S*441 Session 103 (1979-1980)
S*0441(Rat #0528, Act #0449 of 1980) General Bill, By Senate Transportation
A Bill to amend Article 9 of Chapter 5 of Title 57, Code of Laws of SC, 1976,
relating to turnpike projects, so as to change the procedure for authorizing
turnpike projects and the provisions for the issuance of turnpike revenue
bonds to finance such construction & provide penalties for violations.
04/13/79 Senate Introduced, read first time, placed on calendar
without reference SJ-32
04/17/79 Senate Read second time SJ-15
04/25/79 Senate Read third time and sent to House SJ-22
05/01/79 House Introduced and read first time HJ-1760
05/01/79 House Referred to Committee on Education and Public
Works HJ-1760
05/10/79 House Recalled from Committee on Education and Public
Works HJ-1938
05/10/79 House Committed to Committee on Ways and Means HJ-1938
04/10/80 House Committee report: Majority favorable with amend.,
minority unfavorable Ways and Means HJ-1976
04/22/80 House Retaining place on calendar recommitted to
Committee on Ways and Means HJ-2298
04/24/80 House Committee report: Favorable with amendment Ways
and Means HJ-2345
04/29/80 House Debate adjourned HJ-2391
04/30/80 House Debate adjourned HJ-2432
05/26/80 House Amended HJ-3136
05/26/80 House Read second time HJ-3145
05/27/80 House READ THIRD TIME HJ-3150
05/27/80 House Returned HJ-3150
05/27/80 Senate Concurred in House amendment and enrolled SJ-15
05/29/80 Senate Ratified R 528 SJ-81
06/04/80 Signed By Governor
06/04/80 Effective date 06/04/80
06/04/80 Act No. 449
06/17/80 Copies available
(A449, R528, S441)
AN ACT TO AMEND ARTICLE 9 OF CHAPTER 5 OF TITLE 57, CODE OF LAWS OF SOUTH
CAROLINA, 1976, RELATING TO TURNPIKE PROJECTS, SO AS TO CHANGE THE PROCEDURE
FOR AUTHORIZING TURNPIKE PROJECTS AND THE PROVISIONS FOR THE ISSUANCE OF
TURNPIKE REVENUE BONDS TO FINANCE SUCH CONSTRUCTION AND PROVIDE PENALTIES FOR
VIOLATIONS.
Be it enacted by the General Assembly of the State of South Carolina:
Turnpike Projects
Section 1. Article 9 of Chapter 5 of Title 57 of the 1976 Code is amended to
read:
" Article 9
Section 57-5-1310. This article is intended to provide an additional and an
alternative method for the provision of and financing of highways and
appurtenant facilities to the end that such highways may be undertaken in such
manner as may best be calculated to expedite relief of hazardous and congested
traffic conditions on the highways in the State and provide acceptable avenues
for commerce and intercommunications by vehicular traffic among the several
sections of the State. In effecting this enactment, the General Assembly
intends that the indebtedness herein authorized falls within the category
permitted by paragraph 9 of Section 13 of Article g of the Constitution of
South Carolina.
Section 57-5-1320. Unless the context indicates another meaning or intent:
1. 'Department' means the South Carolina Department of Highways and Public
Transportation;
2. 'Turnpike facility' means any express highway or limited access highway
constructed under the provisions of this article by the Department, including
any bridge, tunnel, overpass, underpass, interchange, entrance plaza,
approach, toll house, service station and administration and storage and other
buildings and facilities which the Department may deem necessary or desirable
therefor. A turnpike facility may constitute a portion or extension of any
existing or proposed highway in the state highway system;
3. 'Bonds or turnpike revenue bonds' mean revenue bonds of the State
authorized under the provisions of this article ;
4. 'State Board' means the State Budget and Control Board;
5. 'Turnpike facility revenues' mean all revenues resulting from tolls or
other charges derived from the operation of a turnpike facility, including
revenues derived from concession leases or other concessionaire operated
facilities;
6. 'Bond resolution' means the resolution of the State Board making
provision for the issuance of turnpike revenue bonds.
Section 57-5-1330. 1. The Department may designate, establish, plan,
improve, construct, maintain, operate and regulate turnpike facilities as a
part of the state highway system or any federal aid system whenever the
Department determines the traffic conditions present or future, justify such
facilities. The Department may utilize funds available for the maintenance of
the state highway system for the maintenance of any turnpike facility financed
pursuant to this article .
2. In every highway construction project, except federal and state secondary
projects, rehabilitation and widening of federal and state primary and
secondary road and bridge projects and highway safety projects, the Department
shall consider making all or part of the highway construction a turnpike
facility and financing it by the use of turnpike revenue bonds. It shall make
an entry in the construction project file indicating whether or not it
determines making all or part of the project a turnpike facility. If the
Department determines it is feasible to make all or part of the construction
project a turnpike facility, it may engage in such preliminary estimates and
studies incident to the determination of the feasibility or practicability of
constructing any toll road as it shall from time to time deem necessary and
the cost of such preliminary estimates and studies shall be paid from the
general highway fund and shall be reimbursed from funds provided under this
authority only if such studies and estimates lead to the construction of a
toll road.
3. The Department may acquire such lands and property including rights of
access as may be needed for turnpike facilities by gift, devise, purchase, or
condemnation by easement or in fee simple in the same manner as now or
hereafter authorized by law for acquiring property or property rights in
connection with other state highways.
4. In designating, establishing, planning, abandoning, improving,
constructing, maintaining and regulating turnpike facilities the Department
may exercise such authorizations as are granted to the Department by the
provisions of other statute law applicable to the state highway system, except
as they may be inconsistent with the provisions included herein.
5. The Department may contract with any person, partnership, association or
corporation desiring the use of any part of the turnpike facility, including
the right-of-way adjoining the paved portion, for placing thereon telephone,
telegraph, electric light or power lines, gas stations, garages, stores,
hotels and restaurants or for any other purpose, except tracks for railroad or
railway use and to fix the terms, conditions, rents and rates of charges for
such use provided that a sufficient number of the aforementioned facilities
shall be authorized to be established in each service area along any such
turnpike project to permit reasonable competition by private business in the
public interest. Revenues from these contracts would be included in turnpike
facility revenues.
Section 57-5-1340. In addition to the powers listed above, the Department of
Highways and Public Transportation may:
1. Request the issuance of turnpike revenue bonds payable solely from
turnpike facility revenues, for the purpose of paying all or any part of the
cost of any one or more turnpike projects;
2. Fix and revise from time to time and charge and collect tolls for transit
over each turnpike facility constructed by it;
3. Combine, for the purposes of financing the facilities, any two or more
turnpike facilities;
4. Control access to turnpike facilities;
5. To the extent permitted by the bond resolution, expend turnpike facility
or facilities revenues in advertising the facilities and services of the
turnpike facility or facilities to the traveling public;
6. Receive and accept from any federal agency grants for or in the aid of
the construction of any turnpike facility;
7. Do all acts and things necessary or convenient to carry out the powers
expressly granted in this article .
Section 57-5-1350. Whenever it shall become necessary that moneys be raised
for a turnpike facility, the Highways and Public Transportation Commission may
make request to the State Board for the issuance of turnpike revenue bonds.
Such request may be in the form of resolution adopted at any regular or
special meeting of the Highways and Public Transportation commission. Such
request shall set forth on the face thereof or by schedule attached thereto:
1. The turnpike facility proposed to be constructed;
2. The amount required for feasibility studies, planning, design,
right-of-way acquisition and construction of the turnpike facility;
3. A tentative time schedule setting forth the period of time for which the
sum requested shall be expended;
4. A debt service table showing the estimated annual principal and interest
requirements for the requested turnpike revenue bonds;
5. Any feasibility study obtained by the Highways and Public Transportation
Commission relating to the proposed turnpike facility;
6. The Commission's recommendations relating to any covenant to be made in
the bond resolution of the State Board respecting competition between the
proposed turnpike facility and possible future highways whose construction
would have an adverse effect upon the turnpike revenues which would otherwise
be derived by the proposed turnpike facility.
Section 57-5-1360. Following the receipt of any request pursuant to Section
57-5-1350, the State Board shall review the request and, to the extent that it
shall approve such request, it may, by resolution duly adopted, effect the
issuance of turnpike revenue bonds, or pending the issuance thereof, effect
the issuance of bond anticipation notes pursuant to Title 11, Chapter 17. No
resolution approving any proposed turnpike facility shall be adopted unless
prior thereto the State Board shall conduct, after not less than ten days'
published notice, a public hearing in the City of Columbia.
Section 57-5-1370. Turnpike revenue bonds may be issued from time to time
under the conditions prescribed by this article .
Section 57-5-1380. For the payment of the principal of and interest on all
turnpike revenue bonds, there shall be irrevocably pledged all turnpike
revenues derived from the turnpike facility financed by such bonds to the
extent and in the manner prescribed by the bond resolution.
Section 57-5-1390. Turnpike revenue bonds shall bear interest, payable on
such occasions as shall be prescribed by the State Board, at a rate not
exceeding the maximum prescribed by Section 11-9-350. Each issue of turnpike
revenue bonds shall mature on such occasion as shall be prescribed by the
State Board, not exceeding forty years from the date such bonds bear. Turnpike
revenue bonds may, in the discretion of the State Board, be made subject to
redemption at par and accrued interest, plus such redemption premium as it
shall approve and on such occasions and under such conditions as it may
prescribe. Turnpike revenue bonds shall not be redeemable before maturity
unless they contain a statement to such effect.
Section 57-5-1400. Turnpike revenue bonds shall be sold at private or public
sale under such conditions as shall be prescribed by the State Board.
For the purpose of bringing about successful sales of such bonds, the State
Board may do all things ordinarily and customarily done in connection with the
sale of state or municipal bonds. All expenses incident to the sale of such
bonds shall be paid from the proceeds of the sale of such bonds.
Section 57-5-1410. All turnpike revenue bonds shall be executed in the name
of and on behalf of the State of South Carolina and shall be signed by the
Governor and the State Treasurer. The Great Seal of the State shall be affixed
to, impressed or reproduced upon each of them and they shall be attested by
the Secretary of State. If approved by the State Board, any one or two of such
officers may, in lieu of manually signing, employ the use of the facsimile of
their signatures in executing any turnpike revenue bonds.
Section 57-5-1420. The proceeds derived from the sale of turnpike revenue
bonds shall be applied only to the purposes for which the bonds are issued.
Section 57-5-1430. Turnpike revenue bonds shall each be in the denomination
of one thousand dollars or some multiple thereof.
Section 57-5-1440. Turnpike revenue bonds issued pursuant to this article
may be in the form of negotiable coupon bonds, payable to bearer, with the
privilege to the holder of having them registered in his name on the books of
the State Treasurer as to principal only, or as to both principal and
interest, and such principal or both principal and interest, as the case may
be, thus made payable to the registered holder, subject to such conditions as
the State Board may prescribe. Turnpike revenue bonds so registered as to
principal in the name of the holder may thereafter be registered as payable to
bearer and made payable accordingly.
Turnpike revenue bonds may also be issued as fully registered bonds with
both principal and interest thereof made payable only to the registered
holder. Such fully registered bonds shall be subject to transfer under such
conditions as the State Board shall prescribe. Such fully registered bonds
may, if the proceedings authorizing their issuance so provide, be convertible
into negotiable coupon bonds with the attributes set forth in the first
paragraph of this section.
Section 57-5-1450. Following the approval of the proposed project, the State
Board may by resolution duly adopted make provision for the issuance of
turnpike revenue bonds. In such resolution, the State Board may prescribe the
following:
1. The amount, denomination and numbering of turnpike revenue bonds to be
issued;
2. The date as of which they shall be issued;
3. The maturity schedule for the retirement of such turnpike revenue bonds;
4. The form or forms of the Bonds of the particular issue;
5. The redemption provisions, if any, applicable to such bonds;
6. The maximum rate or rates of interest the bonds shall ,bear;
7. The specific purposes for which the bonds shall be issued;
8. The purposes for which the proceeds of the bonds shall be expended; in
the discretion of the State Board, a portion of the proceeds may be used as
capitalized interest during the period of construction and initial operation
and for the creation of appropriate debt service reserves;
9. The method and conditions by which turnpike revenues from the turnpike
facility so financed shall be collected and utilized;
10. The extent to which and the conditions under which additional parity
bonds may be issued;
11. Any covenant deemed necessary protecting the turnpike facility so
financed from possible future competition from other highways or comparable
facilities;
12. The method by which such bonds shall be sold and such other matters as
may be deemed necessary in order to effect the sale, issuance and delivery
thereof.
Except as otherwise provided in this article , all expenses incurred in
carrying out the provisions of this article shall be payable solely from funds
provided under the authority of this article or from any funds provided by the
federal government or from other special sources and no liability or
obligation shall be incurred by the Department beyond the extent to which
money shall have been provided under the provisions of this article .
Such resolution shall further set forth a finding on the part of the State
Board that the estimate of turnpike facility revenues made by the Highways and
Public Transportation Commission and approved by the State Board indicates
that collection from turnpike revenues for applicable fiscal years shall not
be less than that required for annual debt service requirements of the
requested turnpike revenue bonds.
Section 57-5-1460. If following presentation of a certified copy of the bond
resolution it shall appear to the satisfaction of the Governor and the State
Treasurer that the estimated collection from the sources of revenue in
applicable future fiscal years shall not be less than that required for annual
debt service requirements for the requested turnpike revenue bonds, the
Governor and State Treasurer may effect the delivery of bonds in accordance
with the bond resolution.
Section 57-5-1470. All turnpike revenue bonds issued under this article, and
the interest thereon, shall be exempt from all state, county, municipal,
school district, and other taxes or assessment, direct or indirect, general or
special, imposed by the State of South Carolina, whether imposed for the
purpose of general revenue or otherwise, except inheritance, estate, or
transfer taxes. Each turnpike facility shall constitute a portion of the state
highway system and as such shall not be subject to ad valorem or other forms
of taxation by the State or any of its political subdivisions.
Section 57-5-1480. It shall be lawful for all executors, administrators,
guardians and other fiduciaries and all sinking fund commissions, including
the State Budget and Control Board in its capacities as trustee of the funds
of the South Carolina Retirement System and as manager and administrator of
other state sinking funds, to invest any moneys in their hands in turnpike
revenue bonds.
Section 57-5-1490. Any person who uses any turnpike project and fails or
refuses to pay the toll provided therefor shall be deemed guilty of a
misdemeanor and upon conviction shall be punished by a fine of not more than
two hundred dollars or by imprisonment for not more than thirty days, and in
addition thereto the Department shall have a lien upon the vehicle driven by
such person for the amount of such toll and may take and retain possession
thereof."
Time effective
Section 2. This act shall take effect upon approval by the Governor. |