NORTH CAROLINA GENERAL ASSEMBLY
1965 SESSION
CHAPTER 915
HOUSE BILL 13
AN ACT TO AUTHORIZE THE ISSUANCE OF BONDS OF THE STATE TO PROVIDE FOR CAPITAL IMPROVEMENTS FOR STATE INSTITUTIONS AND AGENCIES, SUCH BONDS TO BE ISSUED WITHOUT AN ELECTION DURING THE 1965-67 BIENNIUM IN AN AMOUNT NOT IN EXCESS OF TWO-THIRDS OF THE AMOUNT BY WHICH THE STATE'S OUTSTANDING INDEBTEDNESS SHALL HAVE BEEN REDUCED DURING THE 1963-65 BIENNIUM.
The General Assembly of North Carolina do enact:
Section 1. This Act shall be known and may be cited as "The Capital Improvement Legislative Bond Act of 1965".
Sec. 2. The State Treasurer is hereby authorized, by and with the consent of the Governor and Council of State, to issue and sell, at one time or from time to time in the biennium beginning July 1, 1965, bonds of the State, to be designated "State of North Carolina Capital Improvement Bonds" in an aggregate principal amount not exceeding seventeen million nine hundred eighty-two thousand dollars $(17,982,000), said amount not being in excess of two-thirds of the amount by which the State's outstanding indebtedness shall have been reduced during the biennium beginning July 1, 1963, for the purpose of providing funds for the construction of buildings, the renovation of existing buildings, the construction of utilities, the renovation of existing utilities, acquiring sites therefor if necessary, acquiring and installing equipment at the institutions, departments and agencies of the State, hereinafter mentioned.
I. GENERAL GOVERNMENT
Department of Administration $ $ $ 1,990,000
1. Purchase of Land (Capitol
Area) 1,000,000
2. Purchase of Land
(Institutional) 990,000
__________
V. EDUCATION
University of North Carolina at
Chapel Hill—Division of Health
Affairs 805,000
1. School of Nursing Building
Building 1,260,000
Equipment 275,000
__________
1,535,000
Less Other Funds -730,000 805,000
__________
University of North Carolina at $ $ $
Chapel Hill— Academic Affairs 2,830,000
1. Law School Building
Building 1,755,000
Equipment 125,000 1,880,000
__________
2. English Department Building
Building 875,000
Equipment 75,000 950,000
__________
North Carolina State University at
Raleigh 2,215,000
1. Forestry School Development
Building 900,000
Equipment 400,000
__________
1,300,000
Less Federal Funds -85,000 1,215,000
__________
2. Nuclear Science and
Engineering Res. Center
Building 1,165,000
Equipment 800,000
__________
1,965,000
Less Federal Funds -965,000 1,000,000
__________
East Carolina College 2,230,000
1. Classroom for Biology and
Physics
Building 1,870,000
Equipment 200,000
__________
2,070,000
Less Federal Funds -690,000 1,380,000
__________
2. Classroom for Home
Economics and Nursing
Building 750,000
Equipment 100,000 850,000
__________
Western Carolina College 300,000
1. Extension to Boiler Plant 300,000
Appalachian State Teachers College 1,837,500
1. Extension of Sewage Disposal
System 300,000
2. New Classroom Building $ $ $
Building 1,129,000
Equipment 116,000
__________
1,245,000
Less Federal Funds -207,500 1,037,500
__________
3. Addition to Fine Arts Building
Building 148,000
Equipment 42,000 190,000
__________
4. Library
Building 1,600,000
Equipment 200,000
__________
1,800,000
Less 1963 Appropriation -890,000
Less Federal Funds -600,000 310,000
__________ __________
Pembroke State College 510,000
1. Science Building
Building 641,000
Equipment 124,000
__________
765,000
Less Federal Funds -255,000 510,000
__________
State Board of Education
Department of Community
Colleges 2,540,000
1. New Technical Institutes 540,000
2. New Community Colleges 2,000,000
VII. NON-HIGHWAY TRANSPORTATION
State Ports Authority 2,724,500
Wilmington Terminal
1. Transit Shed, on Existing
Dock 500,000
Morehead City Terminal
2. Dock Extension, 1075 feet
Dock and Site Improvements 2,424,500
Less 1963 Appropriation -200,000 2,224,500
__________
The proceeds of said bonds are hereby appropriated for the purposes stated above, respectively, which appropriation shall be in addition to all other appropriations heretofore made, or which may be made at the present Session of the General Assembly, and shall be expended and disbursed under the direction and supervision of the Director of the Budget.
If the seventeen million nine hundred eighty-two thousand dollars ($17,982,000) maximum principal amount of bonds herein authorized shall be in excess of two-thirds of the amount by which the State's outstanding indebtedness shall have been reduced during the biennium beginning July 1, 1963 and the amount of bonds issued hereunder shall on that account be less than seventeen million nine hundred eighty-two thousand dollars ($17,982,000), the difference between the proceeds of said bonds and the seventeen million nine hundred eighty-two thousand dollars ($17,982,000) aggregate appropriations set forth above shall be made up from the Contingency and Emergency Fund of the State, and the amount of such difference is hereby appropriated out of the Contingency and Emergency Fund for such purpose.
Each project must be so planned that its estimated cost will be within such limits that will allow the purchase of all needed equipment and provide drives, walks, grading and connections to all needed utilities so that when completed the facility may be fully utilized without requiring additional State funds.
Sec. 3. The funds appropriated by Section 2 of this Act to provide for Capital Improvements shall be disbursed for the purposes provided in this Act upon warrants drawn by the State Disbursing Officer, which warrants shall not be drawn for any State institution, department or agency until a requisition has been approved by the Director of the Budget and which requisition shall be approved only after full compliance with the Executive Budget Act, Article 1 of Chapter 143 of the General Statutes. Any officer of the State or executive head of any institution, or any director, trustee or commissioner of any State institution, department or agency to which an appropriation is made under the provisions of this Act who votes for or aids in spending more money for any improvement for his institution, department or agency than is appropriated therefor, may be removed from office by the Governor. Any additional moneys which may be received by means of a grant, or grants, from the United States of America or any agency or department thereof or from any other source to aid in financing the cost of the improvements herein referred to may be placed by the State Treasurer in the same fund or in a separate fund and, to the extent permitted by the terms of such grant or grants, shall be disbursed in the same manner and for the purposes mentioned in this Act.
Sec. 4. The Director of the Budget is authorized and empowered to make transfers and changes from completed projects for which appropriations are made in this Act, within the appropriations made to each separately named department, agency or institution, to provide changes as necessary to permit completion of the projects as described in this appropriation.
Sec. 5. Subject to any transfers and changes between appropriations as permitted in Section 4 of this Act, the appropriations for Capital Improvements made in this Act shall be expended only for the specific projects set out in this Act, and any unexpended balances of the appropriations made in this Act to each separately named institution, department, or agency shall revert to the General Fund of the State on June 30, 1970 or upon such later date, if any, as the Advisory Budget Commission may determine, or upon completion of the projects of such agency or institution if prior to June 30, 1970, or such later date.
Sec. 6. Bonds authorized by this Act shall bear such date or dates, shall be serial bonds, and shall mature at such times and in such amounts, not exceeding 20 years from their date or respective dates, and shall bear interest at such rate or rates, not exceeding four per cent (4%) per annum, payable semiannually, as may be fixed by the State Treasurer with the approval of the Governor and Council of State.
Sec. 7. Said bonds shall be signed on behalf of the State of North Carolina by the Governor or shall bear his facsimile signature and shall be signed by the State Treasurer, and the Great Seal of the State or a facsimile thereof shall be impressed or imprinted thereon, and said bonds shall carry interest coupons which shall bear a facsimile of the signature of the State Treasurer. In case any officer whose signature or a facsimile thereof shall appear on any bonds or coupons shall cease to be such officer before the delivery of such bonds, such signature or such facsimile shall nevertheless be valid and sufficient for all purposes the same as if he had remained in office until such delivery. The form and denomination of the bonds shall be such as the State Treasurer may determine in conformity with this Act, and said bonds shall be subject to registration as is now or may hereafter be provided by law for State bonds, and provision may also be made for the reconversion into coupon bonds of any bonds registered as to both principal and interest.
Sec. 8. Subject to determination by the Governor and Council of State as to the manner in which said bonds shall be offered for sale, whether by publishing notices in certain newspapers and financial journals or by mailing notices or by inviting bids by correspondence or otherwise, the State Treasurer is authorized to sell said bonds at one time or from time to time at the best price obtainable, but in no case for less than par and accrued interest, and when the conditions are equal he shall give the preference of purchase to the citizens of North Carolina. All expenses necessarily incurred in the preparation and sale of the bonds shall be paid from the proceeds of such sale in excess of the appropriations herein authorized or from the Contingency and Emergency Appropriation.
Sec. 9. The proceeds of said bonds and the bond anticipation notes herein authorized (except the proceeds of bonds the issuance of which has been anticipated by such bond anticipation notes) shall be placed by the State Treasurer in a special fund known as the "Capital Improvement Legislative Bond Fund of 1965" and shall be disbursed only for the purposes provided in this Act.
Sec. 10. By and with the consent of the Governor and Council of State, who shall determine the rate or rates or maximum rate of interest and the date or approximate date of payment, the State Treasurer is hereby authorized to borrow money at the lowest rate of interest obtainable, and to execute and issue notes of the State for the same, but only in the following circumstances and under the following conditions:
(a) For anticipating the sale of any of said bonds to the issuance of which the Governor and Council of State shall have given consent, if the State Treasurer shall deem it advisable to postpone the issuance of such bonds.
(b) For the payment of interest upon or any installment of principal of any of said bonds then outstanding, if there shall not be sufficient funds in the State Treasury with which to pay such interest or installment of principal as they respectively fall due.
(c) For the renewal of any loan evidenced by notes herein authorized.
Sec. 11. Funds derived from the sale of bonds herein authorized shall be used in the payment of any bond anticipation notes that may have been issued in anticipation of the sale of such bonds and any renewals of such notes; and funds provided by the General Assembly for the payment of interest on or principal of bonds herein authorized shall be used in paying the interest or principal of any notes and any renewals thereof the proceeds of which shall have been used in paying interest on or principal of such bonds. Interest payments upon said notes may be evidenced by interest coupons in the State Treasurer's discretion.
Sec. 12. The full faith, credit and taxing power of the State are hereby pledged for the payment of the principal of and interest on the bonds and notes herein authorized.
Sec. 13. The coupons appertaining to said bonds and notes after maturity shall be receivable in payment of all taxes, debts, dues, licenses, fines, and demands due the State of any kind whatsoever.
Sec. 14. All of said bonds and notes and coupons shall be exempt from all State, county and municipal taxation or assessment, direct or indirect, general or special, whether imposed for the purpose of general revenue or otherwise, and the interest on said bonds and notes shall not be subject to taxation as to income, nor shall said bonds or notes or coupons be subject to taxation when constituting a part of the surplus of any bank, trust company or other corporation.
Sec. 15. It shall be lawful for all executors, administrators, guardians and fiduciaries generally, and all sinking fund commissions, to invest any moneys in their hands in said bonds and notes.
Sec. 16. The provisions of this Act are severable, and if any of its provisions shall be held unconstitutional by any court of competent jurisdiction, the decision of such court shall not affect or impair any of the remaining provisions.
Sec. 17. All laws and clauses of laws in conflict with this Act are hereby repealed.
Sec. 18. This Act shall be in full force and effect July 1, 1965.
In the General Assembly read three times and ratified, this the 10th day of June, 1965.