SB 207-FN - AS AMENDED BY THE SENATE
4/1/99 0672s
1999 SESSION
SENATE BILL 207
AN ACT relative to authorizing bonds for the construction and renovation of regional vocational education centers.
SPONSORS: Sen. Larsen, Dist 15; Sen. Pignatelli, Dist 13; Sen. Blaisdell, Dist 10; Sen. F. King, Dist 1; Sen. Johnson, Dist 3; Sen. Fernald, Dist 11; Rep. O'Hearn, Hills 26; Rep. Vaughn, Rock 35; Rep. Torr, Straf 12; Rep. LaRose, Hills 27; Rep. Hoadley, Merr 24
This bill authorizes the state treasurer, as requested by the department of education to issue bonds in such amounts not to exceed $85,000,000 for the purpose of construction and renovation of regional vocational education centers, provided that no more than $10,000,000 in such bonds shall be issued per biennium.
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Explanation: Matter added to current law appears in bold italics.
Matter removed from current law appears [in brackets and struckthrough.]
Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.
4/1/99 0672s
99-0619
04/01
STATE OF NEW HAMPSHIRE
In the Year of Our Lord One Thousand Nine Hundred and Ninety-Nine
AN ACT relative to authorizing bonds for the construction and renovation of regional vocational education centers.
Be it Enacted by the Senate and House of Representatives in General Court convened:
1 Regional Vocational Education Centers; Bonding Authority Amended. RSA 188-E:10 is repealed and reenacted to read as follows:
188-E:10 Renovation and Construction of Regional Vocational Education Centers; Bonds Authorized. To provide funds for the renovation and construction of regional vocational education centers, the state treasurer, as may be requested by the department of education, is authorized to borrow upon the credit of the state such amounts so that the total state obligation shall at no time exceed $85,000,000 and for said purposes may issue bonds and notes in the name of and on behalf of the state of New Hampshire in accordance with RSA 6-A. The department of education shall request and the treasurer shall issue bonds only for such amounts as are required for the purposes of this section, provided, however, the department shall request and the treasurer shall issue no more than $10,000,000 per biennium.
2 Effective Date. This act shall take effect July 1, 1999.
LBAO
99-0619
Revised 2/26/99
SB 207 FISCAL NOTE
AN ACT relative to authorizing bonds for the construction and renovation of regional vocational education centers.
FISCAL IMPACT
The Treasury Department has determined that this bill will increase state general fund expen-ditures by $403,746 in FY 2000, by $2,289,237 in FY 2001, by $3,724,233 in FY 2002 and by $3,627,983 in FY 2003. There will be no effect on county or local expenditures or on state, county and local revenues. This bill increases general fund bonded indebtedness by $55,000,000.
The Treasury Department has indicated that the amount of all outstanding general fund bonded indebtedness on behalf of and incurred by the state as of June 30, 1998 is $617,500,000. This amount includes the amortization of anticipated general fund bond sales of June 30, 1998 for authorized but unissued debt in the amount of $170,100,000.
The Treasury Department has assumed that the proposed bond authorization will be issued half in FY 2000 and half in FY 2001. The new issuance will be split 33% Zero Coupon Notes (College Savings Bonds) and 67% Current Interest Bonds. College Savings Bonds bear an es-timated interest rate of 6% and are amortized at a level debt service model for 20 years. Cur-rent Interest Bond rates are variable based on July 1998 rates and are amortized over 20 years (60% of the principal paid in the first ten years, 40% paid in the second 10 years). An estimated debt retirement schedule for all outstanding general fund bonded indebtedness, including the proposed authorization contained in this bill through FY 2003, is displayed below:
|
FISCAL YEAR ENDING |
CURRENT DEBT SERVICE |
PROPOSED ADDITIONAL DEBT SERVICE |
TOTAL | |||
1999 |
$63,380,000 |
$0 |
$63,380,000 | |||
2000 |
$61,188,000 |
$403,746 |
$61,591,746 | |||
2001 |
$58,600,000 |
$2,289,237 |
$60,889,237 | |||
2002 |
$52,506,000 |
$3,724,233 |
$56,230,233 | |||
2003 |
$51,573,000 |
$3,627,983 |
$55,200,983 |
This bill changes the bonding authority from a fixed to a revolving program.