Senate Bill 2638 Summary

• Creates the Mississippi Coastal Strategic Investment Trust, an independent public body corporate to receive 80% of BP Economic Damages Settlement Agreement payments (approximately $600 million after exclusions from FY2016-FY2033) for economic development in the Mississippi Gulf Coast region.

• Establishes a 9-member Board of Trustees with representation from Hancock, Harrison, and Jackson counties appointed by the Governor, county boards of supervisors, and municipal mayors; members serve 5-year terms and receive per diem and travel reimbursement.

• Board authorized to make equity investments (with put options), construction/permanent loans, gap loans, loan guarantees, and other financial assistance to beneficiaries whose projects meet criteria for creating permanent jobs and expanding tax revenues for state and local governments.

• Grants Trust authority to issue bonds secured by BP Settlement payments, establish investment criteria and application procedures, contract with private administrators via RFP, and acquire/dispose of real and personal property related to approved projects.

• Requires annual audits by State Auditor or approved independent auditor; mandates Trust report to Legislature within 180 days of fiscal year end detailing all assistance granted and transactions conducted; establishes advisory legislative review board with no approval authority.