Pennsylvania Act 2017-45 — CAPITAL FACILITIES DEBT ENABLING ACT - BONDS, ISSUE OF BONDS AND NOTES, MATURITY, INTEREST AND LIMITATION ON REDEVELOPMENT ASSISTANCE CAPITAL PROJECTS AND CAPITAL BUDGETS

Act text

Session of 2017

No. 2017-45

HB 785

AN ACT

Amending the act of February 9, 1999 (P.L.1, No.1), entitled "An act providing for borrowing for capital facilities; conferring powers and duties on various administrative agencies and officers; making appropriations; and making repeals," in capital facilities, further providing for bonds, issue of bonds and notes, maturity, interest and for appropriation for and limitation on redevelopment assistance capital projects; and providing for capital budgets.

The General Assembly of the Commonwealth of Pennsylvania hereby enacts as follows:

Section 1. Section 307(c)(4.1) of the act of February 9, 1999 (P.L.1, No.1), known as the Capital Facilities Debt Enabling Act, is repealed:

Section 307. Bonds, issue of bonds and notes, maturity, interest.

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(c) Terms and conditions.--

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[(4.1) The issuing officials may enter into agreements or contracts to insure or secure payment of principal, interest or the purchase price of bonds which, in the judgment of the issuing officials, will assist in managing the interest costs of the debt of the Commonwealth.]

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Section 2. Section 317(b) of the act is amended to read:

Section 317. Appropriation for and limitation on redevelopment assistance capital projects.

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(b) Limitation.--The maximum amount of redevelopment assistance capital projects undertaken by the Commonwealth for which obligations are outstanding shall not exceed, in aggregate, [$3,450,000,000.] $3,350,000,000. Beginning July 1, 2018, and each July 1 thereafter until the sum of the outstanding obligations for redevelopment assistance capital projects equals $3,150,000,000, the sum of the maximum amount of outstanding obligations for redevelopment assistance projects shall be decreased by $50,000,000.

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Section 3. The act is amended by adding a chapter to read:

CHAPTER 6

CAPITAL BUDGETS

SUBCHAPTER A

SCOPE OF CHAPTER

Section 601. Scope of chapter.

This chapter applies to capital budgets for particular fiscal years.

SUBCHAPTER B

CAPITAL BUDGET ACT OF 2017-2018

Section 611. Short title of subchapter.

This subchapter shall be known and may be cited as the Capital Budget Act of 2017-2018.

Section 612. Overall limitations on debt to be incurred for capital projects.

The maximum principal amount of additional debt to be incurred during the 2017-2018 fiscal year, and thereafter until the enactment of the 2018-2019 capital budget specifying the maximum debt for the 2018-2019 fiscal year, for capital projects specifically itemized in a capital budget pursuant to section 7(a)(4) of Article VIII of the Constitution of Pennsylvania and the fund to be charged with the repayment of such debt shall, with respect to each category of capital projects, be as follows:

Section 4. This act shall take effect immediately.

APPROVED--The 30th day of October, A.D. 2017.

TOM WOLF