Text: H01625                            Text: H01627
Text: H01600 - H01699                   Text: H Index
Bills and Amendments: General Index     Bill History: General Index



House Amendment 1626

Amendment Text

PAG LIN
  1  1    Amend the amendment, H-1593, to House File 698, as
  1  2 follows:
  1  3    #1.  By striking page 1, line 2, through page 3,
  1  4 line 28, and inserting the following:
  1  5    "#   .  Page 1, by inserting before line 1, the
  1  6 following:
  1  7    "Section 1.  Section 476A.6, Code 2001, is amended
  1  8 to read as follows:
  1  9    476A.6  DECISION – CRITERIA.
  1 10    The board shall render a decision on the
  1 11 application in an expeditious manner.  A certificate
  1 12 shall be issued to the applicant if the board finds
  1 13 all of the following:
  1 14    1.  The services and operations resulting from the
  1 15 construction of the facility are required by the
  1 16 present or future public convenience, use and
  1 17 necessity compatible with the energy policy of the
  1 18 state as developed under section 476.53 and the
  1 19 economic development policy of the state as expressed
  1 20 in Title I, subtitle 5, and will not be detrimental to
  1 21 the provision of adequate and reliable electric
  1 22 service.
  1 23    2.  The applicant is willing to perform such
  1 24 services and construct, maintain, and operate the
  1 25 facility pursuant to the provisions of the certificate
  1 26 and this chapter.
  1 27    3.  The construction, maintenance, and operation of
  1 28 the facility will cause minimum adverse be consistent
  1 29 with reasonable land use, and environmental, and
  1 30 aesthetic impact policies and are consonant with
  1 31 reasonable utilization of air, land, and water
  1 32 resources, for beneficial purposes considering
  1 33 reasonably available technology and the economics of
  1 34 available alternatives.
  1 35    4.  The applicant, if a public utility as defined
  1 36 in section 476.1, has in effect a comprehensive energy
  1 37 management program designed to reduce peak loads and
  1 38 to increase efficiency of use of energy by all classes
  1 39 of customers of the utility, and the facility in the
  1 40 application is necessary notwithstanding the existence
  1 41 of the comprehensive energy management program.  As
  1 42 used in this subsection, a "comprehensive energy
  1 43 management program" includes at a minimum the
  1 44 following:
  1 45    a.  Establishment of load management and
  1 46 interruptible service programs, where cost effective.
  1 47    b.  Development of wheeling agreements and other
  1 48 energy sharing agreements, where cost effective with
  1 49 utilities that have available capacity.
  1 50    c.  Establishment of cost-effective energy
  2  1 efficiency and renewable energy services and programs.
  2  2    d.  Compliance with board rules on energy
  2  3 management procedures.
  2  4    5.  The applicant, if a public utility as defined
  2  5 in section 476.1, shall demonstrate to the board that
  2  6 the utility has considered sources for long-term
  2  7 electric supply from either purchase of electricity or
  2  8 investment in facilities owned by other persons.
  2  9    6.  The applicant, if a public utility as defined
  2 10 in section 476.1, has considered all feasible
  2 11 alternatives to the proposed facility including
  2 12 nongeneration alternatives; has ranked those
  2 13 alternatives by cost; has implemented the least-cost
  2 14 alternatives first; and the facility in the
  2 15 application is necessary notwithstanding the
  2 16 implementation of these alternatives.
  2 17    Sec.    .  Section 476A.7, Code 2001, is amended by
  2 18 adding the following new subsection:
  2 19    NEW SUBSECTION.  3.  Pursuant to the provisions of
  2 20 section 476.53, a rate-regulated public utility shall
  2 21 have the option of withdrawing its application for
  2 22 issuance of a certificate at any time prior to the
  2 23 issuance of the certificate, or after the certificate
  2 24 has been issued.
  2 25    Sec.    .  Section 476A.15, Code 2001, is amended
  2 26 to read as follows:
  2 27    476A.15  WAIVER.
  2 28    The board, if it determines that the public
  2 29 interest would not be adversely affected, may waive
  2 30 any of the requirements of this chapter for facilities
  2 31 with a capacity of one hundred or fewer megawatts.
  2 32    Sec.    .  NEW SECTION.  476A.20  DEFINITIONS.
  2 33    For purposes of this subchapter, unless the context
  2 34 otherwise requires:
  2 35    1.  "Electric power agency" means an entity as
  2 36 defined in section 28F.2.
  2 37    2.  "Facility" means an electric power generating
  2 38 plant, or transmission line or system, as defined in
  2 39 section 476A.1.
  2 40    3. "Public bond or obligation" means an obligation
  2 41 as defined in section 76.14.
  2 42    Sec.    .  NEW SECTION.  476A.21  ELECTRIC POWER
  2 43 AGENCY – GENERAL AUTHORITY.
  2 44    In addition to other powers conferred upon an
  2 45 electric power agency by chapter 28F or other
  2 46 applicable law, an electric power agency may enter
  2 47 into and carry out joint agreements with other
  2 48 participants for the acquisition of ownership of a
  2 49 joint facility and for the planning, financing,
  2 50 operation, and maintenance of the joint facility, as
  3  1 provided in this subchapter.
  3  2    Sec.    .  NEW SECTION.  476A.22  ELECTRIC POWER
  3  3 AGENCY – AUTHORITY – CONFLICTING PROVISIONS.
  3  4    1.  In addition to any powers conferred upon an
  3  5 electric power agency under chapter 28F or other
  3  6 applicable law, an electric power agency may exercise
  3  7 all other powers reasonably necessary or appropriate
  3  8 for or incidental to the effectuation of the electric
  3  9 power agency's authorized purposes, including without
  3 10 limitation, the powers enumerated in chapters 6A and
  3 11 6B for purposes of constructing or acquiring an
  3 12 electric power facility.
  3 13    2.  An electric power agency, in connection with
  3 14 its property and affairs, and in connection with
  3 15 property within its control, may exercise any and all
  3 16 powers that might be exercised by a natural person or
  3 17 a private corporation in connection with similar
  3 18 property and affairs.
  3 19    3.  The enumeration of specified powers and
  3 20 functions of an electric power agency in this
  3 21 subchapter is not a limitation of the powers of an
  3 22 electric power agency, but the procedures prescribed
  3 23 for exercising the powers and functions enumerated in
  3 24 this subchapter control and govern in the event of any
  3 25 conflict with any other provision of law.
  3 26    4.  The authority conferred pursuant to this
  3 27 subchapter applies to electric power agencies,
  3 28 notwithstanding any contrary provisions of section
  3 29 28F.1.
  3 30    Sec.    .  NEW SECTION.  476A.23  ISSUANCE OF
  3 31 PUBLIC BONDS OR OBLIGATIONS – PURPOSES –
  3 32 LIMITATIONS.
  3 33    1.  An electric power agency may from time to time
  3 34 issue its public bonds or obligations in such
  3 35 principal amounts as the electric power agency deems
  3 36 necessary to provide sufficient funds to carry out any
  3 37 of its purposes and powers, including but not limited
  3 38 to any of the following:
  3 39    a.  The acquisition or construction of any project
  3 40 to be owned or leased by the electric power agency, or
  3 41 the acquisition of any interest in such project or any
  3 42 right to the capacity of such project, including the
  3 43 acquisition, construction, or acquisition of any
  3 44 interest in an electric power generating plant to be
  3 45 constructed in this state, or the acquisition,
  3 46 construction, or acquisition of any interest in a
  3 47 transmission line or system.
  3 48    b.  The funding or refunding of the principal of,
  3 49 or interest or redemption premiums on, any public
  3 50 bonds or obligations issued by the electric power
  4  1 agency whether or not the public bonds or obligations
  4  2 or interest to be funded or refunded have become due.
  4  3    c.  The establishment or increase of reserves to
  4  4 secure or to pay the public bonds or obligations or
  4  5 interest on the public bonds or obligations.
  4  6    d.  The payment of all other costs or expenses of
  4  7 the electric power agency incident to and necessary to
  4  8 carry out its purposes and powers.
  4  9    2.  Notwithstanding anything in this subchapter or
  4 10 chapter 28F to the contrary, a facility shall not be
  4 11 financed with the proceeds of public bonds or
  4 12 obligations, the interest on which is exempt from
  4 13 federal income tax, unless the public issuer of such
  4 14 public bonds or obligations covenants that the issuer
  4 15 shall comply with the requirements or limitations
  4 16 imposed by the Internal Revenue Code or other
  4 17 applicable federal law to preserve the tax exemption
  4 18 of interest payable on the bonds or obligations.
  4 19    3.  Notwithstanding anything in this subchapter or
  4 20 chapter 28F to the contrary, an electric power
  4 21 generating facility shall not be financed under this
  4 22 subchapter unless all of the following conditions are
  4 23 satisfied:
  4 24    a.  The electric power generating facility is
  4 25 designed to serve only the electric power requirements
  4 26 of retail customers of members that were municipal
  4 27 electric utilities established in the state prior to
  4 28 January 1, 2001.
  4 29    b.  The electric power agency annually files with
  4 30 the board, in a manner to be determined by the board,
  4 31 information regarding sales from the electric power
  4 32 generating facility in sufficient detail to determine
  4 33 compliance with these provisions.
  4 34    The board shall report to the general assembly if
  4 35 any of the provisions are being violated.
  4 36    Sec.    .  NEW SECTION.  476A.24  PUBLIC BONDS OR
  4 37 OBLIGATIONS AUTHORIZED BY RESOLUTION OF BOARD –
  4 38 TERMS.
  4 39    1.  The board of directors of an electric power
  4 40 agency, by resolution, may authorize the issuance of
  4 41 public bonds or obligations of the electric power
  4 42 agency.
  4 43    2.  The public bonds or obligations may be issued
  4 44 in one or more series under the resolution or under a
  4 45 trust indenture or other security agreement.
  4 46    3.  The resolution, trust indenture, or other
  4 47 security agreement, with respect to such public bonds
  4 48 or obligations, shall provide for all of the
  4 49 following:
  4 50    a.  The date on the public bonds or obligations.
  5  1    b.  The time of maturity.
  5  2    c.  The rate of interest.
  5  3    d.  The denomination.
  5  4    e.  The form, either coupon or registered.
  5  5    f.  The conversion, registration, and exchange
  5  6 privileges.
  5  7    g.  The rank or priority.
  5  8    h.  The manner of execution.
  5  9    i.  The medium of payment, including the place of
  5 10 payment, either within or outside of the state.
  5 11    j.  The terms of redemption, either with or without
  5 12 premium.
  5 13    k.  Such other terms and conditions as set forth by
  5 14 the board in the resolution, trust indenture, or other
  5 15 security agreement.
  5 16    4.  Public bonds or obligations authorized by the
  5 17 board of directors shall not be subject to any
  5 18 restriction under other law with respect to the
  5 19 amount, maturity, interest rate, or other terms of
  5 20 obligation of a public agency or private person.
  5 21    5.  Chapter 75 shall not apply to public bonds or
  5 22 obligations authorized by the board of directors as
  5 23 provided in this section.
  5 24    Sec.    .  NEW SECTION.  476A.25  PUBLIC BONDS OR
  5 25 OBLIGATIONS PAYABLE SOLELY FROM AGENCY REVENUES OR
  5 26 FUNDS.
  5 27    1.  The principal of and interest on any public
  5 28 bonds or obligations issued by an electric power
  5 29 agency shall be payable solely from the revenues or
  5 30 funds pledged or available for their payment as
  5 31 authorized in this subchapter.
  5 32    2.  Each public bond or obligation shall contain
  5 33 all of the following terms:
  5 34    a.  That the principal of or interest on such
  5 35 public bonds or obligation is payable solely from
  5 36 revenues or funds of the electric power agency.
  5 37    b.  That neither the state or a political
  5 38 subdivision of the state other than the electric power
  5 39 agency, nor a public agency that is a member of the
  5 40 electric power agency is obligated to pay the
  5 41 principal or interest on such public bonds or
  5 42 obligations.
  5 43    c.  That neither the full faith and credit nor the
  5 44 taxing power of the state, of any political
  5 45 subdivision of the state, or of any such public agency
  5 46 is pledged to the payment of the principal of or the
  5 47 interest on the public bonds or obligations.
  5 48    Sec.    .  NEW SECTION.  476A.26  PUBLIC BONDS OR
  5 49 OBLIGATIONS – TYPES – SOURCES FOR PAYMENT –
  5 50 SECURITY.
  6  1    1.  Except as otherwise expressly provided by this
  6  2 subchapter or by the electric power agency, every
  6  3 issue of public bonds or obligations of the electric
  6  4 power agency shall be payable out of any revenues or
  6  5 funds of the electric power agency, subject only to
  6  6 any agreements with the holders of particular public
  6  7 bonds or obligations pledging any particular revenues
  6  8 or funds.
  6  9    2.  An electric power agency may issue types of
  6 10 public bonds or obligations as it may determine,
  6 11 including public bonds or obligations as to which the
  6 12 principal and interest are payable exclusively from
  6 13 the revenues from one or more projects, or from an
  6 14 interest in such project or projects, or a right to
  6 15 capacity of such project or projects, or from any
  6 16 revenue-producing contract made by the electric power
  6 17 agency with any person, or from its revenues
  6 18 generally.
  6 19    3.  Any public bonds or obligations may be
  6 20 additionally secured by a pledge of any grant,
  6 21 subsidy, or contribution from any public agency or
  6 22 other person, or a pledge of any income or revenues,
  6 23 funds, or moneys of the electric power agency from any
  6 24 other source.
  6 25    Sec.    .  NEW SECTION.  476A.27  PUBLIC BONDS OR
  6 26 OBLIGATIONS AND RATES FOR DEBT SERVICE NOT SUBJECT TO
  6 27 STATE APPROVAL.
  6 28    Public bonds or obligations of an electric power
  6 29 agency may be issued under this subchapter, and rents,
  6 30 rates, and charges may be established in the same
  6 31 manner as provided in section 28F.5 and pledged for
  6 32 the security of public bonds or obligations and
  6 33 interest and redemption premiums on such public bonds
  6 34 or obligations, without obtaining the consent of any
  6 35 department, division, commission, board, bureau, or
  6 36 agency of the state and without any other proceeding
  6 37 or the happening of any other condition or occurrence,
  6 38 except as specifically required by this subchapter.
  6 39    Sec.    .  NEW SECTION.  476A.28  PUBLIC BONDS OR
  6 40 OBLIGATIONS TO BE NEGOTIABLE.
  6 41    All public bonds or obligations of an electric
  6 42 power agency shall be negotiable within the meaning
  6 43 and for all of the purposes of the uniform commercial
  6 44 code, chapter 554, subject only to the registration
  6 45 requirement of section 76.10.
  6 46    Sec.    .  NEW SECTION.  476A.29  VALIDITY OF
  6 47 PUBLIC BONDS OR OBLIGATIONS AT DELIVERY – TEMPORARY
  6 48 BONDS.
  6 49    1.  Any public bonds or obligations may be issued
  6 50 and delivered, notwithstanding that one or more of the
  7  1 officers executing them shall have ceased to hold
  7  2 office at the time when the public bonds or
  7  3 obligations are actually delivered.
  7  4    2.  Pending preparation of definitive bonds
  7  5 obligations, an electric power agency may issue
  7  6 temporary bonds or obligations that shall be exchanged
  7  7 for the definitive bonds or obligations upon their
  7  8 issuance.
  7  9    Sec.    .  NEW SECTION.  476A.30  PUBLIC OR PRIVATE
  7 10 SALE OF BONDS AND NOTES.
  7 11    Public bonds or obligations of an electric power
  7 12 agency may be sold at public or private sale for a
  7 13 price and in a manner determined by the electric power
  7 14 agency.
  7 15    Sec.    .  NEW SECTION.  476A.31  PUBLIC BONDS OR
  7 16 OBLIGATIONS AS SUITABLE INVESTMENTS FOR GOVERNMENTAL
  7 17 UNITS, FINANCIAL INSTITUTIONS, AND FIDUCIARIES.
  7 18    The following persons may legally invest any debt
  7 19 service funds, money, or other funds belonging to such
  7 20 person or within such person's control in any public
  7 21 bonds or obligations issued pursuant to this
  7 22 subchapter:
  7 23    1.  A bank, trust company, savings association,
  7 24 building and loan association, savings and loan
  7 25 association, or investment company.
  7 26    2.  An insurance company, insurance association, or
  7 27 any other person carrying on an insurance business.
  7 28    3.  An executor, administrator, conservator,
  7 29 trustee, or other fiduciary.
  7 30    4.  Any other person authorized to invest in bonds
  7 31 or obligations of the state.
  7 32    Sec.    .  NEW SECTION.  476A.32  RESOLUTION, TRUST
  7 33 INDENTURE, OR SECURITY AGREEMENT CONSTITUTES CONTRACT
  7 34 – PROVISIONS.
  7 35    The resolution, trust indenture, or other security
  7 36 agreement under which any public bonds or obligations
  7 37 are issued shall constitute a contract with the
  7 38 holders of the public bonds or obligations, and may
  7 39 contain provisions, among others, prescribing any of
  7 40 the following terms:
  7 41    1.  The terms and provisions of the public bonds or
  7 42 obligations.
  7 43    2.  The mortgage or pledge of and the grant of a
  7 44 security interest in any real or personal property and
  7 45 all or any part of the revenue from any project or any
  7 46 revenue producing contract made by the electric power
  7 47 agency with any person to secure the payment of public
  7 48 bonds or obligations, subject to any agreements with
  7 49 the holders of public bonds or obligations which might
  7 50 then exist.
  8  1    3.  The custody, collection, securing, investment,
  8  2 and payment of any revenues, assets, money, funds, or
  8  3 property with respect to which the electric power
  8  4 agency may have any rights or interest.
  8  5    4.  The rates or charges for electric energy sold
  8  6 by, or services rendered by, the electric power
  8  7 agency, the amount to be raised by the rates or
  8  8 charges, and the use and disposition of any or all
  8  9 revenue.
  8 10    5.  The creation of reserves or debt service funds
  8 11 and the regulation and disposition of such reserves or
  8 12 funds.
  8 13    6.  The purposes to which the proceeds from the
  8 14 sale of any public bonds or obligations to be issued
  8 15 may be applied, and the pledge of the proceeds to
  8 16 secure the payment of the public bonds or obligations.
  8 17    7.  Limitations on the issuance of any additional
  8 18 public bonds or obligations, the terms upon which
  8 19 additional public bonds or obligations may be issued
  8 20 and secured, and the refunding of outstanding public
  8 21 bonds or obligations.
  8 22    8.  The rank or priority of any public bonds or
  8 23 obligations with respect to any lien or security.
  8 24    9.  The creation of special funds or moneys to be
  8 25 held for operating expenses, payment, or redemption of
  8 26 public bonds or obligations, reserves or other
  8 27 purposes, and the use and disposition of moneys held
  8 28 in these funds.
  8 29    10.  The procedure by which the terms of any
  8 30 contract with or for the benefit of the holders of
  8 31 public bonds or obligations may be amended or
  8 32 abrogated, the amount of public bonds or obligations
  8 33 the holders of which must consent to such amendment or
  8 34 abrogation, and the manner in which consent may be
  8 35 given.
  8 36    11.  The definition of the acts or omissions to act
  8 37 that constitute a default in the duties of the
  8 38 electric power agency to holders of its public bonds
  8 39 or obligations, and the rights and remedies of the
  8 40 holders in the event of default including, if the
  8 41 electric power agency so determines, the right to
  8 42 accelerate the date of the maturation of the public
  8 43 bonds or obligations or the right to appoint a
  8 44 receiver or receivers of the property or revenues
  8 45 subject to the lien of the resolution, trust
  8 46 indenture, or other security agreement.
  8 47    12.  Any other or additional agreements with or for
  8 48 the benefit of the holders of public bonds or
  8 49 obligations or any covenants or restrictions necessary
  8 50 or desirable to safeguard the interests of the
  9  1 holders.
  9  2    13.  The custody of any of the electric power
  9  3 agency's property or investments, the safekeeping of
  9  4 such property or investments, the insurance to be
  9  5 carried on such property or investments, and the use
  9  6 and disposition of insurance proceeds.
  9  7    14.  The vesting in a trustee or trustees, within
  9  8 or outside the state, of such property, rights,
  9  9 powers, and duties as the electric power agency may
  9 10 determine; or the limiting or abrogating of the rights
  9 11 of the holders of any public bonds or obligations to
  9 12 appoint a trustee, or the limiting of the rights,
  9 13 powers, and duties of such trustee.
  9 14    15.  The appointment of and the establishment of
  9 15 the duties and obligations of any paying agent or
  9 16 other fiduciary within or outside the state.
  9 17    Sec.    .  NEW SECTION.  476A.33  MORTGAGE OR TRUST
  9 18 DEED TO SECURE BONDS.
  9 19    For the security of public bonds or obligations
  9 20 issued or to be issued by an electric power agency,
  9 21 the electric power agency may mortgage or execute
  9 22 deeds of trust of the whole or any part of its
  9 23 property.
  9 24    Sec.    .  NEW SECTION.  476A.34  NO PERSONAL
  9 25 LIABILITY ON PUBLIC BONDS OR OBLIGATIONS.
  9 26    An official, director, member of an electric power
  9 27 agency, or any person executing public bonds or
  9 28 obligations shall not be liable personally on the
  9 29 public bonds or obligations or be subject to any
  9 30 personal liability or accountability by reason of the
  9 31 issuance of such public bonds or obligations.
  9 32    Sec.    .  NEW SECTION.  476A.35  REPURCHASE OF
  9 33 SECURITIES.
  9 34    An electric power agency may purchase public bonds
  9 35 or obligations out of any funds available for such
  9 36 purchase, and hold, pledge, cancel, or resell the
  9 37 public bonds or obligations, subject to and in
  9 38 accordance with any agreements with the holders.
  9 39    Sec.    .  NEW SECTION.  476A.36  PLEDGE OF REVENUE
  9 40 AS SECURITY.
  9 41    An electric power agency may pledge its rates,
  9 42 rents, and other revenues, or any part of such rates,
  9 43 rents, and revenues, as security for the repayment,
  9 44 with interest and redemption premiums, if any, of the
  9 45 moneys borrowed by the electric power agency or
  9 46 advanced to the electric power agency for any of its
  9 47 authorized purposes and as security for the payment of
  9 48 moneys due and owed by the electric power agency under
  9 49 any contract.
  9 50    Sec.    .  CODE EDITOR DIRECTIVE.  The Code editor
 10  1 shall change references to "this chapter" in sections
 10  2 476A.1 through 476A.15 as necessary and appropriate to
 10  3 reflect the addition of the new subchapter to chapter
 10  4 476A as a result of this Act.""
 10  5    #2.  By renumbering as necessary.  
 10  6 
 10  7 
 10  8                               
 10  9 CHIODO of Polk 
 10 10 HF 698.702 79
 10 11 jj/cls
     

Text: H01625                            Text: H01627
Text: H01600 - H01699                   Text: H Index
Bills and Amendments: General Index     Bill History: General Index

Return To Home index


© 2001 Cornell College and League of Women Voters of Iowa


Comments about this site or page? webmaster@legis.iowa.gov.
Please remember that the person listed above does not vote on bills. Direct all comments concerning legislation to State Legislators.

Last update: Wed Apr 25 03:35:30 CDT 2001
URL: /DOCS/GA/79GA/Legislation/H/01600/H01626/010423.html
jhf