Chapter 019
2014 – S 2399 SUBSTITUTE A AS AMENDED
Enacted 04/11/14
RELATING TO TOWNS AND CITIES - INDEBTEDNESS OF TOWNS AND CITIES
Introduced By: Senators DaPonte, Goodwin, Nesselbush, Satchell, and Bates
Date Introduced: February 12, 2014
It is enacted by the General Assembly as follows:
SECTION 1. Chapter 45-12 of the General Laws entitled "Indebtedness of Towns and Cities" is hereby amended by adding thereto the following section:
45-12-33. Borrowing for road and bridge projects financed
through the "municipal road and bridge revolving fund. -- (a) In addition to other authority previously granted,
during calendar year 2014 a city or town may authorize the issuance of bonds,
notes, or other evidences of indebtedness to evidence loans from the municipal
road and bridge revolving fund administered by the Rhode Island clean water
finance agency in accordance with chapter 24-18 18 of title 24 of the
general laws.
(b) These bonds, notes, or other evidences of indebtedness are subject to the maximum aggregate indebtedness permitted to be issued by any city or town under § 45-12-2.
(c) The denominations, maturities, interest rates, methods of sale, and other terms, conditions, and details of any bonds or notes issued under the provisions of this section may be fixed by resolution of the city or town council authorizing them, or if no provision is made in the resolution, by the treasurer or other officer authorized to issue the bonds, notes or evidences of indebtedness; provided, that the payment of principal shall be by sufficient annual payments that will extinguish the debt at maturity, the first of these annual payments to be made not later than three (3) years, and the last payment not later than twenty (20) years after the date of the bonds.
The bonds, notes, or other evidences of indebtedness may be issued under this section by any political subdivision without obtaining the approval of its electors, notwithstanding the provisions of §§ 45-12-19 and 45-12-20 and notwithstanding any provision of its charter to the contrary.
SECTION 2. This act shall take effect upon passage.
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LC004651/SUB A
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