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| ARTICLE 2 AS AMENDED |
RELATING TO PUBLIC FINANCE MANAGEMENT BOARD
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| SECTION 1. Sections 42-10.1-2 and 42-10.1-4 of the General Laws in Chapter 42-10.1 |
| entitled “Public Finance Management Board” are hereby amended to read as follows: |
| 42-10.1-2. Purpose. -- It shall be the purpose and responsibility of the board: |
| (1) To advise and assist all state departments, municipal and regional authorities, |
| agencies, boards, commissions, and public and quasi-public corporations, and fire districts and |
| other special districts having authority to issue revenue or general obligation bonds or GARVEE |
| bonds or notes or other various types of conduit debt or enter into financing leases with respect to |
| issuance of, and financial planning related to, all those bonds, leases, and notes; |
| (2) Upon request, t To advise and/or assist any city or town and any municipal or regional |
| agency, authority, board, commission, or public or quasi-public corporations, or fire districts or |
| other special districts having authority to issue revenue or general obligation bonds or GARVEE |
| bonds or notes or other various types of conduit debt or enter into financing leases with respect to |
| the issuance of, and financial planning related to, those bonds, leases, and notes; |
| (3) To collect, maintain, and provide information on all state, municipal and regional |
| authority, agency, board, commission, public or quasi-public corporation, and fire district and |
| other special district debt authorization, sold and outstanding, and serve as a statistical center for |
| all state and municipal debt issues; |
| (4) To maintain contact with state, municipal and regional authority, agency, board, |
| commission, public or quasi-public corporation, fire district and other special district bond |
| issuers, underwriters, credit-rating agencies, investors, and others to improve the market for state |
| and local government debt issues; |
| (5) To undertake or commission studies on methods to reduce the costs and improve |
| credit ratings of state and local debt issues; |
| (6) To recommend changes in state laws and local practices to improve the sale and |
| servicing of state and local debts.; |
| (7) To annually ascertain the total amount of state, regional, municipal, and public and |
| quasi-public corporation debt authorized, sold and unsold; |
| (8) To oversee the undertaking of a debt affordability study no less frequently than every |
| two (2) years that shall include recommended limits for the debt capacity of each state, municipal |
| and regional authority, agency, board, commission, public and quasi-public corporation and fire |
| district and other special district having authority to issue revenue or general obligation bonds or |
| GARVEE bonds or notes or other types of conduit debt or enter into financing leases. |
| 42-10.1-4. Notice of debt issue to board. -- (a) Each state, municipal and regional |
| department, authority, agency, board, commission, and public and quasi-public corporation, and |
| fire district and other special district having authority to issue revenue or general obligation bonds |
| or GARVEE bonds or notes or other various types of conduit debt shall, no later than thirty (30) |
| days prior to the sale of any such debt issue at public or private sale, give written notice of the |
| proposed sale to the board; and each such issuer shall, within thirty (30) days after closing, submit |
| to the board a report of final sale. |
| (b) The notice of proposed debt shall include one proposed sale date, the name of the |
| issuer, the nature of the debt issue, and the estimated principal amount thereof, and such further |
| information as may be required by rule of the board and shall be delivered in accordance with |
| procedures to be established by rule of the board; and the notice of final sale shall be made on a |
| form approved by the board and contain all of the information requested on said form. Any issuer |
| that fails to submit the report of proposed debt or report of final sale by the appropriate deadline |
| may be subject to a per diem fine of two hundred fifty dollars ($250), which shall be collected |
| and enforced by the Office of the General Treasurer. |
| (c) Each state, municipal and regional authority, agency, board, commission, public and |
| quasi-public corporation, and fire district and other special district having authority to issue |
| revenue or general obligation bonds or GARVEE bonds or notes or various types of conduit debt |
| or enter into financing leases shall provide annually, within ninety (90) days after the end of each |
| fiscal year, the following information for each outstanding debt incurred as of the end of such |
| year: |
| (1) The principal amount of the issue outstanding; |
| (2) The amount of proceeds of the issue that remains unspent; |
| (3) The amount of debt authorized by the bond act or other appropriate authorization |
| relevant to the issue that remains authorized but unissued; and |
| (4) A list of the purposes for which the debt has been issued and the amounts expended |
| for each purpose in the prior fiscal year from the proceeds of the issue. |
| (c)(d) Failure of delivery of the above notice or of the time or efficiency thereof shall not |
| affect the validity of the issuance of any debt, bond or note bonds, notes, or leases. |
| (d)(e) The board shall submit a report annually, on or before September 30th of each |
| year, to the director of administration, the speaker of the house, the chairman of the house finance |
| committee, the president of the senate, the chairman of the senate finance committee, and the |
| auditor general on debt issues by cities and towns and other authorities, agencies, boards, |
| commissions, public and quasi-public corporations, fire districts, and other special districts |
| subject to the provisions of chapter 45-12 of title 45, which report shall include the information |
| set forth in division subsection (b) of this section and shall be for the notices of debt issues |
| received during the state's fiscal year next preceding. An electronic transmission of the report |
| shall be considered an acceptable submission. |
| SECTION 2. Chapter 42-10.1 of the General Laws entitled "Public Finance Management |
| Board" is hereby amended by adding thereto the following sections: |
| 42-10.1-9. Report of debt affordability and targets. -- (a) The board shall compile and |
| publish annually the total amount of public state, regional, municipal, and public and quasi-public |
| corporation debt authorized, sold, and unsold. |
| (b) No less frequently than every two (2) years, the board shall oversee the undertaking of |
| a debt affordability study that shall include recommended limits for the debt capacity of each |
| state, municipal and regional authority, agency, board, commission, public and quasi-public |
| corporation and fire district and other special district having authority to issue revenue or general |
| obligation bonds or GARVEE bonds or notes or other various types of conduit debt or enter into |
| financing leases. |
| 42-10.1-10. Public finance management board advisory opinions. -- The board shall |
| have the authority to offer non-binding, advisory opinions on all aspects of debt management |
| practices of state, municipal, and public and quasi-public corporations. |
| SECTION 3. This article shall take effect as of January 1, 2017. |