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SB740 SUB1 Senate Bill 740 History

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SB740 SUB1
COMMITTEE SUBSTITUTE

FOR

Senate Bill No. 740

(By Senators Unger, Fanning, White, Deem and Facemyer)

____________

[Originating in the Committee on Finance;

reported March 28, 2005.]

_____________


A BILL to amend the Code of West Virginia, 1931, as amended, by adding thereto a new article, designated §5B-4-1, §5B-4-2, §5B-4-3, §5B-4-4, §5B-4-5, §5B-4-6, §5B-4-7, §5B-4-8, §5B-4-9, §5B-4-10, §5B-4-11, §5B-4-12, §5B-4-13, §5B-4-14, §5B-4-15, §5B-4-16, §5B-4-17, §5B-4-18, §5B-4-19, §5B-4-20, §5B-4-21 and §5B-4-22, all relating to conducting an inventory and developing coordinated deployment and operation of technology infrastructure within this state; legislative findings and purpose; definitions; reporting requirements; rule-making authority; exemptions from disclosure of confidential information; creating Joint Legislative Oversight Commission on Transportation and Infrastructure; creating Innovation Center; appointment and qualifications of Chief Officer of Innovation Center; powers and duties of Innovation Center; reporting requirements; establishment of task force; providing technical and funding assistance for innovation; authorizing Innovation Center to engage in consulting services for fee, contractual and joint venture agreements; authorizing local government to enter into public-private partnerships; authorizes issuance of bonds; publication and hearing requirements related to bonds; bonds not an indebtedness of local government; redemption and form of bonds, exemption from taxation of bonds; establishment of sinking fund, transfer of balance of net revenues; enabling local government to establish rates of service; and liberal construction of article.

Be it enacted by the Legislature of West Virginia:
That the Code of West Virginia, 1931, as amended, be amended by adding thereto a new article, designated §5B-4-1, §5B-4-2, §5B- 4-3, §5B-4-4, §5B-4-5, §5B-4-6, §5B-4-7, §5B-4-8, §5B-4-9, §5B-4- 10, §5B-4-11, §5B-4-12, §5B-4-13, §5B-4-14, §5B-4-15, §5B-4-16, §5B-4-17, §5B-4-18, §5B-4-19, §5B-4-20, §5B-4-21 and §5B-4-22, all to read as follows:
ARTICLE 4. ELECTRONIC TELECOMMUNICATION OPEN INFRASTRUCTURE ACT.
§5B-4-1. Legislative findings; Purpose.
(a) This article is known as the Electronic Telecommunication

Open Infrastructure Act and shall be referred to as "ETOPIA".
(b) The Legislature finds and declares that the internet revolution is driving today's economy and that information technology offers increased economic opportunities, higher living standards, more individual choices and wider and more meaningful participation in government and public life. The past decade has brought considerable advancement in digital communications and the way people communicate worldwide. Accordingly, digital communications in general, and the internet in particular, are becoming increasingly important to the efficiency and effectiveness of private and public sector entities. With the advent of the internet and its various commercial, educational, medical and cultural applications, the ability of people in all parts of this state to access the internet has become an important component in the ability of the state and its people and institutions to remain competitive in the information-based global economy. Internet access is a major concern for rural health care. Telemedicine gives health care providers the ability to connect with patients at home and to share data with medical experts in academia and large urban hospitals in this state and country, thereby greatly enhancing the level of health care in these areas. Internet access is also a concern for rural education. Access to the internet will complement the learning experiences of children in rural areas by giving them a window to the world and allowing them to gather data from the information superhighway which would not otherwise be available to them. Moreover, internet access will give rural children planning to attend college a direct connection to academic information provided online by institutions of higher education in this state and throughout this country. The benefits of the internet are useless to people and businesses who are neither connected to nor able to access the information superhighway. Advanced ultra-high capacity network infrastructure will attract investment capital to the cities and towns of West Virginia, in particular those that house our research institutes, universities, colleges and community colleges. Intergovernmental cooperation in public-private partnership is an effective method to approach common development where high technology services are not available and will not be available in the reasonably near future through the efforts of private industry. Implementing a coordinated approach to advanced infrastructure will connect West Virginia directly to global markets and enable West Virginia to attract and retain high- caliber knowledge workers and bypass other regions of the country in prosperity and economic expansion. Further, another public need is to develop and implement technology infrastructure that supports homeland security and public safety and continuity of government in the event of emergencies. In particular, first responders increasingly require ubiquitous wireless broadband coverage for safety, security and public health applications. The Legislature finds and declares that efficient and comprehensive development of technology infrastructure is linked to the coordinated deployment and operation of information systems, information technology, information equipment and telecommunications systems and that the management, goals and purposes of government are furthered by the completion of an inventory of information systems, information technology, information equipment, telecommunications related services and systems and generally technology infrastructure and linked information systems across government. The Legislature further finds and declares that technology infrastructure is essential to business and economic development within the state. Therefore, it is a purpose of this article to create, as an integral part of the West Virginia Development Office, the Innovation Center with the authority to advise, make recommendations, coordinate research and development efforts throughout the state and build sustainable communities through technology infrastructure. The Legislature further finds technology infrastructure promotes economic development. Technology infrastructure can make distance far less important than it historically has been, entrepreneurs can choose to live in small towns and rural communities and still engage in global data transmission marketplace. Advanced infrastructure can allow products and services developed in our private industry and our research institutes to reach a global marketplace and for capable entrepreneurs, engineers and executives to build business and careers in our state. Advanced infrastructure can also attract new businesses and industries to our state. Advanced, ultra high-capacity infrastructure can also provide services more efficiently, lowering the costs for consumers and providing a wider array of communication, education, health, safety, security, business, government and cultural services. The Legislature finds that advanced technology infrastructure is vital if West Virginia communities are to survive and prosper in the global economy. The Legislature finds that while basic internet services are available in many cities and towns in West Virginia, there are rural areas and communities where broadband service are lacking, and that ultra-high capacity infrastructure required for major economic expansion not ubiquitous. The Legislature hereby further finds and declares that, despite advances that have made in technology deployment by private industry, problems of implementation of technology infrastructure so transcends the boundary lines of governmental units that no single unit can plan for the solution of these problems without affecting other units of government; that intergovernmental cooperation in public-private partnership is an effective method to approach common development; where advanced services are not available and will not be available in the reasonably near future through the efforts of private industry; and that assistance of the State may be needed to attract investment in West Virginia and to make the most effective use of local, state, federal and private resources. It is therefore the purpose of this article to: (1) Ensure that technology infrastructure and related services are provided and provide the widest possible diversity of information and resources to the general public; (2) advance the exercise of rights under the First Amendment of the Constitution of the United States; (3) enhance the development and widespread use of technological advances; (4)achieve the objectives and policies necessary for the orderly growth and development of the state; (5) allow, in the first instance, that broadband and other advanced services be provided by the efforts of private industry; (6) enable government to partner with private entities where there has been a failure of private concerns to provide broadband, wireless, ultra- high capacity infrastructure or advanced services; (7) involve government through public-private partnership, but never in competition with like or substitute services already available at competitive rates through the singular investments and other efforts of private industry;(8)provide information and develop a knowledge base for government entities and private industry to help ensure the success of advanced technology infrastructure ventures enabled through public-private partnerships; (9) enhance the effort of private industry without interfering with its ability to provide services over the current capacity or in planned capacities for the reasonably foreseeable future; and (10) facilitate intergovernmental cooperation and public-private partnerships to accomplish the purposes of this article where closed markets have failed to serve the people of West Virginia.
§5B-4-2. Definitions.
The following terms, wherever used or referred to in this article, shall have the following meanings unless a different meaning clearly appears from the context:
(a) "Information equipment" includes central processing units, front-end processing units, miniprocessors, microprocessors and related peripheral equipment such as data storage devices, networking equipment, services, routers, document scanners, data entry equipment, terminal controllers, data terminal equipment, computer-based word processing systems other than memory typewriters;
(b) "Information systems" mean computer-based information equipment and related services designed for the automated transmission, storage, manipulation and retrieval of data by electronic or mechanical means;
(c) "Information technology" means data processing and data communications hardware, software, services, supplies, personnel, maintenance and training and includes the programs and routines used to employ and control the capabilities of data processing hardware;
(d) "Local government" means any municipality, county, metro or regional government, or entities or affiliates of such entities in the State of West Virginia;
(e) "Person" means an individual, partnership, association, company, trust, organization, or corporation;
(f) "Public body" means a department, division, agency, bureau, board, commission, court in its nonjudicial functions only, council, institution, spending unit, authority or other instrumentality thereof of whatever description of the State of West Virginia, or any county court or tribunal or commission in lieu thereof, or any county board of education, or any incorporated municipality, metro or regional government, or any other political subdivision; and
(g) "Technology infrastructure" means information systems, information technology, information equipment and facilities, equipment, lines, and services designed for or used for the transmission, emission or reception of signs, signals, writings, images or sounds of intelligence of any nature by wire, radio, microwave, or other electromagnetic or optical systems, related hardware, software, and programming, and specifically including, but not limited to, all features, facilities, equipment, systems, functions, programming, and capabilities, and technical support used in providing or related to:
(1) Cable service (as defined in 47 U. S. C. §522(6));
(2) Telecommunications service (as defined in 47 U. S. C. §153(46);
(3) Information service (as defined in 47 U. S. C. §153(20);
(4) Advanced services (as defined in 47 CFR 51.5);
(5) Broadband service; or
(6) Internet Protocol enabled services, however classified by the Federal Communications Commission.
§5B-4-3. Technology Infrastructure needs assessment and inventory; agency and local government cooperation; information gathering; reporting requirements; rule-making authority.

(a) The state encourages the coordinated deployment and operation of technology infrastructure for present and future use. Therefore, it is necessary for the state to determine, and maintain an ongoing, continually updated record of, the nature and extent of its technology infrastructure comprising information systems, information equipment, and information technology, the demands on its technology infrastructure, and those governmental entities which use or desire to use the resources of the technology infrastructure providing information services, media services, advanced services, broadband services, internet, internet protocol enabled services, telecommunications services or similar services or support.
(b) The Secretary of the Department of Administration shall develop systems and processes for maintaining accurate information on the state of the technology infrastructure in the state on an ongoing basis and conduct an infrastructure resources survey of the deployment and operation of technology infrastructure in this state. The Secretary shall determine the form and format of the information submitted, including the use of electronic submissions.
(c) To facilitate the infrastructure resources survey the Secretary of the Department of Administration, in consultation with the Chief Officer of the Innovation Center established in this article, shall propose emergency and legislative rules in accordance with article three, chapter twenty-nine-a of this code. These rules may include: (1) The manner of reporting the information; (2) promulgation of a form or forms for reporting purposes; (3) a means of providing training to individuals responsible for the completion and submission of the information on the proposed form; (4) a means of reporting back to individual participating public bodies, from time to time, at the request of a public body, on findings specific to that body to allow the public body to evaluate independently the information provided; (5) a limitation that the information is to be used solely for the purposes of this article; (6) safeguards to protect the confidential information as provided in section four of this article; (7) methodology for collection of information and the analysis of the information; and (8)protocols for an annual update of the infrastructure resources survey including information collection, analysis and reporting thereof by the Department of Administration.
(d) Every public body shall complete an infrastructure resources survey no later than the first day of October, two thousand five and a survey each year thereafter as provided in rules promulgated pursuant to this section.
(e) The Secretary shall file annually a report with the joint legislative oversight commission on transportation and infrastructure created in section five of this article. The report shall generally advise the joint oversight commission on transportation and infrastructure about the deployment and operation of technology infrastructure in this state and to make recommendations on policy and statutory changes that may be needed. The report shall include the following: (1) A discussion of the connectivity, priorities, and interoperability of the technology infrastructure owned, leased or used by public bodies; (2) a discussion of the technology infrastructure that is owned, leased, operated, or used by the public bodies of the state; (3) a discussion of technology infrastructure as it affects homeland security, public safety and health, systems reliability and providing continuity of government operations; (4) a discussion of the technology infrastructure identifying potential market demand areas where expanded resources may be expected; (5) a discussion of practices or suggestions to coordinate development of infrastructure related to technology infrastructure and the deployment of services between the public bodies through the coordinated delivery of these systems; and (6) any other discussion that may be beneficial in adequately assessing technology infrastructure.
(f) To the extent technology infrastructure information is readily provided by private persons or otherwise available, the Secretary shall utilize and incorporate that data to fulfill the reporting requirements of this section.
(g) The provisions of this section shall be of no force or effect after the thirty-first day of December, two thousand eight.
§5B-4-4. Confidential information; exemption from disclosure.
(a) Information submitted by a public body as part of the survey that may be a trade secret or otherwise confidential shall be identified by that body as confidential information. The public body claiming confidentiality shall provide written justification to the Secretary at the time the information is submitted stating the reasons for confidentiality and why the information should not be released.
(b) In addition to records or documents considered confidential under this code, confidential information means records, reports or information, or a particular portion or any combination or aggregation thereof, that if made public would present a threat to the safety and security of any system or component relating to the technology infrastructure and related systems.
(c) Information designated as confidential and the written justification shall be maintained in a file separate from the general records related to the public body. The confidential information will be exempt from disclosure requirements under this code.
(d) Information designated as confidential may be released to the Department of Administration, its employees and agents when compiling and analyzing the infrastructure resources survey information as necessary to develop the report required by this article. Any individual receiving information designated confidential shall protect the information as confidential.
§5B-4-5. Joint legislative oversight commission on transportation and infrastructure.

The President of the Senate and the Speaker of the House of Delegates shall each designate five members of their respective houses, at least two of whom shall be a member of the minority party, to serve on a joint legislative oversight commission charged with immediate and ongoing oversight of transportation and infrastructure matters, specifically including, but not limited to, the ongoing oversight of the management and coordination of the deployment and operation of infrastructure related to technology. This commission shall be known as the "Joint Legislative Oversight Commission on Transportation and Infrastructure" and shall regularly investigate and monitor all matters relating to transportation and infrastructure.
§5B-4-6. Innovation center; chief officer; appointment and qualifications.

There is hereby created an office within the West Virginia Development Office called the Innovation Center. There shall be a chief officer of the Innovation Center, who shall be appointed by and shall serve at the will and pleasure of the Governor. The chief officer shall have knowledge in the fields of information technology and telecommunications, business development in these fields and an understanding of the special demands upon entrepreneurship, industry, commerce, culture and public-private partnerships.
§5B-4-7. Powers and duties Innovation Center.
(a) The primary responsibility of the Innovation Center is to foster and support economic development and the advancement and commercialization of new and emerging technologies.
(b) The Innovation Center has the authority and power to provide consulting and additional services, including, but not limited to, evaluation of technology, verification and assessment of market applications, grant administration for any person engaged in public-private collaborations with the West Virginia Development Office pertaining to technology advancement and commercialization activities and research into new areas of economic development relating to technology, technology infrastructure and telecommunications.
(c) The Innovation Center may receive and accept from any public body or person or entity of any nature whatsoever grants to be expended in accomplishing the objectives of this article and to receive and accept from the state appropriations and grants from any public body and from any other source, aid or contributions of either money, property or other things of value to be held, used and applied only for the purposes for which the grants and contributions may be made or collect fees for consulting services rendered to any public body.
(d) The Innovation Center may accept and expend any gift, grant, contribution, bequest, endowment or other money for the purposes of this article and to make a maximum effort to encourage external support for the Center's programs. Any transfer of endowment or other assets to the Center shall be formalized in a memorandum of agreement to assure, at a minimum, that any restrictions governing the future disposition of funds are preserved.
(e) The Secretary of the Department of Commerce may promulgate rules to fulfill the purposes of this section and to carry into effect the purpose and scope of the Innovation Center. Any new rules promulgated by the Secretary shall be promptly submitted to the Joint Commission created in section five of this article. These rules are not subject to the provisions of chapter twenty- nine-a of this code, but shall be filed with the Secretary of State.
§5B-4-8. Need for study; reporting requirements; information gathering; appointment and duties of task force.

(a) The Innovation Center shall enhance well-being, prosperity, economic growth and community development through the ongoing study and research into and development of best known methods regarding the management practices, human factors and cultural changes related to the implementation, operation and utilization of technology, technology infrastructure, and related services. For the purposes of this section, best known methods refers to plans that outline strategies and activities designed to continue, diversify or expand the economic base of the state as a whole, create jobs, develop a highly capable work force, enhance productivity, facilitate business access to capital, including venture capital and capital markets, advertise and market the resources offered by the state with respect to the technology needs of business and industry, facilitate cooperation among state government, entrepreneurship efforts, public-private partnerships, universities and colleges and leverage funding from sources other than the state, including federal and private sources.
(b) The Chief Officer of the Innovation Center shall serve as the Chairman of the task force required by this section. The Governor shall appoint the remaining members of the task force no later than first day of June, two thousand five, and the remaining members of the task force are to serve at the governor's will and pleasure. The task force is to be comprised of an official or employee of a municipality in which the rapid advancement of technology infrastructure and services could expand economic opportunity, a representative of a research university with an active role in entrepreneurial and innovating technology development and commercialization, a county commissioner or his or her designee in a county, in which the rapid advancement of technology infrastructure and services could expand economic opportunity, a representative of the Public Service Commission or the staff of the Public Service Commission, the Director of the Consumer Advocate Division of the Public Service Commission, a representative of a nonrural exchange carrier as defined by the rules and regulations of the Federal Communications Commission, a representative of a rural exchange carrier as defined by the rules and regulations of the Federal Communications Commission, a representative of a incumbent local exchange carrier as defined by the rules and regulations of the federal communications commission, a representative of the cable service industry, a provider of advanced services that require ultra-high capacity infrastructure.
(c) The task force shall study whether the best known methods in private industry and public policy to deploy and utilize technology infrastructure in those areas of the state where competitive or advanced services to the state that have proven beneficial in other areas around the world and that reasonably and practically can be deployed in those areas of the state that where the population would most benefit from the services. Upon completion of a study of those best known methods, the Chief Officer shall file an initial, preliminary report with the Joint Legislative Oversight Commission on Transportation and Infrastructure created in section five of this article no later than the first day of November, two thousand five. The report shall include the following: (1) A discussion that outlines the efforts of private industry to date, the efforts and investment that might be expected of private industry in the reasonably foreseeable future, sources of capital for expanded efforts and cost of capital for such investments; (2) a discussion that outlines strategies and activities designed to continue, diversify or expand the resources offered by the state with respect to the technology needs of business and industry in a manner that is practical and affordable, and furthers the efforts of private industry; (3) a discussion that outlines strategies to facilitate cooperation among state government, local government, entrepreneurship efforts, public-private partnerships, colleges and universities, with respect to the technology needs of business and industry for services that are not available through like or substitute services of private industry and that would not be available in the reasonably foreseeable future without the opening up of the market; (4) a discussion of the management and utilization of technology infrastructure identifying potential growth areas where expanded resources may be expected; (5) a discussion of practices or methods to coordinate development and utilization of technology infrastructure and the deployment of technology infrastructure and related technology through the coordinated delivery of these systems in a manner that favors and encourages private investment; and (6) any other information that may be beneficial in adequately assessing technology available in determining the need for and the preparation of technology infrastructure plans in a manner that favors and encourages private investment.
(d) The Chief Officer shall, based upon the annual written findings of the task force, report annually to the Joint Oversight Commission on Transportation and Infrastructure to advise the Commission about the deployment and operation of technology infrastructure in this state and to make recommendations on policy and statutory changes that may be needed, in the format and under the criteria outlined in subsection (c) of this section.
(e) In developing its study, the Innovation Center shall consider input from private industry and resources and technical support available through other agencies, both public and private, including, but not limited to, the state college and university systems, the West Virginia Housing Development Fund, the West Virginia Economic Development Authority, the West Virginia Parkways, Economic Development and Tourism Authority, the West Virginia Chamber of Commerce, West Virginia Jobs Investment Trust, venture capital funds of which the State of West Virginia is a limited partner, regional planning and development councils, regional partnership for progress councils and state appropriations.
§5B-4-9. Innovation Center to provide technical and funding assistance for innovation; consulting services; contractual and joint venture agreements.

(a) The Innovation Center may provide assistance, including funding assistance to develop technology infrastructure, and related technology through a matching grant program. The Innovation Center shall establish criteria for awarding matching grants within the limits of funds appropriated by the Legislature for the program or as available from other sources.
(b) The Innovation Center may provide technical assistance, including consulting services for a fee to one or more public bodies pertaining to the development of technology and technology infrastructure.
(c) The Innovation Center is authorized to enter into contractual or joint venture agreements with one or more persons and public bodies pertaining to the development of technology and technology infrastructure provided the agreements may not be considered a debt of the state or a pledge of the credit of the state.
§5B-4-10. Authority of public-private partnerships to provide cable services, telecommunications services, information services, advanced services, broadband services, internet protocol enable services, wireless and broadband internet network services; legislative rules to be proposed by the Secretary of the Commerce Department in consultation with the Public Service Commission and West Virginia Infrastructure and Jobs Development Council.

(a) Local government may be authorized and empowered to enter into public-private partnerships to construct, operate or provide:(1) Cable service (as defined in 47 U. S. C. §522(6);(2) telecommunications service (as defined in 47 U. S. C. §153(46);(3) information service (as defined in 47 U. S. C. §153(20);(4) advanced services (as defined in 47 CFR 51.5);(5) broadband service;(6) internet protocol enabled services; or(7) wireless and broadband internet network services only under the conditions set forth in legislative rules to be proposed under this section by the Secretary of the Department on Commerce, in consultation with the Public Service Commission and the West Virginia Infrastructure and Jobs Development Council and only with the prior authorization of the Secretary of the Commerce Department.
(b) On or before the first day of January, two thousand six, the Secretary of the Department of Commerce, in consultation with the Public Service Commission and the West Virginia Infrastructure and Jobs Development Council, shall in accordance with the provisions of article three, chapter twenty-nine-a of this code propose rules governing the conditions under which public-private partnerships may provide any or all of the enumerated powers in subsection (a) of this section where competition is stifled and open markets are required to provide enhanced services in the reasonably foreseeable future. Those rules may not be filed as emergency rules. In those rules, the Secretary shall promote the purposes of this article, and shall include the following:
(1) Requirements that the Secretary make a specific finding that market forces have failed and that private industry cannot be expected to provide the proposed services in the foreseeable future;
(2) Requirements that the Secretary make a specific finding that public demand and benefits exist or are reasonably anticipated to develop to support the public-private partnership's provision of the service and to ensure that any system project is on strong economic grounds;
(3) Requirements that the system project proposed by the public-private partnership is otherwise reasonable and in the public interest;
(4) Requirements governing the ownership of the technology infrastructure system, access company, management company and the services' companies that operate any of the assets providing the service or the services themselves and governing the assumption of, risk or benefit from rewards of the system project;
(5) Requirements governing the managerial and financial responsibility of the services public-private partnership, the financial information on the proposed system project, including projected revenues, expenses, capital investment and other financial factors, the facility plan and feasibility study, any proposed bonds and ordinances, funding sources, financial sources, the business plan for the system project, engineering plans and drawings, and any other information that the Secretary may require to review an application for a system project proposed by a public- private partnership;
(6) Requirements that the public-private partnership comply with the applicable service level requirements and other regulations applicable to the technology infrastructure system or services;
(7) Requirements governing notice and hearing upon the application of the public-private partnership to provide service authorized by this section, including procedures for allowing intervention by interested parties, including private industry and labor organizations;
(8) Requirements governing any public bonds or other public financing consistent with the bond provisions of this article;
(9) Requirements governing tax credits and other public financing related to a proposed system project;
(10) Requirements that exempt from the provisions of this section technology infrastructure or services used exclusively for the purposes of local government in its governmental capacity, homeland security or for the purposes of providing continuity of governmental operations in the event of emergencies but otherwise promote the efficient delivery of technology infrastructure;
(11) Requirements that local governments select private partners by competitive bid, including requirements compliance with articles one-c and five-a, chapter twenty-one of this code;
(12) Requirements that promote diversity in the supply of existing and further advance technology infrastructure, services, and products;
(13) Requirements that promote efficient delivery of technological advances and new services throughout the state in order to improve the health, safety, general welfare and quality of life all state residents and businesses; and
(14) Any other requirements that the Secretary may find to be reasonable and in the public interest.
§5B-4-11. Payment of preliminary expenses of surveys, etc.
All necessary preliminary expenses actually incurred by the local government in the making of surveys, estimates of costs and of revenue, employment of engineers or other professionals or agents, the giving of notices, taking of options and all other expenses of any nature, necessary to be paid prior to the issuance and delivery of the bonds authorized by this article may be met and paid out of the general funds of the local government not otherwise appropriated: Provided, That the fund or funds of the local government from which payments are made may be fully reimbursed and repaid by the governing body out of the proceeds of the sale of bonds hereinafter provided for or other monies available to the technology infrastructure system.
§5B-4-12. Ordinance or resolution necessary before acquisition or construction of technology infrastructure.

Before any local government shall issue bonds to finance the construction, acquisition or improvements to the technology infrastructure system under section ten of this article, the governing body of the local government shall enact an ordinance, adopt a resolution, or issue an order which shall: (a) Set forth a brief and general description of the technology infrastructure system; (b) order the construction or acquisition of the technology infrastructure system; (c) direct that revenue bonds of the local government shall be issued pursuant to this article in an amount found necessary to pay all or a portion of the cost of the technology infrastructure system; and (d) contain other provisions as necessary. Each ordinance, resolution, or order shall be passed on first reading by the governing body at a meeting duly noticed and held.
§5B-4-13. Publication and hearing upon ordinance, resolution or order.

After the ordinance, resolution, or order is passed on first reading, an abstract of the ordinance, resolution, or order, determined by the governing body of the local government to contain sufficient information as to give notice of the contents of the ordinance, resolution, or order, together with the following described notice, shall be published as a Class II legal advertisement in compliance with the provisions of article three, chapter fifty-nine of this code and the publication area for publication shall be the county where the technology infrastructure system will be located, and said notice shall be also provided to the Secretary of the Department of Administration. The notice shall state that the ordinance, resolution or order has been passed on first reading and that the local government contemplates the construction or acquisition of the improvements described in the ordinance, resolution or order and that the local government contemplates the issuance of the bonds described in the ordinance, resolution, or order and that any person interested may appear before the governing body upon a certain date, which shall not be less than ten days subsequent to the first date of publication of the abstract and notice which shall not be prior to the last date of publication of the abstract and notice and present protests. At the hearing all objections and suggestions shall be heard and the governing body shall take action as it considers proper.
§5B-4-14. Cost of technology infrastructure system pertaining to the issuance of bonds authorized by the article.

The cost of acquisition, construction and improvements to the technology infrastructure system is considered to include the cost of acquisition or construction thereof, the cost of all property, rights, easements, and franchises considered necessary or convenient and for the improvements determined upon as provided in this article, interest upon bonds prior to and during construction or acquisition and for six months after completion of construction or of acquisition of the improvement last mentioned, a reserve account for any bonds, engineering and legal expenses, expense for estimates of cost and of revenues, expenses for plans, specifications and surveys, other expenses necessary or incident to determining the feasibility or practicability of the enterprise, administrative expense, operation and maintenance expenses for the technology infrastructure system both during construction and for a period of not more than twelve month after completion of construction, and other expenses as necessary or incident to the financing herein authorized and the construction or acquisition of the technology infrastructure system and the placing of the technology infrastructure and service in operation and the performance of the things herein required or permitted in connection with any thereof.
§5B-4-15. Bonds not indebtedness of local government.
Any bonds issued under this article may not be a corporate indebtedness of the local government, within the meaning of any statutory or constitutional limitations. All the details of the bonds not set forth by this article shall be determined by ordinance, resolution or order of the local government.
§5B-4-16. Redemption of bonds; statement on face of bond; negotiability; exemption from taxation; registration; execution; sale; disposition of surplus proceeds; additional and temporary bonds.

Revenue bonds shall be payable at any time, and shall mature at any time or times determined by ordinance, resolution, or order. The bonds may be made redeemable before maturity at the option of the local government. The principal and interest of the bonds may be made payable in any lawful medium and said bonds shall be registered. The ordinance, resolution or order shall fix the denomination or denominations of the bonds and the place or places of payment of the principal and interest thereof, which may be at any bank or trust company within or without the state or the West Virginia Municipal Bond Commission. The bonds shall contain a statement on their face that the local government shall not be obligated to pay the same or the interest thereon except from the special fund provided from the net revenues of the technology infrastructure system. All bonds shall be and are hereby declared to have all the qualities and incidents of, negotiable instruments under the Uniform Commercial Code of the state. The bonds shall be exempt from all taxation, state, county and municipal. The bonds shall be executed by the proper legally elected or duly appointed officers of the local government, and be sealed with the corporate seal of the local government, and in case any of the officers whose signatures appear on the bonds or coupons shall cease to be officers, before delivery of the bonds, the signatures shall nevertheless be valid and sufficient for all purposes the same as if they had remained in office until delivery. The bonds shall be sold at a price not lower than a price, which when computed upon standard tables of bond values, will show a net return of not more than thirteen percent per annum to the purchaser upon the amount paid therefor, and the bonds may be sold in one or more series. If the proceeds of the bonds, by error of calculation or otherwise, shall be less than the cost of the technology infrastructure system, additional bonds may in like manner be issued to provide the amount of the deficit and, unless otherwise provided in the ordinance, resolution, or order authorizing the issuance of the bonds first issued or in the trust indenture hereinafter authorized, is considered to be of the same issue and shall be entitled to payment without preference or priority of the bonds first issued. Prior to the preparation of the definitive bonds, temporary bonds may under like restrictions be issued with or without coupons, exchangeable for definitive bonds upon the issuance of the latter.
§5B-4-17. Additional bonds to extend or improve technology infrastructure system, equal priority with original bonds; application of revenue from bonds; securing bonds by trust indenture.

(a) The governing body of the local government may provide by ordinance, resolution or order authorizing the issuance of the bonds authorized by this article or in the trust indenture hereinafter referred to, that additional bonds may thereafter be authorized and issued, at one time or, from time to time, under limitations and restrictions as set forth in the ordinance, resolution, order or trust indenture, for the purpose of extending or improving the technology infrastructure system when considered necessary, the additional bonds to be secured and be payable from the revenues of the technology infrastructure system equally with all other bonds issued pursuant to the ordinance, resolution or order without preference or distinction between any one bond and any other bond by reason of priority of issuance or otherwise.
(b) All moneys received from any bonds issued pursuant to this article shall be applied solely to the payment of the cost of the construction, acquisition, betterments or improvements to the technology infrastructure system, or to the appurtenant sinking fund, reserve account, or operation and maintenance fund, and there shall be and hereby is created and granted a lien upon the moneys, until so applied, in favor of the holders of the bonds or the trustees hereinafter provided for.
(c) In the discretion of the governing body of the local government the bonds may be secured by a trust indenture by and between the local government and a corporate trustee, which may be any trust company or bank having the powers of a trust company. The ordinance, resolution, or order authorizing the bonds and fixing the details thereof may provide that the trust indenture may contain provisions for protecting and enforcing the rights and remedies of the bondholders as reasonable and proper, not in violation of law, including covenants setting forth the duties of the local government in relation to the construction or acquisition of the technology infrastructure system and the improvement, operation, repair, maintenance and insurance thereof. The indenture may set forth the rights and remedies of the bondholders or trustee, restricting the individual right of action of bondholders as is customary in trust indentures securing bonds and debentures of corporations.
§5B-4-18. Sinking fund; transfer of balance of net revenues.
At or before the issuance of any bonds the governing body of the local government shall by ordinance, resolution, or order create a sinking fund, to be remitted to and administered by the West Virginia bond commission or, if the local government elects to have an indenture, by the trustee thereunder, for the payment of the bonds and the interest thereon, and shall set aside and pledge a sufficient amount of the net revenues of the technology infrastructure system, hereby defined to mean the revenues of the technology infrastructure system remaining after the payment of operation, repair and maintenance expenses, the amount to be paid by the local government into said sinking fund at intervals to be determined by ordinance, resolution, or order which authorizes issuance of the bonds for: (a) The interest upon the bonds as interest shall fall due; (b) the necessary fiscal agency charges for paying bonds and interest; (c) the payment of the bonds as they fall due, or, if all bonds mature at one time, the proper maintenance of a sinking fund in any amount as is necessary and sufficient for the payment thereof at the time. The required payments shall constitute a first charge upon all the net revenue of the technology infrastructure system. The West Virginia bond commission is hereby authorized to act as fiscal agent for the administration of the sinking fund, under any ordinance, resolution or order passed pursuant to the provisions of this article, and shall invest all sinking funds as provided by general law. Notwithstanding the foregoing, payments of principal and interest on any bonds owned by the United States of America or any agency or department thereof may be made by the governing body of the local government directly thereto.
§5B-4-19. Rates for service.
The governing body of the local government shall have power to establish and maintain rates, fees or charges for the use, lease or grant of the technology infrastructure system or services provided to subscribers. The governing body may change and readjust the rates, fees or charges from time to time. The governing body may collect from all new applicants for service a deposit to secure the payment of service rates, fees and charges in the event they become delinquent.
§5B-4-20. Statutory mortgage lien created; foreclosure thereof
There shall be and is hereby created a statutory mortgage lien upon the technology infrastructure system, which shall exist in favor of the holders of bonds hereby authorized to be issued, and each of them, and the coupons attached to the bonds, and the technology infrastructure system shall remain subject to the statutory mortgage lien until payment in full of all principal of and interest on the bonds. Any holder of bonds, of any coupons attached thereto, may, either at law or in equity, enforce the statutory mortgage lien conferred hereby and upon default in the payment of the principal of or interest on said bonds, may foreclose the statutory mortgage lien in the manner now provided by the laws of the State of West Virginia for the foreclosure of mortgages on real property.
§5B-4-21. Refunding revenue bonds
The governing body of any local government having issued bonds under the provisions of this article is hereby empowered after ordinance, resolution, or order to issue refunding bonds of local government for the purpose of retiring or refinancing outstanding bonds, together with any unpaid interest thereon and redemption premium thereunto appertaining and all of the provisions of this article relating to the issuance, security and payment of bonds shall be applicable to the refunding bonds, subject, however, to the provisions of the proceedings which authorized the issuance of the bonds to be so refunded.
§5B-4-22. Complete authority of article; liberal construction. This article is full and complete authority for carrying out the powers and duties of same as herein provided. The provisions of this article shall be liberally construed to accomplish its purpose and no procedure or proceedings, notices, consents or approvals are required in connection therewith except as prescribed by this article.
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