O.C.G.A. § 50-39-40 — Calculating debt limitations

No bonded indebtedness of any kind shall be incurred by the authority or on behalf of the authority by the Georgia Environmental Finance Authority at any time when the highest aggregate annual debt service requirements of the state for the then current ﬁscal year or any subsequent ﬁscal year for outstanding general obligation debt and guaranteed revenue debt, including the proposed debt and treating it as state general obligation debt or guaranteed revenue debt for purposes of calculating debt limitations under this Code section, and the highest aggregate annual payments for the then current ﬁscal year or any subsequent ﬁscal year of the state under all contracts then in force to which the provisions of the second paragraph of Article IX, Section VI, Paragraph I(a) of the Constitution of 1976 are applicable, exceed 7.5 percent of the total revenue receipts, less refunds of the state treasury in the ﬁscal year immediately preceding the ﬁscal year in which any such debt is to be incurred. History. — Code 1981, § 50-39-40, enacted by Ga. L. 2018, p. 377, § 2-1/HB 930. 810 T.50, C.39, A.4 ATL AUTHORITY 50-39-50 ARTICLE 4 PROJECT PROCEDURES FOR LOCAL GOVERNMENTS 50-39-50. ‘‘Lease agreement’’ deﬁned; operation; execution; provisions. (a) For the purposes of this Code section, the term ‘‘lease agreement’’ shall mean and include a lease, operating lease rental agreement, usufruct, sale and lease back, or any other lease agreement having a term of not more than 50 years and concerning real, personal, or mixed property, any right, title, or interest therein by and between the state, the authority, a local government, or any combination thereof. (b) A local government by resolution of its governing body may enter into a lease agreement for the provision of transit services, transit projects, or air quality services utilizing facilities owned by the authority upon such terms and conditions as the authority shall determine to be reasonable including, but not limited to, the reimbursement of all costs of construction and ﬁnancing and claims arising therefrom. (c) No lease agreement shall be deemed to be a contract subject to any law requiring that a contract shall be let only after receipt of competitive bids. (d) Any lease agreement may provide for the construction of such transit project or air quality facility by the local government as agent for the authority. In such event, all contracts for such construction shall be let by such local government in accordance with the provisions of law otherwise applicable to the letting of such contracts by such local government and with the provisions of state law pertaining to prevailing wages, labor standards, and working hours. Any such lease agreement may contain provisions by which such local government shall indemnify the authority against any and all damages resulting from acts or omissions to act on the part of such local government or its officers, agents, or employees in constructing such facility or facilities, in letting any contracts in connection therewith, or in operating and maintaining the same. (e) Any lease agreement executed by the authority directly with any local government may provide at the termination thereof that title to the transit project or air quality facility project shall vest in the local government or its successor in interest, if any, free and clear of any liens or encumbrances created in connection with any contract or bonds, revenue bonds, notes, or other obligations involving the authority. (f ) Any lease agreement directly between the state or authority and a local government may contain provisions requiring the local government to perform any or all of the following: 811 50-39-50 (1) In the case of a transit service or transit project, to establish and collect rates, fees, and charges so as to produce revenues sufficient to pay all or a speciﬁed portion of: (A) The costs of operation, maintenance, renewal, replacement, and repairs of the transit project of such local government; and (B) Outstanding bonds, revenue bonds, notes, or other obligations incurred for the purposes of such transit project and to provide for the payment of all amounts as they shall become due and payable under the terms of such lease agreement, including amounts for the creation and maintenance of any required reserves; (2) In the case of an air quality facility, to establish and collect rents, rates, fees, and charges so as to produce revenues sufficient to pay all or a speciﬁed portion of: (A) The costs of operation, maintenance, renewal, and repairs of the air quality facility of such local government; and (B) Outstanding bonds, revenue bonds, notes, or other obligations incurred for the purposes of such air quality facility and to provide for the payment of all amounts as they shall become due and payable under the terms of such lease agreement, including amounts for the creation and maintenance of any required reserves; (3) To create and maintain reasonable reserves or other special funds; (4) To create and maintain a special fund or funds as additional security for the punctual payment of any rentals due under such lease agreement and for the deposit therein of such revenues as shall be sufficient to pay said lease rentals and any other amounts becoming due under such lease agreements as the same shall become due and payable; or (5) To perform such other acts and take such other action as may be deemed necessary and desirable by the authority to secure the complete and punctual performance by such local government of such lease agreements and to provide for the remedies of the authority in the event of a default by such local government in such payment. History. — Code 1981, § 50-39-50, enacted by Ga. L. 2018, p. 377, § 2-1/HB 930. 812 50-39-51 50-39-51. Payment for costs of a project; optional conditions; local government power to contract; fees. (a) The authority may make grants or loans to a local government to pay all or any part of the cost of a project. In the event the local government agrees to accept such grants or loans, the authority may require the local government to issue bonds or revenue bonds as evidence of such grants or loans. The authority and a local government may enter into such loan commitments and option agreements as may be determined appropriate by the authority. (b) The authority may require as a condition of any grant or loan to a local government that such local government shall perform any or all of the following: (1) In the case of grants or loans for transit services or transit projects, establish and collect rates, fees, and charges so as to produce revenues sufficient to pay all or a speciﬁed portion of: (A) Costs of operation, maintenance, replacement, renewal, and repairs; and (B) Outstanding indebtedness incurred for the purposes of such service, project, or facility, including the principal of and interest on the bonds, revenue bonds, notes, or other obligations issued by the local government, as the same shall become due and payable, and to create and maintain any required reserves; (2) In the case of grants or loans for an air quality facility, establish and collect rents, rates, fees, and charges so as to produce revenues sufficient to pay all or a speciﬁed portion of: (A) Costs of operation, maintenance, renewal, replacement, and repairs of the air quality facility of such local government; and (B) Outstanding indebtedness incurred for the purposes of such air quality facility, including the principal of and interest on the bonds, revenue bonds, notes, or other obligations issued by the local government, as the same shall become due and payable, and to create and maintain any required reserves; (3) Create and maintain a special fund or funds, as additional security for the payment of the principal of such revenue bonds and the interest thereon and any other amounts becoming due under any agreement, entered into in connection therewith and for the deposit therein of such revenues as shall be sufficient to make such payment as the same shall become due and payable; (4) Create and maintain such other special funds as may be required by the authority; and 813 50-39-52 (5) Perform such other acts, including the conveyance of real and personal property together with all right, title, or interest therein to the authority, or take other actions as may be deemed necessary or desirable by the authority to secure the payment of the principal of and interest on such bonds, revenue bonds, notes, or other obligations and to provide for the remedies of the authority in the event of any default by such local government in such payment. (c) All local governments issuing and selling bonds, revenue bonds, notes, or other obligations to the authority are authorized to perform such acts, take such action, adopt such proceedings, and to make and carry out such contracts with the authority as may be contemplated by this chapter. (d) In connection with the making of any loan authorized by this chapter, the authority may ﬁx and collect such fees and charges, including, but not limited to, reimbursement of all costs of ﬁnancing by the authority, as the authority shall determine to be reasonable. Neither the Public Service Commission nor any local government or state agency shall have jurisdiction over the authority’s power over the regulation of such fees or charges. History. — Code 1981, § 50-39-51, enacted by Ga. L. 2018, p. 377, § 2-1/HB 930. 50-39-52. Withholding of funds to local government.