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| To enact section 307.933 of the Revised Code to | 1 |
| authorize a corrections commission of a | 2 |
| multicounty, municipal-county, or | 3 |
| multicounty-municipal correctional center to issue | 4 |
| securities of the commission to pay the costs | 5 |
| associated with certain improvements of the | 6 |
| center. | 7 |
| Section 1. That section 307.933 of the Revised Code be | 8 |
| enacted to read as follows: | 9 |
| Sec. 307.933. (A) A corrections commission formed under | 10 |
| section 307.93 of the Revised Code may issue securities of the | 11 |
| commission, in an amount determined by the commission, to pay for | 12 |
| all or part of the cost of the acquisition, construction, | 13 |
| enlargement, modification, or repair of any improvements for a | 14 |
| multicounty, municipal-county, or multicounty-municipal | 15 |
| correctional center that is provided for in section 307.93 of the | 16 |
| Revised Code and for which a county may issue securities under | 17 |
| section 133.15 of the Revised Code. | 18 |
| (B) The commission may issue securities of the commission to | 19 |
| fund or refund the securities issued under division (A) of this | 20 |
| section. The commission may also issue securities of the | 21 |
| commission in anticipation of the proceeds of the securities | 22 |
| issued pursuant to this section. | 23 |
| (C) Securities issued under this section, including | 24 |
| securities issued to fund or refund securities issued under this | 25 |
| section and securities issued in anticipation of the proceeds of | 26 |
| the securities to be issued under this section, shall be subject | 27 |
| to the maximum maturity requirements provided in division (B) or | 28 |
| (C) of section 133.20 of the Revised Code. The fiscal agent of the | 29 |
| commission shall serve as its fiscal officer for purposes of | 30 |
| division (C) of section 133.20 of the Revised Code. | 31 |
| (D) The securities issued under this section shall not | 32 |
| constitute general obligations of the commission or a county or | 33 |
| municipal corporation that has contracted for the creation of a | 34 |
| center, and the general credit or taxing power of a contracting | 35 |
| county or municipal corporation shall not be pledged for payment | 36 |
| of any part of the principal of or interest on these securities. | 37 |
| The holder or owner of securities issued under this section shall | 38 |
| have no right to have money raised by taxation by a county or | 39 |
| municipal corporation that has contracted for the creation of a | 40 |
| center obligated or pledged, and money so raised shall not be | 41 |
| obligated or pledged, for the payment of principal or interest on | 42 |
| such securities. The securities under this section shall not | 43 |
| constitute debt of the commission or a county or municipal | 44 |
| corporation that has contracted for the creation of a center. | 45 |
| Money received by the commission from a county or municipal | 46 |
| corporation pursuant to section 307.93 of the Revised Code shall | 47 |
| not be considered money raised by taxation. | 48 |
| (E) The securities issued under this section shall be secured | 49 |
| by the revenues the commission receives: | 50 |
| (1) From the counties or municipal corporations that have | 51 |
| contracted to create the center, as provided in section 307.93 of | 52 |
| the Revised Code; and | 53 |
| (2) For the services the center provides. | 54 |
| (F) The commission shall authorize the issuance of securities | 55 |
| under this section by adopting a resolution that includes all of | 56 |
| the following: | 57 |
| (1) A statement that the securities issued under this section | 58 |
| are not general obligations of either the commission or a county | 59 |
| or municipal corporation that has contracted to create a center. | 60 |
| (2) A statement that the commission pledges to fix rates or | 61 |
| charges for the services of the center and payments under the | 62 |
| contract between or among participating counties or municipal | 63 |
| corporations sufficient to provide adequate funds and reserves to | 64 |
| pay the debt incurred by the issuance of the securities, after | 65 |
| payment of the cost of management, maintenance, and operation of | 66 |
| the center or other correctional facilities under the commission's | 67 |
| control. | 68 |
| (3) A description of the fund or funds to which the proceeds | 69 |
| of the sale of securities under this section shall be credited and | 70 |
| a description of the fund or funds to which any pledged revenue | 71 |
| for the retirement of the debt from the securities shall be | 72 |
| credited. | 73 |
| (G) The resolution authorizing the issuance of securities may | 74 |
| contain provisions governing the following subjects, which | 75 |
| provisions shall be a part of the contract with the holders of | 76 |
| such securities: | 77 |
| (1) The sale and execution of the securities, pledging all or | 78 |
| any part of the revenues and contract payments to secure the | 79 |
| payment of the securities; | 80 |
| (2) The use and disposition of revenues and contract | 81 |
| payments; | 82 |
| (3) The crediting of the proceeds of the sale of the | 83 |
| securities to and among the funds referred to or provided for in | 84 |
| the resolution; | 85 |
| (4) The use, lease, sale, or other disposition of the center | 86 |
| or any correctional facilities under the commission's control; | 87 |
| (5) Limitations on the purpose to which the proceeds of the | 88 |
| sale of securities may be applied to refund previously issued | 89 |
| securities; | 90 |
| (6) As to securities issued in anticipation of the issuance | 91 |
| of securities, the agreement of the commission to do all things | 92 |
| necessary for the authorization, issuance, and sale of securities | 93 |
| in such amounts as may be necessary for the timely retirement of | 94 |
| such anticipation securities; | 95 |
| (7) Limitations on the issuance of additional securities; | 96 |
| (8) The terms on which additional securities may be issued | 97 |
| and secured; | 98 |
| (9) The refunding of outstanding securities; | 99 |
| (10) The procedure by which the terms of any contract with | 100 |
| holders of securities may be amended or abrogated, the amount of | 101 |
| securities the holders of which are required to consent thereto, | 102 |
| and the manner in which such consent may be given; | 103 |
| (11) Limitations on the amount of moneys to be expended by | 104 |
| the commission for operation, administration, or other expenses of | 105 |
| the center; | 106 |
| (12) Any other provisions related to the security or | 107 |
| protection of the securities, as determined by the commission. | 108 |
| (H) Any surplus of pledged revenues received by a commission | 109 |
| in any year, in excess of the amount of principal and interest | 110 |
| payable in that year, and any additional amount as is provided in | 111 |
| the resolution authorizing the securities to be held as a reserve | 112 |
| for debt service, may be used for the enlargement and replacement | 113 |
| of the center or other correctional facilities under a | 114 |
| commission's control. | 115 |
| (I) A corrections commission who issues securities under this | 116 |
| section may appoint or provide for the appointment of agents, | 117 |
| consultants, independent contractors, or any other type of | 118 |
| administrative, investment, financial, or accounting experts as | 119 |
| are necessary, in the judgment of the commission, to carry out the | 120 |
| commission's duties under this section. | 121 |
| (J) The issuance of securities under this section need not | 122 |
| comply with any other law applicable to the issuance of | 123 |
| securities. | 124 |
| (K) A pledge under this section shall be valid and binding | 125 |
| from the time the pledge is made. The revenues so pledged, and | 126 |
| thereafter received by the commission, shall immediately be | 127 |
| subject to the lien of such pledge without any physical delivery | 128 |
| thereof or further act. The lien of any such pledge is valid and | 129 |
| binding as against all parties having claims of any kind in tort, | 130 |
| contract, or otherwise against the commission or a contracting | 131 |
| county or municipal corporation, irrespective of whether such | 132 |
| parties have notice thereof. The resolution by which a pledge is | 133 |
| created need not be filed or recorded except in the records of the | 134 |
| commission. Neither the members of the commission nor any person | 135 |
| executing the securities shall be liable personally on the | 136 |
| securities or be subject to any personal liability or | 137 |
| accountability by reason of the issuance thereof. | 138 |