ARIZONA STATE SENATE
Phoenix, Arizona
transportation; parity
bonds; limits
Increases, by $300 million, the cap on the principal amount of parity bonds that the State Transportation Board (Board) may have outstanding at any one time.
State law authorizes the
State Transportation Board to issue highway user revenue bonds to accelerate
the construction of highway construction projects throughout Arizona. The
maximum bonding capacity of the Board is statutorily set at $1 billion. The pledged revenues for the bond issues are
the highway user revenue fund monies deposited in the state highway fund. The
bonds are an obligation of the State Transportation Board and are not considered
general obligations of the State of Arizona.
According to the Arizona
Department of Transportation, the Department has issued $776 million in parity
bonds. The annual debt service is $85
million through FY 2010-2011, $40 million through FY 2013-2014 and $26 million
through FY 2018-2019.
1. Increases, from $1 billion to $1.3 billion, the cap on the principal amount of parity bonds that the State Transportation Board may have outstanding at any one time.
2. Provides for a general effective date.
Prepared by Senate Staff
February 4, 2002