ARTICLE
5
RELATING TO
CAPITAL DEVELOPMENT PROGRAM
SECTION 1. Proposition to be
submitted to the people. -- At the general
election to be
held on the Tuesday next after the first Monday in
November 2012, there shall be submitted to
the people for their approval or rejection the following
proposition:
"Shall
the action of the general assembly, by an act passed at the January 2012
session,
authorizing the issuance of bonds, refunding bonds, and temporary
notes of the state for the
capital projects and in the amount with respect to each such
project listed below be approved, and
the issuance of bonds, refunding bonds, and temporary
notes authorized in accordance with the
provisions of said act?"
Project
(1)
Higher Education Facilities
.. $50,000,000
Approval
of this question will allow the State of
bonds, refunding bonds, and temporary notes in an amount
not to exceed fifty million dollars
($50,000,000) for
renovations and modernization of academic buildings at
including renovation, upgrade and expansion of health and
nursing facilities on the campus of
(2)
Veterans' Home
..$94,000,000
Approval
of this question will allow the State of
bonds, refunding bonds and temporary notes in an amount not
to exceed ninety-four million
dollars ($94,000,000) for the construction of a new Veterans'
Home and renovations to existing
facilities. Any funding amount from federal sources received for
these purposes will be used to
reduce the amount of borrowed funds.
(3)
Clean Water Finance Agency
.$20,000,000
Approval
of this question will authorize the State of
obligation bonds, refunding bonds, and temporary notes in an
amount not to exceed twelve
million dollars ($12,000,000) to be leveraged with federal
and state capitalization grants to
finance wastewater infrastructure projects and eight million
dollars ($8,000,000) to be leveraged
with federal and state capitalization grants to finance
drinking water infrastructure projects.
(4)
Environmental Management
$20,000,000
Approval
of this question will allow the State of
bonds, refunding bonds, and temporary notes for
environmental and recreational purposes to be
allotted as follows:
(a)
Provides
funds for activities to restore and protect the water quality and enhance the
economic viability and environmental sustainability of
watersheds. Eligible activities include: nonpoint source
pollution abatement, including
stormwater management; nutrient loading abatement; commercial, industrial and
agricultural
pollution abatement; and riparian buffer and watershed
ecosystem restoration.
(b)
Provides
funds for the purchase of land, development rights and conservation easements
in
Island in accordance with
the Rhode Island Comprehensive Outdoor Recreation Plan, Land
Protection Plan, and the Rhode Island Greenspace
2000 plan.
(c)
Farmland Development Rights
.$4,500,000
Provides
funds for the purchase of agricultural development rights to active farms in
pressure on farmers to sell properties for residential and
commercial development. The
funds.
(d)
Provides
funds for grants to municipalities, local land trusts and non-profit
organizations
to acquire fee-simple title, development rights, or
conservation easements to open space in Rhode
Island. The grants provide funding up to fifty percent (50%)
of the purchase price for land,
surveys, appraisals and title costs. The grant applications
are reviewed and evaluated by the
Governors Natural Heritage
Preservation Commission according to the program guidelines.
(e)
Local Recreation Grants
..$5,500,000
Provides
grants to municipalities for acquisition, development, or rehabilitation of
local
recreational facilities. These grants provide funding assistance
up to fifty percent (50%) of the
project costs. All grant applications are evaluated and
ranked by the State Recreation Resources
Review Committee.
(f)
Historic/Passive Parks
..$1,000,000
Provides
grants to municipalities for the renovation and development of historic and
passive recreation areas. The grants provide funding
assistance of up to ninety percent (90%) of
the project costs. All grant applications are evaluated
and ranked by the State Recreation
Resources
Review Committee.
(5) Affordable Housing
.$25,000,000
Approval
of this question will allow the State of
bonds, refunding bonds, and temporary notes in an amount
not to exceed twenty-five million
dollars ($25,000,000) for affordable housing.
SECTION 2. Ballot labels and
applicability of general election laws. -- The
secretary
of state shall prepare and deliver to the state board of
elections ballot labels for each of the
projects provided for in Section 1 hereof with the
designations "approve" or "reject" provided
next to the description of each such project to enable
voters to approve or reject each such
proposition. The general election laws, so far as consistent
herewith, shall apply to this
proposition.
SECTION 3. Approval of projects by
people. -- If a majority of the people voting on
the proposition provided for in Section 1 hereof shall
vote to approve the proposition as to any
project provided for in Section 1 hereof, said project shall
be deemed to be approved by the
people. The authority to issue bonds, refunding bonds and
temporary notes of the state shall be
limited to the aggregate amount for all such projects as set
forth in the proposition provided for in
section 1 hereof which has been approved by the people.
SECTION 4. Bonds for capital
development program. -- The general treasurer is
hereby authorized and empowered with the approval of the
governor and in accordance with the
provisions of this act, to issue from time to time capital
development bonds in serial form in the
name and on behalf of the state in amounts as may be
specified from time to time by the governor
in an aggregate principal amount not to exceed the total
amount for all projects approved by the
people and designated as "capital development loan of
2012 bonds" provided, however, that the
aggregate principal amount of such capital development bonds
and of any temporary notes
outstanding at any one time issued in anticipation thereof
pursuant to Section 7 hereof shall not
exceed the total amount for all such projects as have been
approved by the people. All provisions
in this act relating to "bonds" shall also be
deemed to apply to "refunding bonds".
Capital
development bonds issued under this act shall be in denominations of one
thousand dollars ($1,000) each, or multiples thereof, and
shall be payable in any coin or currency
of the United States which at the time of payment shall
be legal tender for public and private
debts. These capital development bonds shall bear such date
or dates, mature at specified time or
times, but not beyond the end of the twentieth state fiscal
year following the state fiscal year in
which they are issued, bear interest payable semi-annually
at a specified rate or different or
varying rates, be payable at designated time or times at
specified place or places, be subject to
expressed terms of redemption or recall, with or without
premium, be in a form, with or without
interest coupons attached, carry such registration,
conversion, reconversion, transfer, debt
retirement, acceleration and other provisions as may be fixed by
the general treasurer, with the
approval of the governor, upon each issue of such capital
development bonds at the time of each
issue. Whenever the governor shall approve the issuance of
such capital development bonds, he
or she shall certify approval to the secretary of state;
the bonds shall be signed by the general
treasurer and countersigned by the manual or facsimile
signature of the secretary of state and
shall bear the seal of the state or a facsimile thereof.
The approval of the governor shall be
endorsed on each bond so approved with a facsimile of his or
her signature.
SECTION 5. Refunding bonds for 2012
capital development program. -- The general
treasurer is hereby authorized and empowered, with the approval
of the governor and in
accordance with the provisions of this act, to issue from time
to time bonds to refund the 2012
capital development program bonds in the name and on behalf
of the state, in amounts as may be
specified from time to time by the governor in an aggregate
principal amount not to exceed the
total amount approved by the people, to be designated as
"capital development program loan of
2012
refunding bonds" (hereinafter "refunding bonds").
The
general treasurer with the approval of the governor shall fix the terms and
form of
any refunding bonds issued under this act in the same
manner as the capital development bonds
issued under this act, except that the refunding bonds may
not mature more than twenty (20)
years from the date of original issue of the capital
development bonds being refunded.
The
proceeds of the refunding bonds, exclusive of any premium and accrual interest
and
net the underwriters cost, and cost of bond insurance,
shall, upon their receipt, be paid by the
general treasurer immediately to the paying agent for the
capital development bonds which are to
be called and prepaid. The paying agent shall hold the
refunding bond proceeds in trust until they
are applied to prepay the capital development bonds.
While such proceeds are held in trust, they
may be invested for the benefit of the state in
obligations of the
State of
If
the general treasurer shall deposit with the paying agent for the capital
development
bonds the proceeds of the refunding bonds or proceeds from
other sources amounts that, when
invested in obligations of the
principal, interest, and premium, if any, on the capital
development bonds until these bonds are
called for prepayment, then such capital development bonds
shall not be considered debts of the
State of
agent. The refunding bonds shall continue to be a debt of
the state until paid.
The
term "bond" shall include "note", and the term
"refunding bonds" shall include
"refunding
notes" when used in this act.
SECTION 6. Proceeds of capital
development program. -- The general treasurer is
directed to deposit the proceeds from the sale of capital
development bonds issued under this act,
exclusive of premiums and accrued interest and net the
underwriters cost, and cost of bond
insurance, in one or more of the depositories in which the
funds of the state may be lawfully kept
in special accounts (hereinafter cumulatively referred
to as "such capital development bond
fund") appropriately designated for each of the
projects set forth in Section 1 hereof which shall
have been approved by the people to be used for the
purpose of paying the cost of all such
projects so approved.
All
monies in the capital development bond fund shall be expended for the purposes
specified in the proposition provided for in Section 1 hereof
under the direction and supervision
of the director of administration (hereinafter referred
to as "director"). The director or his or her
designee shall be vested with all power and authority
necessary or incidental to the purposes of
this act, including but not limited to, the following authority:
(a) to acquire land or other real
property or any interest, estate or right therein as may be
necessary or advantageous to
accomplish the purposes of this act; (b) to direct payment for
the preparation of any reports, plans
and specifications, and relocation expenses and other
costs such as for furnishings, equipment
designing, inspecting and engineering, required in connection
with the implementation of any
projects set forth in Section 1 hereof; (c) to direct payment
for the costs of construction,
rehabilitation, enlargement, provision of service utilities, and
razing of facilities, and other
improvements to land in connection with the implementation of any
projects set forth in section 1
hereof; and (d) to direct payment for the cost of equipment,
supplies, devices, materials and labor
for repair, renovation or conversion of systems and
structures as necessary for 2012 capital
development program bonds or notes hereunder from the proceeds
thereof. No funds shall be
expended in excess of the amount of the capital development
bond fund designated for each
project authorized in Section 1 hereof. With respect to the
bonds and temporary notes described
in section 1, the proceeds shall be utilized for the
following purposes:
Question
1 relating to bonds in the amount of fifty million dollars $50,000,000) for
Higher Education shall be
allocated as follows:
Infrastructure
Modernization at
Provides
funds for modernization and renovation of academic buildings on the Rhode
facilities on the campus of
Question
2 relating to bonds in the amount of ninety-four million dollars ($94,000,000)
to
be provided to the department of human services to
provide funding for the construction of a new
veterans' home as well as renovations to existing facilities.
The project is planned to be completed
over a ten-year period, beginning with the new veterans'
home facility, followed by renovations
to existing facilities.
Question
3 relating to bonds in the amount of twenty million dollars ($20,000,000) for
the Clean Water Finance Agency to be allocated as
follows:
(a)
Clean
Provides
funds for water pollution abatement projects structured as low-interest,
subsidized loans for local governmental units to finance
approved water pollution abatement
projects.
(b)
Drinking Water State Revolving Loan Fund
$8,000,000
Provides
funds for drinking water projects structured as low-interest, subsidized loans
for
local governmental units and privately organized water
suppliers to finance approved drinking
water projects.
Question
4 relating to bonds in the amount of twenty million dollars ($20,000,000) for
environmental and recreational purposes to be allocated as follows:
(a)
Provides
funds for activities to restore and protect the water quality and enhance the
economic viability and environmental sustainability of
watersheds.
(b)
Provides
funds for the purchase of land, development rights, and conservation easements
in
(c)
Farmland Development Rights
$4,500,000
Provides
funds for the purchase of agricultural development rights to active farms in
(d)
Provides
funds for grants to municipalities, local land trusts, and non-profit
organizations
to acquire fee-simple title, development rights, or
conservation easements to open space in Rhode
Island.
(e)
Local Recreation Grants
$5,500,000
Provides
grants to municipalities for acquisition, development, or rehabilitation of
local
recreation facilities.
(f)
Historic/Passive Parks
$1,000,000
Provides
grants to municipalities for the renovation or development of historic and
passive recreation areas.
Question
5 relating to bonds in the amount of twenty-five million dollars ($25,000,000)
for Affordable Housing.
Provides
funding to the Housing Resources Commission to provide state funds to
promote affordable housing through redevelopment of existing
structures, or new construction.
SECTION
7.
of this act shall be sold from time to time at not less
than the principal amount thereof, in such
mode and on such terms and conditions as the general
treasurer, with the approval of the
governor, shall deem to be for the best interests of the
state.
Any
premiums and accrued interest, net of the cost of bond insurance and
underwriters
discount, that may be received on the sale of the capital
development bonds or notes shall become
part of the Rhode Island Capital Fund of the state, unless
directed by federal law or regulation to
be used for some other purpose.
In
the event that the amount received from the sale of the capital development
bonds or
notes exceeds the amount necessary for the purposes stated
in section 6 hereof, the surplus may
be used to the extent possible to retire the bonds as
the same may become due, to redeem them in
accordance with the terms thereof or otherwise to purchase them
as the general treasurer, with the
approval of the governor, shall deem to be for the best
interests of the state.
Any
bonds or notes issued under the provisions of this act and coupons on any
capital
development bonds, if properly executed by the manual or
facsimile signatures of officers of the
state in office on the date of execution shall be valid and
binding according to their tenor,
notwithstanding that before the delivery thereof and payment therefor, any or all such officers
shall for any reason have ceased to hold office.
SECTION 8. Bonds and notes to be tax
exempt and general obligations of the state. -
All bonds and notes issued
under the authority of this act shall be exempt from taxation in the
state and shall be general obligations of the state, and
the full faith and credit of the state is hereby
pledged for the due payment of the principal and interest on
each of such bonds and notes as the
same shall become due.
SECTION 9. Investment of monies in
fund. -- All moneys in the capital development
fund not immediately required for payment pursuant to the
provisions of this act may be invested
by the investment commission, as established by chapter
35-10, pursuant to the provisions of such
chapter; provided, however, that the securities in which the
capital development fund is invested
shall remain a part of the capital development fund until
exchanged for other securities; and
provided further, that the income from investments of the
capital development fund shall become
a part of the general fund of the state and shall be
applied to the payment of debt service charges
of the state, unless directed by federal law or
regulation to be used for some other purpose, or to
the extent necessary, to rebate to the
(including
gains from the disposition of investments) of proceeds of bonds or notes to the
extent
deemed necessary to exempt (in whole or in part) the
interest paid on such bonds or notes from
federal income taxation.
SECTION 10. Appropriation.
-- To the extent the debt service on these bonds is not
otherwise provided, a sum sufficient to pay the interest and
principal due each year on bonds and
notes hereunder is hereby annually appropriated out of any
money in the treasury not otherwise
appropriated.
SECTION 11. Advances from general
fund. -- The general treasurer is authorized from
time to time with the approval of the director and the
governor, in anticipation of the issue of
notes or bonds under the authority of this act, to advance
to the capital development bond fund for
the purposes specified in Section 6 hereof, any funds of
the state not specifically held for any
particular purpose; provided, however, that all advances made to
the capital development bond
fund shall be returned to the general fund from the
capital development bond fund forthwith upon
the receipt by the capital development fund of proceeds
resulting from the issue of notes or bonds
to the extent of such advances.
SECTION 12. Federal assistance and
private funds. -- In carrying out this act, the
director, or his or her designee, is authorized on behalf of
the state, with the approval of the
governor, to apply for and accept any federal assistance which
may become available for the
purpose of this act, whether in the form of loan or grant or
otherwise, to accept the provision of
any federal legislation therefor,
to enter into, act and carry out contracts in connection therewith,
to act as agent for the federal government in connection
therewith, or to designate a subordinate
so to act. Where federal assistance is made available,
the project shall be carried out in
accordance with applicable federal law, the rules and
regulations thereunder and the contract or
contracts providing for federal assistance, notwithstanding any
contrary provisions of state law.
Subject to the foregoing,
any federal funds received for the purposes of this act shall be deposited
in the capital development bond fund and expended as a
part thereof. The director or his or her
designee may also utilize any private funds that may be made
available for the purposes of this
act.
SECTION 13. Effective Date.
-- Sections 1, 2 and 3 of this article shall take effect upon
passage. The remaining sections of this article shall take
effect if and when the state board of
elections shall certify to the secretary of state that a
majority of the qualified electors voting on
the propositions contained in section 1 hereof have
indicated their approval of all or any projects
thereunder.