1 HB573
2 212245-7
3 By Representatives Ledbetter and Kitchens
4 RFD: Ways and Means General Fund
5 First Read: 30-MAR-21
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1
2 ENROLLED, An Act,
3 Relating to state parks; to implement HB565 of the
4 2021 Regular Session, proposing an amendment to the
5 Constitution of Alabama of 1901, authorizing the state to
6 become indebted and to sell and issue not in excess of a
7 specified amount in principal amount of general obligation
8 bonds of the state for the purpose of providing for the
9 improvement, renovation, equipping, acquisition, provision,
10 construction, and maintenance of Alabama state parks under the
11 jurisdiction of the Department of Conservation and Natural
12 Resources, and public historical sites and public historical
13 parks under the jurisdiction of the Alabama Historical
14 Commission; to provide for the organization of a public
15 corporation in the state to be known as the Alabama State
16 Parks Enhancement Authority; to provide for definitions; to
17 designate the officers and members of the board of directors
18 of the authority; to prescribe the powers of the authority; to
19 authorize the authority to sell and issue for the state bonds
20 and refunding bonds; to provide that bond proceeds in excess
21 of a specified amount due to receipt of original issue premium
22 in connection with the sale of bonds or other reasons, be
23 allocated to the Alabama Forestry Commission for state
24 forests; to provide that the authority would specify the form
25 and details of the bonds; to provide for the issuance of the
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1 bonds in series; to provide for the sale of the bonds; to
2 provide for the temporary investment of the proceeds of the
3 bonds; to provide for the payment of the expenses of issuance
4 of the bonds; to provide for the issuance of refunding bonds
5 for the purpose of refunding any outstanding bonds issued
6 pursuant to the amendment and this act; to provide for the use
7 of proceeds derived from the bonds; to amend Section 40-23-35,
8 Code of Alabama 1975, to include a reference to bonds issued
9 by the authority; and to provide for a contingent effective
10 date.
11 BE IT ENACTED BY THE LEGISLATURE OF ALABAMA:
12 Section 1. This act shall be known and may be cited
13 as the Alabama State Parks and Historical Facilities
14 Enhancement Act.
15 Section 2. The Legislature hereby finds and declares
16 all of the following:
17 (1) That the state parks, public historical sites,
18 and public historical parks provide essential services and
19 outdoor recreation opportunities to Alabama residents and
20 visitors.
21 (2) State parks, public historical sites, and public
22 historical parks have provided both a refuge and retreat
23 during the COVID-19 pandemic and highlighted how critical the
24 state parks are to the mental health and physical well-being
25 of the residents of this state.
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1 (3) Because of the essential nature of state parks,
2 public historical sites, and public historical parks, it is
3 necessary, desirable, and in the public interest that the
4 state parks under the jurisdiction of the Department of
5 Conservation and Natural Resources, and public historical
6 sites and public historical parks under the jurisdiction of
7 the Alabama Historical Commission be improved and maintained
8 for future use and enjoyment.
9 (4) It is the intent of the Legislature to authorize
10 the formation of a public corporation for the purposes of
11 providing for the improvement, renovation, equipping,
12 acquisition, provision, construction, and maintenance of the
13 Alabama state parks under the jurisdiction of the Department
14 of Conservation and Natural Resources, and public historical
15 sites and public historical parks under the jurisdiction of
16 the Alabama Historical Commission and to authorize the
17 corporation to provide for payment of the costs of
18 accomplishing the stated purposes by implementing an amendment
19 to the Constitution of Alabama of 1901 proposed in HB565 of
20 the 2021 Regular Session, authorizing the issuance by the
21 state of up to $80,000,000 $85,000,000 in aggregate principal
22 amount of general obligation bonds, and by issuing and selling
23 for the state, subject to the approval of the Governor,
24 interest bearing general obligation bonds of the state.
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1 (5) The bonds shall be issued for the state by the
2 Alabama State Parks Enhancement Authority, and the proceeds
3 thereof shall be used exclusively for the purpose of paying
4 the expenses incurred in the sale and issuance of bonds and
5 for payment of the costs of the improvement, renovation,
6 equipping, acquisition, provision, construction, and
7 maintenance of Alabama state parks under the jurisdiction of
8 the Department of Conservation and Natural Resources, and
9 public historical sites and public historical parks under the
10 jurisdiction of the Alabama Historical Commission.
11 (6) If the bond proceeds exceed eighty-five million
12 dollars ($85,000,000) due to receipt of original issue premium
13 in connection with the sale of bonds or due to any other
14 reason, any bond proceeds in excess of eighty-five million
15 dollars ($85,000,000) plus expenses related to the issuance of
16 the bonds shall be allocated to the Alabama Forestry
17 Commission for the capital improvement, renovation, equipping,
18 acquisition, provision, construction, and maintenance of state
19 forests.
20 Section 3. (a) For purposes of this act, the
21 following terms shall have the following meanings:
22 (1) AMENDMENT. The amendment to the Constitution of
23 Alabama of 1901, proposed in HB565 of the 2021 Regular
24 Session, authorizing the issuance of the bonds to be issued by
25 the authority.
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1 (2) AUTHORITY. The Alabama State Parks Enhancement
2 Authority.
3 (3) BOARD OF DIRECTORS. The board of directors of
4 the authority.
5 (4) BONDS. The bonds issued under this act.
6 (5) COMMISSION. The Alabama Historical Commission.
7 (5)(6) DEPARTMENT. The Alabama Department of
8 Conservation and Natural Resources.
9 (6)(7)GOVERNMENT SECURITIES. Any bonds or other
10 obligations which as to principal and interest constitute
11 direct obligations of, or are unconditionally guaranteed by,
12 the United States of America, including obligations of any
13 federal agency to the extent such obligations are
14 unconditionally guaranteed by the United States of America and
15 any certificates or any other evidences of an ownership
16 interest in such obligations of, or unconditionally guaranteed
17 by, the United States of America or in specified portions
18 thereof, which may consist of the principal thereof or the
19 interest thereon.
20 (7)(8) PERMITTED INVESTMENTS. Any of the following:
21 a. Government securities.
22 b. Bonds, debentures, notes, or other evidences of
23 indebtedness issued by any of the following agencies: Bank for
24 Cooperatives; Federal Intermediate Credit Banks; Federal
25 Financing Bank; Federal Home Loan Banks; Federal Farm Credit
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1 Bank; Export-Import Bank of the United States; Federal Land
2 Banks; or Farmers Homes Administration; or any other agency or
3 corporation which has been or may hereafter be created by or
4 pursuant to an act of the Congress of the United States as an
5 agency or instrumentality thereof.
6 c. Bonds, notes, pass through securities, or other
7 evidences of indebtedness of Government National Mortgage
8 Association and participation certificates of Federal Home
9 Loan Mortgage Corporation.
10 d. Time deposits evidenced by certificates of
11 deposit issued by banks or savings and loan associations which
12 are members of the Federal Deposit Insurance Corporation,
13 provided that, to the extent such time deposits are not
14 covered by federal deposit insurance, such time deposits,
15 including interest thereon, are fully secured in accordance
16 with the SAFE Program pursuant to Sections 41-14A-1 through
17 41-14A-14.
18 e. Government money market mutual funds.
19 f. Repurchase agreements for obligations of the type
20 specified in paragraphs a., b., and c., provided the
21 repurchase agreements are fully collateralized and secured by
22 the obligations that have a market value at least equal to the
23 purchase price of such repurchase agreements which are held by
24 a depository satisfactory to the State Treasurer in such
25 manner as may be required to provide a perfected security
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1 interest in such obligations, and which meet the greater of
2 100% collateralization or the "AA" or "Aa" collateral levels
3 established by Standard & Poor's Ratings Group or Moody's
4 Investors Service, respectively, for structured financings.
5 Section 4. (a)(1) The Governor, the Lieutenant
6 Governor or his or her designee, the President Pro Tempore of
7 the Senate or his or her designee, the Speaker of the House of
8 Representatives or his or her designee, the Commissioner of
9 the Department of Conservation and Natural Resources, the
10 Director of Finance, the Minority Leader of the House of
11 Representatives or his or her designee, the Minority Leader of
12 the Senate or his or her designee, and the Commissioner of
13 Revenue may become a corporation, with the powers and duties
14 provided by this act.
15 (2) To become a corporation, the Governor, the
16 Lieutenant Governor or his or her designee, the President Pro
17 Tempore of the Senate or his or her designee, the Speaker of
18 the House of Representatives or his or her designee, the
19 Commissioner of the Department of Conservation and Natural
20 Resources, the Director of Finance, the Minority Leader of the
21 House of Representatives or his or her designee, the Minority
22 Leader of the Senate or his or her designee, and the
23 Chairperson of the Joint Legislative Committee on State Parks
24 shall present to the Secretary of State of Alabama an
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1 application signed by them which shall set forth all of the
2 following:
3 a. The name, official designation, and official
4 residence of each of the applicants, together with a certified
5 copy of the commission evidencing each applicant's right to
6 office.
7 b. The date on which each applicant was inducted
8 into office and the term of office of each of the applicants.
9 c. The name of the proposed corporation created in
10 this section, which shall be the Alabama State Parks
11 Enhancement Authority.
12 d. The location of the principal office of the
13 proposed corporation, which shall be Montgomery, Alabama.
14 e. Any other matter relating to the incorporation
15 which the applicants may choose to insert and which is not
16 inconsistent with this act or the laws of this state.
17 (3) The application shall be subscribed and sworn to
18 by each of the applicants before an officer authorized by the
19 laws of this state to take acknowledgments to deeds. The
20 Secretary of State shall examine the application and, if the
21 Secretary finds that it substantially complies with the
22 requirements of this section, it shall be received, filed, and
23 recorded in an appropriate book of records in the office of
24 the Secretary of State.
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1 (b) When the application has been made, filed, and
2 recorded, as provided in subsection (a), the applicants shall
3 constitute a public corporation under the name proposed in the
4 application, and the Secretary of State shall make and issue
5 to the applicants a certificate of incorporation pursuant to
6 this act, under the great seal of the state, to be recorded
7 with the application. There shall be no fees paid to the
8 Secretary of State for any activity associated with the
9 incorporation or dissolution of the corporation so organized.
10 (c)(1) The applicants named in the application and
11 their respective successors in office shall constitute the
12 members of the authority. The Governor shall be the president
13 of the authority, the Commissioner of the Department of
14 Conservation and Natural Resources shall be its
15 vice-president, and the Director of Finance shall be the
16 secretary of the authority. The State Treasurer shall be the
17 treasurer of the authority and shall act as custodian of its
18 funds, but shall not be a member of the authority.
19 (2) The members of the authority shall constitute
20 all the members of the board of directors of the authority,
21 and any three five members of the board of directors shall
22 constitute a quorum for the transaction of business.
23 (3) All members of the board shall be notified of
24 any meeting of the board of directors.
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1 (4) If any of the officials of the state die or if
2 his or her term of a office as Governor, the Lieutenant
3 Governor, the President Pro Tempore of the Senate, Speaker of
4 the House of Representatives, Commissioner of the Department
5 of Conservation and Natural Resources, Director of Finance,
6 State Treasurer, or designees, as the case may be, expire or
7 otherwise become vacant, his or her successor in office shall
8 take his or her place as a member, officer, and director of
9 the authority, as the case may be.
10 (5) A member, officer, or director of the authority
11 may not receive compensation, for any service he or she may
12 render in connection with the authority.
13 (6) All proceedings of the board of directors shall
14 be reduced to writing by the secretary of the authority.
15 Copies of the proceedings, when certified by the secretary of
16 the authority under the seal of the corporation, shall be
17 received in all courts as prima facie evidence of the matters
18 and things certified therein.
19 Section 5. The authority shall each have the
20 following powers:
21 (a) To have succession by its corporate name without
22 time limit.
23 (b) To sue and be sued and to prosecute and defend,
24 at law or in equity, in any court having jurisdiction of the
25 subject matter and of the parties.
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1 (c) To have and to use a corporate seal and to alter
2 the same at its pleasure.
3 (d) To receive, take, and hold by sale, gift, lease,
4 devise or otherwise, real and personal estate or property of
5 every description, and to manage the same.
6 (e) To sell and issue the state bonds and refunding
7 bonds as provided in this act.
8 (f) To appoint or employ attorneys, accountants,
9 financial advisors, underwriters, trustees, depositories,
10 registrars and other advisors, agents, and independent
11 contractors as the business of the authority may require.
12 Section 6. In addition to any other powers provided
13 in this act, the authority shall also have all of the
14 following powers:
15 (a) To improve, renovate, equip, acquire, provide,
16 construct, and maintain Alabama state parks under the
17 jurisdiction of the Department of Conservation and Natural
18 Resources, and public historical sites and public historical
19 parks under the jurisdiction of the Alabama Historical
20 Commission.
21 (b) To acquire by purchase, gift, or any other
22 lawful means, and to transfer, convey, or cause to be conveyed
23 to the state, any real, personal, or mixed property necessary
24 or convenient in connection with the improving, renovating,
25 equipping, acquiring, provisioning, constructing, and
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1 maintenance of parks and park facilities, public historical
2 sites, and public historical parks.
3 (c) To enter into contracts with municipalities,
4 counties, the Alabama Department of Conservation and Natural
5 Resources, the Alabama Historical Commission or other agencies
6 or political subdivisions of the state or any other state,
7 private persons, firms, corporations, and any branch of the
8 federal government, in furtherance of its public purposes and
9 objects either relative to work done or to be done.
10 (d) To turn over to the Alabama Department of
11 Conservation and Natural Resources, the Alabama Historical
12 Commission, and the Alabama Forestry Commission any funds of
13 the authority as, from time to time, may be necessary or
14