AGO Opinion Topics: BONDS

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.

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.

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.

Blanket Bonds for non-elective county employees are not restricted by statute to annual basis.

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.

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.

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.

(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.

(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.

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.