Bond Referendum Flashcards
Bond referendum procedures are generally like . . .?
General elections.
If bond issue is defeated, when can another vote be held?
Nothing on same purpose for 6 months.
What must ballot contain?
FINANCE ----------- Amount of bonds to be issued, Purpose for the bonds, and the Rate of interest on the bonds (can simply state shall not exceed max rate by law.)
What is max interest rate on a bond?
7%
Where must bond referendum notice be published?
FINANCE ----------- Newspaper of general circulation At least 30 days prior to the election, At least twice, Once in the fifth week and once in 3rd week prior to the week in which the election is to be held.
How long must bond referendum notice be published?
30 days.
When must notices be published?
30 days - 5th & 3rd weeks before week of election.
When must 2nd notice be published?
3rd week before week of election.
Who can bring a test suit to test validity of bond?
Any taxpayer.
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If issuer institutes a bond validation proceeding, Taxpayer is bound to intervene.
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Bond validation court given exclusive jurisdiction to determine the validity of the referendum.
When must a test suit re: validity of referendum be filed?
BONDS ----------- Within 60 days of the referendum. ----------- Obligated to intervene if validation filed.
What if Issuer files a bond validation hearing during test suit?
Taxpayer is bound to intervene in such validation proceeding.
How does having a bond validation proceeding & a test suit re: referendum, impact Court jurisdiction?
Court hearing the bond validation proceeding is given exclusive jurisdiction to determine referendum validity.
Bonds subject to the referendum requirement may be issued for:
(a) any public purpose
(b) only capital projects
(c) capital projects or operating expenses
(d) any purpose approved at referendum
B.
MULTIPLE CHOICE ----------- If a bond issue is defeated at referendum, no other referendum may be held with respect to such bonds for the same purpose for a period of: (a) 90 days (b) one year (c) six months (d) none of the above
C
FINANCE ----------- LGs may issue bonds payable from AV taxes without a referendum if such bonds: (a) mature within 12 months (b) mature within 24 months (c) mature within 5 years (d) none of the above
A
Notice of bond referendum must be published:
(a) once, at least 45 days prior to the election
(b) at least twice, once in the 5th week + once in the 3rd week prior to the week of the election, the 1st publication of which must be at least 30 days prior to the election
(c) once a week for 3 weeks, the first publication of which must be at least 45 days prior to election
(d) none of the above
B
LGs in FL can issue bonds backed by the taxing power of the LG w/o a referendum if such bonds mature in less than 5 years from the date of issuance.
FALSE
1 year
LGs with taxing power may not grant a security interest in public property unless:
(a) the security interest is a purchase money security interest and the creation thereof is approved by ordinance after a public hearing
(b) the creation of such security interest is approved at referendum
(c) a super majority of the governing body of the local government approves after a public hearing
(d) none of the above
B
i always want to say d. a referendum can allow the granting of a security interest in public property.
Can’t mortgage, which includes purch money sec.
Comes up in leasing equipment
This rule does not apply to pledging revenue stream.
If a bond issue is defeated at referendum, a new referendum can be held on the same bond issue no earlier than three months from the date of the first referendum.
FALSE, 6 months.
Notice of a bond referendum must be published at least 30 days prior to the referendum,
at least twice,
once in the 3rd week and once in the 5th week prior to the date of the referendum.
FINANCE - T or F ----------- TRUE ----------- perhaps remember that 5 wks x 7 days/wk = 35 days 35 is 'at least' 30 days before
FINANCE ----------- TRUE OR FALSE ----------- If the issuer initiates a bond validation proceeding after a bond referendum, a taxpayer may still bring a separate test suit to determine the validity of the referendum.
FINANCE ----------- FALSE ----------- taxpayer is bound to intervene w/i 60 days. validation court given exclusive juris to review referendum.
FINANCE ----------- TRUE OR FALSE ----------- Special assessment bonds are not payable from AV taxes and are considered revenue bonds for purps of the constitutional referendum requirement.
TRUE
TRUE OR FALSE
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Local governments may, without voter approval, purchase vehicles under an installment
sale contract under which the seller retains a purchase money security interest in the
vehicle.
FALSE
How are TIF/CRA bonds distinguished such that they do not require a referendum?
TIF/CRAs pledges to appropriate a certain amt of AV monies collected & placed in a trust fund. They do not pledge to compel taxation should funds run low.
LGs with taxing power may not grant a security interest in public property unless:
(a) the security interest is a purchase money security interest and the creation thereof is approved by ordinance after a public hearing
(b) the creation of such security interest is approved at referendum
(c) a super majority of the governing body of the local government approves after a public hearing
(d) none of the above
B
Kareem Rule = any security (even a mortg) w/ referendum.
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i always want to say d.
But, a security interest CAN be granted in public property IF APPROVED @ referendum.
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Ex. GOB! from outline: a local government with taxing power may not grant a security interest in public property, absent voter
approval
Wilson v. Palm Beach, 503 So.2d 893 (Fla. 1982).
