Text: S03685 Text: S03687 Text: S03600 - S03699 Text: S Index Bills and Amendments: General Index Bill History: General Index
PAG LIN 1 1 Amend House File 577, as amended, passed, and 1 2 reprinted by the House, as follows: 1 3 #1. By striking everything after the enacting 1 4 clause and inserting the following: 1 5 "Section 1. NEW SECTION. 476A.20 DEFINITIONS. 1 6 For purposes of this subchapter, unless the context 1 7 otherwise requires: 1 8 1. "Electric power agency" means an entity as 1 9 defined in section 28F.2. 1 10 2. "Facility" means an electric power generating 1 11 plant, or transmission line or system, as defined in 1 12 section 476A.1. 1 13 3. "Public bond or obligation" means an obligation 1 14 as defined in section 76.14. 1 15 Sec. 2. NEW SECTION. 476A.21 ELECTRIC POWER 1 16 AGENCY GENERAL AUTHORITY. 1 17 In addition to other powers conferred upon an 1 18 electric power agency by chapter 28F or other 1 19 applicable law, an electric power agency may enter 1 20 into and carry out joint agreements with other 1 21 participants for the acquisition of ownership of a 1 22 joint facility and for the planning, financing, 1 23 operation, and maintenance of the joint facility, as 1 24 provided in this subchapter. 1 25 Sec. 3. NEW SECTION. 476A.22 ELECTRIC POWER 1 26 AGENCY AUTHORITY CONFLICTING PROVISIONS. 1 27 1. In addition to any powers conferred upon an 1 28 electric power agency under chapter 28F or other 1 29 applicable law, an electric power agency may exercise 1 30 all other powers reasonably necessary or appropriate 1 31 for or incidental to the effectuation of the electric 1 32 power agency's authorized purposes, including without 1 33 limitation, the powers enumerated in chapters 6A and 1 34 6B for purposes of constructing or acquiring an 1 35 electric power facility. 1 36 2. An electric power agency, in connection with 1 37 its property and affairs, and in connection with 1 38 property within its control, may exercise any and all 1 39 powers that might be exercised by a natural person or 1 40 a private corporation in connection with similar 1 41 property and affairs. 1 42 3. The enumeration of specified powers and 1 43 functions of an electric power agency in this 1 44 subchapter is not a limitation of the powers of an 1 45 electric power agency, but the procedures prescribed 1 46 for exercising the powers and functions enumerated in 1 47 this subchapter control and govern in the event of any 1 48 conflict with any other provision of law. 1 49 4. The authority conferred pursuant to this 1 50 subchapter applies to electric power agencies, 2 1 notwithstanding any contrary provisions of section 2 2 28F.1. 2 3 Sec. 4. NEW SECTION. 476A.23 ISSUANCE OF PUBLIC 2 4 BONDS OR OBLIGATIONS PURPOSES LIMITATIONS. 2 5 1. An electric power agency may from time to time 2 6 issue its public bonds or obligations in such 2 7 principal amounts as the electric power agency deems 2 8 necessary to provide sufficient funds to carry out any 2 9 of its purposes and powers, including but not limited 2 10 to any of the following: 2 11 a. The acquisition or construction of any project 2 12 to be owned or leased by the electric power agency, or 2 13 the acquisition of any interest in such project or any 2 14 right to the capacity of such project, including the 2 15 acquisition, construction, or acquisition of any 2 16 interest in an electric power generating plant to be 2 17 constructed in this state, or the acquisition, 2 18 construction, or acquisition of any interest in a 2 19 transmission line or system. 2 20 b. The funding or refunding of the principal of, 2 21 or interest or redemption premiums on, any public 2 22 bonds or obligations issued by the electric power 2 23 agency whether or not the public bonds or obligations 2 24 or interest to be funded or refunded have become due. 2 25 c. The establishment or increase of reserves to 2 26 secure or to pay the public bonds or obligations or 2 27 interest on the public bonds or obligations. 2 28 d. The payment of all other costs or expenses of 2 29 the electric power agency incident to and necessary to 2 30 carry out its purposes and powers. 2 31 2. Notwithstanding anything in this subchapter or 2 32 chapter 28F to the contrary, a facility shall not be 2 33 financed with the proceeds of public bonds or 2 34 obligations, the interest on which is exempt from 2 35 federal income tax, unless the public issuer of such 2 36 public bonds or obligations covenants that the issuer 2 37 shall comply with the requirements or limitations 2 38 imposed by the Internal Revenue Code or other 2 39 applicable federal law to preserve the tax exemption 2 40 of interest payable on the bonds or obligations. 2 41 3. Notwithstanding anything in this subchapter or 2 42 chapter 28F to the contrary, an electric power 2 43 generating facility shall not be financed under this 2 44 subchapter unless all of the following conditions are 2 45 satisfied: 2 46 a. The electric power generating facility is 2 47 designed to serve only the electric power requirements 2 48 of retail customers of members that were municipal 2 49 electric utilities established in the state prior to 2 50 January 1, 2001. 3 1 b. The electric power agency annually files with 3 2 the board, in a manner to be determined by the board, 3 3 information regarding sales from the electric power 3 4 generating facility in sufficient detail to determine 3 5 compliance with these provisions. 3 6 The board shall report to the general assembly if 3 7 any of the provisions are being violated. 3 8 Sec. 5. NEW SECTION. 476A.24 PUBLIC BONDS OR 3 9 OBLIGATIONS AUTHORIZED BY RESOLUTION OF BOARD 3 10 TERMS. 3 11 1. The board of directors of an electric power 3 12 agency, by resolution, may authorize the issuance of 3 13 public bonds or obligations of the electric power 3 14 agency. 3 15 2. The public bonds or obligations may be issued 3 16 in one or more series under the resolution or under a 3 17 trust indenture or other security agreement. 3 18 3. The resolution, trust indenture, or other 3 19 security agreement, with respect to such public bonds 3 20 or obligations, shall provide for all of the 3 21 following: 3 22 a. The date on the public bonds or obligations. 3 23 b. The time of maturity. 3 24 c. The rate of interest. 3 25 d. The denomination. 3 26 e. The form, either coupon or registered. 3 27 f. The conversion, registration, and exchange 3 28 privileges. 3 29 g. The rank or priority. 3 30 h. The manner of execution. 3 31 i. The medium of payment, including the place of 3 32 payment, either within or outside of the state. 3 33 j. The terms of redemption, either with or without 3 34 premium. 3 35 k. Such other terms and conditions as set forth by 3 36 the board in the resolution, trust indenture, or other 3 37 security agreement. 3 38 4. Public bonds or obligations authorized by the 3 39 board of directors shall not be subject to any 3 40 restriction under other law with respect to the 3 41 amount, maturity, interest rate, or other terms of 3 42 obligation of a public agency or private person. 3 43 5. Chapter 75 shall not apply to public bonds or 3 44 obligations authorized by the board of directors as 3 45 provided in this section. 3 46 Sec. 6. NEW SECTION. 476A.25 PUBLIC BONDS OR 3 47 OBLIGATIONS PAYABLE SOLELY FROM AGENCY REVENUES OR 3 48 FUNDS. 3 49 1. The principal of and interest on any public 3 50 bonds or obligations issued by an electric power 4 1 agency shall be payable solely from the revenues or 4 2 funds pledged or available for their payment as 4 3 authorized in this subchapter. 4 4 2. Each public bond or obligation shall contain 4 5 all of the following terms: 4 6 a. That the principal of or interest on such 4 7 public bonds or obligation is payable solely from 4 8 revenues or funds of the electric power agency. 4 9 b. That neither the state or a political 4 10 subdivision of the state other than the electric power 4 11 agency, nor a public agency that is a member of the 4 12 electric power agency is obligated to pay the 4 13 principal or interest on such public bonds or 4 14 obligations. 4 15 c. That neither the full faith and credit nor the 4 16 taxing power of the state, of any political 4 17 subdivision of the state, or of any such public agency 4 18 is pledged to the payment of the principal of or the 4 19 interest on the public bonds or obligations. 4 20 Sec. 7. NEW SECTION. 476A.26 PUBLIC BONDS OR 4 21 OBLIGATIONS TYPES SOURCES FOR PAYMENT 4 22 SECURITY. 4 23 1. Except as otherwise expressly provided by this 4 24 subchapter or by the electric power agency, every 4 25 issue of public bonds or obligations of the electric 4 26 power agency shall be payable out of any revenues or 4 27 funds of the electric power agency, subject only to 4 28 any agreements with the holders of particular public 4 29 bonds or obligations pledging any particular revenues 4 30 or funds. 4 31 2. An electric power agency may issue types of 4 32 public bonds or obligations as it may determine, 4 33 including public bonds or obligations as to which the 4 34 principal and interest are payable exclusively from 4 35 the revenues from one or more projects, or from an 4 36 interest in such project or projects, or a right to 4 37 capacity of such project or projects, or from any 4 38 revenue-producing contract made by the electric power 4 39 agency with any person, or from its revenues 4 40 generally. 4 41 3. Any public bonds or obligations may be 4 42 additionally secured by a pledge of any grant, 4 43 subsidy, or contribution from any public agency or 4 44 other person, or a pledge of any income or revenues, 4 45 funds, or moneys of the electric power agency from any 4 46 other source. 4 47 Sec. 8. NEW SECTION. 476A.27 PUBLIC BONDS OR 4 48 OBLIGATIONS AND RATES FOR DEBT SERVICE NOT SUBJECT TO 4 49 STATE APPROVAL. 4 50 Public bonds or obligations of an electric power 5 1 agency may be issued under this subchapter, and rents, 5 2 rates, and charges may be established in the same 5 3 manner as provided in section 28F.5 and pledged for 5 4 the security of public bonds or obligations and 5 5 interest and redemption premiums on such public bonds 5 6 or obligations, without obtaining the consent of any 5 7 department, division, commission, board, bureau, or 5 8 agency of the state and without any other proceeding 5 9 or the happening of any other condition or occurrence, 5 10 except as specifically required by this subchapter. 5 11 Sec. 9. NEW SECTION. 476A.28 PUBLIC BONDS OR 5 12 OBLIGATIONS TO BE NEGOTIABLE. 5 13 All public bonds or obligations of an electric 5 14 power agency shall be negotiable within the meaning 5 15 and for all of the purposes of the uniform commercial 5 16 code, chapter 554, subject only to the registration 5 17 requirement of section 76.10. 5 18 Sec. 10. NEW SECTION. 476A.29 VALIDITY OF PUBLIC 5 19 BONDS OR OBLIGATIONS AT DELIVERY TEMPORARY BONDS. 5 20 1. Any public bonds or obligations may be issued 5 21 and delivered, notwithstanding that one or more of the 5 22 officers executing them shall have ceased to hold 5 23 office at the time when the public bonds or 5 24 obligations are actually delivered. 5 25 2. Pending preparation of definitive bonds or 5 26 obligations, an electric power agency may issue 5 27 temporary bonds or obligations that shall be exchanged 5 28 for the definitive bonds or obligations upon their 5 29 issuance. 5 30 Sec. 11. NEW SECTION. 476A.30 PUBLIC OR PRIVATE 5 31 SALE OF BONDS AND NOTES. 5 32 Public bonds or obligations of an electric power 5 33 agency may be sold at public or private sale for a 5 34 price and in a manner determined by the electric power 5 35 agency. 5 36 Sec. 12. NEW SECTION. 476A.31 PUBLIC BONDS OR 5 37 OBLIGATIONS AS SUITABLE INVESTMENTS FOR GOVERNMENTAL 5 38 UNITS, FINANCIAL INSTITUTIONS, AND FIDUCIARIES. 5 39 The following persons may legally invest any debt 5 40 service funds, money, or other funds belonging to such 5 41 person or within such person's control in any public 5 42 bonds or obligations issued pursuant to this 5 43 subchapter: 5 44 1. A bank, trust company, savings association, 5 45 building and loan association, savings and loan 5 46 association, or investment company. 5 47 2. An insurance company, insurance association, or 5 48 any other person carrying on an insurance business. 5 49 3. An executor, administrator, conservator, 5 50 trustee, or other fiduciary. 6 1 4. Any other person authorized to invest in bonds 6 2 or obligations of the state. 6 3 Sec. 13. NEW SECTION. 476A.32 RESOLUTION, TRUST 6 4 INDENTURE, OR SECURITY AGREEMENT CONSTITUTES CONTRACT 6 5 PROVISIONS. 6 6 The resolution, trust indenture, or other security 6 7 agreement under which any public bonds or obligations 6 8 are issued shall constitute a contract with the 6 9 holders of the public bonds or obligations, and may 6 10 contain provisions, among others, prescribing any of 6 11 the following terms: 6 12 1. The terms and provisions of the public bonds or 6 13 obligations. 6 14 2. The mortgage or pledge of and the grant of a 6 15 security interest in any real or personal property and 6 16 all or any part of the revenue from any project or any 6 17 revenue producing contract made by the electric power 6 18 agency with any person to secure the payment of public 6 19 bonds or obligations, subject to any agreements with 6 20 the holders of public bonds or obligations which might 6 21 then exist. 6 22 3. The custody, collection, securing, investment, 6 23 and payment of any revenues, assets, money, funds, or 6 24 property with respect to which the electric power 6 25 agency may have any rights or interest. 6 26 4. The rates or charges for electric energy sold 6 27 by, or services rendered by, the electric power 6 28 agency, the amount to be raised by the rates or 6 29 charges, and the use and disposition of any or all 6 30 revenue. 6 31 5. The creation of reserves or debt service funds 6 32 and the regulation and disposition of such reserves or 6 33 funds. 6 34 6. The purposes to which the proceeds from the 6 35 sale of any public bonds or obligations to be issued 6 36 may be applied, and the pledge of the proceeds to 6 37 secure the payment of the public bonds or obligations. 6 38 7. Limitations on the issuance of any additional 6 39 public bonds or obligations, the terms upon which 6 40 additional public bonds or obligations may be issued 6 41 and secured, and the refunding of outstanding public 6 42 bonds or obligations. 6 43 8. The rank or priority of any public bonds or 6 44 obligations with respect to any lien or security. 6 45 9. The creation of special funds or moneys to be 6 46 held for operating expenses, payment, or redemption of 6 47 public bonds or obligations, reserves or other 6 48 purposes, and the use and disposition of moneys held 6 49 in these funds. 6 50 10. The procedure by which the terms of any 7 1 contract with or for the benefit of the holders of 7 2 public bonds or obligations may be amended or 7 3 abrogated, the amount of public bonds or obligations 7 4 the holders of which must consent to such amendment or 7 5 abrogation, and the manner in which consent may be 7 6 given. 7 7 11. The definition of the acts or omissions to act 7 8 that constitute a default in the duties of the 7 9 electric power agency to holders of its public bonds 7 10 or obligations, and the rights and remedies of the 7 11 holders in the event of default including, if the 7 12 electric power agency so determines, the right to 7 13 accelerate the date of the maturation of the public 7 14 bonds or obligations or the right to appoint a 7 15 receiver or receivers of the property or revenues 7 16 subject to the lien of the resolution, trust 7 17 indenture, or other security agreement. 7 18 12. Any other or additional agreements with or for 7 19 the benefit of the holders of public bonds or 7 20 obligations or any covenants or restrictions necessary 7 21 or desirable to safeguard the interests of the 7 22 holders. 7 23 13. The custody of any of the electric power 7 24 agency's property or investments, the safekeeping of 7 25 such property or investments, the insurance to be 7 26 carried on such property or investments, and the use 7 27 and disposition of insurance proceeds. 7 28 14. The vesting in a trustee or trustees, within 7 29 or outside the state, of such property, rights, 7 30 powers, and duties as the electric power agency may 7 31 determine; or the limiting or abrogating of the rights 7 32 of the holders of any public bonds or obligations to 7 33 appoint a trustee, or the limiting of the rights, 7 34 powers, and duties of such trustee. 7 35 15. The appointment of and the establishment of 7 36 the duties and obligations of any paying agent or 7 37 other fiduciary within or outside the state. 7 38 Sec. 14. NEW SECTION. 476A.33 MORTGAGE OR TRUST 7 39 DEED TO SECURE BONDS. 7 40 For the security of public bonds or obligations 7 41 issued or to be issued by an electric power agency, 7 42 the electric power agency may mortgage or execute 7 43 deeds of trust of the whole or any part of its 7 44 property. 7 45 Sec. 15. NEW SECTION. 476A.34 NO PERSONAL 7 46 LIABILITY ON PUBLIC BONDS OR OBLIGATIONS. 7 47 An official, director, member of an electric power 7 48 agency, or any person executing public bonds or 7 49 obligations shall not be liable personally on the 7 50 public bonds or obligations or be subject to any 8 1 personal liability or accountability by reason of the 8 2 issuance of such public bonds or obligations. 8 3 Sec. 16. NEW SECTION. 476A.35 REPURCHASE OF 8 4 SECURITIES. 8 5 An electric power agency may purchase public bonds 8 6 or obligations out of any funds available for such 8 7 purchase, and hold, pledge, cancel, or resell the 8 8 public bonds or obligations, subject to and in 8 9 accordance with any agreements with the holders. 8 10 Sec. 17. NEW SECTION. 476A.36 PLEDGE OF REVENUE 8 11 AS SECURITY. 8 12 An electric power agency may pledge its rates, 8 13 rents, and other revenues, or any part of such rates, 8 14 rents, and revenues, as security for the repayment, 8 15 with interest and redemption premiums, if any, of the 8 16 moneys borrowed by the electric power agency or 8 17 advanced to the electric power agency for any of its 8 18 authorized purposes and as security for the payment of 8 19 moneys due and owed by the electric power agency under 8 20 any contract. 8 21 Sec. 18. CODE EDITOR DIRECTIVE. The Code editor 8 22 shall change references to "this chapter" in sections 8 23 476A.1 through 476A.15 as necessary and appropriate to 8 24 reflect the addition of the new subchapter to chapter 8 25 476A as a result of this Act." 8 26 #2. Title page, by striking lines 1 through 11 and 8 27 inserting the following: "An Act providing for joint 8 28 agreements for the acquisition of ownership of a joint 8 29 facility for electric power generation and 8 30 transmission, and for the planning, financing, 8 31 operation, and maintenance of the joint facility, and 8 32 providing for the bonding authority of electric power 8 33 agencies." 8 34 8 35 8 36 8 37 MICHAEL E. GRONSTAL 8 38 STEVEN D. HANSEN 8 39 BETTY A. SOUKUP 8 40 JOHN P. KIBBIE 8 41 JACK HOLVECK 8 42 JOHNIE HAMMOND 8 43 PATRICIA HARPER 8 44 BILL FINK 8 45 JOE BOLKCOM 8 46 MIKE CONNOLLY 8 47 MATT McCOY 8 48 PATRICK J. DELUHERY 8 49 TOM FLYNN 8 50 EUGENE S. FRAISE 9 1 WALLY E. HORN 9 2 HF 577.228 79 9 3 jj/gg
Text: S03685 Text: S03687 Text: S03600 - S03699 Text: S Index Bills and Amendments: General Index Bill History: General Index
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