SB621: SB621 "Barrow County Public Facilities Authority Act"; enact

26 LC 62 0317 Senate Bill 621 By: Senators Dixon of the 45th, Cowsert of the 46th and Ginn of the 47th AS PASSED A BILL TO BE ENTITLED AN ACT To create the Barrow County Public Facilities Authority; to provide for the appointment of1 members of the Authority; to provide for a short title; to confer powers upon the Authority;2 to provide for purpose and scope of operations of the Authority; to provide for definitions;3 to authorize the issuance of revenue bonds of the Authority; to fix and provide the venue and4 jurisdiction of actions; to provide for moneys received and tru st funds; to provide for tort5 immunity; to provide for tax exemption, rates, charges, and revenues; to provide for effect6 on other governments; to provide for construction and severabil ity; to provide for related7 matters; to provide for an effective date; to repeal conflicting laws; and for other purposes.8 BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:9 SECTION 1.10 Short title.11 This Act shall be known and may be cited as the "Barrow County Public Facilities Authority12 Act."13 S. B. 621 - 1 - 26 LC 62 0317 SECTION 2.14 Barrow County Public Facilities Authority.15 (a) There is hereby created a public body corporate and politic to be known as the "Barrow16 County Public Facilities Authority," which shall be deemed to be a political subdivision of17 the state and a public corporation, and by that name, style, and title such body may contract18 and be contracted with, sue and be sued, implead and be impleaded, and complain and defend19 in all courts of law and equity. The Authority shall have perpetual existence.20 (b) The Authority shall consist of five members. One member shall be the chairperson of21 the Board of Commissioners of Barrow County, two members shall be members of the Board22 of Commissioners of Barrow County, and two members shall be residents of Barrow County23 appointed by the Board of Commissioners of Barrow County. The terms of office of the24 members who are also the chairperson and members of the Board o f Commissioners of25 Barrow County shall be concurrent with their terms of office as the chairperson and members26 of the Board of Commissioners of Barrow County. The remaining appointments shall be27 made for terms of four years and until successors are appointed and qualified. Immediately28 after such appointments, the members of the Authority shall enter upon their duties. To be29 eligible for appointment as a member of the Authority, a person shall be at least 21 years of30 age, a resident of Barrow County, and shall not have been convi cted of a felony. Any31 member of the Authority may be selected and appointed to succee d himself or herself. A32 member may be removed from office by the Board of Commissioners of Barrow County for33 failure to perform the appropriate duties of membership.34 (c) The members shall not be compensated for their services; provided, however, that such35 members shall be reimbursed for their actual expenses necessari ly incurred in the36 performance of their duties.37 (d) The Board of Commissioners shall appoint a member of the A uthority who is also a38 member of the Board of Commissioners as the chairperson of the Authority. The members39 S. B. 621 - 2 - 26 LC 62 0317 of the Authority may elect one of its members as vice chairpers on. The members of the40 Authority shall also elect a secretary, who need not be a member of the Authority, and may41 also elect a treasurer, who need not be a member of the Authority. The secretary may also42 serve as treasurer. If the secretary and treasurer are not mem bers of the Authority, such43 officers shall have no voting rights, and each shall serve for a period of one year and until44 their successors are duly elected and qualified.45 (e) A majority of members of the Authority shall constitute a quorum. No vacancy on the46 Authority shall impair the right of the quorum to exercise all of the rights and perform all of47 the duties of the Authority.48 SECTION 3.49 Definitions.50 As used in this Act, the term:51 (1) "Authority" means the Barrow County Public Facilities Authority created by this Act.52 (2) "Costs of the project" means and embraces the cost of cons truction; the cost of all53 lands, properties, rights, easements, and franchises acquired; the cost of all machinery and54 equipment; financing charges; interest prior to and during construction and for six months55 after completion of construction; the cost of engineering, arch itectural, fiscal agents'56 expenses, legal expenses, plans and specifications, and other e xpenses necessary or57 incidental to determining the feasibility or practicability of the project; administrative58 expenses and such other expenses as may be necessary or inciden tal to the financing59 authorized in this Act; working capital; and all other costs necessary to acquire, construct,60 add to, extend, improve, equip, operate, and maintain the project.61 (3) "Project" means all buildings, facilities, and equipment necessary or convenient for62 the efficient operation of the county or any department, agency, division, or commission63 thereof permitted by the Revenue Bond Law.64 S. B. 621 - 3 - 26 LC 62 0317 (4) "Revenue Bond Law" means Article 3 of Chapter 82 of Title 36 of the O.C.G.A., the65 "Revenue Bond Law."66 (5) "Revenue bonds" means revenue bonds authorized to be issue d pursuant to the67 Revenue Bond Law.68 (6) "Self-liquidating" means any project from which the revenu es and earnings to be69 derived by the Authority therefrom, including, but not limited to, any contractual70 payments with governmental or private entities, and all properties used, leased, and sold71 in connection herewith, together with any grants, will be suffi cient to pay the costs of72 operating, maintaining, and repairing the project and to pay the principal and interest on73 the revenue bonds or other obligations which may be issued for the purpose of paying the74 costs of the project.75 (7) "State" means the State of Georgia.76 SECTION 4.77 Powers.78 The Authority shall have the power:79 (1) To have a seal and alter the same at its pleasure;80 (2) To acquire by purchase, lease, gift, condemnation, or otherwise and to hold, operate,81 maintain, lease, and dispose of real and personal property of every kind and character for82 its corporate purposes;83 (3) To acquire in its own name by purchase on such terms and c onditions and in such84 manner as it may deem proper or by condemnation in accordance with the provisions of85 any and all existing laws applicable to the condemnation of property for public use, real86 property, or rights or easements therein, or franchises necessa ry or convenient for its87 corporate purposes, to use the same so long as its corporate existence shall continue, and88 to lease or make contracts with respect to the use of or dispos al of the same in any89 S. B. 621 - 4 - 26 LC 62 0317 manner it deems to be the best advantage of the Authority. The Authority shall be under90 no obligation to accept and pay for any property condemned under this Act except from91 the funds provided under the authority of this Act. In any proceedings to condemn, such92 orders may be made by the court having jurisdiction of the suit , action, or proceedings93 as may be just to the Authority and to the owners of the property to be condemned. No94 property shall be acquired under the provisions of this Act upo n which any lien or95 encumbrance exists, unless, at the time such property is so acquired, a sufficient sum of96 money is to be deposited in trust to pay and redeem the fair va lue of such lien or97 encumbrance;98 (4) To appoint, select, and employ officers, agents, and emplo yees, including99 engineering, architectural, and construction experts, fiscal agents, and attorneys, and to100 fix their respective compensations;101 (5) To execute contracts, leases, installment sale agreements, and other agreements and102 instruments necessary or convenient in connection with the acqu isition, construction,103 addition, extension, improvement, equipment, operation, or maintenance of a project; and104 any and all persons, firms, corporations, and Barrow County are hereby authorized to105 enter into contracts, leases, installment sale agreements, and other agreements or106 instruments with the Authority upon such terms and for such pur poses as they deem107 advisable and as they are authorized by law;108 (6) To acquire, construct, add to, extend, improve, equip, hold, operate, maintain, lease,109 and dispose of projects;110 (7) To pay the costs of the project with the proceeds of reven ue bonds or other111 obligations issued by the Authority or from any grant or contri bution from the United112 States or any agency or instrumentality thereof or from this st ate or any agency or any113 instrumentality or other political subdivision thereof or from any other source114 whatsoever;115 S. B. 621 - 5 - 26 LC 62 0317 (8) To accept loans or grants of money, materials, or property of any kind from the116 United States or any agency or instrumentality thereof, upon such terms and conditions117 as the United States or such agency or instrumentality may require;118 (9) To accept loans or grants of money, materials, or property of any kind from this state119 or any agency, instrumentality, political subdivision, or municipal corporation thereof,120 upon such terms and conditions as this state or such agency, in strumentality, political121 subdivision, or municipal corporation may require;122 (10) To borrow money for any of its corporate purposes, to issue revenue bonds, and to123 provide for the payment of the same and for the rights of the holders thereof;124 (11) To exercise any power usually possessed by private corporations performing similar125 functions, including the power to incur short-term debt and to approve, execute, and126 deliver appropriate evidence of any such indebtedness;127 (12) To adopt, alter, or repeal its own bylaws, rules, and reg ulations governing the128 manner in which its business is transacted; and129 (13) To do all things necessary or convenient to carry out the powers expressly given in130 this Act.131 SECTION 5.132 Revenue bonds.133 The Authority, or any authority or body which has or which may in the future succeed to the134 powers, duties, and liabilities vested in the Authority created by this Act, shall have power135 and is authorized, pursuant to the Revenue Bond Law, to provide by resolution for the136 issuance of revenue bonds of the Authority for the purpose of paying all or any part of the137 costs of a project and for the purpose of refunding revenue bon ds or other obligations138 previously issued; provided, however, that no such revenue bonds shall be issued to finance139 a project for the Barrow County School District or any other po litical subdivision or140 S. B. 621 - 6 - 26 LC 62 0317 municipal corporation of the state located within Barrow County other than Barrow County. 141 Revenue bonds shall be undertaken, issued, priced, validated, sold, paid, redeemed, refunded,142 secured, and replaced in accordance with the provisions of the Revenue Bond Law.143 SECTION 6.144 Revenue bonds; conditions precedent to issuance.145 The Authority shall adopt a resolution authorizing the issuance of revenue bonds. In the146 resolution, the Authority shall determine that the project financed with the proceeds of such147 revenue bonds is self-liquidating. Revenue bonds may be issued without any other148 proceedings or the happening of any other conditions or obligat ions other than those149 proceedings, conditions, and obligations which are specified or required by this Act. Any150 resolution providing for the issuance of revenue bonds under the provisions of this Act shall151 become effective immediately upon its passage and need not be published or posted, and any152 such resolution may be passed at any regular, special, or adjourned meeting of the Authority153 by a majority of its members present and voting.154 SECTION 7.155 Credit not pledged.156 Revenue bonds of the Authority shall not be deemed to constitute a debt of Barrow County157 or the State of Georgia, nor a pledge of the faith and credit of this state or such county, but158 such revenue bonds shall be payable solely from the fund provid ed for in this Act. The159 issuance of such revenue bonds shall not directly, indirectly, or contingently obligate this160 state or such county to levy or pledge any form of taxation whatsoever for payment of such161 revenue bonds or to make any appropriation for their payment, and all such revenue bonds162 shall contain recitals on their face covering substantially the foregoing provisions of this163 S. B. 621 - 7 - 26 LC 62 0317 section. Notwithstanding the foregoing provisions, this Act shall not affect the ability of the164 Authority and any political subdivision to enter into an intergovernmental contract pursuant165 to which the political subdivision agrees to pay amounts sufficient to pay operating charges166 and other costs of the Authority or any project including, without limitation, the principal of167 and interest on revenue bonds in consideration for services or facilities of the Authority.168 SECTION 8.169 Trust indenture as security.170 In the discretion of the Authority, any issuance of revenue bonds may be secured by a trust171 indenture by and between the Authority and a corporate trustee, which may be any trust172 company or bank having the powers of a trust company within or without this state. Either173 the resolution providing for the issuance of the revenue bonds or such trust indenture may174 contain such provisions for protecting and enforcing the rights and remedies of the175 bondholders as may be reasonable and proper and not in violatio n of law, including176 covenants setting forth the duties of the Authority in relation to the acquisition and177 construction of the project; the maintenance, operation, repair, and insuring of the project;178 and the custody, safeguarding, and application of all money.179 SECTION 9.180 Trust indenture as security; remedies of bondholders.181 Any holder of revenue bonds and the trustee under the trust indenture, if any, except to the182 extent that the rights given herein may be restricted by resolution passed before the issuance183 of the revenue bonds or by the trust indenture, may, either at law or in equity, by suit, action,184 mandamus, or other proceedings, protect and enforce any and all rights it may have under185 the laws of the state, including specifically, but without limitation, the Revenue Bond Law,186 S. B. 621 - 8 - 26 LC 62 0317 or granted hereunder or under such resolution or trust indenture and may enforce and compel187 performance of all duties required by this Act or by such resolution or trust indenture to be188 performed by the Authority or any officer thereof, including th e fixing, charging, and189 collecting of revenues, fees, tolls, fines, and other charges f or the use of the facilities and190 services furnished.191 SECTION 10.192 Trust indenture as security; validation.193 Revenue bonds and the security therefor shall be issued, confir med, and validated in194 accordance with the provisions of the Revenue Bond Law. The petition for validation shall195 also make Barrow County party defendant to such action if the county has contracted with196 the Authority for services or facilities relating to the project for which revenue bonds are to197 be issued and sought to be validated, and such defendant shall be required to show cause, if198 any exists, as to why such contract or contracts shall not be adjudicated as a part of the basis199 for the security for the payment of any such revenue bonds. Th e revenue bonds, when200 validated, and the judgment of validation shall be final and conclusive with respect to such201 revenue bonds and the security for the payment thereof and interest thereon and against the202 Authority and all other defendants.203 SECTION 11.204 To whom proceeds of bonds shall be paid.205 In the resolution providing for the issuance of revenue bonds o r in the trust indenture, the206 Authority shall provide for the payment of the proceeds of the sale of the revenue bonds to207 any officer or person who, or any agency, bank, or trust company which, shall act as trustee208 S. B. 621 - 9 - 26 LC 62 0317 of such funds and shall hold and apply the same to the purposes thereof, subject to such209 regulations as this Act and such resolution or trust indenture may provide.210 SECTION 12.211 Sinking fund.212 The money received pursuant to an intergovernmental contract and the revenues, fees, tolls,213 fines, charges, and earnings derived from any particular projec t or projects, regardless of214 whether or not such revenues, fees, tolls, fines, charges, and earnings were produced by a215 particular project for which revenue bonds have been issued, unless otherwise pledged and216 allocated, may be pledged and allocated by the Authority to the payment of the principal and217 interest on revenue bonds of the Authority as the resolution authorizing the issuance of the218 revenue bonds or the trust indenture may provide. Such funds s o pledged from whatever219 source received may be set aside at regular intervals as may be provided in the resolution or220 trust indenture into a sinking fund, which sinking fund shall be pledged to and charged with221 the payment of:222 (1) The interest upon such revenue bonds as the same shall fall due;223 (2) The principal or purchase price of such revenue bonds as the same shall fall due;224 (3) Any premium upon such revenue bonds as the same shall fall due;225 (4) The purchase of such revenue bonds in the open market; and226 (5) The necessary charges of the paying agent for paying principal and interest.227 The use and disposition of such sinking fund shall be subject to such regulations as may be228 provided in the resolution authorizing the issuance of the reve nue bonds or in the trust229 indenture but, except as may otherwise be provided in such resolution or trust indenture, such230 sinking fund shall be maintained as a trust account for the benefit of all revenue bonds and231 trust indenture without distinction or priority of one over another.232 S. B. 621 - 10 - 26 LC 62 0317 SECTION 13.233 Venue and jurisdiction.234 Any action to protect or enforce any rights under the provision s of this Act or any suit or235 action against such Authority shall be brought in the Superior Court of Barrow County, and236 any action pertaining to validation of any revenue bonds issued under the provisions of this237 Act shall likewise be brought in such court which shall have exclusive original jurisdiction238 of such actions.239 SECTION 14.240 Interest of bondholders protected.241 While any of the revenue bonds issued by the Authority remain o utstanding, the powers,242 duties, or existence of such Authority or its officers, employe es, or agents shall not be243 diminished or impaired in any manner that will affect adversely the interests and rights of the244 holders of such revenue bonds and no other entity, department, agency, or authority shall be245 created which will compete with the Authority to such an extent as to affect adversely the246 interests and rights of the holders of such revenue bonds, nor shall the state itself so compete247 with the Authority. The provisions of this Act shall be for the benefit of the Authority and248 the holders of any such revenue bonds, and upon the issuance of such revenue bonds under249 the provisions of this Act, shall constitute a contract with the holders of such revenue bonds.250 S. B. 621 - 11 - 26 LC 62 0317 SECTION 15.251 Money received considered trust funds.252 All money received pursuant to the authority of this Act, whether as proceeds from the sale253 of revenue bonds, as grants or other contributions, or as revenue, income, fees, and earnings,254 shall be deemed to be trust funds to be held and applied solely as provided in this Act.255 SECTION 16.256 Purpose of the Authority; reversion upon dissolution.257 (a) The Authority is created for the purpose of promoting the public good and general258 welfare of the citizens of Barrow County, and financing and providing facilities, equipment,259 and services within the county, for sale to, lease or sublease to, ownership, or operation by260 the county as otherwise authorized by law.261 (b) Upon the dissolution of the Authority, all assets owned by the Authority shall become262 the property of the county.263 SECTION 17.264 Rates, charges, and revenues; use.265 The Authority is hereby authorized to prescribe and fix rates and to revise same from time266 to time and to collect revenues, tolls, fees, and charges for t he services, facilities, and267 commodities furnished and, in anticipation of the collection of the revenues, to issue revenue268 bonds or other types of obligations as provided in this Act to finance, in whole or in part, the269 costs of the project and to pledge to the punctual payment of s uch revenue bonds or other270 obligations all or any part of the revenues.271 S. B. 621 - 12 - 26 LC 62 0317 SECTION 18.272 Rules, regulations, service policies, and procedures for operation of projects.273 It shall be the duty of the Authority to prescribe rules, regul ations, service policies, and274 procedures for the operation of any project or projects constru cted or acquired under the275 provisions of this Act. The Authority may adopt bylaws.276 SECTION 19.277 Tort immunity.278 To the extent permitted by law, the Authority shall have the same immunity and exemption279 from liability for torts and negligence as Barrow County and th e officers, agents, and280 employees of the Authority when in the performance of the work of the Authority shall have281 the same immunity and exemption from liability for torts and ne gligence as the officers,282 agents, and employees of Barrow County when in the performance of their public duties or283 work of the county.284 SECTION 20.285 Tax exemption.286 The income of the Authority, the properties of the Authority, both real and personal, and all287 revenue bonds, certificates of participation, notes, and other forms of obligations issued by288 the Authority shall be exempt from all state and local taxes and special assessments of any289 kind to the extent permitted by and in accordance with the general laws of the state.290 S. B. 621 - 13 - 26 LC 62 0317 SECTION 21.291 Effect on other governments.292 This Act shall not and does not in any way take from Barrow Cou nty or any county or293 municipal corporation the authority to own, operate, and maintain public facilities or to issue294 revenue bonds as provided by the Revenue Bond Law.295 SECTION 22.296 Liberal construction of Act.297 This Act, being for the welfare of various political subdivisio ns of this state and its298 inhabitants, shall be liberally construed to effect the purposes hereof.299 SECTION 23.300 Severability; effect of partial invalidity of Act.301 The provisions of this Act are severable, and if any of its pro visions shall be held302 unconstitutional by any court of competent jurisdiction, the decision of such court shall not303 affect or impair any of the remaining provisions.304 SECTION 24.305 Effective date.306 This Act shall become effective upon its approval by the Governor or upon its becoming law307 without such approval.308 S. B. 621 - 14 - 26 LC 62 0317 SECTION 25.309 General repealer.310 All laws and parts of laws in conflict with this Act are repealed.311 S. B. 621 - 15 -