Senate Bill No. 497–Committee on Finance

 

March 26, 2001

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Referred to Committee on Finance

 

SUMMARY—Authorizes issuance of general obligation bonds by state for purchase of certain facilities. (BDR S‑1475)

 

FISCAL NOTE:                     Effect on Local Government: No.

                                    Effect on the State: No.

 

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EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted.

 

AN ACT relating to state financial administration; authorizing the issuance of general obligation bonds to acquire certain facilities for Truckee Meadows Community College; and providing other matters properly relating thereto.

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

 

1-1    Section 1.  1.  At the request of the University and Community

1-2  College System of Nevada, the State Board of Finance shall issue general

1-3  obligation bonds of the State of Nevada or a combination of general

1-4  obligation bonds of the State of Nevada and other state securities in the

1-5  face amount of not more than $8,500,000 for the purpose of acquiring a

1-6  portion of the facilities known as the Reno Town Mall.

1-7    2.  The amount of the bonds and the timing of the issuance of the bonds

1-8  must be determined by the State Treasurer and representatives of the

1-9  University and Community College System of Nevada and must reflect the

1-10  expenses associated with the issuance of the bonds and the expenses and

1-11  timing associated with the acquisition of a portion of the Reno Town Mall.

1-12    3.  Following the acquisition of the portion of the Reno Town Mall

1-13  with the proceeds of the bonds authorized by this act, the University and

1-14  Community College System of Nevada shall pay or transfer to the State

1-15  Treasurer on the date that the rent payments for the facilities described in

1-16  paragraph (a) would have been due, for deposit into the consolidated bond

1-17  interest and redemption fund an amount equal to the lesser of:

1-18    (a) The amount appropriated by the Legislature to the University and

1-19  Community College System of Nevada for rent payments on the portion of

1-20  the Reno Town Mall which the University and Community College System

1-21  of Nevada rents for periods following the acquisition of the portion of the

1-22  Reno Town Mall; or

2-1    (b) The amount of principal and interest which accrues on the bonds in

2-2  each month following the acquisition of the portion of the Reno Town

2-3  Mall.

2-4  For the purposes of this section, the principal amount and interest on the

2-5  bonds shall be deemed to accrue in equal monthly amounts from the date

2-6  of the issuance of the bonds until the date of the first interest payment on

2-7  the bonds and thereafter each semiannual interest payment shall be deemed

2-8  to accrue in six equal monthly installments ending on the semiannual

2-9  interest payment date. Principal on the bonds shall be deemed to accrue in

2-10  equal monthly installments from the date of the issuance of the bonds until

2-11  the first principal payment date on the bonds and thereafter each annual

2-12  principal payment shall be deemed to accrue in 12 equal monthly

2-13  installments ending on each annual bond principal payment date. The

2-14  annual principal payment must occur on the date of the first semiannual

2-15  interest payment.

2-16    4.  Except with respect to the first interest and principal payments, the

2-17  interest payments on the bonds must be made semiannually and the

2-18  principal payments must be made annually.

2-19    5.  The provisions of the State Securities Law, set forth in NRS

2-20  349.150 to 349.364, inclusive, apply to the issuance of bonds pursuant to

2-21  the provisions of this act.

2-22    Sec. 2.  This act becomes effective upon passage and approval.

 

2-23  H