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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