Text: H01557 Text: H01559 Text: H01500 - H01599 Text: H Index Bills and Amendments: General Index Bill History: General Index
PAG LIN 1 1 Amend House File 683 as follows: 1 2 #1. Page 1, by striking line 2 and inserting the 1 3 following: "IOWA VALUES BOARD AND FUND – BONDING 1 4 AUTHORITY 1 5 Section 1. Section 8.57, subsection 5, paragraph 1 6 e, Code 2003, 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 fiscalyearperiod 1 9 beginning July 1,2000, and for each fiscal year1 10thereafter,2003, and ending June 30, 2005, not more 1 11 than a total of sixty million dollars shall be 1 12 deposited in the general fund of the state in any 1 13 fiscal year pursuant to sections 99D.17 and 99F.11; 1 14 for the fiscal period beginning July 1, 2005, and 1 15 ending June 30, 2030, not more than a total of sixty 1 16 million dollars of the moneys directed to be deposited 1 17 in the general fund of the state in a fiscal year 1 18 pursuant to sections 99D.17 and 99F.11 shall be 1 19 deposited in the Iowa values fund created in section 1 20 15G.105 in any fiscal year; and for the fiscal year 1 21 beginning July 1, 2030, and for each fiscal year 1 22 thereafter, not more than a total of sixty million 1 23 dollars shall be deposited in the general fund of the 1 24 state in any fiscal year pursuant to sections 99D.17 1 25 and 99F.11. The next fifteen million dollars of the 1 26 moneys directed to be deposited in the general fund of 1 27 the state in a fiscal year pursuant to sections 99D.17 1 28 and 99F.11 shall be deposited in the vision Iowa fund 1 29 created in section 12.72 for the fiscal year beginning 1 30 July 1, 2000, and for each fiscal year through the 1 31 fiscal year beginning July 1, 2019. The next five 1 32 million dollars of the moneys directed to be deposited 1 33 in the general fund of the state in a fiscal year 1 34 pursuant to sections 99D.17 and 99F.11 shall be 1 35 deposited in the school infrastructure fund created in 1 36 section 12.82 for the fiscal year beginning July 1, 1 37 2000, and for each fiscal year thereafter until the 1 38 principal and interest on all bonds issued by the 1 39 treasurer of state pursuant to section 12.81 are paid, 1 40 as determined by the treasurer of state. The total 1 41 moneys in excess of the moneys deposited in the 1 42 general fund of the state, the Iowa values fund, the 1 43 vision Iowa fund, and the school infrastructure fund 1 44 in a fiscal year shall be deposited in the rebuild 1 45 Iowa infrastructure fund and shall be used as provided 1 46 in this section, notwithstanding section 8.60. 1 47 If the total amount of moneys directed to be 1 48 deposited in the general fund of the state under 1 49 sections 99D.17 and 99F.11 in a fiscal year is less 1 50 than the total amount of moneys directed to be 2 1 deposited in the Iowa values fund, the vision Iowa 2 2 fund, and the school infrastructure fund in the fiscal 2 3 year pursuant to this paragraph "e", the difference 2 4 shall be paid from lottery revenues in the manner 2 5 provided in section 99E.10, subsection 3. 2 6 Sec. . NEW SECTION. 12.91 GENERAL AND 2 7 SPECIFIC BONDING POWERS – IOWA VALUES PROGRAM. 2 8 1. The treasurer of state may issue bonds for the 2 9 purpose of funding the Iowa values fund created in 2 10 section 15G.105. The treasurer of state shall have 2 11 all of the powers which are necessary to issue and 2 12 secure bonds and carry out the purposes of the fund. 2 13 The treasurer of state may issue bonds in principal 2 14 amounts which are necessary to provide sufficient 2 15 funds for the Iowa values fund, the payment of 2 16 interest on the bonds, the establishment of reserves 2 17 to secure the bonds, the costs of issuance of the 2 18 bonds, other expenditures of the treasurer of state 2 19 incident to and necessary or convenient to carry out 2 20 the bond issue for the fund, and all other 2 21 expenditures of the board necessary or convenient to 2 22 administer the fund. The bonds are investment 2 23 securities and negotiable instruments within the 2 24 meaning of and for purposes of the uniform commercial 2 25 code. 2 26 2. Bonds issued under this section are payable 2 27 solely and only out of the moneys, assets, or revenues 2 28 of the Iowa values fund and any bond reserve funds 2 29 established pursuant to section 12.92, all of which 2 30 may be deposited with trustees or depositories in 2 31 accordance with bond or security documents and pledged 2 32 to the payment thereof. Bonds issued under this 2 33 section shall contain on their face a statement that 2 34 the bonds do not constitute an indebtedness of the 2 35 state. The treasurer of state shall not pledge the 2 36 credit or taxing power of this state or any political 2 37 subdivision of the state or make bonds issued pursuant 2 38 to this section payable out of any moneys except those 2 39 in the Iowa values fund. 2 40 3. The proceeds of bonds issued by the treasurer 2 41 of state and not required for immediate disbursement 2 42 may be deposited with a trustee or depository as 2 43 provided in the bond documents and invested or 2 44 reinvested in any investment as directed by the 2 45 treasurer of state and specified in the trust 2 46 indenture, resolution, or other instrument pursuant to 2 47 which the bonds are issued without regard to any 2 48 limitation otherwise provided by law. 2 49 4. The bonds shall be: 2 50 a. In a form, issued in denominations, executed in 3 1 a manner, and payable over terms and with rights of 3 2 redemption, and be subject to the terms, conditions, 3 3 and covenants providing for the payment of the 3 4 principal of, redemption premiums, if any, interest 3 5 which may be fixed or variable during any period the 3 6 bonds are outstanding, and such other terms and 3 7 conditions as prescribed in the trust indenture, 3 8 resolution, or other instrument authorizing their 3 9 issuance. 3 10 b. Negotiable instruments under the laws of the 3 11 state and may be sold at prices, at public or private 3 12 sale, and in a manner, as prescribed by the treasurer 3 13 of state. Chapters 73A, 74, 74A, and 75 do not apply 3 14 to the sale or issuance of the bonds. 3 15 c. Subject to the terms, conditions, and covenants 3 16 providing for the payment of the principal, redemption 3 17 premiums, if any, interest, and other terms, 3 18 conditions, covenants, and protective provisions 3 19 safeguarding payment, not inconsistent with this 3 20 section and as determined by the trust indenture, 3 21 resolution, or other instrument authorizing their 3 22 issuance. 3 23 5. The bonds are securities in which public 3 24 officers and bodies of this state, political 3 25 subdivisions of this state, insurance companies and 3 26 associations and other persons carrying on an 3 27 insurance business, banks, trust companies, savings 3 28 associations, savings and loan associations, and 3 29 investment companies; administrators, guardians, 3 30 executors, trustees, and other fiduciaries; and other 3 31 persons authorized to invest in bonds or other 3 32 obligations of the state, may properly and legally 3 33 invest funds, including capital, in their control or 3 34 belonging to them. 3 35 6. Bonds must be authorized by a trust indenture, 3 36 resolution, or other instrument of the treasurer of 3 37 state. 3 38 7. Neither the resolution, trust indenture, nor 3 39 any other instrument by which a pledge is created 3 40 needs to be recorded or filed under the Iowa uniform 3 41 commercial code to be valid, binding, or effective. 3 42 8. Bonds issued under the provisions of this 3 43 section are declared to be issued for a general public 3 44 and governmental purpose and all bonds issued under 3 45 this section shall be exempt from taxation by the 3 46 state of Iowa and the interest on the bonds shall be 3 47 exempt from the state income tax and the state 3 48 inheritance and estate tax. 3 49 9. Subject to the terms of any bond documents, 3 50 moneys in the Iowa values fund may be expended for 4 1 administration expenses. 4 2 10. The treasurer of state may issue bonds for the 4 3 purpose of refunding any bonds issued pursuant to this 4 4 section then outstanding, including the payment of any 4 5 redemption premiums thereon and any interest accrued 4 6 or to accrue to the date of redemption of the 4 7 outstanding bonds. Until the proceeds of bonds issued 4 8 for the purpose of refunding outstanding bonds are 4 9 applied to the purchase or retirement of outstanding 4 10 bonds or the redemption of outstanding bonds, the 4 11 proceeds may be placed in escrow and be invested and 4 12 reinvested in accordance with the provisions of this 4 13 section. The interest, income, and profits earned or 4 14 realized on an investment may also be applied to the 4 15 payment of the outstanding bonds to be refunded by 4 16 purchase, retirement, or redemption. After the terms 4 17 of the escrow have been fully satisfied and carried 4 18 out, any balance of proceeds and interest earned or 4 19 realized on the investments may be returned to the 4 20 treasurer of state for deposit in the Iowa values fund 4 21 established in section 15G.105. All refunding bonds 4 22 shall be issued and secured and subject to the 4 23 provisions of this chapter in the same manner and to 4 24 the same extent as other bonds issued pursuant to this 4 25 section. 4 26 11. The treasurer of state shall have all of the 4 27 powers which are necessary to issue and secure bonds, 4 28 including but not limited to the power to procure 4 29 insurance, other credit enhancements, and other 4 30 financing arrangements, and to execute instruments and 4 31 contracts and to enter into agreements convenient or 4 32 necessary to facilitate financing arrangements with 4 33 respect to the bonds and to carry out the purposes of 4 34 the fund, including but not limited to such 4 35 arrangements, instruments, contracts, and agreements 4 36 as municipal bond insurance, self-insurance or 4 37 liquidity trusts, accounts, pools or other 4 38 arrangements, liquidity facilities or covenants, 4 39 letters of credit, and interest rate agreements. 4 40 12. For purposes of this section and sections 4 41 12.92 through 12.95, the term "bonds" means bonds, 4 42 notes, and other obligations and financing 4 43 arrangements issued or entered into by the treasurer 4 44 of state and the term "interest rate agreement" means 4 45 an interest rate swap or exchange agreement, an 4 46 agreement establishing an interest rate floor or 4 47 ceiling or both, or any similar agreement. Any such 4 48 agreement may include the option to enter into or 4 49 cancel the agreement or to reverse or extend the 4 50 agreement. 5 1 Sec. . NEW SECTION. 12.92 IOWA VALUES FUND 5 2 ACCOUNTS AND RESERVE FUNDS. 5 3 1. The treasurer of state shall establish such 5 4 accounts within the Iowa values fund created in 5 5 section 15G.105 as may be appropriate, including debt 5 6 service accounts for the purpose of paying the 5 7 principal of, redemption premium, if any, and interest 5 8 on bonds payable therefrom. Moneys in the debt 5 9 service accounts shall not be subject to appropriation 5 10 for any other purpose by the general assembly, but 5 11 shall be used only for the purposes of paying the 5 12 principal of, redemption premium, if any, and interest 5 13 on the bonds payable therefrom. 5 14 2. Revenue for the Iowa values fund shall include, 5 15 but is not limited to, the following, which shall be 5 16 deposited with the treasurer of state or its designee 5 17 as provided by any bond or security documents and 5 18 credited to the debt service account: 5 19 a. The proceeds of bonds issued to capitalize and 5 20 pay the costs of the fund and investment earnings on 5 21 the proceeds. 5 22 b. Interest attributable to investment of moneys 5 23 in the fund or an account of the fund. 5 24 c. Moneys in the form of a devise, gift, bequest, 5 25 donation, federal or other grant, reimbursement, 5 26 repayment, judgment, transfer, payment, or 5 27 appropriation from any source intended to be used for 5 28 the purposes of the fund or account. 5 29 3. a. The treasurer of state may create and 5 30 establish one or more special funds, to be known as 5 31 "bond reserve funds", to secure one or more issues of 5 32 bonds issued pursuant to section 12.91. The treasurer 5 33 of state shall pay into each bond reserve fund any 5 34 moneys appropriated and made available by the state or 5 35 treasurer of state for the purpose of the fund, any 5 36 proceeds of sale of bonds to the extent provided in 5 37 the resolutions or trust indentures authorizing their 5 38 issuance, and any other moneys which may be available 5 39 to the treasurer of state for the purpose of the fund 5 40 from any other sources. All moneys held in a bond 5 41 reserve fund, except as otherwise provided in this 5 42 chapter, shall be used as required solely for the 5 43 payment of the principal of bonds secured in whole or 5 44 in part by the fund or of the sinking fund payments 5 45 with respect to the bonds, the purchase or redemption 5 46 of the bonds, the payment of interest on the bonds, or 5 47 the payments of any redemption premium required to be 5 48 paid when the bonds are redeemed prior to maturity. 5 49 b. Moneys in a bond reserve fund shall not be 5 50 withdrawn from it at any time in an amount that will 6 1 reduce the amount of the fund to less than the bond 6 2 reserve fund requirement established for the fund, as 6 3 provided in this subsection, except for the purpose of 6 4 making, with respect to bonds secured in whole or in 6 5 part by the fund, payment when due of principal, 6 6 interest, redemption premiums, and the sinking fund 6 7 payments with respect to the bonds for the payment of 6 8 which other moneys of the treasurer of state are not 6 9 available. 6 10 Any income or interest earned by, or incremental 6 11 to, a bond reserve fund due to the investment of it 6 12 may be transferred by the treasurer of state to other 6 13 funds or accounts to the extent the transfer does not 6 14 reduce the amount of that bond reserve fund below the 6 15 bond reserve fund requirement for it. 6 16 c. The treasurer of state shall not at any time 6 17 issue bonds, secured in whole or in part by a bond 6 18 reserve fund, if, upon the issuance of the bonds, the 6 19 amount in the bond reserve fund will be less than the 6 20 bond reserve fund requirement for the fund, unless the 6 21 treasurer of state at the time of issuance of the 6 22 bonds deposits in the fund from the proceeds of the 6 23 bonds issued or from other sources an amount which, 6 24 together with the amount then in the fund, will not be 6 25 less than the bond reserve fund requirement for the 6 26 fund. For the purposes of this subsection, the term 6 27 "bond reserve fund requirement" means, as of any 6 28 particular date of computation, an amount of money, as 6 29 provided in the resolutions or trust indentures 6 30 authorizing the bonds with respect to which the fund 6 31 is established. 6 32 d. To assure the continued solvency of any bonds 6 33 secured by the bond reserve fund, provision is made in 6 34 paragraph "a" for the accumulation in each bond 6 35 reserve fund of an amount equal to the bond reserve 6 36 requirement for the fund. In order to further assure 6 37 maintenance of the bond reserve funds, the treasurer 6 38 of state shall, on or before January 1 of each 6 39 calendar year, make and deliver to the governor the 6 40 treasurer of state's certificate stating the sum, if 6 41 any, required to restore each bond reserve fund to the 6 42 bond reserve fund requirement for that fund. Within 6 43 thirty days after the beginning of the session of the 6 44 general assembly next following the delivery of the 6 45 certificate, the governor shall submit to both houses 6 46 printed copies of a budget including the sum, if any, 6 47 required to restore each bond reserve fund to the bond 6 48 reserve fund requirement for that fund. Any sums 6 49 appropriated by the general assembly and paid to the 6 50 treasurer of state pursuant to this subsection shall 7 1 be deposited by the treasurer of state in the 7 2 applicable bond reserve fund. 7 3 Sec. . NEW SECTION. 12.93 PLEDGES. 7 4 1. It is the intention of the general assembly 7 5 that a pledge made in respect of bonds shall be valid 7 6 and binding from the time the pledge is made, that the 7 7 moneys or property so pledged and received after the 7 8 pledge by the treasurer of state shall immediately be 7 9 subject to the lien of the pledge without physical 7 10 delivery or further act, and that the lien of the 7 11 pledge shall be valid and binding as against all 7 12 parties having claims of any kind in tort, contract, 7 13 or otherwise against the treasurer of state whether or 7 14 not the parties have notice of the lien. 7 15 2. The moneys set aside in a fund or funds pledged 7 16 for any series or issue of bonds shall be held for the 7 17 sole benefit of the series or issue separate and apart 7 18 from moneys pledged for another series or issue of 7 19 bonds of the treasurer of state. Bonds may be issued 7 20 in series under one or more resolutions or trust 7 21 indentures and may be fully open-ended, thus providing 7 22 for the unlimited issuance of additional series, or 7 23 partially open-ended, limited as to additional series. 7 24 Sec. . NEW SECTION. 12.94 LIMITATIONS. 7 25 Bonds issued pursuant to section 12.91 are not 7 26 debts of the state, or of any political subdivision of 7 27 the state, and do not constitute a pledge of the faith 7 28 and credit of the state or a charge against the 7 29 general credit or general fund of the state. The 7 30 issuance of any bonds pursuant to section 12.91 by the 7 31 treasurer of state does not directly, indirectly, or 7 32 contingently obligate the state or a political 7 33 subdivision of the state to apply moneys, or to levy 7 34 or pledge any form of taxation whatever, to the 7 35 payment of the bonds. Bonds issued under section 7 36 12.91 are payable solely and only from the sources and 7 37 special fund and accounts provided in section 12.92. 7 38 Sec. . NEW SECTION. 12.95 CONSTRUCTION. 7 39 Sections 12.91 through 12.94, being necessary for 7 40 the welfare of this state and its inhabitants, shall 7 41 be liberally construed to effect its purposes." 7 42 #2. Page 5, by striking lines 9 through 13 and 7 43 inserting the following: 7 44 "An Iowa values fund is created and established as 7 45 a separate and distinct fund in the state treasury. 7 46 Moneys in the fund shall not be subject to 7 47 appropriation for any other purposes by the general 7 48 assembly, other than as provided in this Act, but 7 49 shall be used only for the purposes of the Iowa values 7 50 fund. The treasurer of state shall act as custodian 8 1 of the fund and disburse moneys contained in the fund 8 2 as directed by the Iowa values board, including 8 3 automatic disbursements of funds received pursuant to 8 4 the terms of bond indentures and documents and 8 5 security provisions to trustees. The fund shall be 8 6 administered by the Iowa values board, which shall 8 7 make expenditures from the fund consistent with the 8 8 purposes of this Act without further appropriation. 8 9 Payments of interest, repayments of". 8 10 #3. Title page, line 2, by inserting after the 8 11 word "fund," the following: "providing for the 8 12 issuance of tax-exempt bonds,". 8 13 #4. By renumbering as necessary. 8 14 8 15 8 16 8 17 HOFFMAN of Crawford 8 18 HF 683.718 80 8 19 tm/cl
Text: H01557 Text: H01559 Text: H01500 - H01599 Text: H Index Bills and Amendments: General Index Bill History: General Index
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