View Daily Data Tracking History
View Bill Text
View Statement of Purpose / Fiscal Impact
H0267.........................................................by STATE AFFAIRS
BOND BANK AUTHORITY - Amends existing law to provide the Idaho Bond Bank
Authority the power and duty to facilitate the purchase of notes from
municipalities to be utilized by a municipality in purchasing, leasing or
lease-purchasing tangible personal property when the note was otherwise
legally issued and authorized by a municipality and the purchase of the note
from a municipality does not violate the state constitution.
02/14 House intro - 1st rdg - to printing
02/17 Rpt prt - to St Aff
02/26 Rpt out - rec d/p - to 2nd rdg
02/27 2nd rdg - to 3rd rdg
02/28 3rd rdg - PASSED - 61-0-9
AYES -- Andersen, Barrett, Bauer, Bedke, Bell, Bieter, Black, Block,
Boe, Bolz, Bradford, Campbell, Cannon, Clark, Collins, Crow, Cuddy,
Deal, Denney, Douglas, Eberle, Edmunson, Ellsworth, Eskridge, Field(23),
Garrett, Harwood, Henbest, Jaquet, Jones, Kulczyk, Lake, Langford,
Langhorst, Martinez, McGeachin, McKague, Meyer, Miller, Mitchell, Moyle,
Naccarato, Nielsen, Raybould, Ridinger, Ring, Ringo, Roberts, Robison,
Rydalch, Sali, Sayler, Shepherd, Shirley, Smith(30), Smylie, Snodgrass,
Stevenson, Tilman, Wills, Wood
NAYS -- None
Absent and excused -- Barraclough, Field(18), Gagner, Kellogg, Schaefer,
Skippen, Smith(24), Trail, Mr. Speaker
Floor Sponsor - Clark
Title apvd - to Senate
03/03 Senate intro - 1st rdg - to St Aff
03/06 Rpt out - rec d/p - to 2nd rdg
03/07 2nd rdg - to 3rd rdg
03/11 3rd rdg - PASSED - 35-0-0
AYES -- Andreason, Bailey, Brandt, Bunderson, Burkett, Burtenshaw,
Calabretta, Cameron, Compton, Darrington, Davis, Gannon, Geddes, Goedde,
Hill, Ingram, Kennedy, Keough, Little, Lodge, Malepeai, Marley,
McKenzie, McWilliams, Noble, Noh, Pearce, Richardson, Schroeder,
Sorensen, Stegner, Stennett, Sweet, Werk, Williams
NAYS -- None
Absent and excused -- None
Floor Sponsor - Little
Title apvd - to House
03/12 To enrol
03/13 Rpt enrol - Sp signed
03/14 Pres signed
03/17 To Governor
Governor signed
Session Law Chapter 93
Effective: 07/01/03
|||| LEGISLATURE OF THE STATE OF IDAHO ||||
Fifty-seventh Legislature First Regular Session - 2003
IN THE HOUSE OF REPRESENTATIVES
HOUSE BILL NO. 267
BY STATE AFFAIRS COMMITTEE
1 AN ACT
2 RELATING TO THE IDAHO BOND BANK AUTHORITY; AMENDING SECTION 67-8705, IDAHO
3 CODE, TO PROVIDE THE AUTHORITY THE POWER AND DUTY TO FACILITATE THE PUR-
4 CHASE OF NOTES FROM MUNICIPALITIES TO BE UTILIZED BY A MUNICIPALITY IN
5 PURCHASING, LEASING OR LEASE-PURCHASING TANGIBLE PERSONAL PROPERTY WHEN
6 THE NOTE WAS OTHERWISE LEGALLY ISSUED AND AUTHORIZED BY A MUNICIPALITY AND
7 THE PURCHASE OF THE NOTE FROM A MUNICIPALITY DOES NOT VIOLATE THE STATE
8 CONSTITUTION.
9 Be It Enacted by the Legislature of the State of Idaho:
10 SECTION 1. That Section 67-8705, Idaho Code, be, and the same is hereby
11 amended to read as follows:
12 67-8705. POWERS AND DUTIES OF THE AUTHORITY. The authority shall have the
13 following powers and duties:
14 (1) To sue and be sued in its own name;
15 (2) To adopt and from time to time alter an official seal;
16 (3) To adopt and from time to time amend or repeal rules and bylaws;
17 (4) To accept and receive public grants or private gifts, bequests or
18 other moneys;
19 (5) To purchase municipal bonds and to obtain funds for such other pur-
20 poses of the authority authorized by this chapter by:
21 (a) Issuing bonds payable from or secured by municipal bonds of one (1)
22 or more municipalities;
23 (b) Pledging or otherwise obligating, for and in the name and on behalf
24 of the state as its agent and instrumentality, sales tax revenues of the
25 state as a source of payment or security for bonds issued by the author-
26 ity;
27 (c) Establishing debt service reserve funds or other reserve funds;
28 (d) Obtaining private credit enhancement for bonds issued by the author-
29 ity;
30 (e) Investing moneys held by the authority, as proceeds or to pay or
31 secure bonds issued by the authority, in such securities or obligations as
32 are described in the indenture, trust agreement or other instrument pro-
33 viding for the authority's issuance of the bonds;
34 (f) Investing any moneys held by the authority, in excess of funds
35 described in paragraph (e) of this subsection, in any securities or other
36 obligations in which a trustee may invest as provided by law; or
37 (g) Taking any other actions and entering into such other contracts and
38 agreements as the authority may determine to be necessary or appropriate
39 to accomplish the purposes of the authority and this chapter; or
40 (h) Facilitating the purchase of notes from municipalities to be uti-
41 lized by a municipality in purchasing, leasing or lease-purchasing tangi-
42 ble personal property when the note was otherwise legally issued and
43 authorized by a municipality and the purchase of the note from a munici-
2
1 pality does not violate the state constitution.
2 (6) To charge such fees to municipalities in connection with application
3 for and receipt of financing under this chapter and interest and other charges
4 on or in connection with municipal bonds purchased as it may deem necessary or
5 appropriate to cover all costs and expenses of the authority and its opera-
6 tions, and to set such other terms and conditions on its services or purchase
7 of municipal bonds as may be necessary or appropriate to secure the bonds or
8 improve their marketability or to otherwise achieve the purposes of the
9 authority; and
10 (7) To take any and all actions, execute any and all contracts, including
11 payment of any arbitrage rebate as may be necessary to obtain or maintain
12 exemption of interest on bonds issued by the authority from federal income
13 taxes; provided however, that nothing shall prevent the authority from issuing
14 bonds bearing interest subject to federal income tax.
STATEMENT OF PURPOSE
RS 12994
This Legislation would allow the Idaho Municipal Bond Bank to
consolidate purchase notes as well as lease notes for
municipalities to be used on smaller scale loans within
Constitutional limitations. These loans would generally be used
to purchase or lease such items as police cars, fire trucks,
school buses, computer equipment etc. The Bond Bank can obtain
better credit ratings, more attractive interest rates, and lower
underwriting costs than municipalities could achieve
individually. Consolidating all of the approved municipality
lease and purchase loans and selling them at one time spreads the
fixed costs over many participants. The result is lower fixed
costs for all municipalities involved, and ultimately, lower
costs to taxpayers
FISCAL IMPACT
Municipalities will save a conservative estimate of $155,000
annually.
Contact
Name: Lisa Carberry
Idaho State Treasurer's Office
Phone: (208) 334-3200
STATEMENT OF PURPOSE/FISCAL NOTE H 267