2013 -- H 6302

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LC02788

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STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2013

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A N A C T

RELATING TO STATE AFFAIRS AND GOVERNMENT -- FINANCIAL BONDS

     Introduced By: Representatives Hearn, Serpa, Ferri, Ruggiero, and Nunes

     Date Introduced: June 26, 2013

     Referred To: House Finance

It is enacted by the General Assembly as follows:

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     SECTION 1. Title 42 of the General Laws entitled "STATE AFFAIRS AND

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GOVERNMENT" is hereby amended by adding thereto the following chapter:

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     CHAPTER 155

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MORAL OBLIGATION BONDS

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     42-155-1. State financial moral obligation bonds prohibited. -- Notwithstanding any

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general or public law to the contrary, no state or quasi-state agency shall have the authority to

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issue financial moral obligation bonds that are loan guarantee or financial bonds programs, which

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are not legally guaranteed by the full faith and credit of the state of Rhode Island.

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     SECTION 2. This act shall take effect upon passage.

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LC02788

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EXPLANATION

BY THE LEGISLATIVE COUNCIL

OF

A N A C T

RELATING TO STATE AFFAIRS AND GOVERNMENT -- FINANCIAL BONDS

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     This act would ban the state's issuance of financial moral obligation bonds.

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     This act would take effect upon passage.

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LC02788

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