2004 Legislation
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SENATE BILL NO. 1384 – County-based intermodal commerce

SENATE BILL NO. 1384

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S1384......................................................by STATE AFFAIRS
COUNTY-BASED INTERMODAL COMMERCE AUTHORITIES - Adds to existing law to
authorize county-based intermodal commerce authorities; to set forth
purposes; to provide for establishment and abolishment; to provide for
commissioners; to provide for the cooperation of counties; to set forth
general powers of the county-based intermodal commerce authority; to
provide for rules, policies and orders; to provide for supplementary
powers; to provide for the granting of operation and use privileges; to
provide for the disposal of property; to provide for bonds and obligations;
to provide for the creation of a debt service fund; to set forth provisions
applicable to federal, state and local money; and to provide for tax exempt
status.
                                                                        
02/23    Senate intro - 1st rdg - to printing
02/24    Rpt prt - to Loc Gov

Bill Text


                                                                        
                                                                        
  ]]]]              LEGISLATURE OF THE STATE OF IDAHO             ]]]]
 Fifty-seventh Legislature                 Second Regular Session - 2004
                                                                        
                                                                        
                                       IN THE SENATE
                                                                        
                                    SENATE BILL NO. 1384
                                                                        
                                 BY STATE AFFAIRS COMMITTEE
                                                                        
  1                                        AN ACT
  2    RELATING TO COUNTY-BASED INTERMODAL COMMERCE AUTHORITIES; AMENDING  TITLE  70,
  3        IDAHO  CODE, BY THE ADDITION OF A NEW CHAPTER 22, TITLE 70, IDAHO CODE, TO
  4        AUTHORIZE A COUNTY-BASED INTERMODAL COMMERCE AUTHORITY, TO SET FORTH  PUR-
  5        POSES,  TO  PROVIDE FOR ESTABLISHMENT AND ABOLISHMENT, TO PROVIDE FOR COM-
  6        MISSIONERS, TO PROVIDE FOR THE COOPERATION OF COUNTIES, TO SET FORTH  GEN-
  7        ERAL  POWERS  OF  A COUNTY-BASED INTERMODAL COMMERCE AUTHORITY, TO PROVIDE
  8        FOR RULES, POLICIES AND ORDERS, TO PROVIDE FOR  SUPPLEMENTARY  POWERS,  TO
  9        PROVIDE  FOR  THE GRANTING OF OPERATION AND USE PRIVILEGES, TO PROVIDE FOR
 10        THE DISPOSAL OF PROPERTY, TO PROVIDE FOR BONDS AND OBLIGATIONS, TO PROVIDE
 11        FOR THE CREATION OF A DEBT SERVICE FUND, TO SET FORTH PROVISIONS  APPLICA-
 12        BLE  TO  FEDERAL, STATE AND LOCAL MONEY AND TO PROVIDE FOR TAX EXEMPT STA-
 13        TUS.
                                                                        
 14    Be It Enacted by the Legislature of the State of Idaho:
                                                                        
 15        SECTION 1.  That Title 70, Idaho Code, be, and the same is hereby  amended
 16    by  the addition thereto of a NEW CHAPTER, to be known and designated as Chap-
 17    ter 22, Title 70, Idaho Code, and to read as follows:
                                                                        
 18                                      CHAPTER 22
 19                      COUNTY-BASED INTERMODAL COMMERCE AUTHORITY
                                                                        
 20        70-2201.  COUNTY-BASED  INTERMODAL  COMMERCE  AUTHORITY  AUTHORIZED.   The
 21    county-based  intermodal  commerce  authority,  hereinafter referred to as the
 22    intermodal authority, is hereby authorized to  acquire,  construct,  maintain,
 23    operate, develop and regulate rail, truck, and other on-land transfer and ter-
 24    minal facilities, buildings, warehouses and storage facilities, manufacturing,
 25    industrial  and economic development facilities and services, reasonably inci-
 26    dent to a modern, efficient and competitive land-based port, and may be estab-
 27    lished according to this chapter in any county or city.
                                                                        
 28        70-2202.  PURPOSE -- PUBLIC AND GOVERNMENT FUNCTIONS. The  purposes  of  a
 29    county-based intermodal authority are to:
 30        (1)  Promote,  stimulate  and  advance the commerce, economic development,
 31    and prosperity of its jurisdiction and of the state;
 32        (2)  Endeavor to increase the volume of commerce within  the  jurisdiction
 33    of  the  county-based  intermodal  commerce  authority  and local jurisdiction
 34    through planning, advertising, acquisition, establishment,  development,  con-
 35    struction,  improvement, maintenance, operation, regulation, and protection of
 36    transportation, storage, and other facilities that promote  economic  handling
 37    of commerce;
 38        (3)  Cooperate  and  act  in  conjunction with other organizations, either
 39    public or private, in the development of  commerce,  industry,  manufacturing,
 40    services,  natural  resources,  agriculture,  livestock, recreation, and other
 41    economic activity in the state; and
                                                                        
                                           2
                                                                        
  1        (4)  Support the creation, expansion, modernization, retention, and  relo-
  2    cation  of  new and existing businesses and industries, and assist in and sup-
  3    port the growth of all kinds of economic activity that will  tend  to  promote
  4    commerce  and  business development, maintain the economic stability and pros-
  5    perity of its jurisdiction and of the state.
                                                                        
  6        70-2203.  ESTABLISHMENT AND ABOLISHMENT. Any county, hereinafter  referred
  7    to  as  a  governing body, may, after a public hearing, by resolution or ordi-
  8    nance of its governing body, create a public body, corporate and  politic,  to
  9    be  known  as  a  local county-based intermodal commerce authority. Any county
 10    after establishment of an intermodal authority may, after a public hearing, by
 11    resolution or ordinance abolish the county-based intermodal  commerce  author-
 12    ity. A county-based intermodal commerce authority shall be authorized to exer-
 13    cise its functions upon the appointment and qualification of the first commis-
 14    sioners  thereof.  The  resolution  or  ordinance  creating an authority shall
 15    include provisions for governance and how  the  authority  shall  conduct  its
 16    affairs.  The  board of directors shall consist of no less than three (3) mem-
 17    bers.
                                                                        
 18        70-2204.  COMMISSIONERS. (1) The powers of each authority  are  vested  in
 19    the  commissioners  thereof. The resolution or ordinance creating an authority
 20    shall include provisions for establishing a commission to govern  the  affairs
 21    of the authority, to define what constitutes a quorum of the commission, terms
 22    of  commissioners, procedures for appointment, reappointment, and vacancies. A
 23    majority of the commissioners of an authority constitutes  a  quorum  for  the
 24    purpose  of conducting business of the authority and exercising its powers for
 25    all other purposes. Action may be taken by the  intermodal  authority  upon  a
 26    vote of not less than a majority of the commissioners present.
 27        (2)  Each  local  county-based  intermodal commerce authority must elect a
 28    chairman and vice-chairman from among the commissioners at time and for  terms
 29    as set out in the respective resolution or ordinance.
 30        (3)  An  intermodal  authority may employ such other officers, agents, and
 31    employees, permanent or temporary, as  it  may  require.  Commissioners  shall
 32    determine  necessary  qualifications,  duties  and  compensation for officers,
 33    agents and employees. An intermodal authority may delegate to one (1) or  more
 34    of its agents or employees such powers or duties as it considers proper.
 35        (4)  A  commissioner  of  an  intermodal  authority is entitled to receive
 36    reimbursement for expenses for travel and the discharge of his or  her  duties
 37    according to the policies of the governing body.
                                                                        
 38        70-2205.  COOPERATION OF COUNTY. For the purpose of aiding and cooperating
 39    in  the  planning,  establishment,  construction or operation of an intermodal
 40    authority or any of its facilities,  any  governing  body  of  the  respective
 41    county for which an intermodal authority has been created may:
 42        (1)  Lend or donate money to the intermodal authority;
 43        (2)  Provide  that  all  funds  available  or  to  become  available to or
 44    required by law to be used by the county for a local  county-based  intermodal
 45    commerce  authority purposes be transferred or paid directly to the intermodal
 46    authority as such funds become available to the county;
 47        (3)  Cause water, sewer or drainage facilities  or  any  other  facilities
 48    that  it  is empowered to provide to be furnished adjacent to or in connection
 49    with such local authorities or intermodal authority facilities;
 50        (4)  Dedicate, sell, convey or lease any of its interest in  any  property
 51    or  facility  or  grant easements, licenses, or any other rights or privileges
 52    therein to the intermodal authority;
                                                                        
                                           3
                                                                        
  1        (5)  Furnish, dedicate, close, pave,  install,  grade,  regrade,  plan  or
  2    replan   streets, roads, roadways, and walks from established streets or roads
  3    to such intermodal authority or facilities;
  4        (6)  Do any and all things, whether or not specifically authorized in this
  5    section and not otherwise prohibited by state or federal law or resolution  or
  6    ordinance,  that  are  necessary  or  convenient to aid and cooperate with the
  7    intermodal  authority  in  the  planning,  construction  or  operation  of  an
  8    intermodal authority and its facilities; and
  9        (7)  Enter into agreements with the intermodal authority respecting action
 10    to be taken by the county pursuant to the provisions of this section.
                                                                        
 11        70-2206.  GENERAL POWERS OF A COUNTY-BASED INTERMODAL COMMERCE  AUTHORITY.
 12    An  intermodal  authority shall have the powers provided to it by a local gov-
 13    erning body including, but not limited to:
 14        (1)  Request and receive annually any local funds dedicated to the author-
 15    ity by the governing body for local county-based intermodal commerce authority
 16    purposes;
 17        (2)  Have perpetual succession unless abolished as provided in this  chap-
 18    ter;
 19        (3)  Sue and be sued;
 20        (4)  Have a seal;
 21        (5)  Execute  contracts  and  other instruments and take other action that
 22    may be necessary or convenient to carry out the purposes of this chapter;
 23        (6)  Plan, establish,  acquire,  develop,  construct,  purchase,  enlarge,
 24    improve,  modify,  maintain,  equip, operate, regulate and protect transporta-
 25    tion, storage, or other facilities or other  personal  property  necessary  or
 26    convenient to carry out the purposes of this chapter;
 27        (7)  Acquire any land or interest in land. All land and other property and
 28    privileges  acquired and used by or on behalf of any intermodal authority must
 29    be used for intermodal authority purposes. As specified  in  this  chapter,  a
 30    port  authority  may  pledge,  lease, sell, or mortgage all or any part of its
 31    facilities to secure bonds;
 32        (8)  Recommend to the local governing body that created it,  comprehensive
 33    county-based  intermodal  commerce  authority zoning regulations in accordance
 34    with the laws of this state and the governing body; and
 35        (9)  Provide financial and other support to corporations or other business
 36    entities or organizations under the provisions of Idaho law, whose purpose  is
 37    to  promote, stimulate, develop and advance the economic development and pros-
 38    perity of its jurisdiction and of the state and its citizens  by  stimulating,
 39    assisting  in,  and  supporting  the growth of all kinds of economic activity,
 40    including the creation, expansion, modernization, retention, and relocation of
 41    new and existing businesses and industry in the state, all of which will  tend
 42    to  promote business development, maintain the economic stability and prosper-
 43    ity of the state, and thus provide maximum opportunities  for  employment  and
 44    improvement in the standards of living of citizens of the state.
                                                                        
 45        70-2207.  RULES,  POLICIES  AND ORDERS. An intermodal authority may adopt,
 46    amend, and repeal such reasonable rules, policies and orders as  it  considers
 47    necessary  for  its  own administration, management, and governance as well as
 48    for the management, governance, and use of  any  transportation,  storage,  or
 49    other  facility  owned  by  it or under its control. No rule, policy, order or
 50    standard prescribed by the intermodal authority may be  inconsistent  with  or
 51    contrary  to  any  act  of the congress of the United States or any law, rule,
 52    ordinance or resolution of the state of Idaho or the local governing body cre-
 53    ating the intermodal authority. The intermodal authority shall keep on file at
                                                                        
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  1    the principal office of the intermodal authority a copy of all its rules, pol-
  2    icies and orders for public inspection.
                                                                        
  3        70-2208.  SUPPLEMENTARY POWERS. In addition to  the  general  and  special
  4    powers  conferred  by this chapter, each intermodal authority may exercise all
  5    powers delegated to it by the governing body creating it and powers incidental
  6    to the exercise of such general and special powers contained herein.
                                                                        
  7        70-2209.  GRANTING OF OPERATION AND USE PRIVILEGES. In connection with the
  8    operation of transportation, storage, or other facilities owned or  controlled
  9    by an intermodal authority, the intermodal authority may:
 10        (1)  Enter into contracts, leases, and other arrangements for terms not to
 11    exceed thirty (30) years:
 12        (a)  Granting the privilege of using or improving the intermodal authority
 13        facility  or  any portion or facility thereof or space therein for commer-
 14        cial purposes;
 15        (b)  Conferring the privilege of supplying goods, commodities, services or
 16        facilities at the intermodal authority facility; and
 17        (c)  Making available services to be furnished by the intermodal authority
 18        or its agents at the transportation, storage or other facility; and
 19        (2)  Establish the terms and conditions and fix the  charges,  rentals  or
 20    fees  for the privileges or services, which must be reasonable and uniform for
 21    the same class of privilege or service and must be established with due regard
 22    to the property and improvements used and the expenses  of  operation  to  the
 23    authority.
                                                                        
 24        70-2210.  PROPERTY  -- DISPOSAL. Except as may be limited by the terms and
 25    conditions of any grant, loan or agreement  entered  into  by  the  intermodal
 26    authority, an intermodal authority may sell, lease or otherwise dispose of any
 27    transportation,  storage  or other facility or other property or portion of or
 28    interest in the intermodal authority's facility or property acquired  pursuant
 29    to  this  chapter. The disposal by sale, lease, or otherwise must be in accor-
 30    dance with the laws of this state and the governing body governing the  dispo-
 31    sition  of other public property, unless a sale, lease, mortgage or other dis-
 32    position is made under this chapter to secure bonds of the intermodal  author-
 33    ity.
                                                                        
 34        70-2211.  BONDS  AND  OBLIGATIONS. (1) Except for providing financial sup-
 35    port to a private organization, including a  business  operating  under  Idaho
 36    law,  whose purpose is to advance the economic development of its jurisdiction
 37    and of the state and its citizens, an intermodal authority  may  borrow  money
 38    for any of its lawful purposes. The bonds may be issued according to processes
 39    and  in the form and upon terms as it determines pursuant to section 3B, arti-
 40    cle VIII of the constitution of the state of Idaho. Bonds shall be payable out
 41    of any revenue of the intermodal authority, including revenue derived from:
 42        (a)  Any transportation, storage or other facility;
 43        (b)  Grants or contributions from federal, state or local governments; or
 44        (c)  Other sources.
 45        (2)  The bonds may be issued by resolution  of  the  intermodal  authority
 46    pursuant  to  section  3B,  article  VIII  of the constitution of the state of
 47    Idaho, without any limitation of amount, except that bonds may not  be  issued
 48    at any time if the total amount of principal and interest to become due in any
 49    year on the bonds and on any then outstanding bonds for which revenue from the
 50    same  source  is  pledged exceeds the amount of revenue to be received in that
 51    year, as estimated in the intermodal authority order authorizing the  issuance
                                                                        
                                           5
                                                                        
  1    of  the  bonds.  The  intermodal authority shall take all action necessary and
  2    possible to impose, maintain, and collect rates, charges  and  rentals  suffi-
  3    cient  to make the revenue from the pledged source in such year at least equal
  4    to the amount of principal and interest due in that year.
  5        (3)  The bonds may be sold at public or private sale and shall bear inter-
  6    est at such rate or rates as the  issuing  intermodal  authority  respectively
  7    shall  determine.  Except  as  otherwise  provided  in this chapter, any bonds
  8    issued pursuant to this chapter by an intermodal authority may be  payable  as
  9    to  principal  and interest solely from revenue of the intermodal authority or
 10    from particular port, transportation,  storage  or  other  facilities  of  the
 11    intermodal  authority. The bonds must state on their face the applicable limi-
 12    tations or restrictions regarding the source from which principal and interest
 13    are payable.
 14        (4)  Bonds issued by an intermodal authority pursuant to the provisions of
 15    this chapter are declared to be issued for an essential public and  governmen-
 16    tal purpose.
 17        (5)  For the security of bonds, the intermodal authority may by resolution
 18    make  and enter into any covenant, agreement or indenture and may exercise any
 19    additional powers authorized by a county. The sums required from time to  time
 20    to  pay  principal  and  interest and to create and maintain a reserve for the
 21    bonds may be paid from any revenue referred to in this chapter, prior  to  the
 22    payment  of  current  costs of operation and maintenance of the facilities. As
 23    further security for the bonds, the intermodal authority, with the approval of
 24    the governing body of the county  that  created  the  authority,  may  pledge,
 25    lease,  sell,  mortgage, or grant a security interest in all or any portion of
 26    its land-based port, transportation, storage or other facilities,  whether  or
 27    not  the  facilities  are  financed by the bonds. The instrument effecting the
 28    pledge, lease, sale, mortgage, or security interest may contain any agreements
 29    and provisions customarily contained in instruments  securing  bonds,  as  the
 30    commissioners  of  the intermodal authority consider advisable. The provisions
 31    must be consistent with this chapter and are subject to and must be in  accor-
 32    dance with the laws of this state governing mortgages, trust indentures, secu-
 33    rity  agreements, or instruments. The instrument may provide that in the event
 34    of a default in the payment of principal or interest on the bonds  or  in  the
 35    performance  of  any  agreement  contained  in the proceedings authorizing the
 36    bonds or instrument, the  payment  or  performance  may  be  enforced  by  the
 37    appointment  of  a receiver in equity. The receiver may collect charges, rents
 38    or fees and may apply the revenue from the mortgaged property or collateral in
 39    accordance with the provisions of the instrument.
 40        (6)  Nothing in this  section  may  be  construed  to  limit  the  use  of
 41    intermodal authority revenue, including federal, state and local money to make
 42    grants  and  loans or to otherwise provide financial and other support to pri-
 43    vate intermodal authority, including corporations and business entities  oper-
 44    ating  under  the  provisions of Idaho law. The credit of the state, county or
 45    municipal governments or their agencies or authorities may not be  pledged  to
 46    provide financial support to the intermodal authority.
                                                                        
 47        70-2212.  DEBT  SERVICE  FUND.  An  intermodal authority may create a debt
 48    service fund and accumulate therein a sum determined by  the  governing  body,
 49    together with interest thereon, for the use, repairs, maintenance, and capital
 50    outlays of a county-based intermodal commerce authority.
                                                                        
 51        70-2213.  FEDERAL,  STATE  AND  LOCAL  MONEY.  An intermodal authority may
 52    accept, receive, receipt for, and spend federal, state  and  local  money  and
 53    other  public  or private money made available by grant, loan or appropriation
                                                                        
                                           6
                                                                        
  1    to accomplish any of the purposes of this chapter and according to  conditions
  2    of  the  grant,  loan  or appropriation. All federal money accepted under this
  3    section must be accepted and spent by the authority upon terms and  conditions
  4    prescribed by the United States and consistent with state law. All state money
  5    accepted  under  this  section  must  be  accepted and spent by the intermodal
  6    authority upon terms and conditions prescribed by the  state.  All  county  or
  7    municipal  money accepted under this section must be accepted and spent by the
  8    intermodal authority upon terms and conditions  prescribed  by  the  governing
  9    county.
                                                                        
 10        70-2214.  TAX  EXEMPTION.  Any  property  in  this  state  acquired  by an
 11    intermodal authority for purposes pursuant to the provisions of this  chapter,
 12    and  any income derived by the intermodal authority from the ownership, opera-
 13    tion, or control thereof, including property acquired and income derived  from
 14    organizations,  including corporations operating under the laws of this state,
 15    are exempt from taxation to the same extent as other property used for  public
 16    purposes.

Statement of Purpose / Fiscal Impact


                        STATEMENT OF PURPOSE

                              RS 14105

This proposal creates a new section 70-2201, authorizing creation
of a county-based intermodal commerce authority. The local
commerce authority shall not have taxing authority, and is
designed to create, stimulate and advance commerce, economic
development in the local jurisdiction, and for all Idaho. Any
board of county commissioners may create or abolish the
intermodal commerce authority. A board of local intermodal
authority commissioners appointed by the respective county
commissioners shall serve as the management team. A county-based
intermodal commerce authority may acquire assets and revenue from
loans or it may issue and secure bonds according to article VIII,
section 3E of the Idaho Constitution, but only to the limit of
assets held by the intermodal authority and other revenue
generated by economic operations of the authority. The authority
is empowered to receive federal, state or local money including
gifts, grants, direct appropriations, and to enter into
contracts, acquire, hold and lease property only for purposes of
promoting local and statewide economic growth and commerce,
maintaining facilities for commerce, commodity shipping,
transportation transfer, and storage.



                            FISCAL NOTE

There will be no impact upon state general fund revenues.



CONTACTS
NAME:        Senator Dean Cameron
PHONE:       334-4735
NAME:        Speaker Bruce Newcomb
PHONE:       332-1111
NAME:        Representative Scott Bedke
PHONE:       332-1000


STATEMENT OF PURPOSE                                S 1384