State Codes and Statutes

Statutes > California > Shc > 2701.10-2701.24

STREETS AND HIGHWAYS CODE
SECTION 2701.10-2701.24



2701.10.  Bonds in the total amount of one billion dollars
($1,000,000,000), exclusive of refunding bonds, or so much thereof as
is necessary, may be issued and sold to provide a fund to be used
for carrying out the purposes expressed in this chapter and to be
used to reimburse the General Obligation Bond Expense Revolving Fund
pursuant to Section 16724.5 of the Government Code. The bonds, when
sold, shall be and constitute a valid and binding obligation of the
State of California, and the full faith and credit of the State of
California is hereby pledged for the punctual payment of both
principal of, and interest on, the bonds as the principal and
interest become due and payable.



2701.11.  (a) Except as provided in subdivision (b), the bonds
authorized by this chapter shall be prepared, executed, issued, sold,
paid, and redeemed as provided in the State General Obligation Bond
Law (Chapter 4 (commencing with Section 16720) of Part 3 of Division
4 of Title 2 of the Government Code), and all of the provisions of
that law apply to the bonds and to this chapter and are hereby
incorporated in this chapter as though set forth in full in this
chapter.
   (b) Notwithstanding any provision of the State General Obligation
Bond Law, each issue of bonds authorized by the committee shall have
a final maturity of not more than 20 years.



2701.12.  (a) Solely for the purpose of authorizing the issuance and
sale, pursuant to the State General Obligation Bond Law, of the
bonds authorized by this chapter, the Passenger Rail Finance
Committee is hereby created. For purposes of this chapter, the
Passenger Rail Finance Committee is "the committee" as that term is
used in the State General Obligation Bond Law. The committee consists
of the Treasurer, the Director of Finance, the Controller, the
Secretary of the Business, Transportation and Housing Agency, and the
Director of Transportation, or their designated representatives. The
Treasurer shall serve as chairperson of the committee. A majority of
the committee may act for the committee.
   (b) For purposes of the State General Obligation Bond Law, the
department is designated the "board."



2701.13.  The committee shall determine whether or not it is
necessary or desirable to issue bonds authorized pursuant to this
chapter in order to carry out the actions specified in Section
2701.06 and, if so, the amount of bonds to be issued and sold.
Successive issues of bonds may be issued and sold to carry out those
actions progressively, and it is not necessary that all of the bonds
authorized be issued and sold at any one time. The committee shall
consider program funding needs, revenue projections, financial market
conditions, and other necessary factors in determining the shortest
feasible term for the bonds to be issued.


2701.14.  There shall be collected each year and in the same manner
and at the same time as other state revenue is collected, in addition
to the ordinary revenues of the state, a sum in an amount required
to pay the principal of, and interest on, the bonds each year. It is
the duty of all officers charged by law with any duty in regard to
the collection of the revenue to do and perform each and every act
which is necessary to collect that additional sum.



2701.15.  Notwithstanding Section 13340 of the Government Code,
there is hereby appropriated from the General Fund in the State
Treasury, for the purposes of this chapter, an amount equal to that
sum annually necessary to pay the principal of, and interest on,
bonds issued and sold pursuant to this chapter, as the principal and
interest become due and payable.



2701.16.  (a) Money may be transferred from the fund to the State
Transportation Fund to reimburse the Transportation Planning and
Development Account and the State Highway Account for expenditures
made from those accounts, on and after June 6, 1990, for capital
improvements and acquisitions of rolling stock for intercity rail,
commuter rail, and urban rail transit in accordance with Chapter 2
(commencing with Section 14520) of Part 5.3 of Division 3 of Title 2
of the Government Code, as specified in Section 2701.06.
   (b) The amount that may be transferred pursuant to subdivision (a)
shall not exceed the amount expended from those accounts for those
capital improvements and acquisitions of rolling stock.



2701.17.  The board may request the Pooled Money Investment Board to
make a loan from the Pooled Money Investment Account, in accordance
with Section 16312 of the Government Code, for purposes of this
chapter. The amount of the request shall not exceed the amount of the
unsold bonds which the committee has, by resolution, authorized to
be sold for the purpose of this chapter, less any amount borrowed
pursuant to Section 2701.18. The board shall execute such documents
as required by the Pooled Money Investment Board to obtain and repay
the loan. Any amount loaned shall be deposited in the fund to be
allocated by the board in accordance with this chapter.



2701.18.  For the purpose of carrying out this chapter, the Director
of Finance may authorize the withdrawal from the General Fund of an
amount or amounts not to exceed the amount of unsold bonds which have
been authorized by the committee to be sold for the purpose of
carrying out this chapter, less any amount borrowed pursuant to
Section 2701.17. Any amount withdrawn shall be deposited in the fund.
Any money made available under this section shall be returned to the
General Fund, plus the interest that the amounts would have earned
in the Pooled Money Investment Account, from the sale of bonds for
the purpose of carrying out this chapter.



2701.19.  All money deposited in the fund which is derived from
premium and accrued interest on bonds sold shall be reserved in the
fund and shall be available for transfer to the General Fund as a
credit to expenditures for bond interest.




2701.20.  The bonds may be refunded in accordance with Article 6
(commencing with Section 16780) of the State General Obligation Bond
Law.


2701.21.  The Legislature hereby finds and declares that, inasmuch
as the proceeds from the sale of bonds authorized by this chapter are
not "proceeds of taxes" as that term is used in Article XIII B of
the California Constitution, the disbursement of these proceeds is
not subject to the limitations imposed by that article.




2701.22.  Notwithstanding any provision of the State General
Obligation Bond Law with regard to the proceeds from the sale of
bonds authorized by this chapter that are subject to investment under
Article 4 (commencing with Section 16470) of Chapter 3 of Part 2 of
Division 4 of Title 2 of the Government Code, the Treasurer may
maintain a separate account for investment earnings, order the
payment of those earnings to comply with any rebate requirement
applicable under federal law, and may otherwise direct the use and
investment of those proceeds so as to maintain the tax-exempt status
of those bonds and to obtain any other advantage under federal law on
behalf of the funds of this state.



2701.23.  (a) The department may advance funds in the State Highway
Account in the State Transportation Fund for all or a portion of the
cost of projects approved for bond funding pursuant to this chapter.
The director shall first make a finding that there are adequate funds
for the advancement without delaying or adversely affecting any
other project. The total amount advanced shall not exceed the amount
of the unsold bonds which the committee has, by resolution,
authorized to be sold for the purposes of this chapter.
   (b) All advances shall be subject to the terms and conditions of
an agreement between the department and the public entity which will
receive the advancement. The agreement shall contain provisions for
reimbursement of the State Highway Account from the proceeds of the
next bond sale for funds advanced pursuant to this section. Any
amounts advanced pursuant to this section shall be repaid with
interest at the rate being earned by the Pooled Money Investment
Account at the time of the advance. Interest payments shall be made
from the funds of the public entity which received the advancement,
other than from the proceeds of bonds authorized by this chapter.



2701.24.  Notwithstanding Section 2701.22 or any other provision of
this bond act, or of the State General Obligation Bond Law (Chapter 4
(commencing with Section 16720) of Part 3 of Division 4 of Title 2
of the Government Code), if the Treasurer sells bonds pursuant to
this bond act that include a bond counsel opinion to the effect that
the interest on the bonds is excluded from gross income for federal
tax purposes under designated conditions, the Treasurer may maintain
separate accounts for the bond proceeds invested and the investment
earnings on those proceeds, and may use or direct the use of those
proceeds or earnings to pay any rebate, penalty, or other payment
required under federal law, or take any other action with respect to
the investment and use of those bond proceeds, as may be required or
desirable under federal law in order to maintain the tax-exempt
status of those bonds and to obtain any other advantage under federal
law on behalf of the funds of this state.


State Codes and Statutes

Statutes > California > Shc > 2701.10-2701.24

STREETS AND HIGHWAYS CODE
SECTION 2701.10-2701.24



2701.10.  Bonds in the total amount of one billion dollars
($1,000,000,000), exclusive of refunding bonds, or so much thereof as
is necessary, may be issued and sold to provide a fund to be used
for carrying out the purposes expressed in this chapter and to be
used to reimburse the General Obligation Bond Expense Revolving Fund
pursuant to Section 16724.5 of the Government Code. The bonds, when
sold, shall be and constitute a valid and binding obligation of the
State of California, and the full faith and credit of the State of
California is hereby pledged for the punctual payment of both
principal of, and interest on, the bonds as the principal and
interest become due and payable.



2701.11.  (a) Except as provided in subdivision (b), the bonds
authorized by this chapter shall be prepared, executed, issued, sold,
paid, and redeemed as provided in the State General Obligation Bond
Law (Chapter 4 (commencing with Section 16720) of Part 3 of Division
4 of Title 2 of the Government Code), and all of the provisions of
that law apply to the bonds and to this chapter and are hereby
incorporated in this chapter as though set forth in full in this
chapter.
   (b) Notwithstanding any provision of the State General Obligation
Bond Law, each issue of bonds authorized by the committee shall have
a final maturity of not more than 20 years.



2701.12.  (a) Solely for the purpose of authorizing the issuance and
sale, pursuant to the State General Obligation Bond Law, of the
bonds authorized by this chapter, the Passenger Rail Finance
Committee is hereby created. For purposes of this chapter, the
Passenger Rail Finance Committee is "the committee" as that term is
used in the State General Obligation Bond Law. The committee consists
of the Treasurer, the Director of Finance, the Controller, the
Secretary of the Business, Transportation and Housing Agency, and the
Director of Transportation, or their designated representatives. The
Treasurer shall serve as chairperson of the committee. A majority of
the committee may act for the committee.
   (b) For purposes of the State General Obligation Bond Law, the
department is designated the "board."



2701.13.  The committee shall determine whether or not it is
necessary or desirable to issue bonds authorized pursuant to this
chapter in order to carry out the actions specified in Section
2701.06 and, if so, the amount of bonds to be issued and sold.
Successive issues of bonds may be issued and sold to carry out those
actions progressively, and it is not necessary that all of the bonds
authorized be issued and sold at any one time. The committee shall
consider program funding needs, revenue projections, financial market
conditions, and other necessary factors in determining the shortest
feasible term for the bonds to be issued.


2701.14.  There shall be collected each year and in the same manner
and at the same time as other state revenue is collected, in addition
to the ordinary revenues of the state, a sum in an amount required
to pay the principal of, and interest on, the bonds each year. It is
the duty of all officers charged by law with any duty in regard to
the collection of the revenue to do and perform each and every act
which is necessary to collect that additional sum.



2701.15.  Notwithstanding Section 13340 of the Government Code,
there is hereby appropriated from the General Fund in the State
Treasury, for the purposes of this chapter, an amount equal to that
sum annually necessary to pay the principal of, and interest on,
bonds issued and sold pursuant to this chapter, as the principal and
interest become due and payable.



2701.16.  (a) Money may be transferred from the fund to the State
Transportation Fund to reimburse the Transportation Planning and
Development Account and the State Highway Account for expenditures
made from those accounts, on and after June 6, 1990, for capital
improvements and acquisitions of rolling stock for intercity rail,
commuter rail, and urban rail transit in accordance with Chapter 2
(commencing with Section 14520) of Part 5.3 of Division 3 of Title 2
of the Government Code, as specified in Section 2701.06.
   (b) The amount that may be transferred pursuant to subdivision (a)
shall not exceed the amount expended from those accounts for those
capital improvements and acquisitions of rolling stock.



2701.17.  The board may request the Pooled Money Investment Board to
make a loan from the Pooled Money Investment Account, in accordance
with Section 16312 of the Government Code, for purposes of this
chapter. The amount of the request shall not exceed the amount of the
unsold bonds which the committee has, by resolution, authorized to
be sold for the purpose of this chapter, less any amount borrowed
pursuant to Section 2701.18. The board shall execute such documents
as required by the Pooled Money Investment Board to obtain and repay
the loan. Any amount loaned shall be deposited in the fund to be
allocated by the board in accordance with this chapter.



2701.18.  For the purpose of carrying out this chapter, the Director
of Finance may authorize the withdrawal from the General Fund of an
amount or amounts not to exceed the amount of unsold bonds which have
been authorized by the committee to be sold for the purpose of
carrying out this chapter, less any amount borrowed pursuant to
Section 2701.17. Any amount withdrawn shall be deposited in the fund.
Any money made available under this section shall be returned to the
General Fund, plus the interest that the amounts would have earned
in the Pooled Money Investment Account, from the sale of bonds for
the purpose of carrying out this chapter.



2701.19.  All money deposited in the fund which is derived from
premium and accrued interest on bonds sold shall be reserved in the
fund and shall be available for transfer to the General Fund as a
credit to expenditures for bond interest.




2701.20.  The bonds may be refunded in accordance with Article 6
(commencing with Section 16780) of the State General Obligation Bond
Law.


2701.21.  The Legislature hereby finds and declares that, inasmuch
as the proceeds from the sale of bonds authorized by this chapter are
not "proceeds of taxes" as that term is used in Article XIII B of
the California Constitution, the disbursement of these proceeds is
not subject to the limitations imposed by that article.




2701.22.  Notwithstanding any provision of the State General
Obligation Bond Law with regard to the proceeds from the sale of
bonds authorized by this chapter that are subject to investment under
Article 4 (commencing with Section 16470) of Chapter 3 of Part 2 of
Division 4 of Title 2 of the Government Code, the Treasurer may
maintain a separate account for investment earnings, order the
payment of those earnings to comply with any rebate requirement
applicable under federal law, and may otherwise direct the use and
investment of those proceeds so as to maintain the tax-exempt status
of those bonds and to obtain any other advantage under federal law on
behalf of the funds of this state.



2701.23.  (a) The department may advance funds in the State Highway
Account in the State Transportation Fund for all or a portion of the
cost of projects approved for bond funding pursuant to this chapter.
The director shall first make a finding that there are adequate funds
for the advancement without delaying or adversely affecting any
other project. The total amount advanced shall not exceed the amount
of the unsold bonds which the committee has, by resolution,
authorized to be sold for the purposes of this chapter.
   (b) All advances shall be subject to the terms and conditions of
an agreement between the department and the public entity which will
receive the advancement. The agreement shall contain provisions for
reimbursement of the State Highway Account from the proceeds of the
next bond sale for funds advanced pursuant to this section. Any
amounts advanced pursuant to this section shall be repaid with
interest at the rate being earned by the Pooled Money Investment
Account at the time of the advance. Interest payments shall be made
from the funds of the public entity which received the advancement,
other than from the proceeds of bonds authorized by this chapter.



2701.24.  Notwithstanding Section 2701.22 or any other provision of
this bond act, or of the State General Obligation Bond Law (Chapter 4
(commencing with Section 16720) of Part 3 of Division 4 of Title 2
of the Government Code), if the Treasurer sells bonds pursuant to
this bond act that include a bond counsel opinion to the effect that
the interest on the bonds is excluded from gross income for federal
tax purposes under designated conditions, the Treasurer may maintain
separate accounts for the bond proceeds invested and the investment
earnings on those proceeds, and may use or direct the use of those
proceeds or earnings to pay any rebate, penalty, or other payment
required under federal law, or take any other action with respect to
the investment and use of those bond proceeds, as may be required or
desirable under federal law in order to maintain the tax-exempt
status of those bonds and to obtain any other advantage under federal
law on behalf of the funds of this state.



State Codes and Statutes

State Codes and Statutes

Statutes > California > Shc > 2701.10-2701.24

STREETS AND HIGHWAYS CODE
SECTION 2701.10-2701.24



2701.10.  Bonds in the total amount of one billion dollars
($1,000,000,000), exclusive of refunding bonds, or so much thereof as
is necessary, may be issued and sold to provide a fund to be used
for carrying out the purposes expressed in this chapter and to be
used to reimburse the General Obligation Bond Expense Revolving Fund
pursuant to Section 16724.5 of the Government Code. The bonds, when
sold, shall be and constitute a valid and binding obligation of the
State of California, and the full faith and credit of the State of
California is hereby pledged for the punctual payment of both
principal of, and interest on, the bonds as the principal and
interest become due and payable.



2701.11.  (a) Except as provided in subdivision (b), the bonds
authorized by this chapter shall be prepared, executed, issued, sold,
paid, and redeemed as provided in the State General Obligation Bond
Law (Chapter 4 (commencing with Section 16720) of Part 3 of Division
4 of Title 2 of the Government Code), and all of the provisions of
that law apply to the bonds and to this chapter and are hereby
incorporated in this chapter as though set forth in full in this
chapter.
   (b) Notwithstanding any provision of the State General Obligation
Bond Law, each issue of bonds authorized by the committee shall have
a final maturity of not more than 20 years.



2701.12.  (a) Solely for the purpose of authorizing the issuance and
sale, pursuant to the State General Obligation Bond Law, of the
bonds authorized by this chapter, the Passenger Rail Finance
Committee is hereby created. For purposes of this chapter, the
Passenger Rail Finance Committee is "the committee" as that term is
used in the State General Obligation Bond Law. The committee consists
of the Treasurer, the Director of Finance, the Controller, the
Secretary of the Business, Transportation and Housing Agency, and the
Director of Transportation, or their designated representatives. The
Treasurer shall serve as chairperson of the committee. A majority of
the committee may act for the committee.
   (b) For purposes of the State General Obligation Bond Law, the
department is designated the "board."



2701.13.  The committee shall determine whether or not it is
necessary or desirable to issue bonds authorized pursuant to this
chapter in order to carry out the actions specified in Section
2701.06 and, if so, the amount of bonds to be issued and sold.
Successive issues of bonds may be issued and sold to carry out those
actions progressively, and it is not necessary that all of the bonds
authorized be issued and sold at any one time. The committee shall
consider program funding needs, revenue projections, financial market
conditions, and other necessary factors in determining the shortest
feasible term for the bonds to be issued.


2701.14.  There shall be collected each year and in the same manner
and at the same time as other state revenue is collected, in addition
to the ordinary revenues of the state, a sum in an amount required
to pay the principal of, and interest on, the bonds each year. It is
the duty of all officers charged by law with any duty in regard to
the collection of the revenue to do and perform each and every act
which is necessary to collect that additional sum.



2701.15.  Notwithstanding Section 13340 of the Government Code,
there is hereby appropriated from the General Fund in the State
Treasury, for the purposes of this chapter, an amount equal to that
sum annually necessary to pay the principal of, and interest on,
bonds issued and sold pursuant to this chapter, as the principal and
interest become due and payable.



2701.16.  (a) Money may be transferred from the fund to the State
Transportation Fund to reimburse the Transportation Planning and
Development Account and the State Highway Account for expenditures
made from those accounts, on and after June 6, 1990, for capital
improvements and acquisitions of rolling stock for intercity rail,
commuter rail, and urban rail transit in accordance with Chapter 2
(commencing with Section 14520) of Part 5.3 of Division 3 of Title 2
of the Government Code, as specified in Section 2701.06.
   (b) The amount that may be transferred pursuant to subdivision (a)
shall not exceed the amount expended from those accounts for those
capital improvements and acquisitions of rolling stock.



2701.17.  The board may request the Pooled Money Investment Board to
make a loan from the Pooled Money Investment Account, in accordance
with Section 16312 of the Government Code, for purposes of this
chapter. The amount of the request shall not exceed the amount of the
unsold bonds which the committee has, by resolution, authorized to
be sold for the purpose of this chapter, less any amount borrowed
pursuant to Section 2701.18. The board shall execute such documents
as required by the Pooled Money Investment Board to obtain and repay
the loan. Any amount loaned shall be deposited in the fund to be
allocated by the board in accordance with this chapter.



2701.18.  For the purpose of carrying out this chapter, the Director
of Finance may authorize the withdrawal from the General Fund of an
amount or amounts not to exceed the amount of unsold bonds which have
been authorized by the committee to be sold for the purpose of
carrying out this chapter, less any amount borrowed pursuant to
Section 2701.17. Any amount withdrawn shall be deposited in the fund.
Any money made available under this section shall be returned to the
General Fund, plus the interest that the amounts would have earned
in the Pooled Money Investment Account, from the sale of bonds for
the purpose of carrying out this chapter.



2701.19.  All money deposited in the fund which is derived from
premium and accrued interest on bonds sold shall be reserved in the
fund and shall be available for transfer to the General Fund as a
credit to expenditures for bond interest.




2701.20.  The bonds may be refunded in accordance with Article 6
(commencing with Section 16780) of the State General Obligation Bond
Law.


2701.21.  The Legislature hereby finds and declares that, inasmuch
as the proceeds from the sale of bonds authorized by this chapter are
not "proceeds of taxes" as that term is used in Article XIII B of
the California Constitution, the disbursement of these proceeds is
not subject to the limitations imposed by that article.




2701.22.  Notwithstanding any provision of the State General
Obligation Bond Law with regard to the proceeds from the sale of
bonds authorized by this chapter that are subject to investment under
Article 4 (commencing with Section 16470) of Chapter 3 of Part 2 of
Division 4 of Title 2 of the Government Code, the Treasurer may
maintain a separate account for investment earnings, order the
payment of those earnings to comply with any rebate requirement
applicable under federal law, and may otherwise direct the use and
investment of those proceeds so as to maintain the tax-exempt status
of those bonds and to obtain any other advantage under federal law on
behalf of the funds of this state.



2701.23.  (a) The department may advance funds in the State Highway
Account in the State Transportation Fund for all or a portion of the
cost of projects approved for bond funding pursuant to this chapter.
The director shall first make a finding that there are adequate funds
for the advancement without delaying or adversely affecting any
other project. The total amount advanced shall not exceed the amount
of the unsold bonds which the committee has, by resolution,
authorized to be sold for the purposes of this chapter.
   (b) All advances shall be subject to the terms and conditions of
an agreement between the department and the public entity which will
receive the advancement. The agreement shall contain provisions for
reimbursement of the State Highway Account from the proceeds of the
next bond sale for funds advanced pursuant to this section. Any
amounts advanced pursuant to this section shall be repaid with
interest at the rate being earned by the Pooled Money Investment
Account at the time of the advance. Interest payments shall be made
from the funds of the public entity which received the advancement,
other than from the proceeds of bonds authorized by this chapter.



2701.24.  Notwithstanding Section 2701.22 or any other provision of
this bond act, or of the State General Obligation Bond Law (Chapter 4
(commencing with Section 16720) of Part 3 of Division 4 of Title 2
of the Government Code), if the Treasurer sells bonds pursuant to
this bond act that include a bond counsel opinion to the effect that
the interest on the bonds is excluded from gross income for federal
tax purposes under designated conditions, the Treasurer may maintain
separate accounts for the bond proceeds invested and the investment
earnings on those proceeds, and may use or direct the use of those
proceeds or earnings to pay any rebate, penalty, or other payment
required under federal law, or take any other action with respect to
the investment and use of those bond proceeds, as may be required or
desirable under federal law in order to maintain the tax-exempt
status of those bonds and to obtain any other advantage under federal
law on behalf of the funds of this state.