Mississippi SB 2255: Bonds; create a rural counties and municipalities emergency infrastructure loan program and authorize issuance of bonds.

Bill Text

SB2255 (As Introduced) - 2018 Regular Session 

MISSISSIPPI LEGISLATURE

2018 Regular Session

To: Finance

By: Senator(s) Simmons (12th)

Senate Bill 2255

AN ACT TO ESTABLISH A REVOLVING LOAN PROGRAM FOR THE PURPOSE 
OF MAKING LOANS TO ASSIST RURAL COUNTIES AND MUNICIPALITIES IN PAYING COSTS 
ASSOCIATED WITH EMERGENCY REPAIR, MAINTENANCE, CONSTRUCTION, RECONSTRUCTION, 
UPGRADES OF AND IMPROVEMENTS TO INFRASTRUCTURE PROJECTS; TO PROVIDE THAT THE 
MISSISSIPPI DEVELOPMENT AUTHORITY SHALL ADMINISTER THE REVOLVING LOAN PROGRAM 
CREATED IN THIS ACT; TO CREATE A SPECIAL FUND IN THE STATE TREASURY, DESIGNATED 
AS THE "RURAL COUNTIES AND MUNICIPALITIES EMERGENCY INFRASTRUCTURE 
IMPROVEMENTS FUND"; TO AUTHORIZE THE ISSUANCE OF $10,000,000.00 OF STATE 
GENERAL OBLIGATION BONDS TO PROVIDE FUNDS FOR THE "RURAL COUNTIES AND 
MUNICIPALITIES EMERGENCY INFRASTRUCTURE IMPROVEMENTS FUND"; AND FOR 
RELATED PURPOSES.

���� BE IT ENACTED BY THE LEGISLATURE 
OF THE STATE OF MISSISSIPPI:

���� SECTION 1.� (1)� For 
the purposes of this section, the following terms shall have the meanings 
ascribed in this section unless the context clearly indicates otherwise: 

��������� (a)� "MDA" 
means the Mississippi Development Authority.

��������� (b)� "Rural 
county" means a county in the State of Mississippi with a population of 
thirty thousand (30,000) or less according to the most recent federal decennial 
census at the time the county submits its application to the MDA under this section.

��������� (c)� "Rural 
municipality" means a municipality in the State of Mississippi with a 
population of ten thousand (10,000) or less according to the most recent 
federal decennial census at the time the municipality submits its application 
to the MDA under this section.� 

���� (2)� There is hereby created 
in the State Treasury a special fund to be designated as the "Rural 
Counties and Municipalities Emergency Infrastructure Improvements Fund," 
which shall consist of funds made available by the Legislature in any manner 
and funds from any other source designated for deposit into such fund.� 
Unexpended amounts remaining in the fund at the end of a fiscal year shall not 
lapse into the State General Fund, and any investment earnings or interest 
earned on amounts in the fund shall be deposited to the credit of the fund.� 
Monies in the fund shall be used to make loans to rural counties and rural 
municipalities for the purposes provided in this section.� Repayments on loans 
made under this section shall be deposited into the fund.�� 

���� (3)� The MDA shall establish 
a revolving loan program to make loans to rural counties and rural 
municipalities for the purpose of assisting such counties and municipalities in 
paying costs associated with emergency repair, maintenance, construction, 
reconstruction, upgrades of and improvements to infrastructure and 
infrastructure-related projects.� The maximum amount of a loan made under this 
section cannot exceed Two Hundred Fifty Thousand Dollars ($250,000.00) and the 
maximum term of a loan cannot exceed five (5) years.� A rural county or rural 
municipality may apply to the MDA for a loan under this section in the manner 
provided for in this section.

���� (4)� A rural county or rural 
municipality desiring a loan under this section must submit an application to 
the MDA.� The application must include a description of the project for which 
the loan is requested, the cost of the project for which the loan is requested, 
the amount of the loan requested and any other information required by the MDA.� 

���� (5)� The MDA shall have all 
powers necessary to implement and administer the program established under this 
section, and the MDA shall promulgate rules and regulations, in accordance with 
the Mississippi Administrative Procedures Law, necessary for the implementation 
of this section.

���� SECTION 2.� (1)� As 
used in this section, the following words shall have the meanings ascribed 
herein unless the context clearly requires otherwise:

��������� (a)� "Accreted 
value" of any bonds means, as of any date of computation, an amount equal 
to the sum of (i) the stated initial value of such bond, plus (ii) the interest 
accrued thereon from the issue date to the date of computation at the rate, 
compounded semiannually, that is necessary to produce the approximate yield to maturity 
shown for bonds of the same maturity.

��������� (b)� "State" 
means the State of Mississippi.

��������� (c)� 
"Commission" means the State Bond Commission.

���� (2)� (a)� The 
Mississippi Development Authority, at one time, or from time to time, may 
declare by resolution the necessity for issuance of general obligation bonds of 
the State of Mississippi to provide funds for the loan program authorized in 
Section 1 of this act.� Upon the adoption of a resolution by the Mississippi 
Development Authority, declaring the necessity for the issuance of any part or 
all of the general obligation bonds authoriz