MISSISSIPPI LEGISLATURE REGULAR SESSION 2004

By: Representative Fleming

HOUSE BILL NO. 997

AN ACT TO AUTHORIZE THE ISSUANCE OF GENERAL OBLIGATION BONDS 1

OF THE STATE OF MISSISSIPPI FOR THE PURPOSE OF PROVIDING FUNDS FOR 2

THE CONSTRUCTION OF A SPEEDWAY AND RELATED FACILITIES CAPABLE OF 3

ACCOMMODATING NATIONAL ASSOCIATION FOR STOCK CAR AUTO RACING 4

EVENTS, TO BE LOCATED IN EITHER DESOTO COUNTY, HINDS COUNTY, 5

TUNICA COUNTY, WARREN COUNTY, NESHOBA COUNTY, HARRISON COUNTY OR 6

JACKSON COUNTY, MISSISSIPPI, AS DETERMINED BY THE MISSISSIPPI 7

ATHLETIC COMMISSION; TO AMEND SECTION 75-75-105, MISSISSIPPI CODE 8

OF 1972, TO PROVIDE THAT THE MISSISSIPPI ATHLETIC COMMISSION SHALL 9

HAVE THE AUTHORITY TO DETERMINE THE LOCATION OF SUCH SPEEDWAY AND 10

RELATED FACILITIES AND THE AUTHORITY TO REGULATE, MANAGE AND 11

CONTROL THE OPERATION OF SUCH SPEEDWAY AND RELATED FACILITIES; AND 12

FOR RELATED PURPOSES. 13

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI: 14

following words shall have the meanings ascribed herein unless the 16

context clearly requires otherwise: 17

(a) "Accreted value" of any bond means, as of any date 18

of computation, an amount equal to the sum of (i) the stated 19

initial value of such bond, plus (ii) the interest accrued thereon 20

from the issue date to the date of computation at the rate, 21

compounded semiannually, that is necessary to produce the 22

approximate yield to maturity shown for bonds of the same 23

maturity. 24

(b) "State" means the State of Mississippi. 25

(c) "Commission" means the State Bond Commission. 26

"National Association for Stock Car Auto Racing Speedway 28

Construction Fund" is created within the State Treasury. The fund 29

shall be maintained by the State Treasurer as a separate and 30

special fund, separate and apart from the General Fund of the 31

state. Unexpended amounts remaining in the fund at the end of a 32

04/HR07/R514

fiscal year shall not lapse into the State General Fund, and any 33

interest earned or investment earnings on amounts in the fund 34

shall be deposited into such fund. 35

(b) Monies deposited into the fund shall be disbursed, 36

in the discretion of the Department of Finance and Administration, 37

to pay the costs of for the purpose of constructing, furnishing 38

and equipping a speedway and related facilities capable of 39

accommodating National Association for Stock Car Auto Racing 40

events, to be located in either DeSoto County, Hinds County, 41

Tunica County, Warren County, Neshoba County, Harrison County or 42

Jackson County, Mississippi, as determined by the Mississippi 43

Athletic Commission. 44

(2) Amounts deposited into such special fund shall be 45

disbursed to pay the costs of the projects described in subsection 46

(1) of this section. Promptly after the commission has certified, 47

by resolution duly adopted, that the projects described in 48

subsection (1) of this section shall have been completed, 49

abandoned, or cannot be completed in a timely fashion, any amounts 50

remaining in such special fund shall be applied to pay debt 51

service on the bonds issued under this act, in accordance with the 52

proceedings authorizing the issuance of such bonds and as directed 53

by the commission. 54

(3) The Department of Finance and Administration, acting 55

through the Bureau of Building, Grounds and Real Property 56

Management, is expressly authorized and empowered to receive and 57

expend any local or other source funds in connection with the 58

expenditure of funds provided for in this section. The 59

expenditure of monies deposited into the special fund shall be 60

under the direction of the Department of Finance and 61

Administration, and such funds shall be paid by the State 62

Treasurer upon warrants issued by such department, which warrants 63

shall be issued upon requisitions signed by the Executive Director 64

of the Department of Finance and Administration or his designee. 65

04/HR07/R514

time, may declare by resolution the necessity for issuance of 67

general obligation bonds of the State of Mississippi to provide 68

funds for all costs incurred or to be incurred for the purposes 69

described in Section 2 of this act. Upon the adoption of a 70

resolution by the Department of Finance and Administration, 71

declaring the necessity for the issuance of any part or all of the 72

general obligation bonds authorized by this section, the 73

Department of Finance and Administration shall deliver a certified 74

copy of its resolution or resolutions to the commission. Upon 75

receipt of such resolution, the commission, in its discretion, may 76

act as the issuing agent, prescribe the form of the bonds, 77

advertise for and accept bids, issue and sell the bonds so 78

authorized to be sold and do any and all other things necessary 79

and advisable in connection with the issuance and sale of such 80

bonds. The total amount of bonds issued under Sections 1 through 81

17 of this act shall not exceed One Hundred Million Dollars 82

($100,000,000.00). 83

(2) Any investment earnings on amounts deposited into the 84

special fund created in Section 2 of this act shall be used to pay 85

debt service on bonds issued under Sections 1 through 17 of this 86

act, in accordance with the proceedings authorizing issuance of 87

such bonds. 88

authorized under Sections 1 through 17 of this act shall be 90

payable in the manner provided in this section. Such bonds shall 91

bear such date or dates, be in such denomination or denominations, 92

bear interest at such rate or rates (not to exceed the limits set 93

forth in Section 75-17-101, Mississippi Code of 1972), be payable 94

at such place or places within or without the State of 95

Mississippi, shall mature absolutely at such time or times not to 96

exceed twenty-five (25) years from date of issue, be redeemable 97

before maturity at such time or times and upon such terms, with or 98

04/HR07/R514

without premium, shall bear such registration privileges, and 99

shall be substantially in such form, all as shall be determined by 100

resolution of the commission. 101

this act shall be signed by the chairman of the commission, or by 103

his facsimile signature, and the official seal of the commission 104

shall be affixed thereto, attested by the secretary of the 105

commission. The interest coupons, if any, to be attached to such 106

bonds may be executed by the facsimile signatures of such 107

officers. Whenever any such bonds shall have been signed by the 108

officials designated to sign the bonds who were in office at the 109

time of such signing but who may have ceased to be such officers 110

before the sale and delivery of such bonds, or who may not have 111

been in office on the date such bonds may bear, the signatures of 112

such officers upon such bonds and coupons shall nevertheless be 113

valid and sufficient for all purposes and have the same effect as 114

if the person so officially signing such bonds had remained in 115

office until their delivery to the purchaser, or had been in 116

office on the date such bonds may bear. However, notwithstanding 117

anything herein to the contrary, such bonds may be issued as 118

provided in the Registered Bond Act of the State of Mississippi. 119

provisions of Sections 1 through 17 of this act have all the 121

qualities and incidents of negotiable instruments under the 122

provisions of the Uniform Commercial Code, and in exercising the 123

powers granted by Sections 1 through 17 of this act, the 124

commission shall not be required to and need not comply with the 125

provisions of the Uniform Commercial Code. 126

the bonds authorized under Sections 1 through 17 of this act, 128

prescribe the form of the bonds, advertise for and accept bids, 129

issue and sell the bonds so authorized to be sold, pay all fees 130

and costs incurred in such issuance and sale, and do any and all 131

04/HR07/R514

other things necessary and advisable in connection with the 132

issuance and sale of such bonds. The commission is authorized and 133

empowered to pay the costs that are incident to the sale, issuance 134

and delivery of the bonds authorized under Sections 1 through 17 135

this act from the proceeds derived from the sale of such bonds. 136

The commission shall sell such bonds on sealed bids at public 137

sale, and for such price as it may determine to be for the best 138

interest of the State of Mississippi, but no such sale shall be 139

made at a price less than par plus accrued interest to the date of 140

delivery of the bonds to the purchaser. All interest accruing on 141

such bonds so issued shall be payable semiannually or annually; 142

however, the first interest payment may be for any period of not 143

more than one (1) year. 144

Notice of the sale of any such bonds shall be published at 145

least one time, not less than ten (10) days before the date of 146

sale, and shall be so published in one or more newspapers 147

published or having a general circulation in the City of Jackson, 148

Mississippi, and in one or more other newspapers or financial 149

journals with a national circulation, to be selected by the 150

commission. 151

The commission, when issuing any bonds under the authority of 152

Sections 1 through 17 of this act, may provide that bonds, at the 153

option of the State of Mississippi, may be called in for payment 154

and redemption at the call price named therein and accrued 155

interest on such date or dates named therein. 156

1 through 17 of this act are general obligations of the State of 158

Mississippi, and for the payment thereof the full faith and credit 159

of the State of Mississippi is irrevocably pledged. If the funds 160

appropriated by the Legislature are insufficient to pay the 161

principal of and the interest on such bonds as they become due, 162

then the deficiency shall be paid by the State Treasurer from any 163

funds in the State Treasury not otherwise appropriated. All such 164

04/HR07/R514

bonds shall contain recitals on their faces substantially covering 165

the provisions of this section. 166

provisions of Sections 1 through 17 of this act, the commission 168

shall transfer the proceeds of any such sale or sales to the 169

special fund created in Section 2 of this act. The proceeds of 170

such bonds shall be disbursed solely upon the order of the 171

Department of Finance and Administration under such restrictions, 172

if any, as may be contained in the resolution providing for the 173

issuance of the bonds. 174

of this act may be issued without any other proceedings or the 176

happening of any other conditions or things other than those 177

proceedings, conditions and things which are specified or required 178

by Sections 1 through 17 of this act. Any resolution providing 179

for the issuance of bonds under the provisions of this act shall 180

become effective immediately upon its adoption by the commission, 181

and any such resolution may be adopted at any regular or special 182

meeting of the commission by a majority of its members. 183

Sections 1 through 17 of this act may be validated in the Chancery 185

Court of the First Judicial District of Hinds County, Mississippi, 186

in the manner and with the force and effect provided by Chapter 187

13, Title 31, Mississippi Code of 1972, for the validation of 188

county, municipal, school district and other bonds. The notice to 189

taxpayers required by such statutes shall be published in a 190

newspaper published or having a general circulation in the City of 191

Jackson, Mississippi. 192

of Sections 1 through 17 of this act or of any of the interest 194

coupons pertaining thereto may, either at law or in equity, by 195

suit, action, mandamus or other proceeding, protect and enforce 196

any and all rights granted under Sections 1 through 17 of this 197

04/HR07/R514

act, or under such resolution, and may enforce and compel 198

performance of all duties required by Sections 1 through 17 of 199

this act to be performed, in order to provide for the payment of 200

bonds and interest thereon. 201

Sections 1 through 17 of this act shall be legal investments for 203

trustees and other fiduciaries, and for savings banks, trust 204

companies and insurance companies organized under the laws of the 205

State of Mississippi, and such bonds shall be legal securities 206

which may be deposited with and shall be received by all public 207

officers and bodies of this state and all municipalities and 208

political subdivisions for the purpose of securing the deposit of 209

public funds. 210

1 through 17 this act and income therefrom shall be exempt from 212

all taxation in the State of Mississippi. 213

1 through 17 of this act shall be used solely for the purposes 215

herein provided, including the costs incident to the issuance and 216

sale of such bonds. 217

further process of law, to certify to the Department of Finance 219

and Administration the necessity for warrants, and the Department 220

of Finance and Administration is authorized and directed to issue 221

such warrants, in such amounts as may be necessary to pay when due 222

the principal of, premium, if any, and interest on, or the 223

accreted value of, all bonds issued under Sections 1 through 17 of 224

this act; and the State Treasurer shall forward the necessary 225

amount to the designated place or places of payment of such bonds 226

in ample time to discharge such bonds, or the interest thereon, on 227

the due dates thereof. 228

deemed to be full and complete authority for the exercise of the 230

04/HR07/R514

powers herein granted, but this act shall not be deemed to repeal 231

or to be in derogation of any existing law of this state. 232

amended as follows: 234

75-75-105. The commission shall have a seal and shall have 235

and is hereby vested with the sole direction, management, control 236

and jurisdiction over all boxing, sparring and wrestling matches 237

or exhibitions to be conducted, held or given within the State of 238

Mississippi. The commission has full power and authority and it 239

shall be its duty: (a) to make and publish rules and regulations 240

governing the conduct of boxing, sparring and wrestling matches 241

and exhibitions, the time and place thereof, and the prices 242

charged for admission thereto; (b) to accept application for and, 243

in its discretion, order a license or permit issued to promoters 244

and participants of these events, and to revoke the license or 245

permit; (c) to collect through the recorder of permits and 246

licenses a fee of six percent (6%) of the gross receipts of every 247

boxing, sparring or wrestling match or exhibition, and a 248

reasonable fee not to exceed One Hundred Dollars ($100.00) for 249

each annual license or permit issued to a boxer, wrestler, 250

referee, judge, matchmaker, promoter, manager, trainer, second, 251

director, or timekeeper; and (d) to revoke any license or permit 252

when, in its judgment, the public welfare requires it. The 253

commission is prohibited from issuing regulations which may be 254

construed as granting a franchised or exclusive territory, and 255

from the issuing of any type of monopolistic license or permit. 256

The commission shall have the authority to determine the 257

location of a speedway and related facilities within the State of 258

Mississippi, capable of accommodating National Association for 259

Stock Car Auto Racing events. Such speedway and related 260

facilities shall be located in either DeSoto County, Hinds County, 261

Tunica County, Warren County, Neshoba County, Harrison County or 262

Jackson County, Mississippi, as determined by the commission. The 263

04/HR07/R514

ST: Bonds; issue for construction of NASCAR

speedway and related facilities.