Passed by the House March 1, 2011 Yeas 96   FRANK CHOPP ________________________________________ Speaker of the House of Representatives Passed by the Senate April 12, 2011 Yeas 46   BRAD OWEN ________________________________________ President of the Senate | I, Barbara Baker, Chief Clerk of the House of Representatives of the State of Washington, do hereby certify that the attached is ENGROSSED HOUSE BILL 1730 as passed by the House of Representatives and the Senate on the dates hereon set forth. BARBARA BAKER ________________________________________ Chief Clerk | |
Approved April 29, 2011, 4:06 p.m. CHRISTINE GREGOIRE ________________________________________ Governor of the State of Washington | April 29, 2011 Secretary of State State of Washington |
State of Washington | 62nd Legislature | 2011 Regular Session |
Read first time 02/01/11. Referred to Committee on Local Government.
AN ACT Relating to the authorization of bonds issued by Washington local governments; amending RCW 39.46.040, 35.33.131, 35.34.220, 35A.33.130, and 35A.34.220; and creating a new section.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:
Sec. 1 RCW 39.46.040 and 1983 c 167 s 4 are each amended to read
as follows:
(1) A local government authorized to issue bonds ((shall)) must
determine for the bond issue its amount, date or dates, terms not in
excess of the maximum term otherwise provided in law, conditions, bond
denominations, interest rate or rates, which may be fixed or variable,
interest payment dates, maturity or maturities, redemption rights,
registration privileges, manner of execution, price, manner of sale,
covenants, and form, including registration as to principal and
interest, registration as to principal only, or bearer. Registration
may be as provided in RCW 39.46.030.
(2) If an ordinance or resolution approving the issuance of bonds
authorizes an officer or employee of the local government to serve as
its designated representative and to accept, on behalf of the local
government, an offer to purchase those bonds, the acceptance of the
offer by the designated representative must be consistent with terms
established by the ordinance or resolution, and with additional
parameters set by the governing body of the local government in the
ordinance or resolution. That ordinance or resolution must establish
the following terms for the bonds or set forth parameters with respect
thereto: The amount, date or dates, denominations, interest rate or
rates (or mechanism for determining interest rate or rates), payment
dates, final maturity, redemption rights, price, minimum savings for
refunding bonds (if the refunding bonds are issued for savings
purposes), and any other terms and conditions deemed appropriate by the
legislative body of the local government. A county designating a
representative in accordance with this subsection must act in a manner
that is consistent with the approved county debt policy adopted in
accordance with RCW 36.48.070.
Sec. 2 RCW 35.33.131 and 1969 ex.s. c 95 s 19 are each amended to
read as follows:
Moneys received from the sale of bonds or warrants ((shall)) must
be used for no other purpose than that for which they were issued ((and
no expenditure shall be made for that purpose until the bonds have been
duly authorized)). If any unexpended fund balance remains from the
proceeds realized from the bonds or warrants after the accomplishment
of the purpose for which they were issued it ((shall)) must be used for
the ((redemption of such bond or warrant indebtedness)) payment of
principal of or interest on such indebtedness consistent with
applicable provisions of federal tax law. Where a budget contains an
expenditure program to be partially or wholly financed from a bond
issue to be authorized thereafter, ((no such expenditure shall))
expenditures of amounts anticipated to be reimbursed from the proceeds
of the issuance and sale of such bonds must be made or incurred ((until
after the bonds have been duly authorized)) consistent with any
applicable federal tax law requirements.
Sec. 3 RCW 35.34.220 and 1985 c 175 s 25 are each amended to read
as follows:
Moneys received from the sale of bonds or warrants ((shall)) must
be used for no other purpose than that for which they were issued ((and
no expenditure shall be made for that purpose until the bonds have been
duly authorized)). If any unexpended fund balance remains from the
proceeds realized from the bonds or warrants after the accomplishment
of the purpose for which they were issued, it ((shall)) must be used
for the ((redemption of such bond or warrant indebtedness)) payment of
principal of or interest on such indebtedness consistent with
applicable provisions of federal tax law. Where a budget contains an
expenditure program to be partially or wholly financed from a bond
issue to be authorized thereafter, ((no such expenditure shall))
expenditures of amounts anticipated to be reimbursed from the proceeds
of the issuance and sale of such bonds must be made or incurred ((until
after the bonds have been duly authorized)) consistent with any
applicable federal tax law requirements.
Sec. 4 RCW 35A.33.130 and 1967 ex.s. c 119 s 35A.33.130 are each
amended to read as follows:
Moneys received from the sale of bonds or warrants ((shall)) must
be used for no other purpose than that for which they were issued ((and
no expenditure shall be made for that purpose until the bonds have been
duly authorized)). If any unexpended fund balance remains from the
proceeds realized from the bonds or warrants after the accomplishment
of the purpose for which they were issued it ((shall)) must be used for
the ((redemption of such bond or warrant indebtedness)) payment of
principal of or interest on such indebtedness consistent with
applicable provisions of federal tax law. Where a budget contains an
expenditure program to be partially or wholly financed from a bond
issue to be authorized thereafter, ((no such expenditure shall))
expenditures of amounts anticipated to be reimbursed from the proceeds
of the issuance and sale of such bonds must be made or incurred ((until
after the bonds have been duly authorized)) consistent with any
applicable federal tax law requirements.
Sec. 5 RCW 35A.34.220 and 1985 c 175 s 54 are each amended to
read as follows:
Moneys received from the sale of bonds or warrants ((shall)) must
be used for no other purpose than that for which they were issued ((and
no expenditure shall be made for that purpose until the bonds have been
duly authorized)). If any unexpended fund balance remains from the
proceeds realized from the bonds or warrants after the accomplishment
of the purpose for which they were issued, it ((shall)) must be used
for the ((redemption of such bond or warrant indebtedness)) payment of
principal of or interest on such indebtedness consistent with
applicable provisions of federal tax law. Where a budget contains an
expenditure program to be partially or wholly financed from a bond
issue to be authorized thereafter, ((no such expenditure shall))
expenditures of amounts anticipated to be reimbursed from the proceeds
of the issuance and sale of such bonds must be made or incurred ((until
after the bonds have been duly authorized)) consistent with any
applicable federal tax law requirements.
NEW SECTION. Sec. 6 All bonds previously issued and any
reimbursements previously made with bond proceeds by any local
government and consistent with the provisions of this act are hereby
validated, ratified, and confirmed.