HOUSE BILL NO. 371
AS AMENDED BY HOUSE AMENDMENT NO.1
AN ACT TO AMEND TITLE 2, TITLE 29 AND TITLE 30 OF THE DELAWARE CODE RELATING TO THE CREATION OF A TRANSPORTATION TRUST FUND IN THE DELAWARE TRANSPORTATION AUTHORITY, AUTHORIZING THE ISSUANCE OF BONDS SUPPORTED BY AND THE EXPENDITURE OF RECEIPTS IN THE TRANSPORTATION TRUST FUND, GRANTING CERTAIN OTHER POWERS TO THE DELAWARE TRANSPORTATION AUTHORITY, AUTHORIZING AN INCREASE IN THE MOTOR FUEL TAX, TRANSFERRING MONEY TO THE TRANSPORTATION TRUST FUND, AUTHORIZING TRANSFERS FROM THE TRANSPORTATION TRUST FUND INCLUDING MONEY FOR MUNICIPAL STREET AID AND MAKING RELATED AMENDMENTS.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF DELAWARE (three—fifths of all members elected to each House thereof concurring therein):
Section 1. Amend Title 2, Delaware Code, by adding a new Chapter to read as follows: "Chapter 14. Transportation Trust Fund Act.
Section 1401. Title
This Act shall be known as the "Transportation Trust Fund Act". The word "Act", as used herein, means this Transportation Trust Fund Act. The phrase "transportation system", as used herein, shall mean all modes and methods of transporting people and goods on land, in the air or on water; provided, however, that no facility of the Greater Wilmington Airport owned by New Castle County, the Sussex County Airport owned by Sussex County, the Port of Wilmington owned by the city of Wilmington or any facility of the Wilmington Parking Authority may be acquired by the Authority unless specifically authorized to do so by an act of the General Assembly;".
Section 1402. Legislative findings and determinations.
(a) The General Assembly hereby reaffirms all the findings made by the General Assembly in Section 1302 (a), Part II, Chapter 13, Title 2, Oelaware Code Annotated.
(b) The General Assembly further finds, that, in addition to the creation of the Delaware Transportation Authority and the grant of powers to the Authority by the Delaware Transportation Authority Act, there is a growing urgency to provide additional means to finance the maintenance and development of the integrated highway and air and water transportation system in the State for the economic benefit of the State and for the welfare and safety of the users of this transportation system.
(a) The General Assembly hereby determines that in order to provide additional means to finance this transportation system for the benefit of the State and the users of this transportation system, there shall be created a transportation trust fund in the Authority and the Authority shall be granted the following powers, duties and functions relating to the management and disposition of receipts in the transportation trust fund; and that the powers, duties and functions conferred on the Authority by this Act constitute a valid public purpose and are necessary and proper for the purposes to be achieved by the Authority under this Act; and that the expenditure of funds authorized by this Act are for a valid public purpose and public use.
Section 1403. Additional DOwers_Of_tht Authority.
In addition to the powers granted to the Authority by the Delaware Transportation Authority Act, the Authority shall have the following powers in addition to those powers granted elsewhere in this Act:
(a) To issue subordinated indebtedness and to enter into bank loan agreements, lines of credit, letter of credit and other security agreement for the purposes of the Authority:
(b) In its own name or in the name of the State, with the approval of the State, to apply for and receive and accept appropriations or grants of property, money, services or reimbursements for money previously spent and other assistance
offered or made available to it by or from any person for any lawful corporate purpose of the Authority including, without limitation, grants, appropriations or reimbursements from the State or federal government with respect to their respective shares under federal aid transportation laws of the costs of planning, acquisition, engineering, construction, reconstruction, repair, resurfacing and rehabilitation of public highways or the costs of planning, acquisition, engineering, construction, reconstruction, repair and rehabilitation of the public transportation systems and other projects, within the transportation system, in the State and the Authority's operating expenses and to apply and negotiate for the same upon such terms and conditions as may be required by any person, government, agency, authority or entity or as the Authority may determine to be necessary, convenient or desirable;
(c) To accept and use any funds appropriated and paid by the State to the Authority, for the purposes for which the appropriations and payments are made;
(d) To impose tolls at such places and at such times as it determines on a toll facility system comprised of the Delaware Turnpike and U.S. 13 Relief Route subject to the provisions of Section 1320(h) of the Delaware Transportation Authority Act relating to the imposition of tolls on the Delaware Turnpike; and to impose tolls on such other highways with the prior approval of the General Assembly;
(e) To do any and all things necessary, or appropriate to carry out the purposes of this Act and the exercise of the powers, functions and duties granted to the Authority by this Act.
Section 1404. Establishment of Transportation Trust Fund.
There is hereby established in the Authority a fund to be known as the "Transportation Trust Fund". Except as otherwise provided by contract between the Authority and the holders of Bonds of the Authority and excluding the receipts and revenues of subsidiary corporations of the Authority, all taxes, fees, charges, tolls, reimbursements and revenues collected or received by or paid or appropriated to the Authority and any amounts received from the Corps of Engineers in connection with the construction or reconstruction of a bridge in the area of the St. Georges Bridge, shall be credited to the Transportation Trust Fund. In addition, the proceeds of Bonds issued by the Authority and supported by a pledge or other interest in the money in the Transportation Trust Fund shall be held in or for the Transportation Trust Fund. The Transportation Trust Fund shall be deemed to be a special fund. There may be established in the Transportation Trust Fund one or more accounts to which shall be credited and from which there shall be paid the taxes, fees, charges, tolls and revenues credited to the Transportation Trust Fund. The Authority may transfer money from the Transportation Trust Fund to a special fund of the State to meet obligations of the State payable from the Transportation Trust Fund. No such money credited to the Transportation Trust Fund, or any account in the Transportation Trust Fund, shall be available to pay any Bonds issued by the Authority pursuant to any trust agreement or other contract entered into by the Authority prior to the creation of the Transportation Trust Fund unless the Authority specifically agrees to the contrary after the adoption of this Act. Nothing in this Act shall adversely affect the security of any Bonds issued by the Authority pursuant to a trust agreement dated as of September 1, 1979, as amended, between the Authority and the trustee for holders of Bonds issued September 1, 1981 between the Authority and the trustee for holders of Bonds issued thereunder.
Section 1405. ponds secured by TranspoLtation Trust Fund revenues.
(a) The Authority shall have the power and is hereby authorized after July 15, 1987 and from time to time thereafter to issue its Bonds, in principal amounts as in the opinion of the Authority shall be necessary to provide for any of its corporate purposes, including the payment, funding or refunding of the principal of, or interest or redemption premiums on, any Bonds, issued by the Authority whether the Bonds, or interest to be funded or refunded have or have not become due; and to provide for the security thereof and for the establishment or increase of reserves to secure or to pay the Bonds, or interest thereon and all other reserves and all costs or expenses of the Authority incident to and necessary or convenient to carry out its corporate purposes and powers; and in addition to its Bonds, the Authority shall have the power to issue subordinated indebtedness which shall be subordinate in lien to the lien of any or all of its Bonds. No resolution or other action of the Authority providing for the issuance of Bonds, refunding bonds or other obligations shall be adopted or otherwise made effective by the Authority without the prior approval in writing of the Bond issuing Officers of the State.
(b) Except as may be otherwise expressly provided by the Authority, issues of Bonds of the Authority may be general obligations payable out of any revenues or funds of the Authority, or may be limited obligations, subject to any agreements with the holders of particular Bonds and payable out of particular revenues or funds of the Authority. The Authority may provide the security and payment
provisions for its Bonds as it may determine, including (without limiting the generality of the foregoing) Bonds as to which the principal and interest are payable from and secured by all or any portion of the revenues of and payments to the Authority and other moneys or funds as the Authority shall determine. In
addition, the Authority may, in anticipation of the issuance of the Bonds or the receipts of appropriations, grants, reimbursements or other funds, including without limitation grants from the federal government for federal aid highways or public transportation systems, issue notes the principal of or interest on which or both shall be payable out of the proceeds of notes, Bonds or other obligations of the Authority or appropriations, grants, reimbursements or other funds or revenues of the Authority. The Authority may also enter into bank loan agreements, lines of credit and other security agreements and obtain for or on its behalf letters of credit in each case for the purpose of securing its Bonds or to provide direct payment of any costs which the Authority is authorized to pay by this Act and to secure repayment of any borrowings under the loan agreement, line of credit, letter of credit or other security agreement by its Bonds or the proceeds thereof or by any or all of the revenues of and payments to the Authority or by any appropriation, grant or reimbursement to be received by the Authority and other moneys or funds as the Authority shall determine.
(c) Whether or not the Bonds are of the form and character as to be negotiable instruments under the terms of the Delaware Uniform Commercial Code, the Bonds are hereby made negotiable instruments within the meaning of and for all the purposes of the Delaware Uniform Commercial Code.
(d) Bonds of the Authority shall be authorized by a Resolution or Resolutions of the Authority and may be issued in one or more series and shall bear the date, or dates, mature at the time or times, bear interest at the rate or rates of interest per annum, be in the denomination or denominations, be in the form, carry the conversion or registration privileges, have the rank or priority, be executed in the manner, be payable from the sources, in the medium of payment, at the place or places within or without the State, and be subject to the terms of redemption (with or without premium) as the Resolution or Resolutions may provide. Bonds may be further secured by a trust indenture between the Authority and a corporate trustee within or without the State. All other obligations of the Authority shall be authorized by Resolution containing terms and conditions as the Authority shall determine.
(e) Bonds of the Authority may be sold at a price or prices and in a manner as provided in Section 1311 of the Delaware Transportation Authority Act.
(f) Bonds may be issued and other obligations incurred under the provisions of this Act without obtaining the consent of any department, division, commission, board, bureau or agency of the State, and without any other proceeding or the happening of any other conditions or things other than those proceedings, conditions or things which are specifically required by this Act.
(g) Bonds of the Authority issued or incurred under the provisions of this Act shall not be in any way a debt or liability of the State or of any political subdivision thereof other than the Authority and shall not create or constitute any indebtedness, liability or obligation of the State or of any political subdivision or be or constitute a pledge of the faith and credit of the State or of any political subdivision but all Bonds unless funded or refunded by Bonds of the Authority, shall be payable solely from revenues or funds pledged or available for their payment as authorized in this Act. Each Bond, shall contain on its face a statement to the effect that the Authority is obligated to pay the principal thereof, premium, if any, or the interest thereon only from revenues or funds of the Authority made available for that purpose and that neither the State nor any political subdivision is obligated to pay the principal, premium, if any, or interest thereon and that neither the faith and credit nor the taxing power of the State or any political subdivision thereof is pledged to the payment of the principal of, premium, if any, or interest in the Bonds. For the purposes of this subsection, political subdivision does not include the Authority.
(h) All expenses incurred in carrying out the provisions of this Act shall be payable solely from revenues or funds provided or to be provided under or pursuant to the provisions of this Act and nothing in this Act shall be construed to authorize the Authority to incur any indebtedness or liability on behalf of or payable by the State or any political subdivision thereof.
(i) The provisions of Section 1312 of the Delaware Transportation Authority Act shall not apply to Bonds of the Authority issued pursuant to this Act. However, the Authority shall issue no Bonds for any purpose (other than for the reconstruction or improvement of the Delaware Turnpike or the refunding of any or all Bonds of the Authority including the issuance of such Bonds in amounts to cover reserves and costs of issuance) unless the General Assembly shall approve the purpose for which the Bonds are issued and after receiving a written statement of the Secretary advising the General Assembly of the approximate amount of Bonds to be issued and the purposes to be financed.
(j) Bonds may be issued with interest, thereon free from or subject to federal income taxation.
Section 1406. Covenants with holders of Bonds.
In any Resolution of the Authortty authorizing or relating to the issuance of any Bonds, or in any trust agreement securing the Bonds, the Authority, in order to secure the payment of the Bonds, and in addition to its other powers, shall have the power by provisions therein which shall constitute covenants by the Authority and contracts with the holders of the Bonds;
(a) To pledge all or any part of its revenues or receipts to which its right then exists or may thereafter come into existence and other moneys, funds or contracts as the Authority shall determine and the moneys derived therefrom, and the proceeds of any Bonds;
(b) To covenant against pledging all or any part of its revenues or receipts or its agreements and the revenues derived thereunder or the proceeds thereof and other moneys or funds as the Authority shall determine and the moneys derived therefrom or against permitting or suffering any lien on any of the foregoing;
(c) To covenant with respect to limitations on any right to sell, lease or otherwise dispose of any property of any kind;
(d) To covenant as to any Bonds, to be issued and the limitations thereof and the terms and conditions thereof and as to the custody, application, investment, and disposition of the proceeds thereof;
(e) To covenant as to the issuance of additional Bonds or as to limitations on the issuance of additional Bonds, and on the incurring of other debts by it;
(f) To covenant as to the payment of the principal of premium, if any, or interest on the Bonds, as to the sources and methods of payment, as to the rank or priority of any Bonds, with respect to any lien or security or as to the acceleration of the maturity of any Bonds;
(g) To provide for the replacement of lost, stolen, destroyed or mutilated Bonds:
(h) To covenant against extending the time for the payment of Bonds or interest thereon;
(i) To covenant as to the redemption of Bonds and privileges of exchange thereof for other Bonds of the Authority;
(j) Subject to the rights and security interests of the holders from time to time of Bonds theretofore or hereafter issued by the Authority to covenant as to the enforcement of any term in any agreement, entered into pursuant to this Act, to which the Authority is a party or an assignee, fixing amounts of funds to be paid over to and received by the Authority in each year or other period of time, including any term concerning the fixing of tolls and other charges on Turnpikes as shall be necessary to provide the amounts of funds;
(k) To covenant to create or authorize the creation of special funds or moneys to be held in pledge or otherwise for payment or redemption of Bonds reserves or
other purposes and as to the use, investment, and disposition of the moneys held in the funds;
(1) To establish the procedure, if any, by which the terms of any contract or covenant with or for the benefit of the holders of Bonds may be amended or abrogated, the amount of Bonds the holders of which must consent thereto, and the manner in which the consent may be given;
(m) To provide for the release of property, agreements, or revenues and receipts from any pledge and to reserve rights and owners in, or the right to dispose of, property which is subject to a pledge;
(n) To provide for the rights and liabilities, powers and duties arising upon the breach of any covenant, condition or obligation and to prescribe the events of default and the terms and conditions upon which any or all of the Bonds of the Authority shall become or may be declared due and payable before maturity and the terms and conditions upon which any declaration and its consequences may be waived;
(o) To vest in a trustee or trustees within or without the State such property, rights, powers and duties in trust as the authority may determine, and to limit the rights, duties and powers of such trustee;
(p) To execute all bills of sale, conveyances, deeds of trust and other instruments necessary or convenient in the exercise of its power or in the performance of its covenants or duties;
(a) To pay the costs or expenses incident to the enforcement of the Bonds or of the provisions of the Resolution or of any covenant or agreement of the Authority with the holders of its Bonds;
(a) To limit the rights of the holders of any Bonds to enforce any pledge or covenant securing the Bonds; and
(b) To make covenants, in addition to the covenants herein expressly
authorized, of like or different character, and to make covenants to do or refrain from doing acts and things as may be necessary, or convenient and desirable, in order to better secure Bonds or which in the absolute discretion of the Authority will tend to make Bonds more marketable, notwithstanding that the covenants, acts or things may not be enumerated herein.
Section 1407. Pledge of revenues
In addition to the provisions of the second paragraph of Section 1317 of the Delaware Transportation Authority Act, which paragraph shall apply to Bonds issued by the Authority under this Act, it is hereby declared that neither the Resolution nor any other instrument by which a pledge of revenues, moneys or funds is created need be filed or recorded except in the records of the Authority.
Section 1408. Personal immunity.
Neither the Secretary nor any person executing Bonds issued pursuant to this Act shall be liable personally on the Bonds, by reason of the issuance thereof.
Section 1409. No alteration of rights.
The State does hereby pledge to and covenant and agree with the holders of any Bonds Issued or incurred pursuant to the authorization of this Act that the State will not limit or alter the rights or powers hereby vested in the Authority in any way that would jeopardize the interest of the holders or inhibit or prevent performance or fulfillment by the Authority of the terms of any agreement made with the holders of the Bonds or prevent the Authority from obtaining sufficient revenues which, together with other available funds, shall be sufficient to meet all expenses of the Authority and fulfill the terms of any agreement made with the holders of the Bonds together with interest thereon, with interest on any unpaid installments of interest, and all costs and expenses in connection with any action or proceedings by or on behalf of the holders, or from receiving payment of funds as provided in any agreement, until the Bonds together with interest and premium, if any, thereon, are fully met and discharged or provided for. The failure of the State to appropriate moneys for any purpose of this Act shall not be deemed or construed to be a violation of this Section. However, the laws authorizing the imposition of taxes or fees, the pledge of those taxes and fees to the Authority and the transfer of those taxes and fees to the Authority shall not be repealed or diminished until Bonds secured by such taxes or fees are paid or provisions for their payment is made. The State shall have no obligation to increase such taxes or fees to meet payments of principal, premium, if any, or interest on any Bonds.
Section 1410 ponds as legal investments.
The State and all public officers, governmental units and agencies thereof, all banks, trust companies, savings banks and institutions, building and loan associations, savings and loan associations, investment companies, and other persons carrying on a banking business, all insurance companies, insurance associations and other persons carrying on an insurance business, and all executors, administrators, guardians, trustees and other fiduciaries, may legally invest any sinking funds, moneys or other funds belonging to them or within their control in any Bonds issued pursuant to this Act, and the Bonds shall be authorized security for any and all public deposits.
Section 1411. Property exempt from taxation
All property of the authority is declared to be public property devoted to an essential public and governmental function and purpose and shall be exempt from all taxes and special assessments of the State or any political subdivision. All Bonds issued pursuant to this Act are hereby declared to be issued by a body corporate and politic of the State and for an essential public and governmental purpose and the Bonds, and the interest thereon and the income therefrom, whether or not the interest on the Bonds is subject to federal income taxation, and all funds, revenues, income and other moneys received or to be received by the Authority and pledged or available to pay or secure the payment of the Bonds, or interest thereon, shall at all times be exempt from taxation by the State, or any political subdivision, except for transfer, inheritance and estate taxes.
Section 1412. Aolicable_provisions_a_Delaware Transportation Authority Act.
All provisions of the Delaware Transportation Act, not inconsistent with the provisions of this Act, unless excepted herein, shall be applicable to the Authority and its Bonds issued pursuant to this Act, including, without limitation, the provisions of Sections 1303, 1305, 1309 and Sections 1320 through 1328, inclusive.
Section 1413. Ransters from Road Imoromement_Fund.
Notwithstanding the provisions of Section 1310(c)(11) of the Delaware
Transportation Authority Act, available money in the Road Improvement Fund shall be transferred periodically to the Transportation Trust Fund at the times and in the manner such money was previously transferred to a special fund of the State.
Section 1414. Repeal of Sections 1310 and 1312
(a) At such time as all Bonds issued by the Authority subject to the provisions of Section 1310 of the Delaivare Transportation Authority Act (including any "junior obligations" as defined in Article 1 of the trust agreement dated as of September 10 1979, as amended, between the Authority and the trustee for holders of obligations issued pursuant to the trust agreement) are paid or adequate provision for the payment of principal, premium if any, and interest on such Bonds are made, the provisions of Section 1310 shall no longer be of any force or effect, and, without any further act of the General Assembly all motor fuel taxes imposed pursuant to Chapter 51 of Title 30, of the Delaware Code Annotated, as amended, and all motor carrier registration fees imposed pursuant to Section 5211(a), Chapter 52 of Title 30 of the Delaware Code Annotated, as amended, collected by the state (less, in the case of motor fuel taxes, amounts necessary to make refunds pursuant to Section 5120, Chapter 51 of Title 30, Delaware Code Annotated) shall thereupon be irrevocably and automatically pledged and assigned to the Transportation Trust Fund; and (b) all tolls collected by the Authority on any Turnpike facility, including but not limited to, the Delaware Turnpike, shall be credited directly to the Transportation Trust Fund;
(b) At the time Section 1310 is repealed and is no longer of any force or effect, Section 1312 of the Delaware Transportation Authority shall be automatically repealed without any further act of the General Assembly;
(c) Notwithstanding the repeal of said Section 1310, the Authority shall retain the power, granted in said Section 1310, in addition to the general grant of powers contained in Section 1309 of the Delaware Transportation Authority Act to make and enforce such rules and regulations and establish, fix and revise from time to time, and charge and collect (or authorize by contract, franchise, lease or otherwise, the establishment, fixing, revising, charging and collecting of) such charges, fares, fees, rates, rentals and tolls for the use of any transportation facility, or parts or Sections thereof, operated by the Authority, as the Authority may deem necessary, proper, desirable or reasonable, subject to this Chapter. The Authority may contract with any person desiring the use of any part of such transportation facilities, including rights-of-way for placing thereon, telephone, telegraph, electric light or power lines, gas stations, garages, restaurants and advertisements or for any other purposes, and fix the terms, conditions, charges, fares, fees, rates, rentals and tolls for such use.
Section 1415. Transfers of motor fuel tax revenues.
Notwithstanding the provisions of Section 1310(c)(8) of the Delaware
Transportation Authority Act, the Authority shall transfer monthly available money in the motor fuel tax reimbursement fund to the General Fund of the State in an aggregate amount equal to (i) 6 cents per gallon of motor fuel taxes collected by the State and deposited with the Authority plus (ii) an amount equal to the product of "y" - the refunds payable on motor fuel taxes - and "z" - a fraction, the denominator of which is the applicable motor fuel tax rate and the numerator of which is a number equaling the difference between the applicable motor fuel tax rate and 6 cents per gallon, which amount shall be deemed sufficient to pay refunds by the State pursuant to Section 5120, Title 30, Delaware Code Annotated, as amended, attributable to the amount of motor fuel taxes levied in excess of 6 cents per gallon. Notwithstanding any other provision of this Act to the contrary, upon the repeal of Section 1310 of the Delaware Transportation Authority Act, the Authority shall continue to make payments monthly, from available money, to the General Fund of the State in an aggregate amount, equal to 6 cents per gallon of motor fuel taxes collected by the State and transferred to the Authority.
Section 1416. ILODIfer of motor carrier registration fees
Notwithstanding the provisions of Section 1310(c)(9) of the Delaware
Transportation Authority Act, the Authority shall transfer monthly available money in the motor carrier registration reimbursement fund to the Transportation Trust Fund in an aggregate amount equal to $3 of each $10 fee imposed by the State and transferred to the Authority on each vehicle registered during the preceding month, pursuant to Section 5211(a), Chapter 52, Title 30, Delaware Code Annotated.
Section 1417. Budget of authority.
The expenditures of the Authority from the Transportation Trust Fund, other than expenditures required to be made by resolutions or trust agreements made or to be made by the Authority and the holders of its Bonds, shall be approved by the General Assembly. The budget for capital and operating expenditures of the Authority payable from the Transportation Trust Fund shall be presented annually by the Authority to the General Assembly. If the General Assembly does not approve the operating budget of the Authority prior to July 1 for the year such budget is submitted, the operating budget, as submitted to the General- Assembly, shall be deemed adopted by the Authority until such time as the budget is approved by the General Assembly, provided that the operating expenditures of the Authority shall not exceed similar expenditures of the Authority for the year prior to the budget year by more than a factor equal to the CPI as defined in Section 1320(f) of the Delaware Transportation Authority Act. Any obligations incurred by the Authority pursuant to an operating budget deemed adopted by the Authority shall be binding on the Authority. Failure by the General Assembly to approve the capital budget of the Authority shall not affect or impair the obligation of the Authority to meet its obligations to holders of outstanding bonds. The provisions of Chapter 84, Title 29, Delaware Code Annotated, including the establishment of priorities for spending State funds, shall apply to available money and bonding capacity in the Transportation Trust Fund for highway projects. The Authority's annual budget as prepared and approved shall reflect that a significant objective of this Act is to achieve adequate funding and predictable implementation of the Department of Transportation's Capital Improvement Program and other needs of the transportation system.
Section 2. AMEND Section 5110, Chapter 51, Title 30, Delaware Code as amended by 65
Delaware Law, Chapter 385 by striking subsection (c) in its entirety and substituting a new subsection (c) to read as follows:"
"(c) Notwithstanding the foregoing provisions of paragraph (a) of this Section, the tax levied and imposed in paragraph (a) of this Section shall be 13 cents per gallon through August 31, 1987. Thereafter, the tax shall be 16 cents per gallon. After August 31, 1987, the tax shall be no more or no less than 16 cents per gallon until increased or decreased by the State. By virtue of the pledge and assignment of motor fuel tax revenues by the State of the Delaware Transportation Authority, said tax shall not be decreased during the period any bonds of that authority are outstanding and unpaid."
Section 3. Amend Section 5162, Chapter 51, Title 30 of the Delaware Code Annotated effective as of July 1, 1988 by striking said Section in its entirety and substituting in lieu thereof the following:
There shall be appropriated annually- to municipalities within the State beginning in the State's 1989 Fiscal Year and each subsequent year thereafter in conjunction with pursuant to and as a portion of the- annual grants in-aid appropriation, a sum not in excess of $3,000,000. The sum so appropriated shall be transferred to the Municipal Street Aid Fund by the State Treasurer and distributed to municipalities as provided in this subchapter. Upon receipt of notification from the State Treasurer that such funds have been transferred in accordance with this Section, the Delaware Transportation Authority shall reimburse the State Treasurer from the Transportation Trust Fund from funds available for that purpose.
Section 4. Amend Section 6533(f), Chapter 65, Title 29 of the Delaware Code, effective as of July 1, 1988, by inserting before the words "; and (2) cause the aggregate" new wording to read "minus $2,500,000" and further amend Section 6533 by adding a new subsection (g) to read:
"(g) Any appropriations for Municipal Street Aid in the annual grants-in-aid bill shall not be subject to the limitations in subsection (f) of 6533."
Section 5. Intereretatioq•
The provisions of this Act shall be liberally interpreted and construed to effect the purposes of this act.
Section 6. Inconsistency.
This Act grants powers to the Authority in addition to powers retained by or conferred on other persons and is meant to supplement those powers. However, insofar as the provisions of this Act are inconsistent with the provisions of any general, special or local laws, or parts thereof, the provisions of this Act shall be controlling.
Section 7. Severabilitv.
If any Section, part, phrase, or provision of this Act or the application thereof shall be held invalid by any court of competent jurisdiction, such judgment shall be confined in its ope'ation to the Section, part, phrase, provision, or application directly involved in the controversy in which such judgment shall have been rendered and shall not affect or impair the validity of the remainder of this Act or the application thereof.
Section 8. effective date.
All provisions of this Act with the exception of Section 3 and 4 shall take effect September 1, 1987. Section 3 and 4 shall take effect July 1, 1988.
Approved July 2, 1987