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AGO Opinions with Topic: BONDS
AGO 1971 No. 13 >  March 18, 1971
DISTRICTS - PUBLIC UTILITIES - BONDS - OFFICERS AND EMPLOYEES
SALE OF PUBLIC UTILITY REVENUE OBLIGATIONS TO DISTRICT EMPLOYEES (1) A public utility district is authorized by RCW 54.24.060 to sell its utility revenue obligations in such manner as the board of commissioners shall deem for the best interest of the district; under this statute, based upon an appropriate finding to this effect, utility revenue obligations may be sold privately as an alternative to a public sale following competitive bidding. (2) A public utility district may, pursuant to an appropriate resolution based on findings of benefit to the district, sell a portion of a particular issue of its revenue obligations to its employees by private sale at a rate of interest less than that offered to nonemployee purchasers so long as the employee purchasers are not officers of the district by, through, or under whose supervision the utility revenue obligations in question may have been issued.
AGO 2005 No. 9 >  July 28, 2005
SCHOOL DISTRICTS - BONDS
Degree of specificity required in school district resolution identifying purposes of bond issue to be placed on ballot for voter approval When a school district board of directors adopts a resolution pursuant to RCW 28A.530.020, it must identify the maximum amount of indebtedness and maximum term of any bonds to be issued.  In addition, the resolution must identify the specific buildings to be affected and must contain such other information as will fairly inform voters of the general nature and extent of the project(s) to be funded.
AGO 1961 No. 50 >  August 1, 1961
DISTRICTS - SCHOOLS - BONDS - ISSUANCE BY CONSOLIDATED DISTRICT - RETAINED BONDED INDEBTEDNESS OF COMPONENT DISTRICTS
DISTRICTS ‑- SCHOOLS ‑- BONDS ‑- ISSUANCE BY CONSOLIDATED DISTRICT ‑- RETAINED BONDED INDEBTEDNESS OF COMPONENT DISTRICTS Under the constitution and statutes of this state the retained bonded indebtedness of school districts which consolidate must be considered in computing the bonding capacity of the new (consolidated) district.
AGO 1981 No. 10 >  August 10, 1981
BONDS - STATE
FINANCING CAPITAL PROJECTS OF WASHINGTON PUBLIC POWER SUPPLY SYSTEM THROUGH ISSUANCE OF STATE BONDS The legislature could, constitutionally, fund the construction of capital projects by the Washington Public Power Supply System through the issuance of state general obligation bonds; however, unless those bonds were to be authorized by the voters pursuant to Article VIII, § 3 of the state constitution, their issuance would be subject to the constitutional debt limitation established in Article VIII, § 1 of the constitution.
AGO 1983 No. 17 >  August 18, 1983
CITIES AND TOWNS - COUNTIES - PORT DISTRICTS - INDUSTRIAL DEVELOPMENT - BONDS - INCOMPATIBLE OFFICES
MEMBERSHIP ON BOARD OF DIRECTORS OF PUBLIC CORPORATION Exercising the authority granted to it by RCW 39.84.040 a municipality, in creating a public corporation in connection with the issuance of industrial development revenue bonds under chapter 39.84 RCW, may provide in the ordinance establishing the corporation that one or more positions on its board of directors shall be filled by a member (or members) of its governing body serving ex officio; however, if the number of members of the governing body who are to serve, ex officio, on the board of directors of corporations is less than the total number of members of the governing body, the ordinance should also, itself, state the criteria for determining which members of the governing body are also to serve as directors of the corporation.
AGO 1969 No. 14 >  September 18, 1969
DISTRICTS - SCHOOLS - BONDS - DEBT LIMITATION - BONDING CAPACITY OF SCHOOL DISTRICTS
DISTRICTS - SCHOOLS - BONDS - DEBT LIMITATION - BONDING CAPACITY OF SCHOOL DISTRICTS (1) Under § 1, chapter 142, Laws of 1969, which establishes the bonding capacity of a school district as being a certain percentage of the "value of the taxable property in such district," the measuring property value is the actual "true and fair" value in money of the property in the district as contrasted with the assessed valuation of such property. (2) In the case of a school district located in a county for which the assessment ratio used by the county assessor for property tax purposes has been and is presently 25% of the true value of the taxable property, the combined effect of (a) § 1, chapter 142, Laws of 1969, and (b) the decision of the state supreme court in Carkonen, et al. v. Williams, et al. , ____ Wn.2d ____ [[76 Wn.2d 617]](September 4, 1969), and accompanying order of the state department of revenue requiring use of a 50% assessment ration as of January 1, 1970, will be to increase such district's bonding capacity by a multiple of four.
AGO 1994 No. 6 >  April 19, 1994
SCHOOLS - BONDS - BUSES - FUNDS
Ability of a school district to issue bonds to finance the acquisition of school buses 1.  RCW 28A.530.010 authorizes school districts to issue bonds for certain capital projects.  The acquisition of school buses is not a capital project.  Therefore, the proceeds of bonds issued pursuant to RCW 28A.530.010 cannot be used to acquire school buses. 2.  RCW 28A.530.080 authorizes school districts, under certain circumstances, to issue bonds without a vote of the people.  Proceeds of bonds issued pursuant to RCW 28A.530.080 may be deposited in the transportation vehicle fund.  One purpose of this fund is to acquire school buses. 3.  If the proceeds of bonds issued, without a vote of the people, pursuant to RCW 28A.530.080 are deposited in the transportation vehicle fund, the proceeds may be used to acquire replacement school buses.
AGO 1958 No. 175 >  March 28, 1958
OFFICES AND OFFICERS - STATE INSTITUTIONS - CONSTRUCTION OF NEEDFUL BUILDINGS - BONDS - GENERAL OBLIGATION - USE FOR PURCHASE OF NEW INSTITUTIONS
OFFICES AND OFFICERS ‑- STATE INSTITUTIONS ‑- CONSTRUCTION OF NEEDFUL BUILDINGS ‑- BONDS ‑- GENERAL OBLIGATION ‑- USE FOR PURCHASE OF NEW INSTITUTIONS Revenue derived from the sale of general obligation bonds authorized by chapter 299, Laws of 1957, may be used only for construction of facilities at existing state‑operated charitable, educational and penal institutions and may not be used for the construction of a new intermediate correctional institution or the purchase of Martha Washington School for girls, Luther Burbank School for boys and Yakima Valley School at Selah. The legislature may, by two-thirds majority vote of both houses following referendum approval of the act, amend it to provide for the purchase and construction of such facilities.
AGO 1956 No. 183 >  January 13, 1956
BONDS - CONSTITUTIONALITY - STATE INSTITUTIONS - RENTAL HOUSING - EMPLOYEES
BONDS, CONSTITUTIONALITY, STATE INSTITUTIONS, RENTAL HOUSING, EMPLOYEES (a) A legislative act permitting private corporations to construct, own, and rent housing on grounds of state institutions to employees thereof probably would be constitutional. (b) Legislation permitting rental housing for employees of state institutions such housing to be constructed from the proceeds of a bond issue, the bonds being retired from the rentals, would be constitutional. (c) Legislation pledging rentals from existing housing, for employees of state institutions, in aid of the retirement of a bond issue for new housing for the same purpose, would be constitutional. (d) Legislation providing for one bond issue for all rental housing to be constructed for employees of state institutions would be valid if the overall financing plan is constitutional.
AGO 1955 No. 5 >  January 12, 1955
COUNTIES - EMPLOYEES - BONDS - TERM
COUNTIES ‑- EMPLOYEES ‑- BONDS ‑- TERM Blanket Bonds for non-elective county employees are not restricted by statute to annual basis.
AGO 1953 No. 130 >  September 10, 1953
LOG PATROL - LICENSES - COLUMBIA RIVER - BONDS - ASSOCIATIONS - BOOM COMPANIES - PAYMENT
LOG PATROL ‑- LICENSES ‑- COLUMBIA RIVER ‑- BONDS ‑- ASSOCIATIONS ‑- BOOM COMPANIES ‑- PAYMENT

1. The log patrol act as amended by the 1953 legislature is applicable to the waters of the Columbia river forming a common boundary between the states of Washington and Oregon.  2. A log patrolman in the state of Oregon but not licensed in the state of Washington may not operate in waters of the Columbia river which forms a common boundary between Washington and Oregon.  3. Whether a log patrol association is an agent of an owner of logs such that it may operate without a log patrol license depends upon factual information concerning its methods of organization and operation not provided in your question.  4. A licensed log patrolman may not own and operate his own private nonincorporated boom company for the disposition of stray logs.  5. The log patrol act requires a bond from each log patrolman unless he be a bona fide agent of a licensee who is in fact in charge of the log patrol activities of the agent.  6. Advance partial or full payment to the log patrolman by the boom company for log patrol services is improper.

AGO 1953 No. 505 >  March 27, 1953
BONDS - LICENSES - REAL ESTATE BROKERS AND SALESMEN
BONDS ‑- LICENSES ‑- REAL ESTATE BROKERS AND SALESMEN. Senate Bill repealing RCW 18.85.120 (2) eliminates the requirement of a bond as a prerequisite to the issuance of a real estate broker's, associate real estate broker's, or salesman's license, since RCW 18.85.300 does not impliedly require such a bond.
AGO 1952 No. 429 >  December 3, 1952
FIRE DISTRICTS - SPECIAL ELECTIONS - BONDS - EXCESS LEVIES FORTY MILL TAX LIMITATION - BALLOT TITLES
FIRE DISTRICTS, SPECIAL ELECTIONS, BONDS, EXCESS LEVIES FORTY MILL TAX LIMITATION, BALLOT TITLES A proposition appearing on a ballot proposing a bond issue for capital purposes for a fire district which is to be retired by levies in excess of the forty mill limitation, must expressly state that the issue will be paid by tax levies in excess of the forty mill tax limitation; the proposition must also state the maximum interest which the bonds may bear.
AGO 1950 No. 375 >  October 25, 1950
COUNTIES - BONDS - TOTAL COUNTY INDEBTEDNESS LIMITED TO FIVE PER CENT OF TAXABLE PROPERTY
COUNTIES ‑- BONDS ‑- TOTAL COUNTY INDEBTEDNESS LIMITED TO FIVE PER CENT OF TAXABLE PROPERTY A county may not issue bonds for county purposes for the full amount of five per cent and also issue county road bonds for an additional five per cent of the taxable property.
AGO 1950 No. 240 >  March 22, 1950
TOWNSHIPS - TAXATION - LEVY LIMITATIONS - EXCESS OF, FOR BOND RETIREMENT - ELECTION PROCEDURE FOR EXCESS OF - BONDS - VOTER REQUISITE TO AUTHORIZE
TOWNSHIPS ‑- TAXATION ‑- LEVY LIMITATIONS ‑- EXCESS OF, FOR BOND RETIREMENT ‑- ELECTION PROCEDURE FOR EXCESS OF ‑- BONDS ‑- VOTER REQUISITE TO AUTHORIZE

(1) Township electorate may authorize tax levy in excess of 40 mill aggregate limitation, but not in excess of specific limitation, where purpose is retirement of bonds for capital improvements.(2) Election at town meeting is proper method for authorization of tax levy in excess of 40 mill limitation.(3) Two-thirds majority vote of electorate necessary to authorize issuance of township bonds.

AGLO 1982 No. 7 >  April 14, 1982
DISTRICTS - PUBLIC UTILITY DISTRICTS - BONDS - CONTRACTS - ELECTIONS
NECESSITY FOR VOTER APPROVAL

(1) RCW 54.24.018 does not apply to PUD contractual obligations not involving issuance, by the district, of its own bonds.(2) If a PUD issues bonds in order to fund a prior contractual liability, the provisions of Wash. Const., Article VIII, § 6 (but not Article VII, § 2 or Article VIII, § 7) would be applicable.

AGLO 1981 No. 3 >  February 10, 1981
BONDS - STATE - MUNICIPAL - INTEREST
CREDITING INTEREST EARNED ON INVESTMENT OF BOND PROCEEDS In the absence of a statute, charter provision, ordinance or bond covenant to the contrary, interest earned on the investment of state or municipal bond proceeds is to be credited to the building or other project fund into which those bond proceeds themselves were placed and not to the bond redemption fund.
AGLO 1980 No. 2 >  January 11, 1980
OFFICES AND OFFICERS - COUNTY - CLERK - BONDS - ELECTIONS
FAILURE OF ELECTED COUNTY CLERK TO EXECUTE OFFICIAL BOND The failure of a newly elected county clerk to execute and furnish an official bond pursuant to RCW 36.16.050 does not cause a vacancy in the office to exist pursuant to RCW 42.12.010; instead, such omission merely bars the newly elected clerk from qualifying and, thus, continues the term of his or her predecessor who, however, may, by resigning or refusing to serve, cause a vacancy to come into existence.
AGLO 1977 No. 38 >  September 20, 1977
DISTRICTS - PARKS AND RECREATION - BONDS - TAXATION
FUNDING OR REFUNDING OF REVENUE BONDS (1) A parks and recreation district is not legally authorized to issue general obligation bonds for the purpose of refunding previously issued revenue bonds although such a district may issue new revenue bonds to refund its earlier bond issue. (2) A parks and recreation district is not legally authorized to use property tax revenues, including those from an excess levy, to retire outstanding revenue bonds previously issued by such a district.
AGLO 1978 No. 7 >  March 13, 1978
OFFICES AND OFFICERS - STATE - DEPARTMENT OF ECOLOGY - BONDS - GARBAGE - BONDS FOR ACQUISITION OF PUBLIC WASTE DISPOSAL FACILITIES - USE OF PROCEEDS FOR ACQUISITION OF GARBAGE TRUCKS
OFFICES AND OFFICERS ‑- STATE ‑- DEPARTMENT OF ECOLOGY ‑- BONDS ‑- GARBAGE ‑- BONDS FOR ACQUISITION OF PUBLIC WASTE DISPOSAL FACILITIES ‑- USE OF PROCEEDS FOR ACQUISITION OF GARBAGE TRUCKS

(1) In view of the amendment to chapter 128, Laws of 1972, 1st Ex. Sess. (Referendum 26) which is contained in chapter 242, Laws of 1972, 1st Ex. Sess., the proceeds of bonds issued pursuant thereto may not be made available to counties or other public bodies for the acquisition of trucks or other vehicles to be used in the transporting of garbage from its source in residential, commercial and industrial areas either to drop-box or transfer stations or directly to landfills and recovery facilities.

(2) The foregoing bond proceeds may, however, continue to be used for the acquisition of land and equipment for use in relation to the operation of sanitary landfills, resource recovery facilities, drop-box and transfer stations, and equipment for the transfer of solid waste from such stations to landfills and recovery facilities.

AGLO 1977 No. 9 >  March 2, 1977
DISTRICTS - PORTS - ELECTIONS - BONDS - TAXATION - REAL PROPERTY - PASSAGE OR FAILURE OF PROPOSITION
DISTRICTS ‑- PORTS ‑- ELECTIONS ‑- BONDS ‑- TAXATION ‑- REAL PROPERTY ‑- PASSAGE OR FAILURE OF PROPOSITION

Where a port district has submitted to its voters a proposal for the issuance of general obligation bonds under RCW 53.36.030, and in order to fund those bonds has, as a part of the same proposition, sought approval by the voters of an increase in the aggregate limitation upon regular property taxes above that described in RCW 84.55.010 the entire proposition must be deemed to have been defeated by the failure of at least 60% of the voters to have cast affirmative votes.

AGLO 1974 No. 26 >  March 4, 1974
OFFICES AND OFFICERS - STATE - DEPARTMENT OF SOCIAL AND HEALTH SERVICES - BONDS
FUNDING OF IMPROVEMENTS AT THE STATE VETERANS' HOME AND STATE SOLDIERS' HOME Because they are included in the comprehensive plan for social and health service facilities provided for under chapter 130, Laws of 1972, Ex. Sess., capital improvements at the state veterans' home and state soldiers' home may be funded with the proceeds of general obligation bonds issued under that act.
AGLO 1973 No. 34 >  March 7, 1973
OFFICES AND OFFICERS - STATE - SOCIAL AND HEALTH SERVICES - BONDS - AVAILABILITY OF FUNDS FROM BOND PROCEEDS - CRIMINAL JUSTICE CENTER
OFFICES AND OFFICERS ‑- STATE ‑- SOCIAL AND HEALTH SERVICES ‑- BONDS ‑- AVAILABILITY OF FUNDS FROM BOND PROCEEDS ‑- CRIMINAL JUSTICE CENTER Consideration of the availability of funds received from the sale of bonds authorized by Referendums 29 and 31 for the construction and acquisition of a criminal justice court as contemplated by Senate Bill 2132 and House Bill 168 (1973).
AGLO 1974 No. 44 >  April 11, 1974
BONDS - ADVANCE REFUNDING - INVESTMENT OF PROCEEDS
ROUNDING OUT MATURITIES (1) Prior to applying the proceeds derived from the sale of advance refunding bonds to the purposes for which such bonds shall have been issued, those proceeds may be invested in "government obligations" as defined in RCW 39.53.010. (2) Under RCW 39.53.090, the issuer of general obligation bonds issued to refund voter general obligation bonds may increase the principal amount of annual maturities over that of the bonds to be refunded for the purpose of rounding out maturities to the nearest $5,000
AGLO 1974 No. 81 >  September 26, 1974
BONDS - ADVANCE REFUNDING - INVESTMENT OF PROCEEDS
ROUNDING OUT MATURITIES(1) In establishing the principal amounts of annual maturities for advance refunding bonds issued to refund voted general obligation bonds, under RCW 39.53.090, the issuer may increase the principal amount of any maturity above the level of the corresponding maturity of the issue to be refunded where the combined estimated principal and interest requirements for such maturity year of the refunding bonds, including such increased principal amount, will not exceed the combined principal and interest requirements for the corresponding maturity year of the bonds being refunded, and such maturity of the refunding bonds may be further increased in order to round it out to the nearest $5,000.
AGLO 1974 No. 98 >  November 20, 1974
BONDS - "WASHINGTON FUTURES" - PLANNING
USE OF PROCEEDS FOR PLANNING ACTIVITIES (1) Bond proceeds derived from the issuance and sale of "Washington Futures" bonds for waste disposal, water supply and health and social service facilities may be used to finance the development of comprehensive plans for the purpose of identifying state‑wide [[statewide]]needs for specific purposes; likewise they may be used to finance project feasibility studies related to a particular local problem or condition for which such facilities may be proposed as a solution, and finally they may be used to fund the preparation of a functional plan by a local entity to identify the need for a specific capital project.
AGO 2008 No. 2 >  January 30, 2008
SCHOOL DISTRICTS - FOREST LAND - BONDS
Authority of school district to transfer surplus state forest land revenue from the district’s debt service fund to a school district capital projects fund. 1.      RCW 79.64.110(3) allows a school district to transfer surplus state forest land revenue in its debt service fund to a district capital projects fund, to the extent that such funds have not been pledged or are not otherwise necessary to satisfy the district’s bond obligations.  2.      For purposes of applying RCW 79.64.110, the Department of Natural Resources and the State Treasurer may be a source of records sufficient to determine how much forest land revenue has been credited to each school district in a given period of time.
AGO 2012 No. 5 >  May 28, 2012
BONDS - EDUCATIONAL SERVICE DISTRICTS
Authority Of Educational Service Districts To Issue Bonds

1. The word “instrument” in RCW 28A.310.200 is sufficiently broad to authorize educational service districts to issue bonds within the borrowing authority granted by that statute. 2. Educational service districts must pledge as collateral property acquired through the issuance of the bonds authorized by RCW 28A.310.200. 3. RCW 39.46 applies to educational service districts that choose to exercise the authority granted under it. 4. Educational service districts that use the provisions of RCW 39.46 must also comply with compatible educational service district-specific requirements in RCW 28A.310.200. 5. Statutory and constitutional debt limitations do not apply to educational service districts.

AGO 2013 No. 5 >  November 14, 2013
TAXATION - TIMBER - COUNTY TREASURER - BONDS
Use Of Timber Excise Tax Revenues

   

  1. A local taxing district other than a school district may use timber tax revenues distributed under RCW 84.33.081(2) only to pay debt services related to capital bonds authorized under RCW 84.52.056. 
  2. RCW 84.33.081(2) does not specify the manner in which a taxing district applies timber tax revenues to the debt service. 
  3. In the year in which a taxing district fully pays off its capital bonds issued pursuant to RCW 84.52.056, its use of timber tax revenue distributed pursuant to RCW 84.33.081(2) is not restricted to any particular purpose.
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