0001| SENATE BILL 583 | 0002| 42ND LEGISLATURE - STATE OF NEW MEXICO - SECOND SESSION, | 0003| 1996 | 0004| INTRODUCED BY | 0005| RAYMOND L. KYSAR | 0006| | 0007| | 0008| | 0009| | 0010| | 0011| AN ACT | 0012| RELATING TO PUBLIC FINANCING; AMENDING AND ENACTING SECTIONS OF | 0013| THE NEW MEXICO FINANCE AUTHORITY ACT; DECLARING EMERGENCY. | 0014| | 0015| BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO: | 0016| Section 1. Section 6-21-3 NMSA 1978 (being Laws 1992, | 0017| Chapter 61, Section 3, as amended) is amended to read: | 0018| "6-21-3. DEFINITIONS.--As used in the New Mexico Finance | 0019| Authority Act: | 0020| A. "authority" means the New Mexico finance | 0021| authority; | 0022| B. "bond" means any bonds, notes, certificates of | 0023| participation or other evidence of indebtedness; | 0024| C. "bondholder" or "holder" means a person who is | 0025| the owner of a bond, whether registered or not; | 0001| D. "partnership project" means the acquisition, | 0002| construction, improvement, alteration or reconstruction of | 0003| assets of a long-term capital nature, including land; buildings; | 0004| water rights; water, sewage and waste disposal systems; or | 0005| machinery, furniture or equipment by a qualified entity that | 0006| controls at least twenty-five percent interest in a public-private partnership. The asset shall be suitable for use in any | 0007| one or combination of the following enterprises: | 0008| (1) an industry for the manufacturing, | 0009| processing or assembling of any agricultural or manufactured | 0010| products; | 0011| (2) commercial storage, warehousing, | 0012| distributing or selling products of agriculture, mining industry | 0013| or distribution to the public of electricity, gas, water or | 0014| telephone or other services commonly classified as public | 0015| utilities; | 0016| (3) a business in which all or part of the | 0017| activities of the business involve the supplying of services to | 0018| the general public or governmental agencies or to a specific | 0019| industry or customer; | 0020| (4) a nursing home; | 0021| (5) a mass-transit system or other | 0022| transportation activity involving the movement of passengers; | 0023| (6) an industrial park; | 0024| (7) business or corporate headquarters; | 0025| (8) a research and development facility; or | 0001| (9) any water distribution or irrigation | 0002| system, including, without limitation, pumps, distribution | 0003| lines, transmission lines, towers, dams and similar facilities | 0004| and equipment, designed to provide water to an agricultural | 0005| venture; | 0006| E. "public-private partnership project bond" means | 0007| a bond issued by the authority, the proceeds of which shall be | 0008| used to fund partnership projects; | 0009| ~~[D.]~~ F. "public project" means the acquisition, | 0010| construction, improvement, alteration or reconstruction of | 0011| assets of a long-term capital nature by a qualified entity, | 0012| including but not limited to land; buildings; water rights; | 0013| water, sewerage and waste disposal systems; streets; rural | 0014| roads; airports; municipal utilities; parking facilities; and | 0015| machinery, furniture and equipment. "Public project" includes | 0016| all proposed expenditures related to the entire undertaking; | 0017| ~~[E.]~~ G. "qualified entity" means the state or | 0018| any agency or institution of the state or any county, | 0019| municipality, school district, special district ~~[or]~~, | 0020| community water association or an Indian nation, tribe or | 0021| pueblo located wholly or partially in New Mexico, including a | 0022| political subdivision or a wholly owned enterprise of an Indian | 0023| nation, tribe or pueblo; and | 0024| ~~[F.]~~ H. "security" or "securities", unless the | 0025| context indicates otherwise, means bonds, notes or other | 0001| evidence of indebtedness issued by a qualified entity or leases | 0002| or certificates or other evidence of participation in the | 0003| lessor's interest in and rights under a lease with a qualified | 0004| entity and that are payable from taxes, revenues, rates, | 0005| charges, assessments or user fees or from the proceeds of | 0006| funding or refunding bonds, notes or other evidences of | 0007| indebtedness of a qualified entity or from certificates or | 0008| evidence of participation in a lease with a qualified entity." | 0009| Section 2. Section 6-21-14 NMSA 1978 (being Laws 1992, | 0010| Chapter 61, Section 14) is amended to read: | 0011| "6-21-14. PUBLICATION OF NOTICE--VALIDATION--LIMITATION OF | 0012| ACTION.-- | 0013| A. After adoption of a resolution authorizing | 0014| issuance of bonds, including public-private partnership project | 0015| bonds, the authority shall publish notice of the adoption of | 0016| the resolution once in a newspaper of general statewide | 0017| circulation. | 0018| B. After the passage of thirty days from the | 0019| publication required by Subsection A of this section, any action | 0020| attacking the validity of the proceedings had or taken by the | 0021| authority preliminary to and in the authorization and issuance | 0022| of the bonds, including public-private partnership project | 0023| bonds, described in the notice is perpetually barred." | 0024| Section 3. Section 6-21-15 NMSA 1978 (being Laws 1992, | 0025| Chapter 61, Section 15) is amended to read: | 0001| "6-21-15. REFUNDING BONDS.--The authority is authorized to | 0002| issue its bonds for the purpose of refunding any bonds, | 0003| including public-private partnership project bonds, then | 0004| outstanding, including the payment of any redemption premiums | 0005| thereon and any interest accrued or to accrue to the date of | 0006| redemption of the outstanding bonds. Until the proceeds of the | 0007| bonds issued for the purpose of refunding outstanding bonds are | 0008| applied to the purchase or retirement of the outstanding bonds | 0009| or the redemption of the outstanding bonds, the proceeds may be | 0010| placed in escrow and be invested and reinvested. The interest, | 0011| income and profits, if any, earned or realized on any such | 0012| investment may, in the discretion of the authority, also be | 0013| applied to the payment of the outstanding bonds to be refunded | 0014| by purchase, retirement or redemption, as the case may be. | 0015| After the terms of the escrow have been fully satisfied and | 0016| carried out, any balance of such proceeds and interest, if any, | 0017| earned or realized on the investments thereof may be returned to | 0018| the authority for use by it in any lawful manner. All such | 0019| bonds shall be issued and secured and shall be subject to the | 0020| provisions of the New Mexico Finance Authority Act in the same | 0021| manner and to the same extent as any other bonds issued pursuant | 0022| to the New Mexico Finance Authority Act." | 0023| Section 4. Section 6-21-17 NMSA 1978 (being Laws 1992, | 0024| Chapter 61, Section 17) is amended to read: | 0025| "6-21-17. REMEDIES OF BONDHOLDERS.--Any holder of bonds, | 0001| including public-private partnership project bonds, issued | 0002| pursuant to the New Mexico Finance Authority Act or a trustee | 0003| under a trust indenture entered into pursuant to that act, | 0004| except to the extent that his rights are restricted by any bond | 0005| resolution or trust indenture authorized pursuant to the bond | 0006| resolution, may protect and enforce, by any suitable form of | 0007| legal proceedings, any rights under the laws of this state or | 0008| granted by the bond resolution or trust indenture authorized | 0009| pursuant to the bond resolution. Such rights include the right | 0010| to compel the performance of all duties of the authority | 0011| required by the New Mexico Finance Authority Act or the bond | 0012| resolution and to enjoin unlawful activities." | 0013| Section 5. Section 6-21-18 NMSA 1978 (being Laws 1992, | 0014| Chapter 61, Section 18) is amended to read: | 0015| "6-21-18. AGREEMENT OF THE STATE.--The state does hereby | 0016| pledge to and agree with the holders of any bonds or notes, | 0017| including public-private partnership project bonds, issued | 0018| under the New Mexico Finance Authority Act that the state will | 0019| not limit or alter the rights hereby vested in the authority to | 0020| fulfill the terms of any agreements made with the holders | 0021| thereof or in any way impair the rights and remedies of those | 0022| holders until the bonds or notes together with the interest | 0023| thereon, with interest on any unpaid installments of interest, | 0024| and all costs and expenses in connection with any action or | 0025| proceedings by or on behalf of those holders, are fully met and | 0001| discharged. The authority is authorized to include this pledge | 0002| and agreement of the state in any agreement with the holders of | 0003| the bonds or notes." | 0004| Section 6. Section 6-21-19 NMSA 1978 (being Laws 1992, | 0005| Chapter 61, Section 19) is amended to read: | 0006| "6-21-19. BONDS--LEGAL INVESTMENTS FOR PUBLIC OFFICERS AND | 0007| FIDUCIARIES.--The bonds, including public-private partnership | 0008| project bonds, issued under the authority of the New Mexico | 0009| Finance Authority Act shall be legal investments in which all | 0010| insurance companies, banks and savings and loan associations | 0011| organized under the laws of the state, public officers and | 0012| public bodies and all administrators, guardians, executors, | 0013| trustees and other fiduciaries may properly and legally invest | 0014| funds." | 0015| Section 7. Section 6-21-20 NMSA 1978 (being Laws 1992, | 0016| Chapter 61, Section 20) is amended to read: | 0017| "6-21-20. TAX EXEMPTION.-- | 0018| A. It is ~~[hereby]~~ determined that the creation of | 0019| the authority is in all respects for the benefit of the people | 0020| of the state, for the improvement of their health and welfare | 0021| and for the promotion of proposed projects or facilities | 0022| pursuant to the New Mexico Finance Authority Act and that these | 0023| purposes are public purposes and the authority will be | 0024| performing an essential governmental function in the exercise of | 0025| the powers conferred upon it by the New Mexico Finance Authority | 0001| Act. The state covenants with the purchasers and all subsequent | 0002| holders and transferees of bonds issued by the authority, in | 0003| consideration of the acceptance of and payment for the bonds, | 0004| that the bonds, including public-private partnership project | 0005| bonds, issued pursuant to that act and the income from the | 0006| bonds shall at all times be free from taxation by the state, | 0007| except for estate or gift taxes and taxes on transfers. | 0008| B. The property, income and operations of the | 0009| authority shall be exempt from taxation of every kind and | 0010| nature." | 0011| Section 8. Section 6-21-23 NMSA 1978 (being Laws 1992, | 0012| Chapter 61, Section 23, as amended) is amended to read: | 0013| "6-21-23. PROHIBITED ACTIONS.--The authority shall not: | 0014| A. lend money or make a grant other than to a | 0015| qualified entity; | 0016| B. purchase securities other than from a qualified | 0017| entity or other than for investment as provided in the New | 0018| Mexico Finance Authority Act; | 0019| C. lease a public project to any entity other than a | 0020| qualified entity; | 0021| D. deal in securities within the meaning of or | 0022| subject to any securities law, securities exchange law or | 0023| securities dealers law of the United States or of the state or | 0024| of any other state or jurisdiction, domestic or foreign, except | 0025| as authorized in the New Mexico Finance Authority Act; | 0001| E. issue bills of credit or accept deposits of money | 0002| for time on demand deposit or administer trusts or engage in any | 0003| form or manner, or in the conduct of, any private or commercial | 0004| banking business, or act as a savings bank or savings and loan | 0005| association or any other kind of financial institution except as | 0006| authorized in the New Mexico Finance Authority Act; ~~[or]~~ | 0007| F. engage in any form of private or commercial | 0008| banking business except as authorized in the New Mexico Finance | 0009| Authority Act; or | 0010| G. lend money, issue bonds, including public-private partnership project bonds, or make a grant for the | 0011| promotion of gaming or a gaming enterprise or for development of | 0012| infrastructure for a gaming facility." | 0013| Section 9. Section 6-21-27 NMSA 1978 (being Laws 1992, | 0014| Chapter 61, Section 27) is amended to read: | 0015| "6-21-27. CUMULATIVE AUTHORITY.--The New Mexico Finance | 0016| Authority Act shall be deemed to provide an additional and | 0017| alternative method for the doing of things authorized | 0018| ~~[thereby]~~ in that act and shall be regarded as supplemental | 0019| and additional to powers conferred by other laws and shall not | 0020| be regarded as in derogation of any powers now existing; | 0021| provided that the issuance of bonds, including public-private | 0022| partnership project bonds, under the provisions of the New | 0023| Mexico Finance Authority Act need not comply with the | 0024| requirements of any other law applicable to the issuance of | 0025| bonds." | 0001| Section 10. A new section of the New Mexico Finance | 0002| Authority Act is enacted to read: | 0003| "[NEW MATERIAL] PARTNERSHIP PROJECT PROGRAM--DUTIES OF | 0004| AUTHORITY.--The authority has the following duties: | 0005| A. to develop and administer a program to assist a | 0006| qualified entity to enter into public-private partnerships that | 0007| will enhance the economic base of or provide an essential | 0008| service to a qualified entity's community; | 0009| B. to establish a process and procedures for review | 0010| and assessment of partnership projects; and | 0011| C. to work together with the qualified entities of | 0012| the state to develop projects that will benefit the community | 0013| and the state as a whole." | 0014| Section 11. A new section of the New Mexico Finance | 0015| Authority Act is enacted to read: | 0016| "[NEW MATERIAL] PARTNERSHIP PROJECTS--PROGRAM CREATED--LOANS.--The "public-private partnership program" is created to | 0017| provide needed capital for qualified entities that have created | 0018| partnerships with private sector entities to participate in | 0019| economic development opportunities or to provide needed services | 0020| for the community. The qualified entity shall control no less | 0021| than twenty-five percent of the partnership, shall be a managing | 0022| partner and shall hold the title to all facilities and | 0023| improvements in a percentage equal to that percentage of the | 0024| cost to develop the entire facility and improvements represented | 0025| by the amount of funding provided by the New Mexico finance | 0001| authority pursuant to the public-private partnership program; | 0002| provided, however, that the percentage ownership of the | 0003| facilities is no less than twenty-five percent of the ownership | 0004| interest in the facilities and improvements funded. To further | 0005| the purposes of the public-private partnership program, the | 0006| authority may: | 0007| A. make loans to qualified entities who are seeking | 0008| funds for partnership projects that may be profit-generating | 0009| ventures; | 0010| B. make, enter into and enforce all contracts or | 0011| agreements necessary, convenient or desirable for the purposes | 0012| of the authority or pertaining to: | 0013| (1) a loan to a qualified entity that is a | 0014| partner in a public-private partnership; or | 0015| (2) the performance of its duties and execution | 0016| of its powers under the New Mexico Finance Authority Act; | 0017| C. prescribe the form of application or procedure | 0018| required of a qualified entity for a loan, fix the terms and | 0019| conditions of the loan and enter into agreements with qualified | 0020| entities with respect to loans; | 0021| D. charge for the costs and services in review or | 0022| consideration of a proposed partnership project incurred by the | 0023| authority; or | 0024| E. issue public-private partnership project bonds in | 0025| amounts necessary to provide funding for partnership projects." | 0001| | 0002| Section 12. A new section of the New Mexico Finance | 0003| Authority Act is enacted to read: | 0004| "[NEW MATERIAL] PRIVATE-PUBLIC PARTNERSHIP PROJECT | 0005| BONDS--EXPRESS STATEMENT.--No provision of the New Mexico | 0006| Finance Authority Act regarding bonds issued by the authority | 0007| applies to public-private partnership project bonds unless the | 0008| section of that act expressly references public-private | 0009| partnership project bonds." | 0010| Section 13. A new section of the New Mexico Finance | 0011| Authority Act is enacted to read: | 0012| "[NEW MATERIAL] PUBLIC-PRIVATE PARTNERSHIP PROJECT | 0013| BONDS--AUTHORITY TO ISSUE--PROVISIONS.-- | 0014| A. Public-private partnership project bonds may be | 0015| issued by the authority to fund partnership projects. | 0016| B. Public-private partnership project bonds issued | 0017| by the authority shall not be the general obligation of the | 0018| state or the authority. | 0019| C. Public-private partnership project bonds shall be | 0020| repaid solely out of the revenue derived from the partnership | 0021| projects that are funded by the proceeds derived from the sale | 0022| of those bonds or other revenues pledged by the qualified | 0023| entity. | 0024| D. Public-private partnership project bonds and | 0025| interest coupons, if any, issued by the authority, shall not | 0001| constitute an indebtedness of the authority or the public | 0002| project revolving fund or give rise to a financial liability of | 0003| the authority or the public project revolving fund. Each | 0004| public-private partnership project bond shall clearly state on | 0005| its face that the bonds do not constitute an indebtedness of the | 0006| authority or the public project revolving fund. | 0007| E. The authority shall set forth in a resolution | 0008| authorizing the issuance and sale of each issue of | 0009| public-private partnership project bonds, the following | 0010| requirements: | 0011| (1) the series, time, form and denomination in | 0012| which the bonds are to be executed and delivered; | 0013| (2) the maturity schedule that shall not exceed | 0014| thirty years from the date of issue; | 0015| (3) interest rates of the bonds; and | 0016| (4) whether the bonds will be sold by public or | 0017| private sale. | 0018| F. Public-private partnership project bonds issued | 0019| by the authority are negotiable instruments for all purposes of | 0020| the Uniform Commercial Code, subject only to the provisions of | 0021| the bonds for registration. | 0022| G. Any resolution for the issuance of public-private | 0023| partnership project bonds shall provide that each bond | 0024| authorized shall recite that it is issued by the authority. The | 0025| recital shall clearly state that the bonds are in full | 0001| compliance with all the provisions of the New Mexico Finance | 0002| Authority Act." | 0003| Section 14. A new section of the New Mexico Finance | 0004| Authority Act is enacted to read: | 0005| "[NEW MATERIAL] PUBLIC-PRIVATE PARTNERSHIP PROJECT | 0006| BONDS--SECURITY.-- | 0007| A. The principal of and interest on public-private | 0008| partnership project bonds issued by the authority shall be | 0009| secured by a pledge of the revenues derived from the revenue-generating enterprise anticipated by the partnership project. | 0010| The principal of and interest on public-private partnership | 0011| project bonds may in addition be secured by a mortgage covering | 0012| all or any part of the partnership project from which the | 0013| revenues pledged may be derived or may be secured by a pledge of | 0014| the lease of the partnership project. | 0015| B. The resolution of the authority authorizing the | 0016| issuance and sale of public-private partnership project bonds | 0017| may contain agreements and provisions customarily contained in | 0018| instruments securing bonds, including terms to be incorporated | 0019| in a lease of the partnership project, creation and maintenance | 0020| of special funds from the revenues from the partnership project | 0021| and the rights and remedies available in the event of a default | 0022| to the bondholders or to the trustee under a mortgage and any | 0023| other provisions that the authority deems necessary and are not | 0024| in conflict with the New Mexico Finance Authority Act." | 0025| Section 15. A new section of the New Mexico Finance | 0001| Authority Act is enacted to read: | 0002| "[NEW MATERIAL] PUBLIC-PRIVATE PARTNERSHIP PROJECT | 0003| BONDS--USE OF PROCEEDS.-- | 0004| A. The proceeds from the sale of public-private | 0005| partnership project bonds shall be applied only for the purpose | 0006| for which the bonds were issued; provided, however, that: | 0007| (1) any accrued interest received in a sale of | 0008| those bonds shall be applied to the payment of the interest on | 0009| the bonds sold; or | 0010| (2) if, for any reason, any portion of the | 0011| proceeds is not needed for the purpose for which the bonds were | 0012| issued, then the balance of the proceeds shall be applied to the | 0013| payment of the principal of or interest on the bonds. | 0014| B. The cost of funding a partnership project shall | 0015| be deemed to include the following: | 0016| (1) the actual cost of the construction of any | 0017| part of a partnership project, including architects', attorneys' | 0018| and engineers' fees; | 0019| (2) the purchase price of any part of a project | 0020| that may be acquired by purchase; | 0021| (3) the actual cost of the extension of | 0022| utilities to the project site or the development of other | 0023| infrastructure for the project; | 0024| (4) all expenses in connection with the | 0025| authorization, sale and issuance of the bonds to finance the | 0001| partnership project; | 0002| (5) the interest on the bonds for a reasonable | 0003| time prior to construction, during construction and not | 0004| exceeding six months after completion of construction; and | 0005| (6) working capital." | 0006| Section 17. EMERGENCY.--It is necessary for the public | 0007| peace, health and safety that this act take effect immediately. | 0008| - 16 - | 0009| | 0010| | 0011| | 0012| | 0013| | 0014| | 0015| | 0016| | 0017| | 0018| | 0019| FORTY-SECOND LEGISLATURE | 0020| SECOND SESSION, 1996 | 0021| | 0022| | 0023| JANUARY 31, 1996 | 0024| | 0025| Mr. President: | 0001| | 0002| Your COMMITTEES' COMMITTEE, to whom has been referred | 0003| | 0004| SENATE BILL 583 | 0005| | 0006| has had it under consideration and finds same to be GERMANE, PURSUANT | 0007| TO CONSTITUTIONAL PROVISIONS, and thence referred to the | 0008| CORPORATIONS AND TRANSPORTATION COMMITTEE. | 0009| | 0010| Respectfully submitted, | 0011| | 0012| | 0013| | 0014| | 0015| __________________________________ | 0016| SENATOR MANNY M. ARAGON, Chairman | 0017| | 0018| | 0019| | 0020| Adopted_______________________ Not Adopted_______________________ | 0021| (Chief Clerk) (Chief Clerk) | 0022| | 0023| | 0024| Date ________________________ | 0025| | 0001| | 0002| | 0003| S0583CC1 | 0004| | 0005| | 0006| FORTY-SECOND LEGISLATURE | 0007| SECOND SESSION, 1996 | 0008| | 0009| | 0010| February 6, 1996 | 0011| | 0012| Mr. President: | 0013| | 0014| Your CORPORATIONS & TRANSPORTATION COMMITTEE, to whom | 0015| has been referred | 0016| | 0017| SENATE BILL 583 | 0018| | 0019| has had it under consideration and reports same with recommendation that | 0020| it DO PASS, amended as follows: | 0021| | 0022| 1. On page 2, line 4, strike ", furniture or equipment". | 0023| | 0024| 2. On page 2, line 12, strike ", mining industry" and strike lines | 0025| 13 through 24 in their entirety. | 0001| | 0002| 3. On page 2, strike line 25 through "facility". | 0003| | 0004| 4. Renumber the succeeding paragraph accordingly. | 0005| | 0006| 5. On page 3, lines 13 and 14, strike "rural roads;". | 0007| | 0008| 6. On page 10, line 21, after "partnership" strike the comma, | 0009| strike the remainder of line 21 and lines 21 through 25 in their | 0010| entirety and insert in lieu thereof a period. | 0011| | 0012| 7. On page 11, strike lines 1 through 3 in their entirety and | 0013| strike line 4 through the period, | 0014| | 0015| and further recommends that it be referred to the WAYS AND MEANS | 0016| COMMITTEE. | 0017| | 0018| Respectfully submitted, | 0019| | 0020| | 0021| | 0022| __________________________________ | 0023| Roman M. Maes, III, Chairman | 0024| | 0025| | 0001| | 0002| Adopted_______________________ Not Adopted_______________________ | 0003| (Chief Clerk) (Chief Clerk) | 0004| | 0005| | 0006| | 0007| Date ________________________ | 0008| | 0009| | 0010| The roll call vote was 7 For 1 Against | 0011| Yes: 7 | 0012| No: Kidd | 0013| Excused: Riley | 0014| Absent: None | 0015| | 0016| | 0017| S0583CT1 .111824.2/A | 0018| | 0019| | 0020| FORTY-SECOND LEGISLATURE | 0021| SECOND SESSION, 1996 | 0022| | 0023| | 0024| February 12, 1996 | 0025| | 0001| Mr. President: | 0002| | 0003| Your WAYS AND MEANS COMMITTEE, to whom has been referred | 0004| | 0005| SENATE BILL 583, as amended | 0006| | 0007| has had it under consideration and reports same with recommendation that | 0008| it DO NOT PASS, but that | 0009| | 0010| SENATE WAYS AND MEANS COMMITTEE SUBSTITUTE FOR | 0011| SENATE BILL 583 | 0012| | 0013| DO PASS, and thence referred to the FINANCE COMMITTEE. | 0014| | 0015| Respectfully submitted, | 0016| | 0017| | 0018| | 0019| __________________________________ | 0020| TITO D. CHAVEZ, Chairman | 0021| | 0022| | 0023| Adopted_______________________ Not Adopted_______________________ | 0024| (Chief Clerk) (Chief Clerk) | 0025| | 0001| Date ________________________ | 0002| | 0003| | 0004| The roll call vote was 5 For 0 Against | 0005| Yes: 5 | 0006| No: 0 | 0007| Excused: Riley, Romero, Wiener | 0008| Absent: None | 0009| | 0010| S0583WM1 SENATE WAYS AND MEANS COMMITTEE SUBSTITUTE FOR | 0011| SENATE BILL 583 | 0012| 42nd legislature - STATE OF NEW MEXICO - second session, 1996 | 0013| | 0014| | 0015| | 0016| | 0017| | 0018| | 0019| | 0020| AN ACT | 0021| RELATING TO PUBLIC FINANCING; AMENDING SECTIONS OF THE NEW | 0022| MEXICO FINANCE AUTHORITY ACT; DECLARING AN EMERGENCY. | 0023| | 0024| BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO: | 0025| Section 1. Section 6-21-3 NMSA 1978 (being Laws 1992, | 0001| Chapter 61, Section 3, as amended) is amended to read: | 0002| "6-21-3. DEFINITIONS.--As used in the New Mexico Finance | 0003| Authority Act: | 0004| A. "authority" means the New Mexico finance authority; | 0005| B. "bond" means any bonds, notes, certificates of | 0006| participation or other evidence of indebtedness; | 0007| C. "bondholder" or "holder" means a person who is the | 0008| owner of a bond, whether registered or not; | 0009| D. "public project" means the acquisition, | 0010| construction, improvement, alteration or reconstruction of | 0011| assets of a long-term capital nature by a qualified entity, | 0012| including but not limited to land; buildings; water rights; | 0013| water, sewerage and waste disposal systems; streets; airports; | 0014| municipal utilities; parking facilities; and machinery, | 0015| furniture and equipment. "Public project" includes all proposed | 0016| expenditures related to the entire undertaking; | 0017| E. "qualified entity" means the state or any agency or | 0018| institution of the state or any county, municipality, school | 0019| district, special district ~~[or]~~, community water association | 0020| or an Indian nation, tribe or pueblo located wholly or | 0021| partially in New Mexico, including a political subdivision or a | 0022| wholly owned enterprise of an Indian nation, tribe or pueblo; | 0023| and | 0024| F. "security" or "securities", unless the context | 0025| indicates otherwise, means bonds, notes or other evidence of | 0001| indebtedness issued by a qualified entity or leases or | 0002| certificates or other evidence of participation in the lessor's | 0003| interest in and rights under a lease with a qualified entity and | 0004| that are payable from taxes, revenues, rates, charges, | 0005| assessments or user fees or from the proceeds of funding or | 0006| refunding bonds, notes or other evidences of indebtedness of a | 0007| qualified entity or from certificates or evidence of | 0008| participation in a lease with a qualified entity." | 0009| Section 2. Section 6-21-23 NMSA 1978 (being Laws 1992, | 0010| Chapter 61, Section 23, as amended) is amended to read: | 0011| "6-21-23. PROHIBITED ACTIONS.--The authority shall not: | 0012| A. lend money or make a grant other than to a | 0013| qualified entity; | 0014| B. purchase securities other than from a qualified entity | 0015| or other than for investment as provided in the New Mexico Finance | 0016| Authority Act; | 0017| C. lease a public project to any entity other than a | 0018| qualified entity; | 0019| D. deal in securities within the meaning of or subject to | 0020| any securities law, securities exchange law or securities dealers | 0021| law of the United States or of the state or of any other state or | 0022| jurisdiction, domestic or foreign, except as authorized in the New | 0023| Mexico Finance Authority Act; | 0024| E. issue bills of credit or accept deposits of money for | 0025| time on demand deposit or administer trusts or engage in any form | 0001| or manner, or in the conduct of, any private or commercial banking | 0002| business, or act as a savings bank or savings and loan association | 0003| or any other kind of financial institution except as authorized in | 0004| the New Mexico Finance Authority Act; ~~[or]~~ | 0005| F. engage in any form of private or commercial banking | 0006| business except as authorized in the New Mexico Finance Authority | 0007| Act; or | 0008| G. lend money, issue bonds, including public-private | 0009| partnership project bonds, or make a grant for the promotion of | 0010| gaming or a gaming enterprise or for development of infrastructure | 0011| for a gaming facility." | 0012| Section 3. EMERGENCY.--It is necessary for the public peace, | 0013| health and safety that this act take effect immediately. | 0014| - 4 - State of New Mexico | 0015| House of Representatives | 0016| | 0017| FORTY-SECOND LEGISLATURE | 0018| SECOND SESSION, 1996 | 0019| | 0020| | 0021| February 14, 1996 | 0022| | 0023| | 0024| Mr. Speaker: | 0025| | 0001| Your BUSINESS AND INDUSTRY COMMITTEE, to whom has | 0002| been referred | 0003| | 0004| SENATE WAYS AND MEANS COMMITTEE SUBSTITUTE FOR | 0005| SENATE BILL 583 | 0006| | 0007| has had it under consideration and reports same with | 0008| recommendation that it DO PASS. | 0009| | 0010| Respectfully submitted, | 0011| | 0012| | 0013| | 0014| | 0015| Fred Luna, Chairman | 0016| | 0017| | 0018| Adopted Not Adopted | 0019| (Chief Clerk) (Chief Clerk) | 0020| | 0021| Date | 0022| | 0023| The roll call vote was 12 For 0 Against | 0024| Yes: 12 | 0025| Excused: None | 0001| Absent: None | 0002| | 0003| | 0004| | 0005| | 0006| H0583BI1 |