4. Arkansas Department of Public Safety Building Act — Acts 1977, No. 490 as amended by Acts 1979, No. 1086, §§ 2-5; 1980 (1st Ex. Sess.), No. 7.
Ark. Code Ann. § 19-12-4
in effectSECTION 1. This Act shall be known and may be cited as the “Arkansas Department of Public Safety Building Act”.
SECTION 2. Whenever used in this Act, unless a different meaning clearly appears from the context:
“Act No. 716” means Act No. 716 of 1975, as now in effect or as hereafter amended.
“Agency” or “State agency” means any agency, board, officer, commission, department, division or institution of the State of Arkansas.
“Bonds” means bonds and any series of bonds authorized by and issued pursuant to the provisions of this Act.
“Building” means the Arkansas Department of Public Safety Building, the construction of which is authorized by this Act. As used herein, the term “Building” means a single building or such complex of buildings as may be determined best to serve the needs of the Department including the Crime Laboratory shall refer to and include such related structures, fixtures, and facilities (including, without limitation, parking facilities) as may be determined to be appropriate.
“Construct” means to acquire, construct, reconstruct, remodel, install, and equip any lands, buildings, structures, improvements, or other property, real, personal or mixed, useful in connection with the Building and to make other necessary expenditures in connection therewith, by such methods and in such manner as the State Building Services shall determine to be necessary or desirable to accomplish the powers, purposes, and authorities set forth in this Act.
“Division” means any division, bureau, section, office or officer of the Department.
“Department” means the Department of Public Safety of the State of Arkansas, created by Act No. 38 of 1971, as amended, and any successor agency.
“Pledged revenues” means all revenues authorized by Section 7 of this Act to be pledged for the security and payment of the bonds.
“The State Building Services” means Arkansas State Building Services, being the agency created by Act No. 716, or any successor agency.
SECTION 3. In addition to the powers, purposes, and authorities set forth elsewhere in this Act or in other laws, the State Building Services is hereby authorized and empowered to:
(a) construct the Arkansas Department of Public Safety Building, on a site or sites selected by the State Building Services. In this regard, the State Building Services is authorized to acquire such site or sites, from a State agency or agencies and/or from a private owner or owners, by negotiation or by condemnation as provided by Section 3 of Act No. 716, which acquisition is hereby expressly approved;
(b) arrange for the housing in the Building of the various divisions of the Department including the Crime Laboratory and arrange for the housing of other agencies and of other tenants to the extent that space and facilities may not be needed by the Department from time to time and with reference to other agencies and other tenants to rent, lease or otherwise make available space and facilities upon such terms and conditions and for such rentals and charges, if any, as the State Building Services may determine;
(c) construct or cause to be constructed parking facilities to serve the Building;
(d) obtain the necessary funds for accomplishing its powers, purposes, and authorities from any source or sources, including, without limitation, the proceeds of revenue bonds issued hereunder, funds appropriated and made available under Act No. 716, and funds, if any appropriated for the Building;
(e) purchase, lease, or rent, and received bequests or donations of, or otherwise acquire, sell, trade, or barter, any property, (real, personal or mixed) and convert such property into money and/or other property;
(f) contract and be contracted with;
(g) apply for, receive, accept, and use any monies and property from the Government of the United States of America, any agency, any State or governmental body or political subdivision, any public or private corporation or organization of any nature, or any individual;
(h) invest and reinvest any of its monies (in securities selected by the State Building Services);
(i) take such other action, not inconsistent with law, as may be necessary or desirable to carry out the powers, purposes, and authorities set forth in this Act and to carry out the intent of this Act.
The powers, purposes, and authorities set forth herein shall be carried out in accordance with the duly promulgated policies of the State Building Services Council, under and pursuant to Act No. 716.
SECTION 4. The Department of Public Safety Building shall house the Department including the Crime Laboratory or such facilities and Division thereof as space and facilities will permit from time to time. In addition, to the extent that space and facilities are not at any time needed by the Department, the Building may house such other agencies and other tenants as the State Building Services shall determine.
SECTION 5. (a) The State Building Services is hereby authorized and empowered to issue revenue bonds, at one time or from time to time, and to use the proceeds thereof for defraying the costs of accomplishing all or part of the powers, purposes, and authorities set forth in this Act, paying all incidental expenses in connection therewith, paying the expenses of authorizing and issuing the bonds, establishing a debt service reserve to secure the payment of the bonds, if the State Building Services deems such desirable, and making provision for the payment of interest on the bonds during and for up to one (1) year after construction, if the State Building Services deems such desirable. Bonds outstanding under this Act shall not exceed Six Million Five Hundred Thousand Dollars ($6,500,000) in principal amount.
(b) The bonds shall be authorized by the resolution of the State Building Services Council (“authorizing resolution”). The bonds may be coupon bonds payable to bearer, or may be registrable as to principal only or as to principal and interest, may be made exchangeable for bonds of another denomination, may be in such form and denomination, may have such date or dates, may be stated to mature at such time or times, may bear interest payable at such times and at such rate or rates, provided that no bond may bear interest at a rate exceeding ten percent (10%) per annum, may be payable at such place or places within or without the State of Arkansas, may be made subject to such terms of redemption in advance of maturity at such prices, and may contain such terms and conditions, all as the State Building Services shall determine. The bonds shall have all the qualities of negotiable instruments under the laws of the State of Arkansas, subject to provisions as to registration, as set forth above. The authorizing resolution may contain any other terms, covenants, and conditions that are deemed desirable by the State Building Services, including, without limitation, those pertaining to the maintenance of various funds and reserves, the nature and extent of the security, the issuance of additional bonds and the nature of the lien and pledge (parity or priority) in that event, the custody and application of the proceeds of the bonds, the collection and disposition of revenues, the investing and reinvesting (in securities specified by the State Building Services) of any funds during periods not needed for authorized purposes, and the rights, duties, and obligations of the State Building Services and of the holders and registered owners of the bonds.
The authorizing resolution may provide for the execution by the State Building Services with a bank or trust company within or without the State of Arkansas of a trust indenture. The trust indenture may contain any terms, covenants, and conditions that are deemed desirable by the State Building Services, including, without limitation, those pertaining to the maintenance of various funds and reserves, the nature and extent of the security, the issuance of additional bonds, and the nature of the lien and pledge (parity or priority) in that event, the custody and application of the proceeds of the bonds, the collection and disposition of revenues, the investing and reinvesting (in securities specified by the State Building Services) of any funds during periods not needed for authorized purposes, and the rights, duties, and obligations of the State Building Services and of the holders and registered owners of the bonds.
(c) The bonds shall be sold at public sale on sealed bids, and notice of the sale shall be published once in a newspaper published in the City of Little Rock, Arkansas, having a general circulation throughout the State of Arkansas, at least twenty (20) days prior to the date of sale, and may be published in such other publications as the State Building Services may determine. The bonds may be sold at such price as the State Building Services may accept, including sale at a discount, but in no event shall any bid be accepted which results in a net interest cost (determined by computing the aggregate interest cost from date to maturity at the rate or rates bid and deducting any premium or adding the amount of any discount) in excess of the interest cost computed at par for bonds bearing interest at the rate of ten percent (10%) per annum. The award, if made, shall be to the bidder whose bid results in the lowest net interest cost.
(d) The bonds shall be executed by the manual or facsimile signatures of the Chairman and Secretary of the State Building Services Council, provided that one of such signatures must be manual. The coupons attached to the bonds shall be executed by the facsimile signature of the Chairman of the Council. In case any of the officers whose signatures appear on the bonds or coupons shall cease to be such officers before the delivery of such bonds or coupons, their signature shall, nevertheless, be valid and sufficient for all purposes. The State Building Services shall adopt and use a seal in the execution and issuance of the bonds, and each bond shall be sealed with the seal of the State Building Services.
(e) There may be issued separate bonds hereunder and separate series within each issue. In any event, the authorizing resolution shall specify the amount of revenues derived from motor vehicle inspection fees identified in subsection (a) of Section 7 to be pledged for the security and payment of bonds authorized hereby.
SECTION 6. (a) It shall be plainly stated on the face of each bond that it has been issued under the provisions of this Act, that the bonds shall be obligations only of the State Building Services, that in no event shall they constitute an indebtedness for which the faith and credit of the State of Arkansas or any of its revenues (within the meaning of Amendment No. 20 to the Constitution of the State of Arkansas) are pledged, and that they are not secured by a mortgage or lien on any land or buildings belonging to the State of Arkansas. No member of the State Building Services Council shall be personally liable on the bonds or for any damages sustained by anyone in connection with any contracts entered into in carrying out the purposes and intent of this Act, unless he shall have acted with a corrupt intent.
(b) The principal of, premiums, if any, interest on, and trustee's and paying agent's fees in connection with the bonds shall be secured by a lien on and pledge of and shall be payable from the pledged revenues, defined in Section 7 hereof. The authorizing resolution or trust indenture shall set forth details of the nature and extent of the lien and pledge, including provision for the use of surplus revenues, if any, for other lawful purposes.
SECTION 7. (a) The principal of, premiums, if any, interest on, and trustees' and paying agents' fees in connection with all bonds issued under this Act shall be secured solely by a lien on and pledge of:
(1) all revenue derived from a fee of forty-one cents ($.41), hereby fixed and levied as an allocation of each fee for the inspection of any motor vehicle pursuant to Act 638 of 1967, as amended, or pursuant to any similar law, provided that the authorizing resolution shall designate the amount of each fee pledged to the bond issued pursuant to said resolution, and
(2) the gross revenues, if any, derived from the leasing or renting to other agencies or other tenants of space in the Building, the pledging of such revenues (collectively the “pledged revenues”) being hereby authorized. All pledged revenues are hereby specifically declared to be cash funds restricted in their use and dedicated and to be used solely as provided and authorized in this Act. Commencing the first day of the month next succeeding the issuance of bonds hereunder and so long as any bonds are outstanding hereunder, the pledged revenues shall not be deposited into the State Treasury and shall not be subject to legislative appropriation but, as and when received (by the Department, by the State Building Services, or by any other State agency, as the case maybe) shall be deposited in a bank or banks selected by the State Building Services, to the credit of funds designated the “Department of Public Safety Building Revenue Bond Fund”, with appropriate identification for separate issues or series. So long as any bonds are outstanding hereunder, all monies in any bond fund shall be used solely for the payment of the principal of, premiums, if any, interest on, and trustees' and paying agents' fees in connection with the bonds, with the maintenance of necessary funds and reserves, except that the authorizing resolution or trust indenture may provide for the withdrawal, for other purposes, of surplus monies, as defined in the authorizing resolution or trust indenture. Nothing in this Section 7 is intended to prohibit the State Building Services from investing monies received hereunder, as provided in this Act.
(b) The State Building Services may use any of the pledged revenues prior to the issuance of any bonds hereunder for defraying costs of accomplishing the powers, purposes, and authorities set forth in this Act.
(c) So long as there are outstanding any bonds issued under this Act, the General Assembly may eliminate or change the fees for the inspection of motor vehicles, under Act No. 638 of 1967, or any subsequent similar law, but only on condition that there is always maintained in effect and made available for the payment of outstanding bonds sources of revenue which produce revenues at least sufficient in amount to provide for the payment when due of the principal of, premium, if any, interest on, and trustee's and paying agent's fees in connection with the outstanding bonds and to comply with all covenants (including, without limitation, the maintenace of funds and revenues) in favor of the holders or registered owners of such outstanding bonds.
SECTION 8. Any authorizing resolution and trust indentures shall, together with this Act, constitute a contract between the State Building Services and the holders and registered owners of the bonds, which contract, and all covenants, agreements and obligations therein, shall be promptly performed in strict compliance with the terms and provisions of such contact, and the covenants, agreements, and obligations of the State Building Services may be enforced by mandamus or other appropriate proceedings at law or in equity. In this regard, in addition to other provisions referred to above, the State Building Services is hereby expressly authorized to include in any authorizing resolution or trust indenture all or any part of the following covenants:
(1) that, to the full extent possible, it will continuously operate the building as a revenue-producing undertaking, including the maintenance of occupancy and use of facilities and space so as to avoid any impairment of the security for the bonds; and
(2) that, to the full extent possible, it will always charge, impose and collect sufficient revenues (including, without limitation, rentals) to meet, as due, all debt service requirements, maintain reserves at proper levels, and otherwise comply with any provisions of authorizing resolutions or trust indentures concerning revenues and funds.
SECTION 9. It has been found by the General Assembly of the State of Arkansas that adequate housing for the Department of Public Safety is essential to the proper administration of any motor vehicle safety inspection program and to motor vehicle and highway safety generally.
SECTION 10. Bonds issued under the provisions of this Act, and the interest thereon, shall be exempt from all State, county, and municipal taxes, except property taxes, and the exemption shall include income, inheritance, and estate taxes.
SECTION 11. Any municipality, or any board, commission or other governing authority duly established by ordinance of any municipality, or the governing authorities, respectively, of the firemen's relief and pension fund, and the policemen's pension and relief fund of any such municipality, or the governing authority of any retirement system created by the General Assembly of the State of Arkansas, or any agency may, in its discretion, invest any of its funds not immediately needed for its purposes in bonds issued under the provisions of this Act, and bonds issued under the provisions of this Act shall be eligible to secure the deposit of public funds.
SECTION 12. The State Building Services is hereby authorized to employ architects to prepare plans, specifications, and estimates of cost for the construction of the Building and to supervise and inspect such construction. After the State Building Services shall have approved the plans and specifications prepared by the architect, it shall proceed to advertise for bids and contract for the construction of the Building in accordance with applicable laws governing the construction of public buildings. In addition, the State Building Services is hereby authorized to engage and pay such professional, technical, and other help as it shall determine to be necessary or desirable in assisting it to carry out effectively the authorities, functions, powers, and duties conferred and imposed upon it by this Act.
SECTION 13. The State Building Services shall include necessary provisions in the authorizing resolution or trust indenture to require the deposit of the proceeds of the bonds, or any series thereof (except amounts for interest or reserves, which may be deposited in the Bond Fund) into a special Construction Fund (“Construction Fund”) which shall be a trust fund in such depository as the State Building Servies shall designate, which depository shall be a member of the Federal Deposit Insurance Corporation, and all monies in the Construction Fund in excess of the amount insured by the Federal Deposit Insurance Corporation must be secured by direct obligations of the United States of America, unless invested in securities specified by the State Building Services. The monies in the Construction Fund shall be used solely for the powers, purposes, and authorities set forth in this Act.
SECTION 14. Bonds may be issued for the purpose of refunding any bonds issued under this Act. Refunding bonds may either be sold or delivered in exchange for the bonds being refunded. If sold, the proceeds may be either applied to the payment of the bonds being refunded or deposited in trust and there maintained in cash or authorized investments for the retirement of the bonds being refunded, as shall be specified by the State Building Services in the authorizing resolution or trust indenture securing the refunding bonds and subject to compliance with the provisions of the authorizing resolution or trust indenture securing the bonds being refunded. The authorizing resolution or trust indentures securing the refunding bonds may provide that the refunding bonds shall have the same priority of pledge as was enjoyed by the bonds refunded. Refunding bonds shall be sold and secured in accordance with the provisions of this Act pertaining to the sale and security of bonds.
SECTION 15. This Act shall not create any right in any bondholder for bonds issued pursuant to this Act, and no right for such bondholder shall arise under it, until bonds authorized by this Act (or the initial issue or series) shall have been sold and delivered by the State Building Services.
SECTION 16. This Act shall be construed liberally. The enumeration of any object, purpose, power, manner, method, and thing shall not be deemed to exclude like or similar objects, purposes, powers, manners, methods, and things.
SECTION 17. The provisions of this Act are hereby declared to be severable. If any provision of this Act shall be held invalid or inapplicable to any person, firm or circumstance, such invalidity or inapplicability shall not effect the validity or inapplicability of the remainder of the Act.
SECTION 18. This Act shall be complete and sole authority for the accomplishment of the purposes hereof. To the extent that there is a conflict between the provisions of this Act and Act No. 716, the provisions of this Act shall govern. All laws and parts of laws in conflict herewith, except Act No. 716, are hereby repealed to the extent of such conflict.
SECTION 19. The General Assembly hereby finds and declares the present facilities for the housing of the Department of Public Safety are not adequate and that there is an urgent need that the Building be constructed in order that the Department may continue to carry out its responsibilities. Therefore, an emergency is declared to exist and this Act being necessary for the preservation of the public peace, health and safety, shall be effective upon its passage and approval. APPROVED: March 18, 1977.
Source: Public.Resource.Org / UniCourt, Official Code of Arkansas Annotated, Release 78 (2020) (unicourt.github.io/cic-code-ar)URL: https://unicourt.github.io/cic-code-ar/transforms/ar/ocar/r78/gov.ar.code.title.19.htmlFetched: 11/8/2026