Text: HSB00663 Text: HSB00665 Text: HSB00600 - HSB00699 Text: HSB Index Bills and Amendments: General Index Bill History: General Index
PAG LIN
1 1 Section 1. NEW SECTION. 359.45A GENERAL OBLIGATION BONDS
1 2 – ESSENTIAL PURPOSE.
1 3 1. As used in this section unless the context otherwise
1 4 requires, "essential township purpose" means the equipping of
1 5 a fire department, the acquisition of ambulances and ambulance
1 6 equipment, including emergency medical service equipment, and
1 7 the construction, reconstruction, and improvement of works and
1 8 facilities to house and maintain fire protection, ambulance,
1 9 or emergency medical service equipment.
1 10 2. A township which proposes to carry out an essential
1 11 township purpose project and to contract indebtedness and
1 12 issue general obligation bonds to provide funds to pay all or
1 13 part of the cost of a project shall do so in accordance with
1 14 this section.
1 15 3. Before the board of trustees may institute proceedings
1 16 for the issuance of bonds for an essential township purpose, a
1 17 notice of the proposed action, including a statement of the
1 18 amount and purposes of the bonds, and the time and place of
1 19 the meeting at which the board of trustees proposes to take
1 20 action for the issuance of the bonds, shall be published as
1 21 provided in section 331.305. At the meeting, the board shall
1 22 receive oral or written objections from any resident or
1 23 property owner of the county. After all objections have been
1 24 received and considered, the board of trustees, at that
1 25 meeting or a date to which it is adjourned, may take
1 26 additional action for the issuance of the bonds or abandon the
1 27 proposal to issue the bonds. Any resident or property owner
1 28 of the county may appeal the decision of the board of trustees
1 29 to take additional action to the district court of the county,
1 30 within fifteen days after the additional action is taken, but
1 31 the additional action of the board of trustees is final and
1 32 conclusive unless the court finds that the board of trustees
1 33 exceeded its authority. The provisions of this subsection,
1 34 with respect to notice, hearing, and appeal, are in lieu of
1 35 any other law.
2 1 4. A township may sell general obligation bonds at public
2 2 or private sale in the manner prescribed by chapter 75.
2 3 5. General obligation funding or refunding bonds may bear
2 4 interest at the same rate as, or at a higher or lower rate or
2 5 rates of interest, than the indebtedness being funded or
2 6 refunded.
2 7 6. As provided by resolution of the board of trustees,
2 8 general obligation bonds may:
2 9 a. Bear dates.
2 10 b. Bear interest at rates not exceeding the limitations
2 11 imposed by chapter 75.
2 12 c. Mature in one or more installments.
2 13 d. Be in either coupon or registered form.
2 14 e. Carry registration and conversion privileges.
2 15 f. Be payable as to principal and interest at times and
2 16 places.
2 17 g. Be subject to terms of redemption prior to maturity
2 18 with or without premium.
2 19 h. Be in one or more denominations.
2 20 i. Be designated with a brief reference to purpose, or if
2 21 issued for a combination of purposes, be designated "township
2 22 purpose bond".
2 23 j. Contain other provisions not in conflict with the laws
2 24 of the state of Iowa.
2 25 7. General obligation bonds must be executed by the
2 26 chairperson of the board of trustees and the township clerk.
2 27 If coupons are attached to the bonds, they must be executed
2 28 with the original or facsimile signature of the clerk. A
2 29 general obligation bond is valid and binding if it bears the
2 30 signatures of the officers in office on the date of the
2 31 execution of the bonds even though one or more of the persons
2 32 whose signatures appear on the bonds have ceased to be
2 33 officers prior to the delivery of the bonds.
2 34 8. General obligation bonds issued pursuant to this
2 35 section are negotiable instruments.
3 1 9. Taxes for the payment of general obligation bonds must
3 2 be levied in accordance with chapter 76, and the bonds are
3 3 payable from the levy of unlimited ad valorem taxes on all the
3 4 taxable property within the township through its debt service
3 5 fund. A township issuing general obligation bonds shall
3 6 establish a debt service fund.
3 7 10. No action may be brought which questions the legality
3 8 of general obligation bonds or the power of the township to
3 9 issue the bonds or the effectiveness of any proceedings
3 10 relating to the authorization and issuance of the bonds from
3 11 and after sixty days from the time the bonds are ordered
3 12 issued by the townships.
3 13 EXPLANATION
3 14 This bill authorizes a township to issue general obligation
3 15 bonds to finance the purchase of fire department equipment,
3 16 ambulances and ambulance equipment including emergency medical
3 17 equipment, and the construction, reconstruction, and
3 18 improvement of works and facilities to house and maintain the
3 19 fire protection, ambulance, or emergency medical service
3 20 equipment. The bonds are considered essential township
3 21 purpose bonds similar to county or city essential corporate
3 22 purpose bonds.
3 23 This bill provides that a township shall use the same
3 24 procedures to issue the bonds that a city or county are
3 25 authorized to use. Notice of the board's intent to issue
3 26 bonds shall be given by publication in an official county
3 27 newspaper at least four but not more than 20 days before the
3 28 meeting and residents may give written or oral objections. A
3 29 resident or property owner may appeal the board's decision to
3 30 issue bonds to the district court. The bonds are to be sold
3 31 as provided in Code chapter 75 and taxes to repay the
3 32 principal and interest are determined as provided in Code
3 33 chapter 76.
3 34 LSB 4326HC 77
3 35 tj/jl/8
Text: HSB00663 Text: HSB00665 Text: HSB00600 - HSB00699 Text: HSB Index Bills and Amendments: General Index Bill History: General Index
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