Chapter 447

2004 -- S 3132 SUBSTITUTE A

Enacted 07/07/04

 

A N A C T

AUTHORIZING THE BRISTOL WARREN REGIONAL SCHOOL DISTRICT TO FINANCE PHASE ONE OF THE ELEMENTARY FACILITIES PROGRAM FOR CONSTRUCTION OF ADDITIONS, IMPROVEMENTS AND RENOVATIONS TO HUGH COLE ELEMENTARY SCHOOL IN WARREN, RHODE ISLAND AND TO COLT MEMORIAL, ANDREWS AND ROCKWELL SCHOOLS IN BRISTOL, RHODE ISLAND, INCLUDING SITE INFRASTRUCTURE AND IMPROVEMENTS, THE FURNISHING AND EQUIPPING THEREOF AND THE PROVISION OF ARCHITECTURAL, ENGINEERING, SURVEYING AND OTHER SERVICES NECESSARY OR APPROPRIATE THEREFOR, AND TO ISSUE NOT MORE THAN $22,800,000 BONDS AND NOTES THEREFOR

     

     

     Introduced By: Senators Bates, Felag, and Parella

     Date Introduced: May 20, 2004

 

 

 

It is enacted by the General Assembly as follows:

 

     SECTION 1. The Bristol Warren Regional School District is hereby empowered, in

addition to authority previously granted, to issue bonds to an amount not exceeding Twenty-Two

Million Eight Hundred Thousand Dollars ($22,800,000) from time to time under its corporate

name and seal. The bonds of each issue may be issued in the form of serial bonds or term bonds

or a combination thereof and shall be payable either by maturity of principle in the case of serial

bonds or by mandatory serial redemption in the case of term bonds, in annual installments of

principal, the first installment to be not later than five (5) years and the last installment not later

than thirty (30) years after the date of the bonds. All such bonds of a particular issue may be

issued in the form of zero coupon bonds, capital appreciation bonds, serial bonds or term bonds or

a combination thereof. Annual installments of principal may be provided for by maturity of

principal in the case of serial bonds or by a mandatory serial redemption of in the case of term

bonds. The amount of principal appreciation each year on any bonds, after the date of original

issuance, shall not be considered to be principal indebtedness for the purposes of any

constitutional or statutory debt limit or any other limitation. The appreciation of principal after

the date of original issue shall be considered interest. Only the original principal amount shall be

counted in determining the principal amount so issued and any interest component shall be

disregarded. For each issue the amounts payable in the several years for principal and interest

combined either shall be as nearly equal from year to year as is practicable to make them in the

opinion of the officers authorized to issue the bonds, or in the alternative, in accordance with a

schedule providing a more rapid amortization of principal.

      SECTION 2. The bonds shall be signed by the manual or facsimile signatures of the

treasurer and the chairperson of the regional district school committee (the "school committee")

and shall be issued and sold in such amounts as the school committee may authorize. The manner

of sale, denominations, maturities, interest rates and other terms, conditions and details of any

bonds or notes issued under this act may be fixed by proceedings of the school committee

authorizing the issue or by separate resolution of the school committee or, to the extent that

provisions of these matters are not so made, they may be fixed by the officers authorized to sign

the bonds or notes. Interest coupons (if any) shall bear the manual or facsimile signature of the

treasurer. The proceeds derived from the sale of the bonds shall be delivered to the treasurer, and

such proceeds, exclusive of premiums and accrued interest, shall be expended (a) to finance the

design, construction, additions, improvements, renovations, alterations and repairs to the Hugh

Cole Elementary School, Colt Memorial School and Rockwell Andrews Schools, and (b) to

finance site infrastructure and improvements and the acquisition of furnishings and equipment,

and the provision of architectural, engineering, surveying and other services necessary or

appropriate for the projects set forth in (a) and (b) above, (c) in payment of the principal of and

interest on temporary notes issued under section three, (d) in repayment and advances under

section four;(e) in payment of related costs of issuance of any bonds or notes, and/or (f) to finance

capitalized interests on the above-described projects (the "Projects"). No purchaser of any bonds

or notes under this act shall be in any way responsible for the proper application of the proceeds

derived from the sale thereof. The Projects shall be carried out and all contracts made therefor on

behalf of the district by the school committee, or as may be otherwise delegated to the regional

district school building committee established pursuant to section eleven hereof by the school

committee. The proceeds of bonds or notes issued under this act, any applicable federal or state

assistance, and the other moneys referred to in section six and nine shall be deemed appropriated

for the purposes of this act without further action than that required by this act. The treasurer and

chairperson of the school committee on behalf of the district, are hereby authorized to execute

such instruments, documents or other papers as either or them deem necessary or desirable to

carry out the intent of this act and are also authorized to take all actions and execute all

documents or agreements necessary to comply with federal tax and securities laws, which

documents or agreements may have a term coextensive with the maturity of the bonds authorized

hereby, including Rule 15c2-12 of the Securities and Exchange Commission and to execute and

deliver a continuing disclosure agreement or certificate in connection with the bonds or notes.

     SECTION 3. The school committee may by resolution authorize the issue from time to

time of interest bearing or discounted notes in anticipation of the issue of bonds or in anticipation

of the receipt of federal or state aid for the purposes of this act. The amount of original notes

issued in anticipation of bonds may not exceed the amount of bonds which may be issued under

this act and the amount of original notes issued in anticipation of federal or state aid may not

exceed the amount of available federal or state aid as estimated by the treasurer. Temporary

notes issued hereunder shall be signed by the manual or facsimile signature of the treasurer and

the chairperson of the school committee and shall be payable within five (5) years from their

respective dates, but the principal of and interest on notes issued for a shorter period may be

renewed or paid from time to time by the issue of other notes hereunder, provided the period from

the date of an original note to the maturity of any note issued to renew or pay the same debt or the

interest thereon shall not exceed five (5) years.

     SECTION 4. Pending any authorization or issue of bonds hereunder or pending or in lieu

of any authorization or issue of notes hereunder, the treasurer, with the approval of the school

committee, may, to the extent that bonds or notes may be issued hereunder, apply funds in the

treasury of the district to the purposes specified in section two, such advances to be repaid

without interest from the proceeds of bonds or notes subsequently issued or from the proceeds of

applicable federal or state assistance or from other available funds.

     SECTION 5. Any proceeds of bonds or notes issued hereunder or of any applicable

federal or state assistance, pending their expenditure, may be deposited or invested by the

treasurer in demands deposits, time deposits or savings deposits in banks which are members of

the Federal Deposit Insurance Corporation or in obligations issued or guaranteed by the United

States of America or by any agency or instrumentality thereof or as may by provided in any other

applicable law of the state of Rhode Island or resolution of the school committee or as may be

invested pursuant to section 35-10-11 of the general laws or any similar law of the State of Rhode

Island.

     SECTION 6. Any accrued interest received upon the sale of bonds or notes hereunder

shall be applied to the payment of the first interest due thereon. Any premiums arising from the

sale of bonds or notes hereunder and any earnings or net profit realized from the deposit or

investment of funds hereunder shall, in the discretion of the treasurer, be applied to the cost of

preparing, issuing and marketing bonds or notes hereunder to the extent not otherwise provided,

to the payment of the cost of the Projects, to the payment of the principal of or interest on bonds

or notes issued hereunder or to any one (1) or more of the foregoing. The cost of preparing,

issuing and marketing bonds or notes hereunder may also, in the discretion of the treasurer, be

met from bond or note proceeds exclusive of premium and accrued interest or from other moneys

available therefor. Any balance of bond or note proceeds remaining after payment of the costs of

the Projects and the cost of preparing, issuing and marketing bonds or notes hereunder shall be

applied to the payment of the principal of or interest on bonds or notes issued hereunder. In

exercising any discretion under this section, the treasurer shall be governed by any instructions

adopted by resolution of the school committee.

     SECTION 7. All bonds and notes issued under this act and the debts evidenced thereby

shall be obligatory on the district in the same manner and to the same extent as such debts are

obligatory under the laws of this state on incorporated towns of this state. All bonds and notes

issued under this act and the debts evidenced thereby shall be excepted from the operation of

section 16-3-17 of the general laws, section 3, XIV of Chapter 330 of the 1991 public laws of the

State of Rhode Island (the "Enabling Statute") and any other provision of the charter, special law

or general law limiting the issuance of debt. No such obligation shall at any time be included in

the debt of either member town for the purpose of ascertaining its borrowing capacity, nor shall it

be subject to the provisions of section 45-12-2 of the general laws with respect to each member

town. The district shall, annually, appropriate and apportion between the member towns a sum

sufficient to pay the principal and interest coming due within the year on bonds and notes issued

hereunder to the extent that the moneys therefor are not otherwise provided, and each town shall,

annually, appropriate a sum sufficient to pay its share of the apportionment. If such sum is not

appropriated, it shall nevertheless be added to the annual tax levy. In order to provide such sum

in each year and notwithstanding any provision of law to the contrary, all taxable property in each

member town shall be subject to ad valorem taxation by the town without limitation as to rate or

amount to pay the town's share of such apportionment.

     SECTION 8. Any bonds or notes issued under the provisions of this act, if properly

executed by officers of the district in office on the date of execution, shall be valid and binding

according to their terms notwithstanding that before the delivery thereof and payment therefor

any or all of such officers shall for any reason have ceased to hold office.

     SECTION 9. The district, acting by its school committee, is authorized to apply for,

contract for and expend any federal or state advances or other grants or assistance which may be

available for the purposes of this act, any such expenditures may be in addition to other moneys

provided in this act. To the extent of any inconsistency between any law of this state and any

applicable federal law or regulation, the latter shall prevail. Federal and state advances, with

interest where applicable, whether contracted for prior to or after the effective date of this act,

may be repaid as Project costs under section two.

     SECTION 10. Bonds and notes may be issued under this act without obtaining the

approval of any governmental agency or the taking of any proceedings or the happenings of any

conditions or compliance with any general or special law except as specifically required by this

act for such issue other than as provided for in SECTION 13. In carrying out any Projects

financed in whole or in part under this act, including where applicable the condemnation of any

land or interest in land, and in the levy and collection of assessments and other charges permitted

by law on account of any such Projects, all action shall be taken which is necessary to meet

constitutional requirements whether or not such action is otherwise required by statute; but the

validity of bonds and noted issued hereunder shall, in no way, depend upon the validity or

occurrence of such action.

     SECTION 11. The regional district school building committee for the work authorized

hereunder shall be constituted as follows:

     There shall be a regional district school building committee which shall serve at the

pleasure of the school committee and which shall consist of no more than nine members, one of

whom shall be the school committee treasurer, and the remaining eight of whom shall be

appointed by the school committee, who shall be either residents of Bristol or Warren. The

Superintendent shall appoint up to two ex officio members to the regional district school building

committee. Ex officio members shall not be entitled to vote on any matter before the regional

district school building committee.

     Such regional district school building committee, if not earlier appointed by the school

committee, shall be appointed within thirty days after the passage of the referendum authorized

under section twelve of this act, and upon appointment shall meet at the call of the chairperson of

the school committee; at its initial meeting, the regional district school building committee shall

organize itself by the election of a chairperson, a vice-chairperson, a secretary, and such other

officers as it shall deem necessary.

     The regional district school building committee shall have the following powers and

duties as shall be delegated to it by the school committee.

     The term of the regional district school building committee shall be at least four years, or

until such time as the new construction, additions, improvements and renovations have been

constructed and accepted by the architects engaged by the regional district school building

committee and the school committee, whereupon the term of office of said regional district school

building committee shall terminate.

     The school committee shall have the power to accept the resignation of any member or

remove any member with or without cause. In event of a vacancy of the regional district school

building committee (whether by resignation, inability to serve or removal of a member) said

vacancy shall be filled by the school committee.

     No member of the regional district school building committee shall be held personally

liable for damages in the performance of his or her duties as a member of said committee.

     SECTION 12. The question of the approval of this act shall be submitted to the electors

of the towns of Bristol and Warren at an election to be held at polling places in each town prior to

December 31, 2005 on a date to be designated by the school committee which may be either a

date upon which a statewide local election is being held or upon any other date prior to December

31, 2005. For the purpose of holding the special election on said question there shall be issued in

each town a warning such as that which is prescribed by law for the calling of a special financial

town meeting, which shall contain the question to be submitted and shall state the day, the place,

and the time for casting ballots upon the said question. The question shall be submitted in

substantially the following form:

     "Shall an act, passed at the 2004 session of the general assembly, entitled 'AN ACT

AUTHORIZING THE BRISTOL WARREN REGIONAL SCHOOL DISTRICT TO FINANCE

PHASE ONE OF THE ELEMENTARY FACILITIES PROGRAM FOR CONSTRUCTION OF

ADDITIONS, IMPROVEMENTS AND RENOVATIONS TO HUGH COLE ELEMENTARY

SCHOOL IN WARREN, RHODE ISLAND AND COLT MEMORIAL, ANDREWS AND

ROCKWELL SCHOOLS IN BRISTOL, RHODE ISLAND INCLUDING SITE

INFRASTRUCTURE AND IMPROVEMENTS, THE FURNISHING AND EQUIPPING

THEREOF, AND THE PROVISION OF ARCHITECTURAL, ENGINEERING, SURVEYING

AND OTHER SERVICES NECESSARY OR APPROPRIATE THEREFOR, AND TO ISSUE

NOT MORE THAN TWENTY-TWO MILLION EIGHT HUNDRED THOUSAND DOLLARS

($22,800,000) BONDS AND NOTES THEREFOR' be approved?"

     From the date the election is warned and until it is held, it shall be the duty of the town

clerks of the respective towns of Bristol and Warren to keep a copy of the act available at their

offices for public inspection, but the validity of the election shall not be affected by this

requirement. To the extent of any inconsistency between this act and the town charters of either

or both towns, this act shall prevail.

     SECTION 13. (a) There is hereby established a special study commission for the

purposes of studying methods that the municipalities of Warren and Bristol can use to improve

their school system financially and educationally with regionalization in place. The commission

shall consist of eleven (11) members, as follows: one (1) of whom shall be the chairperson of the

Bristol-Warren regional school district committee, or his or her designee; one (1) of whom shall

be the council president of the Warren town council, or his or her designee; one (1) of whom shall

be the council president of the Bristol town council, or his or her designee; one (1) shall be a

member of the Rhode Island department of education; two (2) of whom shall be residents of the

town of Warren, to be selected by the Warren town council; two (2) of whom shall be residents of

the town of Bristol, to be selected by the Bristol town council; three (3) of whom shall be

residents of the state of Rhode Island and who reside outside of the Bristol-Warren regional

school district, to be selected by agreement of the Bristol-Warren regional school district

committee. The public members shall include at least two (2) members with strong financial

backgrounds, and two (2) members with strong educational backgrounds.

     (b) The commission shall initially meet at the call of the chairperson of the Bristol-

Warren regional school district committee and elect from among their membership a chairperson

of the commission. During the six (6) month period immediately following their first meeting,

the commission shall observe, study and analyze the twelve (12) year history of the Bristol-

Warren regional school district and make recommendations for the future of such district in a

report to be presented jointly to the Warren town council, the Bristol town council and the

Bristol-Warren regional school district committee. Said report shall include current and past

profiles of the district and compilations of information which compare the district to other Rhode

Island school districts, as well as to the separate municipalities of Bristol and Warren, both as of

the date of the report and as they existed prior to September 11, 1991. The information contained

in said profiles and compilations shall include, but not be limited to, the following areas:

enrollment data; impact of regional school districts on communities; financial data; transportation

data; demographic data; physical plant data; the impact of regionalization on academics and

governance within the school system; and any other issues that the commission deems necessary

and/or useful to fulfill its purpose.

     (c) The report prepared by the commission shall address the following issues: (1)

Whether the geographic and population size of the Bristol-Warren regional school district

provides any economies of scale; (2) Determine what is the correlation between the amount of

money spent for education and the quality of education provided in the district; (3) Methods, if

any, in which the school district could be made smaller and more cost effective while still

providing a high quality education to its students; (4) An analysis of the impact that

regionalization of the school districts has had on the towns of Warren and Bristol; and (5) What

changes could be made to current legislation to promote and improve unity within the district.

     (d) The commission shall become effective regardless of the outcome of any bond

referendum conducted pursuant to the provisions of this act. The commission shall complete its

report and present its findings on or before April 1, 2005. After presenting its findings as

provided for herein, the commission's existence shall terminate, absent further action by the

general assembly.

     SECTION 14. This section and sections 12 and 13 of this act shall take effect upon the

passage of this act. The remainder of this act shall take effect upon the approval of this act by a

majority of the electors voting on the question in the district.

     

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LC03415/SUB A

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