Print Friendly HOUSE BILL NO. 581
– Highway projects, GARVEE bonding
HOUSE BILL NO. 581
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H0581.....................................................by WAYS AND MEANS
HIGHWAYS - GARVEE - Amends existing law relating to highway transportation
projects and GARVEE bonding to revise provisions relating to certain debt
service and other bond-related expenses as a percentage of annual federal
aid highway apportionments; and to set forth requirements of the Idaho
Transportation Department relating to requests for GARVEE bonding
02/28 House intro - 1st rdg - to printing
02/29 Rpt prt - to Transp
03/07 Rpt out - rec d/p - to 2nd rdg
03/10 2nd rdg - to 3rd rdg
03/11 3rd rdg - PASSED - 42-28-0
AYES -- Andrus, Barrett, Bell, Block, Boe, Bradford, Chavez, Chew,
Clark, Hagedorn, Hart, Harwood, Henbest, Jaquet, Killen, Lake,
LeFavour, Loertscher, Luker, Marriott, Mathews, McGeachin, Mortimer,
Nielsen, Patrick, Pence, Raybould, Ringo, Roberts, Ruchti, Rusche,
Sayler, Shepherd(02), Shirley, Shively, Smith(24), Stevenson, Thayn,
Thomas, Trail, Wood(35), Mr. Speaker
NAYS -- Anderson, Bayer, Bedke, Bilbao, Black, Bock, Bolz, Bowers,
Brackett, Chadderdon, Collins, Crane, Durst, Eskridge, Henderson,
King, Kren, Labrador, Moyle, Nonini, Pasley-Stuart, Schaefer,
Shepherd(08), Smith(30), Snodgrass, Vander Woude, Wills, Wood(27)
Absent and excused -- None
Floor Sponsor - Smith(24)
Title apvd - to Senate
03/12 Senate intro - 1st rdg - to Transp
]]]] LEGISLATURE OF THE STATE OF IDAHO ]]]]
Fifty-ninth Legislature Second Regular Session - 2008
IN THE HOUSE OF REPRESENTATIVES
HOUSE BILL NO. 581
BY WAYS AND MEANS COMMITTEE
1 AN ACT
2 RELATING TO HIGHWAY TRANSPORTATION PROJECTS; AMENDING SECTION 40-315, IDAHO
3 CODE, TO REVISE PROVISIONS RELATING TO CERTAIN DEBT SERVICE AND OTHER
4 BOND-RELATED EXPENSES AS A PERCENTAGE OF ANNUAL FEDERAL-AID HIGHWAY APPOR-
5 TIONMENTS AND TO SET FORTH REQUIREMENTS OF THE DEPARTMENT OF TRANSPORTA-
6 TION RELATING TO REQUESTS FOR GARVEE BONDING AUTHORITY.
7 Be It Enacted by the Legislature of the State of Idaho:
8 SECTION 1. That Section 40-315, Idaho Code, be, and the same is hereby
9 amended to read as follows:
10 40-315. POWERS AND DUTIES -- FEDERALLY-FUNDED HIGHWAY PROJECT FINANCING.
11 (1) In order to address the increasing need for timely improvements to Idaho's
12 highway transportation infrastructure, the board may:
13 (a) Enter into agreements with the Idaho housing and finance association
14 in connection with the funding of highway transportation projects qualify-
15 ing for reimbursement from federal funds.
16 (b) Approve and recommend federal highway transportation projects to the
17 Idaho housing and finance association for financing by the association.
18 Such federal highway transportation projects shall be eligible for feder-
19 al-aid debt financing under chapter 1, title 23, United States Code, and
20 approval by the federal highway administration as an advanced construction
21 (AC) project thereunder. The board shall select and designate such trans-
22 portation projects to be funded with bond proceeds from the following list
23 of eligible projects:
24 ROUTE PROJECT DESCRIPTION
25 US-95 SH-1 to Canadian border
26 US-95 Garwood to Sagle
27 US-95 Worley to Setters
28 US-95 Thorn Creek to Moscow
29 US-95 Smokey Boulder to Hazard Creek
30 SH-16 Ext South Emmett to Mesa with connection to SH-55
31 SH-16 Ext I-84 to South Emmett
32 I-84 Caldwell to Meridian
33 I-84 Orchard to Isaacs Canyon
34 US-93 Twin Falls alternate route and new Snake River
36 SH-75 Timmerman to Ketchum
37 US-20 St. Anthony to Ashton
38 US-30 McCammon to Soda Springs
39 (c) On and after July 1, 2008, all allocations of GARVEE bond proceeds
40 shall be the sole responsibility and duty of the Idaho transportation
41 board. The legislature shall have authority to approve a total GARVEE bond
42 amount on an annual basis. However, the Idaho transportation board is
43 directed to allocate bond revenue only among the projects listed in sub-
1 section (1)(b) of this section. In making its funding allocation for proj-
2 ects, the board shall take into consideration: the cost of the project and
3 whether or not that project could be financed without bonding; whether the
4 project is necessary to facilitate the traffic flow on vital transporta-
5 tion corridors; and whether the project is necessary to improve safety for
6 the traveling public. On and after July 1, 2008, the board shall use due
7 care in selecting projects for bonding and shall balance and coordinate
8 the use of bonding with the use of highway construction moneys.
9 Notwithstanding the provisions of subsection (1)(b) of this section wherein
10 eligible projects are listed for selection and designation by the board, if
11 any of the designated projects are deemed to be ineligible by the board, the
12 board shall have the authority to replace those projects with other projects
13 listed in subsection (1)(b) of this section.
14 (2) Prior to issuance by the Idaho housing and finance association of any
15 bonds or notes to finance highway transportation projects, the board shall
16 certify to the association that sufficient federal transportation funds are
17 available to make any payments required for such bonds or notes.
18 (3) The board shall limit annual, total cumulative debt service and other
19 bond-related expenses as follows:
20 (a) In the 2006 legislative session for the fiscal year 2007 budget,
21 total cumulative debt service and other bond-related expenses on
22 federally-funded highway project financing shall be no more than twenty
23 percent (20%) of annual federal-aid highway apportionments.
24 (b) In the 2007 legislative session for the fiscal year 2008 budget,
25 total cumulative debt service and other bond-related expenses on
26 federally-funded highway project financing shall be no more than twenty
27 percent (20%) of annual federal-aid highway apportionments.
28 (c) In the 2008 legislative session for the fiscal year 2009 budget,
29 total cumulative debt service and other bond-related expenses on
30 federally-funded highway project financing shall be no more than twenty
31 percent (20%) of annual federal-aid highway apportionments.
32 (d) In the 2009 legislative session for the fiscal year 2010 budget,
33 total cumulative debt service and other bond-related expenses on
34 federally-funded highway project financing shall be no more than twenty
35 percent (20%) of annual federal-aid highway apportionments.
36 (e) In the 2010 legislative session for the fiscal year 2011 budget,
37 total cumulative debt service and other bond-related expenses on
38 federally-funded highway project financing shall be no more than thirty
39 percent (30%) of annual federal-aid highway apportionments.
40 (f) Beginning with the 2011 2009 legislative session for the fiscal year
41 2012 2010 budget, or for any year thereafter, the thirty twenty percent
42 ( 320%) limit relating to total cumulative debt service provided for in
43 subsection (3)(c) of this section may be exceeded, but only by affirmative
44 action of both the house of representatives and the senate, and with the
45 approval of the governor.
46 (4) In the event the board selects and designates to be funded with bond
47 proceeds any of the transportation projects listed in subsection (1) of this
48 section, and prior to entering into agreements with the Idaho housing and
49 finance association as provided herein, the Idaho transportation department,
50 as part of its annual budget request prepared pursuant to section 67-3502,
51 Idaho Code, shall include a request for bonding authority as a separate item
52 of its budget request. This request for bonding authority shall include a list
53 of planned highway transportation projects to be financed with such bond
54 financing during the next succeeding fiscal year.
55 (5) By June 30 of each year, the board shall submit a report to the leg-
1 islature concerning projects currently under construction using the bond
2 financing as authorized by the provisions of this section, and shall include a
3 list of planned highway transportation projects to be financed with such bond
4 financing during the next succeeding fiscal year.
5 (6) In each year the department requests legislative authorization for
6 GARVEE bonding authority, such request shall include the specific location for
7 the project or projects to be financed with GARVEE bond proceeds and shall
8 include: a description of the project scope sufficiently detailed to provide a
9 reasonable understanding of what will be accomplished, thereby avoiding any
10 additions to such project or projects; timing for such projects, including
11 estimated dates to solicit and award bids and estimated dates to begin project
12 construction and completion; and estimated total costs of each project. No
13 GARVEE bond proceeds shall be used for any projects not listed in subsection
14 (1)(b) of this section.
STATEMENT OF PURPOSE
This legislation cleans up the GARVEE section of the code by
striking unnecessary and outdated portions which no longer
apply. It retains the original "Connecting Idaho"
corridors. It does not appropriate funds or designate
projects. It limits total cumulative debt service to 20% of
annual federal aid highway apportionments, which may be
exceeded by affirmative action of the legislature after
2009. It does set forth the parameters and guidelines for
all future GARVEE funding requested by Idaho Transportation
Department (ITD); requiring a specific dollar amount per
project(s) with a detailed plan toward project completion.
ITD picks the project(s) each year and the legislature makes
the final decision as to whether or not the project(s) go to
the Governor for final authorization.
There is no fiscal impact.
Name: Representative Leon E. Smith(24)
Representative JoAn Wood(35)
Representative Phil Hart
Representative Dean Mortimer
Representative Marv Hagedorn
Statement of Purpose/Fiscal Impact H 581