Chapter 330
2008 -- S 3108
Enacted 07/08/08
A N A C T
AUTHORIZING
THE TOWN OF BURRILLVILLE TO FINANCE THE PLANNING, PROFESSIONAL SERVICES,
CONSTRUCTION, EQUIPPING AND FURNISHING OF A TOWN SENIOR CENTER AND TO ISSUE NOT
MORE THAN $4,000,000 BONDS THEREFOR
Introduced
By: Senators P Fogarty, and Gallo
Date
Introduced: June 12, 2008
It is enacted by the General Assembly as
follows:
SECTION 1. The
Town of Burrillville is hereby empowered, in addition to authority
previously granted, to issue bonds to an amount
not exceeding $4,000,000 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 principal
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 years and the last
installment not later than thirty years after
the date of the bonds. For each issue the amounts
payable annually for principal and interest
combined either shall be as nearly equal from year to
year as is practicable in the opinion of the
officers authorized to issue the bonds, or shall be
arranged in accordance with a schedule providing
for a more rapid amortization of principal.
SECTION 2. The
bonds shall be signed by the town director of finance and by the
president of the town council and shall be
issued and sold in such amounts as the town council
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 the proceedings
of the town council authorizing the issue or by
separate resolution of the town council or, to the
extent provisions for these matters are not so
made, they may be fixed by the officers authorized
to sign the bonds or notes. The proceeds derived
from the sale of the bonds shall be delivered to
the director of finance, and such proceeds
exclusive of premiums and accrued interest shall be
expended (a) planning, professional services,
constructing, equipping and furnishing a town
senior center or (b) in payment of the principal
of or interest on temporary notes issued under
Section 3 or (c) in repayment of advances under
Section 4 or (d) for the cost of preparing, issuing
and marketing bonds or notes issued hereunder.
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
town by the senior center building committee
appointed by the town council, the authority of
which shall be set by the town council, or as
may be otherwise directed by the town council. The
proceeds of bonds or notes issued under this
act, any applicable federal or state assistance and the
other monies referred to in Section 6 shall be
deemed appropriated for the purposes of this act
without further action than that required by
this act.
SECTION 3. The
town council 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 director of finance. Temporary notes
issued hereunder shall be signed by the director
of finance and by the president of the town
council and shall be payable within five 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 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 director of finance, with the approval of the
town council, may, to the extent that bonds or
notes may be issued hereunder, apply funds in the
treasury of the town to the purposes specified
in Section 2, such advances to be repaid 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 director
of finance in demand 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 be provided in any other
applicable 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 shall, in the
discretion of the director of finance, 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
project, to the payment of the principal of or interest
on bonds or notes issued hereunder or to any one
or more of the foregoing. The costs of
preparing, issuing and marketing bonds or notes
hereunder may also, in the discretion of the
director of finance, be met from bond or note
proceeds exclusive of accrued interest or from other
moneys available therefor. Any balance of bond
or note proceeds remaining after payment of the
cost of the project 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. Any
earnings or net profit realized from the deposit
or investment of funds hereunder shall, in the
discretion of the director of finance, be
applied to the cost of preparing, issuing and marketing
bonds hereunder to the extent not otherwise
provided, to the payment of costs of the project, or to
the payment of the principal of or interest on
bonds or notes issued hereunder or shall be added to
and dealt with as part of the revenues of the
town from property taxes, or any one or more of the
foregoing. In exercising any discretion under
this section, the director of finance shall be
governed by any instructions adopted by
resolution of the town council.
SECTION 7. All
bonds and notes issued under this act and the debts evidenced thereby
shall be obligatory on the town in the same
manner and to the same extent as other debts lawfully
contracted by it and shall be excepted from the
operation of section 45-12-2 of the general laws.
No such obligation shall at any time be included
in the debt of the town for the purpose of
ascertaining its borrowing capacity. The town
shall annually appropriate a sum sufficient to pay
the principal and interest coming due within the
year on bonds and notes issued hereunder to the
extent that moneys therefor are not otherwise
provided. 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 not
withstanding any provision of law to the
contrary, all taxable property in the town shall be subject
to ad valorem taxation by the town without
limitation as to rate or amount.
SECTION 8. Any
bonds or notes issued under the provisions of this act, if properly
executed by officers of the town 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
town, acting by resolution of its town council, 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, and
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 2.
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 happening of any
conditions except as specifically required by
this act for such issue. In carrying out any project
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 or other charges permitted
by law on account of any such project, 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 notes issued hereunder
shall in no way depend upon the validity or
occurrence of such action.
SECTION 11. The
question of the approval of this act shall be submitted to the electors
of the town at an election to be held on a date
to be determined by the town council, such date to
be not later than December 30, 2010. The
question shall be submitted in substantially the
following form: “Shall an act, passed at the
2008 session of the general assembly, entitled ‘AN
ACT AUTHORIZING THE TOWN OF BURRILLVILLE TO
FINANCE THE PLANNING,
PROFESSIONAL SERVICES, CONSTRUCTION, EQUIPPING
AND FURNISHING OF A
TOWN SENIOR CENTER AND TO ISSUE NOT MORE THAN
$4,000,000 BONDS
THEREFOR’ be approved?” and the warning for the
election shall contain the question to be
submitted. From the time the election is warned
and until it is held, it shall be the duty of the
town clerk to keep a copy of the act available
at his/her office for public inspection, but the
validity of the election shall not be affected
by this requirement.
SECTION 12. This
section and the foregoing section 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
those voting on the question at the election
prescribed by the foregoing section.
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LC03097
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