SB86, s. 23
19Section
23. 18.562 of the statutes is created to read:
SB86,14,5
2018.562 Special fund obligations. (1) Security interest in special fund. 21There is a security interest, for the benefit of the owners of the special fund
22obligations, in the amounts that arise after the creation of the special fund program
23in the special fund related to the special fund obligations. For this purpose, amounts
24in the special fund shall be accounted for on a first-in, first-out basis. No physical
25delivery, recordation or other action is required to perfect the security interest. The
1special fund shall remain subject to the security interest until provision for payment
2in full of the principal and interest of the special fund obligations has been made, as
3provided in the authorizing resolution. An owner of special fund obligations may
4either at law or in equity protect and enforce the security interest and compel
5performance of all duties required by this section.
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6(2) Use of special fund moneys. The commission and the state agency carrying
7out the special fund program responsibilities shall jointly determine, and the
8commission shall fix in the authorizing resolution for the obligations, the conditions
9under which money in the special fund shall be set aside and applied to the payment
10of the principal and interest of the obligations, deposited in funds established under
11the authorizing resolution or made available for other purposes.
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12(3) Redemption fund. The special fund revenues that are to be set aside for the
13payment of the principal and interest of the special fund obligations shall be paid into
14a separate fund in the treasury or in an account maintained by a trustee under sub.
15(5) (e) to be identified as "the ... redemption fund". Each redemption fund shall be
16expended, and all moneys from time to time on hand therein are irrevocably
17appropriated, in sums sufficient, only for the payment of principal and interest on
18the special fund obligations giving rise to it and premium, if any, due upon
19redemption of any such obligations. Moneys in the redemption funds may be
20commingled only for the purpose of investment with other public funds, but they
21shall be invested only in investment instruments permitted in s. 25.17 (3) (dr). All
22such investments shall be the exclusive property of the fund and all earnings on or
23income from such investments shall be credited to the fund.
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1(4) Surplus. If any surplus is accumulated in any of the redemption funds,
2subject to contract rights vested in the owners of special fund obligations secured
3thereby, it shall be paid over to the treasury.
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4(5) Authorizing resolution. The commission may provide in the authorizing
5resolution for special fund obligations or by subsequent action all things necessary
6to carry into effect this section. Any authorizing resolution shall constitute a
7contract with the owners of any special fund obligations issued pursuant to the
8resolution. An authorizing resolution may contain such provisions or covenants,
9without limiting the generality of the power to adopt the resolution, as are deemed
10necessary or desirable for the security of owners of the obligations or the
11marketability of the obligations, including provisions as to:
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(a) Employment of consultants.
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(b) Records and accounts.
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(c) Establishment of reserve or other funds.
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(d) Issuance of additional obligations.
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(e) Deposit of the proceeds of the sale of the obligations or revenues of the
17special fund in trust, including the appointment of depositories or trustees.
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(f) Defeasance of the obligations.
SB86, s. 24
19Section
24. 18.57 (title) of the statutes is repealed and recreated to read:
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2018.57 (title)
Funds established for revenue obligations.
SB86, s. 25
21Section
25. 18.57 (1) of the statutes is amended to read:
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18.57
(1) A separate and distinct fund shall be established in the state treasury
23or in an account maintained by a trustee under s.
18.56 18.561 (9) (j) with respect to
24each revenue-producing enterprise or program the income from which is to be
25applied to the payment of any
revenue enterprise obligation.
A separate and distinct
1fund shall be established in the state treasury or in an account maintained by a
2trustee under s. 18.562 (5) (e) with respect to any special fund that is created by the
3imposition of fees, penalties or excise taxes and is applied to the payment of special
4fund obligations. All moneys resulting from the issuance of evidences of revenue
5obligation shall be credited to the appropriate fund or applied for refunding or note
6renewal purposes, except that moneys which represent premium or accrued interest
7received on the issuance of evidences shall be credited to the appropriate redemption
8fund.
SB86, s. 26
9Section
26. 18.57 (4) of the statutes is renumbered 18.57 (4) (intro.) and
10amended to read:
SB86,16,1311
18.57
(4) (intro.) If, after all outstanding related revenue obligations have been
12paid or payment provided for, moneys remain in
any such a fund
, they created under
13sub. (1), all of the following shall occur:
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14(a) If the fund created under sub. (1) is in an account maintained by a trustee
15under s. 18.561 (9) (j) or 18.562 (5) (e), the moneys shall be paid over to the treasury
16and the.
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17(b) The fund
created under sub. (1) shall be closed.
SB86, s. 27
18Section
27. 18.58 (1) of the statutes is amended to read:
SB86,17,619
18.58
(1) Management of funds and records. All funds established under this
20subchapter which are deposited in the state treasury shall be managed as provided
21by law for other state funds, subject to any contract rights vested in
holders owners 22of evidences of revenue obligation secured by such fund. The department of
23administration shall maintain full and correct records of each fund. The legislative
24audit bureau shall audit each fund as of January 1 of each year reconciling all
25transactions and showing the fair market value of all property on hand. All records
1and audits shall be public documents. All funds established under this subchapter
2which are deposited with a trustee under s.
18.56
18.561 (9) (j)
or 18.562 (5) (e) shall
3be managed in accordance with resolutions authorizing the issuance of revenue
4obligations, agreements between the commission and the trustee and any contract
5rights vested in
holders of evidence owners of revenue obligations secured by such
6fund.
SB86, s. 28
7Section
28. 18.60 (1) of the statutes is amended to read:
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18.60
(1) The commission may authorize, for any one or more of the purposes
9described in s. 18.53 (1), the issuance of revenue-obligation refunding bonds.
10Refunding bonds may be issued, subject to any contract rights vested in
holders 11owners of bonds or notes being refinanced, to refinance more than one issue of bonds
12or notes notwithstanding that the bonds or notes may have been issued at different
13times for different purposes and may be secured by the property or income of more
14than one enterprise or program or may be public debt or building-corporation
15indebtedness. The principal amount of refunding bonds shall not exceed the sum of:
16the principal amount of the bonds or notes being refinanced; applicable redemption
17premiums; unpaid interest on the bonds or notes to the date of delivery or exchange
18of the refunding bonds; in the event the proceeds are to be deposited in trust as
19provided in sub. (3), interest to accrue on the bonds or notes from the date of delivery
20to the date of maturity or to the redemption date selected by the commission,
21whichever is earlier; and the expenses incurred in the issuance of the refunding
22bonds and the payment of the bonds or notes. A determination by the commission
23that a refinancing is advantageous or that any of the amounts provided in the
24preceding sentence should be included in the refinancing shall be conclusive.
SB86, s. 29
25Section
29. 18.60 (2) of the statutes is amended to read:
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118.60
(2) If the commission determines to exchange refunding bonds, they may
2be exchanged privately for and in payment and discharge of any of the outstanding
3bonds or notes being refinanced. Refunding bonds may be exchanged for a like or
4greater principal amount of the bonds or notes being exchanged therefor except that
5the principal amount of the refunding bonds may exceed the principal amount of the
6bonds or notes being exchanged therefor only to the extent determined by the
7commission to be necessary or advisable to pay redemption premiums and unpaid
8interest to the date of exchange not otherwise provided for. The
holders owners of
9the bonds or notes being refunded who elect to exchange need not pay accrued
10interest on the refunding bonds if and to the extent that interest is accrued and
11unpaid on the bonds or notes being refunded and to be surrendered. If any of the
12bonds or notes to be refinanced are to be called for redemption, the commission shall
13determine which redemption dates shall be used, if more than one date is applicable
14and shall, prior to the issuance of the refunding bonds, provide for notice of
15redemption to be given in the manner and at the times required by the proceedings
16authorizing the outstanding bonds or notes.
SB86, s. 30
17Section
30. 18.60 (5) of the statutes is renumbered 18.60 (5) (intro.) and
18amended to read:
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18.60
(5) (intro.) All
of the following provisions
of s. 18.56 that are not
20inconsistent with the express provisions of this section shall apply to refunding
21bonds
, except that the maximum permissible term shall be 50 years from the date
22of original issue of the oldest note or bond issue being refunded
.:
SB86, s. 31
23Section
31. 18.60 (5) (a) to (c) of the statutes are created to read:
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18.60
(5) (a) Section 18.56.
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(b) In the case of enterprise obligations, s. 18.561.
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1(c) In the case of special fund obligations, s. 18.562.
SB86, s. 32
2Section
32. 18.61 (2) of the statutes is amended to read:
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18.61
(2) The state pledges and agrees with the
holders owners of
any evidences
4of revenue
obligation obligations that the state will not limit or alter its powers to
5fulfill the terms of any agreements made with the
holders owners or in any way
6impair the rights and remedies of the
holders owners until the revenue obligations,
7together with interest including interest on any unpaid instalments of interest, and
8all costs and expenses in connection with any action or proceeding by or on behalf of
9the
holders owners, are fully met and discharged. The commission may include this
10pledge and agreement of the state in any agreement with the
holders of notes or
11bonds and in any evidence owners of revenue obligation.
SB86, s. 33
12Section
33. 18.61 (3) (a) of the statutes is amended to read:
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18.61
(3) (a) If the state fails to pay any revenue obligation in accordance with
14its terms, and default continues for a period of 30 days or if the state fails or refuses
15to comply with this subchapter or defaults in any agreement made with the
holders 16owners of any issue of revenue obligations, the
holders owners of 25% in aggregate
17principal amount of the revenue obligations of the issue then outstanding by
18instrument recorded in the office of the register of deeds of Dane county and approved
19or acknowledged in the same manner as a deed to be recorded may appoint a trustee
20to represent the
holders owners of the
notes or bonds revenue obligations for the
21purposes specifically provided in the instrument.
SB86, s. 34
22Section
34. 18.61 (3) (b) (intro.) of the statutes is amended to read:
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18.61
(3) (b) (intro.) The trustee may, and upon written request of the
holders 24owners of 25% in aggregate principal amount of the revenue obligations of the issue
25then outstanding shall, in the trustee's own name:
SB86, s. 35
1Section
35. 18.61 (3) (b) 1. of the statutes is amended to read:
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18.61
(3) (b) 1. By action or proceeding, enforce all rights of all
holders owners 3of the issue of revenue obligations, including the right to require the state to collect
4enterprise or program income adequate to carry out any agreement as to, or pledge
5of, such income and to require the state to carry out any other agreements with the
6holders owners of the revenue obligations and to perform its duties under this
7subchapter;
SB86, s. 36
8Section
36. 18.61 (3) (b) 3. of the statutes is amended to read:
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18.61
(3) (b) 3. By action, require the state to account as if it were the trustee
10of an express trust for the
holders owners of the revenue obligations;
SB86, s. 37
11Section
37. 18.61 (3) (b) 4. of the statutes is amended to read:
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18.61
(3) (b) 4. By action, enjoin any acts or things which may be unlawful or
13in violation of the rights of the
holders owners of the revenue obligations; and
SB86, s. 38
14Section
38. 18.61 (3) (c) of the statutes is amended to read:
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18.61
(3) (c) The trustee shall have all of the powers necessary or appropriate
16for the exercise of any functions specifically set forth in this subchapter or incident
17to the general representation of the
holders owners of revenue obligations in the
18enforcement and protection of their rights.
SB86, s. 39
19Section
39. 18.61 (4) of the statutes is amended to read:
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18.61
(4) Any public officer or public employe, as defined in s. 939.22 (30), and
21the surety on the person's official bond, or any other person participating in any
22direct or indirect impairment of any fund established under this subchapter, shall
23be liable in any action brought by the attorney general in the name of the state, or
24by any taxpayer of the state, or by the
holder of any evidence owner of revenue
1obligation payable in whole or in part, directly or indirectly, out of such fund, to
2restore to the fund all diversions from the fund.
SB86, s. 40
3Section
40. 20.143 (3) (s) of the statutes is created to read:
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20.143
(3) (s)
Petroleum inspection fund — revenue obligation proceeds. As a
5continuing appropriation, all proceeds from revenue obligations that are issued
6under subch. II or IV of ch. 18, authorized under s. 101.143 (9m) and deposited in a
7fund in the state treasury created under s. 18.57 (1), to provide for reserves and for
8expenses of issuance and management of the revenue obligations, and the remainder
9to be transferred to the petroleum inspection fund for the purposes of the petroleum
10storage remedial action program under s. 101.143. Estimated disbursements under
11this paragraph shall not be included in the schedule under s. 20.005.
SB86, s. 41
12Section
41. 20.143 (3) (t) of the statutes is created to read:
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20.143
(3) (t)
Petroleum inspection fund -- revenue obligation repayment. From
14the petroleum inspection fund, a sum sufficient to repay the fund in the state
15treasury created under s. 18.57 (1) the amount needed to retire revenue obligations
16issued under subch. II or IV of ch. 18, as authorized under s. 101.143 (9m).
SB86, s. 42
17Section
42. 20.143 (3) (u) of the statutes is created to read:
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20.143
(3) (u)
Revenue obligation debt service -- petroleum inspection fund. 19From the fund in the state treasury created under s. 18.57 (1), all moneys received
20by the fund for the purpose of the retirement of revenue obligations, providing for
21reserves and for operations relating to the management and retirement of revenue
22obligations issued under subch. II or IV of ch. 18, as authorized under s. 101.143 (9m).
23All moneys received by the fund are irrevocably appropriated in accordance with
24subch. II of ch. 18 and further established in resolutions authorizing the issuance of
25the revenue obligations and setting forth the distribution of funds to be received
1thereafter. Estimated disbursements under this paragraph shall not be included in
2the schedule under s. 20.005.
SB86, s. 43
3Section
43. 20.143 (3) (v) of the statutes is amended to read:
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20.143
(3) (v)
Petroleum storage environmental remedial action; awards. 5Biennially, from the petroleum inspection fund, the amounts in the schedule to pay
6awards under s. 101.143
and, legal costs incurred under s. 101.143 (7m)
, amounts
7to reduce principal of outstanding revenue obligations issued pursuant to s. 101.143
8(9m) and, if the department promulgates rules under s. 101.143 (2) (i) 1., to purchase,
9or provide funding to purchase, insurance described in s. 101.143 (2) (i) 2.
SB86, s. 44
10Section
44. 20.143 (3) (vb) of the statutes is created to read:
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20.143
(3) (vb)
Petroleum storage environmental remedial action revenue
12bonding; awards. From the petroleum inspection fund, a sum sufficient not to exceed
13the net proceeds of special fund obligations issued pursuant to s. 101.143 (9m) to pay
14awards under s. 101.143 (4) and legal costs incurred under s. 101.143 (7m).
15Estimated disbursements under this paragraph shall not be included in the schedule
16under s. 20.005.
SB86, s. 45
17Section
45. 25.47 of the statutes is renumbered 25.47 (intro.) and amended
18to read:
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1925.47 Petroleum inspection fund. (intro.) There is established a separate
20nonlapsible trust fund designated as the petroleum inspection fund, to consist of
the:
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21(1) The fees imposed under s. 168.12 (1)
, the.
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22(2) The payments under s. 101.143 (4) (h) 1m.
, the
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23(3) The payments under s. 101.143 (5) (a)
and the.
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24(4) The net recoveries under s. 101.143 (5) (c).
SB86, s. 46
25Section
46. 25.47 (5) of the statutes is created to read:
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125.47
(5) The moneys transferred from the appropriation account under s.
220.143 (3) (s).
SB86, s. 47
3Section
47. 45.79 (9) (a) of the statutes is amended to read:
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45.79
(9) (a) All moneys received from any source for repayment of loans,
5mortgages or mortgage loan notes funded with proceeds of revenue obligations
6issued under sub. (6) (c) shall be deposited into one or more separate nonlapsible
7trust funds in the state treasury or with a trustee as provided in s.
18.56 18.561 (9)
8(j)
or 18.562 (5) (e). The board may pledge revenues received by the funds to secure
9revenue obligations issued under sub. (6) (c) and shall have all other powers
10necessary and convenient to distribute the proceeds of the revenue obligations and
11loan repayments in accordance with subch. II of ch. 18. Unrestricted balances in the
12funds may be used to fund additional loans issued under sub. (6) (c) and pay the
13balances owing on loans after the assumptions of the loans or the closings of the sales
14of residences under sub. (10) (c).
SB86, s. 48
15Section
48. 84.59 (2) of the statutes is amended to read:
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84.59
(2) The department may, under s.
18.56 18.561 (5) and (9) (j)
or 18.562
17(3) and (5) (e), deposit in a separate and distinct fund outside the state treasury, in
18an account maintained by a trustee, revenues derived under s. 341.25. The revenues
19deposited are the trustee's revenues in accordance with the agreement between this
20state and the trustee or in accordance with the resolution pledging the revenues to
21the repayment of revenue obligations issued under this section.
SB86, s. 49
22Section
49. 85.52 (5) (c) of the statutes is amended to read:
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85.52
(5) (c) The department of administration may, under s.
18.56 18.561 (5)
24and (9) (j)
or 18.562 (3) and (5) (e), deposit in a separate and distinct fund in the state
25treasury or in an account maintained by a trustee outside the state treasury, any
1portion of the revenues derived under s. 25.405 (2). The revenues deposited with a
2trustee outside the state treasury are the trustee's revenues in accordance with the
3agreement between this state and the trustee or in accordance with the resolution
4pledging the revenues to the repayment of revenue obligations issued under this
5subsection.
SB86, s. 50
6Section
50. 101.143 (1) (bm) of the statutes is created to read:
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101.143
(1) (bm) "Enforcement standard" has the meaning given in s. 160.01
8(2).
SB86, s. 51
9Section
51. 101.143 (1) (cq) of the statutes is created to read:
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101.143
(1) (cq) "Natural attenuation" means the reduction in the
11concentration and mass of a substance, and the products into which the substance
12breaks down, due to naturally occurring physical, chemical and biological processes.
SB86, s. 52
13Section
52. 101.143 (2) (h) of the statutes is created to read:
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101.143
(2) (h) The department of commerce, in consultation with the
15department of natural resources, shall promulgate rules designed to facilitate
16effective and cost-efficient administration of the program under this section that
17specify all of the following:
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1. Information that must be submitted under this section, including quarterly
19summaries of costs incurred with respect to a discharge for which a claim is intended
20to be submitted under sub. (3) but for which a final claim has not been submitted.
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2. Formats for submitting the information under subd. 1.
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3. Review procedures that must be followed by employes of the department of
23natural resources and the department of commerce in reviewing the information
24under subd. 1.
SB86, s. 53
25Section
53. 101.143 (2) (i) of the statutes is created to read:
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1101.143
(2) (i) The department of commerce, in consultation with the
2department of natural resources, shall promulgate rules specifying procedures for
3evaluating remedial actions under sub. (3) (c) 3. to be used by employes of the
4department of commerce and the department of natural resources while remedial
5actions are being conducted. The department of commerce shall specify procedures
6that include all of the following for ongoing remedial actions:
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1. Annual reviews that include application of the method under sub. (2e) (a) to
8determine the risk posed by discharges that are the subject of the remedial actions.
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2. Annual reports by consultants estimating the additional costs that must be
10incurred to comply with sub. (3) (c) 3. and with enforcement standards.
SB86, s. 54
11Section
54. 101.143 (2) (j) of the statutes is created to read:
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101.143
(2) (j) The department of commerce, in consultation with the
13department of natural resources, shall promulgate rules specifying all of the
14following:
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1. The conditions under which employes of the department of commerce and
16the department of natural resources must issue approvals under sub. (3) (c) 4.
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2. Training and management procedures to ensure that employes comply with
18the requirements under subd. 1.