CODING: Words stricken are deletions; words underlined are additions.





                                                   HOUSE AMENDMENT

                                         Bill No. SB 130, 1st Eng.

    Amendment No.     (for drafter's use only)

                            CHAMBER ACTION
              Senate                               House
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 4                                                                

 5                                           ORIGINAL STAMP BELOW

 6

 7

 8

 9

10                                                                

11  Representative(s) Andrews and Wise offered the following:

12

13         Amendment (with title amendment) 

14         On page 1, line 23, of the bill

15

16  insert:

17         Section 1.  Findings and declarations.--It is declared

18  that for the benefit of the people of the state, the increase

19  of their commerce, welfare, and prosperity, and the

20  improvement of their health and living conditions, it is

21  essential that this and future generations of youth be given

22  the fullest opportunity to learn and to develop their

23  intellectual and mental capacities; that it is essential for

24  private institutions of higher education in the state to be

25  provided with appropriate additional means to assist such

26  youth in achieving the required levels of learning and

27  development of their intellectual and mental capacities; that

28  it is the purpose of this act to provide a measure of

29  assistance and an alternative method enabling private

30  institutions of higher education of this state to provide the

31  facilities and structures that are sorely needed to accomplish

                                  1

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                                                   HOUSE AMENDMENT

                                         Bill No. SB 130, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  the purposes of this act; and that it is essential to provide

 2  additional assistance to private institutions of higher

 3  education by enabling those institutions to coordinate their

 4  budgetary needs with the timing of receipt of tuition

 5  revenues.

 6         Section 2.  Definitions.--As used in this act, the

 7  term:

 8         (1)  "Authority" or "educational facilities authority"

 9  means the public corporation created by this act.

10         (2)  "Real property" includes all lands, including

11  improvements and fixtures thereon and any such property

12  appurtenant thereto or used in connection therewith, and every

13  estate, interest, and right, legal or equitable, therein,

14  including terms for years and liens by way of judgment,

15  mortgage, or otherwise and the indebtedness secured by such

16  liens.

17         (3)  "Project" means a structure suitable for use as a

18  dormitory or other housing facility, dining hall, student

19  union, administration building, academic building, library,

20  laboratory, research facility, classroom, athletic facility,

21  health care facility, and maintenance, storage, or utility

22  facility, and other structures or facilities related thereto,

23  or required thereby, or required or useful for the instruction

24  of students, or the conducting of research, or the operation

25  of an institution of higher education, including parking and

26  other facilities or structures, essential for the orderly

27  conduct of an institution of higher education and shall also

28  include equipment and machinery and other similar items

29  necessary for the operation of a particular facility or

30  structure in the manner for which its use is intended, but the

31  term does not include such items as books, fuel, supplies, or

                                  2

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                                                   HOUSE AMENDMENT

                                         Bill No. SB 130, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  other items that are customarily considered to result in a

 2  current operating charge. The term also includes a loan in

 3  anticipation of tuition revenues by a private institution of

 4  higher education.

 5         (4)  "Cost," as applied to a project or any portion

 6  thereof financed under this act, embraces all or any part of

 7  the cost of construction and acquisition of all lands,

 8  structures, real or personal property, rights, rights-of-way,

 9  franchises, easements, and interests acquired or used for a

10  project, the cost of demolishing or removing any buildings or

11  structures on land so acquired, including the cost of

12  acquiring any lands to which the buildings or structures may

13  be removed, the cost of all machinery and equipment, financing

14  charges, interest before, during, and for a period of 30

15  months after completion of the construction, provisions for

16  working capital, reserves for principal, interest and rebate,

17  and for extensions, enlargements, additions and improvements,

18  cost of engineering, financial and legal services, plans,

19  specifications, studies, surveys, estimates of cost and of

20  revenues, administrative expenses, expenses necessary to

21  determining the feasibility or practicability of constructing

22  the project and other expenses as may be necessary to the

23  construction and acquisition of the project, the financing of

24  the construction and acquisition and the placing of the

25  project in operation. In the case of a loan in anticipation of

26  tuition revenues, the term "cost" means the amount of the loan

27  in anticipation of revenues which does not exceed the amount

28  of tuition revenues anticipated to be received by the

29  borrowing institution of higher education in the 1-year period

30  following the date of the loan, plus costs related to the

31  issuance of the loans, or bonds, the proceeds of which fund

                                  3

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                                                   HOUSE AMENDMENT

                                         Bill No. SB 130, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  the loans, and any related cost of debt service reserve funds

 2  and rebate associated therewith.

 3         (5)  "Bond" or "revenue bond" means a revenue bond of

 4  the authority issued under this act, including a revenue

 5  refunding bond, notwithstanding that it may be secured by

 6  mortgage or the full faith and credit of a participating

 7  institution of higher education or any other lawfully pledged

 8  security of a participating institution of higher education.

 9         (6)  "Institution of higher education" means an

10  educational institution that by virtue of law or charter is a

11  nonprofit educational institution empowered to provide a

12  program of education beyond the high school level; is not

13  owned or controlled by the state or any political subdivision,

14  agency, instrumentality, district, or municipality of the

15  state; and otherwise meets the requirements of s. 196.012(5).

16         (7)  "Participating institution" means an institution

17  of higher education that undertakes the financing and

18  construction or acquisition of a project or undertakes the

19  refunding or refinancing of obligations or of a mortgage or of

20  advances as provided in and permitted by this act.

21         (8)  "Loan in anticipation of tuition revenues" means a

22  loan to an institution of higher education under circumstances

23  in which tuition revenues anticipated to be received by the

24  institution in any budget year are estimated to be

25  insufficient at any time during the budget year to pay the

26  operating expenses or other obligations of the institution in

27  accordance with the budget of the institution.

28         Section 3.  Creation of Higher Educational Facilities

29  Financing Authority.--

30         (1)  There is created a public body corporate and

31  politic to be known as the Higher Educational Facilities

                                  4

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                                                   HOUSE AMENDMENT

                                         Bill No. SB 130, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  Financing Authority. The authority is constituted as a public

 2  instrumentality and the exercise by the authority of the

 3  powers conferred by this act is considered to be the

 4  performance of an essential public function.

 5         (2)  The authority shall consist of five members to be

 6  appointed by the Governor. One member shall be a trustee,

 7  director, officer, or employee of an institution of higher

 8  education. Of the members first appointed, one shall serve for

 9  1 year, one for 2 years, one for 3 years, one for 4 years, and

10  one for 5 years, and in each case until his or her successor

11  is appointed and has qualified. Thereafter, the Governor shall

12  appoint for terms of 5 years each a member or members to

13  succeed those whose terms expire. The Governor shall fill any

14  vacancy for an unexpired term. A member of the authority is

15  eligible for reappointment. Any member of the authority may be

16  removed by the Governor for misfeasance, malfeasance, or

17  willful neglect of duty. Each member of the authority before

18  entering upon his or her duties shall take and subscribe to

19  the oath or affirmation required by the State Constitution. A

20  record of each oath must be filed in the office of the

21  Department of State and with the authority.

22         (3)  The authority shall annually elect one of its

23  members as chair and one as vice chair, and shall also appoint

24  an executive director who is not a member of the authority and

25  who serves at the pleasure of the authority and receives

26  compensation as fixed by the authority.  The duties of the

27  executive director may be discharged under a contract with the

28  Independent Colleges and Universities of Florida, a

29  not-for-profit corporation representing the independent

30  colleges and universities of the state, or any successor

31  corporation or other such entity providing similar

                                  5

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                                                   HOUSE AMENDMENT

                                         Bill No. SB 130, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  representation, chosen by the authority, or an agency or other

 2  entity representing independent colleges and universities

 3  providing such services, in which case the entity shall

 4  designate a person to perform those duties.

 5         (4)  The executive director shall keep a record of the

 6  proceedings of the authority and shall be custodian of all

 7  books, documents, and papers filed with the authority and of

 8  the minute book or journal of the authority and of its

 9  official seal. He or she may cause copies to be made of all

10  minutes and other records and documents of the authority and

11  may give certificates under the official seal of the authority

12  to the effect that the copies are true copies, and all persons

13  dealing with the authority may rely upon the certificates.

14         (5)  A majority of the members of the authority

15  constitutes a quorum, and the affirmative vote of a majority

16  of the members present at a meeting of the authority is

17  necessary for any action taken by the authority.  A vacancy in

18  the membership of the authority may not impair the right of a

19  quorum to exercise all the rights and perform all the duties

20  of the authority. Any action taken by the authority under this

21  act may be authorized by resolution at any regular or special

22  meeting, and each resolution shall take effect immediately and

23  need not be published or posted.

24         (6)  The members of the authority shall receive no

25  compensation for the performance of their duties, but each

26  member shall be paid his or her necessary expenses incurred

27  while engaged in the performance of his or her duties.

28         (7)  Notwithstanding any other law to the contrary, it

29  is not a conflict of interest for a trustee, director,

30  officer, or employee of an institution of higher education to

31  serve as a member of the authority.  It is not a conflict of

                                  6

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                                                   HOUSE AMENDMENT

                                         Bill No. SB 130, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  interest for a person having a favorable reputation for skill,

 2  knowledge, and experience in state and municipal finance or

 3  for a person having a favorable reputation for skill,

 4  knowledge, and experience in the higher education loan finance

 5  field to serve as a member of the authority.  However, in each

 6  case to which this act is applicable, the trustee, director,

 7  officer, or employee of the participating institution shall

 8  abstain from discussion, deliberation, action, and vote by the

 9  authority in respect to an undertaking under this act in which

10  the participating institution of higher education represented

11  by such person has an interest; and the person having a

12  favorable reputation for skill, knowledge, and experience in

13  state and municipal finance shall abstain from discussion,

14  deliberation, action, and vote by the authority in respect to

15  a sale, purchase, or ownership of obligations of the authority

16  in which an investment banking firm, insurance company, bank

17  or other similar entity of which the person is a partner,

18  officer, or employee has or may have a current or future

19  interest; and the person having a favorable reputation for

20  skill, knowledge, and experience in the higher education loan

21  finance field shall abstain from discussion, deliberation,

22  action, and vote by the authority in respect to an action of

23  the authority in which a partnership, firm, joint venture,

24  sole proprietorship, or corporation of which the person is an

25  owner, venturer, participant, partner, officer, or employee

26  has or may have a current or future interest.

27         (8)  The authority is assigned to the Department of

28  Education for administrative purposes.

29         Section 4.  Powers of authority.--The purpose of the

30  authority is to assist institutions of higher education in the

31  construction, financing, and refinancing of projects

                                  7

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                                                   HOUSE AMENDMENT

                                         Bill No. SB 130, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  throughout the state and for this purpose the authority may:

 2         (1)  Exercise all powers granted to corporations under

 3  the Florida Business Corporation Act, chapter 607, Florida

 4  Statutes.

 5         (2)  Have perpetual succession as a body politic and

 6  corporate and adopt bylaws for the regulation of its affairs

 7  and the conduct of its business.

 8         (3)  Adopt an official seal and alter the same at its

 9  pleasure.

10         (4)  Maintain an office at any place in the state that

11  it may designate.

12         (5)  Sue and be sued in its own name, and plead and be

13  impleaded.

14         (6)  Make and execute financing agreements, leases, as

15  lessee or as lessor, contracts, deeds, and other instruments

16  necessary or convenient in the exercise of the powers and

17  functions of the authority under this act, including contracts

18  with persons, firms, corporations, federal and state agencies,

19  and other authorities, which state agencies and other

20  authorities are hereby authorized to enter into contracts and

21  otherwise cooperate with the authority to facilitate the

22  financing, construction, leasing, or sale of any project or

23  the institution of any program; engage in sale-leaseback,

24  lease-purchase, lease-leaseback, or other undertakings and

25  provide for the sale of certificates of participation incident

26  thereto; enter into interlocal agreements in the manner

27  provided in section 163.01, Florida Statutes.

28         (7)  Determine the location and character of any

29  project to be financed under this act and may:

30         (a)  Construct, reconstruct, maintain, repair, operate,

31  lease as lessee or lessor, and regulate the project;

                                  8

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                                                   HOUSE AMENDMENT

                                         Bill No. SB 130, 1st Eng.

    Amendment No.     (for drafter's use only)





 1         (b)  Enter into contracts for any of those purposes;

 2         (c)  Enter into contracts for the management and

 3  operation of a project; and

 4         (d)  Designate a participating institution of higher

 5  education as its agent to determine the location and character

 6  of a project undertaken by a participating institution of

 7  higher education under this act and, as the agent of the

 8  authority, construct, reconstruct, maintain, repair, operate,

 9  own, lease as lessee or lessor, and regulate the project, and,

10  as the agent of the authority, enter into contracts for any of

11  those purposes, including contracts for the management and

12  operation of the project.

13         (8)  Issue bonds, bond anticipation notes, and other

14  obligations of the authority for any of its corporate

15  purposes, including the providing of funds to pay all or any

16  part of the cost of any project, and to fund or refund the

17  cost of any project as provided in this act.

18         (9)  Generally fix and revise and charge and collect

19  rates, rents, fees, and charges for the use of and for the

20  services furnished or to be furnished by a project or any

21  portion thereof and to contract with any person, partnership,

22  association, or corporation or other body public or private in

23  respect thereof.

24         (10)  Establish rules and regulations for the use of a

25  project or any portion thereof and designate a participating

26  institution of higher education as its agent to establish

27  rules and regulations for the use of a project undertaken by

28  the participating institution of higher education.

29         (11)  Employ consulting engineers, architects,

30  attorneys, accountants, construction and financial experts,

31  superintendents, managers, and other employees and agents as

                                  9

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                                                   HOUSE AMENDMENT

                                         Bill No. SB 130, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  may be necessary in its judgment, and fix their compensation.

 2         (12)  Receive and accept from any public agency loans

 3  or grants for or in aid of the construction of a project or

 4  any portion thereof, and receive and accept loans, grants,

 5  aid, or contributions from any source of either money,

 6  property, labor, or other things of value, to be held, used,

 7  and applied only for the purposes for which the loans, grants,

 8  aid, and contributions are made.

 9         (13)  Mortgage any project and the site thereof for the

10  benefit of the holders of revenue bonds issued to finance

11  projects or those providing credit for that purpose.

12         (14)  Make loans to any participating institution of

13  higher education for the cost of a project, including a loan

14  in anticipation of tuition revenues, in accordance with an

15  agreement between the authority and the participating

16  institution of higher education; but no loan may exceed the

17  total cost of the project as determined by the participating

18  institution of higher education and approved by the authority.

19         (15)  Make loans to a participating institution of

20  higher education to refund outstanding obligations, mortgages,

21  or advances issued, made, or given by the participating

22  institution of higher education for the cost of a project.

23         (16)  Charge to and equitably apportion among

24  participating institutions of higher education its

25  administrative costs and expenses incurred in the exercise of

26  the powers and duties conferred by this act.

27         (17)  Contract with an entity representing independent

28  colleges and universities as its agent to assist the authority

29  in screening applications of institutions of higher education

30  for loans under this act and receive any recommendations the

31  entity may make.

                                  10

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                                                   HOUSE AMENDMENT

                                         Bill No. SB 130, 1st Eng.

    Amendment No.     (for drafter's use only)





 1         (18)  Do all things necessary or convenient to carry

 2  out the purposes of this act.

 3         Section 5.  Payment of expenses.--All expenses incurred

 4  in carrying out this act are payable solely from funds

 5  provided under the authority of this act, and no liability or

 6  obligation may be incurred by the authority beyond the extent

 7  to which moneys have been provided under this act.

 8         Section 6.  Acquisition of real property.--The

 9  authority may directly, or by and through a participating

10  institution of higher education as its agent, acquire by

11  purchase or lease solely from funds provided under this act,

12  or by gift or devise, any lands, structures, property, real or

13  personal, rights, rights-of-way, franchises, easements, and

14  other interests in lands, including lands lying underwater,

15  and riparian rights, which are located within or outside the

16  state as it may consider necessary or convenient for the

17  construction or operation of a project, upon terms and at

18  prices as are considered by it to be reasonable and that can

19  be agreed upon between it and the owner thereof, and to take

20  title thereto in the name of the authority or in the name of a

21  participating institution of higher education as its agent or

22  as an owner and borrower.

23         Section 7.  Conveyance of title or interest to

24  participating institutions.--When the principal of and

25  interest on revenue bonds of the authority issued to finance

26  the cost of a particular project or projects at a

27  participating institution of higher education, including any

28  revenue refunding bonds issued to refund and refinance the

29  revenue bonds, have been fully paid and retired, or when

30  adequate provision has been made to pay fully and retire them,

31  and all other conditions of the resolution or trust agreement

                                  11

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                                                   HOUSE AMENDMENT

                                         Bill No. SB 130, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  authorizing and securing the revenue bonds have been satisfied

 2  and the lien of the resolution or trust agreement has been

 3  released in accordance with the provisions thereof, the

 4  authority shall promptly execute deeds and conveyances

 5  necessary and required to convey title to the project or

 6  projects to the participating institution of higher education,

 7  free and clear of all liens and encumbrances.

 8         Section 8.  Criteria and requirements.--In undertaking

 9  any project under this act, the authority shall be guided by

10  and shall observe the following criteria and requirements;

11  however, the determination of the authority as to compliance

12  with the criteria and requirements is final and conclusive:

13         (1)  The project, in the determination of the

14  authority, is appropriate to the needs and circumstances of,

15  and shall make a significant contribution to the purposes of,

16  the authority and this act as set forth in the findings and

17  declarations, and shall serve a public purpose by advancing

18  the prosperity and general welfare of the state and its

19  people.

20         (2)  A financing agreement for a project may not be

21  entered into with a participating institution that is not

22  financially responsible and fully capable of and willing to

23  fulfill its obligations under the financing agreement,

24  including the obligations to make payments in the amounts and

25  at the times required; to operate, repair, and maintain at its

26  own expense the project owned or leased; and to serve the

27  purposes of this act and any other responsibilities that may

28  be imposed under the financing agreement. In determining the

29  financial responsibility of the participating institution,

30  consideration must be given to the party's ratio of current

31  assets to current liabilities; net worth; endowments; pledges;

                                  12

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                                                   HOUSE AMENDMENT

                                         Bill No. SB 130, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  earning trends; coverage of all fixed charges; the nature of

 2  the project involved; its inherent stability; any guarantee of

 3  the obligations by some other financially responsible

 4  corporation, firm, or person; means by which the bonds are to

 5  be marketed to the public; and other factors determinative of

 6  the capability of the participating institution, financially

 7  and otherwise, to fulfill its obligations consistently with

 8  the purposes of this act.  In making findings and

 9  determinations, the authority may rely upon the

10  recommendations of the entity representing independent

11  colleges and universities.

12         (3)  Adequate provision must be made for the operation,

13  repair, and maintenance of the project at the expense of the

14  owner or lessee and for the payment of principal of and

15  interest on the bonds.

16         (4)  The costs to be paid from the proceeds of the

17  bonds are costs of a project within the meaning of this act,

18  except for payments included in the purposes for which revenue

19  refunding bonds may be issued under this act.

20         Section 9.  Approval required to issue bonds.--The

21  authority is created for the purpose of promoting higher

22  education and issuing bonds on behalf of the state, and the

23  Governor may approve any bonds issued by the authority which

24  require approval under federal law.

25         Section 10.  Agreements of sale, lease, or loan.--

26         (1)  A project financed under this act may not be

27  operated by the authority or any other governmental agency,

28  except that the authority may temporarily operate or cause to

29  be operated all or any part of a project to protect its

30  interest therein, pending any leasing or sale of the project.

31  A project acquired or constructed by the authority, unless

                                  13

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                                                   HOUSE AMENDMENT

                                         Bill No. SB 130, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  sold or contracted to be sold, must be leased to one or more

 2  persons, firms, or private corporations for operation and

 3  maintenance in a manner as will effectuate the purposes of

 4  this act, under an agreement of sale, installment sale, lease

 5  or loan, in form and substance not inconsistent herewith. Any

 6  agreement may provide, among other provisions, that:

 7         (a)  The owner or lessee shall at its own expense

 8  operate, repair, and maintain the project sold or leased

 9  thereunder.

10         (b)  The payments or rent payable under the agreement

11  will in the aggregate be not less than an amount sufficient to

12  pay all of the interest, principal, and redemption premiums,

13  if any, on the bonds that will be issued by the authority to

14  pay the cost of the project sold or leased thereunder.

15         (c)  The owner or lessee shall pay all other costs

16  incurred by the authority in connection with the financing,

17  construction, and administration of the project sold or

18  leased, except as may be paid out of the proceeds of bonds or

19  otherwise, including, but without being limited to, insurance

20  costs, the cost of administering the bond resolution

21  authorizing the bonds and any trust agreement securing the

22  bonds, and the fees and expenses of the authority, trustees,

23  paying agents, attorneys, consultants, and others.

24         (d)  The term of an agreement will terminate not

25  earlier than the date on which all bonds and all other

26  obligations incurred by the authority in connection with the

27  project sold or leased thereunder are paid in full, including

28  interest, principal, and redemption premiums, if any, or on

29  which adequate funds for payment are deposited in trust.

30         (e)  The owner or lessee's obligation to pay payments

31  or rent is not subject to cancellation, termination, or

                                  14

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                                                   HOUSE AMENDMENT

                                         Bill No. SB 130, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  abatement until payment of the bonds or provision for payment

 2  is made.

 3         (2)  An agreement may contain additional provisions

 4  that in the determination of the authority are necessary to

 5  effectuate the purposes of this act, including provisions for

 6  extensions of the term and renewals of the sale or the lease

 7  and vesting in the lessee an option to purchase the project

 8  leased thereunder pursuant to any terms and conditions

 9  consistent with this act that are prescribed in the lease;

10  however, except as is otherwise expressly stated in the

11  agreement and except to provide for any contingencies

12  involving the damaging, destruction, or condemnation of the

13  project or any substantial portion thereof, an option to

14  purchase may not be exercised unless all bonds issued for the

15  project, including all principal, interest, and redemption

16  premiums, if any, and all other obligations incurred by the

17  authority in connection with the project have been paid in

18  full or sufficient funds have been deposited in trust or

19  sufficient arrangements have been made for payment. However,

20  the purchase price of the project may not be less than an

21  amount sufficient to pay in full all of the bonds, including

22  all principal, interest, and redemption premium, if any,

23  issued for the project then outstanding and all other

24  obligations incurred by the authority in connection with the

25  project.

26         Section 11.  Notes of authority.--The authority may

27  issue its negotiable notes for any corporate purpose and renew

28  any notes by the issuance of new notes, whether the notes to

29  be renewed have or have not matured. The authority may issue

30  notes partly to renew notes or to discharge other obligations

31  then outstanding and partly for any other purpose. The notes

                                  15

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                                                   HOUSE AMENDMENT

                                         Bill No. SB 130, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  may be authorized, sold, executed, and delivered in the same

 2  manner as bonds. Any resolution authorizing notes of the

 3  authority or any issue thereof may contain any provisions that

 4  the authority is authorized to include in any resolution

 5  authorizing revenue bonds of the authority or any issue

 6  thereof, and the authority may include in any notes any terms,

 7  covenants, or conditions that it is authorized to include in

 8  any bonds. All the notes must be payable solely from the

 9  revenues of the project to be financed, subject only to any

10  contractual rights of the holders of any of its notes or other

11  obligations then outstanding.

12         Section 12.  Revenue bonds.--

13         (1)  The authority may issue its negotiable revenue

14  bonds for any corporate purpose, including the provision of

15  funds to pay all or any part of the cost of any project. In

16  anticipation of the sale of revenue bonds, the authority may

17  issue negotiable bond anticipation notes and may renew them

18  from time to time, but the maximum maturity of any note,

19  including renewals thereof, may not exceed 5 years from the

20  date of issue of the original note. The notes must be paid

21  from any revenues of the authority available therefor or of

22  the project and not otherwise pledged, or from the proceeds of

23  sale of the revenue bonds of the authority in anticipation of

24  which they were issued. The notes must be issued in the same

25  manner as the revenue bonds. The notes and the resolution

26  authorizing them may contain any provisions, conditions, or

27  limitations that a bond resolution of the authority may

28  contain.

29         (2)  The revenue bonds and notes of every issue must be

30  payable solely out of revenues of the authority, including the

31  provision of funds of the participating institution to pay all

                                  16

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                                                   HOUSE AMENDMENT

                                         Bill No. SB 130, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  or any part of the cost of any project, subject only to any

 2  agreements with the holders of particular revenue bonds or

 3  notes pledging any particular revenues. Notwithstanding that

 4  revenue bonds and notes may be payable from a special fund,

 5  they are for all purposes negotiable instruments, subject only

 6  to the provisions of the revenue bonds and notes for

 7  registration.

 8         (3)  The revenue bonds may be issued as serial bonds or

 9  as term bonds; or the authority may issue bonds of both types.

10  The revenue bonds must be authorized by resolution of the

11  authority; must bear the date of issuance, the date of

12  maturity, not exceeding 50 years from issuance, and the

13  interest rate of the bonds, which may be a variable rate,

14  notwithstanding any limitation in other laws relating to

15  maximum interest rates; must be payable at a specified time;

16  must be in specified denominations; must be in specified form,

17  carry registration privileges, be executed in a specified

18  manner, be payable in lawful money of the United States at a

19  specified place, and be subject to the terms of redemption, as

20  the resolution may provide. The revenue bonds or notes may be

21  sold at public or private sale for the price the authority

22  determines. Pending preparation of the definitive bonds, the

23  authority may issue interim receipts or certificates that may

24  be exchanged for the definitive bonds. In case any officer

25  whose signature, or a facsimile of whose signature, appears on

26  any bonds or coupons ceases to be that officer before the

27  delivery of the bonds, the signature or facsimile is

28  nevertheless valid and sufficient for all purposes as if he or

29  she had remained in office until delivery. The authority may

30  also provide for the authentication of the bonds by a trustee

31  or fiscal agent. The bonds may be issued in coupon form or in

                                  17

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                                                   HOUSE AMENDMENT

                                         Bill No. SB 130, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  registered form, or both, as the authority may determine, and

 2  provision may be made for the registration of any coupon bonds

 3  as to principal alone and also as to both principal and

 4  interest; for the reconversion into coupon bonds of any bonds

 5  registered as to both principal and interest; and for the

 6  interchange of registered and coupon bonds. The authority may

 7  sell the bonds either at public or private sale, and for the

 8  price it determines will best effectuate the purpose of this

 9  act, notwithstanding any limitation in other laws relating to

10  the maximum interest rate permitted for bonds or limitations

11  on the manner by which bonds are sold.

12         (4)  Any resolution authorizing any revenue bonds may

13  contain provisions, which are a part of the contract with the

14  holders of the revenue bonds to be authorized, as to:

15         (a)  Pledging of all or any part of the revenues of a

16  project or any revenue-producing contract made by the

17  authority with any individual, partnership, corporation, or

18  association or other body, public or private, to secure the

19  payment of the revenue bonds or of any particular issue of

20  revenue bonds, subject to any agreements with bondholders as

21  may then exist.

22         (b)  The rentals, fees, and other charges to be

23  charged, and the amounts to be raised in each year thereby,

24  and the use and disposition of the revenues.

25         (c)  The setting aside of reserves or sinking funds and

26  the regulation and disposition thereof.

27         (d)  Limitations on the right of the authority or its

28  agent to restrict and regulate the use of the project.

29         (e)  Limitations on the purpose to which the proceeds

30  of sale of any issue of revenue bonds then or thereafter to be

31  issued may be applied and pledging the proceeds to secure the

                                  18

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                                                   HOUSE AMENDMENT

                                         Bill No. SB 130, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  payment of the revenue bonds or any issue of the revenue

 2  bonds.

 3         (f)  Limitations on the issuance of additional bonds,

 4  the terms upon which additional bonds may be issued and

 5  secured, and the refunding of outstanding bonds.

 6         (g)  The procedure, if any, by which the terms of any

 7  contract with bondholders may be amended or abrogated,

 8  including the amount of bonds the holders of which must

 9  consent thereto and the manner in which consent may be given.

10         (h)  Limitations on the amount of moneys derived from

11  the project to be expended for operating, administrative, or

12  other expenses of the authority.

13         (i)  The acts or omissions to act that constitute a

14  default in the duties of the authority to holders of its

15  obligations and providing the rights and remedies of the

16  holders in the event of a default.

17         (j)  The mortgaging of or granting of a security

18  interest in the project or the site thereof for the purpose of

19  securing the bondholders.

20         (5)  Neither the members of the authority nor any

21  person executing the revenue bonds or notes is liable

22  personally on the revenue bonds or notes or is subject to any

23  personal liability or accountability by reason of the issuance

24  thereof.

25         (6)  The authority may purchase its bonds or notes out

26  of any funds available therefor. The authority may hold,

27  pledge, cancel, or resell the bonds, subject to and in

28  accordance with agreements with bondholders.

29         (7)  Incident to its powers to issue bonds and notes,

30  the authority may enter into interest rate swap agreements,

31  collars, caps, forward securities purchase agreements, delayed

                                  19

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                                                   HOUSE AMENDMENT

                                         Bill No. SB 130, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  delivery bond purchase agreements, and any other financial

 2  agreements considered to be in the best interest of the

 3  authority.

 4         (8)  Bonds may be issued under this act without

 5  obtaining, except as otherwise expressly provided in this act,

 6  the consent of any department, division, commission, board,

 7  body, bureau, or agency of the state or any local government,

 8  and without any other proceedings or the happening of any

 9  conditions or things other than those proceedings, conditions,

10  or things that are specifically required by this act and the

11  resolution authorizing the issuance of bonds or the trust

12  agreement securing them.

13         Section 13.  Authority reporting requirement.--

14         (1)  Any authority that issues any revenue bonds under

15  this act shall supply the Division of Bond Finance of the

16  State Board of Administration with a copy of the report

17  required in s. 103 of the Internal Revenue Code of 1954, as

18  amended, at the times required under that section.

19         (2)  The Division of Bond Finance shall, upon receipt,

20  provide a copy of the information supplied under subsection

21  (1) to the Department of Education.

22         Section 14.  Covenants.--Any resolution authorizing the

23  issuance of bonds may contain any covenants the authority

24  considers advisable, including those provisions set forth in

25  section 13(4), and all those covenants constitute valid and

26  legally binding and enforceable contracts between the

27  authority and the bondholders, regardless of the time of

28  issuance thereof. The covenants may include, without

29  limitation, covenants concerning the disposition of the bond

30  proceeds, the use and disposition of project revenues, the

31  pledging of revenues and assessments, the obligations of the

                                  20

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                                                   HOUSE AMENDMENT

                                         Bill No. SB 130, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  authority with respect to the operation of the project and the

 2  maintenance of adequate project revenues, the issuance of

 3  additional bonds, the appointment, powers, and duties of

 4  trustees and receivers, the acquisition of outstanding bonds

 5  and obligations, restrictions on the establishing of competing

 6  projects or facilities, restrictions on the sale or disposal

 7  of the assets and property of the authority, the maintenance

 8  of deposits to assure the payment of the bonds issued

 9  hereunder, acceleration upon default, the execution of

10  necessary instruments, the procedure for amending or

11  abrogating covenants with the bondholders, and any other

12  covenants considered necessary for the security of the

13  bondholders.

14         Section 15.  Validity of bonds; validation

15  proceedings.--Any bonds issued by the authority are

16  incontestable in the hands of bona fide purchasers or holders

17  for value and are not invalid because of any irregularity or

18  defect in the proceedings for the issue and sale thereof.

19  Before the issuance of any bonds, the authority shall publish

20  a notice at least once in a newspaper or newspapers published

21  or of general circulation in the county or counties in the

22  state in which the project will be located, stating the date

23  of adoption of the resolution authorizing the obligations, the

24  amount, maximum rate of interest, and maturity of the

25  obligations, and the purpose in general terms for which the

26  obligations are to be issued, and further stating that any

27  action or proceeding questioning the validity of the

28  obligations or of the proceedings authorizing the issuance

29  thereof, or of any covenants made therein, must be instituted

30  within 20 days after the first publication of the notice, or

31  the validity of the obligations, proceedings, and covenants

                                  21

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                                                   HOUSE AMENDMENT

                                         Bill No. SB 130, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  may not be thereafter questioned in any court. If no action or

 2  proceeding is instituted within the 20-day period, then the

 3  validity of the obligations, proceedings, and covenants is

 4  conclusive, and all persons or parties whatsoever are forever

 5  barred from questioning the validity of the obligations,

 6  proceedings, or covenants in any court. Notwithstanding this

 7  section, the bonds, notes, or other obligations issued by the

 8  authority and the obligations of any participating

 9  institution, or others providing credit for the obligations,

10  who may be before the jurisdiction of the court, may be

11  validated in the manner provided by chapter 75, Florida

12  Statutes, and the jurisdiction of the action may be in the

13  jurisdiction of the circuit court where the project is to be

14  located, or in the discretion of the authority, in the county

15  seat of state government.

16         Section 16.  Act furnishes full authority for issuance

17  of bonds.--This act constitutes full authority for the

18  issuance of bonds and the exercise of the powers of the

19  authority provided in this act. Any bonds issued by the

20  authority are not secured by the full faith and credit of the

21  state and do not constitute an obligation, either general or

22  special, of the state.

23         Section 17.  Security of bondholders.--In the

24  discretion of the authority any revenue bonds issued under

25  this act may be secured by a trust agreement by and between

26  the authority and a corporate trustee or trustees, which may

27  be any trust company or bank having the powers of a trust

28  company within or without the state. The trust agreement or

29  the resolution providing for the issuance of revenue bonds may

30  pledge or assign the revenues to be received or the proceeds

31  of any contract or contracts pledged and may convey or

                                  22

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                                                   HOUSE AMENDMENT

                                         Bill No. SB 130, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  mortgage the project or any portion thereof. The trust

 2  agreement or resolution providing for the issuance of revenue

 3  bonds may contain provisions for protecting and enforcing the

 4  rights and remedies of the bondholders as may be reasonable

 5  and proper and not in violation of law, including particularly

 6  those provisions specifically authorized by this act to be

 7  included in any resolution of the authority authorizing

 8  revenue bonds. Any bank or trust company incorporated under

 9  the laws of this state or of any other state or the United

10  States which may legally act as depository of the proceeds of

11  bonds or of revenues or other moneys or security may furnish

12  indemnifying bonds or pledge securities required by the

13  authority, if any. Any trust agreement may set forth the

14  rights and remedies of the bondholders and of the trustee or

15  trustees, and may restrict the individual right of action by

16  bondholders. In addition, any trust agreement or resolution

17  may contain any other provisions the authority may consider

18  reasonable and proper for the security of the bondholders. All

19  expenses incurred in carrying out the trust agreement or

20  resolution may be treated as a part of the cost of the

21  operation of a project.

22         Section 18.  Payment of bonds.--Revenue bonds issued

23  under this act may not be considered to constitute a debt or

24  liability of the authority, any municipality, the state or any

25  political subdivision thereof or a pledge of the faith and

26  credit of the state, of the authority, of any municipality or

27  of any political subdivision, but are payable solely from

28  revenues of the authority pertaining to the project relating

29  to the issue; payments by participating institutions of higher

30  education, banks, insurance companies, or others under letters

31  of credit or purchase agreements; investment earnings from

                                  23

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                                                   HOUSE AMENDMENT

                                         Bill No. SB 130, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  funds or accounts maintained under the bond resolution;

 2  insurance proceeds; loan funding deposits; proceeds of sales

 3  of education loans; proceeds of refunding obligations; and

 4  fees, charges, and other revenues of the authority from the

 5  project.  All revenue bonds must contain on the face thereof a

 6  statement to the effect that neither the authority, any

 7  municipality, the state, nor any political subdivision thereof

 8  is obligated to pay the bond or the interest thereon except

 9  from revenues of the project or the portion thereof for which

10  they are issued, and that neither the faith and credit nor the

11  taxing power of the authority, any municipality, the state, or

12  any political subdivision thereof is pledged to the payment of

13  the principal of or the interest on the bonds. The issuance of

14  revenue bonds under this act may not directly or indirectly or

15  contingently obligate the authority, any municipality, the

16  state, or any political subdivision thereof to levy or to

17  pledge any form of taxation therefor or to make any

18  appropriation for their payment.

19         Section 19.  Rates, rents, fees, and charges.--

20         (1)  The authority may fix, revise, charge, and collect

21  rates, rents, fees, and charges for the use of and for the

22  services furnished or to be furnished by each project and may

23  contract with any person, partnership, association or

24  corporation, or other body, public or private, in respect

25  thereof. The rates, rents, fees, and charges must be fixed and

26  adjusted in respect of the aggregate of rates, rents, fees,

27  and charges from the project so as to provide funds sufficient

28  with other revenues, if any:

29         (a)  To pay the cost of maintaining, repairing, and

30  operating the project and each portion thereof, to the extent

31  that the payment of the cost has not otherwise been adequately

                                  24

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                                                   HOUSE AMENDMENT

                                         Bill No. SB 130, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  provided for.

 2         (b)  To pay the principal of and the interest on

 3  outstanding revenue bonds of the authority issued in respect

 4  of the project as the bonds become due and payable.

 5         (c)  To create and maintain reserves required or

 6  provided for in any resolution authorizing, or trust agreement

 7  securing, the revenue bonds of the authority. The rates,

 8  rents, fees, and charges are not subject to supervision or

 9  regulation by any department, commission, board, body, bureau,

10  or agency of this state other than the authority.

11         (2)  A sufficient amount of the revenues derived in

12  respect of a project, except the part of the revenues

13  necessary to pay the cost of maintenance, repair, and

14  operation and to provide reserves and for renewals,

15  replacements, extensions, enlargements, and improvements

16  provided for in the resolution authorizing the issuance of any

17  revenue bonds of the authority or in the trust agreement

18  securing them must be set aside at regular intervals as

19  provided in the resolution or trust agreement in a sinking or

20  other similar fund that is hereby pledged to, and charged

21  with, the payment of the principal of and the interest on the

22  revenue bonds as they become due and the redemption price or

23  the purchase price of bonds retired by call or purchase as

24  therein provided. The pledge must be valid and binding from

25  the time when the pledge is made; the rates, rents, fees,

26  charges, and other revenues or other moneys so pledged and

27  thereafter received by the authority must immediately be

28  subject to the lien of the pledge without any physical

29  delivery thereof or further act, and the lien of any pledge is

30  valid and binding as against all parties having claims of any

31  kind in tort, contract, or otherwise against the authority,

                                  25

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                                                   HOUSE AMENDMENT

                                         Bill No. SB 130, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  irrespective of whether the parties have notice thereof.

 2  Neither the resolution nor any trust agreement by which a

 3  pledge is created need be filed or recorded except in the

 4  records of the authority.

 5         (3)  The use and disposition of moneys to the credit of

 6  a sinking or other similar fund must be subject to the

 7  resolution authorizing the issuance of the bonds or of the

 8  trust agreement. Except as may otherwise be provided in the

 9  resolution or the trust agreement, the sinking or other

10  similar fund must be a fund for all revenue bonds issued to

11  finance projects at a particular institution for higher

12  education without distinction or priority of one over another.

13  However, the authority in any resolution or trust agreement

14  may provide that the sinking or other similar fund be the fund

15  for a particular project at an institution for higher

16  education and for the revenue bonds issued to finance a

17  particular project, and may, additionally, permit and provide

18  for the issuance of revenue bonds having a subordinate lien in

19  respect of the security authorized to other revenue bonds of

20  the authority, and, in such case, the authority may create

21  separate sinking or other similar funds in respect of the

22  subordinate lien bonds.

23         Section 20.  Trust funds.--All moneys received under

24  the authority of this act, whether as proceeds from the sale

25  of bonds or as revenues, are considered to be trust funds to

26  be held and applied solely as provided in this act. Any

27  officer with whom, or any bank or trust company with which,

28  the moneys are deposited shall act as trustee of the moneys

29  and shall hold and apply them for the purposes of this act,

30  subject to the regulations this act and the resolution

31  authorizing the bonds of any issue or the trust agreement

                                  26

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                                                   HOUSE AMENDMENT

                                         Bill No. SB 130, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  securing the bonds provides.

 2         Section 21.  Remedies of bondholders.--Any holder of

 3  revenue bonds issued under this act or any of the coupons

 4  appertaining thereto, and the trustee or trustees under any

 5  trust agreement, except to the extent the rights given may be

 6  restricted by any resolution authorizing the issuance of, or

 7  any such trust agreement securing, the bonds, may, either at

 8  law or in equity, by suit, action, mandamus, or other

 9  proceedings, protect and enforce any rights under the laws of

10  the state or granted hereunder or under the resolution or

11  trust agreement, and may enforce and compel the performance of

12  all duties required by this act or by the resolution or trust

13  agreement to be performed by the authority or by any officer,

14  employee, or agent thereof, including the fixing, charging,

15  and collecting of the rates, rents, fees, and charges

16  authorized and required by the provisions of the resolution or

17  trust agreement to be fixed, established, and collected.

18         Section 22.  Tax exemption.--The exercise of the powers

19  granted by this act will be in all respects for the benefit of

20  the people of this state, for the increase of their commerce,

21  education, welfare, and prosperity, and for the improvement of

22  their health and living conditions, and because the operation

23  and maintenance of a project by the authority or its agent or

24  the owner or lessee thereof, as authorized in this act, will

25  constitute the performance of an essential public function:

26         (1)  Neither the authority, nor its agent, is required

27  to pay any taxes or assessments upon or in respect of a

28  project or any property acquired or used by the authority or

29  its agent under the provisions of this act or upon the income

30  therefrom.

31         (2)  Any bonds issued under this act; any security

                                  27

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                                                   HOUSE AMENDMENT

                                         Bill No. SB 130, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  therefor, their transfer, and the income therefrom, including

 2  any profit made on the sale thereof; and all notes, mortgages,

 3  security agreements, letters of credit, or other instruments

 4  which arise out of or are given to secure the repayment of

 5  bonds issued in connection with a project financed under this

 6  part, shall at all times be free from taxation by the state or

 7  any local unit, political subdivision, or other

 8  instrumentality of the state.

 9

10  The exemptions granted by this section are not applicable to

11  any tax imposed by chapter 220, Florida Statutes, on interest,

12  income, or profits or on debt obligations owned by

13  corporations.

14         Section 23.  Refunding bonds.--

15         (1)  The authority may provide for the issuance of

16  revenue bonds of the authority for the purpose of refunding

17  any revenue bonds of the authority then outstanding, including

18  the payment of any redemption premium thereon and any interest

19  accrued or to accrue to the earliest or subsequent date of

20  redemption, purchase, or maturity of the revenue bonds, and,

21  if considered advisable by the authority, for the additional

22  purpose of paying all or any part of the cost of constructing

23  and acquiring additions, improvements, extensions, or

24  enlargements of a project or any portion thereof.

25         (2)  The proceeds of any revenue bonds issued for the

26  purpose of refunding outstanding revenue bonds may be applied

27  to the purchase or retirement at maturity or redemption of the

28  outstanding revenue bonds either on their earliest or any

29  subsequent redemption date or upon the purchase or at the

30  maturity thereof and may, pending the application, be placed

31  in escrow to be applied to the purchase or retirement at

                                  28

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                                                   HOUSE AMENDMENT

                                         Bill No. SB 130, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  maturity or redemption on the date as may be determined by the

 2  authority.

 3         (3)  Any escrowed proceeds, pending use, may be

 4  invested and reinvested in direct obligations of the United

 5  States of America, or in certificates of deposit or time

 6  deposits secured by direct obligations of the United States,

 7  or other investments as the resolution authorizing the

 8  issuance and sale of the bonds, or the trust agreement, may

 9  provide, maturing at the time or times as shall be appropriate

10  to assure the prompt payment, as to principal, interest, and

11  redemption premium, if any, of the outstanding revenue bonds

12  to be so refunded. The interest, income, and profits, if any,

13  earned or realized on any such investment may also be applied

14  to the payment of the outstanding revenue bonds to be so

15  refunded. After the terms of the escrow have been fully

16  satisfied and carried out, any balance of the proceeds and

17  interest, income and profits, if any, earned or realized on

18  the investments thereof may be returned to the authority or to

19  the participating institution for use by it in any lawful

20  manner.

21         (4)  The portion of the proceeds of any revenue bonds

22  issued for the additional purpose of paying all or any part of

23  the cost of constructing and acquiring additions,

24  improvements, extensions, or enlargements of a project may be

25  invested and reinvested in direct obligations of the United

26  States, or in certificates of deposit or time deposits secured

27  by direct obligations of the United States, or other

28  investments as the resolution authorizing the issuance and

29  sale of the bonds, or the trust agreement, may provide,

30  maturing not later than the time or times when the proceeds

31  will be needed for the purpose of paying all or any part of

                                  29

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                                                   HOUSE AMENDMENT

                                         Bill No. SB 130, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  the cost. The interest, income, and profits, if any, earned or

 2  realized on the investment may be applied to the payment of

 3  all or any part of the cost or may be used by the authority or

 4  the participating institution in any lawful manner.

 5         (5)  All refunding revenue bonds are subject to this

 6  act in the same manner and to the same extent as other revenue

 7  bonds issued under this act.

 8         Section 24.  Legal investment.--Bonds issued by the

 9  authority under this act are made securities in which all

10  public officers and public bodies of the state and its

11  political subdivisions, all insurance companies, trust

12  companies, banking associations, investment companies,

13  executors, administrators, trustees, and other fiduciaries may

14  properly and legally invest funds, including capital in their

15  control or belonging to them. The bonds are made securities

16  that may properly and legally be deposited with and received

17  by any state or municipal officer or any agency or political

18  subdivision of the state for any purpose for which the deposit

19  of bonds or obligations of the state is now or may hereafter

20  be authorized by law.

21         Section 25.  Reports.--Within the first 90 days of each

22  calendar year, the authority shall make a report to the

23  Department of Education of its activities for the preceding

24  calendar year. Each report must set forth a complete operating

25  and financial statement covering its operations during the

26  year. The authority shall cause an audit of its books and

27  accounts to be made at least once each year by a certified

28  public accountant and the cost of the audit shall be paid by

29  the authority from funds available to it under this act.

30         Section 26.  State agreement.--The state agrees with

31  the holders of any obligations issued under this act, and with

                                  30

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                                                   HOUSE AMENDMENT

                                         Bill No. SB 130, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  those parties who may enter into contracts with the authority

 2  under this act, that the state will not limit or alter the

 3  rights vested in the authority until the obligations, together

 4  with the interest thereon, are fully met and discharged and

 5  the contracts are fully performed on the part of the

 6  authority. However, this act does not preclude any limitation

 7  or alteration if adequate provision is made by law for the

 8  protection of the holders of the obligations of the authority

 9  or those entering into contracts with the authority. The

10  authority is authorized to include this pledge and undertaking

11  for the state in any obligations or contracts.

12         Section 27.  Alternative means.--This act provides an

13  additional and alternative method for the doing of the things

14  authorized, and shall be regarded as supplemental and

15  additional to powers conferred by other laws; but the issuance

16  of notes, certificates of participation, revenue bonds, and

17  revenue refunding bonds under this act need not comply with

18  the requirements of any other law applicable to the issuance

19  of bonds or such obligations. Except as otherwise expressly

20  provided in this act, the powers granted to the authority

21  under this act are not subject to the supervision or

22  regulation of, or require the approval or consent of, any

23  municipality or political subdivision or any commission,

24  board, body, bureau, official, or agency thereof or of the

25  state.

26         Section 28.  Liberal construction.--This act shall be

27  liberally construed to effectively carry out its purposes.

28         Section 29.  Act controlling.--To the extent that this

29  act is inconsistent with any general statute or special act or

30  parts thereof, this act controls.

31

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                                                   HOUSE AMENDMENT

                                         Bill No. SB 130, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  ================ T I T L E   A M E N D M E N T ===============

 2  And the title is amended as follows:

 3         On page 1, line 2, after the semicolon

 4

 5  insert:

 6         providing findings and declarations; creating

 7         the Higher Educational Facilities Financing

 8         Authority; providing for its powers; providing

 9         for criteria for and covenants relating to the

10         authorization of the issuance of notes and

11         revenue bonds not obligating the full faith and

12         credit of the authority, any municipality, the

13         state, or any political subdivision thereof;

14         providing for loans from revenue bonds to

15         participating institutions; providing for the

16         validation of revenue bonds; providing for

17         trust funds and remedies of bondholders;

18         providing for a tax exemption; providing for

19         agreement of the state; providing other powers

20         and authorities incident thereto; requiring

21         reports and audits;

22

23

24

25

26

27

28

29

30

31

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