Senate Bill No. 589

Special Act No. 00-6

An Act Concerning The Guarantee By The State Of Certain Obligations Of The Town And City Of West Haven.

Be it enacted by the Senate and House of Representatives in General Assembly convened:

Section 2 of special act 92-5 is amended to read as follows:

(a) The full faith and credit of the state of Connecticut is hereby pledged to guarantee the payment of principal and interest on up to thirty-five million dollars in aggregate principal amount of city bonds or bond anticipation notes authorized and issued for capital projects, deficit funding bonds or interim funding obligations issued in anticipation of deficit funding bonds, provided any deficit funding bonds or interim funding obligations issued in anticipation of deficit funding bonds to be guaranteed by the state shall be approved in writing by the governor. Any renewals of such bond anticipation notes or interim funding obligations issued in anticipation of deficit funding bonds so guaranteed by the state shall not be cumulative as to the maximum authorized amount of borrowings guaranteed pursuant to this act and shall not be subject to the provisions of the general statutes imposing time limitations on the renewal of temporary borrowings. Any issuance of bonds to permanently finance bond anticipation notes guaranteed by the state and any amount of deficit funding bonds to permanently finance any previously issued interim funding obligations issued in anticipation of deficit funding bonds guaranteed by the state shall also not be cumulative as to the maximum authorized amount of borrowings guaranteed pursuant to this act.

(b) The city is hereby authorized to include any guarantee authorized by the state pursuant to this act on any bonds or bond anticipation notes authorized and issued for capital projects, deficit funding bonds or interim funding obligations issued in anticipation of deficit funding bonds guaranteed pursuant to this act.

(c) Notwithstanding any other provision of this act, the city is not authorized to include any guaranty of the state on, and the state's guaranty shall not apply to, any bond or bond anticipation note, deficit funding bond or interim funding obligation issued in anticipation of deficit funding bonds or any other obligation of the city of West Haven issued after January 1, 2000.

Approved May 3, 2000