2004 Committee Substitute for HB0294TRS

HOUSE TAXATION AND REVENUE COMMITTEE SUBSTITUTE FOR

HOUSE BILL 294

46th legislature - STATE OF NEW MEXICO - second session, 2004

AN ACT

AUTHORIZING THE ISSUANCE AND SALE OF CAPITAL PROJECTS GENERAL OBLIGATION BONDS TO MAKE CAPITAL EXPENDITURES FOR SENIOR CITIZEN FACILITY IMPROVEMENTS AND ACQUISITIONS, FOR HIGHER EDUCATIONAL CAPITAL IMPROVEMENTS AND ACQUISITIONS, FOR WATER PROJECT IMPROVEMENTS, FOR PUBLIC LIBRARY ACQUISITIONS, FOR OTHER STATE CAPITAL EXPENDITURES AND FOR PUBLIC SCHOOL EDUCATIONAL TECHNOLOGY; PROVIDING FOR A TAX LEVY FOR PAYMENT OF PRINCIPAL OF, INTEREST ON AND CERTAIN COSTS RELATED TO THE BONDS; REQUIRING APPROVAL OF THE REGISTERED VOTERS AT THE 2004 GENERAL ELECTION OF THE STATE; AMENDING A SECTION OF THE PROJECTS GENERAL BOND ACT PERTAINING TO THE REVERSION OF BOND PROCEEDS; DECLARING AN EMERGENCY.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:

Section 1. [NEW MATERIAL] SHORT TITLE.--Sections 1 through 14 of this act may be cited as the "2004 Capital Projects General Obligation Bond Act".

Section 2. [NEW MATERIAL] PURPOSE.--For the purpose of providing funds for capital expenditures as authorized in the 2004 Capital Projects General Obligation Bond Act, general obligation indebtedness of the state is authorized for the purposes and in the amounts set forth in Section 10 of that act.

Section 3. [NEW MATERIAL] BOND TERMS.--

A. The state board of finance, except as limited by the 2004 Capital Projects General Obligation Bond Act, shall determine the terms, covenants and conditions of bonds issued pursuant to that act, including but not limited to:

(1) date or dates of issue, denominations and maturities;

(2) principal amounts;

(3) rate or rates of interest; and

(4) provisions for redemption, including premiums, registration and refundability, whether the bonds are issued in one or more series and other covenants relating to the bonds and the issuance thereof.

B. The bonds shall be in such form as the state board of finance determines with an appropriate series designation and shall bear interest payable as set forth in the resolution of the state board of finance.

C. Payment of the principal of the bonds shall begin not more than two years after the date of their issuance, and the bonds shall mature not later than ten years after the date of their issuance. Both principal and interest shall be payable in lawful money of the United States at the office of the paying agent within or without the state as the state board of finance may direct.

D. The bonds shall be executed with the manual or facsimile signature of the governor or the state treasurer, and the seal or a facsimile of the seal of the state shall be placed on each bond, except for any series of bonds issued in book entry or similar form without the delivery of physical securities.

E. The bonds shall be issued in accordance with the provisions of the 2004 Capital Projects General Obligation Bond Act, the Supplemental Public Securities Act and the Uniform Facsimile Signature of Public Officials Act and may be issued in accordance with the Public Securities Short-Term Interest Rate Act.

F. The full faith and credit of the state is pledged for the prompt payment when due of the principal of and interest on all bonds issued and sold pursuant to the 2004 Capital Projects General Obligation Bond Act.

Section 4. [NEW MATERIAL] EXPENDITURES.--The proceeds from the sale of the bonds shall be expended solely for providing money to be distributed for the purposes and in amounts not to exceed the amounts set forth in Section 10 of the 2004 Capital Projects General Obligation Bond Act and to pay expenses incurred under Section 6 of that act. Any proceeds from the sale of the bonds that are not required for the purposes set forth in Sections 6 and 10 of that act shall be used for the purpose of paying the principal of and interest on the bonds.

Section 5. [NEW MATERIAL] SALE.--The bonds authorized under the 2004 Capital Projects General Obligation Bond Act shall be sold by the state board of finance at such time and in such manner and amounts as the board may elect. The bonds may be sold at private sale or at public sale, in either case at not less than par plus accrued interest to the date of delivery. If sold at public sale, the state board of finance shall publish a notice of the time and place of sale in a newspaper of general circulation in the state and may also publish the notice in a recognized financial journal outside the state. The required publications shall be made once each week for two consecutive weeks prior to the date fixed for the sale, the last publication thereof to be at least five days prior to the date of the sale. The notice shall specify the amount, denomination, maturity and description of the bonds to be offered for sale and the place, date and hour at which the sealed bids shall be received. At the time and place specified in the notice, the state board of finance shall open the bids in public and shall award the bonds to the bidder or bidders offering the best price for the bonds. The state board of finance may reject any or all bids and readvertise and may waive any irregularity in a bid. All bids, except that of the state, shall be accompanied by a deposit of two percent of the principal amount of the bonds in a form acceptable to the state board of finance. The deposit of an unsuccessful bidder shall be returned upon rejection of the bid. The state board of finance may also sell the bonds or any part of the bonds to the state treasurer or state investment officer. The state treasurer or state investment officer is authorized to purchase any of the bonds for investment. The bonds are legal investments for any person or board charged with the investment of any public funds and may be accepted as security for any deposit of public money.

Section 6. [NEW MATERIAL] EXPENSES.--The expenses incurred by the state board of finance in or relating to the preparation and sale of the bonds shall be paid out of the proceeds from the sale of the bonds, and all rebate, penalty, interest and other obligations of the state relating to the bonds and bond proceeds under the Internal Revenue Code of 1986, as amended, shall be paid from earnings on bond proceeds or other money of the state, legally available for such payments.

Section 7. [NEW MATERIAL] TAX LEVY.--To provide for the payment of the principal of and interest on the bonds issued and sold pursuant to the provisions of the 2004 Capital Projects General Obligation Bond Act, there shall be and there is hereby imposed and levied during each year in which any of the bonds are outstanding an ad valorem tax on all property in the state subject to property taxation for state purposes sufficient to pay the interest as it becomes due on the bonds, together with an amount sufficient to provide a sinking fund to pay the principal of the bonds as it becomes due and, if permitted by law, ad valorem taxes may be collected to pay administrative costs incident to the collection of such taxes. The taxes shall be imposed, levied, assessed and collected at the times and in the manner that other property taxes for state purposes are imposed, levied, assessed and collected. It is the duty of all tax officials and authorities to cause these taxes to be imposed, levied, assessed and collected.

Section 8. [NEW MATERIAL] TREASURER--DUTIES.--The state treasurer shall keep separate accounts of all money collected pursuant to the taxes imposed and levied pursuant to the provisions of the 2004 Capital Projects General Obligation Bond Act and shall use this money only for the purposes of paying the principal of and interest on the bonds as they become due and any expenses relating thereto.

Section 9. [NEW MATERIAL] IRREPEALABLE CONTRACT--AUTHORITY FOR ISSUANCE.--An owner of bonds issued pursuant to the provisions of the 2004 Capital Projects General Obligation Bond Act may, either at law or in equity, by suit, action or mandamus, enforce and compel the performance of the duties required by that act of any officer or entity mentioned in that act. The provisions of that act constitute an irrepealable contract with the owners of any of the bonds issued pursuant to that act for the faithful performance of which the full faith and credit of the state is pledged. Without reference to any other act of the legislature, the 2004 Capital Projects General Obligation Bond Act is full authority for the issuance and sale of the bonds authorized in that act, and such bonds shall have all the qualities of investment securities under the Uniform Commercial Code, shall not be invalid for any irregularity or defect in the proceedings for the issuance and sale of the bonds and shall be incontestable in the hands of bona fide purchasers or holders thereof for value. All bonds issued under the provisions of that act, and the interest thereon, are exempt from taxation by the state and any subdivision or public body thereof.

Section 10. [NEW MATERIAL] PROJECTS.--The proceeds from the sale of bonds issued under the provisions of the 2004 Capital Projects General Obligation Bond Act shall be distributed as follows for the purposes and in the amounts specified:

A. for senior citizen facility improvements and construction, to the state agency on aging:

(1) forty-three thousand dollars ($43,000) to make improvements to Los Volcanes senior center in Bernalillo county;

(2) sixty thousand dollars ($60,000) to make improvements to the Barelas senior center in Bernalillo county;

(3) one hundred fifty thousand dollars ($150,000) to make improvements to the county building for the New Mexico senior citizens olympic program in Chaves county;

(4) one hundred thousand dollars ($100,000) to make improvements to the Pueblo of Acoma senior center in Cibola county;

(5) fifty-two thousand dollars ($52,000) to make improvements to the Melrose senior center in Colfax county;

(6) seventy-five thousand dollars ($75,000) to make improvements to the Baxter-Curran senior centers in the Alice Converse complex in Clovis in Curry county;

(7) two hundred twenty thousand dollars ($220,000) to make improvements to the Old Mesilla community senior center in Dona Ana county;

(8) one hundred thousand dollars ($100,000) for improvements to the old Santa Clara senior center in Grant county;

(9) one hundred forty thousand dollars ($140,000) to make improvements to La Loma senior center in Guadalupe county;

(10) ninety thousand dollars ($90,000) to renovate the Lovington senior center in Lea county;

(11) one hundred forty thousand dollars ($140,000) to make improvements to the Hobbs senior center in Lea county;

(12) seventy thousand dollars ($70,000) to make improvements to the Ojo Encino chapter senior center of the Navajo Nation in McKinley county;

(13) ninety-five thousand dollars ($95,000) to make improvements to the Crownpoint senior center of the Navajo Nation in McKinley county;

(14) one hundred fifty thousand dollars ($150,000) to make improvements to the senior center in Chama in Rio Arriba county;

(15) three hundred eighty thousand dollars ($380,000) to complete construction of the Pueblo of Santa Clara senior center in Rio Arriba county;

(16) two hundred thousand dollars ($200,000) to complete the adult daycare center in Rio Arriba county;

(17) eighty-three thousand six hundred ninety-three dollars ($83,693) to make improvements to the Rio Arriba county senior centers in Rio Arriba county;

(18) five hundred sixty-two thousand dollars ($562,000) to make improvements to or construct a senior center in Pecos in San Miguel county;

(19) seventy-five thousand dollars ($75,000) to make improvements to the Pueblo of Santa Ana senior center in Sandoval county;

(20) fifty-one thousand six hundred dollars ($51,600) to make improvements to the Bernalillo senior center in Sandoval county;

(21) one hundred twenty-five thousand dollars ($125,000) to make improvements to the Pasatiempo senior center in Santa Fe county;

(22) two hundred twenty-five thousand dollars ($225,000) to make improvements to El Rancho senior center in Santa Fe county;

(23) ninety thousand dollars ($90,000) to make improvements to the Santa Fe MEG senior center for the meals on wheels program in Santa Fe county;

(24) five hundred thousand dollars ($500,000) to complete construction of the Magdalena senior center in Socorro county; and

(25) one hundred seventy-five thousand three hundred seventy-seven dollars ($175,377) to make improvements to comply with the Americans with Disabilities Act of 1990 to the Pueblo of Picuris senior center in Taos county;

B. for higher education capital improvements and acquisitions, to the commission on higher education:

(1) four million four hundred ten thousand dollars ($4,410,000) for information technology and infrastructure at institutions of higher learning and constitutional special schools statewide;

(2) two million three hundred thousand dollars ($2,300,000) for phase 2 upgrades of public television digital equipment to meet federal communications commission mandates for KNME's digital channel;

(3) one million seven hundred eighty-nine thousand five hundred forty-eight dollars ($1,789,548) for health and safety improvements to comply with the Americans with Disabilities Act of 1990 at institutions of higher learning and constitutional special schools statewide;

(4) seven million dollars ($7,000,000) to plan, design, construct and equip the westside classroom addition at Albuquerque technical-vocational institute in Bernalillo county;

(5) four hundred forty thousand dollars ($440,000) for electrical distribution and deferred maintenance upgrades at Albuquerque technical-vocational institute in Bernalillo county;

(6) five hundred thousand dollars ($500,000) to plan, design, construct and equip a classroom addition at Clovis community college in Curry county;

(7) one hundred fifty thousand dollars ($150,000) for infrastructure renovation and expansion at Clovis community college in Curry county;

(8) one hundred seventy-five thousand dollars ($175,000) for infrastructure renovation and expansion at eastern New Mexico university's Roswell campus in Chaves county;

(9) three million dollars ($3,000,000) to plan, design, construct and equip the health sciences center at eastern New Mexico university's Roswell campus in Chaves county;

(10) one hundred thousand dollars ($100,000) for infrastructure improvements at eastern New Mexico university's Ruidoso campus in Lincoln county;

(11) seven hundred fifty thousand dollars ($750,000) to plan, design and construct phase 1 of the instruction center expansion at eastern New Mexico university's Ruidoso campus in Lincoln county;

(12) seven hundred thousand dollars ($700,000) to plan, design, construct and equip a science building at eastern New Mexico university in Portales in Roosevelt county;

(13) five hundred thousand dollars ($500,000) for upgrading campus infrastructure and addressing deferred maintenance needs at eastern New Mexico university in Portales in Roosevelt county;

(14) six million three hundred thousand dollars ($6,300,000) to plan, design, construct and equip a science education facility at the eastern New Mexico university campus in Curry county;

(15) two hundred thirty thousand dollars ($230,000) for infrastructure improvements for the electrical distribution and energy management systems at Luna vocational-technical institute in Las Vegas in San Miguel county;

(16) one million dollars ($1,000,000) to plan, design, construct and equip the renovation of the business occupations building at Luna vocational-technical institute in Las Vegas in San Miguel county;

(17) eighty-eight thousand dollars ($88,000) for infrastructure renovation and improvements at Mesalands community college in Tucumcari in Quay county;

(18) six hundred thousand dollars ($600,000) to plan, design and construct phase 2 of a building addition at Mesalands community college in Tucumcari in Quay county;

(19) three million dollars ($3,000,000) to plan, design, construct, equip and furnish the renovation of the old science building and annex at New Mexico highlands university in Las Vegas in San Miguel county;

(20) four hundred thousand dollars ($400,000) for infrastructure renovation and expansion at New Mexico highlands university in Las Vegas in San Miguel county;

(21) two million five hundred thousand dollars ($2,500,000) to plan, design and construct improvements to the dormitories at New Mexico highlands university in Las Vegas in San Miguel county;

(22) three million five hundred thousand dollars ($3,500,000) to renovate Kelly and Jones halls at New Mexico institute of mining and technology in Socorro in Socorro county;

(23) seven hundred fifty thousand dollars ($750,000) for infrastructure renovation and expansion at New Mexico institute of mining and technology in Socorro in Socorro county;

(24) one hundred forty thousand dollars ($140,000) for infrastructure improvements at New Mexico junior college in Hobbs in Lea county;

(25) three million one hundred thousand dollars ($3,100,000) to plan, design, construct and equip the workforce instructional training center at New Mexico junior college in Hobbs in Lea county;

(26) one million dollars ($1,000,000) for the cowboy hall of fame at New Mexico junior college in Hobbs in Lea county;

(27) four hundred fifty thousand dollars ($450,000) for infrastructure renovation and expansion at New Mexico military institute in Roswell in Chaves county;

(28) one million three hundred thousand dollars ($1,300,000) to plan, design, construct and equip the renovation of McClure hall at New Mexico military institute in Roswell in Chaves county;

(29) one hundred ninety thousand dollars ($190,000) for health, safety and accessibility improvements at New Mexico school for the deaf in Santa Fe in Santa Fe county;

(30) six million dollars ($6,000,000) to renovate Hester hall at New Mexico school for the deaf in Santa Fe in Santa Fe county;

(31) one hundred seventy-five thousand dollars ($175,000) for infrastructure renovation and expansion at New Mexico state university's Grants campus in Cibola county;

(32) two million dollars ($2,000,000) for infrastructure renovation and expansion at New Mexico state university in Las Cruces in Dona Ana county;

(33) three million five hundred thousand dollars ($3,500,000) to plan, design, construct and equip phase 3 of the East Mesa center at New Mexico state university's Dona Ana campus in Las Cruces in Dona Ana county;

(34) nine million five hundred thousand dollars ($9,500,000) to renovate and expand O'Donnell hall at New Mexico state university in Las Cruces in Dona Ana county;

(35) two hundred twenty-five thousand dollars ($225,000) for infrastructure renovation and expansion at New Mexico state university's Dona Ana community college's central campus in Dona Ana county;

(36) eighty thousand dollars ($80,000) for infrastructure renovation and expansion at New Mexico state university's Carlsbad campus in Eddy county;

(37) two hundred eighty thousand dollars ($280,000) for infrastructure renovation and expansion at New Mexico state university's Alamogordo campus in Otero county;

(38) two hundred forty thousand dollars ($240,000) for health, safety and accessibility improvements at the New Mexico school for the visually handicapped in Alamogordo in Otero county;

(39) six hundred thousand dollars ($600,000) to plan, design, construct and equip the automotive technology building at northern New Mexico state school in Espanola in Rio Arriba county;

(40) two hundred sixty thousand dollars ($260,000) for infrastructure renovation and site improvements at northern New Mexico state school in Espanola in Rio Arriba county;

(41) three hundred twenty thousand dollars ($320,000) for infrastructure and health and safety improvements at Santa Fe community college in Santa Fe county;

(42) two million dollars ($2,000,000) to plan, design, construct and equip the renovation of the trades and technology facilities at San Juan college in Farmington in San Juan county;

(43) three hundred fifty thousand dollars ($350,000) for infrastructure upgrades and site improvements at San Juan college in Farmington in San Juan county;

(44) two million dollars ($2,000,000) for patient care equipment at the health sciences center at the university of New Mexico in Albuquerque in Bernalillo county;

(45) three million dollars ($3,000,000) for core building renovation of existing facilities at the university of New Mexico in Albuquerque in Bernalillo county;

(46) eight million dollars ($8,000,000) to plan, design, construct and equip the health sciences center anatomy laboratories at the university of New Mexico in Albuquerque in Bernalillo county;

(47) four million dollars ($4,000,000) to plan, design, construct and equip the centennial engineering center at the university of New Mexico in Albuquerque in Bernalillo county;

(48) two hundred thousand dollars ($200,000) to install equipment for a clean room at the university of New Mexico in Albuquerque in Bernalillo county;

(49) eighty-five thousand dollars ($85,000) for infrastructure renovation and expansion at the university of New Mexico's Los Alamos branch in Los Alamos county;

(50) three hundred fifty thousand dollars ($350,000) to plan, design, construct and equip a maintenance plant operations building at the university of New Mexico's Los Alamos campus in Los Alamos county;

(51) one million dollars ($1,000,000) to plan, design, construct and equip the expansion of the health career center at the university of New Mexico's Gallup campus in McKinley county;

(52) two hundred sixty thousand dollars ($260,000) for infrastructure improvements at the university of New Mexico's Gallup branch in McKinley county;

(53) one million five hundred thousand dollars ($1,500,000) to plan, design, construct and equip phase 4 of the education center, library, student center and trades facility at the university of New Mexico's Taos campus in Taos county;

(54) fifty thousand dollars ($50,000) for infrastructure improvements at the university of New Mexico's Valencia campus in Los Lunas in Valencia county;

(55) five hundred thousand dollars ($500,000) to plan, design, construct and equip the expansion of the vocational facility at the university of New Mexico's Valencia campus in Los Lunas in Valencia county;

(56) four hundred ninety thousand dollars ($490,000) for infrastructure renovation and expansion at western New Mexico university in Silver City in Grant county; and

(57) one million two hundred fifty thousand dollars ($1,250,000) to plan, design, construct and equip a classroom addition to Harlan hall at western New Mexico university in Silver City in Grant county;

C. for library acquisitions:

(1) to the commission on higher education, three million eight hundred eighty-eight thousand dollars ($3,888,000) for library resource acquisitions for state academic libraries statewide;

(2) to the office of cultural affairs:

(a) five million eight hundred thirty-two thousand dollars ($5,832,000) for supplemental library resource acquisitions, including books, equipment and resources, for public libraries statewide;

(b) six million one hundred fifty-six thousand dollars ($6,156,000) to acquire library books, equipment and library resources for public school and juvenile detention libraries statewide; and

(c) three hundred twenty-four thousand dollars ($324,000) to acquire library books, equipment and library materials for the state library and the Angelico Chavez history library; and

D. for full-day kindergarten projects, to the public education department:

(1) two million two hundred seventy-seven thousand four hundred dollars ($2,277,400) for the construction of portable classrooms and classroom renovations for full-day kindergarten in the Albuquerque public school district in Bernalillo county;

(2) fifty-seven thousand eight hundred twenty dollars ($57,820) to construct a portable classroom for full-day kindergarten in the Reserve independent school district in Catron county;

(3) fifty-seven thousand eight hundred twenty dollars ($57,820) to construct a portable classroom for full-day kindergarten in the Maxwell municipal school district in Colfax county;

(4) fifty-seven thousand eight hundred twenty dollars ($57,820) to construct a portable classroom for full-day kindergarten in the Texico municipal school district in Curry county;

(5) ninety-three thousand nine hundred eighty dollars ($93,980) to construct portable classrooms for full-day kindergarten in the Clovis municipal school district in Curry county;

(6) fifty-seven thousand eight hundred twenty dollars ($57,820) to construct a portable classroom for full-day kindergarten in the Fort Sumner municipal school district in De Baca county;

(7) one hundred seventy-four thousand six hundred forty dollars ($174,640) to construct portable classrooms for full-day kindergarten in the Gadsden independent school district in Dona Ana county;

(8) one hundred forty-five thousand one hundred forty dollars ($145,140) to construct portable classrooms for full-day kindergarten in the Las Cruces public school district in Dona Ana county;

(9) one hundred forty-five thousand one hundred forty dollars ($145,140) to construct portable classrooms for full-day kindergarten in the Hobbs municipal school district in Lea county;

(10) fifty-seven thousand eight hundred twenty dollars ($57,820) to construct portable classrooms for full-day kindergarten in the Ruidoso municipal school district in Lincoln county;

(11) three hundred twenty-four thousand five hundred dollars ($324,500) to construct portable classrooms for full-day kindergarten in the Los Alamos public school district in Los Alamos county;

(12) one hundred forty-five thousand one hundred forty dollars ($145,140) to construct portable classrooms for full-day kindergarten in the Espanola public school district in Rio Arriba county;

(13) fifty-seven thousand eight hundred twenty dollars ($57,820) to construct a portable classroom for full-day kindergarten in the Portales municipal school district in Roosevelt county;

(14) one hundred forty-five thousand one hundred forty dollars ($145,140) to construct portable classrooms for full-day kindergarten in the Farmington municipal school district in San Juan county;

(15) one hundred forty-five thousand one hundred forty dollars ($145,140) to construct portable classrooms for full-day kindergarten in the west Las Vegas public school district in San Miguel county;

(16) six hundred forty-nine thousand dollars ($649,000) to construct portable classrooms for full-day kindergarten in the Rio Rancho public school district in Sandoval county;

(17) sixty-four thousand four hundred eighty dollars ($64,480) to construct a portable classroom for full-day kindergarten in the Cuba independent school district in Sandoval county;

(18) two hundred eighty-five thousand five hundred sixty dollars ($285,560) to construct portable classrooms for full-day kindergarten in the Santa Fe public school district in Santa Fe county; and

(19) fifty-seven thousand eight hundred twenty dollars ($57,820) to construct a portable classroom for full-day kindergarten in the Socorro consolidated school district in Socorro county.

Section 11. [NEW MATERIAL] ELECTION.--

A. Bonds issued pursuant to the 2004 Capital Projects General Obligation Bond Act shall be submitted to the registered voters of the state at the general election to be held in November 2004, and, if they receive a majority of all the votes cast thereon at such election, shall take effect upon certification of the state canvassing board announcing the results of such election. No bonds shall be issued or sold under the 2004 Capital Projects General Obligation Bond Act until the registered voters of this state have voted upon and approved the bonds and property tax as provided in this section. Any bonds issued under that act shall be issued within thirty months from the date of such election.

B. The ballots used at the 2004 general election shall contain substantially the following language:

(1) "The 2004 Capital Projects General Obligation Bond Act authorizes the issuance and sale of senior citizen facility improvement and construction bonds. Shall the state be authorized to issue general obligation bonds in an amount not to exceed four million fifty thousand dollars ($4,050,000) to make capital expenditures for certain senior citizen facility improvements and construction projects and provide for a general property tax imposition and levy for the payment of principal of, interest on and expenses incurred in connection with the issuance of the bonds and the collection of the tax as permitted by law?

For________________ Against___________________";

(2) "The 2004 Capital Projects General Obligation Bond Act authorizes the issuance and sale of higher educational capital improvement and acquisition bonds. Shall the state be authorized to issue general obligation bonds in an amount not to exceed ninety-four million eight hundred ninety-two thousand dollars ($94,892,000) to make capital expenditures for certain higher educational capital improvements and acquisitions and provide for a general property tax imposition and levy for the payment of principal of, interest on and expenses incurred in connection with the issuance of the bonds and the collection of the tax as permitted by law?

For________________ Against___________________";

(3) "The 2004 Capital Projects General Obligation Bond Act authorizes the issuance and sale of library acquisition bonds. Shall the state be authorized to issue general obligation bonds in an amount not to exceed sixteen million three hundred fifteen thousand dollars ($16,315,000) to make capital expenditures for public library acquisitions and provide for a general property tax imposition and levy for the payment of principal of, interest on and expenses incurred in connection with the issuance of the bonds and the collection of the tax as permitted by law?

For________________ Against___________________"; and

(4) "The 2004 Capital Projects General Obligation Bond Act authorizes the issuance and sale of kindergarten classroom construction and renovation bonds. Shall the state be authorized to issue general obligation bonds in an amount not to exceed five million one hundred thousand dollars ($5,100,000) to make capital expenditures for certain construction and renovation projects and provide for a general property tax imposition and levy for the payment of principal of, interest on and expenses incurred in connection with the issuance of the bonds and the collection of the tax as permitted by law?

For________________ Against___________________".

C. Each question set forth in this section includes a specific work or object to be financed by the bonds. If any such question is not approved by a majority vote of the electorate at the state's 2004 general election, the issuance of bonds for the work or object specified by the question shall be excluded from and shall not be part of the 2004 Capital Projects General Obligation Bond Act. The failure of a question to be approved by the electorate at the 2004 general election shall not affect those questions that are approved at the election.

D. The secretary of state shall include the submission of the capital projects general obligation bonds to the people at the 2004 general election, and it shall be included in the general election proclamation of each of the county clerks. The secretary of state shall cause the 2004 Capital Projects General Obligation Bond Act to be published in full in at least one newspaper in each county of the state if one be published therein, once each week, for four successive weeks next preceding the general election as required by the constitution of New Mexico.

Section 12. [NEW MATERIAL] ART IN PUBLIC PLACES.--Pursuant to Section 13-4A-4 NMSA 1978 and where applicable, the appropriations authorized in the 2004 Capital Projects General Obligation Bond Act include money for the art in public places fund.

Section 13. [NEW MATERIAL] CERTIFICATION AND REVERSION.--

A. The agencies named in the 2004 Capital Projects General Bond Obligation Act shall certify to the state board of finance when the money from the proceeds of the general obligation bonds authorized in that act is needed for the purposes specified in Section 10 of that act. If an agency has not certified the need for the issuance of the bonds for a particular project by the end of fiscal year 2005, the authorization for that project is void.

B. Before an agency may certify for the issuance of general obligation bonds, the project must be developed sufficiently so that the agency reasonably expects to:

(1) incur within six months after the applicable bonds have been issued a substantial binding obligation to a third party to expend at least five percent of the bond proceeds for the project; and

(2) spend at least eighty-five percent of the bond proceeds within three years after the bonds have been issued.

C. Except as provided in the 2004 Capital Projects General Bond Obligation Act, any money remaining in the project account established for that project by the state board of finance from the proceeds of general obligation bonds issued for that project shall revert to the debt service fund established by the state treasurer for the purpose of paying the principal and interest on the state's general obligation bonds as follows:

(1) for projects for which general obligation bonds were issued to match federal grants, six months after completion of the project;

(2) for projects for which general obligation bonds were issued to purchase vehicles, heavy equipment, educational technology or other equipment or furniture that is not related to a more inclusive construction or renovation project, as of the first day after the end of the fiscal year following the fiscal year in which the general obligation bonds were issued for the purchase after reserving for unpaid costs and expenses covered by binding written obligations to third parties, but in any event, regardless of whether there are unpaid costs and expenses covered by binding written obligations to third parties, as of the first day after the end of the second fiscal year following the fiscal year in which the general obligation bonds were issued;

(3) for projects for which general obligation bonds were issued to purchase emergency vehicles or other vehicles that require special equipment, as of the first day after the end of the second fiscal year following the fiscal year in which the general obligation bonds were issued for the purchase, after reserving for unpaid costs and expenses covered by binding written obligations to third parties;

(4) for all other projects for which general obligation bonds were issued, as of the first day after the end of the third fiscal year following the fiscal year in which the general obligation bonds were issued for the project, after reserving for unpaid costs and expenses covered by binding written obligations to the third parties, but in any event, regardless of whether there are unpaid costs and expenses covered by binding written obligations to third parties, as of the first day after the end of the fourth fiscal year following the fiscal year in which the general obligation bonds were issued; and

(5) if completion of the project occurs earlier than the reversion dates specified in Paragraphs (2), (3) and (4) of this subsection, within six months after completion of the project.

D. Except for appropriations to the capital program fund, money from general obligation bond proceeds provided pursuant to the 2004 Capital Projects General Obligation Bond Act shall not be used to pay indirect project costs.

E. The state board of finance may in its discretion delay the reversion dates provided pursuant to this section for a period of not more than one additional year for any project upon a proper showing by the agency that:

(1) the agency has acted diligently to spend the bond proceeds before the reversion date; and

(2) all money remaining in the project account for that project is covered by binding written obligations to third parties.

F. Each agency shall cause to be included in any contract with third parties relating to the expenditure of proceeds of the general obligation bonds authorized by the 2004 Capital Projects General Obligation Bond Act the reversion provisions contained in this section.

Section 14. [NEW MATERIAL] PROJECT SCOPE--EXPENDITURES--REVERSION.--

A. If an appropriation for a project authorized in the 2004 Capital Projects General Obligation Bond Act is not sufficient to complete all the purposes specified, the appropriation may be expended for any portion of the purposes specified in the appropriation. Expenditures shall not be made for purposes other than those specified in the appropriation.

B. The state agencies and state institutions to which money has been appropriated in the 2004 Capital Projects General Obligation Bond Act shall be responsible for monitoring the projects funded in that act to ensure compliance with the constitution and laws of New Mexico, and shall cause to be reverted any money remaining in project accounts in accordance with Section 13 of the 2004 Capital Projects General Obligation Bond Act.

Section 15. Laws 2002, Chapter 93, Section 14 is amended to read:

"Section 14. PROJECT SCOPE--EXPENDITURES--REVERSION.--

A. If an appropriation for a project authorized in the 2002 Capital Projects General Obligation Bond Act is not sufficient to complete all the purposes specified, the appropriation may be expended for any portion of the purposes specified in the appropriation. Expenditures shall not be made for purposes other than those specified in the appropriation.

B. The state agencies and state institutions to which money has been appropriated in the 2002 Capital Projects General Obligation Bond Act shall be responsible for monitoring the projects funded in that act to ensure compliance with the constitution and laws of New Mexico, and shall cause to be reverted any unexpended [or unencumbered] balance [remaining at the earlier of the third full fiscal year after issuance of the bonds or the termination or completion of the specific project. Reverted funds shall be deposited in the debt service fund established by the state treasurer for the purpose of paying the principle of and interest on the state's general obligation bonds] from the proceeds of general obligation bonds issued for projects in accordance with Section 12 of the 2002 Capital Projects General Obligation Bond Act."

Section 16. SEVERABILITY.--If any part or application of the 2004 Capital Projects General Obligation Bond Act is held invalid, the remainder or its application to other situations or persons shall not be affected.

Section 17. EMERGENCY.--It is necessary for the public peace, health and safety that this act take effect immediately.

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