131100. (a) The Legislature, by the enactment of this chapter
intends a county transportation authority or the commission, pursuant
to a county transportation expenditure plan adopted pursuant to
Section 131055, to use any additional funds provided by this chapter
to supplement existing local revenues being used for public
transportation purposes listed in the plan. The Legislature further
intends that the funds provided pursuant to this chapter shall not
replace funds previously provided by property tax revenues for public
transportation purposes. The nine-county San Francisco Bay area is
further encouraged to maintain its existing commitment of local funds
for public transportation purposes.
(b) Any tax revenue generated pursuant to this chapter shall be
expended in the county of origin, except that tax revenue generated
may be expended within and outside the county of origin if so
provided in the adopted county transportation expenditure plan.
However, the tax revenues may be exchanged for federal or state funds
available to another county or local government for transportation
purposes if the exchange will benefit the county of origin.
(c) (1) In order to receive funds from the Counties of Alameda and
Contra Costa and the City and County of San Francisco pursuant to
this chapter, the San Francisco Bay Area Rapid Transit District shall
agree to match from federal, state, or other funds available to the
district, at least as much as it receives from the additional funds
provided by this chapter from those counties.
(2) The funds the district received pursuant to this chapter, and
its matching funds therefor, shall be used only for capital
expenditures.
131101. All allocations of revenues derived from the adoption of a
retail transactions and use tax ordinance in a county shall be
consistent with the priorities established by its county
transportation expenditure plan.
131102. (a) Except as provided in subdivision (b), a retail
transactions and use tax ordinance for a tax of either one-half of 1
percent or 1 percent applicable in the incorporated and
unincorporated territory of a county may be imposed by a county
transportation authority or the commission in the manner prescribed
in Section 131103 and Part 1.6 (commencing with Section 7251) of
Division 2 of the Revenue and Taxation Code, if two-thirds of the
electors voting on the measure vote to approve its imposition at an
election which shall be called for this purpose by the board of
supervisors within one year after the adoption of a county
transportation expenditure plan.
(b) The rate of tax imposed pursuant to subdivision (a) together
with the rate of tax imposed pursuant to the Transactions and Use Tax
Law (Part 1.6 (commencing with Section 7251) of Division 2 of the
Revenue and Taxation Code) by any entity, as authorized by any other
provision of law, shall not exceed 1 percent in any county.
(c) The ordinance shall take effect at the close of the polls on
the day of election at which the proposition, as set forth in Section
131108, is adopted. The ordinance shall specify the period, as
determined by the adopted county transportation expenditure plan
during which the tax will be imposed. The tax may be terminated
earlier if the projects in the adopted plan are completed and any
bonds outstanding issued pursuant to this division are redeemed.
131103. The county, in the retail transactions and use tax
ordinance, shall state the nature of the tax to be imposed and shall
specify the purposes for which the revenues derived from the tax will
be used, and may state the membership of the county transportation
authority.
131104. (a) The county shall conduct the election called by the
board of supervisors pursuant to Section 131102, and the county shall
bear the cost in conducting the election, but shall be reimbursed
from the proceeds of the tax by the agency imposing the tax if the
tax is approved pursuant to Section 131102.
(b) The election shall be called and conducted in the same manner
as provided by law for the conduct of elections by a county.
131105. (a) Any tax ordinance adopted pursuant to this chapter
shall be operative on the first day of the first calendar quarter
commencing more than 120 days after adoption of the ordinance.
(b) Prior to the operative date of the ordinance, a county
transportation authority or the commission, as the case may be, shall
contract with the State Board of Equalization to perform all
functions incident to the administration and operation of the
ordinance.
131106. The net revenues derived from the taxes imposed pursuant to
this chapter, after deduction for expenses pursuant to Section
131107, shall be allocated by the agency imposing the tax for the
transportation purposes as set forth in the adopted county
transportation expenditure plan.
131107. In an adopted county transportation expenditure plan that
provides for the imposition of a retail transactions and use tax, not
more than 1 percent of the annual net amount of revenues raised by
the tax may be used to fund the salaries and benefits of the staff of
the commission or the county transportation authority, as the case
may be, in administering the plan and the retail transactions and use
tax ordinance.
All other funds, after reimbursement to the county for the cost of
conducting the election as provided for in Section 131104, shall be
used for the planning, design, construction, and operation of the
traffic and transportation projects as set forth in the adopted plan,
and shall be allocated according to eligible sponsoring agencies.
131108. (a) The board of supervisors, as part of the ballot
proposition to approve the imposition of a retail transactions and
use tax, may seek authorization to issue bonds as may be provided for
in the adopted county transportation expenditure plan payable solely
from the proceeds of the tax.
(b) The maximum bonded indebtedness which may be authorized shall
be an amount equal to the sum of the principal of, and interest on,
the bonds, but not to exceed the estimated proceeds of the tax, as
determined by the plan.
(c) The proposition shall set forth the actual percent of the tax.
(d) The proposition shall set forth the duration of the tax if the
plan specifies a time limit.
(e) The proposition shall set forth the amount of bonds, if any,
payable from the proceeds of the tax.
(f) The proposition shall set forth either a county transportation
authority or the commission as the agency imposing the tax.
(g) For an entity formed after 1978 which does not have an
appropriations limit, the proposition shall include a limit pursuant
to Article XIII B of the Constitution.
(h) The sample ballot to be mailed to the voters, pursuant to
Section 13303 of the Elections Code, shall be the full proposition,
as set forth in the ordinance calling the election, and the voter
information handbook shall include the entire adopted county
transportation expenditure plan.
131109. (a) The bonds authorized by the voters concurrently with
the approval of the retail transactions and use tax may be issued at
any time by the agency imposing the tax and shall be payable solely
from the proceeds of the tax. The bonds shall be referred to as
"limited tax bonds."
(b) The pledge of the tax to the limited tax bonds authorized
under this chapter shall have priority over the use of any of the tax
for "pay-as-you-go" financing, except to the extent that that
priority is expressly restricted in the resolution authorizing the
issuance of the bonds.
131110. Limited tax bonds shall be issued pursuant to a resolution
adopted at any time of a two-thirds vote by the agency imposing the
retail transactions and use tax. Each resolution shall provide for
the issuance of bonds in the amounts as may be necessary, until the
full amount of bonds authorized have been issued. The full amount of
bonds may be divided into two or more series and different dates of
payment fixed for the bonds of each series. A bond need not mature on
its anniversary date.
131111. (a) A resolution authorizing the issuance of bonds shall
state all of the following:
(1) The purposes for which the proposed debt is to be incurred,
which may include all costs and estimated costs incidental to, or
connected with, the accomplishment of those purposes, including,
without limitation, engineering, inspection, legal, fiscal agents,
financial consultant and other fees, bond and other reserve funds,
working capital, bond interest estimated to accrue during the
construction period and for a period not to exceed three years
thereafter, and expenses of all proceedings for the authorization,
issuance, and sale of the bonds.
(2) The estimated cost of accomplishing those purposes.
(3) The amount of the principal of the indebtedness.
(4) The maximum term the bonds proposed to be issued shall run
before maturity, which shall not be beyond the date of termination of
the imposition of the retail transactions and use tax.
(5) The maximum rate of interest to be paid, which shall not
exceed the maximum allowable by law.
(6) The denomination or denominations of the bonds, which shall
not be less than five thousand dollars ($5,000).
(7) The form of the bonds, including, without limitation,
registered bonds and coupon bonds, to the extent permitted by federal
law, and the form of any coupons to be attached thereto, the
registration, conversion, and exchange privileges, if any, pertaining
thereto, and the time when all of, or any part of, the principal
becomes due and payable.
(b) The resolution may also contain any other matters authorized
by this chapter or any other law.
131112. The bonds shall bear interest at a rate or rates not
exceeding the maximum allowable by law, payable semiannually, except
that the first interest payable on the bonds, or any series thereof,
may be for any period not exceeding one year, as determined by the
agency imposing the retail transactions and use tax.
131113. In the resolution authorizing the issuance of the bonds,
the agency imposing the retail transactions and use tax may also
provide for the call and redemption of the bonds prior to maturity at
the times and prices and upon other terms as specified. However, no
bond is subject to call or redemption prior to maturity, unless it
contains a recital to that effect or unless a statement to that
effect is printed.
131114. The principal of, and interest on, the bonds shall be
payable in lawful money of the United States at the office of the
treasurer of the agency imposing the retail transactions and use tax,
or at other places as may be designated, or at both the office and
other places at the option of the holders of the bonds.
131115. The bonds, or each series thereof, shall be dated and
numbered consecutively and shall be signed by the chairperson or vice
chairperson of the agency imposing the retail transactions and use
tax and the auditor-controller of the agency, and the official seal,
if any, of the agency shall be attached.
The interest coupons of the bonds shall be signed by the
auditor-controller of the agency. All of the signatures and seal may
be printed, lithographed, or mechanically reproduced, except that one
of the signatures shall be manually affixed.
If any officer whose signature appears on the bonds or coupons
ceases to be that officer before the delivery of the bonds, the
officer's signature is as effective as if the officer had remained in
office.
131116. The bonds may be sold as the agency imposing the retail
transactions and use tax determines by resolution, and the bonds may
be sold at a price below par, whether by negotiated or public sale.
131117. Delivery of any bonds may be made at any place either
inside or outside the state, and the purchase price may be received
in cash or bank credits.
131118. All accrued interest and premiums received on the sale of
the bonds shall be placed in the fund to be used for the payment of
the principal of, and interest on, the bonds, and the remainder of
the proceeds of the bonds shall be placed in the treasury of the
agency imposing the retail transactions and use tax and applied to
secure the bonds or for the purposes for which the debt was incurred.
However, when the purposes have been accomplished, any money
remaining shall be either (a) transferred to the fund to be used for
the payment of principal of, and interest on, the bonds or (b) placed
in a fund to be used for the purchase of the outstanding bonds in
the open market at prices and in the manner, either at public or
private sale or otherwise, as determined by the agency. Bonds so
purchased shall be canceled immediately.
131119. (a) The agency imposing the retail transactions and use tax
may provide for the issuance, sale, or exchange of refunding bonds
to redeem or retire any bonds issued by the agency upon the terms, at
the times and in the manner which it determines.
(b) Refunding bonds may be issued in a principal amount sufficient
to pay all, or any part of, the principal of the outstanding bonds,
the premiums, if any, due upon call and redemption thereof prior to
maturity, all expenses of the refunding, and either of the following:
(1) The interest upon the refunding bonds from the date of sale
thereof to the date of payment of the bonds to be refunded out of the
proceeds of the sale of the refunding bonds or to the date upon
which the bonds to be refunded will be paid pursuant to call or
agreement with the holders of the bonds.
(2) The interest upon the bonds to be refunded from the date of
sale of the refunding bonds to the date of payment of the bonds to be
refunded or to the date upon which the bonds to be refunded will be
paid pursuant to call or agreement with the holder of the bonds.
(c) The provisions of this chapter for the issuance and sale of
bonds apply to the issuance and sale of refunding bonds.
131120. (a) The agency imposing the retail transactions and use tax
may borrow money in anticipation of the sale of bonds which have
been authorized pursuant to this chapter, but which have not been
sold or delivered, and may issue negotiable bond anticipation notes
therefor and may renew the bond anticipation notes from time to time.
However, the maximum maturity of any bond anticipation notes,
including the renewals thereof, shall not exceed five years from the
date of delivery of the original bond anticipation notes.
(b) The bond anticipation notes, and the interest thereon, may be
paid from any money of the agency available therefor, including the
revenues from the tax. If not previously otherwise paid, the bond
anticipation notes, or any portion thereof, or the interest thereon,
shall be paid from the proceeds of the next sale of the bonds of the
agency in anticipation of which the notes were issued.
(c) The bond anticipation notes shall not be issued in any amount
in excess of the aggregate amount of the bonds which the agency has
been authorized to issue, less the amount of any bonds of the
authorized issue previously sold, and also less the amount of other
bond anticipation notes therefor issued and then outstanding. The
bond anticipation notes shall be issued and sold in the same manner
as the bonds.
(d) The bond anticipation notes and the resolutions authorizing
them may contain any provisions, conditions, or limitations which a
resolution of the agency may contain.
131121. Any bonds issued under this chapter are legal investment
for all trust funds; for the funds of insurance companies, commercial
and savings banks, and trust companies; and for state school funds;
and whenever any money or funds may, by any law now or hereafter
enacted, be invested in bonds of cities, counties, school districts,
or other districts within the state, that money or funds may be
invested in the bonds issued under this chapter, and whenever bonds
of cities, counties, school districts, or other districts within the
state may, by any law now or hereafter enacted, be used as security
for the performance of any act or the deposit of any public money,
the bonds issued under this chapter may be so used. The provisions of
this chapter are in addition to all other laws relating to legal
investments and shall be controlling as the latest expression of the
Legislature with respect thereto.
131122. Any action or proceedings wherein the validity of the
adoption of the retail transactions and use tax ordinance provided
for in this chapter or the issuance of any bonds thereunder or any of
the proceedings in relation thereto is contested, questioned, or
denied, shall be commenced within six months from the date of the
election at which the ordinance is approved; otherwise, the bonds and
all proceedings in relation thereto, including the adoption and
approval of the ordinance, shall be held to be valid and in every
respect legal and incontestable.
131100. (a) The Legislature, by the enactment of this chapter
intends a county transportation authority or the commission, pursuant
to a county transportation expenditure plan adopted pursuant to
Section 131055, to use any additional funds provided by this chapter
to supplement existing local revenues being used for public
transportation purposes listed in the plan. The Legislature further
intends that the funds provided pursuant to this chapter shall not
replace funds previously provided by property tax revenues for public
transportation purposes. The nine-county San Francisco Bay area is
further encouraged to maintain its existing commitment of local funds
for public transportation purposes.
(b) Any tax revenue generated pursuant to this chapter shall be
expended in the county of origin, except that tax revenue generated
may be expended within and outside the county of origin if so
provided in the adopted county transportation expenditure plan.
However, the tax revenues may be exchanged for federal or state funds
available to another county or local government for transportation
purposes if the exchange will benefit the county of origin.
(c) (1) In order to receive funds from the Counties of Alameda and
Contra Costa and the City and County of San Francisco pursuant to
this chapter, the San Francisco Bay Area Rapid Transit District shall
agree to match from federal, state, or other funds available to the
district, at least as much as it receives from the additional funds
provided by this chapter from those counties.
(2) The funds the district received pursuant to this chapter, and
its matching funds therefor, shall be used only for capital
expenditures.
131101. All allocations of revenues derived from the adoption of a
retail transactions and use tax ordinance in a county shall be
consistent with the priorities established by its county
transportation expenditure plan.
131102. (a) Except as provided in subdivision (b), a retail
transactions and use tax ordinance for a tax of either one-half of 1
percent or 1 percent applicable in the incorporated and
unincorporated territory of a county may be imposed by a county
transportation authority or the commission in the manner prescribed
in Section 131103 and Part 1.6 (commencing with Section 7251) of
Division 2 of the Revenue and Taxation Code, if two-thirds of the
electors voting on the measure vote to approve its imposition at an
election which shall be called for this purpose by the board of
supervisors within one year after the adoption of a county
transportation expenditure plan.
(b) The rate of tax imposed pursuant to subdivision (a) together
with the rate of tax imposed pursuant to the Transactions and Use Tax
Law (Part 1.6 (commencing with Section 7251) of Division 2 of the
Revenue and Taxation Code) by any entity, as authorized by any other
provision of law, shall not exceed 1 percent in any county.
(c) The ordinance shall take effect at the close of the polls on
the day of election at which the proposition, as set forth in Section
131108, is adopted. The ordinance shall specify the period, as
determined by the adopted county transportation expenditure plan
during which the tax will be imposed. The tax may be terminated
earlier if the projects in the adopted plan are completed and any
bonds outstanding issued pursuant to this division are redeemed.
131103. The county, in the retail transactions and use tax
ordinance, shall state the nature of the tax to be imposed and shall
specify the purposes for which the revenues derived from the tax will
be used, and may state the membership of the county transportation
authority.
131104. (a) The county shall conduct the election called by the
board of supervisors pursuant to Section 131102, and the county shall
bear the cost in conducting the election, but shall be reimbursed
from the proceeds of the tax by the agency imposing the tax if the
tax is approved pursuant to Section 131102.
(b) The election shall be called and conducted in the same manner
as provided by law for the conduct of elections by a county.
131105. (a) Any tax ordinance adopted pursuant to this chapter
shall be operative on the first day of the first calendar quarter
commencing more than 120 days after adoption of the ordinance.
(b) Prior to the operative date of the ordinance, a county
transportation authority or the commission, as the case may be, shall
contract with the State Board of Equalization to perform all
functions incident to the administration and operation of the
ordinance.
131106. The net revenues derived from the taxes imposed pursuant to
this chapter, after deduction for expenses pursuant to Section
131107, shall be allocated by the agency imposing the tax for the
transportation purposes as set forth in the adopted county
transportation expenditure plan.
131107. In an adopted county transportation expenditure plan that
provides for the imposition of a retail transactions and use tax, not
more than 1 percent of the annual net amount of revenues raised by
the tax may be used to fund the salaries and benefits of the staff of
the commission or the county transportation authority, as the case
may be, in administering the plan and the retail transactions and use
tax ordinance.
All other funds, after reimbursement to the county for the cost of
conducting the election as provided for in Section 131104, shall be
used for the planning, design, construction, and operation of the
traffic and transportation projects as set forth in the adopted plan,
and shall be allocated according to eligible sponsoring agencies.
131108. (a) The board of supervisors, as part of the ballot
proposition to approve the imposition of a retail transactions and
use tax, may seek authorization to issue bonds as may be provided for
in the adopted county transportation expenditure plan payable solely
from the proceeds of the tax.
(b) The maximum bonded indebtedness which may be authorized shall
be an amount equal to the sum of the principal of, and interest on,
the bonds, but not to exceed the estimated proceeds of the tax, as
determined by the plan.
(c) The proposition shall set forth the actual percent of the tax.
(d) The proposition shall set forth the duration of the tax if the
plan specifies a time limit.
(e) The proposition shall set forth the amount of bonds, if any,
payable from the proceeds of the tax.
(f) The proposition shall set forth either a county transportation
authority or the commission as the agency imposing the tax.
(g) For an entity formed after 1978 which does not have an
appropriations limit, the proposition shall include a limit pursuant
to Article XIII B of the Constitution.
(h) The sample ballot to be mailed to the voters, pursuant to
Section 13303 of the Elections Code, shall be the full proposition,
as set forth in the ordinance calling the election, and the voter
information handbook shall include the entire adopted county
transportation expenditure plan.
131109. (a) The bonds authorized by the voters concurrently with
the approval of the retail transactions and use tax may be issued at
any time by the agency imposing the tax and shall be payable solely
from the proceeds of the tax. The bonds shall be referred to as
"limited tax bonds."
(b) The pledge of the tax to the limited tax bonds authorized
under this chapter shall have priority over the use of any of the tax
for "pay-as-you-go" financing, except to the extent that that
priority is expressly restricted in the resolution authorizing the
issuance of the bonds.
131110. Limited tax bonds shall be issued pursuant to a resolution
adopted at any time of a two-thirds vote by the agency imposing the
retail transactions and use tax. Each resolution shall provide for
the issuance of bonds in the amounts as may be necessary, until the
full amount of bonds authorized have been issued. The full amount of
bonds may be divided into two or more series and different dates of
payment fixed for the bonds of each series. A bond need not mature on
its anniversary date.
131111. (a) A resolution authorizing the issuance of bonds shall
state all of the following:
(1) The purposes for which the proposed debt is to be incurred,
which may include all costs and estimated costs incidental to, or
connected with, the accomplishment of those purposes, including,
without limitation, engineering, inspection, legal, fiscal agents,
financial consultant and other fees, bond and other reserve funds,
working capital, bond interest estimated to accrue during the
construction period and for a period not to exceed three years
thereafter, and expenses of all proceedings for the authorization,
issuance, and sale of the bonds.
(2) The estimated cost of accomplishing those purposes.
(3) The amount of the principal of the indebtedness.
(4) The maximum term the bonds proposed to be issued shall run
before maturity, which shall not be beyond the date of termination of
the imposition of the retail transactions and use tax.
(5) The maximum rate of interest to be paid, which shall not
exceed the maximum allowable by law.
(6) The denomination or denominations of the bonds, which shall
not be less than five thousand dollars ($5,000).
(7) The form of the bonds, including, without limitation,
registered bonds and coupon bonds, to the extent permitted by federal
law, and the form of any coupons to be attached thereto, the
registration, conversion, and exchange privileges, if any, pertaining
thereto, and the time when all of, or any part of, the principal
becomes due and payable.
(b) The resolution may also contain any other matters authorized
by this chapter or any other law.
131112. The bonds shall bear interest at a rate or rates not
exceeding the maximum allowable by law, payable semiannually, except
that the first interest payable on the bonds, or any series thereof,
may be for any period not exceeding one year, as determined by the
agency imposing the retail transactions and use tax.
131113. In the resolution authorizing the issuance of the bonds,
the agency imposing the retail transactions and use tax may also
provide for the call and redemption of the bonds prior to maturity at
the times and prices and upon other terms as specified. However, no
bond is subject to call or redemption prior to maturity, unless it
contains a recital to that effect or unless a statement to that
effect is printed.
131114. The principal of, and interest on, the bonds shall be
payable in lawful money of the United States at the office of the
treasurer of the agency imposing the retail transactions and use tax,
or at other places as may be designated, or at both the office and
other places at the option of the holders of the bonds.
131115. The bonds, or each series thereof, shall be dated and
numbered consecutively and shall be signed by the chairperson or vice
chairperson of the agency imposing the retail transactions and use
tax and the auditor-controller of the agency, and the official seal,
if any, of the agency shall be attached.
The interest coupons of the bonds shall be signed by the
auditor-controller of the agency. All of the signatures and seal may
be printed, lithographed, or mechanically reproduced, except that one
of the signatures shall be manually affixed.
If any officer whose signature appears on the bonds or coupons
ceases to be that officer before the delivery of the bonds, the
officer's signature is as effective as if the officer had remained in
office.
131116. The bonds may be sold as the agency imposing the retail
transactions and use tax determines by resolution, and the bonds may
be sold at a price below par, whether by negotiated or public sale.
131117. Delivery of any bonds may be made at any place either
inside or outside the state, and the purchase price may be received
in cash or bank credits.
131118. All accrued interest and premiums received on the sale of
the bonds shall be placed in the fund to be used for the payment of
the principal of, and interest on, the bonds, and the remainder of
the proceeds of the bonds shall be placed in the treasury of the
agency imposing the retail transactions and use tax and applied to
secure the bonds or for the purposes for which the debt was incurred.
However, when the purposes have been accomplished, any money
remaining shall be either (a) transferred to the fund to be used for
the payment of principal of, and interest on, the bonds or (b) placed
in a fund to be used for the purchase of the outstanding bonds in
the open market at prices and in the manner, either at public or
private sale or otherwise, as determined by the agency. Bonds so
purchased shall be canceled immediately.
131119. (a) The agency imposing the retail transactions and use tax
may provide for the issuance, sale, or exchange of refunding bonds
to redeem or retire any bonds issued by the agency upon the terms, at
the times and in the manner which it determines.
(b) Refunding bonds may be issued in a principal amount sufficient
to pay all, or any part of, the principal of the outstanding bonds,
the premiums, if any, due upon call and redemption thereof prior to
maturity, all expenses of the refunding, and either of the following:
(1) The interest upon the refunding bonds from the date of sale
thereof to the date of payment of the bonds to be refunded out of the
proceeds of the sale of the refunding bonds or to the date upon
which the bonds to be refunded will be paid pursuant to call or
agreement with the holders of the bonds.
(2) The interest upon the bonds to be refunded from the date of
sale of the refunding bonds to the date of payment of the bonds to be
refunded or to the date upon which the bonds to be refunded will be
paid pursuant to call or agreement with the holder of the bonds.
(c) The provisions of this chapter for the issuance and sale of
bonds apply to the issuance and sale of refunding bonds.
131120. (a) The agency imposing the retail transactions and use tax
may borrow money in anticipation of the sale of bonds which have
been authorized pursuant to this chapter, but which have not been
sold or delivered, and may issue negotiable bond anticipation notes
therefor and may renew the bond anticipation notes from time to time.
However, the maximum maturity of any bond anticipation notes,
including the renewals thereof, shall not exceed five years from the
date of delivery of the original bond anticipation notes.
(b) The bond anticipation notes, and the interest thereon, may be
paid from any money of the agency available therefor, including the
revenues from the tax. If not previously otherwise paid, the bond
anticipation notes, or any portion thereof, or the interest thereon,
shall be paid from the proceeds of the next sale of the bonds of the
agency in anticipation of which the notes were issued.
(c) The bond anticipation notes shall not be issued in any amount
in excess of the aggregate amount of the bonds which the agency has
been authorized to issue, less the amount of any bonds of the
authorized issue previously sold, and also less the amount of other
bond anticipation notes therefor issued and then outstanding. The
bond anticipation notes shall be issued and sold in the same manner
as the bonds.
(d) The bond anticipation notes and the resolutions authorizing
them may contain any provisions, conditions, or limitations which a
resolution of the agency may contain.
131121. Any bonds issued under this chapter are legal investment
for all trust funds; for the funds of insurance companies, commercial
and savings banks, and trust companies; and for state school funds;
and whenever any money or funds may, by any law now or hereafter
enacted, be invested in bonds of cities, counties, school districts,
or other districts within the state, that money or funds may be
invested in the bonds issued under this chapter, and whenever bonds
of cities, counties, school districts, or other districts within the
state may, by any law now or hereafter enacted, be used as security
for the performance of any act or the deposit of any public money,
the bonds issued under this chapter may be so used. The provisions of
this chapter are in addition to all other laws relating to legal
investments and shall be controlling as the latest expression of the
Legislature with respect thereto.
131122. Any action or proceedings wherein the validity of the
adoption of the retail transactions and use tax ordinance provided
for in this chapter or the issuance of any bonds thereunder or any of
the proceedings in relation thereto is contested, questioned, or
denied, shall be commenced within six months from the date of the
election at which the ordinance is approved; otherwise, the bonds and
all proceedings in relation thereto, including the adoption and
approval of the ordinance, shall be held to be valid and in every
respect legal and incontestable.
131100. (a) The Legislature, by the enactment of this chapter
intends a county transportation authority or the commission, pursuant
to a county transportation expenditure plan adopted pursuant to
Section 131055, to use any additional funds provided by this chapter
to supplement existing local revenues being used for public
transportation purposes listed in the plan. The Legislature further
intends that the funds provided pursuant to this chapter shall not
replace funds previously provided by property tax revenues for public
transportation purposes. The nine-county San Francisco Bay area is
further encouraged to maintain its existing commitment of local funds
for public transportation purposes.
(b) Any tax revenue generated pursuant to this chapter shall be
expended in the county of origin, except that tax revenue generated
may be expended within and outside the county of origin if so
provided in the adopted county transportation expenditure plan.
However, the tax revenues may be exchanged for federal or state funds
available to another county or local government for transportation
purposes if the exchange will benefit the county of origin.
(c) (1) In order to receive funds from the Counties of Alameda and
Contra Costa and the City and County of San Francisco pursuant to
this chapter, the San Francisco Bay Area Rapid Transit District shall
agree to match from federal, state, or other funds available to the
district, at least as much as it receives from the additional funds
provided by this chapter from those counties.
(2) The funds the district received pursuant to this chapter, and
its matching funds therefor, shall be used only for capital
expenditures.
131101. All allocations of revenues derived from the adoption of a
retail transactions and use tax ordinance in a county shall be
consistent with the priorities established by its county
transportation expenditure plan.
131102. (a) Except as provided in subdivision (b), a retail
transactions and use tax ordinance for a tax of either one-half of 1
percent or 1 percent applicable in the incorporated and
unincorporated territory of a county may be imposed by a county
transportation authority or the commission in the manner prescribed
in Section 131103 and Part 1.6 (commencing with Section 7251) of
Division 2 of the Revenue and Taxation Code, if two-thirds of the
electors voting on the measure vote to approve its imposition at an
election which shall be called for this purpose by the board of
supervisors within one year after the adoption of a county
transportation expenditure plan.
(b) The rate of tax imposed pursuant to subdivision (a) together
with the rate of tax imposed pursuant to the Transactions and Use Tax
Law (Part 1.6 (commencing with Section 7251) of Division 2 of the
Revenue and Taxation Code) by any entity, as authorized by any other
provision of law, shall not exceed 1 percent in any county.
(c) The ordinance shall take effect at the close of the polls on
the day of election at which the proposition, as set forth in Section
131108, is adopted. The ordinance shall specify the period, as
determined by the adopted county transportation expenditure plan
during which the tax will be imposed. The tax may be terminated
earlier if the projects in the adopted plan are completed and any
bonds outstanding issued pursuant to this division are redeemed.
131103. The county, in the retail transactions and use tax
ordinance, shall state the nature of the tax to be imposed and shall
specify the purposes for which the revenues derived from the tax will
be used, and may state the membership of the county transportation
authority.
131104. (a) The county shall conduct the election called by the
board of supervisors pursuant to Section 131102, and the county shall
bear the cost in conducting the election, but shall be reimbursed
from the proceeds of the tax by the agency imposing the tax if the
tax is approved pursuant to Section 131102.
(b) The election shall be called and conducted in the same manner
as provided by law for the conduct of elections by a county.
131105. (a) Any tax ordinance adopted pursuant to this chapter
shall be operative on the first day of the first calendar quarter
commencing more than 120 days after adoption of the ordinance.
(b) Prior to the operative date of the ordinance, a county
transportation authority or the commission, as the case may be, shall
contract with the State Board of Equalization to perform all
functions incident to the administration and operation of the
ordinance.
131106. The net revenues derived from the taxes imposed pursuant to
this chapter, after deduction for expenses pursuant to Section
131107, shall be allocated by the agency imposing the tax for the
transportation purposes as set forth in the adopted county
transportation expenditure plan.
131107. In an adopted county transportation expenditure plan that
provides for the imposition of a retail transactions and use tax, not
more than 1 percent of the annual net amount of revenues raised by
the tax may be used to fund the salaries and benefits of the staff of
the commission or the county transportation authority, as the case
may be, in administering the plan and the retail transactions and use
tax ordinance.
All other funds, after reimbursement to the county for the cost of
conducting the election as provided for in Section 131104, shall be
used for the planning, design, construction, and operation of the
traffic and transportation projects as set forth in the adopted plan,
and shall be allocated according to eligible sponsoring agencies.
131108. (a) The board of supervisors, as part of the ballot
proposition to approve the imposition of a retail transactions and
use tax, may seek authorization to issue bonds as may be provided for
in the adopted county transportation expenditure plan payable solely
from the proceeds of the tax.
(b) The maximum bonded indebtedness which may be authorized shall
be an amount equal to the sum of the principal of, and interest on,
the bonds, but not to exceed the estimated proceeds of the tax, as
determined by the plan.
(c) The proposition shall set forth the actual percent of the tax.
(d) The proposition shall set forth the duration of the tax if the
plan specifies a time limit.
(e) The proposition shall set forth the amount of bonds, if any,
payable from the proceeds of the tax.
(f) The proposition shall set forth either a county transportation
authority or the commission as the agency imposing the tax.
(g) For an entity formed after 1978 which does not have an
appropriations limit, the proposition shall include a limit pursuant
to Article XIII B of the Constitution.
(h) The sample ballot to be mailed to the voters, pursuant to
Section 13303 of the Elections Code, shall be the full proposition,
as set forth in the ordinance calling the election, and the voter
information handbook shall include the entire adopted county
transportation expenditure plan.
131109. (a) The bonds authorized by the voters concurrently with
the approval of the retail transactions and use tax may be issued at
any time by the agency imposing the tax and shall be payable solely
from the proceeds of the tax. The bonds shall be referred to as
"limited tax bonds."
(b) The pledge of the tax to the limited tax bonds authorized
under this chapter shall have priority over the use of any of the tax
for "pay-as-you-go" financing, except to the extent that that
priority is expressly restricted in the resolution authorizing the
issuance of the bonds.
131110. Limited tax bonds shall be issued pursuant to a resolution
adopted at any time of a two-thirds vote by the agency imposing the
retail transactions and use tax. Each resolution shall provide for
the issuance of bonds in the amounts as may be necessary, until the
full amount of bonds authorized have been issued. The full amount of
bonds may be divided into two or more series and different dates of
payment fixed for the bonds of each series. A bond need not mature on
its anniversary date.
131111. (a) A resolution authorizing the issuance of bonds shall
state all of the following:
(1) The purposes for which the proposed debt is to be incurred,
which may include all costs and estimated costs incidental to, or
connected with, the accomplishment of those purposes, including,
without limitation, engineering, inspection, legal, fiscal agents,
financial consultant and other fees, bond and other reserve funds,
working capital, bond interest estimated to accrue during the
construction period and for a period not to exceed three years
thereafter, and expenses of all proceedings for the authorization,
issuance, and sale of the bonds.
(2) The estimated cost of accomplishing those purposes.
(3) The amount of the principal of the indebtedness.
(4) The maximum term the bonds proposed to be issued shall run
before maturity, which shall not be beyond the date of termination of
the imposition of the retail transactions and use tax.
(5) The maximum rate of interest to be paid, which shall not
exceed the maximum allowable by law.
(6) The denomination or denominations of the bonds, which shall
not be less than five thousand dollars ($5,000).
(7) The form of the bonds, including, without limitation,
registered bonds and coupon bonds, to the extent permitted by federal
law, and the form of any coupons to be attached thereto, the
registration, conversion, and exchange privileges, if any, pertaining
thereto, and the time when all of, or any part of, the principal
becomes due and payable.
(b) The resolution may also contain any other matters authorized
by this chapter or any other law.
131112. The bonds shall bear interest at a rate or rates not
exceeding the maximum allowable by law, payable semiannually, except
that the first interest payable on the bonds, or any series thereof,
may be for any period not exceeding one year, as determined by the
agency imposing the retail transactions and use tax.
131113. In the resolution authorizing the issuance of the bonds,
the agency imposing the retail transactions and use tax may also
provide for the call and redemption of the bonds prior to maturity at
the times and prices and upon other terms as specified. However, no
bond is subject to call or redemption prior to maturity, unless it
contains a recital to that effect or unless a statement to that
effect is printed.
131114. The principal of, and interest on, the bonds shall be
payable in lawful money of the United States at the office of the
treasurer of the agency imposing the retail transactions and use tax,
or at other places as may be designated, or at both the office and
other places at the option of the holders of the bonds.
131115. The bonds, or each series thereof, shall be dated and
numbered consecutively and shall be signed by the chairperson or vice
chairperson of the agency imposing the retail transactions and use
tax and the auditor-controller of the agency, and the official seal,
if any, of the agency shall be attached.
The interest coupons of the bonds shall be signed by the
auditor-controller of the agency. All of the signatures and seal may
be printed, lithographed, or mechanically reproduced, except that one
of the signatures shall be manually affixed.
If any officer whose signature appears on the bonds or coupons
ceases to be that officer before the delivery of the bonds, the
officer's signature is as effective as if the officer had remained in
office.
131116. The bonds may be sold as the agency imposing the retail
transactions and use tax determines by resolution, and the bonds may
be sold at a price below par, whether by negotiated or public sale.
131117. Delivery of any bonds may be made at any place either
inside or outside the state, and the purchase price may be received
in cash or bank credits.
131118. All accrued interest and premiums received on the sale of
the bonds shall be placed in the fund to be used for the payment of
the principal of, and interest on, the bonds, and the remainder of
the proceeds of the bonds shall be placed in the treasury of the
agency imposing the retail transactions and use tax and applied to
secure the bonds or for the purposes for which the debt was incurred.
However, when the purposes have been accomplished, any money
remaining shall be either (a) transferred to the fund to be used for
the payment of principal of, and interest on, the bonds or (b) placed
in a fund to be used for the purchase of the outstanding bonds in
the open market at prices and in the manner, either at public or
private sale or otherwise, as determined by the agency. Bonds so
purchased shall be canceled immediately.
131119. (a) The agency imposing the retail transactions and use tax
may provide for the issuance, sale, or exchange of refunding bonds
to redeem or retire any bonds issued by the agency upon the terms, at
the times and in the manner which it determines.
(b) Refunding bonds may be issued in a principal amount sufficient
to pay all, or any part of, the principal of the outstanding bonds,
the premiums, if any, due upon call and redemption thereof prior to
maturity, all expenses of the refunding, and either of the following:
(1) The interest upon the refunding bonds from the date of sale
thereof to the date of payment of the bonds to be refunded out of the
proceeds of the sale of the refunding bonds or to the date upon
which the bonds to be refunded will be paid pursuant to call or
agreement with the holders of the bonds.
(2) The interest upon the bonds to be refunded from the date of
sale of the refunding bonds to the date of payment of the bonds to be
refunded or to the date upon which the bonds to be refunded will be
paid pursuant to call or agreement with the holder of the bonds.
(c) The provisions of this chapter for the issuance and sale of
bonds apply to the issuance and sale of refunding bonds.
131120. (a) The agency imposing the retail transactions and use tax
may borrow money in anticipation of the sale of bonds which have
been authorized pursuant to this chapter, but which have not been
sold or delivered, and may issue negotiable bond anticipation notes
therefor and may renew the bond anticipation notes from time to time.
However, the maximum maturity of any bond anticipation notes,
including the renewals thereof, shall not exceed five years from the
date of delivery of the original bond anticipation notes.
(b) The bond anticipation notes, and the interest thereon, may be
paid from any money of the agency available therefor, including the
revenues from the tax. If not previously otherwise paid, the bond
anticipation notes, or any portion thereof, or the interest thereon,
shall be paid from the proceeds of the next sale of the bonds of the
agency in anticipation of which the notes were issued.
(c) The bond anticipation notes shall not be issued in any amount
in excess of the aggregate amount of the bonds which the agency has
been authorized to issue, less the amount of any bonds of the
authorized issue previously sold, and also less the amount of other
bond anticipation notes therefor issued and then outstanding. The
bond anticipation notes shall be issued and sold in the same manner
as the bonds.
(d) The bond anticipation notes and the resolutions authorizing
them may contain any provisions, conditions, or limitations which a
resolution of the agency may contain.
131121. Any bonds issued under this chapter are legal investment
for all trust funds; for the funds of insurance companies, commercial
and savings banks, and trust companies; and for state school funds;
and whenever any money or funds may, by any law now or hereafter
enacted, be invested in bonds of cities, counties, school districts,
or other districts within the state, that money or funds may be
invested in the bonds issued under this chapter, and whenever bonds
of cities, counties, school districts, or other districts within the
state may, by any law now or hereafter enacted, be used as security
for the performance of any act or the deposit of any public money,
the bonds issued under this chapter may be so used. The provisions of
this chapter are in addition to all other laws relating to legal
investments and shall be controlling as the latest expression of the
Legislature with respect thereto.
131122. Any action or proceedings wherein the validity of the
adoption of the retail transactions and use tax ordinance provided
for in this chapter or the issuance of any bonds thereunder or any of
the proceedings in relation thereto is contested, questioned, or
denied, shall be commenced within six months from the date of the
election at which the ordinance is approved; otherwise, the bonds and
all proceedings in relation thereto, including the adoption and
approval of the ordinance, shall be held to be valid and in every
respect legal and incontestable.
