HLS 12RS-1352 REENGROSSED Page 1 of 5 CODING: Words in struck through type are deletions from existing law; words underscored are additions. Regular Session, 2012 HOUSE BILL NO. 835 BY REPRESENTATIVE MILLER BONDS/COMMISSION: Provides that the State Bond Commission shall establish an online database for posting notices for bond validation suits AN ACT1 To amend and reenact R.S. 13:5121(2), 5124(B), and 5125, relative to bond validation suits;2 to provide for an online database for posting notice of filing bond validation suits;3 to provide for the information to be posted thereon; to provide for proof of posting;4 to provide for an effective date; and to provide for related matters.5 Be it enacted by the Legislature of Louisiana:6 Section 1. R.S. 13:5121(2), 5124(B), and 5125 are hereby amended and reenacted7 to read as follows: 8 § 5121. Definitions.9 * * *10 (2) "Governmental unit" means the State state of Louisiana, municipalities,11 parishes, parish and municipal school boards and districts, levee boards and districts,12 housing authorities, bridge authorities, community improvement agencies,13 redevelopment agencies, all other political subdivisions of the state, public trusts,14 corporations, districts, boards, authorities, agencies, and units of local government15 and nonprofit corporations created by or governed by the governing authorities of16 parishes or municipalities, any special service districts, such as water, sewerage,17 garbage, and lighting districts created by or pursuant to legislative acts and any other18 districts, boards, authorities, and agencies of the State state of Louisiana authorized19 to issue bonds.20 * * *21 HLS 12RS-1352 REENGROSSED HB NO. 835 Page 2 of 5 CODING: Words in struck through type are deletions from existing law; words underscored are additions. §5124. Service by publication of motion for judgment; parties defendant;1 notification2 * * *3 B. The party filing a motion for judgment shall also cause notification of said4 filing to be made upon the State Bond Commission and the attorney general by5 mailing a certified copy of the motion for judgment by registered or certified mail,6 with return receipt requested. The State Bond Commission shall establish and7 maintain on its website an online database of such motions for judgment and shall8 post to such database within two days of receipt the caption of the motion for9 judgment, including the parties, the docket number, judicial district, and parish in10 which the motion for judgment is filed. The State Bond Commission may remove11 from an online database on its website such motions and captions after three years12 from their initial posting on the website. No judgment can be rendered until the13 party filing a motion for judgment files in the record an affidavit of the individual14 who mailed the motion for judgment to the State Bond Commission and attorney15 general, showing that it was properly addressed, with sufficient postage affixed, and16 the date it was deposited in the United States mail, to which shall be attached the17 return receipt thereon.18 §5125. Contesting issuance of bonds or action taken with respect to source of19 payment therefor; notice and hearing; service on member of governing body20 Any person, corporation or association desiring to contest or enjoin the21 issuance of any such bonds or action taken providing for a new or different source22 of payment for outstanding bonds shall proceed by motion for judgment brought in23 the court having jurisdiction as provided in R.S. 13:5123. Upon the filing of any24 such motion for judgment, the court shall enter an order within five days following25 such filing requiring the publication of the motion in some newspaper published in26 or having general circulation in such governmental unit two times within a period of27 fifteen consecutive calendar days from the date of the issuance of the order28 specifying the dates for publication thereof, with the first publication as hereinabove29 HLS 12RS-1352 REENGROSSED HB NO. 835 Page 3 of 5 CODING: Words in struck through type are deletions from existing law; words underscored are additions. provided to be not later than eight days from and after the date of the issuance of the1 order, and at the same time fix a time and place for hearing the proceeding, which2 time and place shall be published with the motion for judgment. The date fixed for3 the hearing shall be at least ten days, but not more than thirteen days, after the second4 publication of such motion for judgment. In addition to such publication, the5 plaintiff must secure personal service at least five days prior to the second6 publication of the motion for judgment on at least one member of the governing body7 of the governmental unit whose actions or proceedings are sought to be contested or8 enjoined., and must cause notification of the motion for judgment to be made upon9 the State Bond Commission and the attorney general by mailing a certified copy of10 the motion for judgment by registered or certified mail, with return receipt requested.11 The State Bond Commission shall post to its online database within two days of12 receipt the caption of the motion for judgment, including the parties, the docket13 number, judicial district, and parish in which the motion for judgment is filed. The14 State Bond Commission may remove from an online database on its website such15 motions and captions after three years from their initial posting on the website.16 Section 2. This Act shall become effective upon signature by the governor or, if not17 signed by the governor, upon expiration of the time for bills to become law without signature18 by the governor, as provided by Article III, Section 18 of the Constitution of Louisiana. If19 vetoed by the governor and subsequently approved by the legislature, this Act shall become20 effective on the day following such approval.21 DIGEST The digest printed below was prepared by House Legislative Services. It constitutes no part of the legislative instrument. The keyword, one-liner, abstract, and digest do not constitute part of the law or proof or indicia of legislative intent. [R.S. 1:13(B) and 24:177(E)] Miller HB No. 835 Abstract: Provides that the State Bond Commission shall establish an online database with respect to bond validation suits and add entities to the definition of governmental unit. Present law defines "governmental unit" to mean the state of Louisiana, municipalities, parishes, parish and municipal school boards and districts, levee boards and districts, housing authorities, bridge authorities, community improvement agencies, redevelopment HLS 12RS-1352 REENGROSSED HB NO. 835 Page 4 of 5 CODING: Words in struck through type are deletions from existing law; words underscored are additions. agencies, all other political subdivisions of the state, units of local government, and nonprofit corporations created by or governed by the governing authorities of parishes or municipalities, any special service districts, such as water, sewerage, garbage, and lighting districts created by or pursuant to legislative acts and any other districts, boards, authorities, and agencies of the state of Louisiana authorized to issue bonds. Proposed law adds to present law for the definition of "governmental unit" to also mean public trusts, corporations, districts, boards, authorities, and agencies created by or governed by the governing authorities of parishes or municipalities. Present law provides that the party filing a motion for judgment in a bond validation suit shall also cause notification of said filing to be made upon the State Bond Commission and the attorney general by mailing a certified copy of the motion for judgment by registered or certified mail, with return receipt requested. Present law provides further that no judgment can be rendered until the party filing a motion for judgment files in the record an affidavit of the individual who mailed the motion for judgment to the State Bond Commission and attorney general, showing that it was properly addressed, with sufficient postage affixed, and the date it was deposited in the U.S. mail, to which shall be attached the return receipt thereon. Proposed law retains present law and adds the requirement for the State Bond Commission to establish and maintain on its website an online database of such motions for judgment and shall post to such database within two days of receipt the caption of the motion for judgment, including the parties, the docket number, judicial district, and parish in which the motion for judgment is filed. Proposed law provides further that the State Bond Commission may remove from the online database such motions and captions after three years from their initial posting on the website. Present law provides that any person, corporation, or association desiring to contest or enjoin the issuance of any such bonds or action taken providing for a new or different source of payment for outstanding bonds shall proceed by motion for judgment brought in the court having jurisdiction as provided in R.S. 13:5123. Present law provides further that upon the filing of any such motion for judgment, the court is required to enter an order within five days following such filing requiring the publication of the motion in local newspapers in or having general circulation in such governmental unit two times within a period of 15 consecutive calendar days from the date of the issuance of the order, specifying the dates for publication thereof. The first publication may not be later than eight days from and after the date of the issuance of the order, and it shall at the same time fix a time and place for hearing the proceeding, which time and place shall be published with the motion for judgment. The date fixed for the hearing shall be between 10 and 13 days after the second publication of such motion for judgment. Present law further provides that in addition to such publication, the plaintiff must secure personal service at least five days prior to the second publication of the motion for judgment on at least one member of the governing body of the governmental unit whose actions or proceedings are sought to be contested or enjoined. Proposed law retains present law and provides that any person, corporation, or association filing a bond validation suit must provide notification of the motion for judgment to the State Bond Commission and the attorney general by mailing a certified copy of the motion for judgment by registered or certified mail. Proposed law further requires the State Bond Commission to post to its online database within two days of receipt the caption of the motion for judgment, including the parties, the docket number, judicial district, and parish in which the motion for judgment is filed. Proposed law provides further that the State Bond Commission may remove from the online database such motions and captions after three years from their initial posting on the website. Effective upon signature of governor or lapse of time for gubernatorial action. (Amends R.S. 13:5121(2), 5124(B), and 5125) HLS 12RS-1352 REENGROSSED HB NO. 835 Page 5 of 5 CODING: Words in struck through type are deletions from existing law; words underscored are additions. Summary of Amendments Adopted by House House Floor Amendments to the engrossed bill. 1. Authorized the State Bond Commission to remove certain information from the online database required under proposed law after three years.