Senate Bill 2550

AN ACT TO AMEND SECTION 21-45-13, MISSISSIPPI CODE OF 1972, TO PROVIDE THAT IF THE ASSESSED VALUE OF PROPERTY INCLUDED IN A TAX INCREMENT FINANCING PLAN IS REDUCED AND THE DEBT SERVICE ON THE TAX INCREMENT BONDS ISSUED PURSUANT TO THE PLAN CANNOT BE SATISFIED WHEN DUE BY THE REVENUES PAYABLE COUNTY OR MUNICIPALITY UNDER THE PLAN, THE GOVERNING BODY MAY ELECT TO PAY FROM THE GENERAL FUND OF THE MUNICIPALITY THE DIFFERENCE BETWEEN THE AMOUNT OF THE REVENUE PAYABLE TO THE MUNICIPALITY PURSUANT TO THE TAX INCREMENT FINANCING PLAN AND THE DEBT SERVICE PAYMENT THAT IS DUE; TO AMEND SECTION 27-35-81, MISSISSIPPI CODE OF 1972, TO PROVIDE THAT IF THE ASSESSED VALUE OF PROPERTY INCLUDED IN A TAX INCREMENT FINANCING PLAN IS REDUCED AND TAX INCREMENT BONDS HAVE BEEN ISSUED FOR THE REDEVELOPMENT PROJECT IN THE PLAN, THE ASSESSOR SHALL FILE ALONG WITH THE ROLL OR ROLLS REQUIRED TO BE FILED WITH THE CLERK OF THE BOARD OF SUPERVISORS, A LIST OF SUCH PROPERTY THAT CONTAINS THE AMOUNT THE ASSESSED VALUE WAS REDUCED; AND FOR RELATED PURPOSES.

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

SECTION 1. Section 21-45-13, Mississippi Code of 1972, is amended as follows:

21-45-13. (1) The principal, interest and premium, if any, on any tax increment bond shall be secured by a pledge of the revenues payable to the municipality pursuant to the tax increment financing plan and may also be secured, in the discretion of the municipality, by a lien on all or any part of the redevelopment project and any security by any developer pursuant to and secured by a security agreement.

(2) The proceedings under which any indebtedness is authorized or any security agreement may contain any agreement or provisions customarily contained in instruments securing such obligations, without limiting the generality of the foregoing provisions respecting the construction, maintenance and operation of buildings or other facilities or improvements of the project, the creation and maintenance of special funds, the rights and remedies available in the event of default to the debt holders or to the trustee, all as the governing body shall deem advisable; * * *~~provided,~~ however, * * *~~that~~ in making any such agreements or provisions * * *, no municipality shall have the power to obligate itself except with respect to:

(a) The proceeds of the bonds and any property purchased with the proceeds of the bonds; and

(b) Any security pledged, mortgaged or otherwise made available by a developer for the securing of bonds or other indebtedness * * *~~; and~~.

* * * ~~(c)~~(3) Except as otherwise provided in this section, no municipality shall have the power to obligate itself except with respect to the application of the revenues from the tax increments; nor shall any municipality have the power to incur a pecuniary liability or charge upon its general credit or against its taxing powers.

(4) Tax increment financing bonds issued under the Regional Economic Development Act also may be secured as provided therein.

(5) The proceedings authorizing any bonds and any security agreement securing bonds may provide that in the event of default in payment of the principal of or interest on such bonds, or in the performance of any agreement contained in such proceedings or security agreement, such payment and performance may be enforced by mandamus or by appointment of a receiver in equity with such powers as may be necessary to enforce the obligations thereof. No breach of any such agreement shall impose any pecuniary liability upon any municipality or any charge upon its general credit or against its taxing powers.

(6) The trustee under any security agreement or any depository specified by such security agreement may be such persons or corporation as the governing body shall designate; provided, that they may be residents of Mississippi or nonresidents of Mississippi or incorporated under the laws of the United States or the laws of other states of the United States.

(7) If the assessed value of property included in a tax increment financing plan is reduced and the debt service on the tax increment bonds issued under the plan cannot be satisfied when due by the revenues payable to the municipality pursuant to the tax increment financing plan, the governing body may elect to pay from the general fund of the municipality the difference between the amount of the revenue payable to the municipality pursuant to the tax increment financing plan and the debt service payment that is due.

SECTION 2. Section 27-35-81, Mississippi Code of 1972, is amended as follows:

27-35-81. (1) (a) If the assessment is conducted by or under the direction of the assessor, the assessor shall complete the assessment of both real and personal property and file the roll or rolls with the clerk of the board of supervisors on or before the first Monday in July of each year. He shall make an affidavit and append it to each roll, showing that he has faithfully endeavored to ascertain and assess all the persons and property in his county, that he has not omitted any person or thing, or placed upon, or accepted an under valuation of any property, through fear, favor or partiality, and that he has required every taxpayer to make the oath required to be taken by the person rendering a list of his taxable property wherever possible. The assessor shall file with the roll or rolls, under oath, a list showing the name of every taxpayer who has failed or refused to make oath to his tax lists.

(b) If the assessed value of property included in a tax increment financing plan adopted by a county or municipality under Section 21-45-1, et seq. is reduced, and tax increment bonds have been issued for the redevelopment project in the plan, the assessor shall file along with the roll or rolls required to be filed in paragraph (a) of this subsection a list of such property that contains the amount the assessed value was reduced. If the redevelopment project is located in a municipality the assessor shall provide the additional information required to be filed under this paragraph to the governing body of the municipality on or before the first Monday in July of each year.

(2) If the roll or rolls are not filed as required by this section on or before the first Monday in July of each year, the board of supervisors at its July meeting shall adopt an order showing the failure of the roll or rolls to be filed and shall certify to the Department of Revenue a statement showing such failure and the time necessary to complete the roll or rolls.

(3) Upon receipt of such certificate from the board of supervisors of any county, the Department of Revenue shall provide when such roll shall be completed and filed, and the date when the board of supervisors shall meet to equalize the roll or rolls, and the time when objections to the assessments contained in such roll or rolls, shall be heard by the board of supervisors, provided that not less than ten (10) days' notice shall be given prior to the hearing of such objections. When such roll or rolls shall be filed, they shall be dealt with in all respects as now provided by law except as to the time.

SECTION 3. This act shall take effect and be in force from and after July 1, 2015.