§ 46-12.8-4 - Establishment of safe drinking water revolving loan fund, sources of funds, permitted uses.
SECTION 46-12.8-4
§ 46-12.8-4 Establishment of safe drinkingwater revolving loan fund, sources of funds, permitted uses. – (a) The agency shall be the instrumentality of the state for administration ofthe safe drinking water revolving loan fund, and such other funds it holds orfor which it is responsible, and, in conjunction with the department, isempowered to and shall take all action necessary or appropriate to secure tothe state the benefits of any other federal or state legislation pertaining tothe funds and to the financing of approved projects. Without limiting thegenerality of the foregoing and other powers of the agency provided in thischapter, the agency is empowered to and shall:
(1) Cooperate with any appropriate federal agencies in allmatters related to administration of the safe drinking water revolving loanfund and, pursuant to the provisions of this chapter, administer the fund andreceive and disburse such funds from any such agencies and from the state asmay be available for the purpose of the safe drinking water revolving loan fund.
(2) In cooperation with the department, prepare and submit toany appropriate federal agencies, the department and the governor, annual andother reports and audits required by law.
(3) Subject to the provisions of this chapter, make, andenter into binding commitments to provide financial assistance to localgovernmental units and private water companies from amounts on deposit in thesafe drinking water revolving loan fund and from other funds of the agency.
(4) Establish and maintain fiscal controls and accountingprocedures conforming to generally accepted government accounting standardssufficient to ensure proper accounting for receipts and disbursements from thesafe drinking water revolving loan fund and other funds it holds or for whichit is responsible and, with the approval of the department, adopt such rules,regulations, procedures, and guidelines which it deems necessary to assure thatlocal governmental units and private water companies administer and maintainapproved project accounts and other funds and accounts relating to financialassistance in accordance with generally accepted government accountingstandards.
(b) The agency shall establish and set up on its books aspecial fund, designated the safe drinking water revolving loan fund, to beheld in trust and to be administered by the agency solely as provided in thischapter and in any trust agreement securing bonds of the agency issued underthe chapter. The agency shall credit to the safe drinking water revolving loanfund or one or more accounts therein:
(1) All amounts appropriated or designated to the agency bythe state or federal government for purposes of the fund;
(2) All loan repayments and other payments received by theagency on any loans, local governmental obligations and the obligations ofprivate water companies;
(3) All investment earnings on amounts credited to the fund;
(4) All sums collected as water quality protection charges asprovided in chapter 15.3 of this title;
(5) All sums paid to the water development fund establishedpursuant to chapter 15.1 of this title;
(6) All proceeds of bonds of the agency issued under thischapter to the extent required by any trust agreement for such bonds;
(7) All other monies which are specifically designated forthis fund, including, amounts from gifts, bequests, administrative, civil andcriminal penalties, or other funds from any public or private sources; and
(8) Any other amounts required by the provisions of thischapter, or any other law or by any trust agreement pertaining to bonds to becredited to the fund or which the agency in its discretion shall determine tocredit thereto.
(c) Except to the extent limited by law, and subject to theprovisions of this chapter, and to any agreements with the holders of any bondsof the agency or any trustee therefor, amounts held by the agency for theaccount of the safe drinking water revolving loan fund shall be applied by theagency, either by direct expenditure, disbursement, or transfer to one or moreother funds and accounts held by the agency or maintained under any trustagreement pertaining to bonds, either alone or with other funds of the agency,to the following purposes:
(1) To provide financial assistance to local governmentalunits and to private water companies to finance costs of approved projects, andto refinance the costs of such projects, subject to terms and conditions, ifany, as are determined by the department;
(2) To purchase or refinance debt obligations of the localgovernmental units and private water companies, or to provide guarantees,insurance or similar forms of financial assistance for such obligations;
(3) To fund reserves for bonds of the agency and to purchaseinsurance and pay the premiums therefor, and pay fees and expenses of lettersor lines of credit and costs of reimbursement to the issuers thereof for anypayments made thereon or on any insurance, and to otherwise provide securityfor, and a source of payment for, by pledge, lien, assignment, or otherwisebonds of the agency issued in accordance with this chapter; and
(4) To pay expenses of the agency and the department inadministering the fund and the financial assistance programs of the agencyauthorized by this chapter. As part of the annual appropriations bill, thedepartment shall set forth the gross amount of expenses received from theagency and a complete, specific breakdown of the sums retained and/or expendedfor administrative expenses.
(ii) By way of illustration, not by limitation, in thepersonnel area, the breakdown of administrative expenses should contain thenumber of personnel paid, the position numbers of the personnel, and whether ornot the position is a new position or a position which had been fundedpreviously by federal funds or a position which had been previously created butunfunded.
(d) Subject to any express limitation of this chapterpertaining to expenditure or disbursement of funds or accounts held by theagency, funds or accounts held by the agency may be transferred to any otherfund or account held by the agency for the purposes of this chapter andexpended or disbursed for purposes permitted by such fund or account.