Senate Bill 2706e1

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    SB 2706                                  First Engrossed (ntc)



  1                      A bill to be entitled

  2         An act relating to Okaloosa County and the

  3         Mid-Bay Bridge Authority; codifying chapter

  4         86-465, Laws of Florida, as amended; providing

  5         additional powers; repealing all prior special

  6         acts relating to the Mid-Bay Bridge Authority;

  7         providing an effective date.

  8

  9  Be It Enacted by the Legislature of the State of Florida:

10

11         Section 1.  Chapter 86-465, Laws of Florida, as amended

12  by chapter 88-542, Laws of Florida, is codified, reenacted,

13  amended, and repealed as herein provided.

14         Section 2.  The Mid-Bay Bridge Authority is re-created

15  and reenacted to read:

16         Section 1.  Purpose.--There is hereby created in

17  Okaloosa County an independent special district for the

18  purpose of planning for, constructing, operating,

19  coordinating, and maintaining one or more bridges or spans

20  traversing Choctawhatchee Bay, and the roads, roadways,

21  traffic exchanges, intersections, methods of ingress and

22  egress thereonto, together with the system as defined herein,

23  the necessary or desirable facilities and equipment relating

24  to the control of traffic thereon, and the necessary or

25  desirable facilities and equipment relating to the

26  administration and management thereof. The governmental body

27  shall be known as the Mid-Bay Bridge Authority, hereinafter

28  referred to as "authority."

29         Section 2.  Boundaries.--The boundaries of the

30  authority are the boundaries of Okaloosa County, as described

31  in section 7.46, Florida Statutes.


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  1         Section 3.  Definitions.--As used in this act:

  2         (1)  "Bond" includes bonds, debentures, notes,

  3  certificates of indebtedness, mortgage  certificates, or other

  4  obligations or evidences of indebtedness of any type or

  5  character.

  6         (2)  "Revenue bonds" means obligations of the authority

  7  which are payable from revenues derived from sources other

  8  than ad valorem taxes on real or tangible personal property

  9  and which do not pledge the property, credit, or general tax

10  revenue of the authority.

11         (3)  "Refunding bonds" means bonds issued to refinance

12  outstanding bonds of any type and the interest and redemption

13  premium thereon. Refunding bonds shall be issuable and payable

14  in the same manner as the refinanced bonds, except that no

15  approval by the electorate shall be required unless required

16  by the State Constitution.

17         (4)  "Department" means the Florida Department of

18  Transportation.

19         (5)  "System" means the countywide system of integrated

20  streets, roads, roadways, rights-of-way, approaches,

21  connections, improvements, additions, expansions, avenues of

22  access, and all other transportation facilities of whatsoever

23  nature in Okaloosa County, relating in part to the Mid-Bay

24  Bridge and to means of efficiently and safely traversing and

25  traveling around Choctawhatchee Bay.

26         Section 4.  Membership; terms of office; officers;

27  quorum; meetings; removal.--

28         (1)  The authority shall consist of five members.

29         (2)  The Governor shall appoint two members to initial

30  terms of 2 years, one member to an initial term of 1 year, and

31  two members for initial terms of 3 years.


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  1         (3)  The terms of office for each member shall be 3

  2  years. Each term shall expire on June 30 in the year of

  3  expiration of the term.

  4         (4)  A chair, vice chair, and secretary/treasurer shall

  5  be chosen by and from the authority membership.  The term of

  6  office for the chair, vice chair, and secretary/treasurer

  7  shall be 1 year, and no member shall hold the same office for

  8  more than two consecutive terms.

  9         (5)  A quorum shall consist of three members, and

10  action shall be taken by a majority vote.

11         (6)  A member may be removed by the Governor, but only

12  for grounds constituting misfeasance, neglect of duty,

13  incompetence, permanent inability to perform his or her

14  official duties, or commission of a felony.  The unexcused

15  failure to attend three consecutive regular meetings of the

16  authority shall be deemed neglect of duty, without limiting

17  the meaning of that term.

18         (7)  Except as otherwise provided, vacancies in office

19  shall be filled by the Governor, as appropriate, for the

20  balance of the term.  In such cases, the appointment shall be

21  made by the appropriate entity not later than 30 days after

22  the office has become vacant.

23         (8)  No person who has transacted business with the

24  authority is eligible for appointment to the authority until 3

25  years after the last transaction.  No person who has served on

26  the authority is eligible to transact business with the

27  authority until 3 years after his or her last date of service.

28  Said transactions include transactions either for oneself or

29  as an employee of, agent for, or consultant to any other

30  person or legal entity.

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  1         (9)  No member, officer, agent, or employee of the

  2  authority, either for himself or herself or as agent for

  3  anyone else, or as a stockholder or owner in any other legal

  4  entity, shall participate or benefit directly or indirectly in

  5  or from any sale, purchase, lease, franchise, contract, or

  6  other transaction, entered into by the authority.  The

  7  provisions of this section shall be cumulative to any general

  8  laws of the state which are from time to time applicable to

  9  members, officers, agents, or employees of the authority and

10  which require the disclosure of, or prohibit, conflicts of

11  interest.

12         (10)  At any time during a term that a member shall

13  become a constitutional officer of his or her respective

14  county, the member shall cease to be a member as of such time,

15  and the Governor shall appoint another member to serve the

16  remaining term of office; and a resignation from such office

17  shall not restore such person to the authority.

18         (11)  The District Engineer of the Florida Department

19  of Transportation shall be an ex officio member of the

20  authority but shall have no voting privileges.

21         Section 5.  Powers.--The authority shall have all power

22  and authority necessary, convenient, or desirable to

23  accomplish the purposes of this act, including, but not

24  limited to, the power to:

25         (1)  Enter into contracts and to sue and be sued in its

26  own name.

27         (2)  Employ necessary personnel, including the

28  appointment of an executive director, whose duties and

29  salaries shall be prescribed by authority.

30         (3)  Adopt a budget annually, and to amend it during

31  the fiscal year.


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  1         (4)  Adopt rules for the regulation of its affairs and

  2  the conduct of its business, and rules for the operation of

  3  the system, and to enforce and administer all such rules.

  4         (5)  Adopt and alter an official seal.

  5         (6)  Maintain an office within Okaloosa County.

  6         (7)  Plan for and study the feasibility of

  7  constructing, operating, and maintaining a bridge traversing

  8  Choctawhatchee Bay, including studying the environmental and

  9  economic feasibility of such bridge, and such other

10  transportation facilities that become part of the system.

11         (8)  Construct, operate, and maintain the system,

12  including a bridge traversing Choctawhatchee Bay and approach

13  roads and facilities appurtenant thereto.

14         (9)  Coordinate and encourage public and private

15  development in connection with the system, including a bridge

16  traversing Choctawhatchee Bay.

17         (10)  Construct, acquire, repair, and operate any

18  public development or project covered in this act, or

19  coordinate any of the foregoing among other governmental

20  agencies.

21         (11)  Acquire, construct, reconstruct, equip, improve,

22  maintain, and repair the system or any portion thereof within

23  its area of operation.

24         (12)  Fix, charge, and collect fees, tolls, rents, and

25  charges for the use of the system, any part thereof, and any

26  facilities furnished thereby, and of any property under its

27  control, and pledge such revenue to the payment of revenue

28  bonds issued by the authority.

29         (13)  Accept grants and donations of any type of

30  property, labor, and other things of value from public and

31  private sources, and to expend the funds of the authority for


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  1  public purposes in its area of operation as a part of and in

  2  cooperation with the system or any portion thereof.

  3         (14)  Acquire, by purchase, on such terms and

  4  conditions and in such manner as it may deem proper, and to

  5  own, convey, and otherwise dispose of and to lease as lessor

  6  and lessee, any land and any other property, real or personal,

  7  reasonably necessary in furtherance of its powers under this

  8  act, and to grant and acquire licenses, easements, and options

  9  with respect thereto.

10         (15)  Exercise the power of eminent domain pursuant to

11  chapters 73 and 74, Florida Statutes.

12         (16)  Borrow money and to issue notes for any purpose

13  or purposes for which bonds may be issued under this act and

14  to refund the same; to issue notes in anticipation of the

15  receipt of the proceeds of the sale of bonds.

16         (17)  Employ or contract for technical experts,

17  consultants, or other staff as may be deemed necessary and to

18  determine their qualifications, duties, and compensation; and

19  may appoint any advisory committee deemed necessary.

20         (18)  Issue revenue bonds or refunding bonds of the

21  authority pursuant to section 8.

22         (19)  Pay operating and debt service costs of the

23  authority.

24         (20)  Enter into and make lease-purchase agreements

25  with the department until any bonds secured by a pledge of

26  rentals hereunder and any refundings thereof are fully paid as

27  to both principal and interest.

28         (21)  Do all acts necessary in order to carry out the

29  purposes of this act.

30         Section 6.  Compensation and travel expenses.--The

31  members of the authority shall receive no salary or other


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    SB 2706                                  First Engrossed (ntc)



  1  compensation for their services.  The authority shall,

  2  however, be authorized to pay reasonable costs and expenses

  3  necessarily incurred by the members in performance of their

  4  duties.  The rate for travel expenses shall not exceed the

  5  rate for state employees.

  6         Section 7.  Budget.--

  7         (1)  Prior to preparation of the annual budget as

  8  provided in subsection (2), the authority shall develop an

  9  annual proposed budget according to the provisions set forth

10  in this section by May 31 of each year, for a public hearing

11  before the citizens of Okaloosa County.

12         (2)  The authority, in each fiscal year, shall prepare

13  an annual budget for operating revenue accounts and operating

14  expense accounts and such other accounts as the authority

15  shall prescribe, for its operations in the ensuing fiscal

16  year. The fiscal year for the authority shall be concurrent

17  with the fiscal year of Okaloosa County.  At the time the

18  authority prepares its annual budget, it shall adopt a

19  resolution determining and finding the estimated amounts to be

20  expended by the obligations of the authority, for acquiring,

21  establishing, constructing, enlarging, operating, and

22  maintaining the system, including the bridge and bridge

23  facilities and other facilities related thereto, or for any

24  other corporate purpose of the authority.

25         (3)  All anticipated revenues to be derived from the

26  operation of the system, including the bridge and bridge

27  facilities shall be included in the budget of the authority.

28  However, any amounts of money, including funds in the

29  authority's budget for the preceding fiscal year, that remain

30  unexpended from the revenue derived under the budget for the

31  preceding fiscal year may, by resolution duly adopted by the


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  1  authority and approved by the board of county commissioners,

  2  be set aside in a separate fund, to be known and described as

  3  a "Renewal and Replacement Fund," and accumulated in said fund

  4  from year to year for the purpose of purchasing real and

  5  personal property, and building and constructing permanent

  6  improvements, replacements, alterations, buildings, and other

  7  structures, and such funds may be disbursed from time to time

  8  out of the renewal and replacement fund, upon proper

  9  resolution of the authority and approval by the board of

10  county commissioners, and solely for the payment of the cost

11  of purchasing real and tangible personal property, and

12  building and constructing permanent improvements,

13  replacements, alterations, buildings, and other structures.

14         (4)  The authority shall adopt budget procedures to

15  establish the direct and indirect costs of operating and

16  maintaining the bridge authority and the system, as well as

17  the direct income derived therefrom.

18         Section 8.  Notice of meetings.--The  authority shall

19  give reasonable notice of all meetings at least 3 days prior

20  to the meetings, said notice to be published in a newspaper in

21  general circulation in Okaloosa County.  Said notice shall

22  include agenda items whenever said items involve leasing of

23  all or any portion of the system. All meetings of the

24  authority shall be so noticed except emergency meetings which

25  shall only be called when there is an immediate danger to the

26  public health, safety, or welfare.

27         Section 9.  Bonding power.--

28         (1)  The authority is empowered and authorized to issue

29  revenue or refunding bonds. The purpose of the bonds shall be

30  to finance all or part of the cost of acquisition,

31  construction, and equipping of the system or for refunding of


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    SB 2706                                  First Engrossed (ntc)



  1  bonds for the same purpose. Such bonds may be issued in one or

  2  more series and shall bear such date or dates, be payable upon

  3  demand or mature at such time or times, be in such

  4  denomination or denominations, be in such form, registered or

  5  not, with or without coupon, carry such conversion or

  6  registration privileges, have such rank or priority, be

  7  executed in such manner, be payable in such medium of payment,

  8  at such place or places, and be subject to terms of

  9  redemption, with or without premium, be secured in such

10  manner, and have such other characteristics as may be provided

11  by such resolution or ordinance or trust indenture or mortgage

12  issued pursuant thereto. Such bonds shall bear interest at

13  such rate or rates allowed by general law.

14         (2)  Bonds issued under this section shall be

15  authorized by resolution of the authority. Any such resolution

16  or resolutions authorizing any bonds hereunder may contain

17  provisions, which shall be part of the contract with the

18  holders of such bonds, as to:

19         (a)  The pledging of all or any part of the revenues,

20  rates, fees, rentals, or other charges or receipts of the

21  authority derived from the system.

22         (b)  The completion, improvement, operation, extension,

23  maintenance, repair, lease, or lease-purchase of such system

24  and with duties of the authority and others, including the

25  department, with reference thereto.

26         (c)  Limitations on the purposes to which the proceeds

27  of the bonds, then or thereafter to be issued, or of any loan

28  or grant by the United States or the state may be applied.

29         (d)  The fixing, charging, establishing, and collecting

30  of rates, fees, rentals, or other charges for use of the

31  services and facilities of the system or any part thereof.


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  1         (e)  The setting aside of reserves or sinking funds or

  2  repair and replacement funds and the regulation and

  3  disposition thereof.

  4         (f)  Limitations on the issuance of additional bonds.

  5         (g)  The terms and provisions of any lease-purchase

  6  agreement, deed of trust, or indenture securing the bonds, or

  7  under which the same may be issued.

  8         (h)  Any other or additional agreements with the

  9  holders of the bonds which the authority may deem desirable

10  and proper.

11         (3)  The authority may employ fiscal agents as provided

12  by this part, or the State Board of Administration may, upon

13  request of the authority, act as fiscal agent for the

14  authority in the issuance of any bonds which may be issued

15  pursuant to this act; and the State Board of Administration

16  may, upon request of the authority, take over the management,

17  control, administration, custody, and payment of any or all

18  debt services of funds or assets now or hereafter available

19  for any bonds issued pursuant to this act.  The authority may

20  enter into deeds of trust, indentures, or other agreements

21  within or without the state as security for such bonds and

22  may, under such agreements, sign and pledge all or any of the

23  revenues, rates, fees, rentals, or other charges or receipts

24  of the authority, as provided herein.  Any such deed of trust,

25  indenture, or other agreement may contain such provisions as

26  are customary in such instruments or as the authority may

27  authorize, including, but without limitation, provisions as

28  to:

29         (a)  The completion, improvement, operation, extension,

30  maintenance, repair, and lease of, or lease-purchase agreement

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  1  relating to the system and the duties of the authority and

  2  others, including the department, with reference thereto.

  3         (b)  The application of funds and the safeguarding of

  4  funds on hand or on deposit.

  5         (c)  The rights and remedies of the trustee and the

  6  holders of the bonds.

  7         (d)  The terms and provisions of the bonds or the

  8  resolutions authorizing the issuance of same.

  9         (4)  Any of the bonds issued pursuant to this act are,

10  and are hereby declared to be, negotiable instruments and

11  shall have all the qualities and incidents of negotiable

12  instruments under the law merchant and the Uniform Commercial

13  Code of the state.

14         (5)  The authority shall determine the terms and manner

15  of sale and distribution or other disposition of any and all

16  bonds it may issue and shall have any and all powers necessary

17  or convenient to such disposition.

18         (6)  The authority may establish and administer such

19  sinking funds as it deems necessary or convenient for the

20  payment, purchase, or redemption of any outstanding bonded

21  indebtedness of the authority.

22         Section 10.  Bonding rights.--The State of Florida does

23  pledge to, and agree with, the Federal Government and any

24  person, or  corporation, subscribing to, or acquiring the

25  bonds to be issued by the authority for the construction,

26  acquisition, extension, improvement, or enlargement of the

27  system, or any part thereof, that the state will not limit or

28  alter the rights hereby vested in the authority and the

29  department until all bonds at any time issued, together with

30  the interest therein, are fully paid and discharged or until

31  provision is made therefor. The State of Florida does further


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  1  pledge to, and agree with, the Federal Government that in the

  2  event that the Federal Government shall construct or

  3  contribute any funds for the construction, acquisition,

  4  extension, improvement, or enlargement of the system, or any

  5  part thereof, the state will not alter or limit the rights and

  6  powers of the authority in any manner which would be

  7  inconsistent with the continued maintenance and operation of

  8  the system, or any part thereof, or the improvement thereof,

  9  or which would be inconsistent with the due performance of any

10  agreement between the authority and the Federal Government,

11  and the authority shall continue to have and may exercise all

12  powers herein granted, so long as the same may be necessary or

13  desirable for the carrying out of the purposes of this act and

14  the purposes of the Federal Government in the construction, or

15  acquisition or improvement or enlargement of the system, or

16  any part thereof.

17         Section 11.  Powers granted, supplemental.--The powers

18  granted by this act shall be regarded as supplemental and

19  additional to powers conferred by other laws, and, unless

20  inconsistent with such powers, shall not be regarded as in

21  derogation of or as repealing any powers now existing under

22  any other law, whether general, special or local.

23         Section 12.  The Department of Transportation is

24  directed to cooperate with the authority to the maximum extent

25  possible.

26         Section 13.  The financial records of the authority

27  shall be audited by an independent certified public accountant

28  at least once each fiscal year.

29         Section 14.  Lease-purchase agreement.--

30         (1)  In order to effectuate the purposes of this act

31  and as authorized herein, the authority may enter into a


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  1  lease-purchase agreement with the department relating to and

  2  covering the system of any portion thereof.

  3         (2)  The lease-purchase agreement shall provide for the

  4  leasing of the system or any portion thereof by the authority,

  5  as lessor, to the department, as lessee, and shall prescribe

  6  the terms of such lease and the rentals to be paid thereunder.

  7         (3)  The lease-purchase agreement may include such

  8  other provisions, agreements, and covenants as the authority

  9  and the department deem advisable or required, including, but

10  not limited to, provisions as to the bonds to be issued under

11  and for the purposes of this act; the financing, extension,

12  improvement, operation, and maintenance of the system and the

13  expenses and costs of operation of the authority; the charging

14  and collection of tolls, rates, fees, rentals, or other

15  charges for the use of the services and facilities thereof;

16  the application of federal or state grants or aid which may be

17  made or given to assist the authority in the financing,

18  completion, extension, improvement, operation, and maintenance

19  of the system, which the authority is authorized to accept and

20  apply to such purposes; the enforcement of payment and

21  collection of tolls, rates, fees, and rentals; and any other

22  terms, provisions, or covenants necessary, incidental, or

23  appurtenant to the making of, and full performance under, such

24  lease-purchase agreement.

25         (4)  The department, as lessee under such

26  lease-purchase agreement, is authorized to pay, as rentals

27  thereunder, any tolls, rates, fees, charges, funds, moneys,

28  receipts, or income accruing to the department from the

29  operation of the system and may also pay, as rentals, from any

30  moneys available to the department, such amounts as the

31  parties agree to accomplish the purposes of this act.


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  1         (5)  In accordance with the provisions of s. 339.125,

  2  Florida Statutes, the department may covenant in any

  3  lease-purchase agreement that it will pay all or any part of

  4  the operation and maintenance of the system, to the extent the

  5  proceeds of the bonds issued therefore are insufficient, from

  6  sources other than the revenues derived from the operation of

  7  the system.

  8         (6)  Any lease-purchase agreement between the authority

  9  and the department shall provide for the orderly repayment of

10  any and all costs incurred by the department in accordance

11  with terms, conditions, and repayment schedules to be mutually

12  agreeable to the authority and the department, which costs of

13  the department result from any covenants to complete or to

14  operate and maintain the systems authorized herein.  The

15  agreement shall provide for a specified source for such

16  repayment which may be, but is not limited to, tolls or other

17  charges imposed for the use of all or a portion of the system

18  or other sources available to the authority not required for

19  the payment or provision for payment of principal, interest,

20  reserves, premium, other required deposits for any bonds or

21  series of bonds of the authority and for any required or

22  necessary or desirable reserves maintained to obtain or

23  maintain any credit rating of the authority.

24         Section 15.  Eligibility for investments and

25  security.--Any bonds or other obligations issued pursuant to

26  this act shall be and constitute legal investments for banks,

27  savings banks, trustees, executors, administrators, and all

28  other fiduciaries, and for all state, municipal, and other

29  public funds, and shall also be and constitute securities

30  eligible for deposit and security for all state, municipal, or

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  1  other public funds, notwithstanding the provisions of any

  2  other law or laws to the contrary.

  3         Section 3.  Except as specifically reenacted herein,

  4  chapter 86-645, Laws of Florida, and chapter 88-542, Laws of

  5  Florida, are repealed.

  6         Section 4.  It is intended that the provisions of this

  7  act shall be liberally construed for accomplishing the work

  8  authorized and provided for or intended to be provided for by

  9  this act, and where strict construction would result in the

10  defeat of the accomplishment of any part of the work

11  authorized by this act, and a liberal construction would

12  permit or assist in the accomplishment of any part of the work

13  authorized by this act, the liberal construction shall be

14  chosen.

15         Section 5.  If any section, subsection, sentence,

16  clause, or phrase of this act is held to be unconstitutional,

17  such holding shall not affect the validity of the remaining

18  portions of the act, the Legislature hereby declaring that it

19  would have passed this act and each section, subsection,

20  sentence, clause, and phrase thereof, irrespective of any

21  other separate section, subsection, sentence, clause, or

22  phrase thereof, and irrespective of the fact that any one or

23  more other sections, subsections, sentences, clauses, or

24  phrases thereof may be declared constitutional.

25         Section 6.  This act shall take effect upon becoming a

26  law.

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