71st OREGON LEGISLATIVE ASSEMBLY--2001 Regular Session
 
NOTE:  Matter within  { +  braces and plus signs + } in an
amended section is new. Matter within  { -  braces and minus
signs - } is existing law to be omitted. New sections are within
 { +  braces and plus signs + } .
 
LC 1167
 
                           A-Engrossed
 
                         House Bill 2122
                Ordered by the House February 12
          Including House Amendments dated February 12
 
Ordered printed by the Speaker pursuant to House Rule 12.00A (5).
  Presession filed (at the request of State Treasurer Jim Hill)
 
 
                             SUMMARY
 
The following summary is not prepared by the sponsors of the
measure and is not a part of the body thereof subject to
consideration by the Legislative Assembly. It is an editor's
brief statement of the essential features of the measure.
 
  Requires review and approval of refunding plans by State
Treasurer prior to issuance of certain types of refunding bonds
if State Treasurer has adopted rules related to type of refunding
bonds to be issued.
   { +  Provides that maturity dates on refunding bonds may be up
to 30 days after maturity dates of bonds refunded. Provides that
amounts maturing on any given date may be changed and refunding
bonds may mature earlier as long as total debt service on
refunding bonds does not exceed total debt service on bonds to be
refunded. + }
  Declares emergency, effective on passage.
 
                        A BILL FOR AN ACT
Relating to issuance of refunding bonds; amending ORS 288.620 and
  288.670; and declaring an emergency.
Be It Enacted by the People of the State of Oregon:
  SECTION 1. ORS 288.620 is amended to read:
  288.620.  { + (1) Refunding bonds may not be issued under ORS
288.605 to 288.695 unless authorized by the State Treasurer under
this section. + }
    { - (1) - }   { + (2) + } Following adoption of an ordinance
or resolution approving a refunding plan to issue advance
refunding bonds  { -  or to effect a forward current
refunding - } , the refunding plan shall be submitted to the
State Treasurer for review and approval.
   { +  (3) Following adoption of an ordinance or resolution
approving a refunding plan to effect a forward current refunding,
the refunding plan must be submitted to the State Treasurer for
review and approval if the State Treasurer has adopted rules
under ORS 288.592 related to forward current refunding bonds.
  (4)  + }After review of   { - the - }   { + a + } proposed
refunding plan, the State Treasurer shall advise the public body,
in writing, whether the sale of refunding bonds is authorized.
 { - No refunding bonds may be issued under ORS 288.605 to
288.695 unless authorized by the State Treasurer pursuant to this
section; provided, that - }  Failure  { +  of the State
Treasurer + } to notify the public body within 30 business days
after receipt of the refunding plan shall be deemed an
authorization to proceed. Except as provided in ORS 288.625, in
making determinations under this section the State Treasurer
shall consider all relevant factors, including the purposes for
which the refunding plan is adopted, the terms of the refunding
plan, the effects (if any) of applicable federal laws and the
views of recognized experts in the field.
    { - (2) - }   { + (5) + } The State Treasurer may delegate
the authority to approve refunding plans, including approval of
the investment of the refunding bond proceeds, to the Oregon
Municipal Debt Advisory Commission.
    { - (3) - }   { + (6) + } The administrative expenses of the
State Treasurer incurred in reviewing refunding plans shall be
charged against the bond proceeds  { - , - }  or may be paid by
the public body from such other funds as may be available.
  SECTION 2. ORS 288.670 is amended to read:
  288.670. (1) Except for advance refunding bonds sold pursuant
to ORS 288.615 (1)(a), the   { - various annual maturities - }
 { +  maturity dates + } of general obligation bonds issued to
refund voted general obligation bonds   { - shall not extend over
a longer period of time than - }  { +  may not be more than 30
days after the maturity dates of + } the bonds to be refunded.
 { - Such maturities may be changed in amount or shortened in
term if the estimated respective annual principal and interest
requirements of the refunding bonds, computed upon the
anticipated effective interest rate the governing body shall in
its discretion determine will be borne by such bonds, will not
exceed in the aggregate the principal and interest requirements
of the bonds being refunded. However, the issuer may increase the
principal amount of annual maturities for the purpose of rounding
out maturities to the nearest $5,000 - }  { +  However, as long
as the total debt service on the refunding bonds does not exceed
the total debt service on the bonds to be refunded, the amounts
maturing on any given date may be changed, and the refunding
general obligation bonds may mature earlier than the bonds to be
refunded + }.
  (2) Subsection (1) of this section does not apply to general
obligation bonds of the State of Oregon.
  SECTION 3.  { + This 2001 Act being necessary for the immediate
preservation of the public peace, health and safety, an emergency
is declared to exist, and this 2001 Act takes effect on its
passage. + }
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