0001|                            HOUSE BILL 314
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0002|     43RD LEGISLATURE - STATE OF NEW MEXICO - SECOND SESSION, 1998
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0003|                            INTRODUCED BY
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0004|                           BRETT D. JOHNSON
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0005|     
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0006|                                   
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0007|     
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0008|                                   
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0009|     
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0010|                                AN ACT
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0011|     RELATING TO COUNTIES; PROVIDING FOR LIMITED CONSTRUCTION OF
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0012|     INFRASTRUCTURE IMPROVEMENTS TO ENCOURAGE ECONOMIC DEVELOPMENT;
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0013|     PROVIDING FOR THE ISSUANCE OF REVENUE BONDS.
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0014|     
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0015|     BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:
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0016|          Section 1.  AGREEMENT FOR INFRASTRUCTURE
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0017|     IMPROVEMENTS--REVENUE BONDS.--
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0018|               A.  By resolution a board of county commissioners
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0019|     may approve an agreement between the county and a property
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0020|     owner containing the following provisions:
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0021|                    (1)  in consideration of the county providing
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0022|     infrastructure improvements that will benefit the property
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0023|     owner, the owner will construct improvements to his property
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0024|     increasing its valuation for property tax purposes in a stated
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0025|     amount;
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0001|                    (2)  the amount equal to the increase in
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0002|     property tax revenue produced for county general purposes by
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0003|     the increase in valuation of the property shall be deposited
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0004|     in a special fund for the number of years stated in the
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0005|     agreement and used only for the purposes stated in the
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0006|     agreement; 
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0007|                    (3)  the principal in the fund shall be
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0008|     invested as other deposited funds of the county are invested
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0009|     with all interest or other income to the fund accruing to the
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0010|     fund; 
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0011|                    (4)  revenue to the fund, the annual deposit
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0012|     of the amount determined pursuant to Paragraph (2) of this
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0013|     subsection, shall be pledged to refund revenue bonds issued by
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0014|     the county pursuant to the authority granted in this section;
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0015|     and 
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0016|                    (5)  the revenue bonds shall be sold and the
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0017|     proceeds from that sale shall be used to construct the agreed
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0018|     upon infrastructure improvements.
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0019|               B.  The revenue bonds issued pursuant to this
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0020|     section shall be issued in accordance with the provisions of
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0021|     Chapter 4, Article 62 NMSA 1978.
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0022|               C.  The useful life of an infrastructure
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0023|     improvement constructed pursuant to this section shall be at
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0024|     least ten years.  Revenue bonds issued pursuant to this
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0025|     section shall be repaid in full within five years and if the
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0001|     revenue pledged for their repayment is insufficient to repay
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0002|     the principal amount of the bonds and the necessary debt
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0003|     service in five years bonds shall not be issued and an
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0004|     agreement executed pursuant to this section is void.
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0005|                              
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