75th OREGON LEGISLATIVE ASSEMBLY--2009 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 1507
A-Engrossed
House Bill 2396
Ordered by the House April 16
Including House Amendments dated April 16
Sponsored by Representatives C EDWARDS, HOLVEY; Representatives
BARNHART, BEYER, NATHANSON (Presession filed.)
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.
Authorizes issuance of lottery bonds to finance extension of
bus rapid transit system in west Eugene.
Creates West Eugene EmX Extension Fund. Continuously
appropriates moneys in fund to { - Economic and Community
Development Department - } { + Oregon Department of
Administrative Services + }.
Directs department to use moneys in fund to finance costs
incurred by Lane Transit District to establish West Eugene EmX
Extension.
Declares emergency, effective July 1, 2009.
A BILL FOR AN ACT
Relating to public borrowing for West Eugene EmX Extension;
appropriating money; and declaring an emergency.
Be It Enacted by the People of the State of Oregon:
SECTION 1. { + As used in sections 1 to 5 of this 2009 Act, '
West Eugene EmX Extension' means the acquisition, construction
and procurement of the components of an extension of the bus
rapid transit system in west Eugene by the Lane Transit
District. + }
SECTION 2. { + (1) At the request of the Oregon Department of
Administrative Services, the State Treasurer is authorized to
issue lottery bonds pursuant to ORS 286A.560 to 286A.585:
(a) For the biennium beginning July 1, 2009, in an amount not
to exceed net proceeds of $1.6 million for the purpose described
in subsection (2) of this section, plus an additional amount, to
be estimated by the State Treasurer, for payment of bond-related
costs;
(b) For the biennium beginning July 1, 2011, in an amount not
to exceed net proceeds of $8.4 million for the purpose described
in subsection (2) of this section, plus an additional amount, to
be estimated by the State Treasurer, for payment of bond-related
costs; and
(c) For the biennium beginning July 1, 2013, in an amount not
to exceed net proceeds of $20 million for the purpose described
in subsection (2) of this section, plus an additional amount, to
be estimated by the State Treasurer, for payment of bond-related
costs.
(2) Net proceeds of bonds issued pursuant to this section must
be deposited in the West Eugene EmX Extension Fund established in
section 4 of this 2009 Act sufficient to provide $30 million in
net proceeds and interest earnings for disbursement to the Lane
Transit District to establish the West Eugene EmX Extension.
(3) Bond-related costs for the lottery bonds authorized by this
section must be paid from the gross proceeds of the lottery bonds
and from allocations for the purposes of ORS 286A.576 (1)(c). + }
SECTION 3. { + The Legislative Assembly finds that:
(1) Establishment of the West Eugene EmX Extension will:
(a) Enhance transportation options for employees in a portion
of the urban growth boundary that contains large, undeveloped
tracts of land available for development.
(b) Provide public transportation facilities necessary to
support and promote capital investment and job growth within the
undeveloped portion of the urban growth boundary.
(c) Create jobs in the construction industry.
(2) Approval of lottery bonds for the West Eugene EmX Extension
will increase the likelihood that federal funds will be made
available for construction of the project.
(3) The factors described in subsections (1) and (2) of this
section will encourage and promote economic development within
the State of Oregon, and issuance of lottery bonds to finance the
agreement is therefore an appropriate use of state lottery funds
under section 4, Article XV of the Oregon Constitution, and ORS
461.510. + }
SECTION 4. { + (1) The West Eugene EmX Extension Fund is
established in the State Treasury, separate and distinct from the
General Fund. Interest earned on moneys in the West Eugene EmX
Extension Fund shall be credited to the fund. The fund consists
of moneys deposited in the fund under section 2 of this 2009 Act,
and may include fees, revenues or other income deposited into the
fund by the Legislative Assembly for payment of costs incurred to
establish the West Eugene EmX Extension. Moneys in the fund are
continuously appropriated to the Oregon Department of
Administrative Services for the purposes described in subsection
(2) of this section.
(2) Subject to section 5 of this 2009 Act, moneys in the fund
are available for:
(a) Disbursement to the Lane Transit District to pay $30
million of the costs incurred to establish the West Eugene EmX
Extension.
(b) Payment of bond-related costs, as defined in ORS
286A.560. + }
SECTION 5. { + (1) The Oregon Department of Administrative
Services, in consultation with the Department of Transportation,
shall enter into a grant agreement with the Lane Transit District
that requires:
(a) The district to:
(A) Indemnify the state government, as defined in ORS 174.111,
to the fullest extent permitted by law for any liability the
state government might incur in connection with borrowing by the
district for the West Eugene EmX Extension.
(B) Refrain from requesting or accepting moneys from the
General Fund for the West Eugene EmX Extension.
(C) Refund to the Oregon Department of Administrative Services
for deposit in the West Eugene EmX Extension Fund, upon
completion of the West Eugene EmX Extension, the amount by which
the aggregate expenditure for the extension is less than $75
million.
(b) The Oregon Department of Administrative Services to
disburse, over the course of the development of the West Eugene
EmX Extension, an aggregate amount of $30 million to the district
from the West Eugene EmX Extension Fund when:
(A) Moneys are available;
(B) The department determines that the district has entered
into one or more contracts that have an aggregate value of at
least $75 million for the acquisition, construction and
procurement of the components of the West Eugene EmX Extension;
and
(C) The department determines that the district has provided
documentation showing that the district will have sufficient
financing to complete the West Eugene EmX Extension.
(2) The State of Oregon is not liable to the lenders, vendors
or contractors of the Lane Transit District for any action or
omission under sections 1 to 5 of this 2009 Act or the grant
agreement authorized by this section. + }
SECTION 6. { + This 2009 Act being necessary for the immediate
preservation of the public peace, health and safety, an emergency
is declared to exist, and this 2009 Act takes effect July 1,
2009. + }
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