2001-03-29                     Senate Journal                      Page 0860
SB 171                                                                                            
SENATE BILL NO. 171 BY THE SENATE RULES COMMITTEE                                                   
BY REQUEST OF THE GOVERNOR, entitled:                                                               
                                                                                                    
             "An Act making a capital appropriation to the                                          
             Department of Education and Early Development for                                      
             public school facilities that is financed from the                                     
             proceeds of revenue bonds issued by the Northern                                       
             Tobacco Securitization Corporation; making                                             
             appropriations to the Department of Transportation                                     
             and Public Facilities for public transportation projects                               
             and public harbor facility projects, issuance costs,                                   
             and capitalized interest that are financed from the                                    
             proceeds from the sale of certificates of participation                                
             in financing leases; and providing for an effective                                    
             date."                                                                                 
                                                                                                    
was read the first time and referred to the Judiciary and Finance                                   
Committees.                                                                                         
                                                                                                    
Governor's transmittal letter dated March 28:                                                       
                                                                                                    
Dear President Halford:                                                                             
                                                                                                    
This bill I transmit today is the companion to previous measures I have                             
forwarded to make substantial progress meeting statewide needs for                                  
schools, transportation and harbor facilities. This bill formally                                   
appropriates the funds for these projects.                                                          
                                                                                                    
                                                                                                    

2001-03-29                     Senate Journal                      Page 0861
The previously introduced measures establish the financing methods                                  
for all of the projects listed in this bill. As proposed, these school,                             
transportation and harbor facility projects can all be funded with                                  
existing revenue sources. The funding source for each type of project                               
is identified in the respective bills.                                                              
                                                                                                    
House Bill 169 and Senate Bill 124 provide $127 million in statewide                                
school construction and major maintenance through the sale of a                                     
portion of the revenues from the settlement of the state's tobacco                                  
litigation.                                                                                         
                                                                                                    
House Bill 168 and Senate Bill 122 authorize the issuance of revenue                                
obligations that use federal funds to finance the accelerated                                       
construction of $425 million in transportation projects throughout the                              
state. These federal funds can only be used for highway and                                         
transportation projects.                                                                            
                                                                                                    
House Bill 146 and Senate Bill 118 authorize the issuance of                                        
certificates of participation to finance $43.7 million in deferred                                  
maintenance and construction projects for harbor facilities so they can                             
be transferred to local communities. A portion of the current marine                                
motor fuel tax revenues would be used to retire the debt.                                           
                                                                                                    
In anticipation of your approval of these vital projects, I urge you to                             
pass this as a separate appropriation measure or to include the project                             
appropriations in the final capital budget for fiscal year 2002.                                    
                                                                                                    
                                   Sincerely,                                                      
                                             /s/                                                    
                                             Tony Knowles                                           
                                             Governor