Amendment #1 to H4905

Floor Amendment

Mr. Speliotis of Danvers moves to amend the bill by striking out section 1 and inserting in place thereof the following section:

“SECTION 1. (a) As used in this act, the following terms shall, unless the context clearly requires otherwise, have the following meanings:-

“Chief administrative and financial officer”, chief administrative and financial officer of the city of Methuen appointed pursuant to section 3.

“City”, city of Methuen.

“Director of accounts”, the director of accounts in the department of revenue.

“Finance control board”, the finance control board for the city of Methuen created pursuant to section 10.

“Fiscal overseer” or “overseer”, fiscal overseer for the city of Methuen appointed by the secretary of administration and finance pursuant to section 8.

“Fiscal stability officer”, fiscal stability officer for the city of Methuen appointed by the secretary of administration and finance pursuant to section 7.

“School committee”, school committee of the city of Methuen.

“Secretary”, the secretary of administration and finance.

(b) Notwithstanding any general or special law, city charter provision or local ordinance to the contrary, the city of Methuen, with the approval of the director of accounts, in the department of revenue, may borrow sums, approved by the city council and the director of accounts, to achieve a balanced budget for fiscal years 2019 and 2020; provided, however, that the aggregate of such sums shall not exceed $4,000,000. The director of accounts may limit the amount borrowed to less than the amount approved by the city council. Notwithstanding chapter 44A of the General Laws, but subject to section 12 of said chapter 44A, bonds or notes issued for the purposes of this act may be issued, with the approval of the director of accounts, for a term of not more than 10 years and shall be backed by the full faith and credit of the city and shall be eligible to be issued as qualified bonds or notes. Indebtedness incurred pursuant to this act shall not be included in determining the statutory limit of indebtedness of the city under section 10 of chapter 44 of the General Laws, but, except as provided in this act, shall otherwise be subject to said chapter 44. Amounts raised to pay indebtedness incurred pursuant to this section shall be subject to section 21C of chapter 59 of the General Laws.

(c) The maturity of the bonds or notes authorized pursuant to this act, including any refunding bonds, may, if approved by the city officers authorized to issue and approve bonds or notes and by the director of accounts, be arranged so that for each issue the amounts payable in the several years for principal and interest combined are as nearly equal as is practicable in the opinion of the officers authorized to issue and approve the bonds or notes or, in the alternative, in accordance with a schedule providing for a more rapid amortization of principal.

(d) Proceeds of any bonds or notes authorized by this act shall be deposited in the general fund of the city of Methuen.

(e) The director of accounts may establish rules and procedures relating to the accounting standards applicable to the city of Methuen for the purposes of this act and otherwise.”.