Text: S03604                            Text: S03606
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Senate Amendment 3605

Amendment Text

PAG LIN
  1  1    Amend House File 742, as amended, passed, and
  1  2 reprinted by the House, as follows:
  1  3    #1.  Page 15, by inserting after line 35, the
  1  4 following:
  1  5    "Sec.    .  Section 8.57, subsection 5, paragraph
  1  6 e, Code 2001, is amended to read as follows:
  1  7    e.  Notwithstanding provisions to the contrary in
  1  8 sections 99D.17 and 99F.11, for the fiscal year
  1  9 beginning July 1, 2000, and for each fiscal year
  1 10 thereafter, not more than a total of sixty million
  1 11 dollars shall be deposited in the general fund of the
  1 12 state in any fiscal year pursuant to sections 99D.17
  1 13 and 99F.11.  The next fifteen million dollars of the
  1 14 moneys directed to be deposited in the general fund of
  1 15 the state in a fiscal year pursuant to sections 99D.17
  1 16 and 99F.11 shall be deposited in the vision Iowa fund
  1 17 created in section 12.72 for the fiscal year beginning
  1 18 July 1, 2000, and for each fiscal year through the
  1 19 fiscal year beginning July 1, 2019.  The next five
  1 20 million dollars of the moneys directed to be deposited
  1 21 in the general fund of the state in a fiscal year
  1 22 pursuant to sections 99D.17 and 99F.11 shall be
  1 23 deposited in the school infrastructure fund created in
  1 24 section 12.82 for the fiscal year beginning July 1,
  1 25 2000, and for each fiscal year thereafter until the
  1 26 principal and interest on all bonds issued by the
  1 27 treasurer of state pursuant to section 12.81 are paid,
  1 28 as determined by the treasurer of state.  Once the
  1 29 deposits in the general fund of the state and the
  1 30 vision Iowa and school infrastructure funds are made,
  1 31 an amount sufficient to pay any amounts due during a
  1 32 fiscal year on bonds issued for construction of a
  1 33 multipurpose laboratory facility pursuant to sections
  1 34 12.29 and 12.29A, together with any interest due on
  1 35 the bonds during the fiscal year, shall be deposited
  1 36 in the multipurpose laboratory facility construction
  1 37 fund established in section 12.29A from the moneys
  1 38 directed to be deposited in the general fund of the
  1 39 state during the fiscal year pursuant to sections
  1 40 99D.17 and 99F.11.  The total moneys in excess of the
  1 41 moneys deposited in the general fund of the state, the
  1 42 vision Iowa fund, and the school infrastructure fund,
  1 43 and the multipurpose laboratory facility construction
  1 44 fund, in a fiscal year shall be deposited in the
  1 45 rebuild Iowa infrastructure fund and shall be used as
  1 46 provided in this section, notwithstanding section
  1 47 8.60.
  1 48    Sec.    .  NEW SECTION.  12.29  BONDING POWERS –
  1 49 STATE AGENCY PURCHASE OF REAL OR PERSONAL PROPERTY.
  1 50    1.  The treasurer of state may issue bonds for the
  2  1 purchase of real or personal property for use by a
  2  2 state agency if a constitutional majority of each
  2  3 house of the general assembly authorizes, and the
  2  4 governor approves, the treasurer of state to issue
  2  5 such bonds.  The treasurer of state shall have all of
  2  6 the powers necessary to issue and secure bonds for the
  2  7 purposes set forth in this section.  The treasurer of
  2  8 state may issue bonds in principal amounts that are
  2  9 necessary to provide sufficient funds for the purposes
  2 10 authorized by the general assembly and the governor,
  2 11 the payment of interest on the bonds, the
  2 12 establishment of reserves to secure the bonds, the
  2 13 costs of issuance of the bonds, other expenditures of
  2 14 the treasurer of state incident to and necessary or
  2 15 convenient to carry out the bond issue for the
  2 16 authorized purchase of real or personal property.  The
  2 17 bonds are investment securities and negotiable
  2 18 instruments within the meaning of and for purposes of
  2 19 the uniform commercial code.
  2 20    2.  Bonds issued under this section are payable
  2 21 solely and only out of moneys deposited in a special
  2 22 fund established by the general assembly and
  2 23 authorized by the governor and designated for the
  2 24 specific authorized purchase of real or personal
  2 25 property, and any bond reserve funds established for
  2 26 the specific authorized purchase, all of which may be
  2 27 deposited with trustees or depositories in accordance
  2 28 with bond or security documents and pledged by the
  2 29 treasurer to the payment thereof.  Bonds issued under
  2 30 this section shall contain on their face a statement
  2 31 that the bonds do not constitute an indebtedness of
  2 32 the state.  The treasurer of state shall not pledge
  2 33 the credit or taxing power of this state or any
  2 34 political subdivision of this state or make bonds
  2 35 issued pursuant to this section payable out of any
  2 36 moneys except moneys deposited in a special fund
  2 37 designated for the specific authorized purchase.
  2 38    3.  The proceeds of bonds issued by the treasurer
  2 39 of state and not required for immediate disbursement
  2 40 may be deposited with a trustee or depository as
  2 41 provided in the bond documents and invested or
  2 42 reinvested in any investment as directed by the
  2 43 department of general services and specified in the
  2 44 trust indenture, resolution, or other instrument
  2 45 pursuant to which the bonds are issued without regard
  2 46 to any limitation otherwise provided by law.
  2 47    4.  The bonds shall be:
  2 48    a.  In a form, issued in denominations, executed in
  2 49 a manner, and payable over terms and with rights of
  2 50 redemption, and be subject to such other terms and
  3  1 conditions as prescribed in the trust indenture,
  3  2 resolution, or other instrument authorizing their
  3  3 issuance.
  3  4    b.  Negotiable instruments under the laws of the
  3  5 state and may be sold at prices, at public or private
  3  6 sale, and in a manner, as prescribed by the treasurer
  3  7 of state.  Chapters 73A, 74, 74A, and 75 do not apply
  3  8 to the sale or issuance of the bonds.
  3  9    c.  Subject to the terms, conditions, and covenants
  3 10 providing for the payment of the principal, redemption
  3 11 premiums, if any, interest, and other terms,
  3 12 conditions, covenants, and protective provisions
  3 13 safeguarding payment, not inconsistent with this
  3 14 section and as determined by the trust indenture,
  3 15 resolution, or other instrument authorizing their
  3 16 issuance.
  3 17    5.  The bonds are securities in which public
  3 18 officers and bodies of this state; political
  3 19 subdivisions of this state; insurance companies and
  3 20 associations and other persons carrying on an
  3 21 insurance business; banks, trust companies, savings
  3 22 associations, savings and loan associations, and
  3 23 investment companies; administrators, guardians,
  3 24 executors, trustees, and other fiduciaries; and other
  3 25 persons authorized to invest in bonds or other
  3 26 obligations of the state, may properly and legally
  3 27 invest funds, including capital, in their control or
  3 28 belonging to them.
  3 29    6.  Bonds must be authorized by a trust indenture,
  3 30 resolution, or other instrument of the treasurer of
  3 31 state approved by the department of general services.
  3 32 However, a trust indenture, resolution, or other
  3 33 instrument authorizing the issuance of bonds may
  3 34 delegate to an employee of the department of general
  3 35 services the power to negotiate and fix the details of
  3 36 an issue of bonds.
  3 37    7.  Neither the resolution or trust agreement, or
  3 38 any other instrument by which a pledge is created
  3 39 needs to be recorded or filed under the Iowa uniform
  3 40 commercial code to be valid, binding, or effective.
  3 41    8.  Bonds issued under this section are declared to
  3 42 be issued for a general public and governmental
  3 43 purpose and all bonds issued under this section shall
  3 44 be exempt from taxation by the state of Iowa and the
  3 45 interest on the bonds shall be exempt from the state
  3 46 income tax and the state inheritance and estate tax.
  3 47    9.  The treasurer of state may issue bonds for the
  3 48 purpose of refunding any bonds or notes issued
  3 49 pursuant to this section then outstanding, including
  3 50 the payment of any redemption premiums thereon and any
  4  1 interest accrued or to accrue to the date of
  4  2 redemption of the outstanding bonds or notes.  Until
  4  3 the proceeds of bonds issued for the purpose of
  4  4 refunding outstanding bonds or notes are applied to
  4  5 the purchase or retirement of outstanding bonds or
  4  6 notes or the redemption of outstanding bonds or notes,
  4  7 the proceeds may be placed in escrow and be invested
  4  8 and reinvested in accordance with the provisions of
  4  9 this section.  The interest, income, and profits
  4 10 earned or realized on an investment may also be
  4 11 applied to the payment of the outstanding bonds or
  4 12 notes to be refunded by purchase, retirement, or
  4 13 redemption.  After the terms of the escrow have been
  4 14 fully satisfied and carried out, any balance of
  4 15 proceeds and interest earned or realized on the
  4 16 investments may be returned to the treasurer for
  4 17 deposit in the special fund designated for the
  4 18 specific authorized purchase.  All refunding bonds
  4 19 shall be issued and secured and subject to the
  4 20 provisions of this chapter in the same manner and to
  4 21 the same extent as other bonds issued pursuant to this
  4 22 section.
  4 23    Sec.    .  NEW SECTION.  12.29A  MULTIPURPOSE
  4 24 LABORATORY FACILITY CONSTRUCTION FUND.
  4 25    1.  A multipurpose laboratory facility construction
  4 26 fund is created and established as a separate and
  4 27 distinct fund in the state treasury.  The moneys are
  4 28 appropriated to the department of general services for
  4 29 purposes of construction of a multipurpose laboratory
  4 30 facility that will provide space for the use of the
  4 31 state medical examiner, for the laboratories of the
  4 32 department of agriculture and land stewardship and the
  4 33 division of criminal investigation of the department
  4 34 of public safety, and for the board of regents
  4 35 hygienic laboratory.  The department may use the funds
  4 36 for purchasing land for construction of the facility,
  4 37 for planning, design, and construction of the
  4 38 facility, and for purchasing laboratory and
  4 39 telecommunications equipment for the facility.
  4 40    2.  The treasurer of state shall act as custodian
  4 41 of the fund and disburse moneys contained in the fund
  4 42 as directed by the department of general services,
  4 43 including automatic disbursements of funds received
  4 44 pursuant to the terms of bond indentures and documents
  4 45 and security provisions to trustees.  The fund shall
  4 46 be administered by the department which shall make
  4 47 expenditures from the fund for expenses related to the
  4 48 purposes described in subsection 1 without further
  4 49 appropriation.
  4 50    3.  Revenue for the multipurpose laboratory
  5  1 facility construction fund shall include, but is not
  5  2 limited to, the following, which shall be deposited
  5  3 with the treasurer of state or the treasurer's
  5  4 designee, as provided by any bond or security
  5  5 documents and credited to the fund:
  5  6    a.  The proceeds of bonds issued to capitalize and
  5  7 pay the costs of the fund and investment earnings on
  5  8 the proceeds.
  5  9    b.  Interest attributable to investment of moneys
  5 10 in the fund or on account of the fund.
  5 11    c.  Moneys in the form of a devise, gift, bequest,
  5 12 donation, federal or other grant, reimbursement,
  5 13 repayment, judgment, transfer, payment, or
  5 14 appropriation from any source intended to be used for
  5 15 purposes of the fund.
  5 16    4.  Moneys in the multipurpose laboratory facility
  5 17 construction fund are not subject to section 8.33.
  5 18 Notwithstanding section 12C.7, subsection 2, interest
  5 19 or earnings on moneys in the fund shall be credited to
  5 20 the fund.
  5 21    5.  a.  The treasurer of state may create and
  5 22 establish one or more special funds, to be known as
  5 23 "bond reserve funds", to secure one or more issues of
  5 24 bonds or notes issued pursuant to section 12.29.  The
  5 25 treasurer of state shall pay into each bond reserve
  5 26 fund any moneys appropriated and made available by the
  5 27 state or the treasurer for the purpose of the fund,
  5 28 any proceeds of sale of notes or bonds to the extent
  5 29 provided in the resolutions authorizing their
  5 30 issuance, and any other moneys which may be available
  5 31 to the treasurer for the purpose of the fund from any
  5 32 other sources.  All moneys held in a bond reserve
  5 33 fund, except as otherwise provided in this chapter,
  5 34 shall be used as required solely for the payment of
  5 35 the principal of bonds secured in whole or in part by
  5 36 the fund or of the sinking fund payments with respect
  5 37 to the bonds, the purchase or redemption of the bonds,
  5 38 the payment of interest on the bonds, or the payments
  5 39 of any redemption premium required to be paid when the
  5 40 bonds are redeemed prior to maturity.
  5 41    b.  Moneys in a bond reserve fund shall not be
  5 42 withdrawn from it at any time in an amount that will
  5 43 reduce the amount of the fund to less than the bond
  5 44 reserve fund requirement established for the fund, as
  5 45 provided in this subsection, except for the purpose of
  5 46 making, with respect to bonds secured in whole or in
  5 47 part by the fund, payment when due of principal,
  5 48 interest, redemption premiums, and the sinking fund
  5 49 payments with respect to the bonds for the payment of
  5 50 which other moneys of the treasurer are not available.
  6  1 Any income or interest earned by, or incremental to, a
  6  2 bond reserve fund due to the investment of it may be
  6  3 transferred by the treasurer to other funds or
  6  4 accounts to the extent the transfer does not reduce
  6  5 the amount of that bond reserve fund below the bond
  6  6 reserve fund requirement for it.
  6  7    c.  The treasurer of state shall not at any time
  6  8 issue bonds, secured in whole or in part by a bond
  6  9 reserve fund if, upon the issuance of the bonds, the
  6 10 amount in the bond reserve fund will be less than the
  6 11 bond reserve fund requirement for the fund, unless the
  6 12 treasurer at the time of issuance of the bonds
  6 13 deposits in the fund from the proceeds of the bonds
  6 14 issued or from other sources an amount which, together
  6 15 with the amount then in the fund will not be less than
  6 16 the bond reserve fund requirement for the fund.  For
  6 17 the purposes of this subsection, the term "bond
  6 18 reserve fund requirement" means, as of any particular
  6 19 date of computation, an amount of money, as provided
  6 20 in the resolutions authorizing the bonds with respect
  6 21 to which the fund is established.
  6 22    d.  To assure the continued solvency of any bonds
  6 23 secured by the bond reserve fund, provision is made in
  6 24 paragraph "a" for the accumulation in each bond
  6 25 reserve fund of an amount equal to the bond reserve
  6 26 fund requirement for the fund.  In order further to
  6 27 assure maintenance of the bond reserve funds, the
  6 28 treasurer shall, on or before January 1 of each
  6 29 calendar year, make and deliver to the governor the
  6 30 treasurer's certificate stating the sum, if any,
  6 31 required to restore each bond reserve fund to the bond
  6 32 reserve fund requirement for that fund.  Within thirty
  6 33 days after the beginning of the session of the general
  6 34 assembly next following the delivery of the
  6 35 certificate, the governor shall submit to both houses
  6 36 printed copies of a budget including the sum, if any,
  6 37 required to restore each bond reserve fund to the bond
  6 38 reserve fund requirement for that fund.  Any sums
  6 39 appropriated by the general assembly and paid to the
  6 40 treasurer pursuant to this subsection shall be
  6 41 deposited by the authority in the applicable bond
  6 42 reserve fund.
  6 43    6.  Enactment of this section constitutes
  6 44 authorization by the general assembly and approved by
  6 45 the governor, as required under sections 12.29 and
  6 46 18.12A, for the issuance of bonds by the treasurer of
  6 47 state under section 12.29 for the purposes described
  6 48 in this section up to an aggregate principal amount of
  6 49 sixty-two million dollars.
  6 50    Sec.    .  NEW SECTION.  12.29B  PLEDGES.
  7  1    It is the intention of the general assembly that a
  7  2 pledge made in respect to bonds or notes shall be
  7  3 valid and binding from the time the pledge is made,
  7  4 that the moneys or property so pledged and received
  7  5 after the pledge by the treasurer of state shall
  7  6 immediately be subject to the lien of the pledge
  7  7 without physical delivery or further act, and that the
  7  8 lien of the pledge shall be valid and binding as
  7  9 against all parties having claims of any kind in tort,
  7 10 contract, or otherwise against the treasurer of state
  7 11 whether or not the parties have notice of the lien."
  7 12    #2.  Page 16, by inserting before line 8, the
  7 13 following:
  7 14    "Sec.    .  NEW SECTION.  18.12A  BONDING FOR STATE
  7 15 AGENCY PURCHASE OF REAL OR PERSONAL PROPERTY.
  7 16    If a constitutional majority of each house of the
  7 17 general assembly authorizes, and the governor
  7 18 approves, the treasurer of state to issue bonds for
  7 19 the purchase of real or personal property for use by a
  7 20 state agency as provided in section 12.29, the
  7 21 department shall cooperate with the treasurer of state
  7 22 in issuing the bonds and providing the information
  7 23 necessary to complete the issuance of the bonds."
  7 24    #3.  Title page, line 16, by inserting after the
  7 25 word "changes," the following:  "providing bonding
  7 26 authority to the treasurer of state for certain state
  7 27 projects and making a standing appropriation for
  7 28 payment of such bonds on a specific project,".
  7 29    #4.  By renumbering, redesignating, and correcting
  7 30 internal references as necessary.  
  7 31 
  7 32 
  7 33                               
  7 34 MIKE CONNOLLY 
  7 35 HF 742.707 79
  7 36 nh/cls
     

Text: S03604                            Text: S03606
Text: S03600 - S03699                   Text: S Index
Bills and Amendments: General Index     Bill History: General Index

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