ARIZONA STATE SENATE
Phoenix, Arizona
public monies; investment
Expands
the types of eligible investments for public monies to include bonds, notes or
evidences of indebtedness issued by a county improvement district.
An
improvement district can be established in any unincorporated area by the board
of supervisors of the county in the proposed district is located for the
purpose of constructing and operating a wastewater treatment, making other
local improvements such as streets and sidewalks or for permitted
acquisitions. A district can also
contract for or in any manner provide transportation services within the
district through special assessments or the issuing of bonds for improvements,
and levying taxes for the operation and maintenance of improvements and streets
within the district. Districts are
governed by the board of supervisors of the county in which the district is situated
and the board of supervisors is deemed to be the board of directors of the
district.
Currently,
the State Treasurer is required to invest and reinvest public monies in
securities and deposits with a maximum maturity of three years. All public monies must be invested in
eligible investments such as certificates of deposit, interest bearing savings
accounts, repurchase agreements, pooled investment funds, and bonds, notes and
other evidences of indebtedness of the state, or any counties, cities, towns or
municipal improvement district. This
legislation expands the types of eligible investments for public monies to
include bonds, notes or evidences of indebtedness issued by a county
improvement district.
Coconino
County has several improvement districts in the unincorporated areas of the county
that need improvements due to private developments that lack
infrastructure. These improvement
districts are currently financed through tax exempt financing that creates
costs relating to bond councils and financial advisors. Coconino County is seeking this legislation
to allow counties to finance improvement districts through public funds.
There
is no discernable fiscal impact to the general fund associated with this
legislation.
1. Allows public monies to be invested in bonds, notes or evidences of indebtedness issued by a county improvement district.
2. Provides for a general effective date.
CM 1/31/00 DP 6-0-0-0-0
Third Read 3/2/00 55-0-5-0
Prepared by Senate Staff
March 7, 2000