SB384,32,87
2. The refunding of bonds by the refunding bonds will not adversely affect the
8risk that the state will be called on to make a payment under sub. (7).
SB384,32,149
(f)
Approval of outstanding debt. All outstanding debt of the district has been
10reviewed and approved by the secretary of administration. In determining whether
11to approve outstanding debt under this paragraph, the secretary may consider any
12factor which the secretary determines to have a bearing on whether the state moral
13obligation pledge under sub. (7) should be granted with respect to an issuance of
14bonds.
SB384,32,1815
(g)
Financial reports. The district has agreed to provide to the department of
16administration, the legislative fiscal bureau and the legislative audit bureau all
17financial reports of the district and all regular monthly statements of any trustee of
18the bonds on a direct and ongoing basis.
SB384,32,25
19(2) Payment of funds into a special debt service reserve fund. A district shall
20pay into any special debt service reserve fund of the district any moneys appropriated
21and made available by the state for the purposes of the special debt service reserve
22fund, any proceeds of a sale of bonds to the extent provided in the bond resolution
23authorizing the issuance of the bonds and any other moneys that are made available
24to the district for the purpose of the special debt service reserve fund from any other
25source.
SB384,33,16
1(3) Use of moneys in the special debt service reserve fund. All moneys held
2in any special debt service reserve fund of a district, except as otherwise specifically
3provided, shall be used, as required, solely for the payment of the principal of bonds
4secured in whole or in part by the special debt service reserve fund, the making of
5sinking fund payments with respect to these bonds, the purchase or redemption of
6these bonds, the payment of interest on these bonds or the payment of any
7redemption premium required to be paid when these bonds are redeemed prior to
8maturity. If moneys in a special debt service reserve fund at any time are less than
9the special debt service reserve fund requirement under sub. (5) for the special debt
10service reserve fund, the district may not use these moneys for any optional purchase
11or optional redemption of the bonds. Any income or interest earned by, or increment
12to, any special debt service reserve fund due to the investment of moneys in the
13special debt service reserve fund may be transferred by the district to other funds or
14accounts of the district to the extent that the transfer does not reduce the amount of
15the special debt service reserve fund below the special debt service reserve fund
16requirement under sub. (5) for the special debt service reserve fund.
SB384,33,24
17(4) Limitation on bonds secured by a special debt service reserve fund. A
18district shall accumulate in each special debt service reserve fund an amount equal
19to the special debt service reserve fund requirement under sub. (5) for the special
20debt service reserve fund. A district may not at any time issue bonds secured in whole
21or in part by a special debt service reserve fund if upon the issuance of these bonds
22the amount in the special debt service reserve fund will be less than the special debt
23service reserve fund requirement under sub. (5) for the special debt service reserve
24fund.
SB384,34,17
1(5) Special debt service reserve fund requirement. The special debt service
2reserve fund requirement for a special debt service reserve fund, as of any particular
3date of computation, is equal to an amount of money, as provided in the bond
4resolution authorizing the bonds with respect to which the special debt service
5reserve fund is established, that may not exceed the maximum annual debt service
6on the bonds of the district for the fiscal year in which the computation is made or
7any future fiscal year of the district secured in whole or in part by that special debt
8service reserve fund. In computing the annual debt service for any fiscal year, bonds
9deemed to have been paid in accordance with the defeasance provisions of the bond
10resolution authorizing the issuance of the bonds shall not be included in bonds
11outstanding on the date of computation. The annual debt service for any fiscal year
12is the amount of money equal to the aggregate of all of the following calculated on the
13assumption that the bonds will, after the date of computation, cease to be
14outstanding by reason, but only by reason, of the payment of bonds when due, and
15the payment when due, and application in accordance with the bond resolution
16authorizing those bonds, of all of the sinking fund payments payable at or after the
17date of computation:
SB384,34,2018
(a) All interest payable during the fiscal year on all bonds that are secured in
19whole or in part by the special debt service reserve fund and that are outstanding on
20the date of computation.
SB384,34,2321
(b) The principal amount of all of the bonds that are secured in whole or in part
22by the special debt service reserve fund, are outstanding on the date of computation
23and mature during the fiscal year.
SB384,35,224
(c) All amounts specified in bond resolutions of the district authorizing any of
25the bonds that are secured in whole or in part by the special debt service reserve fund
1to be payable during the fiscal year as a sinking fund payment with respect to any
2of the bonds that mature after the fiscal year.
SB384,35,6
3(6) Valuation of securities. In computing the amount of a special debt service
4reserve fund for the purposes of this section, securities in which all or a portion of the
5special debt service reserve fund is invested shall be valued at par, or, if purchased
6at less than par, at their cost to the district.
SB384,35,21
7(7) State moral obligation pledge. If at any time of valuation the special debt
8service reserve fund requirement under sub. (5) for a special debt service reserve
9fund exceeds the amount of moneys in the special debt service reserve fund, the
10district board shall certify to the secretary of administration, the governor, the joint
11committee on finance and the governing body of the county in the district the amount
12necessary to restore the special debt service reserve fund to an amount equal to the
13special debt service reserve fund requirement under sub. (5) for the special debt
14service reserve fund. If this certification is received by the secretary of
15administration in an even-numbered year prior to the completion of the budget
16compilation under s. 16.43, the secretary shall include the certified amount in the
17budget compilation. In any case, the joint committee on finance shall introduce in
18either house, in bill form, an appropriation of the amount so certified to the
19appropriate special debt service reserve fund of the district. Recognizing its moral
20obligation to do so, the legislature hereby expresses its expectation and aspiration
21that, if ever called upon to do so, it shall make this appropriation.
SB384,35,25
22(8) Information to joint committee on finance. The district shall provide to
23the cochairpersons of the joint committee on finance information concerning the
24district's projected cashflows and security features underlying each issuance of
25bonds under this subchapter.
SB384,36,7
1229.831 Bonds not public debt. (1) The state and the county and
2municipalities located wholly or partly within the district's jurisdiction are not liable
3on bonds and the bonds are not a debt of the state or the county or any municipality
4located wholly or partly within the district. All bonds shall contain a statement to
5this effect on the face of the bond. A bond issue does not, directly or indirectly or
6contingently, obligate the state or a political subdivision of the state to levy any tax
7or make any appropriation for payment of the bonds.
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8(2) Nothing in this subchapter authorizes a district to create a debt of the state
9or the county or any municipality located wholly or partly within the district's
10jurisdiction, and all bonds issued by a district are payable, and shall state that they
11are payable, solely from the funds pledged for their payment in accordance with the
12bond resolution authorizing their issuance or in any trust indenture or mortgage or
13deed of trust executed as security for the bonds. Neither the state nor the county or
14any such municipality is liable for the payment of the principal of or interest on a
15bond or for the performance of any pledge, mortgage, obligation or agreement that
16may be undertaken by a district. The breach of any pledge, mortgage, obligation or
17agreement undertaken by a district does not impose pecuniary liability upon the
18state or the county or any such municipality in the district's jurisdiction or a charge
19upon its general credit or against its taxing power.
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20(3) Bonds issued by the district may be secured only by the district's interest
21in any football stadium facilities, by income from these facilities, by proceeds of bonds
22issued by the district and by other amounts placed in a special redemption fund and
23investment earnings on such amounts, including any taxes imposed by the district
24under subch. V of ch. 77. The district may not pledge its full faith and credit on the
25bonds and the bonds are not a general obligation liability of the district.
SB384,37,7
1229.832 State pledge. The state pledges to and agrees with the bondholders,
2and persons that enter into contracts with a district under this subchapter, that the
3state will not limit or alter the rights and powers vested in a district by this
4subchapter, including the rights and powers under s. 229.824 (15), before the district
5has fully met and discharged the bonds, and any interest due on the bonds, and has
6fully performed its contracts, unless adequate provision is made by law for the
7protection of the bondholders or those entering into contracts with a district.
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8229.833 Trust funds. All moneys received under this subchapter, whether as
9proceeds from the sale of bonds or from any other source, are trust funds to be held
10and applied solely as provided in this subchapter. Any officer with whom, or any
11bank or trust company with which, those moneys are deposited shall act as trustee
12of those moneys and shall hold and apply the moneys for the purposes of this
13subchapter, subject to this subchapter and the bond resolution authorizing issuance
14of the bonds.
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15229.834 Budgets; rates and charges; audit. A district shall adopt a
16calendar year as its fiscal year for accounting purposes. The district board shall
17annually prepare a budget for the district. Rates and other charges received by the
18district shall be used for the general expenses and capital expenditures of the district
19and to pay interest, amortization, and retirement charges on bonds. A district shall
20maintain an accounting system in accordance with generally accepted accounting
21principles and shall have its financial statements and debt covenants audited
22annually by an independent certified public accountant.
SB384, s. 41
23Section
41. 779.14 (1m) (d) 2. b. of the statutes is amended to read:
SB384,38,1024
779.14
(1m) (d) 2. b.
The Except as provided in sub. (4), the contract shall
25require the prime contractor to provide a payment and performance bond meeting
1the requirements of par. (e), unless the public body authorized to enter into the
2contract allows the prime contractor to substitute a different payment assurance for
3the payment and performance bond. The public body may allow a prime contractor
4to substitute a different payment and performance assurance for the payment and
5performance bond only if the substituted payment and performance assurance is for
6an amount at least equal to the contract price and is in the form of a bond, an
7irrevocable letter of credit or an escrow account acceptable to the public body. The
8public body shall establish written standards under this subd. 2. b. governing when
9a different payment and performance assurance may be substituted for a payment
10and performance bond under par. (e).
SB384, s. 42
11Section
42. 779.14 (1m) (d) 3. of the statutes is amended to read:
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779.14
(1m) (d) 3.
In Except as provided in sub. (4), in the case of a contract with
13a contract price exceeding $100,000, as indexed under sub. (1s), the contract shall
14require the prime contractor to obtain a payment and performance bond meeting the
15requirements under par. (e).
SB384, s. 43
16Section
43. 779.14 (4) of the statutes is created to read:
SB384,38,2017
779.14
(4) Bonding exemption. A contract with a local professional football
18stadium district under subch. IV of ch. 229 is not required under sub. (1m) (d) 2. b.
19or 3. to include a provision requiring the prime contractor to provide or obtain a
20payment and performance bond or other payment assurance.
SB384,38,2422
(1) The treatment of sections 71.05 (1) (c) 5., 71.26 (1) (bm) and (1m) (g), 71.36
23(1m) and 71.45 (1t) (g) of the statutes first applies to taxable years beginning on
24January 1, 2000.
SB384, s. 45
1Section
45.
Effective dates. This act takes effect on the day after publication,
2except as follows:
SB384,39,43
(1)
The treatment of section 77.54 (45) of the statutes takes effect on the first
4day of the 2nd month beginning after publication.