocation of telephone, telegraph or other poles, signboards, fences, gas, water, sewerage, oil or other pipelines, and other obstructions that may, in the opinion of the commission, contribute to the hazards upon any of the state highways, or in any way interfere with the ordinary travel upon such highways, or the construction, reconstruction or maintenance thereof, and to make reasonable rules and regulations for the proper control thereof. Any violation of such rules or regulations or noncompliance with such ordinances shall constitute a misdemeanor;
(ii) Except as otherwise provided for in this paragraph, whenever the order of the commission shall require the removal of, or other changes in the location of telephone, telegraph or other poles, signboards, gas, water, sewerage, oil or other pipelines; or other similar obstructions on the right-of-way or such other places where removal is required by law, the owners thereof shall at their own expense move or change the same to conform to the order of the commission. Any violation of such rules or regulations or noncompliance with such orders shall constitute a misdemeanor;
(iii) Rural water districts, rural water systems, nonprofit water associations and municipal public water systems in municipalities with a population of ten thousand (10,000) or less, according to the latest federal decennial census, shall not be required to bear the cost and expense of removal and relocation of water and sewer lines and facilities constructed or in place in the rights-of-way of state highways. The cost and expense of such removal and relocation, including any unpaid prior to July 1, 2002, shall be paid by the Department of Transportation;
(iv) Municipal public sewer systems and municipal gas systems owned by municipalities with a population of ten thousand (10,000) or less, according to the latest federal decennial census, shall not be required to bear the cost and expense of removal and relocation of lines and facilities constructed or in place in the rights-of-way of state highways. The cost and expense of such removal and relocation, including any unpaid prior to July 1, 2003, shall be paid by the Department of Transportation;
(f) To regulate and abandon grade crossings on any road fixed as a part of the state highway system, and whenever the commission, in order to avoid a grade crossing with the railroad, locates or constructs said road on one side of the railroad, the commission shall have the power to abandon and close such grade crossing, and whenever an underpass or overhead bridge is substituted for a grade crossing, the commission shall have power to abandon such grade crossing and any other crossing adjacent thereto. Included in the powers herein granted shall be the power to require the railroad at grade crossings, where any road of the state highway system crosses the same, to place signal posts with lights or other warning devices at such crossings at the expense of the railroad, and to regulate and abandon underpass or overhead bridges and, where abandoned because of the construction of a new underpass or overhead bridge, to close such old underpass or overhead bridge, or, in its discretion, to return the same to the jurisdiction of the county board of supervisors;
(g) To make proper and reasonable rules and regulations to control the cutting or opening of the road surfaces for subsurface installations;
(h) To make proper and reasonable rules and regulations for the removal from the public rights-of-way of any form of obstruction, to cooperate in improving their appearance, and to prescribe minimum clearance heights for seed conveyors, pipes, passageways or other structure of private or other ownership above the highways;
(i) To establish, and have the Transportation Department maintain and operate, and to cooperate with the state educational institutions in establishing, enlarging, maintaining and operating a laboratory or laboratories for testing materials and for other proper highway purposes;
(j) To provide, under the direction and with the approval of the Department of Finance and Administration, suitable offices, shops and barns in the City of Jackson;
(k) To establish and have enforced set-back regulations;
(l) To cooperate with proper state authorities in producing limerock for highway purposes and to purchase same at cost;
(m) To provide for the purchase of necessary equipment and vehicles and to provide for the repair and housing of same, to acquire by gift, purchase, condemnation or otherwise, land or lands and buildings in fee simple, and to authorize the Transportation Department to construct, lease or otherwise provide necessary and proper permanent district offices for the construction and maintenance divisions of the department, and for the repair and housing of the equipment and vehicles of the department; however, in each Supreme Court district only two (2) permanent district offices shall be set up, but a permanent status shall not be given to any such offices until so provided by act of the Legislature and in the meantime, all shops of the department shall be retained at their present location. As many local or subdistrict offices, shops or barns may be provided as is essential and proper to economical maintenance of the state highway system;
(n) To cooperate with the Department of Archives and History in having placed and maintained suitable historical markers, including those which have been approved and purchased by the State Historical Commission, along state highways, and to have constructed and maintained roadside driveways for convenience and safety in viewing them when necessary;
(o) To cooperate, in its discretion, with the Mississippi Department of Wildlife, Fisheries and Parks in planning and constructing roadside parks upon the right-of-way of state highways, whether constructed, under construction, or planned; said parks to utilize where practical barrow pits used in construction of state highways for use as fishing ponds. Said parks shall be named for abundant flora and fauna existing in the area or for the first flora or fauna found on the site;
(p) Unless otherwise prohibited by law, to make such contracts and execute such instruments containing such reasonable and necessary appropriate terms, provisions and conditions as in its absolute discretion it may deem necessary, proper or advisable, for the purpose of obtaining or securing financial assistance, grants or loans from the United States of America or any department or agency thereof, including contracts with several counties of the state pertaining to the expenditure of such funds;
(q) To cooperate with the Federal Highway Administration in the matter of location, construction and maintenance of the Great River Road, to expend such funds paid to the commission by the Federal Highway Administration or other federal agency, and to authorize the Transportation Department to erect suitable signs marking this highway, the cost of such signs to be paid from state highway funds other than earmarked construction funds;
(r) To cooperate, in its discretion, with the Mississippi Forestry Commission and the School of Forestry, Mississippi State University, in a forestry management program, including planting, thinning, cutting and selling, upon the right-of-way of any highway, constructed, acquired or maintained by the Transportation Department, and to sell and dispose of any and all growing timber standing, lying or being on any right-of-way acquired by the commission for highway purposes in the future; such sale or sales to be made in accordance with the sale of personal property which has become unnecessary for public use as provided for in Section 65-1-123, Mississippi Code of 1972;
(s) To expend funds in cooperation with the Division of Plant Industry, Mississippi Department of Agriculture and Commerce, the United States government or any department or agency thereof, or with any department or agency of this state, to control, suppress or eradicate serious insect pests, rodents, plant parasites and plant diseases on the state highway rights-of-way;
(t) To provide for the placement, erection and maintenance of motorist services business signs and supports within state highway rights-of-way in accordance with current state and federal laws and regulations governing the placement of traffic control devices on state highways, and to establish and collect reasonable fees from the businesses having information on such signs;
(u) To request and to accept the use of persons convicted of an offense, whether a felony or a misdemeanor, for work on any road construction, repair or other project of the Transportation Department. The commission is also authorized to request and to accept the use of persons who have not been convicted of an offense but who are required to fulfill certain court-imposed conditions pursuant to Section 41-29-150(d)(1) or 99-15-26, Mississippi Code of 1972, or the Pretrial Intervention Act, being Sections 99-15-101 through 99-15-127, Mississippi Code of 1972. The commission is authorized to enter into any agreements with the Department of Corrections, the State Parole Board, any criminal court of this state, and any other proper official regarding the working, guarding, safekeeping, clothing and subsistence of such persons performing work for the Transportation Department. Such persons shall not be deemed agents, employees or involuntary servants of the Transportation Department while performing such work or while going to and from work or other specified areas;
(v) To provide for the administration of the railroad revitalization program pursuant to Section 57-43-1 et seq.;
(w) The Mississippi Transportation Commission is further authorized, in its discretion, to expend funds for the purchase of service pins for employees of the Mississippi Transportation Department;
(x) To cooperate with the State Tax Commission by providing for weight enforcement field personnel to collect and assess taxes, fees and penalties and to perform all duties as required pursuant to Section 27-55-501 et seq., Sections 27-19-1 et seq., 27-55-1 et seq., 27-59-1 et seq. and 27-61-1 et seq., Mississippi Code of 1972, with regard to vehicles subject to the jurisdiction of the Office of Weight Enforcement. All collections and assessments shall be transferred daily to the State Tax Commission;
(y) The Mississippi Transportation Commission may delegate the authority to enter into a supplemental agreement to a contract previously approved by the commission if the supplemental agreement involves an additional expenditure not to exceed One Hundred Thousand Dollars ($100,000.00);
(z) (i) The Mississippi Transportation Commission, in its discretion, may enter into agreements with any county, municipality, county transportation commission, business, corporation, partnership, association, individual or other legal entity, for the purpose of accelerating the completion date of scheduled highway construction projects.
(ii) Such an agreement may permit the cost of a highway construction project to be advanced to the commission by a county, municipality, county transportation commission, business, corporation, partnership, association, individual or other legal entity, and repaid to such entity by the commission when highway construction funds become available; provided, however, that repayment of funds advanced to the Mississippi Transportation Commission shall be made no sooner than the commission's identified projected revenue schedule for funding of that particular construction project, and no other scheduled highway construction project established by statute or by the commission may be delayed by an advanced funding project authorized under this paragraph (z). Repayments to a private entity that advances funds to the Mississippi Transportation Commission under this paragraph (z) may not include interest or other fees or charges, and the total amount repaid shall not exceed the total amount of funds advanced to the commission by the entity.
(iii) In considering whether to enter into such an agreement, the commission shall consider the availability of financial resources, the effect of such agreement on other ongoing highway construction, the urgency of the public's need for swift completion of the project and any other relevant factors.
(iv) Such an agreement shall be executed only upon a finding by the commission, spread upon its minutes, that the acceleration of the scheduled project is both feasible and beneficial. The commission shall also spread upon its minutes its findings with regard to the factors required to be considered pursuant to item (iii) of this paragraph (z);
(aa) The Mississippi Transportation Commission, in its discretion, may purchase employment practices liability insurance, and may purchase an excess policy to cover catastrophic losses incurred under the commission's self-insured workers' compensation program authorized under Section 71-3-5. Such policies shall be written by the agent or agents of a company or companies authorized to do business in the State of Mississippi. The deductibles shall be in an amount deemed reasonable and prudent by the commission, and the premiums thereon shall be paid from the State Highway Fund. Purchase of insurance under this paragraph shall not serve as an actual or implied waiver of sovereign immunity or of any protection afforded the commission under the Mississippi Tort Claims Act;
(bb) The Mississippi Transportation Commission is further authorized, in its discretion, to expend funds for the purchase of promotional materials for safety purposes, highway beautification purposes and recruitment purposes;
(cc) To lease antenna space on communication towers which it owns.
SECTION 25. Section 77-9-521, Mississippi Code of 1972, is brought forward as follows:
77-9-521. (1) A rail carrier making application to the Surface Transportation Board for certificate of abandonment or discontinuance shall provide to the Governor, in addition to the notice of intent to abandon or discontinue provided for in the Interstate Commerce Act (Subtitle IV to Title 49, United States Code Service, Section 10,101 et seq.), a copy of the application for a certificate of abandonment or discontinuance, an accurate and understandable summary of the rail carrier's application and the reasons for the proposed abandonment or discontinuance, a statement containing the estimate of the subsidy and minimum purchase price required to keep the line in operation.
(2) Upon receipt by the Governor of the notice, application and other information described in subsection (1) of this section, the Governor shall forthwith transmit a copy thereof to the Clerk of the House of Representatives and to the Secretary of the Senate, who shall then immediately notify the respective Chairmen of the Transportation Committee of the House of Representatives and the Highways and Transportation Committee of the Senate of the receipt of such notice. The respective chairmen of such committees shall then notify those members of the Legislature, representing legislative districts within which the proposed railroad line abandonment or discontinuance is planned, of such abandonment or discontinuance.
SECTION 26. Section 77-9-523, Mississippi Code of 1972, is brought forward as follows:
77-9-523. Each member of the Legislature representing a legislative district within which the proposed railroad abandonment or discontinuance is planned shall recommend to his respective House Transportation Committee or Senate Highways and Transportation Committee chairman, after reviewing such information as is available, whether or not a public hearing should be held to investigate and consider the proposed railroad abandonment or discontinuance. The Chairman of the Transportation Committee of the House of Representatives and the Chairman of the Highways and Transportation Committee of the Senate shall then confer with each other and, if the Legislature is not in session at the time, then also with the House Management Committee and the Lieutenant Governor, and then shall call a joint meeting for the sole purpose of investigating and considering the proposed or intended abandonment or discontinuance. Each chairman may, in his discretion, and based upon the recommendations of the legislators representing the districts within which the proposed railroad abandonment or discontinuance is planned, appoint three (3) members from his committee and call a joint meeting for the sole purpose of investigating and considering the proposed or intended abandonment or discontinuance.
SECTION 27. Section 77-9-525, Mississippi Code of 1972, is brought forward as follows:
77-9-525. A public hearing, in the discretion of the Senate Highway and Transportation Committee and the House Transportation Committee chairmen, may be held by the chairmen and three (3) appointed members of the committees meeting concurrently to receive testimony within twenty (20) days after the receipt of notice to the chairmen of the statement of intent to abandon or discontinue service. The committees may adopt, by a majority vote of those members present and voting, a concurrent resolution memorializing the Surface Transportation Board either to permit or to refuse to permit the person, company or other legal entity owning or operating the railroad to abandon the rail line or discontinue rail service thereon, stating the reasons supporting the position. If a concurrent resolution is adopted by both of the committees, the Clerk of the House of Representatives and the Secretary of the Senate shall forthwith transmit certified copies of such resolution to the Surface Transportation Board, the Mississippi Transportation Commission and to each of the members of Congress elected from the state.
SECTION 28. Section 77-9-527, Mississippi Code of 1972, is brought forward as follows:
77-9-527. (1) If a rail carrier files a notice of intent to abandon or discontinue as provided for in the Interstate Commerce Act, the Mississippi Transportation Commission shall have the power to acquire the railroad that is proposed to be abandoned or discontinued. The Mississippi Transportation Commission shall have the power to construct, own, hold, control, use, extend, relocate, operate, maintain, repair, equip and lease such railroad and any machinery, equipment or other facilities required and incidental to the ownership and operation of such railroad.
(2) For the purposes provided for in subsection (1) of this section, the Mississippi Transportation Commission shall have the power to acquire rights-of-way, land, easements, property and interests in property by gift, purchase, condemnation or otherwise. In exercising condemnation under this section, the commission shall condemn property in the manner provided by law.
SECTION 29. This act shall take effect and be in force from and after July 1, 2012.