MISSISSIPPI LEGISLATURE
2017 Regular Session
To: Finance
By: Senator(s) Fillingane, Simmons (12th), Horhn, Barnett, Butler
AN ACT TO AMEND SECTIONS 57-64-3, 57-64-7, 57-64-11 AND 57-64-29, MISSISSIPPI CODE OF 1972, TO REVISE CERTAIN DEFINITIONS TO INCLUDE POLITICAL SUBDIVISIONS IN ADDITION TO COUNTIES AND MUNICIPALITIES IN THE LOCAL GOVERNMENT UNITS AUTHORIZED TO PARTICIPATE IN REGIONAL ECONOMIC DEVELOPMENT ALLIANCES UNDER THE REGIONAL ECONOMIC DEVELOPMENT ACT; TO AUTHORIZE LOCAL GOVERNMENT UNITS TO ISSUE BONDS OR INCUR DEBT UNDER THE REGIONAL ECONOMIC DEVELOPMENT ACT IF THEY ARE OTHERWISE AUTHORIZED BY LAW TO ISSUE BONDS OR INCUR DEBT; TO AUTHORIZE ANY LOCAL GOVERNMENT UNIT THAT IS A MEMBER OF A REGIONAL ECONOMIC DEVELOPMENT ALLIANCE TO NEGOTIATE PURCHASE OPTIONS FOR REAL PROPERTY TO BE USED FOR THE PURPOSED OF THE ALLIANCE; AND FOR RELATED PURPOSES.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:
SECTION 1. Section 57-64-3, Mississippi Code of 1972, is amended as follows:
57-64-3. It is hereby declared that the state's public welfare demands, and the state's public policy requires:
(a) That for the benefit
of the people of the State of Mississippi, it is essential to foster and
promote the issuing of bonds by * * * local government
units jointly or severally, including any joint bond issuance with a
county, parish or other foreign political subdivision in another state.
(b) That the bonds to
be issued pursuant to this chapter shall be of any type permissible to be
issued by any * * * local government unit without limitation.
(c) That the purposes of the bonds issued under this chapter are for acquiring land and/or acquiring or constructing buildings, fixtures, machinery, equipment, infrastructure, utilities, port or airport facilities, roads, railroad spurs and other related projects that have or will provide a multijurisdictional benefit.
(d) That the projects contemplated under this chapter are to provide economic development benefits, including but not limited to, industry, distribution, commerce, tourism, healthcare and other purposes in which the public purpose and interest of the people of the state is served.
(e) That costs and revenues connected with a project should both be shared by the members of the alliance created pursuant to this chapter.
(f) That the authority granted under this chapter and the purposes to be accomplished hereby are proper governmental and public purposes and that the resulting economic benefits to the state are of paramount importance, mandating that the provisions of this chapter be liberally construed and applied in order to advance the public purposes.
SECTION 2. Section 57-64-7, Mississippi Code of 1972, is amended as follows:
57-64-7. For the purposes of this chapter, the following words shall be defined as herein provided unless the context requires otherwise:
(a) "Alliance" means a regional economic development alliance created under this chapter.
(b) "Bond" or "bonds" means bonds, notes or other evidence of indebtedness of the local government unit issued pursuant to this chapter.
(c) "Cost of project" means all costs of site preparation and other start-up costs; all costs of construction; all costs of fixtures and of real and personal property required for the purposes of the project and facilities related thereto, whether publicly or privately owned, including land and any rights or undivided interest therein, easements, franchises, fees, permits, approvals, licenses, and certificates and the securing of such permits, approvals, licenses, and certificates and all machinery and equipment, including motor vehicles which are used for project functions; and including any cost associated with the closure, post-closure maintenance or corrective action on environmental matters, financing charges and interest prior to and during construction and during such additional period as the alliance may reasonably determine to be necessary for the placing of the project in operation; costs of engineering, surveying, environmental geotechnical, architectural and legal services; costs of plans and specifications and all expenses necessary or incident to determining the feasibility or practicability of the project; administrative expenses; and such other expenses as may be necessary or incidental to the financing authorized in this chapter. The costs of any project may also include funds for the creation of a debt service reserve, a renewal and replacement reserve, bond insurance and credit enhancement, and such other reserves as may be reasonably required by the alliance for the operation of its projects and as may be authorized by any bond resolution or trust agreement or indenture pursuant to the provisions of which the issuance of any such bonds may be authorized. Any obligation or expense incurred for any of the foregoing purposes shall be regarded as a part of the costs of the project and may be paid or reimbursed as such out of the proceeds of user fees, of revenue bonds or notes issued under this chapter for such project, or from other revenues obtained by the alliance.
(d) "County" means any county of this state.
(e) "Foreign governmental unit" means any county, parish, city, town, village, utility district, school district, any community college, any institution of higher learning, any municipal airport authority, regional airport authority, port authority or any other political subdivision of another state.
(f) "Governing body" means the board of supervisors of any county or the governing board of any city, town or village, the governing body of any utility district, the governing body of any school district or community college, the Board of Trustees of State Institutions of Higher Learning, the governing body of any municipal or regional airport authority, the governing body of any port authority, or the governing body of any other political subdivision of the state. As to the state, the term governing body means the State Bond Commission.
(g) "Holder of bonds" or "bondholder" or any similar term means any person who shall be the registered owner of any such bond or bonds which shall at the time be registered.
(h) "Law" means any act or statute, general, special or local, of this state.
(i) "Local government unit" means any county or incorporated city, town or village in the state, any school district, any utility district, any community college, any institution of higher learning, any municipal airport authority, any regional airport authority, any port authority or any other political subdivision of the state acting jointly or severally.
(j) "MDA" means the Mississippi Development Authority.
(k) "Municipality" means any incorporated municipality in the state.
(l) "Person" means a natural person, partnership, association, corporation, business trust or other business entity.
(m) "Project" means and includes any of the following which promotes economic development or which assists in the creation of jobs, whether publicly or privately owned:
(i) Acquisition, construction, repair, renovation, demolition or removal of:
1. Buildings and site improvements (including fixtures);
2. Potable and nonpotable water supply systems;
3. Sewage and waste disposal systems;
4. Storm water drainage and other drainage systems;
5. Airport facilities;
6. Rail lines and rail spurs;
7. Port facilities;
8. Highways, streets and other roadways;
9. Fire suppression and prevention systems;
10. Utility distribution systems, including, but not limited to, water, electricity, natural gas, telephone and other information and telecommunications facilities, whether by wire, fiber or wireless means; provided, however, that electrical, natural gas, telephone and telecommunication systems shall be constructed, repaired or renovated only for the purpose of completing the project and connecting to existing utility systems (this provision shall not be construed to prevent a city, county or natural gas district from supplying utility service that it is authorized to supply in the service area that it is authorized to serve);
11. Business, industrial and technology parks and the acquisition of land and acquisition or construction of improvements to land connected with any of the preceding purposes;
(ii) County purposes authorized by or defined in Sections 17-5-3 and 19-9-1, (except Section 19-9-1(f));
(iii)
Municipal purposes authorized by or defined in Sections 17-5-3, 17-17-301 et
seq., 21-27-23 * * *
and 21-33-301;
(iv) Refunding of bonds as authorized in Section 21-27-1 et seq.; and
(v) A project as defined in Section 57-75-5(f)(i) or a facility related to the project as defined in Section 57-75-5(d), or both.
(n) "Resolution" means a resolution, ordinance, act, record of minutes or other appropriate enactment of a governing body.
(o) "Revenues" mean any and all taxes, fees, rates, rentals, profits and receipts collected by, payable to, or otherwise derived by, the local government units and foreign governmental units, and all other monies and income of whatsoever kind or character collected by, payable to, or otherwise derived by, the local government unit and foreign governmental units in connection with the economic development projects provided through this chapter.
(p) "Security" means a bond, note or other evidence of indebtedness issued by a local government unit pursuant to the provisions of this chapter.
(q) "State" means the State of Mississippi.
SECTION 3. Section 57-64-11, Mississippi Code of 1972, is amended as follows:
57-64-11. (1) After receiving a certificate of public convenience and necessity from the MDA, the local government unit is empowered and authorized, from time to time, to issue bonds up to the maximum principal amount authorized in the certificate.
(2) After receiving a
certificate of public convenience and necessity from the MDA, the governing
body of any local government unit entering into an agreement pursuant to this
chapter may incur bonded and floating indebtedness by issuing general
obligation bonds * * *, revenue bonds or
special assessment bonds as authorized by any statute authorizing the
issuance of * * *
such bonds, * * *, and otherwise incur indebtedness in
any manner for which the local government unit is authorized by statute to
incur debt, and may appropriate funds for the purposes and in the manner
prescribed by law without regard to whether the activities and improvements
authorized by this chapter to be financed by such debt or appropriation are
within or without the boundaries of the local government unit. Revenues
derived from any project financed with bonds issued pursuant to this chapter
may be pledged in whole or in part to secure payment of the bonded indebtedness
incurred to finance the project. Such governing body may sell, lease, grant or
otherwise supply goods and services to any other local government unit which is
a party to the agreement or the administrative body or legal entity created to
operate the joint or cooperative undertaking.
SECTION 4. Section 57-64-29, Mississippi Code of 1972, is amended as follows:
57-64-29. A * * * local government unit that is a
member of a regional economic development alliance created under the Regional
Economic Development Act is authorized to negotiate a purchase option for real
property to be used for the purposes of the alliance. A * * * local government unit may pay all
costs incurred for the acquisition of such an option regardless of whether the * * * local government unit exercises
the option at a later date. As a part of any such option, a * * * local government unit may
negotiate the right to enter upon the real property before the purchase for the
purpose of conducting any preliminary engineering, environmental and related
surveys or studies necessary to effectuate the option. A * * * local government unit may pay all
costs incurred for such surveys or studies regardless of whether the * * * local government unit exercises
the option at a later date.
SECTION 5. This act shall take effect and be in force from and after its passage.