H-3121              _______________________________________________

                                                   HOUSE BILL NO. 2373

                        _______________________________________________

State of Washington                               51st Legislature                              1990 Regular Session

By Representatives Holland, H. Sommers, Schoon, Wang, Rasmussen, Ferguson, Silver, Todd, Winsley, Van Luven, Rector and Horn

Read first time 1/12/90 and referred to Committee on Capital Facilities & Financing.

AN ACT Relating to bond information; and amending RCW 39.44.200 and 39.44.210.

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

        Sec. 1.  Section 5, chapter 130, Laws of 1985 as last amended by section 1, chapter 225, Laws of 1989 and RCW 39.44.200 are each amended to read as follows:

          Unless the context clearly requires otherwise, the definitions in this section apply throughout RCW 39.44.200 through 39.44.240.

          (1) "Bond" means "bond" as defined in RCW 39.46.020, but also includes any other indebtedness that may be issued by any local government to fund private activities or purposes where the indebtedness is of a nonrecourse nature payable from private sources.

          (2) "Local government" means "local government" as defined in RCW 39.46.020.

          (3) "Type of bond" includes:  (a) General obligation bonds, including councilmanic and voter-approved bonds; (b) revenue bonds; (c) local improvement district bonds; (d) special assessment bonds such as those issued by irrigation districts and diking districts; and (e) other classes of bonds.

          (4) "State" means "state" as defined in RCW 39.46.020 but also includes any commissions or other entities of the state.

        Sec. 2.  Section 1, chapter 130, Laws of 1985 as amended by section 2, chapter 225, Laws of 1989 and RCW 39.44.210 are each amended to read as follows:

          For each state or local government bond issued, the underwriter of the issue  shall supply the department of community development with information on the bond issue within twenty days of its issuance.  In cases where the issuer of the bond makes a direct or private sale to a purchaser without benefit of an underwriter, the issuer shall supply the required information.  The bond issue information shall be provided on a form prescribed by the department of community development and shall include but is not limited to:  (1) The par value of the bond issue; (2) the effective interest rates; (3) a schedule of maturities; (4) the purposes of the bond issue; (5) cost of issuance information; and (6) the type of bonds that are issued.  A copy of the bond covenants shall be supplied with this information.

          For each state or local government bond issued, the issuer's bond counsel promptly shall provide to the underwriter or to the department of community development information on the amount of any fees charged for services rendered with regard to the bond issue.

Each local government that issues any type of bond shall make a report annually to the department of community development that includes a summary of all the outstanding bonds of the local government as of the first day of January in that year.  Such report shall distinguish the outstanding bond issues on the basis of the type of bond, as defined in RCW 39.44.200.