§ 40:2324 — Issuance of state bonds to finance grants; terms, limits and condition

§2324. Issuance of state bonds to finance grants; terms, limits and condition
of bonds; administrative rules and regulations
The State Bond Commission is hereby authorized and empowered to
issue revenue bonds or other special obligations, herein referred to as "bonds",
not in excess of twenty million dollars, to provide funds to be used for the
purpose of supplementing grant offers made pursuant to Federal Water Quality
Administration requirements to parishes, municipalities, municipal or
parochial sewerage districts, and any agency, board, commission, or
combination thereof that provide sanitary sewerage collection and/or treatment
facilities, herein referred to as "political subdivisions". The bonds or other
obligations shall be issued from time to time as funds are needed to pay the
cost of state participation in Federal Water Quality Administration projects or
to refund to the political subdivision any funds it has provided for the project
in anticipation of state participation, as hereinafter provided. Said bonds shall
be in such series and form and for such term, not exceeding thirty years, and
shall bear such rate of interest as shall be determined by the State Bond
Commission; however, no bonds shall be issued for any project by the State
Bond Commission unless there has been made on behalf of the political
subdivision the certification provided in R.S. 40:2322. In the issuance and sale
of said bonds, the State Bond Commission, to the extent possible, shall comply
with the provisions of Acts 26 and 27 of the 1968 Extraordinary Session,
provided, that the resolution under which the bonds shall be issued may
contain such covenants and agreements with respect to the security and
payment of the bonds as is deemed necessary by the State Bond Commission
to insure the marketability of the bonds herein authorized to be issued and any
similar bonds to be issued in the future which are authorized by the Legislature
for such purpose. The state treasurer shall apply the proceeds derived from the
sale and issuance of said bonds to pay the state's cost of participating in the
construction of water quality control projects which may qualify for federal aid
and assistance under the provisions of Title 33, Section 1251, et seq., of the
United States Code Annotated, as the same now exists or as may hereafter be
amended; provided that the state's participation in the cost of such water
quality control projects shall not exceed twenty-five percentum of the cost
thereof as said cost is approved by the Federal Water Quality Administration
and used as the basis for determining federal participation on the project; and
provided further that no contracts shall be awarded for the construction of such
projects without the approval of the Louisiana Department of Health. In the
establishment of priorities of projects, relative need and standards of
construction, the Louisiana Department of Health shall work in conjunction
with the appropriate federal agencies and shall apply regulations consistent
with the provisions of the Federal Water Pollution Control Act; provided,
however, it shall have the power to adopt such rules, regulations, and
procedures as shall be necessary for the effective administration thereof.
Provided that petitioner files an application for a federal grant and meets all
other conditions and requirements for a federal grant and more particularly the
provisions of Section 8(b)(7) of the Federal Water Pollution Control Act as
amended. 1
1 Prior to 1972, 33 U.S.C.A. §1158(b)(7). Now see 38 U.S.C.A. §§1251 et
seq., 1282.

Legislative History

Acts 1970, No. 171, §4, emerg. eff. June 29, 1970 at 7:00 P.M. Amended by Acts 1971, No. 146, §1; Acts 1978, No. 786, §5, eff. July 17, 1978.