Report Title:

SPRB; West Hawaii Recovery Systems, LLC

 

Description:

Authorizes issuance of $15,000,000 in special purpose revenue bonds for West Hawaii Recovery Systems, LLC. (SB1558 HD1)

 

THE SENATE

S.B. NO.

1558

TWENTY-FIRST LEGISLATURE, 2001

H.D. 1

STATE OF HAWAII

 


 

A BILL FOR AN ACT

 

relating to the issuance of special purpose revenue bonds.

 

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

SECTION 1. The legislature finds that the county of Hawaii is in the process of studying the most effective way to dispose of their solid wastes and has hired a consultant to do this study and make recommendations. This study is expected to be complete by September 2001, and at that time the county will issue a request for proposals based on these recommendations.

The legislature further finds that West Hawaii Recovery Systems, LLC, has proposed a multi-prong approach to manage East Hawaii’s municipal solid waste, including a landfill, hauling, waste separation, diversion, recycling, composting and Startech's Plasma Waste Converter.

The legislature further finds that the proposed project may assist the State in meeting its integrated solid waste management goals as set forth in section 342G-3, Hawaii Revised Statutes.

The legislature finds and declares that the issuance of special purpose revenue bonds under this Act is in the public interest and for the public health, safety, and general welfare.

SECTION 2. Pursuant to part IV, chapter 39A, Hawaii Revised Statutes, the department of budget and finance, with the approval of the governor, is authorized to issue special purpose revenue bonds in a total amount not to exceed $15,000,000, in one or more series, for the purpose of assisting West Hawaii Recovery Systems, LLC, a Hawaii corporation, to plan, design, and construct a transfer station and solid waste disposal system in East Hawaii.

The legislature hereby finds and determines that a transfer station and solid waste disposal system constitutes a "project" as defined in part IV, chapter 39A, Hawaii Revised Statutes, and is in the public interest and general welfare of the State.

SECTION 3. The special purpose revenue bonds and the refunding special purpose revenue bonds issued under this Act shall be issued pursuant to part IV, chapter 39A, Hawaii Revised Statutes, relating to the power to issue special purpose revenue bonds to assist processing enterprises.

SECTION 4. The department of budget and finance is authorized from time to time, including times subsequent to June 30, 2004, to issue special purpose revenue bonds in whatever principal amounts the department shall determine to be necessary to refund the special purpose revenue bonds authorized in section 2 and any refunding of special purpose revenue bonds authorized in this section, regardless of whether the outstanding special purpose revenue bonds or refunding special purpose revenue bonds have matured or are the subject of redemption or whether the refunding special purpose revenue bonds shall be bonds for the multi-project programs described in section 2. In making this determination, the department shall comply with federal law relating to the exemption from federal income taxation of the interest on bonds of the nature authorized by this section.

SECTION 5. No special purpose revenue bonds authorized under this Act shall be issued until the county of Hawaii awards and approves a contract to West Hawaii Recovery Systems, LLC, for the project as described in section 2 of this Act.

SECTION 6. The authorization to issue special purpose revenue bonds under this Act shall lapse on June 30, 2004.

SECTION 7. This Act shall take effect upon its approval.