REPORT ON BILLS FAVORABLY REPORTED BY COMMITTEE
COMMITTEE: |
Finance, Revenue and Bonding Committee |
File No.: |
545 |
Bill No.: |
HB-5814 |
PH Date: |
3/27/2006 |
Action/Date: |
JFS/4-4-2006 |
Reference Change: |
TITLE OF BILL:
AN ACT CONCERNING THE BONDING PROCESS.
SPONSORS OF BILL:
Finance, Revenue and Bonding Committee |
REASONS FOR BILL:
Adds a requirement that before the State Bond Commission may approve a bond allocation, the Office of Policy and Management (OPM) must have received and filed a statement of the (1) full completed cost of the project to receive the allocation and (2) the estimated operating cost of any structure, facility or equipment being built or acquired.
Adds the following requirements regarding the agenda:
• that the Governor, House Speaker and Senate President pro tem jointly agree on the agendas for each Bond Commission meeting;
• that the agenda be available to Commission members at least five, rather than four, business days before a meeting;
• that changes after the agenda has been agreed upon be tabled and held for a future meeting;
• that the OPM Secretary provide to Bond Commission members a copy of any agreement between the State and a private entity receiving bond funds related to an agenda item
Beginning by January 1, 2007, requires the Secretary of OPM to file an annual update to the Committee on Finance, Revenue and Bonding for all outstanding bond allocations regarding the full completed cost of the project and the estimated operating costs, as above.
Effective upon passage.
RESPONSE FROM ADMINISTRATION/AGENCY:
OPM Secretary Robert L. Genuario spoke in opposition to this bill stating that the Bond Commission is solely an Executive function and that to require joint agreement on the agenda by the Governor and Legislative representatives violates the separation of powers as outlined in the State Constitution. He further states that to disallow revisions or additions to the agenda after it has been released “usurps the Governor's position as the chairperson of the Commission.” He adds, “There are numerous valid and appropriate reasons as to why the agenda might be amended prior to the meeting which include emergencies and human error.”
Finally, he states that it is impossible to provide copies of agreements entered into by the state with a private entity receiving bond funds because, due to the complexity of the projects and the detailed contracting requirements, the agreements are not executed until some time after action by the bond Commission.
NATURE AND SOURCES OF SUPPORT:
None
NATURE AND SOURCES OF OPPOSITION:
None
Clare A. Lake |
4/4/2006 | |
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Reported by |
Date |