Text: S03245 Text: S03247 Text: S03200 - S03299 Text: S Index Bills and Amendments: General Index Bill History: General Index
PAG LIN 1 1 Amend Senate File 464 as follows: 1 2 #1. Page 24, by inserting after line 12 the 1 3 following: 1 4 "Sec. . NEW SECTION. 16.110 IOWA SCHOOL 1 5 DISTRICT REVOLVING LOAN FUND PROGRAM DEFINITIONS. 1 6 1. The Iowa school district revolving loan fund 1 7 program is established for the purpose of making loans 1 8 available to school districts to finance all or part 1 9 of the costs of a project. The purpose of the program 1 10 is to provide a means for Iowa schools to reduce their 1 11 long-term borrowing costs and thus reduce costs to 1 12 taxpayers. 1 13 2. The authority shall process, review, and 1 14 approve loan applications which satisfy the rules 1 15 adopted by the authority in implementing the Iowa 1 16 school district revolving loan fund program. The 1 17 school districts to which loans are to be made, the 1 18 purposes of the loan, the amount of each loan, the 1 19 interest rate of the loan, and the repayment terms of 1 20 the loan shall be determined by the authority in 1 21 accordance with its rules. 1 22 3. For purposes of this section and sections 1 23 16.111 through 16.114, "project" means any undertaking 1 24 by a school district for which financing is authorized 1 25 under chapter 296 or 298, including all costs and 1 26 expenses associated with authorization for, and 1 27 commencement of, a project. "School district" means a 1 28 public school district as governed by chapter 274. 1 29 Sec. . NEW SECTION. 16.111 REVOLVING LOAN 1 30 FUND ESTABLISHED. 1 31 1. The Iowa school district revolving loan fund is 1 32 established in the state treasury under the control of 1 33 the authority. The revolving loan fund shall include 1 34 sums appropriated to the fund by the general assembly 1 35 and all receipts from loans made to school districts 1 36 by the authority, and any other sums designated for 1 37 deposit in the revolving loan fund from any public or 1 38 private source. All moneys appropriated to and 1 39 deposited in the revolving loan fund are appropriated 1 40 and shall be used for the sole purpose of making loans 1 41 to school districts to finance all or part of the cost 1 42 of projects. Moneys in the fund may also be used to 1 43 pay the costs and expenses associated with 1 44 administration of the Iowa school district revolving 1 45 loan fund program. A loan made to a school district 1 46 from the revolving loan fund is an indebtedness of the 1 47 school district within the meaning of any 1 48 constitutional or statutory school district debt 1 49 limitation in effect at the time the loan agreement is 1 50 made. 2 1 2. The moneys in the revolving loan fund are not 2 2 considered part of the general fund of the state, are 2 3 not subject to appropriation for any other purpose by 2 4 the general assembly, and in determining a general 2 5 fund balance shall not be included in the general fund 2 6 of the state but shall remain in the revolving loan 2 7 fund to be used for its respective purposes. The Iowa 2 8 school district revolving loan fund is a separate 2 9 dedicated fund under the administration and control of 2 10 the authority and subject to section 16.31. Moneys on 2 11 deposit in the fund shall be invested by the treasurer 2 12 of state in cooperation with the authority, and the 2 13 income from the investments shall be credited to and 2 14 deposited in the fund. 2 15 3. The authority may establish and maintain other 2 16 funds or accounts determined to be necessary to carry 2 17 out the purposes of sections 16.110 through 16.114 and 2 18 shall provide for the funding, administration, 2 19 investment, restrictions, and disposition of the funds 2 20 and accounts. 2 21 Sec. . NEW SECTION. 16.112 BONDS AND NOTES 2 22 ISSUED BY AUTHORITY. 2 23 1. The authority may issue its bonds and notes for 2 24 the purpose of funding the revolving loan fund 2 25 established in section 16.111. The authority may 2 26 enter into one or more lending agreements or purchase 2 27 agreements with one or more bondholders or noteholders 2 28 containing the terms and conditions of the repayment 2 29 of and the security for the bonds or notes. The 2 30 authority and the bondholders or noteholders or a 2 31 trustee agent designated by the authority may enter 2 32 into agreements to provide for any of the following: 2 33 a. That the proceeds of the bonds and notes and 2 34 the investments of the proceeds may be received, held, 2 35 and disbursed by the authority or by a trustee or 2 36 agent designated by the authority. 2 37 b. That the bondholders or noteholders or a 2 38 trustee or agent designated by the authority may 2 39 collect, invest, and apply the amount payable under 2 40 the loan agreements or any other instruments securing 2 41 the debt obligations under the loan agreements. 2 42 c. That the bondholders or noteholders may enforce 2 43 the remedies provided in the loan agreements or other 2 44 instruments on their own behalf without the 2 45 appointment or designation of a trustee. If there is 2 46 a default in the principal of or interest on the bonds 2 47 or notes or in the performance of any agreement 2 48 contained in the loan agreements or other instruments, 2 49 the payment or performance may be enforced in 2 50 accordance with the loan agreement or other 3 1 instrument. 3 2 d. Other terms and conditions as deemed necessary 3 3 or appropriate by the authority. 3 4 2. The powers granted the authority under this 3 5 section are in addition to other powers contained in 3 6 this chapter. All other provisions of this chapter, 3 7 except section 16.28, subsection 4, apply to bonds or 3 8 notes issued and powers granted to the authority under 3 9 this section except to the extent they are 3 10 inconsistent with this section. 3 11 3. All bonds or notes issued by the authority in 3 12 connection with the program are exempt from taxation 3 13 by this state and the interest on the bonds or notes 3 14 is exempt from state income tax. 3 15 Sec. . NEW SECTION. 16.113 SECURITY 3 16 RESERVE FUNDS PLEDGES NONLIABILITY 3 17 IRREVOCABLE CONTRACTS. 3 18 1. The authority may provide in the resolution, 3 19 trust agreement, or other instrument authorizing the 3 20 issuance of its bonds or notes pursuant to section 3 21 16.112 that the principal of, premium, and interest on 3 22 the bonds or notes are payable from any of the 3 23 following and may pledge the same to its bonds and 3 24 notes: 3 25 a. The income and receipts or other moneys derived 3 26 from the projects financed with the proceeds of the 3 27 bonds or notes. 3 28 b. The income and receipts or other moneys derived 3 29 from designated projects whether or not the projects 3 30 are financed in whole or in part with the proceeds of 3 31 the bonds or notes. 3 32 c. The authority's income and receipts or other 3 33 assets generally, or a designated part or parts of 3 34 them. 3 35 2. The authority may establish reserve funds to 3 36 secure one or more issues of its bonds or notes. The 3 37 authority may deposit in a reserve fund established 3 38 under this subsection the proceeds of the sale of its 3 39 bonds or notes and other moneys which are made 3 40 available from any other source. 3 41 3. It is the intention of the general assembly 3 42 that a pledge made in respect of bonds or notes shall 3 43 be valid and binding from the time the pledge is made, 3 44 that the moneys or property so pledged and received 3 45 after the pledge by the authority shall immediately be 3 46 subject to the lien of the pledge without physical 3 47 delivery or further act, and that the lien of the 3 48 pledge shall be valid and binding as against all 3 49 parties having claims of any kind in tort, contract, 3 50 or otherwise against the authority whether or not the 4 1 parties have notice of the lien. The resolution, 4 2 trust agreement, or any other instrument by which a 4 3 pledge is created does not need to be recorded or 4 4 filed under the Iowa uniform commercial code to be 4 5 valid, binding, or effective against the parties. 4 6 4. The members of the authority or persons 4 7 executing the bonds or notes are not personally liable 4 8 on the bonds or notes and are not subject to personal 4 9 liability or accountability by reason of the issuance 4 10 of the bonds or notes. 4 11 5. The bonds or notes issued by the authority are 4 12 not an indebtedness or other liability of the state or 4 13 of a political subdivision of the state within the 4 14 meaning of any constitutional or statutory debt 4 15 limitations but are special obligations of the 4 16 authority, and are payable solely from the income and 4 17 receipts or other funds or property of the authority, 4 18 and the amounts on deposit in the revolving loan fund, 4 19 and the amounts payable to the authority under its 4 20 loan agreements with a school district to the extent 4 21 that the amounts are designated in the resolution, 4 22 trust agreement, or other instrument of the authority 4 23 authorizing the issuance of the bonds or notes as 4 24 being available as security for such bonds or notes. 4 25 The authority shall not pledge the faith or credit of 4 26 the state or of a political subdivision of the state 4 27 to the payment of any bonds or notes. The issuance of 4 28 any bonds or notes by the authority does not directly, 4 29 indirectly, or contingently obligate the state or a 4 30 political subdivision of the state to apply moneys 4 31 from, or levy or pledge any form of taxation whatever 4 32 to, the payment of the bonds or notes. 4 33 6. The state pledges to and agrees with the 4 34 holders of bonds or notes issued under section 16.112 4 35 that the state will not limit or alter the rights and 4 36 powers vested in the authority to fulfill the terms of 4 37 a contract made by the authority with respect to the 4 38 bonds or notes, or in any way impair the rights and 4 39 remedies of the holders until the bonds or notes, 4 40 together with the interest on them, including interest 4 41 on unpaid installments of interest, and all costs and 4 42 expenses in connection with an action or proceeding by 4 43 or on behalf of the holders, are fully met and 4 44 discharged. The authority is authorized to include 4 45 this pledge and agreement of the state, as it refers 4 46 to holders of bonds or notes of the authority, in a 4 47 contract with the holders. 4 48 Sec. . NEW SECTION. 16.114 ADOPTION OF RULES. 4 49 The authority shall adopt rules pursuant to chapter 4 50 17A to implement sections 16.110 through 16.113." 5 1 #2. Title page, line 4, by inserting after the 5 2 word "regents," the following: "creating an Iowa 5 3 school district revolving loan fund program and an 5 4 exemption from state taxation,". 5 5 5 6 5 7 5 8 JOHN JUDGE 5 9 BETTY A. SOUKUP 5 10 MATT McCOY 5 11 MICHAEL E. GRONSTAL 5 12 JOE BOLKCOM 5 13 PATRICIA HARPER 5 14 ROBERT E. DVORSKY 5 15 BILL FINK 5 16 WALLY E. HORN 5 17 SF 464.715 78 5 18 kh/sc
Text: S03245 Text: S03247 Text: S03200 - S03299 Text: S Index Bills and Amendments: General Index Bill History: General Index
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