SB 5674-S - DIGEST

(AS OF SENATE 2ND READING 3/17/03)

Directs the board to adopt policies that require the authority to allocate the expenditure of tax revenues proportionately to the subareas based on the amount of tax revenues each subarea generates. The tax revenue allocated to a subarea may be used only to finance costs incurred for projects within that subarea. The board shall adopt policies that establish a fair and equitable method for determining pro rata share of costs for projects that overlap subarea boundaries.

Provides that, as part of the bond financing plan for bonds issued after the effective date of this act, an authority shall ensure that tax revenues from a subarea are sufficient to meet the principal and interest payments on bond proceeds that support projects within that subarea, and indicate how the proceeds from the issuance of general obligation bonds will be expended within the subareas.

Requires an authority to conduct a public hearing at least thirty days in advance of authorizing the issuance of general obligation bonds or other certificates of indebtedness, during which time objections may be raised.

Declares that this act is remedial in nature and applies to all regional transit authorities established before or after the effective date of this act.