§5-6-8. Commission empowered to issue state building revenue bonds after legislative authorization; form and requirements for bonds; procedure for issuance; temporary bonds; funds, grants and gifts


Published: 2015

Subscribe to a Global-Regulation Premium Membership Today!

Key Benefits:

Subscribe Now for only USD$20 per month, or Get a Day Pass for only USD$4.99.
WEST VIRGINIA CODE











‹ Back



 |   Print







WVC 5-6-8

§5-6-8. Commission empowered to issue state building revenue bonds

after legislative authorization; form and requirements

for bonds; procedure for issuance; temporary bonds;

funds, grants and gifts.

(a) The commission is hereby empowered to raise the cost of a

project, as defined in this article, by the issuance of state

building revenue bonds of the state, the principal of and interest

on which shall be payable solely from the special revenue fund

provided in section five of this article for the payment. Subject

to the proceedings pursuant to which any bonds outstanding were

authorized and issued pursuant to this article, the commission

shall pledge the moneys in the special revenue fund, except that

part of the proceeds of sale of any bonds to be used to pay the

cost of a project and for the payment of the principal of and

interest on bonds issued pursuant to this article. The pledge

shall apply equally and ratably to separate series of bonds or upon

the priorities as the commission shall determine. The bonds shall

be authorized by resolution of the commission. The resolution

shall recite an estimate by the commission of the cost, and shall

provide for the issuance of bonds in an amount sufficient, when

sold as provided in this section, to produce the cost, less the

amount of any funds, grant or grants, gift or gifts, contribution

or contributions received, or in the opinion of the commission

expected to be received, from the United States of America or from

any other source. The acceptance by the commission of any and all funds, grants, gifts and contributions, whether in money or in

land, labor or materials, is hereby expressly authorized. All

bonds shall have and are hereby declared to have all the qualities

of negotiable instruments. The bonds shall bear interest at not

more than twelve percent per annum, payable semiannually, and shall

mature in not more than forty years from their date or dates, and

may be made redeemable at the option of the state, to be exercised

by the commission, at the price and under the terms and conditions,

all as the commission may fix prior to the issuance of the bonds.

The commission shall determine the form of the bonds, including

coupons, if any, to be attached to the bonds to evidence the right

of interest payments. The bonds shall be signed by the chairman

and secretary of the commission, under the great seal of the state,

attested by the secretary of state, and the coupons, if any,

attached to the bonds shall bear the facsimile signature of the

chairman of the commission. In case any of the officers whose

signatures appear on the bonds or coupons issued as authorized by

this section shall cease to be officers before the delivery of the

bonds, the signatures are nevertheless valid and sufficient for all

purposes the same as if they had remained in office until the

delivery. The commission shall fix the denominations of the bonds,

the principal and interest of which shall be payable at the office

of the treasurer of the state of West Virginia, at the capitol of

the state, or, at the option of the holder, at some bank or trust

company within or without the state of West Virginia to be named in the bonds, in such medium as may be determined by the commission.

The bonds and interest on the bonds are exempt from taxation by the

state of West Virginia, or any county or municipality in the state.

The commission may provide for the registration of the bonds in the

name of the owners as to principal alone, and as to both principal

and interest under the terms and conditions as the commission may

determine, and shall sell the bonds in the manner as it may

determine to be for the best interest of the state, taking into

consideration the financial responsibility of the purchaser, and

the terms and conditions of the purchase, and especially the

availability of the proceeds of the bonds when required for payment

of the cost of the project. The sale shall be made at a price not

lower than a price which, computed upon standard tables of bond

values, will show a net return of not more than thirteen percent

per annum to the purchaser upon the amount paid for the bonds. The

proceeds of the bonds shall be used solely for the payment of the

cost of the project for which bonds were issued, and shall be

deposited and checked out as provided by section five of this

article, and under further restrictions, if any, as the commission

may provide. If the proceeds of bonds issued for a project or a

specific group of projects exceeds the cost of the project or

projects, the surplus shall be paid into the fund provided for in

section five of this article for payment of the principal and

interest of the bonds. The fund may be used for the purchase of

any of the outstanding bonds payable from the fund at the market price, but at not exceeding the price, if any, at which the bonds

are in the same year redeemable, and all bonds redeemed or

purchased shall be canceled immediately, and shall not again be

issued. Prior to the preparation of definitive bonds, the

commission may, under like restrictions, issue temporary bonds with

or without coupons, exchangeable for definitive bonds upon the

issuance of the latter. Notwithstanding the provisions of sections

nine and ten, article six, chapter twelve of this code, revenue

bonds issued under the authority granted in this section are

eligible as investments for the workers' compensation fund,

teachers retirement fund, division of public safety, death,

disability and retirement fund, West Virginia public employees

retirement system and as security for the deposit of all public

funds. The revenue bonds may be issued without any other

proceedings or the happening of any other conditions or things

other than those proceedings, conditions and things which are

specified and required by this article, or by the constitution of

the state. For all projects authorized under the provisions of

this article, other than projects to be leased by the commission to

the regional jail and correctional facilities authority or projects

authorized pursuant to section eleven-a of this article, the

aggregate amount of all issues of bonds outstanding at one time

shall not exceed sixty-two million five hundred thousand dollars,

including the renegotiation, reissuance or refinancing of any

bonds, and no project in connection with which bonds are to be issued shall be initiated by the commission unless and until the

Legislature, through enactment of general law, approves the

purpose, the amount of bonds to be issued and the total cost for

the project, construction or acquisition.

For projects which are to be leased by the commission to the

regional jail and correctional facilities authority, legislative

approval pursuant to the provisions of this section shall not be

required if the projects have otherwise been approved by the

Legislature in accordance with the provisions of subsection (m),

section five, article twenty, chapter thirty-one of this code, and

the limitations on the amount of revenue bonds which may be issued

by the commission and the project costs shall be governed by the

terms of any concurrent resolution adopted pursuant to that

subsection.

(b) Notwithstanding anything in this article to the contrary,

the commission is authorized to issue bonds, or otherwise finance

or refinance the following projects, including the costs of

issuance and sale of the bonds or financing, all necessary

financial and legal expenses and creation of debt service reserve

funds, in an amount not to exceed twenty-one million dollars:

(1) Any or all of the state office buildings and adjoining

real property being lease-purchased in Beckley, Charleston,

Clarksburg, Fairmont, Huntington and Parkersburg;

(2) A facility to be obtained or constructed by the commission

and leased to the division of motor vehicles; and

(3) Property and buildings needed for state spending units in

an amount not to exceed three million dollars.

(c) Notwithstanding any other provision of this section, the

commission is authorized to issue bonds for the purposes set forth

in section eleven-a of this article in the aggregate amount of one

hundred million dollars, including the renegotiation, reissuance or

refinancing of any bonds issued for that purpose. If the proceeds

of bonds issued under this subsection exceeds the cost of the

project or projects, the surplus shall be paid into the education,

arts, sciences and tourism fund established in section eleven-a of

this article.

(d) The commission shall acquire the property being

lease-purchased in the city of Charleston, located at 601 Morris

Street, through a loan from the consolidated fund. The loan shall

be under the terms and conditions set forth in section nineteen,

article six, chapter twelve of this code.





Note: WV Code updated with legislation passed through the 2015 Regular Session

The WV Code Online is an unofficial copy of the annotated WV Code, provided as a convenience. It has NOT been edited for publication, and is not in any way official or authoritative.