SB148: Bill Text

SB148,394 Section 394. 234.18 of the statutes is renumbered 235.0255 (1) and amended to read:

SB148,124,21 235.0255 (1) The authority may not issue notes and bonds that are secured by a capital reserve fund to which s. 234.15 235.403 (4) applies if, upon issuance, the total aggregate outstanding principal amount of notes and bonds that are secured by a capital reserve fund to which s. 234.15 235.403 (4) applies would exceed $600,000,000. This section does not apply to bonds and notes issued to refund outstanding notes and bonds.

SB148,395 Section 395. 234.19 of the statutes is renumbered 235.026.

SB148,396 Section 396. 234.20 of the statutes is renumbered 235.0265.

SB148,397 Section 397. 234.21 of the statutes is renumbered 235.027 and amended to read:

SB148,125,5 235.027 Trustee; additional powers. The trustee, in addition to the powers granted in s. 234.20 235.0265 shall have all of the powers necessary or appropriate for the exercise of any functions specifically set forth in this chapter or incident to the general representation of noteholders or bondholders in the enforcement and protection of their rights.

SB148,398 Section 398. 234.22 of the statutes is renumbered 235.0271 and amended to read:

SB148,125,10 235.0271 Venue. The venue of any action or proceeding by the trustee under ss. 234.19, 234.20 and 234.21 235.026, 235.0265, and 235.027 shall be in Dane County.

SB148,399 Section 399. 234.23 of the statutes is renumbered 235.0273.

SB148,400 Section 400. 234.24 of the statutes is renumbered 235.0275.

SB148,401 Section 401. 234.25 of the statutes is repealed.

SB148,402 Section 402. 234.255 of the statutes is repealed.

SB148,403 Section 403. 234.26 of the statutes is renumbered 235.0277.

SB148,404 Section 404. 234.265 of the statutes is renumbered 235.0279 and amended to read:

SB148,125,20 235.0279 Records of the authority. All records of the authority or any corporation established by the authority shall be open to the public as provided in s. 19.35 (1), except:

SB148,125,24 (1) Those records relating to pending grants, economic development loans, economic development projects, or housing projects which that, in the opinion of the authority, must remain confidential to protect the competitive nature of the grant, loan, or project.

SB148,126,9 (2) Records or portions of records consisting of personal or financial information provided by a person seeking a grant or, loan under s. 234.63, 2007 stats., or s. 234.04, 234.08, 234.49, 234.59, 234.592, 234.605, 234.61, 234.65, 234.67, 234.83, 234.84, 234.90, 234.905, 234.907, or 234.91, seeking a loan under ss. 234.621 to 234.626, seeking financial assistance under s. 234.66, 2005 stats., seeking mortgage loan refinancing from a lender under s. 234.605, seeking investment of funds under s. 234.03 (18m), or in which the authority has invested funds under s. 234.03 (18m), unless the person consents to disclosure of the information, tax credit, or other assistance from the authority.

SB148,405 Section 405. 234.28 of the statutes is renumbered 235.0281 and amended to read:

SB148,126,19 235.0281 Notes and bonds; exemption from taxation. The state covenants with the purchasers and all subsequent holders and transferees of notes and bonds issued by the authority or by the Wisconsin Housing and Economic Development Authority under ch. 234, 2013 stats., in consideration of the acceptance of any payment for the notes and bonds, that its fees, charges, gifts, grants, revenues, receipts, and other moneys received or to be received, pledged to pay or secure the payment of such notes or bonds shall at all times be free and exempt from all state, city, county, or other taxation provided by the laws of the state.

SB148,406 Section 406. 234.29 of the statutes is renumbered 235.0283.

SB148,407 Section 407. 234.30 of the statutes is renumbered 235.0285.

SB148,408 Section 408. 234.31 of the statutes is renumbered 235.0287.

SB148,409 Section 409. 234.32 of the statutes is renumbered 235.0289.

SB148,410 Section 410. 234.35 of the statutes is renumbered 235.0291.

SB148,411 Section 411. 234.36 of the statutes is renumbered 235.0293.

SB148,412 Section 412. 234.40 of the statutes is renumbered 235.409, and 235.409 (2), (3) and (4), as renumbered, are amended to read:

SB148,127,10 235.409 (2) Bonds issued under the authority of this section are payable out of revenues or moneys received from the repayment of veterans housing loans and related funds made available in ss. 234.42 235.42 and 234.43 235.43. All assets and liabilities created through the issuance of bonds to purchase mortgage loans representing veterans housing loans are to be separate from all other assets and liabilities of the authority. No funds of the veterans housing loan program may be commingled with any other funds of the authority, including the Wisconsin housing finance fund.

SB148,127,15 (3) It is the intent of the legislature that the authority be used to finance the veterans housing program. Nothing in this chapter subchapter shall be construed to supersede the powers vested by subch. III of ch. 45 in the department of veterans affairs for carrying out program responsibilities for which debt has been incurred by the authority.

SB148,127,20 (4) The limitations established in ss. 234.18, 234.50, 234.60, 234.61, and 234.65 235.0255, 235.50, 235.60, and 235.61 are not applicable to bonds issued under the authority of this section. The authority may not have outstanding at any one time bonds for veterans housing loans in an aggregate principal amount exceeding $61,945,000, excluding bonds being issued to refund outstanding bonds.

SB148,413 Section 413. 234.41 of the statutes is renumbered 235.41, and 235.41 (3), as renumbered, is amended to read:

SB148,128,3 235.41 (3) Moneys of the veterans housing loan fund may be invested as provided in s. 234.03 (18) 235.012 (19). All such investments shall be the exclusive property of the fund. All earnings on or income from such investments shall be credited to the fund, paid over to the department of veterans affairs and deposited in the veterans trust fund after payment or repayment of any deficits arising in the veterans capital reserve fund and after payment of expenses contained in sub. (4).

SB148,414 Section 414. 234.42 of the statutes is renumbered 235.42, and 235.42 (1g), (1s) and (4), as renumbered, are amended to read:

SB148,128,17 235.42 (1g) In this section "veterans capital reserve fund requirement" means an amount equal to the maximum amount, in any succeeding year, of principal and interest, other than principal and interest for which sinking fund payments are specified in any resolution of the authority board authorizing veterans housing bonds of the authority then outstanding, maturing, and becoming due in that succeeding year on all veterans housing bonds of the authority then outstanding, except veterans housing bonds due in that succeeding year issued to provide funds for mortgage loans through the purchase of mortgages or mortgage-backed securities guaranteed by the United States or an agency or instrumentality of the United States, plus all amounts specified in any resolution of the authority board authorizing veterans housing bonds of the authority then outstanding as payable as a sinking fund payment in such year.

SB148,128,24 (1s) The authority shall establish the veterans capital reserve fund to secure the veterans housing bonds sold pursuant to s. 234.40 235.409, and shall pay into the veterans capital reserve fund any moneys appropriated and made available by the state for the purposes of such fund, any proceeds of sale of bonds, to the extent provided in the resolution of the authority board authorizing the issuance thereof and any other moneys which are made available to the authority for the purpose of such fund from any other source.

SB148,129,16 (4) To assure the continued operation and solvency of the authority for the carrying out of the veterans housing loan program of this chapter subchapter, the authority shall accumulate in the veterans capital reserve fund an amount equal to the veterans capital reserve fund requirement. If at any time the veterans capital reserve fund requirement exceeds the amount of the veterans capital reserve fund, the chairperson of the authority board shall certify to the secretary of administration, the governor and the joint committee on finance, the amount necessary to restore the veterans capital reserve fund to an amount equal to the veterans capital reserve fund requirement. If such certification is received by the secretary of administration in an even-numbered year prior to the completion of the budget compilation under s. 16.43, the secretary shall include the certified amount in the budget compilation. In any case, the joint committee on finance shall introduce in either house, in bill form, an appropriation of the amount so certified to the veterans capital reserve fund of the authority. Recognizing its moral obligation to do so, the legislature hereby expresses its expectation and aspiration that, if ever called upon to do so, it shall make such appropriation.

SB148,415 Section 415. 234.43 of the statutes is renumbered 235.43, and 235.43 (1), as renumbered, is amended to read:

SB148,129,24 235.43 (1) The authority shall establish the veterans housing bond redemption fund. All mortgages purchased with moneys from the veterans housing loan fund shall be the exclusive property of the bond redemption fund. All moneys received by the authority from the repayment of veterans housing loans shall be deposited into such fund to be used for the repayment of veterans housing bonds issued pursuant to s. 234.40 235.409.

SB148,416 Section 416. 234.44 of the statutes is renumbered 235.44 and amended to read:

SB148,130,18 235.44 Validation of certain obligations and proceedings. Notwithstanding any provision of this chapter or any other law, in the absence of fraud, all obligations issued prior to May 4, 1976 the effective date of this section .... [LRB inserts date], purportedly pursuant to this chapter ch. 234, 2013 stats., and all proceedings prior to such time taken purportedly pursuant to this chapter ch. 234, 2013 stats., for the authorization and issuance of such obligations or of obligations not yet issued, and the sale, execution, and delivery of such obligations issued prior to May 4, 1976 the effective date of this section .... [LRB inserts date], are hereby validated, ratified, approved, and confirmed, notwithstanding any lack of power, however patent, other than constitutional, of the issuing authority or the governing body or officer thereof, to authorize such obligations, or to sell, execute, or deliver the same, and notwithstanding any defects or irregularities, however patent, other than constitutional, in such proceeding or in such sale, execution, or delivery of such obligations. All such obligations issued prior to May 4, 1976 the effective date of this section .... [LRB inserts date], are binding, legal obligations in accordance with their terms.

SB148,417 Section 417. 234.49 of the statutes is renumbered 235.49, and 235.49 (1) (intro.) and (2) (a) (intro.), 6. and 8., as renumbered, are amended to read:

SB148,130,21 235.49 (1) Definitions. (intro.) In ss. 234.49 235.49 to 234.55 235.55:

SB148,130,24 (2) (a) (intro.) The authority has the following powers for the purpose of implementing this section, in addition to all other powers granted by this chapter subchapter:

SB148,131,7 6. To enter into contracts or agreements with authorized lenders and sponsors providing for the maximum and minimum acceptable rates of interest to be charged for various classifications of housing rehabilitation loans. In no event may the stated rate of interest on any housing rehabilitation loan under this section exceed the greater of 8% per year or 3% plus the rate necessary to fully repay interest and principal on housing rehabilitation loan program bonds issued pursuant to s. 234.50 235.50.

SB148,131,9 8. To adopt procedures and forms necessary to effectuate the rehabilitation program or to facilitate the marketing of bonds issued under s. 234.50 235.50.

SB148,418 Section 418. 234.50 of the statutes is renumbered 235.50, and 235.50 (1), (2) and (4), as renumbered, are amended to read:

SB148,131,22 235.50 (1) The authority may issue its negotiable bonds in such principal amount and of such length of maturity as, in the opinion of the authority, is necessary to provide sufficient funds for purchasing for its housing rehabilitation loans or for funding commitments for loans to lenders for housing rehabilitation loans; for purchasing property tax deferral loans under s. 234.49 (2) (a) 10.; for the establishment of reserves to secure such bonds; and for all other expenditures of the authority incident to or necessary and convenient in connection therewith. The authority may, whenever it deems refunding expedient, refund any bonds by the issuance of new bonds whether the bonds to be refunded have or have not matured, and issue bonds partly to refund bonds then outstanding and partly for the purpose authorized by this section loan programs.

SB148,132,7 (2) Bonds issued under the authority of this section shall be special obligations of the authority payable solely out of revenues, moneys or other property received in connection with the housing rehabilitation loan program, including, without limitation, repayments of housing rehabilitation loans, federal insurance or guarantee payments, the proceeds of bonds issued under the authority of this section, and the amounts made available under ss. 234.54 235.54 and 234.55 235.55. All assets and liabilities created through the issuance of bonds to purchase housing rehabilitation loans shall be separate from all other assets and liabilities of the authority. No funds of the housing rehabilitation loan program may be commingled with any other funds of the authority including the Wisconsin housing finance board.

SB148,132,14 (4) The limitations established in ss. 234.18, 234.40, 234.60, 234.61, and 234.65 235.0255, 235.409, 235.60, and 235.61 are not applicable to bonds issued under the authority of this section. The authority may not have outstanding at any one time bonds for housing rehabilitation loans in an aggregate principal amount exceeding $100,000,000, excluding bonds being issued to refund outstanding bonds. The authority shall consult with and coordinate the issuance of bonds with the building commission prior to the issuance of bonds.

SB148,419 Section 419. 234.51 of the statutes is renumbered 235.51, and 235.51 (1), (2) (a) and (3), as renumbered, are amended to read:

SB148,132,22 235.51 (1) There is established under the jurisdiction of the authority a housing rehabilitation loan program administration fund. There shall be paid into such fund the amounts appropriated under s. 20.490 20.885 (2) (a) (ad), the amounts provided in s. 234.55 235.55, any amounts transferred by the authority to such fund from other funds or sources and any other moneys which may be available to the authority for the purpose of such fund from any other source.

SB148,133,2 (2) (a) To pay all administrative costs, expenses, and charges, including origination fees and servicing fees, incurred in conducting the housing rehabilitation loan program other than those described in ss. 234.53 235.53 (4) and 234.55 235.55 (2) (b).

SB148,133,5 (3) Moneys of the fund may be invested as provided in s. 234.03 (18) 235.012 (19). All such investments shall be the exclusive property of the fund. All earnings on or income from such investments shall be credited to the fund.

SB148,420 Section 420. 234.52 of the statutes is renumbered 235.52, and 235.52 (1), (2) and (3), as renumbered, are amended to read:

SB148,133,13 235.52 (1) There is established under the jurisdiction of the authority a housing rehabilitation loan program loan-loss reserve fund. There shall be paid into such fund the amounts appropriated under s. 20.490 20.885 (2) (q), the amounts provided under s. 234.55 235.55, any amounts transferred by the authority to such fund from other funds or sources and any other moneys which may be available to the authority for the purposes of such fund from any other source.

SB148,133,21 (2) Subject to agreements with bondholders, the authority shall use moneys in the fund solely for transfer to the housing rehabilitation loan program bond redemption fund in amounts equal to losses on housing rehabilitation loans owned by that fund which are not made good by federal insurance or guarantee payments, and solely for the purposes described in s. 234.55 235.55 (2) (a). Any balance remaining after payment or due provision for payment of all outstanding bonds issued under the authority of s. 234.50 235.50 shall be transferred to the housing rehabilitation loan program administration fund.

SB148,133,24 (3) Moneys of the fund may be invested as provided in s. 234.03 (18) 235.012 (19). All such investments shall be the exclusive property of the fund. All earnings on or income from such investments shall be credited to the fund.

SB148,421 Section 421. 234.53 of the statutes is renumbered 235.53, and 235.53 (1), (2) and (3), as renumbered, are amended to read:

SB148,134,7 235.53 (1) The authority shall establish the housing rehabilitation loan fund. All moneys resulting from the sale of bonds issued under the authority of s. 234.50 235.50, not including bonds issued to refund outstanding bonds, and unless credited to the housing rehabilitation loan program capital reserve or bond redemption funds, shall be credited to such fund.

SB148,134,12 (2) The authority shall use moneys in the fund for the purpose of purchasing housing rehabilitation loans or for funding commitments for loans to lenders for housing rehabilitation loans. All disbursements of funds under this section for purchasing such loans shall be made payable to an authorized lender as defined in s. 234.49 235.49 (1) (b) or a duly authorized agent thereof.

SB148,134,15 (3) Moneys of the fund may be invested as provided in s. 234.03 (18) 235.012 (19). All such investments shall be the exclusive property of the fund. All earnings on or income from such investments shall be credited to the fund.

SB148,422 Section 422. 234.54 of the statutes is renumbered 235.54, and 235.54 (1r), (3) (a) 3. and (b) and (4) (a) and (b), as renumbered, are amended to read:

SB148,134,24 235.54 (1r) The authority shall establish the housing rehabilitation loan program capital reserve fund to secure the bonds issued under the authority of s. 234.50 235.50, and shall pay into such fund any moneys appropriated and made available by the state for the purposes of such fund, any proceeds of sale of housing rehabilitation bonds to the extent provided in the resolution of the authority board authorizing the issuance thereof and any other moneys which are made available to the authority for the purpose of such fund from any other source.

SB148,135,4 (3) (a) 3. All amounts specified in any resolution of the authority board authorizing any of the bonds described in subd. 1. as payable during the calendar year as a sinking fund payment with respect to any of the bonds which mature after the calendar year.

SB148,135,13 (b) The annual debt service calculation made under par. (a) shall be calculated on the assumption that the bonds will after the date of computation cease to be outstanding by reason, but only by reason, of the payment of bonds when due, and the payment when due and application in accordance with the resolution authorizing those bonds, of all of the sinking fund payments payable at or after the date of computation. However, in computing the annual debt service for any calendar year, bonds considered to have been paid in accordance with the defeasance provisions of the resolution of the authority board authorizing the issuance thereof may not be included in bonds outstanding on the date of computation.

SB148,135,17 (4) (a) To assure the continued operation and solvency of the authority for the carrying out of the public purposes of this chapter subchapter, the authority shall accumulate in the capital reserve fund an amount equal to the capital reserve fund requirement for such fund.

SB148,136,4 (b) If at any time the capital reserve fund requirement for the capital reserve fund exceeds the amount of such capital reserve fund, the chairperson of the authority board shall certify to the secretary of administration, the governor, and the joint committee on finance the amount necessary to restore such capital reserve fund to an amount equal to the capital reserve fund requirement in respect thereto. If such certification is received by the secretary of administration in an even-numbered year prior to the completion of the budget compilation under s. 16.43, the secretary shall include the certified amount in the budget compilation. In any case, the joint committee on finance shall introduce in either house, in bill form, an appropriation of the amount so certified to the capital reserve fund. Recognizing its moral obligation to do so, the legislature hereby expresses its expectation and aspiration that, if ever called upon to do so, it shall make such appropriation.

SB148,423 Section 423. 234.55 of the statutes is renumbered 235.55, and 235.55 (1) and (4), as renumbered, are amended to read:

SB148,136,19 235.55 (1) The authority shall establish the housing rehabilitation loan program bond redemption fund. All housing rehabilitation loans purchased with moneys from the housing rehabilitation loan fund or notes evidencing loans to lenders from such fund for housing rehabilitation loans shall be the exclusive property of such redemption fund. All moneys received from the repayment of such loans, any amounts transferred by the authority to such fund pursuant to s. 234.52 235.52 or from other funds or sources, any federal insurance or guarantee payments with respect to such loans, all moneys resulting from the sale of bonds for the purpose of refunding outstanding housing rehabilitation bonds unless credited to the housing rehabilitation loan program capital reserve fund, and any other moneys which may be available to the authority for the purpose of such fund, shall be deposited into such fund to be used for the repayment of housing rehabilitation bonds issued under the authority of s. 234.50 235.50.

SB148,136,22 (4) Moneys of the fund may be invested as provided in s. 234.03 (18) 235.012 (19). All such investments shall be the exclusive property of the fund. All earnings on or income from such investments shall be credited to the fund.

SB148,424 Section 424. 234.59 of the statutes is renumbered 235.59, and 235.59 (2) (e) and (3) (bc) 3., as renumbered, are amended to read:

SB148,137,3 235.59 (2) (e) May enter into agreements to insure or provide additional security for homeownership mortgage loans or bonds or notes issued under s. 234.60 235.60.

SB148,137,8 (3) (bc) 3. If the authority sets aside at least 20% of the proceeds of a bond or note issuance under s. 234.60 235.60 to fund home ownership mortgage loans for eligible properties that are targeted area residences, the authority may apply up to 33% of the proceeds that are set aside for that purpose without regard to the income of the applicant.

SB148,425 Section 425. 234.592 of the statutes is renumbered 235.592, and 235.592 (1) (a), (b) and (c) and (2) (c), as renumbered, are amended to read:

SB148,137,12 235.592 (1) (a) "Authorized lender" has the meaning given in s. 234.59 235.59 (1) (a).

SB148,137,13 (b) "Eligible property" has the meaning given in s. 234.59 235.59 (1) (d) 1.

SB148,137,14 (c) "Principal residence" has the meaning given in. s. 234.59 235.59 (1) (j).

SB148,137,16 (2) (c) May enter into agreements to insure or provide additional security for loans or bonds or notes issued under s. 234.60 235.60.

SB148,426 Section 426. 234.60 (title) of the statutes is renumbered 235.60 (title).

SB148,427 Section 427. 234.60 (1) of the statutes is renumbered 235.60 (1) and amended to read:

SB148,137,22 235.60 (1) The authority may issue its bonds or notes to fund homeownership mortgage loans or the refinancing of qualified subprime loans under s. 234.592 235.592.

SB148,428 Section 428. 234.60 (2) of the statutes is renumbered 235.60 (2) and amended to read:

SB148,138,3 235.60 (2) The limitations in ss. 234.18, 234.40, 234.50, 234.61, and 234.65 235.0255, 235.409, 235.50, and 235.61 do not apply to bonds or notes issued under this section.

SB148,429 Section 429. 234.60 (3) of the statutes is renumbered 235.60 (3).

SB148,430 Section 430. 234.60 (4) of the statutes is repealed.

SB148,431 Section 431. 234.60 (5) of the statutes is renumbered 235.60 (5), and 235.60 (5) (c), as renumbered, is amended to read:

SB148,138,10 235.60 (5) (c) The secretary of administration shall determine the date after which no bond or note may be issued under this section for the purpose of financing the acquisition or replacement of an existing mortgage under s. 234.592 235.592.

SB148,432 Section 432. 234.60 (9) of the statutes is renumbered 235.60 (9) and amended to read:

SB148,138,15 235.60 (9) The executive director of the authority shall make every effort to encourage participation in the homeownership mortgage loan program and the qualified subprime loan refinancing program by women and minorities.

SB148,433 Section 433. 234.605 of the statutes is renumbered 235.605, and 235.605 (1) (a) and (2), as renumbered, are amended to read: