AN ACT Relating to general obligation bonds; adding new sections to chapter 70.48A RCW; adding new sections to chapter 43.83 RCW; and creating new sections.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

NEW SECTION. Sec. 1. It is the intent of the legislature that the construction and remodeling of jails and state correctional facilities proceed without further delay, and the corrections standards board's and department of justice's review and funding procedures are to reflect this intent. Neither the corrections standards board, the department of justice, nor local governments should order or authorize capital expenditures to improve jails now in use which are scheduled for replacement. Capital expenditures which relate directly to life safety of inmates or jail personnel may be ordered. The corrections standards board and department of justice shall give preference to applications proposing regional jail facilities.

NEW SECTION. Sec. 2. For the purpose of providing funds for the planning, acquisition, construction, and improvement of jail buildings and necessary supporting facilities within the state, the state finance committee is authorized to issue general obligation bonds of the state of Washington in the sum of two hundred fifty million dollars, or as much thereof as may be required, to finance these projects and all costs incidental thereto. Bonds authorized in this section may be sold at such price as the state finance committee shall determine. No bonds authorized in this section may be offered for sale without prior legislative appropriation of the net proceeds of the sale of the bonds.

NEW SECTION. Sec. 3. The proceeds from the sale of the bonds authorized in section 2 of this act shall be deposited in the local jail improvement and construction account in the state treasury and shall be used exclusively for the purposes specified in section 2 of this act and for the payment of expenses incurred in the issuance and sale of the bonds. These proceeds shall be allocated by the corrections standards board, subject to legislative appropriation.

NEW SECTION. Sec. 4. The state general obligation bond retirement fund shall be used for the payment of the principal of and interest on the bonds authorized in section 2 of this act.

The state finance committee shall, on or before June 30th of each year, certify to the state treasurer the amount needed in the ensuing twelve months to meet the bond retirement and interest requirements. Not less than thirty days prior to the date on which any interest or principal and interest payment is due, the state treasurer shall withdraw from any general state revenues received in the state treasury and deposit in the general obligation bond retirement fund an amount equal to the amount certified by the state finance committee to be due on the payment date.

Bonds issued under section 2 of this act shall state that they are a general obligation of the state of Washington, shall pledge the full faith and credit of the state to the payment of the principal thereof and the interest thereon, and shall contain an unconditional promise to pay the principal and interest as the same shall become due.

The owner and holder of each of the bonds or the trustee for the owner and holder of any of the bonds may by mandamus or other appropriate proceeding require the transfer and payment of funds as directed in this section.

NEW SECTION. Sec. 5. The legislature may provide additional means for raising moneys for the payment of the principal of and interest on the bonds authorized in section 2 of this act, and section 4 of this act shall not be deemed to provide an exclusive method for the payment.

NEW SECTION. Sec. 6. The bonds authorized in section 2 of this act shall be a legal investment for all state funds or funds under state control and for all funds of any other public body.

NEW SECTION. Sec. 7. For the purpose of providing funds for planning, acquisition, construction, and improvement of state correctional facilities, the state finance committee is authorized to issue general obligation bonds of the state of Washington in the sum of two hundred fifty million dollars, or as much thereof as may be required, to finance these projects and all costs incidental thereto. Bonds authorized in this section may be sold at such price as the state finance committee shall determine. No bonds authorized in this section may be offered for sale without prior legislative appropriation of the net proceeds of the sale of the bonds.

NEW SECTION. Sec. 8. The proceeds from the sale of the bonds authorized in section 7 of this act shall be deposited in the correctional facilities improvement account hereby created in the state treasury and shall be used exclusively for the purposes specified in section 7 of this act and for the payment of expenses incurred in the issuance and sale of the bonds. These proceeds shall be allocated by the department of justice, subject to legislative appropriation.

NEW SECTION. Sec. 9. The state general obligation bond retirement fund shall be used for the payment of the principal of and interest on the bonds authorized in section 7 of this act.

Bonds issued under section 7 of this act shall state that they are a general obligation of the state of Washington, shall pledge the full faith and credit of the state to the payment of the principal thereof and the interest thereon, and shall contain an unconditional promise to pay the principal and interest as the same shall become due.

NEW SECTION. Sec. 10. The legislature may provide additional means for raising moneys for the payment of the principal of and interest on the bonds authorized in section 7 of this act, and section 9 of this act shall not be deemed to provide an exclusive method for the payment.

NEW SECTION. Sec. 11. The bonds authorized in section 7 of this act shall be a legal investment for all state funds or funds under state control and for all funds of any other public body.

NEW SECTION. Sec. 12. This act shall not take effect and shall be null and void unless S-3442/90, creating the department of justice and the corrections standards board, is enacted into law.

NEW SECTION. Sec. 13. (1) Sections 2 through 6 of this act are each added to chapter 70.48A RCW.

(2) Sections 7 through 11 of this act are each added to chapter 43.83 RCW.

NEW SECTION. Sec. 14. If any provision of this act or its application to any person or circumstance is held invalid, the remainder of the act or the application of the provision to other persons or circumstances is not affected.