View Amendment Current Amendment: 4C to Bill 464

Senator SETZLER proposed the following amendment (DG\464C008.NBD.DG21):

Amend the bill, as and if amended, by adding an appropriately numbered SECTION to read:

/SECTION ___. Article 1, Chapter 31, Title 58 of the 1976 Code is amended by adding:

"Section 58-31-240.(A) For purposes of this section:

(1) ' SFAA' means the State Fiscal Accountability Authority.

(2) 'Committee' or 'committees' means the Senate Finance Committee and the House Ways and Means Committee.

(B) The Senate Finance Committee and the House Ways and Means Committee shall review and provide fiscal accountability of the Public Service Authority (Authority) no less frequently than every two years. The committees shall provide a report with findings to the Senate Legislative Oversight Committee and the House Legislative Oversight Committee.

(C)(1) Every two years, or as often as requested by either committee, the Authority must submit to the committees:

(a) annual audited financial statements;

(b) projected and actual annual revenue;

(c) actual annual expenditures;

(d) any debt issuances in the previous five years, whether short-term or long-term;

(e) percent of annual revenues utilized for administration. For purposes of this item, 'administration' includes executive level employees compensation and other operating costs;

(f) organizational flow chart displaying the position titles and name of executive-level employees;

(g) major components of any long-term capital plan, including timing and cost estimates, and financing plan for such capital investments whether paid from operations or debt;

(h) performance objectives and results;

(i) performance measurements used to evaluate program effectiveness;

(j) any outstanding litigation issues; and

(k) planning documents and progress reports, including budgeted and actual expenditures.

(2) The Authority must post its annual audited financial report in a conspicuous place on the Authroity's website and distribute the reports to members of the General Assembly.

(3) Any problems or issues of concern that arise during this oversight process may be forwarded to the State Inspector General for investigation after a vote of either committee. The Inspector General is granted the authority to complete the investigation.

(D)(1) When the Authority issues bonds, notes, or other indebtedness, including any refinancing that does not achieve a savings in total debt service, it must notify the committees of such in writing and include:

(a) the date of issuance;

(b) the issuance amount;

(c) sources of payment; and

(d) any ratings assigned to the debt, including the reports of the rating services.

(2) Once revenue debt outstanding meets or exceeds sixty percent of debt capacity, the Joint Bond Review Committee and SFAA must be notified prior to any new issuances of debt.

(3) For purposes of this subsection, d ebt capacity means the total amount of debt that can be undertaken by the Authority while maintaining compliance with its legal, contractual or rating-dependent debt service coverage requirements, incorporating reasonable assumptions and projections for future revenue, interest rates, and term of the indebtedness. The review and approval process set forth in item (2) is triggered whenever existing debt as a percentage of total debt capacity exceeds sixty percent.

(E)(1)By September first of each year, the Authority shall provide an annual report regarding every transaction involving an interest in real property and executed during the preceding twelve months, including:

(a )a summary of the key terms of all contracts effectuating or related to such transactions; and

(b )parties involved in the transaction, including all entities or persons with any type of ownership interest or authority to control.

SFAA, after review and comment by the Joint Bond Review Committee, may adopt instructions which must be followed by the Authority that submitted the report required by this subsection.

(2)A transfer of any interest in real property by the Authority, regardless of the value of the transaction, requires review by the Joint Bond Review Committee and approval of SFAA.

(3) The reporting and review requirements of this item do not apply to encroachment agreements, rights-of-way, or lease agreements made by the Authority with private individuals for residential use on and near lakes in this State.

(F) Any and all executive compensation and retention programs must be reviewed by JBRC and the Agency Head Salary Commission. Additionally, any employment contracts or retention contracts that last longer than five years, and all contract extensions, must be reviewed by JBRC and the Agency Head Salary Commission.

(G) The Authority is a public body for purposes of the Freedom of Information Act.

(H) The requirements imposed on the Authority pursuant to this section are in addition to any other requirements of law. If any provision of this section conflicts with another provision of law, the provisions of this section shall control to the extent of the conflict." /